At Co-op Cincy, we are determined to collectively create an economy that works for all, especially for those who have been historically excluded. We envision having 80,000 worker-owned jobs in this region in 50 years. We imagine thriving communities where everyone has access to affordable housing. We picture people creating the world we all want to see, a world based on solidarity that recognizes in our bones what Rev Dr. Martin Luther King Jr says so beautifully: “We are caught in an inescapable network of mutuality tied in a single garment of destiny.”
How can this come to be? What gives us hope and a blueprint for action? Several things:
Mondragon serves as a guiding light and a proven example of what is possible, showing us how an interconnected community of worker-owned co-ops can truly move the needle on poverty, unemployment, and inequality. This was highlighted in a recent Bloomberg article and podcast titled, "How a Worker-Owned Business Model in Spain Is Keeping Inequality in Check."
U.S. history points to what is doable, to how cooperatives can solve significant problems and scale! Rural electric cooperatives, owned by rural residents, electrified 75% of the United States! Member-owned credit unions, which offer affordable financial services, have more than 110 million members! They have specialized in making affordable financial services available to all income levels, with a particular focus on those with low incomes.
Additionally, there is a remarkable, centuries-old history of collective and cooperative mutual aid efforts among African Americans, one detailed by Jessica Gordon-Nembhard in her book Collective Courage. This history has led to important opportunities for people who have been excluded, enabling them to create structures for participation, problem-solving, education, training, and wealth-building.
Collective action is alive and well. Movements for civil rights, labor, environmental, and social justice are helping to remove structural barriers and open up new possibilities. Here are two articles about just a few of the victories from 2022. This one focuses on climate victories.
At the moment, Co-op Cincy has 4 strategies to move the needle on poverty and inequality, broaden ownership, and create thriving communities:
1. Help business owners sell their businesses to their workers
Around 2/3 of all private businesses are owned by baby boomers, many of whom are in the process of retiring or are nearing retirement. As a result of this wave of retirements, 80 percent of these businesses are at risk of shutting down. This could be a significant opportunity to transfer wealth and broaden ownership.
Through our Business Legacy Fund, we have partnered with Seed Commons, a national network of non-extractive loan funds, to create a multimillion-dollar fund for small- and mid-sized businesses. In 2022 we transitioned 2 companies: Shine Nurture Center, whose owner was ready to move on to their next adventure while preserving their legacy, and Heritage Hill, a Black apparel company whose founder wanted to expand ownership while continuing to work in the business. In 2023, we expect to transition many more businesses.
How you can help: Do you know any business owners retiring who would like to receive fair-market value for their company while selling to their employees and preserving their legacy? Or business owners who would like to continue working but also to expand ownership and further distribute responsibilities and rewards while receiving a fair price for the business? More info on our Business Legacy Fund here.
2. Support start-up co-ops
Over the years, we have upped our game in helping start-ups verify their assumptions while defining viable business models and shared ownership structures. Last year, several new co-ops came into existence or restructured themselves in impactful ways as a result of our 14-week Co-op U experience. This year we will be releasing our Co-op U Manual as a resource. We will also be working with 10-20 new teams of people who are seeking to bring a co-op business to life.
How you can help: Do you have a desire to think creatively and problem-solve? To give feedback and mentor new co-ops, helping them become the most impactful and feasible version of themselves? Connect with us if this sounds interesting to you! You can email kristen@coopcincy.org.
3. Support our existing co-op network
Worker-ownership can grow with the co-ops in our network. We provide support for culture building, financial literacy, business analysis, and business planning for the 13 worker-owned co-ops in our network. We also help worker-owned co-ops solve challenges, access financing, and grow. In addition, we offer them training via our Cooperative Management Certificate, which is provided in partnership with Xavier University’s Leadership Center.
How you can help: We have so many innovative co-ops confronting a variety of challenges. Do you want to help two BIPOC-led co-ops solve food distribution to underserved areas experiencing food insecurity? Do you want to support new worker-owners in building their tech skills? Do you like to document systems? There are an infinite number of volunteer opportunities with our existing co-ops!
Consider how your purchases can support an inclusive economy where everyone shares in ownership. Consider patronizing our co-ops. You can find them via our Co-op Overview page, which includes a Co-op Directory. A helpful guide to local Black-owned businesses can be found here.
4. Supporting policy, network, & social movements
Policy can enable a more inclusive and equitable economy–or thwart it. Legislation led to the flourishing of rural electric co-ops and credit unions. Climate-smart, democracy-enhancing legislation for shared ownership and equity can make a difference.
Similarly, participation with networks of co-ops of all kinds–and to social movements, including labor–synergistically multiply our efforts.
How you can help: Do you have a passion for policy? Do you enjoy serving as a bridge between different movements and efforts? Do you like to organize convenings that break down silos and deepen connection and collective power? Reach out and connect with us! You can email kristen@coopcincy.org.
To move the needle on poverty and wealth inequality in Cincinnati, we need your help! Collectively we are powerful!