The arbor at my #ConsumerCoop #CSA farm today...

#btv #vermont #vt

Today I finally cracked the issue that was blocking me around the real estate investment co-op model.

The thing I was wrestling with was how it could be a #ConsumerCoop without a patronage relationship, since I was thinking primarily about the investors.

*But* if it is organized as a consumer co-op in which the *renters are member-owners*, then they get a patronage refund after the investors are paid their limited return (max under #Vermont law is 6%).

#Coop relative of the #LandTrust?

@paulfree14 The #PatronageRefund is the mechanism by which a #coop operates on a not-for-profit basis towards its members in the context of market pricing.

Say a #ConsumerCoop made a 5% profit/surplus last year. If you spent $100 there and I spent $1000, I would get $50 back while you would get $5 in your Patronage Refund.

For #WorkerCoops, patronage is based on labor contributed, of which the simplest formula is hours worked, so if I worked 2x your hours, I'd get 2x your share of the surplus.

What are good questions to include in a survey of a #ConsumerCoop's members?

#coop #coopgovernance #memberengagement #democracy

@dphiffer There's some really interesting discussions/debates about positive spill-over effects of co-ops.

One example is #consumercoop pricing: should consumer co-ops price at market rate and return the profit to members, benefiting them, but not influencing the overall price structure? Or should they aim to minimize margins, thus cutting into the profitability of capitalist firms by reducing prices market-wide?

@mattcropp always learning :)

Makes sense though - flow-through tax structure, and operating agreement concept hugely flexible.

Less workable for #multistakeholdercoop or #consumercoop - no?