Employee Ownership Incubation

Discover how our Employee Ownership Incubation program empowers marginalized communities by transforming visionary ideas into thriving, employee-owned cooperatives. From initial concept to sustainable operation, we provide comprehensive support to foster economic resilience and equity.

What is Employee Ownership Incubation?

Employee Ownership Incubation refers to the structured process of guiding and supporting the development of new employee-owned businesses, known as cooperatives. This approach is particularly effective in empowering marginalized communities by fostering economic resilience and self-determination.

Why Choose Employee Ownership Incubation

Empowering

Employee ownership incubation provides businesses with the tools and support needed to create a cooperative, ensuring shared decision-making and long-term sustainability.

Access to Capital

Securing funding is often a challenge when creating a cooperative. Incubation programs assist businesses in raising capital through cooperative-friendly lenders and strategic financial planning.

On-going support

Employee-owned businesses benefit from ongoing technical assistance, training, and networking opportunities, which contribute to long-term success and resilience, especially during economic fluctuations.

The Coop Incubation Process

At RMEOC, we follow a structured process to incubate cooperatives effectively:

Exploration and Feasibility Study

Exploration:

Initial Consultation: Engage with interested parties to discuss the concept of employee ownership and assess its suitability for the business or community.
Owner Interview & Assessment: Gather detailed information about the potential business operations, and goals.
Workshop on Key Concepts: Introduce essential principles of employee ownership to stakeholders, fostering understanding and interest.
Evaluation of Fit: Determine the alignment of employee ownership with the group's objectives and decide whether to proceed to the feasibility phase.

Feasibility Study:

Preliminary Financial Analysis: Conduct an initial assessment to evaluate the financial viability of the cooperative model.
Comprehensive Feasibility Study: Perform an in-depth analysis, including industry and market assessments, organizational and technical evaluations, and detailed financial projections.
Duration: This phase typically spans 1-3 months.

Community Organizing and Recruitment

Identify and engage potential worker-owners and community allies.
Conduct outreach through meetings, educational events, and one-on-one conversations to build interest and alignment.
Develop leadership within the cooperative by encouraging democratic participation from the start.
Establish a core group committed to moving forward with the incubation process.

Coop Education

Employee Ownership Trends: Educate stakeholders on the current landscape and benefits of employee ownership in the U.S.
Legal Models & Governance: Discuss various legal structures and governance models suitable for cooperatives.
Financial Training: Provide training on financial management, including open book management practices.
Capital Raising Strategies: Explore methods for raising capital to support the cooperative.
Building Democratic Workplace Culture: Offer guidance on fostering a democratic and collaborative workplace environment.
Conflict Resolution: Equip members with tools and techniques for effective conflict resolution.
Bylaws and Operating Agreements Overview: Review the cooperative's bylaws or operating agreements to ensure clarity and compliance.
Duration: This educational phase generally takes 1-3 months.

Legal Filing and Financing

Collaboration with Legal and Financial Experts: Work alongside attorneys and certified public accountants experienced in employee ownership to finalize the cooperative's structure.
Implementation of Legal Structure: Execute the agreed-upon employee ownership structure, roles and responsibilities as necessary.
Commencement of Operations: Worker-owners begin operating under the incubated cooperative.

Coop Launch

Mission Accomplished: Celebrate the successful creation of the cooperative, acknowledging the efforts of all involved.
Ongoing Support: Provide continuous support to ensure the cooperative's sustainability and growth.
Community Engagement: Encourage active participation in the broader cooperative community to share experiences and resources.

Schedule a Consultation

Share Your BIG Idea

Do you have a visionary concept for a community-owned or employee-owned business that can benefit the entire community? Share your BIG ideas with us. We are committed to creating a more just and equitable economic system that works for marginalized communities.

Schedule a consultation with us to explore how we can support your journey.

Schedule a consultation