FINANCING


Once you decide that you want to start a co-op, just like any other business model you will need to find ways to finance your cooperative.

In Manitoba, co-ops can be incorporated either with or without share capital. Each structure offers different options and benefits for raising money or carrying on operations. For the most part, which form to choose will be decided based on the purpose of the co-op and what types of financing are required.

Some questions to consider when deciding whether to incorporate with or without share capital may be:

  1. Will the co-op need to purchase equipment, land or other assets before being able to start operations?
  2. Will the co-op have to purchase supplies or maintain inventory on an ongoing basis?
  3. Will the co-op need working capital during start-up or in the early project stages?
Some other ways to finance your co-op include offering investmentsdebt financing and grants.

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