NUTS &

BOLTS
How to Start a Food Co-op

by AMY COYLE

the conservative
co-operative
movement
© Amy Coyle 2007

Published by e Conservative Co-operative Movement

ISBN 978-0-9550709-3-8

Designed by SoapBox, www.soapboxcommunications.co.uk

Printed on recycled paper

IMPortANt NotICe
As the reader will discover, co-ops are weird and wonderful things. I am a mad
enthusiast for co-ops, but—I want to stress—not a great expert on them. is is not a
technical manual, but a ground-level how-to guide designed to get more people as
excited by and interested in them as I am.

Crucially, this short book is absolutely not a replacement for expert advice. ere are lots
of important issues that we only touch on here, and others that are not discussed at all,
such as those concerning VAt and data protection. In practice these are not as
frightening as they look on the page. But they need to be addressed.

is guide is meant to explain a bit and, hopefully, inspire a lot. ere are so many
examples of successful co-ops, here in Britain and around the world. But none of them
has done it alone. Whether it be via private professionals or through national
organizations such as Co-operativesUK or VirSA, the would-be co-op entrepreneur
should seek professional guidance and, in particular, legal advice.

2 NUTS & BOLTS

Contents

ABOUT THE AUTHOR 4

ACKNOWLEDGEMENTS 5
INTRODUCTION by Jesse Norman 6

CHAPTERS
1. So You Want to Start A Co-op 8
2. What Is A Food Co-op? 10
3. e Co-op: A British Invention 14
4. Co-operative Principles 20
5. Co-ops In Action 23
6. G-r-o-W-I-N-G: Seven Steps to Success 28
7. How Not to Fail 56
8. Final oughts 60

NUTS & BOLTS NOTES

1. Holding Successful Meetings 62
2. How to be a Good Meeting Facilitator 64
3. responsibilities of the Steering Committee 64
4. A Short Guide to Consumer Co-op Membership 66
5. A Possible Membership Structure: e Blockley Co-op 68
6. e Board of Directors 69
7. Incorporating your Co-op 71
8. Synopsis of Industrial and Provident Society Co-op rules 76
9. estimating Start-up Costs 77
10. Member Loans 78

APPENDICES
1. National Co-op organisations 80
2. UK Food Co-op and related organisations 82

NUTS & BOLTS 3

About the Author

AMY COYLE first learned about co-ops as a child growing up in

Maine. She graduated summa cum laude from Bowdoin College, took
a law degree at the University of Virginia, and then got bored to death
practising law in New York and London. redemption began when she
got married, had three children and moved to Gloucestershire.
researching and writing this book has been the next stage.

4 NUTS & BOLTS

Acknowledgements

e author would like to thank the following indispensable people:

: My editor and brother-in-law Jesse Norman, whose passion for

the co-op model continues to inspire. ank you for involving me
in this fantastic project;
: Simon randall CBe of Lawrence Graham LLP, our legal angel,
without whom our "nuts" would have no "bolts";
: e Steering Group of Conservative Co-operative movement; and
David Bean and other friends for their help in compiling the
appendices;
: Karen Zimbelman, my mentor, who wrote a brilliant book in
America entitled "How to Start a Food Co-op: A Guide from the Coop-
erative Grocers Information Network" on which much of this book is
based. She was endlessly generous with her time and her informa-
tion. Karen is the rochdale Principles in human form;
: Steve Garrett of the riverside Community Market Association in
Cardiff, John Vetterlein of Fruity Nutters in Southampton, as well
as Pepper Bush of the Belfast Co-op in Maine, U.S.A. ese men,
like Karen and many other people whom I have not named here,
spent hours of their free time sharing the nuances, successes and
failures of their projects with me;
: Finally, my greatest thank-you is reserved for my husband, Casey, who
supported me in every aspect of this book's creation. It is worth
mentioning that initially Casey said I didn't need to do any research for
this book, since I already knew all I needed to know about food co-
ops from our life together at home: I give him food and he co-operates!

Good luck!

NUTS & BOLTS 5

Introduction
Jesse Norman, Chairman, Conservative Co-operative Movement

WELCOME TO THIS, the first publication of the new Conservative

Co-operative Movement. rather fittingly, it concerns that most basic
of human needs, how to source and provide good food.
Amy Coyle has written a wonderful book about the nuts and bolts of
setting up a retail food co-op, from the initial idea to the grand opening,
covering all the practical issues the would-be co-operator is likely to
face—and a great deal more besides. And at the back you will also find
a terrific directory of food co-ops and related organisations.
Food is one of those issues on which the British public seems to
reserve the right to believe several contradictory things at the same
time. It wants inexpensive food, but also a flourishing rural
economy—ignoring the fact that low retail prices push farm revenues
down. It wants variety, but also low "food miles"—ignoring the fact
that asparagus in January must come from abroad. It wants vibrant
high streets, but also easy access and parking—ignoring the fact that
out of town shopping malls often undermine local shops.
Local food co-ops offer an alternative approach to this super-
market-dominated model. ey support local growers and provide
good affordable food. ey protect the environment. And they build
local communities, not an impersonal retail monoculture. If you don't
believe it, look at the Park Slope co-op in New York City, which has
12,000 members, a 75% volunteer work force—since all members
must work in the co-op—and a 20%+ discount on food prices to
members. at's a prize worth fighting for.
But at a deeper level Nuts and Bolts is about much more than food.
It is about developing new grass-roots organisations, breathing life
into moribund communities, and empowering people to take control
of their own destinies.

6 NUTS & BOLTS

 At root there is a deep argument here about the nature of the indi-
vidual. Are humans most fulfilled when they are active or passive? Is
human happiness a matter of mental states, of the reception of
pleasant sensory inputs, or is it a matter of personal engagement and
personal achievement?
Co-ops are no panacea. But within this argument, they fall
squarely on the side of the active individual. As with any entrepre-
neurial activity they involve risk and the commitment of capital,
energy and love. But more than this, they do not merely cater to
people as consumers, but often make demands on them as members.
eir flat ownership structures give them an intrinsically democratic
character, and an often robust internal debate. And they operate
within a clear ethical framework set out by the rochdale principles.
All of which stand as a corrective to the passivity which politicians
and economists too often assume to be the keynote of our human
nature.
is is a book about food. But the co-op model can be developed
far more widely even than in the UK, as other countries have shown.
e Conservative Co-operative Movement has been set up to explore
how co-ops, mutuals and other forms of shared ownership can be
extended into the public services, in areas such as education, social
services and the benefits system which rely so much on personal
engagement and the human touch. As many people have noted, there
is a huge need to think more creatively about how to deliver these
services, and that is our long-term goal.
I very much hope you enjoy this book. If you would like more informa-
tion, or to join the CCM, please email me on jesse4hereford@gmail.com,
or visit www.conservativecoops.com.

NUTS & BOLTS 7

1.
So You Want to Start a Co-op

CO-OPS ARE GREAT. A successful co-op is a huge asset to its

community and very rewarding to its members. A co-op gives people
from all walks of life a way to get something we all want: better food.
Good, fresh, local food at a reasonable cost. of course many parts of
this country have good fresh food, but it isn’t always easy to find and
it isn’t always easy to afford. often it is available only to those who are
lucky enough to have the time and money to shop at farmers’ markets
and speciality food shops, while the rest of us have to spend our time
and money looking for good local food on the shelves of huge super-
markets.
But it doesn’t have to be this way. It is time for us to reclaim our
food heritage. everyone should be able to eat well without paying a
premium price. Farmers should be supported and properly paid for
what they bring to our tables. Why eat apples imported all the way
from New Zealand when you can eat delicious local apples from Here-
fordshire? Why buy beef from Argentina or
Australia when you can get better meat from the
farmer a few miles away? Local food is better
for our families, better for our farmers, better
for our economy and ultimately better for
our environment. If we can shake off our
addiction to “supermarket culture”,
there is a better way to shop and eat.

8 NUTS & BOLTS

 Co-ops are not new—far from it. ey have been around for well
over a hundred of years; indeed they were invented in this country.
everyone knows tHe Co-op, one arm of which runs a large super-
market chain, and another the Co-op bank. But this book is not
about these organisations. It’s about how you and your friends can
start your own food co-op from scratch. It covers the key areas, from
first principles (What is a food co-op? and Why start one?) through
the historical background (Where did co-ops come from?) through
some case studies of co-ops in action, and ending up with all the
organisational and legal detail needed to get started. on the way
through we will cover a whole host of other stuff that we thought you
might find interesting, like how to organise a good meeting, how to
recruit members, and what the roles and responsibilities are of a
board of directors. We’ve also added appendices with further useful
information, including a long list of British co-ops and interesting
food-related organisations so you can see how much is already going
on here.
So let’s get started. What exactly is a food co-op?

NUTS & BOLTS 9

2.
What is a Food Co-op?

FOOD CO-OPS COME in different

shapes and sizes, and can serve
farmers, traders or the general
public. e kind of food co-op
we’re focusing on is a shop that is
owned and run by a group of
people (called “members”) for them-
selves, and for their community.
Unlike a normal grocers that operates exclusively to make money for
the person who owns it, or a large supermarket chain that tries to
maximise its profits for shareholders, a co-op returns any surplus it
makes back to its members after reinvestment of funds in future
growth. typically, it does this through discounted prices on the items
in the shop, but in some cases it also gives back a percentage of the
annual profits to members. Co-ops today typically offer between 2%
and 25% off the retail price of all groceries purchased by members.
In many ways, a co-op is like any other retail business and it faces
normal retail running costs and concerns. However, unlike other
retailers that minimise those costs in order to maximise corporate
profits, co-ops find ways to minimise those costs so that they can
maximise benefits to its members.
ere are several ways that they do this, while still remaining finan-
cially solvent and generating a surplus. e first is the power of bulk
purchasing. e economics are basic: the greater the number of people

10 NUTS & BOLTS

who pool their money together, the bigger the discount. on our own
you or I might be able to afford, say, a bag of apples. But if we join
together with a group of friends and then pool our money, together we
can buy boxes of apples at a good discount. A co-op just does this on a
bigger scale. It uses its purchasing power to bulk buy groceries, then
passes the savings in lower food prices, and finally returns any surplus
back to its members, or reinvests them in the co-op itself.
often co-ops are also able to cut costs by using volunteer labour.
Again, the idea is simple. If members contribute a certain number of
hours per month to working in the co-op, the co-op needs fewer paid
employees. e savings in salary can then be passed back to the
members in the form of cheaper food at the till. Depending on their
abilities, volunteers can do everything from stocking shelves or
driving delivery vans to donating professional services such as book-
keeping. In other words, any service a member can offer, and that the
co-op needs, can generate savings. Not only does this lower the co-
op’s running costs, but it also strengthens the community around the
co-op by getting members directly involved in the business. ey
become more than just customers, and therefore more deeply
involved with the co-op and with what it is trying to achieve.
“Why on earth do we need another food market when we already
have a tesco or Sainsbury’s or Asda or Waitrose just down the road?”
you might ask. “And how could you beat their prices, anyway?” e
answer is that you cannot compare supermarkets to co-ops. Super-
markets are impersonal national chains, which sell food flown or
trucked in from anywhere on the globe. Co-ops are local shops selling
local food at good prices, protecting the environment and building
their communities.
In other words, a food co-op isn’t just a grocery. Around the world,
the food co-op movement has been as much about community
building as about cheaper and better food. e movement began as
a way to provide good quality food at a reasonable price to those who
had limited access to it. As the movement has grown other consid-

NUTS & BOLTS 11

erations have become equally important, such as protecting the envi-
ronment and building the local community.
But the real point is that co-ops offer real benefits to the communities
they serve. In a world that is constantly taking power away from people,
co-ops give power back. ey empower people within their own
communities. All co-op members, rich and poor, are equal members
(unlike shareholders) of their co-op. ey work together side-by-side on
equal terms. each has a voice and an important influence over the
governing structure, and all major decisions are made or approved by
them at general meetings at which each member has one equal vote. In
addition, each member has an equal opportunity to be on the Board of
Directors or other governing body of the co-op. together the members
decide what to stock on the shelves, what to charge for it, how members
can help and what time of day the co-op should open and close. You
simply can’t compare a co-op to a supermarket chain, because members
don’t just shop in a co-op, they are the co-op.
Co-ops can also play a directly social role. often a co-op becomes a
genuine community centre. Many co-ops hold workshops, classes, social
and cultural events as additional benefits to their members. Many
contain coffee shops or small restaurants where customers can meet and
chat. e ideas of equality, community and personal contact are funda-
mental to the co-op movement. Few people would donate their time free
of charge in a shop where all the benefits go off to some distant corpora-
tion, but many will roll up their sleeves and get involved with a place that
offers them and their community a chance to improve their lives.
In its Manual of Membership, the Park Slope Food Co-op of New
York puts this point succinctly:

Since 1973 the Park Slope Co-op has been providing Brooklyn and
beyond with quality food and products while serving as a community
centre and meeting place for its member-owners: people who believe
in the responsibility, value and rewards of collective labor, action and
ownership. By taking consumer control away from corporations and

12 NUTS & BOLTS

 putting it into the hands of our community, the Co-op has been able to
make healthy, affordable food available to its members. …When you
walk into a traditional supermarket, you are walking into someone
else’s store. When you walk into the Park Slope Food Co-op, you are
walking into your own store. As members and owners, we hope that
your involvement means taking pride in the Co-op.

Co-ops also benefit food producers, by providing retail outlets for

local farmers and other food suppliers. ey allow farmers to focus
on farming, rather than retail. ey can provide bigger, more perma-
nent and steadier markets for a farmer’s goods than a simple farm
stall or a stand at a farmers’ market. By selling through a co-op, a
farmer gives up some margin but can avoid the high overheads and
many hours required to sell through such small outlets. For a food
producer, a co-op can offer all of the benefits of a corporate super-
market (consistent regular contracts with negotiated volumes and
margins) as well as the ethical benefits of selling through a non-corpo-
rate venue to their own community—and save margin by cutting out
the middleman. In other words, it is a chance to sell more with less
effort and less cost to themselves. By making such products easily
and regularly available, co-ops also respond to and boost interest in
the community for locally produced goods. is all serves to increase
the demand for good local food within the local community.
of course, on the outside, a co-op is also running a business and faces
normal business concerns. It must be efficiently run, it must pay for itself
and grow to survive, and it requires a lot of planning and a lot of hard
work. Co-ops are not immune to the economic and market forces of the
real world. However, on the inside and at their core, co-ops are quite
different from other businesses. eir members own them. ey are
democratically controlled and run and, critically, they exist for the mutual
benefit of their members and their communities, rather than for the
benefit of a global supermarket corporation and its shareholders.

NUTS & BOLTS 13

3.
The Co-op: A British Invention

RECLAIMING THE UK’S food heritage doesn’t just mean

sourcing and eating good British food. Although co-ops thrive around
the world, their presence in this country is in fact still quite patchy.
But originally the first successful co-ops were developed in the UK.
Co-ops are a British invention, and the UK is the official birthplace of
the entire co-op movement. Co-ops themselves are a massively
undervalued part of our history and heritage.
History credits a Welshman, robert owen (1771-1858), as the founder
of the co-op movement. He took what had previously been a purely
theoretical idea and turned it into an actual organisational force for
social good. e son of an ironmonger who made his fortune in the
cotton trade, owen believed in putting his workers in a good environ-
ment with access to education, both for themselves and their children.
ese ideas were put into effect successfully in
several cotton mills in Scotland. It was there that
the first co-operative shop was opened. Spurred
on by the success of this, he had the idea of
forming “villages of co-operation” where
workers would lift themselves out of
poverty by growing their own food,
making their own clothes and ulti-
mately becoming self-governing. He
tried unsuccessfully to form two entire

14 NUTS & BOLTS

such communities: one in Scotland and the other in the United States.
robert owen’s intellectual successor was Dr William King (1786-
1865) who took these ideas and attempted to make them more
practical. King believed in starting small, and realized that working
people would need to set up co-operatives for themselves, so he saw
his role as one of instruction. He founded a monthly periodical called
e Co-operator, the first edition of which appeared in May 1828. e
Co-operator mixed co-operative philosophy with practical advice on
how to run a shop using co-operative principles. King advised people
not to cut themselves off from society, but rather to form a society
within a society, and to start with a shop because, “We must go to a
shop every day to buy food and necessaries—why then should we not
go to our own shop?” He also proposed sensible basic rules for the
organisation of such a shop—including not having meetings in pubs
to avoid the temptation of drinking the profits!
Co-ops finally achieved lasting success with a group of poor weavers
in Lancashire who joined together to form the rochdale equitable
Pioneers Society in 1844. e rochdale Pioneers, as they became
known, were facing financial ruin in the wake of the industrial revolu-
tion that was putting them out of work. ey decided to band together
and open their own shop that would sell items that they could other-
wise not afford, such as sugar, butter, flour, oatmeal and candles. over
the period of four months they struggled to pool together one pound
sterling per person for a total of 28 pounds sterling for starting capital.
Within three months of opening they had expanded to include tea and
tobacco. ey were so successful that eventually they were able to
establish a co-operative factory and textile mill. ten years later, the
British co-op movement had grown to nearly 1,000 co-ops. rough
the success in rochdale people saw how they could improve their own
lives and their own communities by establishing a co-op.
one such man was Horace Plunkett, who in 1889 founded a butter-
making co-operative in his native Ireland. Despite a rocky first few
years, by 1894 Plunkett had enough support to found the Irish Agri-

NUTS & BOLTS 15

cultural organisation. By the end of the 1890s, the IAo had 243 affil-
iated co-operatives. As the MP for Dublin South Plunkett then went
on to lobby for better agricultural administration, and ultimately
create his own foundation. e Plunkett Foundation still exists and is
in fact a great resource for those hoping to form a rural agricultural
co-operative—further details can be found in the Appendix 1.
e birth of the co-op movement was not just a matter of
economics, but of the search for a better life. right from the outset,
in 1844 the rochdale Pioneers outlined a set of ideals now known as
e rochdale Principles, which remain highly influential throughout
the co-operative movement. ey are the philosophical foundation of
every co-op existing today: reliable quality, fair prices and honest

Case Study: THE HANOVER CONSUMERS’ CLUB

Historically, co-ops have often been formed in the face of great economic hardship.
In the mid-1930s in Hanover, New Hampshire times were very hard due to the
Great Depression. Families struggled to make ends meet and fresh fruit and
vegetables were either of poor quality or expensive luxuries. In 1935, 17 residents
of this small and remote community gathered in the local school to discuss the
idea of starting a consumer co-op. e co-op would help them reduce their
grocery costs and would enable them to purchase products that were otherwise
unavailable. In January 1936 the group formally established the Hanover
Consumers’ Club and started buying fresh citrus fruit directly from Florida. Any
savings were shared among all group members. Before long, the group also nego-
tiated discounts for members on bread, wine, canned vegetables, petrol and fuel
oil. e group continued to grow and within a year had to move into a retail loca-
tion. Its first year sales were $11,400. today the Hanover Co-op operates two
supermarkets, a full-service petrol station, and a general store. It employs over
300 people and serves 20,000 member households (with 31,000 individual
members). In 2001, total sales reached more than $42 million.

