You will require this national registration if you intend to
establish a cooperative. A cooperative is a democratic organisation owned and
controlled by its members for a common benefit. Cooperatives can be formed for
a specific purpose or for providing a service (for example, a kindergarten or
wine club).
A cooperative legally registered in one jurisdiction is able
to operate nationally without the need for further registration or reporting requirements
in each state. There are two types of cooperatives that you may establish:
- Distributing cooperatives: Must have shared
capital and at least five active members, and have the ability to distribute part
of the surplus of the co-operative to members by way of bonus shares, dividends
or rebates
-
Non-distributing co-operatives: Must have at
least five active members and must not distribute any of the surplus to members,
any surplus funds generated must be used to support its activities. This model
is often used for community organisations.
An existing cooperative may alter its rules to change from
one type of cooperative to the other. This alteration must be approved by
ballot.
Please consult the responsible agency for more information regarding eligibility requirements.
