You learn a lot by starting a business. By creating a co-operative that’ll operate in an Indigenous community, you learn even more, because of the unique policy environments and regulations you have to navigate. At Co-operatives First, we help you through this start-up process and find the answers you need. Plus, you can learn from those who have walked that path before you.
Our Indigenous clients often ask: How do we work with the Band? What funding is available to an Indigenous co-op? How do we reflect our values in a colonial business model like a co-op? We recently partnered with the Johnson-Shoyama Graduate School of Public Policy to create case studies of Indigenous-owned co-operatives as part of their Indigenous Leadership, Governance and Development Project.
These two case studies include:
- the Kici Anishinabek Kananakachiwewat Community Service Cooperative (KAKC); a co-op of Elders from the Cote First Nation who offer cultural programming and language education with a goal of preserving the Onakawawin language and traditions.
- The Ile-a-la-Crosse Co-operative Association Limited; a co-operatively-owned grocery store located in a northern Métis community that seeks to enhance food security and job creation.
Both co-ops are trailblazers in their use of co-ops to address local problems. And the five lessons they learned during their start-up journey offer valuable insight for any new co-operative.
1. Integrate Traditional Values
Creating an incorporated business, like a co-operative, offers groups a lot of benefits for fundraising and formalizing partnerships. And using a model like this doesn’t mean you can’t integrate traditional values and ways of knowing. The KAKC drafted their incorporating documents to include their traditional language and preferred methods of decision-making. In particular, the co-op’s legal name and the board’s officers (president, treasurer) include the Onakawawin language, membership is open and inclusive of those who can use the co-op and contribute to its work, and the co-op is member-directed, allowing for self-determination in their work.
2. Separate Business and Politics
A common recommendation in Indigenous economic development is to separate business from politics to prevent political interference in a company’s operations. Becoming an incorporated business – like a co-operative – helps achieve this.
By incorporating their businesses, both co-ops ensured they were operationally and financially independent from elected officials. However, local government support can be important for a project’s success, so you don’t want to cut off that relationship. The Ile-a-la-Crosse Co-op allowed local government officials to sit on their incorporating board. This relationship kept the Village appraised of the co-op’s progress and provided valuable leadership to the co-op’s team.
3. Find your Supporters
Both co-operatives relied on strategic supporters who contributed funding and technical advice that helped them move their projects forward. The KAKC relied on the Yorkton Tribal Council for financial support and connections to service providers. The Ile-a-la-Crosse Co-op received support from a network of regional organizations like the Primrose Lake Economic Development Corporation and the Beaver River Community Futures. Doing some research to find out what supports are available to a new business can pay off.
4. Identify a Site Early
Finding a space for your co-op to operate is an important start-up step. Finding a site that meets your co-op’s needs and financial capacity can delay a project. Plus, lengthy negotiations with local government regarding zoning, servicing, or tax breaks can result in further delays. And, if your co-op intends to operate on reserve land, you may need additional approvals from your band council. To ensure you get the space you need, start looking for a site sooner than later.
5. Work with Experts
Your co-op’s founding members will bring a diverse set of skills to the table that will help your co-op be successful. But you probably won’t have all the accounting, legal, and planning expertise that you’ll need to finish the project. Both co-ops we studied worked with experts to move their projects forward. This included free from organizations like Co-operatives First or Community Futures as well as contractors who provided bookkeeping services and consultants who helped with business planning.
Get Started
If you’re interested in starting a new co-operative or learning whether a co-op is the right fit to solve the problem you’re facing, Co-operatives First can help. Our team of experts will walk alongside your co-op to remove barriers to your start-up journey.