Some Important advantages of setting up a cooperative society

[Mastergp]

Some Important advantages of setting up a cooperative society.

Encouragement of savings:
Co operative societies encourage saving habits among their members

Democratic in Nature:
Each member of the society has equal say in the organization. Members are entitled to one man one Vite, irrespective of share held.

Render financial Assistance to member:
They can mobilise funds needed for business investment and expansion by giving loans to members.

Improve members standard of living:
They improve the standard of living of their members by providing goods which they cannot buy on their own example electronics, land etc.

Ensure low rice of Goods:
They buy from producers and sell to members at low prices hence the middlemen and the attendant high prices of goods are by passed.

The Educate their members:
Co operative society also provides technical information to their members about the best methods of production example farmer co operative.

 

[King bell]

One advantage of creating a cooperative society is that a co-op can offer its members functions that individual enterprises could not. Take, for example, Uber and Lyft. These companies are able to offer different kinds of transportation because they allow their drivers to be independent contractors, which as we all know is somewhat impossible in the realm of traditional enterprise-style work structures. Another example is Loomio, which offers an online collaborative decision-making tool for groups who lack the time and resources to organize themselves or too many people for one group meeting.

Another advantage of setting up a cooperative society is that it can provide business opportunities to those who do not have the resources to create an enterprise on their own. This can come in the form of loans, research assistance and training opportunities. For example, the Eko India Financial Services Cooperative Society provides loans to new entrepreneurs and also offers training in financial literacy and business management.

Besides providing support for budding entrepreneurs, co-ops are just good for community relations. For example, Boston's New Church co-op is working with the city's mayor's office to make sure their grocery store project does not negatively impact local businesses and quality of life in the community at large.