Seven Cooperative Principles
Cooperatives around the world generally operate according to the
same core principles and values, adopted by the International Cooperative
Alliance in 1995. The International Cooperative Alliance is a global
membership association of co-ops and co-op support organizations.
Cooperatives trace the roots of these principles to the first modern
cooperative founded in Rochdale, England in 1844.
1. Voluntary and Open Membership
Cooperatives are voluntary organizations, open to all people
able to use its services and willing to accept the responsibilities
of membership, without gender, social, racial, political or religious
discrimination.
2. Democratic Member Control
Cooperatives are democratic organizations controlled by
their members—those who buy the goods or use the services
of the cooperative—who actively participate in setting policies
and making decisions.
3. Members' Economic Participation
Members contribute equally to, and democratically control,
the capital of the cooperative. This benefits members in proportion
to the business they conduct with the cooperative rather than on
the capital invested.
4. Autonomy and Independence
Cooperatives are autonomous, self-help organizations controlled
by their members. If the co-op enters into agreements with other
organizations or raises capital from external sources, it is done
so based on terms that ensure democratic control by the members
and maintains the cooperative’s autonomy.
5. Education, Training and Information
Cooperatives provide education and training for members,
elected representatives, managers and employees so they can contribute
effectively to the development of their cooperative. Members also
inform the general public about the nature and benefits of cooperatives.
6. Cooperation among Cooperatives
Cooperatives serve their members most effectively and strengthen
the cooperative movement by working together through local, national,
regional and international structures.
7. Concern for Community
While focusing on member needs, cooperatives work for the
sustainable development of communities through policies and programs
accepted by the members.
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