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University of Wisconsin. College of Agriculture. Dept. of Agricultural Economics / Cooperation principles and practices: the application of cooperation to the assembling, processing and marketing of farm products, to the purchase of farm supplies and consumers' goods and to credit and insurance
([1937])

XV. How to organize a cooperative,   pp. 118-123 PDF (1.6 MB)


Page 118


           XV. HOW TO ORGANIZE A COOPERATIVE
     A PREIM[NARY survey of a prospective cooperative
     A       area by a trained personnel is important before
             plans have been too definitely crystallized.
        The organization committee will assume the responsibil-
    ity of critically reviewing preliminary work, devising and
    approving plans, determining course of action and directing
    activities.
        The temporary becomes the permanent organization
    when it is incorporated, when by-laws are adopted, a direc-
    torate is elected, and members are notified of the steps taken.
        If it is anticipated that a need for a federal loan may be
    imperative, associations should conform to legally specified
    standards of organization and operation.
        The by-laws constitute the additional legislation.
        Generalizations derived from economic and sociological
    studies indicate that voluntary action in organizing and di-
    recting cooperatives is much preferred to legal coercion.
    EVERY CARE should be taken to start cooperative undertakings under
favorable conditions. Those interested in doing this should not fail to recognize
a need for cooperative services. Often a real need for cooperative action
may exist, but many of the people in the community might be either in-
different or not aware of the fact. It is generally wise procedure for those
sponsoring organizations to make a preliminary survey of the area before
plans have been crystallized too definitely. Such surveys may be directed
by a trained personnel from educational institutions, federal bureaus, re-
search foundations or in some instances by local talent already seasoned
by the
experience of managing and directing cooperatives. A general survey for a
proposed farm marketing association should include an appraisal of:
    1. The services and facilities made available by existing institutions.
    2. The extent of the area and the intensity of production of the com-
      modity to be marketed.
    S. Custom as a factor influencing farm operations and methods of hand-
      ling farm-products prior to their delivery for sale.
                                  11I
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