Cooperative Board Election: Member and Board Elections for Cooperatives

Organizations with a cooperative structure are based on mutual contributions and rewards. The members are also the directors who make decisions together, vote on changes or agreements they enter into, and split the proceeds or enjoy the outcomes of their efforts. Elections and voting guide the business decisions.

The cooperative members are also the directors–they contribute freely to voting processes rather than working underneath a manager or another owner who dictates what they can and cannot do within the co-op. However, there are membership bylaws every co-op participant should be aware of.

Members usually have the right to propose items for meeting agendas, vote for board elections, suggest bylaw amendments, and use the services, facilities, or other assets of the cooperative according to their membership access. When they are ready to make a decision, they will hold a co-op election.

The co-op's members will also need to fulfill their duties, which could include attending co-op meetings and training sessions, participating in ballot voting, patronizing the products or services of the organization, or producing part of the capital or goods.

Cooperatives may have diverse objectives, such as:

• Combining purchasing or negotiating power
• Lowering costs by sharing facilities or equipment
• Working together to improve communities
• Providing educational services to children or local groups

Cooperatives can exist for a variety of reasons, but are based on the principle that the members, users, or contributors are also the owners of the co-operative business. The purpose of the co-op is to fulfill the needs of their members, who might be the people who buy from the cooperative or use its services.

There are multiple cooperatives, ranging from farming cooperatives–where producers pool resources and gain economies of scale via joint purchasing, to credit unions, energy producers, and grocery cooperatives. Co-op organizations can be solely online or have a physical place to meet. Co-op structure and bylaws vary by the cooperative's board and membership.

Some of the most common examples of a co-op include:

• Consumer cooperatives, where the people who buy the goods or services also control the organization
• Worker cooperatives, where the employees own voting rights to influence decision-making and contribute towards bylaws
• Co-op condo and housing organizations, where co-op members are the tenants or owners of the properties

Cooperatives can be both nonprofit and profit-making, but are defined by the ownership belonging to the participants and not just a single owner or board of directors. Lots of co-op organizations are run solely based on member elections. But some hold a board election to elect a co-op board to manage the organization.