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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

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

Page 118

     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
        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.

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