Define: Cooperative Cause

A cooperative cause refers to a legal entity formed by a group of individuals or organisations who come together to achieve a common goal or objective. It operates on the principles of cooperation, mutual assistance, and democratic decision-making.

A cooperative cause is similar to a regular cooperative in terms of its structure and principles. However, a cooperative cause typically focuses on addressing social, environmental, or community-related issues, whereas a regular cooperative may operate in various industries or sectors.

Joining a cooperative cause can provide several benefits, such as collective decision-making power, shared resources and costs, increased bargaining power, and the ability to address social or environmental concerns effectively.

To start a cooperative cause, you need to gather a group of like-minded individuals or organisations who share a common goal. You will then need to draft and adopt bylaws, elect a board of directors, and register the cooperative cause with the appropriate government authorities.

While the primary focus of a cooperative cause is not profit generation, it can still engage in income-generating activities to sustain its operations and achieve its objectives. However, any surplus generated is typically reinvested in the cause or used for the benefit of its members.

In most cases, you can leave a cooperative cause by following the procedures outlined in its bylaws. This may involve providing notice to the cooperative cause and settling any outstanding financial obligations.

Yes, a cooperative cause can be sued if it engages in activities that violate laws or regulations, breaches contracts, or causes harm to individuals or organisations. It is important for a cooperative cause to comply with all legal requirements and operate in an ethical and responsible manner.

Decisions in a cooperative cause are typically made through a democratic process, where each member has an equal vote. This can be done through general meetings, where members discuss and vote on important matters, or through elected representatives on the board of directors.

Yes, a cooperative cause can receive funding or grants from various sources, such as government agencies, foundations, or private donors. However, the availability of funding may depend on the specific objectives and activities of the cooperative cause.

Tax benefits for joining a cooperative cause may vary depending on the jurisdiction and the specific activities of the cooperative cause. It is advisable to consult with a tax professional or legal advisor to understand the potential tax advantages or exemptions that may apply.