16 NUTS & BOLTS

dealing. While they have expanded over the last one hundred and fifty
years, in their essence they remain the same. What began as the
project of a small group of disenfranchised people seeking to help
themselves, spawned an entirely new way of doing business. A way
that put, and continues to put, power and money back into the hands
of ordinary people.
Historically co-ops have often been started in troubled areas, both
in the UK and abroad. Many of the earliest and most successful co-
ops began either during the Great Depression or in 1960s America at
the height of the Civil rights Movement.
e success of the Hanover Co-op (see box opposite) shows the
same historic pattern by which food co-ops evolved as a reaction to
food shortages. today, of course, co-ops in industrialised countries
are typically motivated more by a desire to source good food at
reasonable prices. But in almost all cases there is also an ethical
component: the desire to build a better life based on an idea of
community, personal empowerment and human contact.
In the UK, local food retail is clearly on the up. often branded
“social enterprises” or “third sector enterprises”, the market encom-
passes many models. Some are co-ops, some are farmers’ markets,
some are “box schemes” which provide boxes of fresh produce to
subscribers every week. In North Cumbria, for example, the rural
regeneration Unit, working in affiliation with the Countryside
Alliance and with funding from the Health Action Zone, have helped
to establish 37 small food co-ops. ey have plans to expand their
success in rhyl, North Wales and Blyth, Northumberland. While
these schemes are small, they are nonetheless of great interest, and
clearly show the latent appetite for co-ops.
A more established recent example in the UK is the riverside
Market in Cardiff. is is a fabulous weekly not-for-profit farmers’
market run on co-operative principles by a group of volunteers. over
30 regular stalls sell everything from home-made scotch eggs to local
whisky. riverside Market was started nine years ago by Steve Garrett,

NUTS & BOLTS 17

a local man who is passionate about bringing good local fresh food
to his community. Steve and a small group of activists started a
farmers’ market in a local park in an area of town which many people
believed to be full of gangs and prostitutes. e team volunteered
their time and managed a small monthly market. Despite a slow start,
they persisted and today the riverside Market has an estimated
annual turnover of £1m, all of which goes to the producers them-
selves. Not only that: it has been recently recognised by making it to
the regional final of UKtV’s Food Hero programme as well as being
runner up in the 2007 BBC radio 4 Food and Farming Awards (for the
second time).
e riverside Market is a shining example of what the passion and
persistence of a small group of committed individuals can achieve. It
is also an example of how well the needs of the British food producer
and the British food consumer can be met in a non-supermarket
venue. But it also runs many community outreach programmes,
including one which last year saw a local farmer bring a Holstein cow
to the playground of four local schools in order to show the children
where their milk comes from. e riverside team have also recently
leased five acres of local land which they will use as a market garden,
to boost the amount of fresh local vegetables available every week at
the market (this is in addition to the Community Garden they already
run which is both a social enterprise fostering a sense of belonging
within the community and a tool teaching locals how to grow their
own vegetables). Moreover, the volunteers who work in the garden
will be able to get proper horticultural qualifications for their work, as
they will be supervised by a garden manager. Another successful
offshoot has been a food co-op run by several local women who volun-
teer their time to sell fresh local food throughout the riverside area.
Why is a major rebirth of the co-op movement in the UK impor-
tant? Why hasn’t it already happened? ere are many reasons, but
by far the most important is the huge influence of mass supermarket
chains in this country. over many years the British consumer has

18 NUTS & BOLTS

been persuaded to care more about low prices for food than about its
quality, its environmental impact, its security and where it comes
from. Buying in a supermarket is a hermetically sealed experience,
which separates the buyer from the farm and from any consideration
of the impact on the world and on the wider food chain of ultra-low
farm prices. Local food co-ops, however, recreate these vital links
between consumer and provider, in addition to all their other bene-
fits. ey are thus a key step in the recovery of our collective wisdom
as a society about our food and where it comes from.
So far, successful food retail co-ops in the UK have tended to be
relatively small and limited in scope. Worldwide, however, it’s a
different story. It is estimated that 800 million people are members of
co-operatives, and that over 100 million people are employed by co-
ops. ere are over 300 major food co-ops in America alone. e
reason for this is that co-ops, as organisations, care about the people
who run them and the communities in which they exist. e co-op is
the people and the co-op is the community. All of the profits and
benefits that flow out of a co-op, flow back to its people and to its
community. In the words of Dr William King:

“We must go to a shop every day to buy food and necessaries—why

then should we not go to our own shop?”

It is time to re-introduce co-ops widely to their homeland and help

them to thrive at the same level they do in so many other parts of the
world. e interest is here, the food is here and the idea was born
here. Food co-ops should be everywhere and thriving in the UK.

NUTS & BOLTS 19

4.
Co-Operative Principles

IN 1995, THE International Co-operative Alliance, an independent

non-governmental association that represents co-ops and the co-
operative movement worldwide, codified the seven basic principles
that form the ideological outline for the creation of co-ops. ey are,
essentially, the rochdale Principles. While a co-op may take on a
variety of different organising structures, the governing principles
remain the same. two of the seven principles describe how a co-op
is owned, two describe how decisions are made and three list the ways
that co-ops can reach out to their communities.
e principles define the ethical basis that joins all co-ops together,
and they also constitute a common commitment made by all who set
up co-ops, and many related shared ownership organisations such as
mutuals and friendly societies. Here they are:

DEFINITION
A co-operative is an autonomous associa-
tion of persons united voluntarily to meet
their common economic, social, and
cultural needs and aspira-
tions through a
jointly-owned and
democratically-
controlled enterprise.

20 NUTS & BOLTS

VALUES
Co-operatives are based on the values of self-help, self-responsibility,
democracy, equality, equity and solidarity. In the tradition of their
founders, co-operative members believe in the ethical values of
honesty, openness, social responsibility and caring for others.

PRINCIPLES
e co-operative principles are guidelines by which co-operatives put
their values into practice.

1st Principle: Voluntary and Open Membership

Co-operatives are voluntary organisations, open to all persons able to use
their services and willing to accept the responsibilities of membership,
without gender, social, racial, political or religious discrimination.

2nd Principle: Democratic Member Control

Co-operatives are democratic organisations controlled by their
members, who actively participate in setting their policies and
making decisions. Men and women serving as elected representa-
tives are accountable to the membership. In primary co-operatives
members have equal voting rights (one member, one vote) and co-
operatives at other levels are also organised in a democratic manner.

3rd Principle: Member Economic Participation

Members contribute equitably to, and democratically control, the
capital of their co-operative. At least part of that capital is usually the
common property of the co-operative. Members usually receive
limited compensation, if any, on capital subscribed as a condition of
membership. Members allocate surpluses for any or all of the
following purposes: developing their co-operative, possibly by setting
up reserves, part of which at least would be indivisible; benefiting
members in proportion to their transactions with the co-operative;
and supporting other activities approved by the membership.

NUTS & BOLTS 21

4th Principle: Autonomy and Independence
Co-operatives are autonomous self-help organisations controlled by
their members. If they enter into agreements with other organisa-
tions, 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.

5th Principle: Education, Training and Information

Co-operatives provide education and training for their members,
elected representatives, managers, and employees so they can
contribute effectively to the development of their co-operatives. ey
inform the general public—particularly young people and opinion
leaders—about the nature and benefits of co-operation.

6th Principle: Co-operation among 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.

7th Principle: Concern for Community

Co-operatives work for the sustainable development of their commu-
nities through policies approved by their members.

When you consider that these seven core principles are the founda-
tion of every single consumer co-op from France to Finland, Nepal to
the Netherlands you realise what we meant earlier by saying that a
co-op isn’t just a shop but a way of life. It is the common creed world-
wide that all co-ops share a fundamental respect for human beings
and that they can improve themselves economically and socially
through mutual help. Because belief in these ideals of equality and
fairness are universal, the rochdale Principles bridge differences in
language, in culture, in politics, in class and in race, making them
welcome across the globe.

22 NUTS & BOLTS

5.
Food Co-ops in Action

WE’VE TALKED ABOUT what co-ops are, their history and

values, and why they matter. But before we get stuck into the detail,
let’s look at some examples of food co-ops in action.
one of the most celebrated co-ops in America is the Park Slope Co-
op in Brooklyn, New York. It is a fascinating success story but, as a
word of caution, it is something of a one-off in its structure and in its
extraordinary success. to many it represents the Shangri-la of the
food co-op world. at said, it is an excellent and instructive model
to consider. e Park Slope Co-op has over 12,000 members each of
whom pledges, as part of their membership commitment, to
contribute “sweat equity”. each member works for roughly three
hours once a month. each member attends training sessions to learn
their task, and they are deployed in small groups (called “squads”)
who work together regularly.
ese squads have a two-fold benefit. First, they create a bond
between squad members as they become familiar with one another,
and familiar with the task. Ideally, they
learn their job well, they
become friends, they
generate a nice working
environment and so they
perform as a team.
Second, they make the

NUTS & BOLTS 23

stigma attached to letting down any one squad-member that much
worse. Loyalty grows, to the task, to the squad, and ultimately to the
co-op. two of the greatest drawbacks of sweat equity are absenteeism
and poor job performance. At Park Slope, “bunking off ” or “taking a
sickie” aren’t really options. e social pressure is simply too great
and the penalties too high. For instance, if members miss a shift and
haven’t organised a replacement ahead of time, they are deemed to
owe the co-op double the time they missed—and they make it up.
Any member over the age of 18 must work at the co-op, which
means that within a member family every person over the age of 18
must do their hours. In the very egalitarian world of Park Slope, they
believe so firmly in the sweat equity component of membership that
even having a disability doesn’t excuse one from contributing.
everyone is equal, and everyone works.
e payoff is dramatic. Because of their huge membership rolls
and their massive volunteer labour force, Park Slope is able to offer its
members a 20-40% discount on their shopping, a level of discount
which is unheard of in more conventional co-ops (where the typical
rate of discount is often 2%). e Park Slope mark up is only 21% over
the wholesale price. is is possible because 75% of their work force
is voluntary. is makes their payroll costs so low that they are able
to reduce their prices significantly. In addition, their purchasing
power is massive—and of course for the members shopping there isn’t
just a convenience, it’s a lifestyle.
Not all co-ops are like Park Slope. By contrast, the co-op in Belfast,
Maine USA has had to move from a sweat equity model to one giving
members a 2% share in the annual profits—and abandon volunteer
labour. Absenteeism and poor quality help made it impossible for them
to meet their financial targets. In addition, unlike Park Slope, which is
a members-only co-op, Belfast like many others has found that to be
financially sound it has had to open its doors to members and non-
members alike. In Belfast, they don’t even charge a premium to
non-member shoppers. ey count on the year-end surplus scheme to

24 NUTS & BOLTS

give members the incentives they need to ensure their loyalty. And yet,
Belfast is a successful co-op with a very loyal and dependent client base.
e point is that each co-op must be different and, to succeed, co-
op’s must recognise and reflect the intrinsic differences in their own
cultures and in the communities they serve. e population of
Brooklyn, New York is 2,465,326. e population in Belfast, Maine is
6,381. e Belfast model works—in Maine. e Park Slope model
works—in New York.
And there are other successful models. An interesting hybrid is the
oklahoma Food Co-operative. is one relies almost entirely on volun-
tary labour and has no shop at all. It is, essentially, a virtual co-op.
Without a shop it carries no inventory and has no employees. Calling
itself an “order delivery system” the oklahoma Food Co-operative (‘oK
Co-op’) has created a type of marketplace that puts producers directly
in touch with consumers, cutting out “the middle man”. It is a bit like
a farmers’ market without the individual stands and overheads.
Members order their monthly shopping list via computer (or by post).
e ordering lines are open for a couple of days, and then promptly
close. e orders are distributed to the relevant farmers or producers
or suppliers who then, on an appointed day in the third week of each
month, come to oklahoma City to drop off their goods. Next, volun-
teers sort them out for distribution. e goods are then whisked away
to 17 distribution locations throughout the state. e oK Co-op acts as
the broker between the producers and the consumers.
e oK Co-op has 1,200 members, who have each paid $50 (about
£25) to join. ey charge the producers 10% to sell and consumers
5% to buy. is money pays the operating expenses and currently they
are doing roughly £20,000 per month in sales. ey have been running
for only three years, but sold roughly as much local food in 2007 as
they did in their first three years combined, so the early results are
encouraging. eir eventual goal is to have a neighbourhood okla-
homa Food Co-operative shop within bicycle-riding distance of most
households in the state.

NUTS & BOLTS 25

 Now a bit of theory. It’s helpful to think of co-ops as coming in two
basic varieties: we can call them the Conventional Consumer Co-op
variety and the Direct Charge Co-op variety. e difference is in the
weekly or monthly fee. In a Conventional Consumer Co-op there is
no regular charge, and members benefit from lower prices when they
use the shop. In a Direct Charge Co-op, members pay a regular fee
which helps to cover the fixed overhead. e prices of the goods on
sale in the co-op are then priced as close to wholesale as possible. e
goal of the Direct Charge model is to give members the benefits of the
co-op structure, plus the lowest possible prices at the till.
When a Direct Charge Co-op makes money, a portion of that
surplus is distributed back to the members, usually in proportion to
their purchases. e decision on what portion is paid back is made
after consideration of the portion required by the co-op for reinvest-
ment in the business (including paying down debt and expanding or
improving the facilities) and for working capital (in other words, to
pay current suppliers, staff wages and other short term costs). By
charging a regular fee, the Direct Charge Co-op aims to inspire a
greater degree of loyalty to the shop than a Consumer Co-op could
achieve. e idea is that by paying a few pounds regularly to shop
there, members and customers are unlikely to shop anywhere else.
Conventional Consumer Co-ops can also inspire loyalty, but it is
typically emotional rather than financial. People choose to shop at
their Consumer Co-op because they believe in the social good it is
trying to achieve, rather than because they can get the same bag of
peas so much cheaper there than at a supermarket. e peas may be
cheaper at tesco, but the member chooses to buy them at the co-op.
Why? Because it is better for her community. Better for the planet.
Better for her conscience. at is a proposition that tesco, or any
other supermarket, will find difficult to match.
From these examples it is clear that the differences between the
two models are important. Both adhere to the rochdale Principles
and can offer great value to their communities. Where the former

26 NUTS & BOLTS

normally benefits from a large size and low costs, the latter benefits
from its intimacy and strengthened community. By being smaller,
more focussed and more “local”, the Consumer Co-op is often better
equipped to be tailored to the precise needs of a community, and to
be as much about community building as it is about shopping. each
has its merits, but those merits are tied to location and market. In
choosing a model it is critical to consider what will best serve the rele-
vant community.
Smaller, more locally specific Consumer Co-ops are the kind of co-
op that exists throughout the United States. ese Consumer co-ops
are what have become known as “Second Wave co-ops”. First wave
co-ops are the original co-ops of rochdale and owen, and those
inspired by the Great Depression; co-ops that evolved out of pure
economic need. Second Wave co-ops are the group of co-ops which
emerged in response to the social unrest in the 1960s and 1970s; a
time when people wanted an alternative to find a way to live and
spend their money. ese co-ops provided a route enabling people
to get back to their basic needs, to embrace their communities and
their neighbours and not simply enrich large and impersonal corpo-
rations.
In the US Second Wave co-ops grew up where one would expect
them to, in left-leaning and liberal cities and suburbs. But they also
appeared in the traditionally more conservative Mid-West, in the
South, in right-leaning communities and just about everywhere else.
It is another stunning feature of co-ops that throughout the years they
have managed to bridge the differences between the left and the right,
the urban and the rural, the young and the old, the stockbroker and
the farmer. It turns out that everyone, given the chance, would like to
enjoy the benefits of shopping at the co-op. everyone wants to be a
part of their community, to know their neighbours and have the tools
to make their patch on earth a slightly better one.

NUTS & BOLTS 27

6.
G-R-O-W-I-N-G:
Seven Steps to Success

OK, NOW WE need to change gear and really look

closely at the nuts and bolts.
every co-op starts with an idea. A few people see a need
in their community and try to find a way to meet that
need. But be warned: starting a co-op is just as complex
and time consuming as starting any business. Most
experts estimate that creating a co-op takes at least two
years. ey say the same thing about gardens: a year to
sow and a year to grow. And, like a garden, starting a
co-op involves careful planning. e “gardener” must
understand her surroundings, the local climate, and
find out from experts exactly what will thrive there. Like
a garden, a co-op will need nurturing and love. to make it successful will
also take passion. And commitment. And skill and patience. And then, at
the end of the day, it may look nothing like originally expected. But it will
be yours, and it will be providing you with good, fresh food at a fair price.
Like a garden, a co-op evolves over time and has to grow into being.
e essential steps of starting a co-op can be broken down into seven
broad categories. ese categories will serve as a handy checklist to
anyone wanting to start a co-op. It is by no means a substitute for the
talent and advice of real people, but it should be a good starting place. e
names of each step are arranged so that they come out as a mnemonic, or
memory aid (it also keeps it in line with the food theme!). Below is a
summary of the steps and then each is explored in greater depth.

28 NUTS & BOLTS

G-R-O-W-I-N-G Checklist

GATHER. Gather basic information and build up a core group of supporters.

Identify needs of the community. Hold meetings with potential members and
producers and find out what they want from a co-op. Get consensus on your objec-
tives and how you will achieve them.

RESEARCH. research your market. What are you getting into? Who are your
customers and what do they want to buy? How much will they pay? Who is already
in the market and who are your competition? Decide on a steering committee and
prepare a feasibility study. review your research. report on the findings of the
feasibility study and share with outside advisers.

ORGANISE. organise and develop your group. Hold meetings and prepare
materials describing a co-op and what it does. Bring in potential members and
establish membership policy—what exactly do you want in seed funding, time and
sweat equity from members?

WORK IT OUT. Work out your legal structure. You may well find that adopting
standard model rules for an Industrial and Provident Society is the simplest and
most logical way to approach this. Begin seed fundraising through a drive with
members. Prepare a detailed business plan and research financing options. talk
to a bank about a possible relationship. Consider possible sites for the co-op.

IDENTIFY. Identify and secure outside financing sources and terms. Close on
the right site for your co-op and negotiate the lease.

NUTS AND BOLTS: Hire managers, decide product range, finalise shop layout,
locate fixtures and fittings, and establish accounts with suppliers. Set up shop.

GRAND OPENING!

NUTS & BOLTS 29

Step One: GATHER
e first step is to gather basic information. You need to collect every
single bit of information about food co-ops that you can get your
hands on. this means on the Internet and in the library. It means
getting on the phone with other co-ops and asking them all the
questions in your head. It means taking trips to see successful co-
ops, making appointments with their organisers and finding out
from them what they did right, and what they did wrong.
remember that part of the commitment a group of people make
when they form a co-op is a pledge to help all other co-ops, locally
and internationally. You will be overwhelmed with the generosity
that co-ops will show towards you (as was the author in writing this
book!). they will want you to succeed, and in our experience, will
want to do all that they can to help you along the path.
to do this work, you will almost certainly need a small, core group
of people who are committed to this idea with you. It is ideal if this
core group can include people with useful skills not only in retail
but also in the law, in marketing and in accountancy. this group of
early organisers may provide some or all of your first Board of Direc-
tors, and you will be well ahead of the game if you have people with
such useful skills on your Board. If you can’t find people to
contribute these skills to the co-op, eventually you will have to buy
the skills in. It is also worth considering electing someone within
this group to act as the de facto Chair, at least through this stage.
Ideally this person should have experience running a committee or
organisation.
Starting a co-op is time-consuming and hard work. You are building
a foundation, albeit at this point an intellectual one. You must under-
stand, backwards and forwards, how co-ops work before you can move
onto the next step, or your chances of success are slim. You need to be
giving very careful thought to the kind of co-op you want to create, and
the kind of community you are planning to serve. You will have to be
informed, but flexible. e “face” of your co-op will probably change

30 NUTS & BOLTS

quite a bit over the coming months as you begin to understand the needs
of your community and the level of commitment from your potential
members. You need to manage your own expectations as well as those
of the people you begin to recruit at this early stage. Don’t promise
anything, just learn. Ask questions, do research and listen.

Identify the needs of the community the co-op is meant to serve.

The Detail:

Discuss among the core group how they believe a co-op could

Gather basic information about co-ops, how they are started,

meet those needs.

how they are organised and how they are run. each of the core
members must study this information carefully so that everyone
has a firm idea of what lies ahead. It is important to manage
everyone’s expectations so this must include the bad news as
well as the good—what are the common misconceptions held
by the public as well as the members of the committee? It is
essential for your success that everyone on board has a realistic

Hold a meeting of local people to educate and interest people in the

understanding of a co-op.

project. explain how the co-op might work and what membership

Gather information about local and regional resources (organi-

is likely to entail - the rights and the responsibilities!

sations and people), private and public, that you and your group
could tap into to provide support at various stages of the process

Collect basic information about running a shop in your area.

by giving presentations, financial support or technical advice.

