UPCOMING WEBINAR: For Owners, Employees and Government Workers
April 6 • 11 a.m. - 1 p.m.
Mission College and its partners are working hard to help small businesses succeed. Come explore different models of worker ownership, and how government agencies can support small businesses.
Click orange box above to express interest
A co-op business is a worker-owned business. For current owners, it is a tool for succession management for owners that want to step away from the everyday job of running that business.
Never heard of a co-op? Sure you have: REI, every local credit union, your local CSA, a solar company, maybe even your local pizza shop! They’ve been around for decades!
A co-op is a pathway to plan for the future and create a fair return on your investment. It is a business transaction (sale) where employees purchase the business and take part in the running it.
For city governments, co-ops allow small and medium sized businessed to continue to thrive, even in a tight fiscal environment.
During an economic downturn, research as shown that Worker-Owned businesses, keep workers employed. Though there might be less hours for the employee, the business stays in place as it is a shared responsibility for the business to continue.
Some of the key benefits to transitioning a privately owned business to an employee-owned Worker Cooperative are:
Owner Benefits of a Co-Op
- The current owner can sell their business to the employees, creating the opportunity
for the owner to get a fair sales price for their business.
- The current owner can create a legacy, allowing the business to continue on after
they leave the business.
- The current can create secession plan as an exit strategy.
- The current owner can stay involved, take a less demanding position in the company, or step away completely.
Employee Benefits of a Co-Op
- Opportunity to become an owner of the business they are part of and take on leadership.
- Little to no cash required up-front to become an owner.
- Ability to learn “the business.”
- Increased pay and benefits.
- Voice in the future of their workplace, and abiltity to create rules and consequences
in their workspace.
- Equity in your workplace.
- Transparency in how their business is run and operated.
Societal (Government) Benefits
- Anchor businesses in the community.
- Prevent the unnecessary closing of businesses in the community.
- Create a platform for wealth building for workers.
- Increase wages for businesses in the community.
- Provide a solution for the “silver tsunami” of aging business owner (baby boomers) who want to sell their business.
- Response to COVID
- City of Santa Clara Co-Ops
- A Slice of New York Co-Op Resources
- How REI's Co-Op Model Helps its Bottom Line
- Forbe Article Explaining Co-Ops