A quick look at co-ops to help you determine if this model is right for your life coaching business.

By Jowanna Daley

My son recently joined a cooperative business (co-op), and I was intrigued to learn more about them. In the process, I remembered being in a co-op in college, but I didn’t understand what it was back then. So I set out to do some research that might help you better understand this model and whether it is a good choice for your life coaching business needs.

WHAT IS A CO-OP BUSINESS?

Co-op businesses are owned and run by a group of people who use them to achieve common goals. Members typically share in its profits and losses, value, and determining how the co-op is run. They can fall under various categories. Here are three of the most common:

1) Producer Co-Ops

This type of cooperative unites businesses that produce similar types of goods or services, and it is a model commonly used in agriculture. Think Ocean Spray and Organic Valley. It can help members effectively negotiate prices and access larger markets and/or assist in processing member products to add value and increase returns.

2) Consumer Co-Ops

A consumer cooperative is owned and operated by its customers. This model provides members with goods and services at a fair price and gives them a voice in the operation of the business. Examples include Willy Street Co-op, REI and UW Credit Union.

3) Worker Co-Ops

In a worker cooperative, employees are also owners and share profits and losses. These businesses typically are created to address the needs of workers who have been marginalized or have difficulty finding traditional employment. Worker co-ops can provide workers with job security, a say in business decisions, and an amplified voice in the workplace. They also help to build community and promote social and economic justice. Here are just a few: The Cheese Board Collective, CA; Bristol Brewing Company, CO, and Evergreen State College Cooperative, WA.