Need not wait for redemption by co-op. Through a one member, one vote policy. May receive all or most of patronage as cash. Board of directors Elected from the membership, by the membership. Since members invest capital up-front, all, or almost all, net earnings are returned to members at end of year.
People work collectively to respond to problems or opportunities.
Creates wealth within the community, and local ownership keeps it there. Restricted membership provides stability for producers and efficiency for the plant. A diverse set of stakeholders insures the interests of the community are considered. Producers and processors are committed to the quality of the product. Financial institutions willing to finance cooperatives.