How much will the lease cost you? What are the rates? Is the
local Council supportive of retailers? How would its officers

examine the competition, both local and national. Is the

react to a food co-op?

community already served by a co-op? Where do people shop

for food? Where are the supermarkets? Is local produce readily

NUTS & BOLTS 31

 available? Are there regular farmers’ markets nearby? Are people

Visit other food organisations in your area (or if they are far away,
buying food online, and if so what and from whom?

contact them by phone) and see if they are able to offer any help
to your group. See if there are any that could offer a mutually
beneficial relationship with your group ( for example between a
dairy and your food co-op). Ask who their suppliers are and what

ensure that there are sufficient sources of supply for the co-op. It
terms they work on.

goes without saying that you’ll need to ensure several good local

Do some research into the various regulations that govern food

suppliers of the food you intend to carry in your co-op!

shops, including food and hygiene, health and safety, Sunday

trading rules, licensing rules and waste management and recy-
cling regulations.

Common Pitfalls:
Don’t get your heart set on a retail space at this early point. to make
a commitment on a long-term lease you will have to be much
further down the road. You are not ready for that pressure yet, no
matter how perfect the location is!

Ask Yourself:
Do you genuinely understand what a co-op is, and what running one
will entail? Do you have realistic expectations? Will a co-op meet
your group’s and your community’s needs? Do you have enough infor-
mation to take the proposal of a co-op to your community with
confidence?

Nuts and Bolts Notes:

You may also now want to look in the Appendices at Nuts and Bolts
Notes 1: Holding Successful Meetings and 2: How to be a Good
Meeting Facilitator.

32 NUTS & BOLTS

Step Two: RESEARCH
Now it is time to take all the learning you did in Step one and apply
it. You need to assess whether there is enough interest in a co-op to
justify further research and planning and whether the proposed co-op
is likely to be successful. Is this just your dream, or do you realisti-
cally believe that you will be able to find support—enough
support—to make it happen? at support will include not only a
core group of people to get it off the ground (which is, if you haven’t
guessed, a huge job!) but also the support of the community. If you
build it, will they come? And if they come, will they keep coming?
e answer to these questions has to be “yes” or you are just wasting
your own time. If the answer is “I believe so” then you may need to
move more cautiously.
It is time for a meeting. Not with your core group but with the
community. You need to plan it exceptionally well, you need to adver-
tise it widely and then you need to hold it effectively. It is your chance
to sell your vision to the people you hope to turn into members.
remember what you mother told you about first impressions? Well,
it’s true and if you blow the meeting, you will be putting yourself at a
disadvantage. ey will be looking at you, as well as your proposal, to
assess whether or not they believe that you can pull it off. ey will
be asking themselves and each other: are you worth the risk of £10,
£25 or £50 (or whatever the initial contribution is)?
In addition, co-ops of the kind we are talking about here are not
something that the average person in that room on that night will
know much, or perhaps anything, about. Not only do you have to
sell yourself, but also you have to sell the idea of a co-op. Without
boring them, or talking down to them, or trying to convert them,
you have to explain to them with passion and conviction just exactly
what a co-op is and how a co-op could improve their lives. You have
to explain why it would be better for them to shop there than their
local supermarket. You have to make them believe not only in you,
but in your dream, too.

NUTS & BOLTS 33

e Detail:

Hold an information-gathering meeting for people who may be

Stage One—Assessing Local Interest

interested in getting involved. Publicise the meeting as widely as

possible. Make the venue, time and date convenient, and have a

Plan a clear meeting agenda and select a meeting facilitator who

contact person available to field inquiries via telephone or e-mail.

will be welcoming, efficient and effective—ideally someone with

At the outset take care to explain, or have someone else explain,

a local reputation for good judgement and probity.

in clear terms exactly what a co-op is and how it would better the
community. What is the community in need of, and how could a
co-op meet that need? Distribute one or two simple handouts
explaining how co-ops work and include the names and contact
details for people on the steering committee. encourage them to

Consider inviting guest speakers to the meeting who can address

call.

the group. ey could include a local food producer who is inter-
ested in working with a co-op, an elected official who will support
the idea politically, a business leader who can offer financial
support or someone from a successful co-op who can show them
that it can work and be wonderful for them. It is good to have a
visible show of support in the effort to gain the trust and respect

Allow plenty of time to field questions and allow people to express

of potential members.

Be as clear and as honest as possible. Co-ops are not cure-alls

their concerns and interests.

and won’t solve the world’s problems. Make sure group expecta-

Ask for participants to express interest in a show of hands. Make

tions remain realistic.

sure it is explained to them that participation will require many

of them to get involved on a nuts and bolts level, contributing
time and money and energy as well as any and all useful and

34 NUTS & BOLTS


Use a questionnaire to get the contact details of all the partici-
unique skills they may possess. Co-ops do not grow themselves.

pants. on the questionnaire get the participants to express their

level of interest. Also use the form to find out their current food
buying habits. Where do they shop? How much do they spend?
What do they need? Some people feel nervous about expressing
their thoughts publicly but don’t mind writing them down, espe-

If there is sufficient interest, elect a steering committee and draft

cially anonymously.

a simple mission statement. Make sure it is clear and concise—

just a few sentences that give you something to build on. en
have those present vote to adopt the statement.

Stage Two—e Follow Up

Now you need an in-depth survey of potential members. It is neces-
sary to find out the common needs of all of the potential members, as
well as the co-op’s potential for sales.
is can also provide a good opportunity to ask potential members
about any skills they may have which could aid the co-op, as well as
to enquire (confidentially, of course) about how much cash might be
gifted or loaned to the co-op by potential members. It is this foun-
dation onto which all of the future efforts will build. If there are funds
available, a professional could assist with the drafting and compila-
tion of the survey. Areas like volume of potential business, facilities,
operating costs and sources of capitalisation all must be explored.
once the information is collected, it must be digested. If the
Steering Committee is large enough it might consider dividing up the
tasks. Some areas of interest to explore could include:

: Meeting with potential suppliers and producers to assess their

needs, margins and level of interest in getting involved with a co-op.
: Identifying possible sources of funding, including grants and
loans.

NUTS & BOLTS 35

: Identifying possible sources of support such as development agen-
cies, chambers of commerce, small business groups, government
support agencies and any local business development groups.

Finally, a Feasibility Study must be commissioned. It must address at

least four critical areas:

: e marketplace: size, opportunity, competition, trends;

: e skills and capabilities of the group to carry out the project;
: Basic financial needs and potential for growth;
: e anticipated design and project specifics of the co-op.

outside experts will be invaluable in preparing this information. is

is a major and complex project. A plan that is poorly designed or
misleading in its facts, findings or conclusions can be extremely
dangerous.

Common Pitfalls:
Don’t be shy about asking your potential members to consider a
financial contribution at this point. You will need to generate some
capital in order to fund your survey and your feasibility study. Also,
by asking people to put their money where their mouths are you will
be able to get a more accurate picture of the true level of their
commitment to the project. Inevitably, some people will be all hat
and no cattle, as they say; others may over-estimate their ability to
help; others may find their priorities change.
Some groups ask for a contribution of say, £50, promising to return
most of it (perhaps £40) if the feasibility study shows the co-op will not
be successful. But it is more practical to make this contribution non-
returnable (unless the feasibility study is completed very quickly and
has a negative outcome). ere will be some modest expenses during
the early days and it is not unreasonable to ask people who are inter-
ested in the co-op to contribute towards those costs.

36 NUTS & BOLTS

Ask Yourself:
Is there sufficient interest and energy in the community? Are people
willing not just to shop at a co-op, but to contribute towards the
creation and maintenance of it? Does the feasibility study indicate
that the co-op could succeed, and do the initial financial projections
and assumptions make sense?

Nuts and Bolts Notes:

Now take a look in the Appendices at Nuts and Bolts Note 3: respon-
sibilities of the Steering Committee. is sets out some suggestions
about how to organise your core group of supporters.

Step Three: ORGANISE

once you have confirmed the commitment of your future members in
principle, it is time for them to put their money where their mouths
are! It is all well and good for everyone to talk a big game about how
interested they are in a co-op, and how dedicated they are to the idea,
but once you ask them to pick up a pen and their chequebook, are they
still behind you?
All businesses need money (called “equity” or “capital”) and a co-op
is no different. Money allows you to buy inventory, equipment (e.g.
shelves, refrigerators, tills), pay staff and pay back interest and principal
on any loans that have been taken out. Many of these costs are incurred
before the co-op even opens. In most businesses, the initial pot of
money invested is provided by the owners or shareholders, and other
money may be lent to the business by creditors (e.g. banks). In a co-op
the owners are the members, so the start-up share or “equity” capital
must come from them.
once a co-op is up and running, it uses member investments as well
as commercial loans to purchase equipment, expand inventory, make
improvements, renovate facilities and look into new services or busi-
ness opportunities. Member equity gives the co-op its foundation and

NUTS & BOLTS 37

 Case Study: BLOCKLEY CO-OPERATIVE ASSOCIATION LIMITED

over the years many people have noted a decline in the quality of village life in
Great Britain. Cost pressures have closed many village schools. Country churches
have found it hard to maintain their congregations. out-of-town supermarkets
and shopping malls have put huge pressure on village shops and high streets. Most
recently, a new programme of closing village Post offices has begun.
Blockley in Gloustershire is one such, apparently moving inexorably from a
bustling village to one facing the closure of its Post office and general store.
except the Post office and shop aren’t closing. rather than simply allow their
village to become another casualty of modern mega-stores, concerned residents
got together, have got organized, and got involved. e result is that they have
moved very quickly from outrage at the threat to their Post office to setting a
precise date for their opening day—the May Day Bank Holiday 2008.
Members of the Parish Council formed the “Blockley Save our Shop Committee”.
eir stated purpose was to establish a plan for a community-owned combined
general store/coffee shop/Post office in their village. ey spent 18 months organ-
izing; outlining a detailed business plan prepared with input from a number of
professional retail consultants, estimating a budget, locating an appropriate site,
identifying grants and loans for which their project would be eligible, and then finally
approaching their community with a well-organized long-term plan for their shop,
asking them to become members with a very affordable £10 membership fee.
In due course the Committee became the Blockley Co-operative Association.
ey identified that they would need £70,000 in start-up costs. ey are looking to
the Village retail Services Association (VirSA) for a grant of £20,000 and a loan of
a further £20,000. But this still leaves the Association to raise the remaining £30,000
from their community. Beyond the membership subscriptions at £10 per person,
they are also soliciting “gifts” (donations of money which will not be re-paid as a
loan would be) from residents. With over 220 members, and several generous gifts
now committed, they have already raised £20,000—and are well on their way
towards meeting their goal of their minimum funding target and their opening
date.

38 NUTS & BOLTS

broadly speaking the more member equity it has, the better off a co-op
will be, as it is better able to stay independent from outside forces and
to weather a downturn in sales.
is member equity can be structured in various different ways. Some-
times a group gets very lucky and has one or more patrons who can put
up big chunks of money (which can be gifts, or loans to be repaid over
time). Sometimes, as we have seen, the founding members contribute a
certain sum of which a portion may be returned if the co-op does not get
up and running. Sometimes a co-op may need to take a commercial loan
out from a bank and this loan will need to be serviced (i.e. have its interest
paid) and repaid according to an agreed schedule. e loan may need to
be secured by the bank against assets of the co-op such as its lease.
Member loans can also be negotiated and used, perhaps through the
issuance of loan stock. e fact is that co-ops need money to get off the
ground and, initially at least, most of it has to come from its members.
In order to secure financial commitments from your founding
members, you will need to finalise your membership policy. What is
the mission of the co-op? What are the terms of membership, and the
costs? What are the rights and responsibilities that attach to the
membership? Will members receive a discount on their shopping, and
if so at what rate? or will members receive an annual return? Can non-
members shop there? Are members required to contribute labour?
What is the joining fee? Is there an annual fee as well? Will there be a
direct charge fee? Will it be stocking only local foods or will it also carry
a certain amount of branded goods? Will it sell meat and fish, which
may require special handling? Will it sell tobacco and alcohol?
All of these questions have to be answered, and more. At this stage
you need to know what you will be getting from your members, and
your members need to know what they will be getting from you!

e Detail:
As in the Blockley example, set a realistic goal for target membership
levels based on how much money you need to raise and by what time:

NUTS & BOLTS 39

how much in member contributions of share capital, and how much in
loans from members or from outside. Create an inspiring action plan
to achieve these goals. It is important to maintain enthusiasm among
members and keep them informed about the co-op’s goals as well as
the your progress towards those goals. If someone is able to do it at a
minimal cost, creating a website or e-mail newsletter is very useful for
doing this. Nothing inspires hard work like tangible early success.

For the Membership System

ere are several different membership models used by co-ops. Is
there a “best” type of membership? e simple answer is “no”. e
best type of membership is the one best tailored to your own organi-
sation. ere are many models and it is crucial that you choose the
model that will best serve your target community and that has the
consensus of its founding members. e membership model and its
complexity will be dictated by the corporate entity you adopt.
at said, arguably the simplest and most straightforward method
(the one used by the Blockley Co-op) and therefore the one we
propose you consider is one governed by rules of the IPS (Industrial
and Provident Societies Act 1965-2002). It keeps membership levels
equal (that is it is a one-tiered membership system with one-share
one-vote at one-price), its rules of incorporation are very straightfor-
ward and recognized by all regulatory bodies which greatly facilitates
the process of starting a co-op, and there is a tremendous amount of
support available from various IPS organisations (such as VirSA and
FSA). It is worth repeating, however, that while an excellent system,
the IPS system won’t be right for every organisation.
Create a proposal covering all aspects of the co-op’s membership
system, including: equity requirements, types of membership (if more
than one), minimum payment to join and payment options, addi-
tional fees (if any), share repurchase (refund) options and limitations,
member benefits (e.g. discounts or annual surplus distribution) and
every other relevant factor you can identify.

40 NUTS & BOLTS

 once the Steering Committee has approved the membership struc-
ture, prepare a simple brochure explaining the co-op’s membership
system. If you haven’t already done so, consider setting up a website
with all of the relevant information. Prepare a membership applica-
tion and other administrative materials. Have these documents
reviewed by a solicitor (perhaps in exchange for free membership to
the co-op!) to make certain that everything is in order. ese docu-
ments will be the foundation of your success. While you will want to
be careful with your capital, it is important that you don’t skimp on
legal advice. Getting the paperwork right is essential.
Set up an accurate record-keeping system of memberships and
their benefits and nominate one person to be responsible for its
upkeep (usually your financial officer, treasurer or accountant).
Develop plans for member recruitment. is could be a real oppor-
tunity to think creatively and get new people involved with the co-op.
Ask members to reach out to members of their communities, whether
it be their neighbours, people within their various civic organisations
(schools, councils, churches, mosques or synagogues for example),
friends and family, or absolutely anyone they think might want to get
involved.

For a Membership Gift and Loan Programme

Membership gifts and loans are often key elements for a successful
co-op. Most co-ops will want to keep their membership subscription
costs affordable in order to attract the greatest possible number of
members. e amount of money raised by that strategy, however, may
not be enough to reach the co-op’s minimum start-up budget, espe-
cially in a small town or village. A way to remedy this problem is to
solicit gifts and loans from co-op members who are able to give more.
Gifts are, of course, better than loans. A gift is given straight-out
without any promise or hope of repayment. ey are often linked to
a specific hurdle faced by the co-op (such as a contribution to the
initial lease or the shop re-fit or early inventory) or may be made

NUTS & BOLTS 41

generally and put to use wherever and whenever needed most. Loans
are also helpful but in the case of most co-ops, the money may only be
returnable in limited circumstances (there isn’t much security within
a young co-op to support loans) and rates of interest may not be
competitive.

Determine how much the co-op will need to raise via member
gifts and loans. Solicit as much as possible in the form of gifts
and then with respect to loans, set limits as to the minimum and
maximum size of the loans, and agree whether loan stock can be
issued in exchange for such loans, and if so how. Set fair terms

Create administrative documents to support the loans, e.g. prom-

and rates.

Have a solicitor review (ideally, pro bono) the loan programme to

issory notes.

be sure it complies with all relevant laws and won’t generate any
problems for the co-op in future.

Common Pitfalls:
A co-op is only as strong as its membership. Be sure to think very
carefully not only about what has worked for other co-ops but also
what you think will work specifically for your co-op. ere are many
ways that co-ops can be organised, and a successful co-op is one
which will tailor its structure to its members’ needs. Choose your
words carefully. Don’t promise “lifetime membership” in case the co-
op has to change its rules in the future. Members may prefer to think
in terms of making “an investment” rather than “paying a fee”. Be
sensitive to the promises your words are making, not just to manage
expectations, but also because they may have legal repercussions.

Ask Yourself:
Is there sufficient membership commitment to get the co-op off the
ground? Can you get enough start-up money from your founding

42 NUTS & BOLTS

members to encourage further funding? Can you negotiate loan
funding at reasonable rates?

Nuts and Bolts Notes:

Now take a look in the Appendices at Nuts and Bolts Note 4: A Short
Guide to Consumer Co-op Membership; and 5: A Possible Member-
ship Structure: e Blockley Co-op

Step Four: WORK IT OUT

You have now done the initial research, and started to line up the
money that the co-op will need to get started. It is time to present
the findings of the Steering Committee to the members and decide if
the answers to the questions posed are satisfactory enough to
proceed with the project to the next stage.
ere is no doubt that the findings will be a mixed bag (unless you
are very lucky!). Some matters will be very straightforward, others
will present problems and others will be real setbacks. But if the sum
total of all of the reports is positive, put it to the members in a vote.
Do they, the membership, with the full knowledge of the reports (the
good, the bad and the flat-out ugly), want to proceed?
If the vote is “no” your task is simple. You wind things up, return
any money left over to the founder members; or, better yet, first take
yourselves down to the pub for a consolatory pint. If, on the other
hand, the vote is “yes”, it is time to get down to the hard detail of
opening a food co-op (although you still might want to have that
pint—there is a lot of work ahead). Now you must hold a series of
meetings in order to clear the legal hurdles: the members must vote
to form the co-op, and vote to adopt a suitable memorandum and
articles of association or rules. And of course, before the members
can vote to do this, the relevant documents have to be drafted and
reviewed. We cannot stress enough the importance of good legal

NUTS & BOLTS 43

advice at this stage. Additionally, it is worth noting that especially in
the start-up stage, finding a solicitor who is willing to work on a pro
bono basis will be an invaluable asset to your group. ere may be
one amongst your membership or in a nearby community, one which
would be served by the co-op. An alternative to hiring a lawyer is to
use an organisation like Co-operatives UK, which is probably the UK’s
best single resource for co-ops. For a fee, they offer all of the practical
and legal advice a group would need, including the appropriate legal
template and associated documents. ey also offer a complete regis-
tration service. ere is a real advantage to using their service, as their
model rules (in the case of Industrial and Provident Societies) are
already familiar to and approved by the FSA. ese constitutional
documents are extremely important and you must get them right.
Not only to please your members, but to please Her Majesty’s revenue
and Customs!

e Detail:

reach out to absolutely everyone who has ever expressed any

Publicise the Meetings

interest in the co-op by any means available (telephone, e-mail,

fax, snail mail, fog horn, walkie-talkie, courier pigeon, whatever!).

encourage everyone to bring other potential members to the

tell them it’s crunch time.

Prepare posters and public service announcements and any other

meeting. Word of mouth is your best (and least expensive) friend.

method you can think of to get the word out about the co-op and
the company formation meeting to the people you can’t reach
through your member contacts.

Distribute a written agenda and copies of the Steering

When Presenting the Feasibility Study

Have copies of the Feasibility Study available at the meeting.

Committee’s summary and recommendations.

44 NUTS & BOLTS


After the Steering Committee’s report, allow members to discuss
it point by point. It may be necessary to hold more than one

After satisfactory discussion, hold a vote of all potential members

meeting, depending on the length of the report.

on whether to proceed with the co-op. If the vote is “yes”, a reso-

lution should state that the Steering Committee is responsible for

Members may also request that further research be carried out, or

preparing legal documents for the co-op.

that changes be made to the Steering Committee report, if there

are areas of serious controversy.

Whether or not the co-op decides to incorporate, it is important

When Preparing and Approving Memoradum and Articles of Association

to prepare basic rules that spell out who will be members, how
much capital members must contribute, what the decision-
making body is and how it will be selected, how decisions will be
made, and how these rules can be changed if they no longer suit
the needs of the co-op. If the group has decided to incorporate,
these rules will be included in the co-op’s memorandum and arti-
cles of association or rules, depending on the corporate legal

Arrange to have outside legal and business advice as necessary.

entity adopted.

