The 7 Co-operative Principles: What They Mean and Why They Matter
The 7 Principles of Cooperatives
These principles guide co-ops around the world. But they’re often misunderstood.
They were first written down in 1844 by The Rochdale Pioneers (a group of working-class weavers in Rochdale, England).
The principles have evolved since, but their core purpose remains: to guide cooperatives toward fairness, democracy, and shared ownership.
Here’s what they really mean.
1. Voluntary and Open Membership
- Anyone can join, regardless of background, identity, or status.
- There are no private clubs here (no gatekeeping based on wealth or influence).
- Open membership doesn’t mean passive. Participation is expected.
- Co-ops are built by those who show up.
2. Democratic Member Control
- One member = one vote (Instead of one share = one vote). No buying extra power.
- This applies to big decisions, board elections, and policies.
- Leadership is accountable to the members (not shareholders or outside investors).
- But democracy only works if people engage. Silence hands power to the few.
3. Member Economic Participation
- Members contribute fairly and control the co-op’s capital.
- Surpluses are used to grow the co-op or support members and the community.
- You don’t get paid just for investing, you earn through participation.
- It’s a system where effort counts more than capital.
4. Autonomy and Independence
- Co-ops are self-governing and member-controlled.
- Any deals made with outside partners must preserve the co-op’s independence.
- That includes banks, charities, or the state.
- It’s about staying rooted in community, not becoming a corporate puppet.
5. Education, Training, and Information
- Members, leaders, and staff all need to understand how co-ops work.
- Education isn’t optional, it’s essential for good decisions and long-term success.
- Co-ops also teach the public about cooperation, justice, and shared ownership.
- A co-op that stops learning stops evolving.
6. Cooperation Among Cooperatives
- Co-ops support each other across sectors and regions.
- It’s not competition, it’s coordination.
- Working together strengthens resilience, bargaining power, and shared culture.
- Federations and networks are what take co-ops from local to systemic.
7. Concern for Community
- Co-ops don’t just serve members, they support the wider community.
- This could mean local investment, social services, environmental care, or mutual aid.
- It’s not charity. It’s recognition that no co-op survives in isolation.
- The stronger the community, the stronger the co-op.
Why These Principles Matter
They’re not just nice values.
They’re structural safeguards, designed to prevent co-ops from becoming just another business.
But they only work if people understand them.
Spread the word. Use them well. Build something better.