Co-op 101

What is a Food Co-op?

Q: What does a Retail Food Co-op look like? What is it?

A: A food co-op can refer to many things, but often it refers to a grocery store that is collectively started, owned and run by its members. It can encompass any form and carry whichever products the members and the community decide is best. Often these stores open because of the need for natural or organic foods, but they can exist to fill any need in the community.

Q: What does it mean to be “cooperatively owned?” How is that different from just a regular grocery store?

A: When a store is cooperatively owned (a “co-op,” for short) it means that its members invest either their time, money, or both to be able to take part in the decision making processes the store makes. Members sometimes get discounts on food, but more importantly, their membership allows them a vote in making all

vital decisions about the direction of the co-op and helps them feel tied to their community.

Q: What are the advantages of a co-op over another kind of store? Wouldn’t it be better just to get Whole Foods to come in?

A: Unfortunately, at this time, neither Whole Foods, Trader Joe’s, or Central Market have announced official plans to build a store in the area. Also, when those stores exist in an area, it may be easier to get organic food, but the money is funneled out of the community and into the stockholders’ or private owners’ hands. In a co-op, any profit is typically either given back to the members, or invested back into the business so that it can continue to grow, create jobs for the community, and offer a wider selection of food. People who shop at or belong to co-ops often report feelings of feeling more connected to their communities, and feel good about keeping the money they earn in their community.

Q: How long does it usually take to get a co-op up and running?

A: It can take several years -- but it really depends on how much the community is willing to give to make it happen. What skills and time are you willing to commit to help? Click on How to Help to find out how you can help.

Q: Why so long?

A: Fundraising is a big part of it. Like any business, co-op startups will need a lot of money to begin operations. And, just like any other successful grocery store, it will need a feasibility study, a business plan, a location, and a talented general manager, and this can take some time. Many successful co-ops that open today often hire outside companies to help them complete these vital steps, and money will need to be raised for that, too.

There are many more questions and misconceptions people have about co-ops. If you are interested in learning more, read “How To Start A Coop” (look in sidebar for download link). If you are unable to view this file, you’ll need to download the free Adobe Acrobat Reader (click here to download).

Also, if you have more questions, email them and we’ll try to answer them for you as best we can.

Ready to get involved? Sign up for our mailing list to be notified of ways you can help, and check out the Calendar to find out about co-op meetings and events.

educational
co-op links

NEW! Flowchart of Co-op Process

Download a visual representation of the process of starting a food co-op. (Based on the manual below.)

CGIN’s “How to Start a Food Co-Op”

(PDF 1MB download)

KCFC Newsletter Signup and Archives

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Cooperative Grocer Magazine

Check out their full archive of articles to learn more about food cooperatives.

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co-op professionals

Co-op REsources