Send a copy of the proposed memorandum and articles of asso-

ciation or rules to each member giving them a certain amount of

With plenty of notice, call a meeting to vote for the approval of

time to respond with comments.

documentation. ey must be accepted by a majority of the co-

File the memorandum and articles of association as required by

op’s members.

Companies House and other relevant bodies. Your solicitor will

Hold an election to choose the co-op’s first Board of Directors and

give you detailed information on this.

plan the first board meeting.

NUTS & BOLTS 45


elect Directors and assign roles. In a typical business these will
At the Board’s First Meeting

be the Chair, Manager (Managing Director, Ceo), Company Secre-

tary and Finance Director but aside from the formal status of
Directors and Secretary you can vary titles ( for instance, you may
wish to distinguish your co-op from these conventional corpo-

Approve a membership application, choose a bank or financial

rate titles and hierarchies).

institution, arrange for appropriate book-keeping and financial

organise committees to manage the major areas, such as;

reporting, and clarify how other responsibilities will be fulfilled.

 Development of a business plan

 Finance
 Location and building
 Member recruitment
 Marketing
 training and staffing
 Preparation to start commercial operations

Common Pitfalls:
e worst mistake you could make at this juncture would be to try to
draft your own legal documents without properly qualified legal
supervision and review. If you cannot find pro bono help then spend
the money to get it done properly. e documents really must be
reviewed by a solicitor, as much for the protection of the co-op and its
members as anything else. ey not only need to be clear and fair,
but they need to be realistic.

Ask Yourself:
other things to consider carefully are: Who will make up the Board
of Directors? How regularly should those members be re-elected?
How will elections be run? What is the quorum for meetings of the
board and membership? Most co-ops think it is wise to allow for the

46 NUTS & BOLTS

greatest possible access to the “power” positions, and the Board of
Directors as well as other important positions should if possible
rotate between the members. is recognises the importance of the
members (and helps them to feel important), keeps them engaged
and involved (which you want them to be) and helps them to learn
new useful skills that they can apply to the co-op and beyond (which
is good for the co-op, for them and for the community).

Nuts and Bolts Notes:

Now take a look in the Appendices at Nuts and Bolts Notes 6: e
Board of Directors; 7: Incorporating your Co-op and 8: Synopsis of
Industrial and Provident Society Co-op rules.

Step Five: IDENTIFY

e next step is to prepare a specific and detailed business plan. You
will need this plan when you go to secure the balance of the money
you will need to get the co-op up and running. You will have collected
as much money as you can from members through your membership
drives as well as member loans (and hopefully any grants you were
able to find and qualify for) but it is unlikely that you will have raised
all that you need. It is now time to go to the banks to get the rest. No
one will lend money to a start-up business without a detailed busi-
ness plan so you need to have one, and a good one at that. And it’s not
just for the bank: a good business plan will provide you with a
timetable to your launch and well beyond, and it will give you a
detailed set of financial projections against which you can measure
your progress.
Preparing a business plan is a good exercise for anyone involved in
a new business, even when things don’t work out exactly as planned
(they never do). e discipline of documenting your ideas and
assumptions, projecting financial and operational figures, and pulling
all of these elements together into one complete plan in invaluable.

NUTS & BOLTS 47

When your business plan is finished, and your group is adequately
funded, you will at last be in a position to take the final steps towards
opening the doors of your co-op: settling on your shop site, and
securing the lease for it.

e Detail:
Preparing a Business Plan
A business plan should cover all aspects of the co-op’s expected oper-
ations: who is involved, who the customers are, what the co-op will
sell, how it will operate, how it will be capitalised, and what the cost
of operation will be. e plan should include a market study that
explains and stands behind its financial projections.
A business plan needs to focus on every key facet of the co-op’s
potential business and operations. So it will usually include the
following:

executive Summary – the key points of the plan, readable in a few

Main text
minutes

CVs and perhaps written references on key management by

Appendices – showing all the financial projections and their

outside experts

underlying assumptions

e main text of the business plan would normally include the

following:

Goals and strategy: what you are seeking to achieve, by when,

Market analysis: size, trends, nature, seasonality, existing

how and milestones

Customer analysis: who are they, where do they shop now, what
suppliers, historic and anticipated growth

they look for in a food shop, why they will come to you

48 NUTS & BOLTS


Competitor analysis: strengths, weaknesses, opportunities and

Product description: the nature of your offer, product mix, how it

threats

differs from the competition, why it is superior
Implementation plan: suppliers, partners, stocking/merchan-

dising, sales model, pricing policy, store location
Sales and marketing plan: cover at least the first year after
launch, showing expected sales by product and segment and
including prices, costs, overhead, margins and returns. Look at
other shops and make realistic assessments based on actual
knowledge of your team or others, not guesses or purely mathe-

matical projections
Legal: nature of corporate entity, with details of key executives,
board or steering committee members; licences, health and

safety, permissions needed
Funding: capital contributions and structure, sources and uses
of cash, summary financial projections, scenarios showing the
financial effects of over and under-performance

It can be very helpful to give real examples of similar business models

that have worked. Do not be too nervous about using consultants
and others with experience in business start-ups: their advice can be
extremely valuable.
Hopefully you will have some of these people among your member-
ship and they will be willing to donate some of their time and
expertise to you.
Don’t forget to investigate regional development programmes and
grants that may be useful both for start-up funding and with devel-
oping a business plan.

e Steering Committee or Board of Directors should prepare a

When the Business Plan is Prepared

report that summarises the business plan.

NUTS & BOLTS 49


Conclude the report with the Board or Steering Committee’s

e report should be made available to all members, and a

recommendation to proceed or not to proceed with the co-op.

summary should be presented at a membership meeting.

e sources from which you will raise money will be membership

Closing the Financing

capital, gifts, public sector grants, loan stock and finally formal

Begin with start-up capital from members. It will be your foun-

bank loans.

dation. Calculate how much money this will raise for the co-op.
Be realistic. remember that most new businesses that fail simply

en research alternatives, such as special start-up financing

do so because they started with too little cash for operations.

programmes, economic development money for job creation and

Contact local business or economic development agencies about

revitalisation, and member loans.

the services and support they may be able to provide to a new

Have just one or two duly authorised people conduct all negotia-
business.

tions with commercial lenders, and give regular reports to the

Board as negotiations proceed. e business plan will be a crit-

Make sure that potential lenders understand the co-op owner-

ical element of your loan application.

ship structure. Individual guarantees should be avoided if

possible. With sufficient member financing and a well-structured

Vendor financing (loans from suppliers) will be an important part

business plan, this may well be achievable.

of your capital base. Find out what potential suppliers can offer
your group in terms of credit terms, special help with operating

Make sure that the business plan projections show the co-op’s
orders, and technical assistance.

ability to repay any outside financing, even in scenarios where the

50 NUTS & BOLTS

 co-op is not doing well. Make certain that the terms of loans and
other credit are acceptable to the co-op and represents a manage-
able burden.

Nuts and Bolts Notes:

Now take a look at Nuts and Bolts Notes 9: estimating Start-up Costs
and 10: Member Loans.

Step Six: NUTS AND BOLTS

First you had a mission. Next you had members. en you had
money. Now, finally, it is time to build your co-op. Not the legal
entity but the physical shop itself.
is is the part that many people fantasise about: What will the
place look like? What are you going to call it? of course the aesthetic
elements are important—indeed in retail they are normally very
important. But there are loads of other practical decisions to make.
You must hire the necessary staff ( for example, the manager), acquire
the fixtures and equipment, finalise the shop’s layout, establish
accounts with suppliers and finally set up the shop itself. ese
considerations will depend on the make-up of your particular co-op.
If you are going to have a café, for example, or a deli counter, you will
have different equipment needs to those of a co-op that does not need
to cater for fresh, unpacked food. e Village retail Services Associ-
ation (VirSA) website offers a free Staff Handbook. reading this
handbook will give you a good idea of what you will need to ask of
your staff, both voluntary and paid.

e Detail:
Your business plan should be your guide on what to do at this stage.
one of the most important decisions made at this stage will be whom
you hire to be the co-op’s manager.

NUTS & BOLTS 51


Identify the skills you expect your first manager to have by
Hiring the Manager

preparing a clear job description. It should set out to whom the

manager reports (generally the Board), the manager’s goals and
priorities, how his or her performance will be measured, and what
compensation will be offered. Set a small number of clear goals
and responsibilities for the manager in the first year, covering
such things as achieving sales or surplus targets, communicating

Advertise the position as widely as possible. Use as many local

with members and recruitment.

contacts as you can think of—economic development agencies,

chambers of commerce, businesspeople, other co-ops, etc.—to

Carefully screen all applicants. Check references and job expe-

publicise the job.

rience personally and in detail. Give preference to candidates

with experience in retail operations or the food industry. Do
not ignore a candidate’s “feel” for co-ops and their ethos and

remember that the right manager for a start-up may not be the
standards.

right manager in the long term. Some managers are natural

entrepreneurs who thrive in start-up ventures, while others

Design an interview process that allows input from a wide range

may do better at managing an established business.

of interested parties, but do not have too many interviews. Focus

on the skills and experience a candidate has; ask open questions
about how they have handled actual situations, not how they

once the manager is hired, the role of the Board of Directors will
would handle a theoretical situation.

almost certainly change. e Board will probably be less involved

in operational decisions, as it allows the manager to take over. A
good manager will want to use the Board’s expertise where they
can, however.

52 NUTS & BOLTS


try to buy quality used equipment that will work in your shop.
Other Considerations

is can often be found at local auctions and business closures.

Never pay full retail price if you don’t have to! Save money

Use outside experts well. If possible, have a professional nego-

smartly.

tiate your lease. Consult a grocery professional about your shop

location, layout and merchandising. You are trying to develop
not merely shelf space, but a retail environment that will push
sales. Believe it or not, there is a well-established science to laying
out shops so that people spend more money. e food is not at

Pay great attention to your choice of name. Something local? or

the back of a supermarket by accident!

whole-foody? or just fun? Include the word “co-op” so customers

know you are different. ink about how the name works in
different languages and contexts: on the internet, say, or in a
newspaper advertisement. ink about how you can extend the
name to cover new areas that the co-op may want to get into.
Does it work as a logo? Can you think of a second strap-line that
sums up why you are different? remember you will need to check
that the name has not been used by another corporate entity,
especially one in a similar business. is can easily be done by

Contact suppliers and distributors. Visit as many local suppliers

checking the companies’ registry.

as you can—the personal relationship with suppliers is invalu-

able. Negotiate credit terms, opening orders, and future ordering
procedures. Many distributors can provide support in product
placement and setting inventory. Brokers and manufacturers can
also provide assistance, including special offerings for opening
inventory. try to learn from these businesses, but don’t let them
determine your product placement: it’s your co-op! Look for
good deals but don’t make any commitments that may compro-
mise the co-op.

NUTS & BOLTS 53


e co-op will need to comply with health and safety legislation,
depending upon the type of food handled. However, it is impor-
tant to set minimum guidelines for hygiene, and to ensure these
are maintained. ese will cover such basic matters as washing,
cleaning and lavatory facilities. Contact should be made with the
relevant local government health department at the time you are
negotiating to lease your preferred premises.

Step Seven: GRAND OPENING!

You’ve made it! It’s time to open the doors. Don’t forget to publicise
the co-op’s early accomplishments to help create a positive image of
the new shop in the community. Advertise your opening, and make
it a party. Consider special offers and anything else you feel you can
afford. e first few weeks are important because you need to get
people in the door and shopping while they are still interested to try
something new.
Co-ops are about good food, but they are also about good feelings.
Be warm and friendly and make sure your team members are helpful
and welcoming. to succeed, the co-op has to be different from the
mega-stores. Let’s face it, they’ll get more variety at the corporate
supermarkets. But will they get the same positive shopping experi-
ence? Will they get the local produce? You can’t just sell the food,
you have to sell the idea of the co-op—every day, with every sale. at
is how you will keep members, and how you will get new ones.
Most shops have, in effect, two openings. e first is called a “soft
opening” and is when you begin operations. It allows you to test your
systems and operations thoroughly, generally with the most forgiving
audience—your committed members. After a few weeks, once most
of the obvious bugs have been worked out of the system, you can
throw a big, heavily publicised grand opening. It is critical at this
stage that good communication is maintained between the manager

54 NUTS & BOLTS

and team and the wider co-op membership. Members should be told
of problems, as well as the proposed solutions to those problems.
Keeping them involved will ensure the members stay loyal to the co-
op. Also, there is nothing like a warm, welcoming shop to encourage
word-of-mouth publicity!
once the co-op has been running for a few months, hold a plan-
ning meeting (or retreat, if you can afford it) for the management and
the Board. ey will need to discuss how well things are going: what
is working and what is not. And they will want to plan on how to
organise the second year. What changes will be made? Ideally, you
should organise some training days to keep the co-op’s leadership and
management up-to-date with successful retail practices and new
regulations. Also, consider having a member survey at this point to
find out whether the co-op is meeting the needs of its members and
to gauge member satisfaction.
Be prepared for the rough road that many shops face in their first
year or so of operations. opening a new shop requires you to keep a
lot of balls in the air at the same time. No matter how well you plan
and train, some of them will inevitably hit the deck faster or with a
bigger crash than you had predicted. Don’t panic if things aren’t
perfect—they never are. But don’t allow yourself to be caught too off-
guard when you encounter initial stumbling blocks. Be prepared to
adapt to and overcome them as they appear.
eventually, once the co-op’s trading has settled extend the co-op’s
planning horizon to three to five years. Your co-op’s ongoing success
depends on constant attention to business basics and keeping in
contact with members.

NUTS & BOLTS 55

7.
How Not To Fail

OF COURSE NOT every co-op will

succeed. ere will be circum-
stances that are simply
beyond the control of the
most competent and good-
hearted people. even the
very best intentions and
best efforts will not be
enough if there isn’t enough capital, if there
aren’t enough interested members, and if there isn’t enough support in
the community for a co-op.
However, there are ways to improve the chances your group has for
success. Here, at the risk of some repetition, are ten top tips. ey
aren’t a guarantee, but they are a good place to start.

10 TOP TIPS

1. Be realistic as you plan your new co-op. Allow plenty of time

for people to meet and discuss ideas. remember that a co-op is
owned by a group of people, and leaders will need to be open to
new ideas from all members. Group decision-making tends to
be slow, but it has the benefit of being more considered. Also, if

56 NUTS & BOLTS

 the co-op only fulfils the dreams of one or two people, it is
unlikely to succeed. If it fulfils the need of a community, it is
likely to be successful. remember that most new co-ops take
two years to get started.
2. Use all available resources. Local economic development
organisations can provide invaluable support with market
research, feasibility studies, business plans, and financial projec-
tions. Although your group may be different from others the
agencies have worked with, basic principles apply to all types of
businesses, including your new co-op. Also be on the lookout
for resources which may be of specific use to you, such as
governmental agencies which support small businesses, or rural
areas or urban regeneration or minority controlled businesses or
any other “niche” which you and your co-op might fit into.
3. Shamelessly use others’ experience. It’s unnecessary for you to
repeat the mistakes made by other co-ops. Be mindful of lessons
from the successes and failures of other co-op groups. Study the
cases, and look for elements of their stories that apply to your
own. reach out to them and ask for advice. It is part of the co-
op ethos to offer support to others within the co-op world.
4. Learn as much as you can about co-ops and the unique ways
in which they operate. Many professionals you may work with,
such as lawyers, accountants and business planners, may not be
very familiar with co-ops. Many unique and somewhat obscure
laws regulate co-ops, and very few professionals have much
occasion to work with these laws. Whenever possible, hire
professionals familiar with co-ops. If that isn’t possible or prac-
tical, make sure that someone familiar with co-op law reviews
the work that is done for your group.
5. Plan carefully and don’t rush. Business fundamentals are just
as important for co-ops as for any business. ere are no short
cuts. ese fundamentals including thorough market research,
preparing a business plan, securing adequate funding, and

NUTS & BOLTS 57

 creating a solid organisational structure consistent with what
you are trying to achieve.
6. Start small. A new food co-op has a better chance of succeeding
and surviving if it begins by successfully operating a single retail
operation. A delicatessen, bakery or juice bar, while very
appealing, require additional and specialised expertise. Be
careful about spreading your limited management talent too
thin, at least until you have experience and a successful track
record to build upon.
7. Research all your options for obtaining financing and assistance.
You will need some initial money to conduct research and
prepare your co-op’s business plan. Some economic develop-
ment offices and other agencies have small amounts of money
to assist groups with start-up financing, or they may be able to
help you find such financing. Start-up financing is often a loan,
which gets repaid if the plan proves viable and the business gets
started. In some cases, grants may be available. It is worth
taking some time to think ‘outside the box’ in order to come up
with some less obvious sources of funding and advice.
8. Pay attention to business fundamentals. All successful co-ops
must have sufficient capital (including enough cash to carry the
co-op through the start-up phase). Business expertise, from the
very beginning, is also vital to a co-op’s success. Many studies
have shown that the two main reasons for new co-op failure are
insufficient capital and lack of business expertise. Keep this fact
in the front of your mind at all times.
9. Listen to members and shoppers at every opportunity, and
change if necessary. Use every available opportunity to get feed-
back from members and shoppers. What is working and what
is not? What products do they buy, and which are left on the
shelf ? You won’t be able to satisfy everyone all of the time, but
it is important to make positive changes when you can.
Successful co-ops have open lines of dialogue between manage-

58 NUTS & BOLTS

 ment and members, but are also careful not to let a vocal
minority dictate policy or influence the co-op’s operations based
on their own personal views. Most co-op members will only
make their views known via their shopping habits, making those
habits a very rich source of feedback.
10. Get expert outside assistance and use it well. Advisers can
provide invaluable experience and should not be viewed as a
luxury. Your co-op has a much better chance of succeeding if
you get assistance from those familiar with co-op law and
finance. Do not be afraid to ask for help pro bono. Be sure that
the professionals you do use are familiar with your goals and the
unique aspects of your co-op. With any luck they will become
members themselves.

NUTS & BOLTS 59

8.
Final Thoughts

A CO-OP STARTS with an idea. A few visionary

people see a need within their community
and believe that they can meet that need
through a co-op. But actually setting
up a co-op is just as complex and
time consuming as setting up any
other business. What makes it
special is that its sole purpose is not
the enrichment of a single person or group of
investors: a co-op has the goal of enriching a whole community.
When a food co-op is successful it is good for the farmers, for the
local consumers, for the neighbourhood where the shop is located
and, frankly, anyone else who comes into its orbit. It brings great local
food to great local people; people who want to shop differently, to
support their local economy, to serve fresh and nutritious food to their
families and friends, all while watching the pennies. Co-ops are for
people who want to make a difference, in their own lives and in their
neighbourhoods.
A co-op is hard work, as anyone who has made it to the end of this
book can see. It won’t turn out exactly as you expect, and it will prob-
ably take longer than you’d like. ere is a chance that you will fail
and even if you don’t, there will most certainly be setbacks. But if you
put in the required time and make it work, starting your own co-op

60 NUTS & BOLTS

will be immensely rewarding. Beyond the rewards of the shop itself,
you and your group will learn about business and develop a whole
new set of useful skills—skills in finance, management, customer rela-
tions, sales and many other areas. You will have the chance to serve
on the Board of Directors, run meetings, recruit members and think
strategically about how to overcome obstacles and turn mistakes into
successes as well as enjoy your triumphs. You’ll have the chance to be
a part of something significant.
And, best of all, if it succeeds, you’ll be a part owner of a successful,
valuable business that provides jobs, raises money and meets the
daily needs of your friends, your family and your community. It’s
genius.

Good Luck!

