-: Co-operative Societies :-
Co-operative Societies is defined as - A voluntary association of persons joined together on the basis of equality for fulfillment of their economic and business interests , is known as co-operative societies .
To protect the interest of weaker sections , the co-operative society is formed . A group of ten persons can form a co-operative society .
Note :- In India , such societies function under the co-operative societies act , 1912 and other state co-operative societies act . On the basis of objectives , various types of co-operatives are formed . They are consumer co-operatives, producers , co-operatives , marketing co-operatives , housing co-operatives and credit co-operatives .
Features of Co-operative Societies :- Co-operative societies has the following features -
1- It is compulsory for the co-operative society to get registration .
2- It does not get affected by the entry or exit of its members.
3- There is a limited liability of the members of co-operative society . Liability is limited to the extent of the amount contributed by members as capital .
4- An elected managing communities has the powers to take decisions .
5- The co-operative society works on the principle of mutual help and welfare .
Advantages of Co-operative Societies :- A co-operative society has the following advantages -
1- It is easy to form a co-operative society .
2- The liability of every member is limited to the extent of capital contributed by him .
3- Any individual can be a member of any co-operative society .
4- Co-operatives get a financial assistance from the state governments and enjoy exemptions and concessions in taxes .
5- The middle man's profit is eliminated as the consumers control their own supplies through co-operative societies .
6- Each member has only one vote . Hence , it is managed in democratic manner .
Disadvantages of Co-operative Societies :- A co-operative society has the following disadvantages -
1- A co-operatives do not function efficiently due to lack of managerial abilities .
2- Co-operatives are formed to render service to its members than to earn profit .
3- Among the members , there exists lot of conflicts due to personality differences , ego etc .
4- Secrecy can not be maintained in co-operative societies .
5- The co-operative societies mostly depend on government for financial assistance .
Co-operative Societies is defined as - A voluntary association of persons joined together on the basis of equality for fulfillment of their economic and business interests , is known as co-operative societies .
To protect the interest of weaker sections , the co-operative society is formed . A group of ten persons can form a co-operative society .
Note :- In India , such societies function under the co-operative societies act , 1912 and other state co-operative societies act . On the basis of objectives , various types of co-operatives are formed . They are consumer co-operatives, producers , co-operatives , marketing co-operatives , housing co-operatives and credit co-operatives .
Features of Co-operative Societies :- Co-operative societies has the following features -
1- It is compulsory for the co-operative society to get registration .
2- It does not get affected by the entry or exit of its members.
3- There is a limited liability of the members of co-operative society . Liability is limited to the extent of the amount contributed by members as capital .
4- An elected managing communities has the powers to take decisions .
5- The co-operative society works on the principle of mutual help and welfare .
Advantages of Co-operative Societies :- A co-operative society has the following advantages -
1- It is easy to form a co-operative society .
2- The liability of every member is limited to the extent of capital contributed by him .
3- Any individual can be a member of any co-operative society .
4- Co-operatives get a financial assistance from the state governments and enjoy exemptions and concessions in taxes .
5- The middle man's profit is eliminated as the consumers control their own supplies through co-operative societies .
6- Each member has only one vote . Hence , it is managed in democratic manner .
Disadvantages of Co-operative Societies :- A co-operative society has the following disadvantages -
1- A co-operatives do not function efficiently due to lack of managerial abilities .
2- Co-operatives are formed to render service to its members than to earn profit .
3- Among the members , there exists lot of conflicts due to personality differences , ego etc .
4- Secrecy can not be maintained in co-operative societies .
5- The co-operative societies mostly depend on government for financial assistance .
 |
| Image Source : Google |
The Loan Fund that Mr Pedro offered me enabled me to take advantage of an incredible opportunity to relocate and expand my business, at a pivotal time. The support I received from The staff was priceless at the rate of 2% in return.
ReplyDeleteYou can contact them for a loan request on pedroloanss@gmail.com And WhatsApp + 1-8632310632