Understanding Cooperatives

Understanding Cooperatives
Understanding cooperatives pursuant to Law No. 25 of year 1992 is the business which consists of the person or legal entity with the bases cooperative activities based on the principle of cooperation as well as economic movement is based on the principle of the family.
Cooperative is a collection of people and not a collection of capital. Cooperatives must truly serve the interests of humanity, and not merely to the material. Cooperation in the cooperative based on a sense of equality and awareness of its members. Cooperative is an organization of economic and social democracy. Cooperatives are common property of the members, administrators and managers. Enterprises are governed in accordance with the wishes of its members through deliberation meeting.
Cooperative as a business entity may carry on his own and can also work with other entities, such as private companies and state enterprises.
The characteristics of Cooperative
Some characteristics of the cooperative are:

    * Society people.
    * Profit sharing by comparison services. Capital services limited.
    * The goal lighten the economic burden of its members, improve the welfare of its members, in particular and society in general.
    * Capital is not fixed, it changes according to the number of member savings.
    * Not concerned with capital inflows / work effort but the principle of membership.
    * In a meeting of members of each of their respective members or vote irrespective of the amount of capital each.
    * Each member is free to enter / exit (members changed) so that the cooperatives are not permanent capital.
    * As well as a limited liability company (PT), the Cooperative has a Legal Entity form.
    * Running a business
    * Responsible for the management of cooperatives is.
    * Cooperative is not a collection of some of the capital that seeks to profit maximization.
    * Cooperative is a joint venture of kinship and mutual support. Each member is obliged to work together to achieve the goal of welfare of the members.
    * Losses to be shared among members. If the cooperative suffered a loss, then the members of the bear together. Members who are not able to release the burden / responsibility of loss. Losses incurred by members who are able.
The purpose Cooperative
According to Law No. 25 of 1992, Article 3 of the cooperative aims to promote the welfare of its members in particular and society in general as well as help build the structure of the national economy in order to realize an advanced society, just and prosperous society based on Pancasila and the 1945 Constitution.