NUTS & BOLTS 61

NUTS & BOLTS Note 1
HOLDING SUCCESSFUL MEETINGS
We have already stressed the importance of being able to hold an effective meeting.
But it is worth repeating that if you are not able to hold a successful meeting, then
your project may well not get off the ground at all. Even the most laid-back social
activists have to be able to control the agenda, eject a disruptive member, handle
arguments without taking sides and even just stick to the agreed time-table.
All of these skills (and many more) are critical if you are going to build trust
within your organisation. If your meetings are out of control then so is the organi-
sation and you may as well pack up and go home. e good news is, however, that
while holding a good meeting certainly is a skill, there are some basic guidelines
that, if followed, will help any group keep its meetings effective and efficient. And
after that, practice will make perfect.

 Choose a time and location that will be convenient for as many people as
Before the Meeting: Be Prepared

possible. If your group has a large number of young parents in it, don’t set a
meeting for tea time. If your group has a large number of working people in it,
don’t set a meeting in the middle of a workday. Don’t choose a pub (remember
what Dr William King said!). Try a community or town hall, if you can get
access. You are unlikely to get every person, every time, but by being judicious
you can increase the odds of the getting the greatest number of people in the
room. You also demonstrate to your members that you know who they are,

 Publicise the event widely. Make sure that the date, time and location are well
and respect their time.

known. Put up posters and signs in shops where you think potential co-op
members might go. Try to get a press release into the local paper. List a
contact person on your advertisements and encourage word-of-mouth

 Do your homework. Clearly define the

promotion.

goals of your meeting. Try to anticipate

Sample Agenda

any areas of conflict as well as any
Introductions and agenda review
logical questions you are likely to be  Background and reports

 Choose a facilitator and note taker in
asked. Discussion and decisions
 Any other business
 Set the next meeting time and place

advance. Many co-op groups rotate
Adjourn
these positions in order to both foster a

62 NUTS & BOLTS

 sense of equality within the group and to allow all members to develop their


management skills.
Prepare a written agenda for the meeting and distribute it well ahead of the


meeting.
Assign times for each agenda item. Make sure the meeting’s goals are realistic
for the time allotted. As a general rule, meetings should be kept to less than
two hours.

 Make sure that the meeting is friendly and welcoming. Serve refreshments and
At the Meeting: Build Trust

greet people with a smile. Ask everyone attending to sign in with their name

 Never forget that people are giving up their precious free time to be there.
and contact details (this will be the first database of interest your group has!).

 Hand out copies of the agenda to everyone present. Ask whether anyone
Respect their time by starting, and ending, the meeting as scheduled.

wants to add anything to the agenda, and if so, then ask for group approval

 Introduce yourself briefly.

(usually by a show of hands) to include the new item.

 Review the purpose or goals of the meeting and if applicable, ask the partici-

 Make sure that someone is taking minutes documenting where and when the
pants to introduce themselves.

meeting took place, the agenda discussed, what issues are being decided and

 Allow the chosen facilitator to run the meeting in an effective, productive and
what issues are being debated.

inclusive way.

 Make sure the agenda has been agreed at the beginning of the meeting.
At the Meeting: Preventing Bad Behaviour

 Set ground rules of behaviour at the very first meeting (e.g. no interruptions,

 If someone’s comments wander away from the subject, gently remind him or
time limits, everyone having a chance to participate.)

her of the goals of the meeting (e.g. “at is an interesting point, but today we

 If someone is dominating the discussion, remind the group of the importance

are here to discuss…”).

 If tension begins to build, adjourn for a short break.

of hearing many ideas. Call on other people to solicit their thoughts.

 If the group comes to an impasse on an issue, set up a committee to work on it

at another time rather than using the whole group’s time during the meeting.

NUTS & BOLTS 63

NUTS & BOLTS Note 2
HOW TO BE A GOOD MEETING FACILITATOR
Facilitators are not meant to be dictators or tyrants. e most successful ones do
just as the title suggests; they facilitate the discussion of the issues at hand. ey
remain impartial and outwardly neutral (no matter how upset he or she may be on
the inside!). ey guide, gently (and sometimes not so gently) enforce the rules and
do their very best to make sure that everyone has his or her say.
e role of facilitator can be a very tough one. e facilitator is the one in the
firing line, in the judge’s seat and often the counsellor’s chair. As the facilitator, you
have all eyes on you, good and bad. ere are various tricks to keeping everything
under control, however, and here are a few of them.

 Keep the discussion on topic but also encourage people to discuss their views.
 Call attention to disagreements. When handled openly, differing opinions can bring
fresh solutions. Encourage people to speak for themselves and to be specific. Make
certain that one or two vocal characters do not dominate the meeting. When


possible, ask the quieter members to contribute their view on a subject.


Allow disagreement but never personal attack.
If the meeting is running over time, decide with the group how to proceed,
either by extending for a specific amount of time or by rescheduling some


agenda items to the next meeting.
Conclude the meeting with a brief, positive summary of everything that was


achieved in the meeting.
Schedule the next meeting and remind everyone of that time, date and venue
and end the meeting on time.

NUTS & BOLTS Note 3

RESPONSIBILITIES OF THE STEERING COMMITTEE
e Steering Committee may simply be your initial “core group”, formalised.
Together they will co-ordinate all the tasks needed to move the co-op from its early
stages through to the establishment of more formal structures. Depending on the
group’s time and financial situation, the Steering Committee may do the following
tasks itself or it may delegate them to outside consultants.
Being a member is a position of great responsibility, and anyone considering
accepting a nomination ought to think very carefully about his or her other commit-

64 NUTS & BOLTS

ments. A co-op cannot afford any figureheads in its leadership positions. Everyone has
to work, and those who choose to be in lead roles will have to work very hard! ere is
simply too much to do and typically too little money to get it done. After all, the whole
point of a co-op is that everyone pulls his or her own weight.

 Co-ordinate all research including via specialised sub-committees

e Basic Responsibilities:

 Establish membership structure, survey actual and potential members, and

 Manage the initial feasibility study, including financial projections

recruit new members

 Explore options for outside financing and pursue early discussions with

 Report on progress and co-ordinate membership meetings as needed

financing agencies

 If initial research shows that a co-op is feasible, oversee business plan prepara-

 Handle public relations, including inquiries from the media and publicity
tion

about the co-op’s accomplishments and progress

 Operations Committee: conducts the feasibility study, researches locations,

Suggested Sub-committees

handles real estate negotiations, manages research and inquiries as to

equipment, regulations, suppliers, co-ordinates preparation of a business

 Finance Committee: develops financial projections, researches funding

plan.

 Membership Committee: researches and assesses membership structures,

options, co-ordinates a campaign for subscriptions and perhaps loans.

prepares relevant paperwork, co-ordinates recruitment of new members,

organises member communications (newsletters, email, website etc.) and
meetings, surveys members, plans outreach into the community.

NUTS & BOLTS Note 4

A SHORT GUIDE TO CONSUMER CO-OP MEMBERSHIP
A co-op membership programme has three goals:

1. To provide the money it needs to get started;

2. To create a sense of ownership among the co-op’s members;

NUTS & BOLTS 65

3. To clarify the co-op’s structure as a genuine co-operative rather than simply
a shop with a patina of ethical behaviour.

Types of Capital
In business, there are essentially two kinds of capital: equity (money invested by
the shareholders of a company or members of a co-op) and debt (money
borrowed, mostly from outside sources such as banks). For a start-up co-op in
particular, an important third source is grant or sponsorship funding.
Where does the money come from?

Equity Finance
: Membership dues or fees
: Membership shares or investments
: Surpluses!

Grants, Gifts and Sponsorship

: Members
: Wealthy individuals
: Companies and foundations
: Other grant-giving bodies

Debt Finance
: Outside loans (capital leases, lines of credit, commercial loans and mortgages)
: Member loans (see Nuts and Bolts Note 10 below)

Without sufficient member equity, a co-op is forced to seek its financing from
outside sources. is, however, has distinct disadvantages. Suppliers can use their
position to increase their prices, while, bank financing can be expensive and restric-
tive. ey typically charge rates of interest reflecting the risks involved, which are
high for any start-up. If, however, a co-op has a solid base of member equity, it is
better able to negotiate with suppliers as well as obtain more favourable terms from
banks and other financial institutions.
Best yet is to get as much money as possible, beyond membership capital, in
the form of grants and gifts. This money comes with no strings attached and
without the worry of repayment. It cannot be stressed enough that it is worth
spending a fair amount of time finding sources of this type of funding; wealthy
individuals or businesses who see the value of the co-op to the community ( for

66 NUTS & BOLTS

example, a local dairy who may benefit from a new outlet in the co-op) and are
willing to contribute more than the membership fee (often this is done anony-
mously). There are also regional and national organisations which support new
co-ops and new food businesses (such as the Village Retail Services Organisation
or ViRSA).
Here there is again some benefit to the IPS structure. Some co-ops offer
grades of membership; with varying levels of cost which enable members to
enjoy varying—though different—benefits. In a not-for-profit IPS, by contrast,
the share capital may be limited to a nominal amount. The shares bought with
membership fees are of par value (with no value above face value, if redeemable
at all) and all profits and losses are common property of the co-op and its
members. Additionally, membership is limited to one-membership one-vote
and limits individual shareholding at £20,000 (unless shares held by other IPSs).
It is obviously more democratic to have only one type of membership and to
keep that threshold low so that everyone in the community can afford it. It
allows the least well-off to benefit from the co-op and provides the better-off a
chance to contribute more, if they wish, in a way which is not divisive to the
community.

 Structure the costs and benefits to individual members and to the co-op so
General Tips for organizing a successful membership system

that they are advantageous for each side. e required membership invest-
ment must be great enough so that when combined with other sources of
funding it provides the money needed to make the co-op viable. Try to set the

 Try to keep membership administration simple and easy to maintain. It is

cost of membership low enough not to exclude anyone.

easy to start quickly and wrong. Set things up carefully from the outset.
Make membership simple so that it is attractive and easy to explain to new

 Hold down administrative costs that are passed directly to the members (e.g.
members.

 Make sure the system’s organisation reflects the Rochdale Principles of fair-
fees for replacing lost cards) to a nominal level.

ness, openness and democracy. New members should acquire all rights to
membership as soon as they join, including voting rights. It is fundamental

 It is important to remind prospective members that if the co-op fails they

that all members are equal within the co-op.

may lose part or all of their member equity.

NUTS & BOLTS 67

NUTS & BOLTS Note 5
A POSSIBLE MEMBERSHIP STRUCTURE: THE BLOCKLEY CO-OP

SUMMARY OF THE RULES OF THE BLOCKLEY

CO-OPERATIVE ASSOCIATION LIMITED
(An Industrial and Provident Society registered with
the Financial Services Authority with No. 30225R)

1. Objects
The objects shall be for the benefit of the community, to sustain, provide, encourage, facilitate or resuscitate
village retail enterprises and in particular, shops, post offices, public houses and garages, including the acqui-
sition of land, construction, improvements, alteration or adapting of buildings or dwelling houses and any other
functions ancillary, supplemental or incidental to such objectives. (Obviously the immediate object is to main-
tain the village shop and re-establish the Post Office.)

2. Powers
The Association shall have power to do all things necessary or expedient for the fulfilment of its objectives
and in particular to act as managing agent, secretary or provider of services to any society, group of people,
Parish Council or other like body having similar objectives. The Association may invest its funds in securities,
bonds, mortgages, shares etc and will have power to borrow and to mortgage or charge any of its property.

3. Shares
Shares will be issued upon admission to membership of the Association. The shares will not carry any right
to interest, dividend or bonus. Each share will give the owner an equal say in the running of the Association.
The liability of each Member is limited to the share value. Each member may hold one share only.

4. Meetings
An annual meeting will be held within six months of the close of the financial year to receive the accounts
and balance sheet and the reports of the Management Committee; to deal with the election of the Manage-
ment Committee, the fixing of annual subscriptions (if any), the appointment of an auditor (if required) and
any other business. A quorum will be ten members or 10% of the members, whichever is the greater. Voting
will be by show of hands, but a secret ballot may be requested by at least two members at the meeting. At
least 12 members or 10% of the members, whichever is less, may require an extraordinary meeting.

5. Officers
The Management Committee will elect from its members such honorary officers as may be needed (e.g. Chair-
person, Vice-Chairperson and Treasurer). The Committee may appoint a Secretary of the Association upon such
terms as and such remuneration as it deems fit.

6. Management Committee
The first Management Committee will comprise the Founder Members of the Association. Thereafter,
membership of the Committee will be at least three and no more than fifteen members who are elected
at the Annual Meeting. All members of the Committee will retire annually but be eligible for re-election.
Only shareholders over the age of 18 will be eligible. Proper minutes will be kept of all proceedings and
be open to inspection by any member of the Association. A quorum will be three members present.

68 NUTS & BOLTS

 7. Powers and Duties of the Management Committee
To manage the Association and to pay all expenses and borrow or charge property of the Association as they
deem fit, save for powers reserved to the members by statute or the rules to be exercised in General Meeting.

8. Surplus
The Association will not trade for profit. Any surplus will be applied to general reserves for the continuation
and development of the Association or to make payments for social or charitable purposes compatible with
the objects.

9. Auditors, Returns and Records

The Association may appoint an auditor each year but an audit of the accounts is no longer a require-
ment in accordance with the provisions of The Deregulation (Industrial and Provident Societies) Order
1996. Annual returns will be filed with the Financial Services Authority. Registers of Members, Books
of Account, etc will be maintained.

10. Dissolution
The Association may be dissolved only by the consent of 75% of the members. The net assets of the
Association shall not be distributed amongst the members but shall be transferred to such organisa-
tion or organisations having objects similar to compatible with those of the Association as may be
decided by the members.

11. Inspection
A complete set of the Rules is available for inspection at www.keepblockleyshop.co.uk or by request
from any member of the Management Committee.

NUTS & BOLTS Note 6

THE BOARD OF DIRECTORS
e Board of Directors is responsible for the co-op’s actions and for ensuring that the
business is managed well. e Board is an elected body that oversees the co-op on behalf
of the members. e members of the Board only have authority as far as the Board’s deci-
sions go. ey have no special individual power or influence independent of the Board.
Typically the level of care to which a Board member is held is that he or she acts in a way
that he or she reasonably believes to be in the best interest of the co-op and with such
care as an ordinarily prudent person in a similar position would use in similar circum-
stances. All Directors are held to the same standard, regardless of their role on the Board.

Basic Responsibilities of Directors of the Co-op

e duties and responsibilities of Directors will be partly governed by the nature of the
legal structure adopted by the co-op. ese are derived from custom and practice
(“common law”) and through legislation. However, regardless of the nature of the struc-
ture, there are a number of clear duties and responsibilities, the key ones of which are
referred to below:

NUTS & BOLTS 69

Statutory
e Directors are responsible for keeping proper accounting records with respect to
transactions, assets and liabilities as are necessary to give a true and fair picture of
the state of the affairs of the co-op. is includes producing annual accounts which
must be audited, they must be made available at the co-op’s registered office and
lodged with the Companies Registry (in respect of a Companies Act entity) or the
Financial Services Authority (in the case of an Industrial and Provident Society).
In addition there are a number of other general statutory requirements relating to the
nature of the co-op’s correspondence and the type of information required on such corre-
spondence.

Acting within the co-op’s powers

At all times the Directors must act within the powers set out in the co-op’s constitutional
documentation and thus care will need to be taken in drawing up both the objects and
powers of the co-op.

Insolvency
e co-op is covered by the insolvency legislation so that the Directors must not allow
the co-op to trade when it cannot meet its liabilities. us, the Directors should ensure
they keep abreast of trading progress of the co-op by reviewing management reports,
monitoring key indicators of success (such as sale trends and inventory management)
and evaluating management’s overall performance.

Honesty and Good Faith

All Directors must at all times act in the best interests of the Society and its members
as a whole. ey must exercise their powers, not only in good faith, but for proper
purposes which includes keeping the affairs of the co-op confidential. us the Direc-
tors must never seek to make a secret profit from the co-op or benefit in any way from
its activities other than through their membership entitlement.

Binding the co-op

e Board of Directors can bind the co-op which thus strengthens the obligation on them
to take care in exercising their powers and to seek advice whenever required.

Conflicts of Interest
It is also important that Directors avoid conflicts of interest before exercising their
powers and declare such conflicts before any discussion at board meetings takes place.
One of the Board’s most important roles is the oversight of the co-op’s management,
who are hired by and accountable to the Board. It is very important that the Board stay
focused on providing overall direction but not micro-management to those employees.

70 NUTS & BOLTS

e Board should give guidance and guidelines but allow their management to get on
with their jobs by focusing their guidance on two things: clearly defining the results to be
achieved by management and setting realistic limits to guide the performance. Often the
guidance to management comes in the form of official “directives” or, in other words, offi-
cial tasks. ey are often worded like this: “Management shall present an annual capital
and operating budget to the board in time for approval before the new financial year begins.”
Or, “e Membership Committee shall research options for new member benefits and
present a recommendation to the Board at its November meeting.”
Directors give straightforward tasks and set realistic time frames for their completion.
In this way everyone knows what is expected of everyone else. An effective Board is one
of the greatest assets a co-op can have.

NUTS & BOLTS Note 7

INCORPORATING YOUR CO-OP
e selection of the legal and corporate structure for your co-op will require considerable
care and advice from a solicitor or accountant. ere are, broadly, five legal vehicles that
could be utilised: these are briefly described below, with a summary table at the end to
allow you to compare their relative strengths and weaknesses.

Unincorporated Association
Many clubs and societies are created through an unincorporated association and
frequently village halls are, for example, owned by such a body. However, unincorporated
associations have no legal personality and would be unattractive for a food co-operative as
there is unlimited liability for those running the association.

Trust
A non-charitable trust could likewise be created where trustees would own the assets of a
co-op and administer those assets for the benefit of members of a co-op. However, again
this would be unattractive for a food co-op as there would, likewise, be unlimited liability
for the trustee.

Company limited by guarantee

is would be a Companies Act entity with a membership and Board of Directors. It is the
most commonly used corporate legal structure and provides limited liability. All members
would “guarantee” a nominal sum (usually £1) in the event of insolvency. However, so far
as co-ops are concerned, there would be a relatively complex structure to reflect the co-
operative principle. However, such an entity does imply that it would be non-profit
distributing working on behalf of its members.

NUTS & BOLTS 71

LEGAL VEHICLES FOR FOOD CO-OPERATIVES

LEGAL STRUCTURE KEY FEATURES OWNERSHIP, GOVERNANCE IS IT A LEGAL PERSON DISTINCT FROM
AND CONSTITUTION THOSE WHO OWN AND/OR RUN IT?

UNINCORPORATED  Informal structure  Nobody owns an unincorpo-  No, it is an unincorporated entity and,
ASSOCIATION  No statutory regulation of rated association as such, has no separate legal person-
this structure;  Run entirely according to ality.
 Governed by own rules own rules.  Those running it will have to enter
 No legal personality into all contracts and hold all property
in their own name.
 Unlimited liability for those running
the association who could be person-
ally liable

TRUST  Set up by way of trust deed.  Legal title in all assets is held  No, it is an unincorporated entity and,
 Deed will set out the terms of by the trustees. as such, has no separate legal person-
the trust including the  Beneficial ownership of the ality.
purposes for which assets are assets is with the benefici-  Trustees will have to enter into all
held and for whom. aries of the Trust. contracts and all hold property in their
 Legal ownership is separated  The trustees administer and own name.
from beneficial ownership. manage assets for the benefit  Unlimited liability for trustees who
of the beneficiaries in accor- could be personally liable.
dance with the terms of the
trust.

