Everyone — from founders organizing a co-op from the ground up to community members that invest in membership — should be aware of the seven cooperative principles. Co-ops (like any other ethical business should be) are based on values that support individuality, democracy, equality, honesty, and social responsibility.
The seven principles of food cooperatives
1. Open & voluntary membership
Ownership is open to everyone who wants to join, without discrimination.
2. Democratic member control
Those who buy in as Co-Owners control the business. Co-Owners will have a voice in major decisions through working groups, voting opportunities, and engaging in open discussions with the board. No one can have a majority interest or buy more control than anyone else — one person, one vote.
3. Member economic participation
Funding for the Co-op will be a combination of traditional loans, grants, and capital contributed by our Co-Owners. The benefits and dividends will be the same for each Co-owner.
4. Autonomy & independence
The Nashville Food Co-op is owned by individual community members, rather than a group of investors. Any partnerships will be formed with democratic control and cooperative autonomy in mind.
5. Education, training, & information
Cooperatives provide education and training for members, managers, and employees so they can effectively contribute to the development of the Co-op.
6. Cooperation among cooperatives
Cooperatives work together to help other cooperatives in formal and informal ways. There are several co-op groups that help new cooperatives open and maintain their organizations including National Co-op Grocers, the Cooperative Grocer Network, and the Food Cooperative Initiative.
7. Concern for community
Cooperatives operate with a focus on member needs and concerns. We’ll work toward sustainable growth of our community through values-focused policies and programs.
These seven principles were formed in 1844 by the first modern cooperative, the Rochdale Society of Equitable Pioneers of Rochdale, England. While it’s not a requirement that all co-ops implement these ideas, most adopt them as business guidelines—the Nashville Food Co-op, included.