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Advantages And Disadvantages Of A Cooperative Business?

Answer

A cooperative business is any kind of business that has at least five share holders. All of these share-holders have the same amount of responsibility in the company. Some of the advantages of having this kind of a business is that it makes sure all the people who are a part of it are actively doing something. Also, starting a cooperative business is often much cheaper to register. However, some of the disadvantages can be that some people who do more in the business than others will still not have more voting power as someone else who does much less. Also, since there must be five people, there is a smaller amount of profit to be made per person.
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Advantages & Disadvantages of a Cooperative Business
The guiding principles of modern cooperatives were being established as long ago as 1844, when The Rochdale Pioneers opened the first Cooperative shop, in Rochdale, England. The Rochdale Principles are a set of ideals used throughout the world for the... More »
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