COMPANY  Incorporated vehicle  Directors manage business on  Yes; it is an incorporated entity and,
LIMITED BY  Board of directors and a behalf of members. as such, has a separate legal person-
GUARANTEE membership  Some governance require- ality.
 Flexible and familiar vehicle. ments are imposed by statute  The company itself enters into
 Most commonly used corpo- but, within those restrictions, contracts and holds all assets.
rate legal structure. there is considerable flexi-  Members' liability limited to amount
bility over internal rules. of the guarantee,
 Liabilities of the company sit with the
company itself although directors may
be personally liable in limited circum-
stances

COMMUNITY  Limited company structure  As for a company limited by  Yes; it is an incorporated entity and,
INTEREST specifically for social enter- guarantee above but subject as such, has a separate legal person-
COMPANY (CIC) prises to additional regulation to ality.
 Secure "asset lock" and a ensure community benefits.  The company itself enters into
focus on community benefit. contracts and holds all assets.
The asset lock means that all  Members' liability is limited to
assets of the CIC and any amount of the guarantee or the
surpluses generated by them amount unpaid on shares.
are used for the benefit of  Liabilities of the company sit with the
the community. company itself although directors may
 CIC 'branded' be personally liable in limited circum-
 Can be a guarantee or a stances
share company.
 If a share company, can issue
dividends to investors subject
to a cap

INDUSTRIAL &  Incorporated entity  Board members manage on  Yes; it is an incorporated entity and,
PROVIDENT  For the benefit of the commu- behalf of the members. as such, has a separate legal person-
SOCIETY (IPS) nity generally i.e not its own  One member / one vote irre- ality.
(COMMUNITY members spective of the size of  The Society itself enters into contracts
BENEFIT SOCIETY  Board members and share- shareholdings and holds all assets.
(BENCOMM)) holders.  Members' liability is limited to
 Common model in co-opera- amount unpaid on shareholdings.
tive and housing sector.  Liabilities of the Society sit with the
 Governed by the Industrial Society itself although board members
and Provident Societies Acts may be personally liable in limited
circumstances
CAN ITS ACTIVITIES BENEFIT THOSE ASSETS "LOCKED IN" FOR MEMBERSHIP FUNDING COMMENTS
WHO OWN AND/OR RUN IT? COMMUNITY BENEFIT?

 Depends on own rules.  The rules of the association  Difficult to achieve without  Unattractive for food
could provide for this but do detailed provisions in consti- co-operatives as
not necessarily have to unless tution. unlimited liability.
charitable status is being
sought.

 As the trust will not charitable, then  Not necessarily.  Difficult to achieve without  Unattractive for food
trustees can benefit from the trust.  For co-operatives and social detailed provisions in consti- co-operatives as
enterprises, assets would tution. unlimited liability.
need to be locked in for
community/public benefit.

 If not charitable, then yes, benefits  For a food co-operative of  Arrangements could be incor-  Company structure
can be paid. social enterprise, assets can porated for funding by is complex for use in
only be applied in furtherance members. co-operatives
of the company's objects although registra-
(which would state that they tion is relatively
were for public benefit) straight-forward
 In addition, there would be a
'non distribution' clause
ensuring that all surpluses
were reinvested into the
stated objects of the
company

 Yes, but must benefit wider commu-  Yes, through standard provi-  CICs are designed to incorpo-  Relatively untried
nity as well. sions which all CICs must rate shareholding corporate entity.
 Can pay limited dividends to private include in their constitutions. arrangements which involve Could be used in co-
investors. There is a statutory cap dividends for such shares operative
on the amount of dividends payable environment
which is set by the Secretary of
State. The current maximum divi-
dend per share is 5% above the
base lending rate of the Bank of
England. The other cap is on the
amount of profits capable of distri-
bution (currently, the aggregate cap
is 35% of distributable profits).

 Co-operative structure can benefit  Yes .  The IPS regime is adaptable  Registration is more
its members whereas other IPSs in that loan stock can be time-consuming.
must primarily benefit non- issued to lenders and interest use of “model rules”
members. paid thereon. reduces cost
 Asset lock applies.
Community Interest Company (“CIC”)
e CIC is a comparatively new vehicle specifically designed for use for social enter-
prises. It incorporates an ”asset lock” and a focus on community benefit. ey can be
particularly useful by allowing the CIC to be either a guarantee or share company.
e latter can be useful where, for example, private investors which to purchase
shares which can pay dividends subject to a cap set by the relevant government
department. Whilst at CIC could undoubtedly be used for a food co-op, it is rela-
tively untried as a corporate entity.

Industrial and Provident Society (“IPS”)

e IPS is the most commonly used form of co-operative and is generally recom-
mended to those involved in the field. As mentioned above, they are registered by
the FSA and there are various sets of model rules to assist individuals wishing to
create such a corporate entity. Whilst there are some similarities (particularly in
the context of the wording of their governing instruments) between the three corpo-
rate entities, one or two features of the IPS are highlighted below.

e Features of the IPS regime

e FSA issue helpful guidance notes to assist with the registration of a bona fide
co-operative society and, in particular, set out some of the basic requirements. An
IPS adopts rules which must be prudent, fair, clear and well drafted and each IPS
would qualify for registration if it is carrying on an industry, business or trade (such
as a food co-op) and it is either a bona fide co-operative or if its business is run for
the benefit of the community and there are special reasons why it should be regis-
tered as an IPS, rather than a company.
e FSA set out a number of conditions for registration as a co-operative, the first
four of which also reflect the International Co-operative Alliance’s Statement on the
Co-operative Identity (as set out in Chapter 4).

Community of interest
ere should be a common economic, social or cultural need or interest amongst all
members of the co-operative.

Conduct of food co-op

The food co-op will be run for the mutual benefit of the members, so that the
benefit members obtain will stem principally from their participation in the
business.
Participation may vary according to the nature of the business and may
consist of:

74 NUTS & BOLTS

 buying from or selling to the IPS;
 using the services or amenities provided by it; or
 supplying services to carry out its business.

Control
Control of the IPS lies with all members. It is exercised by them equally and should not
be based, for example, on the amount of money each member has put into the society.
In general, the principle of “one member, one vote” should apply. Officers (i.e. Direc-
tors) of the IPS should generally be elected by the members who may also vote to
remove them from office.

Interest on share and loan capital

Where part of the business capital is the common property of the co-operative, members
should receive only limited compensation (if any) on any share or loan capital which they
subscribe. Interest on share and loan capital must not be more than a rate necessary to
obtain and retain enough capital to run the business. Section 1(3) of the Industrial and
Provident Societies Act 1965 states that an IPS may not be a bona fide co-operative if it
carries on business with the object of making profits mainly for paying interest, dividends
or bonuses on money invested with or lent to it, or to any other person.

Profits
If the rules of the co-op allow profits to be distributed, they must be distributed amongst
the members in line with those rules. Each member should receive an amount that
reflects the extent to which they have traded with the co-op or taken part in its business.
For example, in a retail trading society, profits might be distributed amongst members as a
dividend or bonus on purchases from or sales to the society. In other societies (for
example, social clubs) profits are not usually distributed amongst individual members but
members benefit through cheaper prices or improvements in the amenities available.

Restriction on membership
ere should normally be open membership. is should not be restricted artificially
to increase the value of the rights and interests of current members, but there may be
grounds for restricting membership in certain circumstances, which do not offend co-
operative principles.
ere are some other conditions of registration which require, for example, that
there should be at least three members and that the proposed name of the co-op must
not be “undesirable”. It is always wise to check the name with the FSA as there are
certain words ( for example with a Royal connection) which are permitted and/or for
which special permission may need to be sought.

NUTS & BOLTS 75

NUTS & BOLTS Note 8
SYNOPSIS OF INDUSTRIAL AND PROVIDENT SOCIETY
CO-OP RULES
As mentioned above it is always useful to utilise model rules for the registration of a
food co-op as this would both facilitate speedy registration and assist the co-op’s
Shadow Board of Directors in drafting the necessary rules. Below is set out some of
the standard provisions which will need to be considered by the Shadow Board.

1. e name of the Society will appear early in the rules.

2. e objects of the Society will need to be drawn as widely as possible and gener-
ally would state that they are wherever practicable in accordance with the
co-operative principles. Generally the objects would incorporate a reference to
carrying on the industry, business or trade of a retail or food enterprise and in
particular shops, public houses or garages, including the acquisition of land,
construction, improvement, alteration or adapting buildings or dwelling houses
or any other functions ancillary, supplemental or incidental to such objects.
3. Whilst the powers could be listed at length, generally the IPS will be stated to
have power to do all things necessary or expedient for the fulfilment of its
objects, but that it could continue to confirm that the co-op could act as
managing agent, secretary or provider of services to any society, group of
people, parish council or other like body (whether incorporated or otherwise)
having objectives similar to those of the co-op.
4. ere will be a clause dealing with the value of shares and would be purchased
for a nominal sum and be neither withdrawable nor transferable and shall
carry no right, interest, dividend nor bonus and shall be forfeited and cancelled
on cessation of membership from whatever cause. ere is also a statement
that the liability of members is limited to the amount remaining unpaid on
that member’s single share.
5. ere would be various provisions relating to membership and cessation,
including arrangements for expelling members.
6. Borrowing powers will need to be set out in the rules and will provide for the
issuing of loan stock to members and the maximum amount of any borrow-
ings, including loan stock. It will also provide power for the co-op to mortgage
or charge any of its property.
7. ere will be a number of provisions relating to general meetings covering
such matters as the agenda for such meeting, its proceedings, the quorum and
arrangements for voting, including provisions relating to proxy votes.
8. e rules will also contain provisions setting out the officers of the co-op, e.g. a

76 NUTS & BOLTS

 Chair, Vice-Chair and Treasurer and the numbers to be elected to its manage-
ment committee or board. Often arrangements are made for retirement of
board members on a three year cycle. ere will be arrangements in respect of
remuneration of board members restricted to services actually rendered to the
co-op. ere would be a number of provisions relating to resignation and
removal of board members.
9. Arrangements for the proceedings at board meetings, together with the powers
and duties of the board would be set out, together with a statement as to how
funds can be invested and surpluses dealt with.
10. e remaining rules will contain a number of administrative issues such as the
appointment of auditors, annual return arrangements, records and amend-
ments to rules. Importantly, rule changes generally can only be amended by a
vote of three quarters of all the members of the co-op and they are not valid
until formal registration by the FSA.

In addition to the rules, the co-op is likely to incorporate a range of standing orders
relating to the conduct of its business, including financial regulations dealing with
issues such as cheque signing and authority to negotiate and enter into contracts
on behalf of the co-op.

NUTS & BOLTS Note 9

ESTIMATING START-UP COSTS

Many businesses fail because they run out of cash before they have properly got going.
It is therefore essential to make a realistic estimate of your start-up funding needs.
To do this you will need to estimate the costs of your business for at least the first year,
and preferably year two as well.
Every business is different, and has its own specific cash needs at different stages
of development, so there is no universal method for estimating your start-up costs.
It may be that part or all of your co-op can be started on a shoestring budget, but some
activities such as food preparation may require considerable up-front investment in
inventory or equipment.
To determine your start-up costs, you must identify all the expenses that your co-op
will incur during its startup phase. Some of these expenses will be one-time costs such
as the fee for incorporating or price of a sign for your shop. Some will be ongoing, such
as the cost of utilities, inventory, insurance, etc. Take these differences into account.
While identifying these costs, decide whether they are essential or optional. A
realistic start-up budget should only include those things that are necessary to

NUTS & BOLTS 77

start that business. These essential expenses can then be divided into two sepa-
rate categories: fixed and variable. Fixed expenses include rent, utilities,
administrative costs (like wages), and insurance costs. Variable expenses include
inventory, shipping and packaging costs, and other costs associated with the direct
sale of your products.
Look at how the co-op’s need for cash may change if the business goes well or badly
to start off with. If it goes well, you may need more cash quickly (to finance new inven-
tory, for example). But if it goes badly, you may also need more cash quickly (to pay
wages until sales pick up, for example). ere are no hard-and-fast rules here. You
have to look closely at your business and consider what cash it will need in order to
flourish. When you have decided, add in a contingency amount. While having more
cash on hand than you need can lead to over-spending, it is at least as likely that you
will need or want the cash for other purposes anyway.
For all but the very smallest co-ops, it is essential to have someone to hand with
spreadsheet skills and ideally some accountancy experience from the outset. is
may mean hiring or borrowing an outside consultant. is is a wise investment!

NUTS & BOLTS Note 10

MEMBER LOANS
Member loans to the co-op can provide a good source of financing at reasonable
interest rates. At the same time, they offer members a good way to financially support
the co-op while also earning a decent interest rate.

 Decide what kind of loan you need. Will you be paying the capital back at the
Guidelines for a member loan programme:

end, or is there scope to pay some or all back early? Do you need to set up a

 Only current members can make loans to the co-op;

fund for future repayment of loans?

 Establish a minimum loan amount that makes the paperwork and admin costs

 Establish interest rates that are workable for the co-op (i.e. significantly below
to the co-op worthwhile. A suggested minimum might be £5,000;

 Give members the opportunity to loan money to the co-op at various terms
commercial loan rates) but will be attractive to members;

with longer-term loans earning higher interest rates. Start-up co-ops should
avoid member loans of less than 5 years, except as “bridge” financing until
other financing can be arranged;

78 NUTS & BOLTS

 It’s best to pay interest each year on the anniversary of the loan. Initially, the
co-op may wish to suspend interest payments (to have interest accrue only)


until after the first complete year of operation;
Keep track of loan expiration dates and set up a schedule for future loan repay-
ments. Make sure that many loans won’t all be coming due at the same time,


which can cause serious cash-flow problems;
Make it clear in member loan materials that member loans are unsecured and
that they are subordinated debt. is means that there is no collateral
securing the debt. Make it clear, in addition, that if the co-op has to repay all


its creditors, bankers and other suppliers will get paid before member lenders;
A solicitor must review all member loans materials including the brochure,
offering memorandum and promissory notes;

 A simple brochure or offering memorandum that gives background, including

Materials Needed for a Member Loan Program:

 A cover letter to send to prospective member lenders;

terms and conditions, on member loans;

 A form to be used as a promissory note; and

 A record-keeping system to track loans, interest rates, interest payments, and loan
terms.

NUTS & BOLTS 79

Appendix 1:
National Co-operative Organisations

FEDERAL BODIES RETAIL CO-OPERATIVES

Co-operatives UK The Co-operative Group
Federal body for the UK Co-operative Movement The world's largest consumer co-operative
Holyoake House, Hanover Street organisation
Manchester M60 0AS New Century House
www.cooperatives-uk.coop Manchester M60 4ES
Dame Pauline Green, Chief Executive www.co-operative.co.uk
Peter Marks, Chief Executive; Guy McCracken, Chief Executive,
Country Markets Ltd. Food Retail; Tim Hurrell, Managing Director Designate, Food
Body representing 67 local co-operatives running and (will shortly take over from Mr McCracken); Debbie Robinson,
producing for markets in England, Wales and the Director of Marketing, Food
Channel Islands
Dunston House, Dunston Road, Sheepbridge Midlands Co-operative Society
Chesterfield S41 9QD The UK's second largest co-operative society
www.country-markets.co.uk Midlands Co-operative Society, Hermes Road
Suzanne McKenna, Principal contact Lichfield, Staffordshire WS13 6RH
www.midlandsco-op.com
English Farming and Food Partnership (EFFP) John Fitzgerald, Chief Executive
Body set up to support the development of farmer-
controlled businesses, including co-operatives Milk Link
45 Ludgate Hill, London EC4M 7JU The largest co-operative milk provider
www.effp.com www.milklink.co.uk
Sion Roberts, Chief Executive
Dairy Farmers of Britain
National Farmers' Retail The second largest co-operative milk provider
and Markets Association Limited (FARMA) Alpha Building, London Road, Stapeley
A co-operative of farmers, producers selling on a local Nantwich, Cheshire CW5 7JW
scale and farmers' market organisers www.dairyfarmersofbritain.com
The Greenhouse, PO Box 575
Southhampton, SO15 7BZ East of England Co-operative Society
www.farma.org.uk Retail co-operative
Gareth Jones, Principal contact 38 Carr Street, Ipswich, IP4 1EW
www.eastofengland.coop
Scottish Agricultural Organisation Richard Samson, Chief Executive
Society Limited (SAOS)
A representative body for Scottish agricultural and Midcounties Co-operative
rural co-operatives specialising in co-operation among Retail co-operative
primary food producers New Barclay House, 234 Botley Road
Rural Centre, West Mains, Ingliston Oxford OX2 0HP
Newbridge, Edinburgh EH28 8NZ www.midcounties.coop
www.saos.co.uk Ben Reid, Chief Executive
James Graham, Chief Executive
Scottish Midland Co-operative Society
Retail co-operative
Hillwood House, 2 Harvest Drive, Newbridge
Edinburgh, EH28 8QJ
www.scotmid.com
John Brodie, Chief Executive

80 NUTS & BOLTS

Anglia Regional Co-operative Society Tamworth Co-operative Society
Retail co-operative Retail co-operative
Park Road, Peterborough, PE1 2TA 5 Colehill, Tamworth,
www.arcs.co.uk Staffordshire B79 7HA
John Chillcott, Chief Executive www.tamworth.coop
Richard Hughs, Chief Executive
Lincolnshire Co-operative
Retail co-operative Health Stores (Wholesale) Ltd.
Stanley Bett House, 15/23 Tentercroft Street Health foods distribution co-operative
Lincoln LN5 7DB Unit 10, Blenheim Park Road
www.lincolnshire.coop Nottingham, NG6 8YP
Ursula Lidbetter, Chief Executive www.thehealthstore.co.uk
Graeme Gunn, Managing Director
Plymouth and South West Co-operative Society
Retail co-operative
88 Royal Parade, Plymouth, Devon PL1 1HA
www.psw.coop
Douglas Fletcher, Chief Executive OTHER ORGANISATIONS
Southern Co-operatives Blockley Co-operative Association
Retail co-operative www.keepblockleyshop.co.uk
44 High Street, Fareham, Hampshire PO16 7BN
www.southern.coop Co-operative College
Mr G. R. Bennet, Chief Executive Holyoake House, Hanover Street
Manchester M60 0AS
Lothian, Borders and Angus Co-operative Society www.co-op.ac.uk
Retail co-operative
46 Channel Street, GALASHIELS, Selkirkshire Employee Ownership Association
Scotland TD1 1BA Mezzanine 2, Downstream Building
www.lothianco-op.co.uk 1 London Bridge, London SE1 9BG
Mr R. Jamieson, Chief Executive www.employeeownership.co.uk

Heart of England Co-operative Society Plunkett Foundation/Village Retail Services

Retail co-operative Association (ViRSA)
22 Abbey St, Nuneaton, Warwickshire CV11 5BU The Quadrangle, Woodstock
www.21stcentury.coop Oxfordshire, OX20 1LH
Ali Kurji, Chief Executive www.plunkett.co.uk

Chelmsford Star Co-operative Society Robert Owen Society

Retail co-operative Robert Owen House,
220 Moulsham Street, Chelmsford, Essex CM2 OLS 18 Burgess Street
www.chelmsfordstar.coop Leominster, Herefordshire HR6 8BE
Tony Gudgeon, Chief Executive www.robertowen.org

Scotlean Pigs Unity Trust Bank

Agricultural livestock marketing co-operative Nine Brindley Place
www.scotlean.co.uk Birmingham B1 2HB
John Barron, Managing Director unity.uk.com

NUTS & BOLTS 81

Appendix 2:
Directory of UK Food Co-Ops
and Related Organisations

is appendix lists a wide range of food co-ops, farmers markets, food
farms and organic food delivery services operating up and down the
UK. Inevitably it is incomplete. If you know of other organisations
that should be added to the list, please let us know.

