Seven Internationally Recognised Co-operative Principles

The Co-operative principles are guidelines by which co-operatives put their values into practice

1. Open and voluntary membership.
Anyone should be able to become a member, with no discrimination on grounds of race, religion, sex, age, etc.
Obviously in a workers' co-op this applies only to those employed by the co-op. There should not be one class of worker members and another of employees who are barred from membership either by official policy or informal pressure (though there may be a probationary period before new workers can apply for membership and not everyone may wish to apply).

2. Democratic Member Control
Co-operatives are democratic organisations controlled by their members who actively participate in setting policies and making decisions. In primary co-operatives members have equal voting rights (one member, one vote). Some workers' co-ops like to make decisions by reaching a consensus rather than actual voting, in which case everyone must have the opportunity to have an equal say. Co-ops may also choose to delegate certain day-to-day powers to individual members or groups of members who are accountable to the membership.

3. Member Economic Participation
Members contribute equitably to, and democratically control, the capital of their co-operative business. The capital comes not from dividend bearing shares but from loans, often fixed term and always repayable at a previously agreed rate of interest. Members allocate surpluses for any of the following purposes developing their co-operative, 'setting up reserves, part of which at least would be indivisible; or supporting other activities approved by the membership. In addition part of the profits may be paid to members as a bonus.

4. Autonomy and Independence Co-operatives
are autonomous organisations controlled by their members. If they enter into agreement with other organisations, including Governments, or raise capital from external sources, they do so on terms that ensure democratic control by their members and maintain their co-operative autonomy.

5. Commitment to Education, Training and Information
Co-operatives have a commitment to members' personal development and to the development of the co-operative movement and wider society. Co-operatives provide education and  training for their members, elected representatives, managers and employees so they can contribute effectively to the development of the co-operative.

6. Co-operation Amongst Co-operatives
Co-operatives serve their members most effectively and strengthen the co-operative movement by working together through local, national, regional and international structures.
Where appropriate co-operative businesses inter-trade.

7. Concern for Community
Co-operatives work for the sustainable development of their communities through policies approved by their members.