Cooperative Flashcards
What are the basic requirements in a cooperative?
- at least 15 members
- the name should include the word “cooperative”
- submission of economic survey, Articles of Cooperation, By-laws with name of directors
A cooperative may be dissolved when?
if it has not carried on business for 2 consecutive years
Single line or single purpose cooperative
It refers to a type of cooperative that is undertaking activities which are related to its
main line of business or purpose
What is the minimum subscribed shares before a prospective cooperative be registered
with CDA?
At least 25% of authorized share capital
When does a cooperative formed and organized under Cooperative Code acquire a
juridical personality?
From the date of issuance by CDA of Certificate of registration under its official seal.
What is the minimum paid-up capital before a prospective cooperative is registered with
CDA?
At least 25% of the actual total subscription or 15,000, whichever is higher.
Articles of Cooperation
It refers to the document signed and acknowledged before a notary public by the
organizers of a cooperative that will be filed to CDA in order for the prospective cooperative to
be created
What is the minimum years of operation of a single-purpose cooperative in order to
transform into a multipurpose cooperative or in order for a single-purpose cooperative to
create a subsidiary cooperative?
At least two (2) years of operations.
What is the maximum term allowed for members of the Board of Directors of a
cooperative?
Two years
Any registered cooperative may resolve to divide itself into the two (2) or more
cooperatives upon securing approval of?
¾ of all members with voting rights
A special meeting may be called through a written request by?
At least 10% of the total members
What is the limit of ownership that a member in a primary cooperative may own?
At least 25% of the total members entitled to vote.
Which is the governing body of cooperatives?
Cooperative Development Authority