Scottish Agricultural Organisation

1. SELECTED UK FOOD CO-OPS Society Limited (SAOS)
Rural Centre,West Mains, Ingliston
Country Markets Ltd. Edinburgh EH28 8NZ
Dunston House, Dunston Road, Sheepbridge www.saos.co.uk
Chesterfield S41 9QD Essential Trading Co-operative Ltd
www.country-markets.co.uk Unit 3, Lodge Causeway Trading Estate
Dairy Farmers of Britain Fishponds, Bristol BS16 3JB
Alpha Building, London Road, Stapeley, Nantwich, www.essential-trading.co.uk
Cheshire CW5 7JW Fruity Nutters
www.dairyfarmersofbritain.com fruitynutters@awkward.screaming.net
Envolve 02380 636 080
Green Park Station, Bath BA1 1JB Riverside Market
www.envolve.co.uk/index.html Fitzhamon Embankment, Cardiff CF11
Green Action Food Co-op www.riversidemarket.org.uk
http://www.luuonline.com/intheunionbuilding/ Infinity Foods
greenactionfoodcoop.php 67 Norway Street, Portslade
True Food Co-op East Sussex BN41 1AE
Unit D6,Acre Business Park,Acre Road www.infinityfoods.co.uk
Reading RG2 0SA Suma Wholefoods
www.truefood.coop/welcome Lacy Way, Lowfields Business Park
Oblong Food Co-op Elland, HX5 9DB
Beulah Hall, 2 Beulah Mount www.suma.co.uk
Leeds LS6 2JZ
http://oblongleeds.org.uk/node/7 2. FARMER’S MARKETS
Bristol Local Food ese are regular farmers markets that are
Front car park, The Gatehouse Centre members of the National Association of Farmers
Hareclive Road, Hartcliffe, Bristol BS13 9JN Markets. ese markets operate within the guide-
http://www.bristollocalfood.co.uk/?p=52 lines laid out by the NAFM, meaning that you can
Fareshares be more confident that the produce you buy is
56 Crampton Street, London SE17 3AE local. See http://www.rickstein.com/Farmers-
http://www.fareshares.org.uk/ Markets.html for online details.
Rural Regeneration Unit
Unit C, Lakeland Business Park, Cockermouth Aberaeron
Cumbria CA13 0QT Inner Harbour, Aberaeron, Ceredigion
http://www.rru.org.uk/projects/rural-regeneration/ 01970 828194
Rainbow Community Food Co-op Aberystwyth
http://www.wdco.org/site/Rainbow-Community- North Parade, Aberystwyth, Ceredigion, Wales
Food-Co-operative/index.htm 01970 828194

82 NUTS & BOLTS

Abingdon Bedford
Near the Market Place, Abingdon, Oxfordshire Harpur Square, Bedford, Bedfordshire
http://www.tvfm.org.uk/ vphillips@bedford.gov.uk
0870 241 4762 01234 221672
Ampthill Belper
Bedford Street Car Park, Ampthill, Bedfordshire Market Place, Belper, Derbyshire
council@ampthilltowncouncil.org.uk 01773 822116
01525 404355 Bewdley
Andover Opposite Dog Lane Car Park, Bewdley, Worcestershire
High Street, Andover, Hampshire 01905 795937
http://www.hampshirefarmersmarkets.co.uk/ Bingley
01962 845135 Chapel Lane Market, Bingley, Yorkshire
Arundel 01535 670950
Market Square, Town Quay, Arundel, West Sussex Birmingham
01789 865804 Birmingham New Street/Victoria Square, Birmingham
Ascot 0121 303 0300
Car Park 3, opposite race course, Ascot, Berkshire Blandford Forum
www.tvfm.org.uk The Corn Exchange, Blandford Forum, Dorset
0870 241 4762 01305 848107
Axbridge Borough Market
Town Square, Axbridge, Somerse Off Borough High Street, London SE1 1TL
http://www.somersetfarmersmarkets.co.uk/ http://www.boroughmarket.org.uk/
01458 830801 Brackley
Aylsham Market Place, Brackley, Northamptonshire
Market Place, Aylsham, Norfolk 07775 938517
01263 734580 Brecon
Bakewell Brecon Market Hall Brecon, Wales
Agricultural Business Centre, Agricultural Way, 01874 610008
Bakewell, Derbyshire Bridgend
http://www.bakewellabc.co.uk Awel y Mor, Porthcawl, Bridgend
01629 813777 http://www.bridgendfarmersmarket.co.uk/
Banbury 01656 658963
Cornhill Banbury, Oxfordshire Bridgwater
http://www.tvfm.org.uk/ Fore Street, Bridgwater, Somerset
0870 241 4762 01984 667252
Barleylands Bridport
Barleylands Craft Village & Farm Centre, Billericay, Essex Arts Centre, Bridport, Dorset
http://www.barleylands.co.uk/ 01305 848107
01268 290229 Brigg
Barnard Castle Market Place, Brigg, Lincolnshire
Cobbles Barnard Castle, County Durham 01652 657053
http://www.teesdalefarmersmarkets.co.uk/ Bristol
07759 832234 Corn Street, Bristol
Barnston 0117 922 4016
Village Hall, Barnston, Essex Broadway
01279 871532/07904 032393 Village centre, Broadway, Worcestershire
Basingstoke http://www.worcestershirefarmersmarkets.net/
Outside Willis Museum, Basingstoke, Hampshire 01905 795937
http://www.hampshirefarmersmarkets.co.uk/ Bromsgrove
01962 845135 High Street Bromsgrove, Worcestershire
Beaconsfield 01905 795937
Windsor End, Old Town, Beaconsfield, Buckinghamshire Bromyard
http://www.tvfm.org.uk/ Outside Leisure Centre, Bromyard, Herefordshire
0870 241 4762 01873 890675
Beccles Brough
Beccles Heliport, Beccles, Suffolk Brough Memorial Hall, Brough, Cumbria
01502 476240 01768 342135

NUTS & BOLTS 83

Cardiff Darlington
Fitzhamon Embankment, Cardiff Market Place, Darlington, Co Durham
Glamorgan, Wales http://www.darlington.gov.uk/
http://www.riversidemarket.org.uk/ 01325 388691
02920 227892 Deddington
Cardigan Market Place, Deddington, Oxfordshire
Pendre Car Park, Cardigan, Cardiganshire 01869 338282
01970 828194 Dedham
Castle Donington Assembly Rooms, Colchester, Essex
St Edwards School, Castle Donington 01206 282709
Leicestershire Doncaster
01530 261379 Goose Hill, Doncaster Market, Doncaster, Yorkshire
Cheddar 01302 886479
Church House or Cliffe Street Car Park Dorchester
Cheddar, Somerset Poundbury, Dorchester, Dorset
http://www.somersetfarmersmarkets.co.uk/ 01305 848107
01458 830801 Driffield
Chepstow The Showground, Kelleythorpe, Driffield, Yorkshire
Senior Citizen Hall, Chepstow, Gwent, Wales http://www.driffieldshow.co.uk/
01600 712611 01377 257494
Chipping Norton Droitwich
Market Square, Chipping Norton, Oxfordshire Victoria Square, Droitwich, Worcestershire
http://www.tvfm.org.uk/ 01905 795937
0870 241 4762 East Grinstead
Chipping Sodbury Chequer Mead Car Park, East Grinstead, West Sussex
Town Hall, Chipping Sodbury, Gloucestershire 01444 477347
01454 321010 Edinburgh
Christchurch Castle Terrace, Edinburgh, Scotland
Saxon Square, Christchurch, Dorset http://www.edinburghcc.com
01305 848107 0131 652 5944
Cirencester Ellesmere
The Market Place, Cirencester, Gloucestershire Port Adjoining Market Hall, Ellesmere Port
http://www.foodlinks.info/ Cheshire
01453 834777 0151 356 6894
Coalville Ely
Market Hall, Coalville, Leicestershire Market Square, Ely, Cambridgeshire
01530 261379 http://www.eastcambs.gov.uk/
Colchester 01353 665555
St Mary's Arts Centre, Colchester, Essex Epworth
01206 282709 Market Place, Epworth, Lincolnshire
Coleshill 01652 657053
Church Hall Coleshill Warwickshire Exeter
01608 664659/01299 250484 Fore Street/South Street, Exeter, Devon
Colne http://www.exeter.gov.uk/
Market Street Car Park, Colne, Lancashire 01392 665757
www.colnemarket.co.uk Farnborough
01282 661240 Queensmead Precinct, Farnborough, Hampshire
Congleton http://www.hampshirefarmersmarkets.co.uk/
The Bridestones Centre (next to Safeway) Congleton 01962 845135
0151 261 1200 Felixstowe
Cranbrook Trinity Methodist Church Hall, Felixstowe, Suffolk
Vestry Hall, Cranbrook, Kent 01379 384593
01580 713843 Fleet
Crediton Gurkha Square off High Street, Aldershot, Hampshire
Market Square, Crediton, Devon http://www.hampshirefarmersmarkets.co.uk/
01363 775928 01962 845135
Dane Ford
End Dane, End Memorial Hall, Dane End Ford Airfield, Ford West, Sussex
01920 438947 02392 613601

84 NUTS & BOLTS

Frome Hexham
Cheese and Grain Market, Frome, Somerset Market Place, Hexham, Northumberland
http://www.somersetfarmersmarkets.co.uk/ 01434 27039
01458 830801 Highbridge
Gillingham Community Hall, Highbridge, Somerset
The Methodist Chapel, Gillingham, Dorset http://www.somersetfarmersmarkets.co.uk/
01305 848107 01458 830801
Glastonbury Hinckley
St John's Car Park, Glastonbury, Somerset The Market Place, Hinckley, Leicestershire
http://www.somersetfarmersmarkets.co.uk/ 01530 261379
01458 830801 Holmfirth
Gloucester Holmfirth Market Hall
The Cross & Southgate Street, Gloucester 01484 223732
http://www.foodlinks.info/ Horsham
01453 758060 Carfax Horsham West Sussex
Grays 01403 733144
High Street, Grays, Kent Huntingdon
0118 945 1799 Market Hill, Huntingdon, Cambridgeshire
Guildford 01480 388640
High Street, Guildford, Surrey Inverness
01483 444401 Eastgate Shopping Precinct, Inverness
Hailsham Scotland
Hailsham Cattle Market, Hailsham, East Sussex 01309 651206
01323 833359 Kenilworth
Harlow Talisman Square, Kenilworth, Warwickshire
Market Square, Harlow, Essex 01608 664659/01299 250484
0118 945 1799 Kidderminster
Harrison & Hetherington High Street, Kidderminster, Worcestershire
Borderway Mart Junction 43, M6 Carlisle, Cumbria 01905 79593
01228 590490 Lampeter
Harrogate High Street, Lampeter, Ceredigion, Wales
Market Place, Harrogate, Yorkshire 01570423200
01423 556027 Leamington
Hartington Spa Pump Room Gardens, Leamington Spa
Hartington Moor (Summer) Broomfield College 01608 664659/01299 250484
(Winter) Hartington, Derbyshire Leicester
http://www.hartingtonfarmersmarket.com/ Market Place, Leicester, Leicestershire
01629 534302 01530 261379
Hatfield Leighton Buzzard
White Lion Square, Hatfield, Hertfordshire High Street, Leighton Buzzard, Bedfordshire
http://www.welhat.gov.uk/ 01525 38242
01707 357547 Leominster
Haverfordwest Corn Square, Leominster, Herefordshire
Riverside Quay Shopping Centre, Haverfordwest 01873 890675
http://www.pembrokeshire.gov.uk/ Lewes Cliffe
01437 776168/776173 Pedestrian Precinct, Lewes, East Sussex
Haywards Heath 01273 47090
Hazelgrove Road Car Park Haywards Heath Leyburn
01444 477347 Town Square, Leyburn, North Yorkshire
Heanor 01748 884414
Market Place, Heanor, Derbyshire Lichfield
01773 841542 Market Square, Lichfield, Staffordshire
Heathfield www.lichfield.gov.uk
Co-op Car Park, Heathfield, East Sussex 01543 309853
http://www.heathfield.net/ London
01435 86279 Blackheath Railway Station Car Park
Hereford London SE3
High Town, Hereford, Herefordshire http://www.lfm.org.uk/
01873 890675 0207 704 9659

NUTS & BOLTS 85

London Milford
Ealing Leeland Road, West Ealing, London W13 Secretts Farm, Chapel Lane, Milford, Surrey
http://www.lfm.org.uk/ www.waverley.gov.uk/farmersmarket
0207 704 9659 01483 523203
London Monmouth
Islington, Essex Road, London N1 Shire Hall, Monmouth, Monmouthshire, Wales
http://www.lfm.org.uk/ 01600 712611
0207 704 9659 Morpeth
London Town Hall, Morpeth, Northumberland
Notting Hill Car Park off Kensington Place 01670 535148
Corner of Kensington, Church Street, London W8 Moseley Moseley
http://www.lfm.org.uk/ Green Moseley West Midlands
0207 704 9659 0121 449 3156
London Needham
Peckham Town Square, London SE15 Alder Carr Farm, Needham, Suffolk
http://www.lfm.org.uk/ http://www.aldercarrfarm.co.uk/
0207 704 9659 01449 720820
London Newbury
Corner of Pimlico Road and Ebury Street London SW1 Market Place, Newbury, Berkshire
http://www.lfm.org.uk/ http://www.tvfm.org.uk/
0207 704 9659 0870 241 4762
London Newcastle upon Tyne
Swiss Cottage Car Park of the O2 Centre, Finchley Grey's Monument, Newcastle upon Tyne
Road, London NW3 0191 211 5533
http://www.lfm.org.uk/ Newport
0207 704 9659 St Thomas Square, Newport, Isle of Wight
London 01983 865720
Wimbledon Park, First School, Havana Road Newton Abbot
London SW19 Newton Abbot Market, Courtenay Street, Newton
http://www.lfm.org.uk/ Abbot, Devon
0207 704 9659 http://www.teignbridge.gov.uk/
Longdon 01626 353567
Hanley Swan Village Hall, Longdon, Worcestershire North Weald
01905 795937 Weald Hall Farm, Canes Lane, North Weald, Essex
Loughton 0118 945 1799
Centric Parade, Loughton, Essex Northallerton
0118 945 1799 Applegarth Car Park, Northallerton, North Yorkshire
Maidenhead 01748 884414
Grove Road Car Park, Maidenhead, Berkshire Norwich
http://www.greenlink-berkshire.org.uk/ Norfolk Showground Norwich Norfolk
01628 670272 http://www.norfolkevents.co.uk/
Maldon 01953 681715
Swan Hotel, High Street, Maldon, Essex Nyetimber
http://www.maldon.gov.uk/ Vineyard Gay Street, West Chiltington,
01359 270925 W Sussex RH20 2HH
Malvern www.nyetimber-vineyard.com/
Council House Car Park, Avenue Road, Malvern 01798 813989
01905 795937 Olney
Mansfield Market Place, Olney, Buckinghamshire
Buttercross, Market Mansfield, Nottinghamshire 01234 711679
01623 463733 Orton
Marylebone Orton Market Hall, Junction 38, M6 Orton
Cramer Street Car Park, London Cumbria
http://www.lfm.org.uk/ http://www.ortonfarmers.co.uk/
0207 704 9659 Jane Brook 01539 624899
Melton Oswestry
Mowbray Cattle Market, Scalford Road, Melton, The Bailey Head, Oswestry, Shropshire
Mowbray, Leicestershire http://www.oswestry-tc.gov.uk/
01664 562971 01691 680222

86 NUTS & BOLTS

Oundle Shaftesbury
The Market Place, Oundle, Northamptonshire Town Hall, Shaftesbury, Dorset
01832 272055 01305 848107
Penrith Sherborne
Market Square, Penrith, Cumbria Cheap Street, Sherborne, Dorset
01768 212477 01305 848107
Petersfield South Molton
Market Square, Petersfield, Hampshire Pannier Market, South Molton, Devon
http://www.hampshirefarmersmarkets.co.uk/ 01769 572252
01962 845135 Southam
Plymouth Market Hill, Southam, Warwickshire
Armada Way, Plymouth, Devon 01608 664659/01299 250484
http://www.plymouthpanniermarket.co.uk/ Southsea
01752 306551 Palmerston Road, Southsea, Hampshire
Pooley Bridge http://www.hampshirefarmersmarkets.co.uk/
Village Centre, behind Sun Hotel, Pooley Bridge 01962 845135
http://www.ortonfarmers.co.uk/ St Ives
01539 624899 Sheep Market, St. Ives, Cambridgeshire
Princes Risborough 01480 388929
High Street, Princes Risborough, Buckinghamshire St. Neots
http://www.tvfm.org.uk/ Market Square, St. Neots, Cambridgeshire
0870 241 4762 01480 388912
Reading Stafford
The Cattle Market, Great Knollys Street Reading Market Square, Stafford, Staffordshire
http://www.tvfm.org.uk/ 01785 619408
0870 2414762 Staines
Ribblesdale Town Centre, Staines, Middlesex
Clitheroe Auction Mart, Lincoln Way 0118 945 1799
Ribblesdale, Lancashire Stanhope
http://www.auctionmart.co.uk/ Durham Dales Centre, Stanhope, Co Durham
01200 42332 http://www.teesdalefarmersmarkets.co.uk/
Ripley 07759 832234
Market Place, Ripley, Derbyshire Stoke Newington
01773 841542 The Old Fire Station, Leswin Road, London
Rochester http://www.growingcommunities.org/
Corporation Street Car Park, Rochester, Kent 0207 502 7588
http://www.medway.gov.uk/ Stokesley
0777573 6116 The Square, Stokesley, North Yorkshire
Rolvenden 01748 884414
Parish Church of St Mary the Virgin, Rolvenden, Kent Stonehouse
http://www.rolvendenfarmersmarket.co.uk/ Globe Inn High Street, Stonehouse
01580 240763 http://www.foodlinks.info/
Romsey 01453 758060
Broadwater Road Car Park, Romsey, Hampshire Stow-on-the-Wold
http://www.hampshirefarmersmarkets.co.uk/ The Square, Stow-on-the-Wold
01962 845135 Gloucestershire
Ross-on-Wye http://www.foodlinks.info%20lmail/
Below Market House, Ross-on-Wye 01453 758060
Herefordshire Stratford upon Avon
01873 890675 Rother Street Market, Stratford upon Avon
Rugby Warwickshire
Clock Tower, Market Place, Rugby, Warwickshire 01608 664659/01299 250484
01608 664659/01299 250484 Stroud
Saltash Cornhill Market Place, Stroud, Gloucestershire
Fore Street, Saltash, Cornwall http://www.foodlinks.info%20lmail/
01752 844846 01453 758060
Sandon Sturminster
Sandon Village Hall, Sandon, Hertfordshire Newton Market Place, Sturminster, Newton, Dorset
01763 287216 01305 848107

NUTS & BOLTS 87

Takeley Wem
Silver Jubilee Hall, Takeley, Essex Leek Street, Wem, Shropshire
01279 871532/07904 032393 01939 232771
Taunton Weston-super-Mare
High Street, Taunton, Somerset Town Square, Weston-super-Mare, Somerset
01823 680307 01934 634850
Tavistock Whittlesey
Bedford Square, Tavistock, Devon Market Place, Whittlesey, Cambridgeshire
http://www.tavistockfarmersmarket.com/ 01354 622229
01822 820515 Wimborne
Thirsk Corn Market Wimborne Dorset
Town Square ,Thirsk, North Yorkshire 01305 848107
01748 884414 Wincanton
Thornbury Memorial Hall High Street, Wincanton
St Mary Centre, Thornbury, Gloucestershire Somerset
01454 888822 http://www.somersetfarmersmarkets.co.uk/
Tiverton 01458 830801
Pannier Market, Tiverton, Devon Winchcombe
01884 243351 Hayles Fruit Farm, Toddington, Winchcombe,
Towcester Gloucestershire
Richmond Road Car Park, Towcester 01453 758060
Northamptonshire Winchester
01327 322317 Middle Brook Street, Winchester, Hampshire
Tunbridge Wells http://www.hampshirefarmersmarkets.co.uk/
Civic Way, Tunbridge Wells, Kent 01962 845135
01892 554244 Wisbech
Twickenham Market Place, Wisbech, Cambridgeshire
Holly Road Car Park, London TW1 01354 622229
http://www.lfm.org.uk/ Witham
0207 704 9659 The Grove Shopping Centre, Witham, Essex
Uckfield manager@groveshopping.co.uk
Weald Hall, Civic Centre (November to March) Luxford 01376 519440
Car Park (April to October) Uckfield East Sussex Witney
01825 760646 The Green, Witney, Oxfordshire
Vale Royal www.tvfm.org.uk
Kelsall Eddisbury Fruit Farm, Kelsall, Cheshire 01993 861482
http://www.eddisbury.co.uk/ Woking
01829 759157 Town Square, Woking, Surrey
Wareham Ian Young 01483 743208
Town Hall, Wareham, Dorset Wokingham
01305 848107 Market Place, Wokingham, Berkshire
Warwick Wolvercote
The Market Place, Warwick, Warwickshire Wolvercote School (Off First Turn) Oxford
01608 664659/01299 250484 Oxfordshire
Wayland (Watton) 01865 310693
Watton High Street, Watton, Norfolk Woodbridge
http://www.wayland.org.uk/ Community Centre, Woodbridge, Suffolk
01953 883915/881709 01379 384593
Wellingborough Worcester
Market Place, Wellingborough Royal Worcester, Severn Street, Worcester
01933 231739 01905 795937
Wellington Wye
Scout Hall, Wellington, Somerset The Green, Wye, Kent
http://www.somersetfarmersmarkets.co.uk/ http://www.wyefarmersmarket.org.uk/
01458 830801 01233 813303
Wells York (Murton)
The Market Place, Wells, Somerset York Auction Centre, Bridlington Road, York
http://www.somersetfarmersmarkets.co.uk/ www.ylc.co.uk/farmermkt
01458 830801 01904 489731

88 NUTS & BOLTS

York England
Parliament Street, York, Yorkshire Deepdale Water Buffalo
http://www.york.gov.uk/ Deepdale Head, Wigglesworth, Skipton
01904 551355 North Yorkshire BD23 4RH
English Farming and Food Partnership (EFFP) http://www.dinsdale.co.uk/buffalo/
45 Ludgate Hill, London EC4M 7JU Storwood Manor
www.effp.com Storwood, York YO42 4TG
National Farmers' Retail and Markets 01759 318230
Association Limited (FARMA) Bursea Farm Shop
The Greenhouse, PO Box 575 Bursea Farm, Holme, Spalding Moor, York
Southhampton, SO15 7BZ 01430 860348
www.farma.org.uk Hillheads Farm
Backworth Lane, Killingworth
3. FOOD FARMS Tyne and Wear NE27 0BQ
e following food farms produce all manner of 01912683841
home-grown foods. For online access see Paxtons Farm Meat
www.farm-direct.co.uk/farmers/direct/index.html. Long Slack Farm, Menwith Hill
Harrogate, North Yorkshire HG3 2 RL
Scotland 01943 880627
Sunset Lodge Smallholding Page Bank Farm
Claddach, Kyles, Lochmaddy, North Uist Rampside, Barrow in Furness
01876 510355 Cumbria LA13 0QR
Kintaline Mill Plant & Poultry Centre 01229 821561
Benderloch, Oban, PA37 1QS Conder Green Farm
http://www.poultryscotland.co.uk/ Conder Green, Lancaster LA2 0AN
01631 720223 01524 752174
Hazza Farm Millbeck Farm
Culbo Road, Culbokie, Nr Inverness, IV7 8JX Gt Langdale, Ambleside, Cumbria
01349 877789 01539 437364
Atholl Glens Organic Meat Mealo Hill Farm
Mains of Killiechangie, By Pitlochry Allonby, Maryport, Cumbria CA15 6PA
Perthshire PH16 5NB 01900 881321
http://www.athollglens.co.uk White Holme Farm
07771 714951 Roweltown, Carlisle, Cumbria CA6 6LJ
Wynford 01697 748058
Kingswells, Aberdeen, AB15 8RQ Buckles Farm
01224 744184 Barras, Kirkby Stephen, Cumbria CA17 4ES
Findatie Farm Dairy http://www.bucklesfarm.com/
Kinross, KY13 9LY 01768 341917
01592 840248 Park Hill Farm
Lurgan Farm Shop Hales, Market Drayton, Shropshire TF9 2QA
By Aberfelby, Perthshire, PH15 2JQ http://www.parkhillfarm.co.uk
http://www.lurganfarmshop.co.uk 01630 652178
01887 829303 Gate Farm
South Lodge Poole, Nantwich, Cheshire CW5 6AL
Quothquan by Biggar http://www.greattastingmeat.co.uk
South Lanarkshire, ML12 6NA 01270 625781
http://www.awp.co.uk/eggs/ Willow Tree Farm
01899 220300 Mareham Gate, Mareham-le-Fen, Lincoln PE22 7SA
Mouldyhills 01507 568576
Canonbie, Dumfriesshire, DG14 0XH Stoop Farm
01387 371254 Hollinsclough, Buxton, Derbys SK17 0NZ
Conhess 01298 25494
Waterbeck, Locherbie, DG11 3HW Toz Angora's & Pygmy Goats
01461 600227 Willows Farm, Marcham, Abingdon, Oxon OX13 6NU
Capelands 01865 391404
Bowden, Melrose The Rowans
Roxboroughshire TG6 9HQ Station Road, Great Wilbraham, Cambridge CB1 5JA
01835 870788 01223 880886

NUTS & BOLTS 89

Welton Farm Barnards Farm
51 Priory Road, Ruskington, Sleaford Downham, Wymondham, Norfolk NR18 0RR
Lincolnshire NG34 9DJ 01953 603401
http://www.prioryfreerangefoods.co.uk Ivy Farm Pork
01526 832574 Ivy Farm, Thumb Lane, Horningtoft, Dereham NR20 5DY
Highfield Farm 01328 700528
Newton Lane, Wigston, Leicester LE18 3SH Swanton Road Farm
01162880887 Swanton Morley, Dereham, Norfolk NR20 4PT
Withington Springfield Farm & Nursery
Leigh, Stoke on Trent, Staffs ST10 4PU Hall Lane, North Tuddenham, Dereham NR20 3DP
http://www.copesfarm.freeserve.co.uk/aglink/ 01362 637270
01889 502547 Northend Farm Produce
Bank House Farm Hinton Road, Darsham, Saxmundham, Suffolk IP17 3QS
Stanford Bridge, Worcestershire, WR6 6RU 01986 784657
http://www.happymeats.co.uk/ Prince William Farm
01886 812485 Wereham, Kings Lynn, Norfolk PE33 9BD
West Farm 01366 500656
Ruckley, Shropshire SY5 7HR Orchard Farm
01694 731318 56 Moorgate Road, Lower Green
Wickets Farmhouse Hindringham, Norfolk NR21 0PT
Admaston, Telford TF5 0BS http://www.orchardfarmproducts.com
http://www.dexterbeef.co.uk/ 01328 878174
01952 242155 Lodge Farm
Newton Organic Farm Lower South Park Road, South Godstone, Surrey RH9 8LF
Westbrook, Dorstone, Hereford HR3 5SX http://www.organiclamb.co.uk/
01497 831388 01342 893191
Whitlenge Farm Back to Nature Farm Produce
Whitlenge Lane, Hartlebury, Kidderminster Shabden Park Farm, High Road
Worcestershire DY10 4HD Chipstead Surrey CR5 3SF
01299 253463 http://www.shabdenparkfarm.com
Clyro Hill Farm 01737 552744
Cefn bettws Bungalow, Clyro, Hereford HR3 5JL Christmas Tree Farm
http://www.clyrohillfarm.co.uk Amersham Road, Chesham
01497 851255 Buckinghamshire HP5 1NE
Botany Farm http://www.christmastreefarm.co.uk/
Farnham, Saxmundham, Suffolk IP17 1QZ 01484 784031
01728 688166 Watsons Dairies Ltd
The Old Stables Bere Farm, Heath Road, Soberton
The Street, Wissett, Halesworth, Suffolk IP19 0JH Southampton SO32 3Q
01986 875765 Highgate Farm
Alsa Farm Wootton Bassett, Swindon, Wiltshire
Stansted, Essex 01329 832127
http://www.stockmaster.co.uk/mysite/alsafarm/ Larkworthy Farm
01279 812019 Petrockstowe, Devon, EX20 3HQ
Ashill Fruit Farm 01837 810691
Swaffham Road,Ashill, Near Swaffham Dunns Dairy
Norfolk, IP25 7DB Beacon View, Drewsteignton, Exeter, EX6 6PF
01760 740050 01647 231452
Risehill House Allen Valley
Norwich Road, Scoulton, Norfolk, NR9 4NZ 17 High Street, Delabole, Cornwall PL33 9AA
Chalk Farm 01840 212348
Narborough, Norfolk Caradon Farm
01760 337808 Pensilva, Liskeard, Cornwall PL14 5PJ
West Tofts 01579 363570
Near Mundham, Thetford, Norfolk North Perrott Fruit Farm
01842 878381 Townsend Farmhouse
Greenwoods Apple Juice & Cider North Perrott, Crewkerne, Somerset TA18 7SR
The Ashes, Carleton Rode, Norfolk NR16 1NN http://www.parrettbrandbrand.co.uk/
01953 860356 01460 73451

90 NUTS & BOLTS

Home Farm Grow Wild
Newton St. Cyres, Exeter, Devon EX5 5AY Unit 8 Block 3, Whiteside Industrial Estate, Bathgate,
http://www.quickes.co.uk West Lothian, EH48 2RX
01392 851222 www.growwild.co.uk
Court Barton Farm 0845 226 3393
Court Barton, Winkleigh, Devon EX19 8HZ Hugh Grierson
0183783657 Newmiln Farm, Tibbermore , Perth, PH1 1QN
Whitfield Farm www.the-organic-farm.co.uk
Falfield, Glos GL12 8DR 01738 730201
http://www.falfieldfruitfarm.co.uk Scottish Organic Lamb
01454 261010 Knockreoch, St Johns Town of Dalry, Castle Douglas,
West Forde Organics Dumfries and Galloway, DG7 3XS
The Barton, Poughill, Crediton www.scottishorganiclamb.co.uk
Devon EX17 4LE 01644 430354
01363 866349 Stair Organic Growers
North Nethercleave Farm 11 The Yetts, Tarbolton, Ayrshire, KA5 5NT
Umberleigh, Devon EX37 9AD www.organicgrowing.com
http://www.south-west-snails.co.uk 01292 541369
01769 540103 T.H. Carson
The Cross, Mill Street, Dalbeattie,
4. ORGANIC FOOD DELIVERIES Dumfries and Galloway, DG5 2HE
e following food delivery services can be found www.thcarson.co.uk
online at: http://www.aboutorganics.co.uk/ 01556 610 384
organic_food_drink/organic_food_online.htm The Whole Shebag
South Cobbinshaw, West Calder
Scotland West Lothian EH55 8LQ
Acme Organics www.thewholeshebag.com
By Castlecraig, Blyth Bridge, West Linton 01501 785436 / 07931 738767
Scottish Borders, EH46 7DH
www.acmeorganics.co.uk North West
01721 752633 1516 Beer Co. Ltd
Angus Organics PO Box 320, Crewe, Cheshire CW2 6WY
Airlie Estate Office Cortachy, Kirriemuir, www.1516beer.co.uk
Angus, DD8 4LY 01270 668718 / 01270 668801
www.angusorganics.com Dig Food
01575 570103 Based in Chorlton, Manchester
Atholl Glens Ltd www.digfood.co.uk
Mains of Killiechangie Farm, Pitlochry 07511 554 353 / 0161 881 9770
Perth and Kinross, PH16 5NB Fetish for Food
www.athollglens.co.uk Bury New Road, Prestwich, Manchester, M25 1BD
01796 481482 www.fetishforfood.com
Bee Organic 0161 798 5558
The Fens, Dronley rd, Birkhill, Dundee, DD2 5QD Howbarrow Farm
bee-organic.co.uk Cartmel, Grange over Sands, Cumbria, LA11 7SS
01382 581548 / 07791 965753 www.howbarroworganic.co.uk
Black Face 015395 36330
Weatherall Foods Limited, Crochmore House, Irongray, Mansergh Hall Farm Shop
Dumfries, DG2 9SF Mansergh, Kirkby Lonsdale, Cumbria, LA6 2EN
www.blackface.co.uk www.manserghhall.co.uk
01387 730 326 01524 271397
Blackmount Organics Northern Harvest
8 The Wynd, Biggar Kenyon Hall, Croft, Warrington, WA3 7ED
Lanarkshire, ML12 6BU www.northernharvest.co.uk
www.blackmountfoods.com 0845 602 3309
01899 221747 Organics 4 U Limited
FerryOrganics.com Unit 7, Simpsons Business Centre, Buxton Road, Hazel
PO Box 10194, Dundee, DD5 2WT Grove, Cheshire, SK7 6LZ
www.ferryorganics.com www.organics-4u.co.uk
01382 331540 0161 456 3797

NUTS & BOLTS 91

The Village Bakery Wales
Melmerby, Penrith, Cumbria, CA10 1HE Anglesey Sea Salt Company (Halen Mon Salt)
www.village-bakery.com Brynsiencyn, Anglesey, LL61 6TQ
01768 881811 / 01768 881848 www.seasalt.co.uk
The Watermill 01248 430871
Little Salkeld, Penrith, Cumbria CA10 1NN Beacons Veggie Boxes
www.organicmill.co.uk Pwllyn Brwnt Farm, Libanus, Powys, LD3 8NN
01768 881523 www.beaconsveggieboxes.co.uk
01874 636785
North East Calon Wen Organic Foods Ltd
New Close Farm Unit 4, Whitland Industrial Estate, Whitland,
Witton Road, Sacriston, Durham. DH7 6NB Camarthenshire, SA34 0HR
www.newclosefarmshop.co.uk 01994 241368
0191 3710565 Cambrian Organics
Northumbrian Quality Meats Horeb, Llandysul, Ceredigion, SA44 4JG
Monkridge Hill Farm, West Woodburn, www.cambrianorganics.com
Hexham, Northumberland. 01559 363151
northumbrian-organic-meat.co.uk Caws Cenarth Cheese
01434 270184 Glyneithinog Farm, Pontseli, Boncath
Natural Collection Dyfed, SA37 0LH
c/o Department 7306, Sunderland, SR9 9XZ www.cawscenarth.co.uk
www.naturalcollection.com 01239 710432
0870 331 33 33 Cwmrath Farm
North East Organic Growers Limited (NEOG) Summerhill, Stepaside, Narberth
NEOG, Earth Balance, Bomarsund Pembrokeshire SA67 8LU
Bedlington NE22 7AD www.pembrokeshirecoastorganicmeats.co.uk
01670 821070 01834 813239
The Organic Pantry Graig Farm Organics
St Helens Farm, Newton Kyme, Tadcaster Dolau, Llandrindod Wells, Powys LD1 5TL
North Yorkshire, LS24 9LY www.graigfarm.co.uk
www.organicpantry.co.uk 01597 851655
01937 531 693 Green Cuisine
The Organic Farm Unit 2, Taff Workshops, Tresillian Terrace
Low Leases Organic Farm, Low Street Cardiff, CF10 5DE
Nr Leeming Bar, North Yorkshire, DL7 9LU www.greencuisineorganics.net
www.theorganicfarm.co.uk 029 2039 4321
01609 748177 Herbs from Wales
Steenbergs Cae Gwyn Herb Nursery, Carmel
6 Hallikeld Close, Barker Business Park, Melmerby, Anglesey, LL71 7DD
Ripon HG4 5GZ www.herbsfromwales.co.uk
www.steenbergs.co.uk 01248 470231
01765 640088 Rhug Organic Farm
Beano Wholefoods Rhug Estate, Corwen, Denbighshire, LL21 0EH
36 New Briggate, Leeds, West Yorkshire, LS1 6NU www.rhugorganic.com
www.beanowholefoods.co.uk 01490 413000
0113 2435737 S & J Organics
Doorstep Organics Llwyncrychyddod, Llanpumsaint
150 Woodsley Road, Leeds, LS2 9LZ Carmarthen SA33 6JS
www.doorsteporganics.co.uk www.sjorganics.co.uk
0113 294 2944 01267 253570
Forest Garden Organics The Organic Pantry
44 Wareham Grove, Dodworth Margaret Street, Ammanford
Barnsley, S75 3LU Camarthanshire, SA18 3AB
www.forestgardenorganics.co.uk www.organics-online.co.uk
01226 29053 01269 596931
Org Welsh Farm Organics
79 Great George Street, Leeds, LS1 3BR Tyn Y Fron, Pentre, Mochdre, Powys, SY16 4JW
www.org-organics.org.uk www.welshfarmorganics.co.uk
0113 234 7000 01686 627979 / 07050 265102

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West Midlands Tolivio
Authentic Bread Company 2nd floor, 15-16 Montpellier Arcade
Strawberry Hill, Newent, Glos. GL18 1LH Cheltenham, Gloucestershire, GL50 1SU
www.authenticbread.co.uk www.tolivio.co.uk
01531 828181 East Midlands
Clyro Hill Farm BeanosOrganic Fruit n' Veg Delivery Service
Clyro, Hereford, HR3 6JU www.beanos.org.uk
www.clyrohillfarm.co.uk 01629 57130
01497 820520 Eden Farms
Daylesford Organic Old Bolingbroke, SpilsbyLincolnshire, PE23 4EY
Daylesford, Nr Kingham, Gloucestershire GL56 0YG www.edenfarms.co.uk
www.daylesfordorganic.com 01790) 763582
0800 083 1233 Goodness Foods
Ensors Organic Home Delivery South March, Daventry NN11 4PH
The Enterprise Centre, Valley Road, Cinderford www.goodness.co.uk
Gloucestershire, GL14 2PB 01327 706611
www.ensors.org James and Ruth North / River Nene Home Delivery
0800 389 8220 01664 823454
Flights Orchard Organics Ltd Lower Hurst Farm
Unit 3 & 4 Lower Road Trading Estate, Ledbury Hartington, Nr Buxton, Derbyshire, SK17 0HJ
Herefordshire HR8 2DJ www.lowerhurstfarm.co.uk
www.flightsorchardorganics.co.uk 01298 84900
0845 6589808 Sealwood
Get Real Organic Foods Sealwood Lane, Linton, Derbyshire DE12 6PA
Shotton Farm, Harmer Hill, Shrewsbury, www.sealwood.com
Shropshire, SY4 3DN 01283 760841
www.get-real.co.uk Sweet Earth Limited
01939 290193 Beaumont Enterprise Center, 72 Boston Road,
Goodbehere Organics Leicester, LE4 1HB
Sutton Farm, Claverley, Bridgnorth www.sweetearth.co.uk
Shropshire, WV5 7BL 0845 233 5599
www.goodbehere.co.uk The Old Creamery Organics
01746 710909 www.theoldcreameryorganics.co.uk
Healthy Lifestyle Organics Ltd 01889 590590
Unit 2, Stockwood Business Park, Stockwood Vin Ecologie
Nr Redditch B96 6SX Norfolk Street, Boston, PE21 9PB
www.hlorganics.co.uk www.vin-ecologie.co.uk
01386 791555 0845 838 1790
Home Acre Pork Wheelbarrow Organics
Brays Tenement, Marton Hill, Welshpool, SY21 8JY 10a Saltergate, Chesterfield, Derbyshire, S40 1UT
www.homeacrepork.co.uk www.wheelbarroworganics.co.uk
01938 580276 0845 200 6587
Natural Grocery Store
150-156 Bath Road, Cheltenham GL53 7NG London and the South
www.naturalgrocery.co.uk Abel & Cole - The Greener Grocer
Organic Roots www.abel-cole.co.uk
Crabtree farm, Dark Lane, Kings Norton 08452 62 62 62
Birmingham, West Midlands B38 0B Bumblebee Natural Foods
www.organicroots.co.uk 30 Brecknock Road, London, N7 ODD
(01564) 822294 www.bumblebee.co.uk
Slipstream Organics 020 7607 1936
34A Langdon Road, Cheltenham, GL53 7NZ Curgil Coffee
www.slipstream-organics.co.uk 44 Albany Road, Brentford, Middlesex, TW8 0NF
01242 227273 www.burgil.com
The Organic Box Company 0208 560 0263
Wolselely Bridge Farm, Wolseley Bridge Farmaround Ltd
Stafford, ST17 0XP Office B143, New Covent Garden Market, SW8 5PA
www.theorganicboxcompany.co.uk www.farmaround.co.uk
07970 761414 0207 627 8066

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Forman & Field Fieldfare Organics
30a Marshgate Lane, London, E15 2NH Springfield Farm, Nash Lee Lane, Wendover HP22 6BG
www.formanandfield.com www.fieldfare-organics.com
020 8221 3939 0845 601 3240
Fresh Food Co Limited Only Organic
The Orchard, 50 Wormholt Road, London W12 0LS Unit 6, Notley Farm, Chearsley Road, Long Crendon,
www.freshfood.co.uk Buckinghamshire, HP18 9ER
0208 749 8778 www.onlyorganic.org
Maison Plasse Ltd 01844 238064
2 Sovereign Place, Wallingford, OX10 9GF Organic Trail
www.maisonplasse.com 10 St Pauls Court, Stony Stratford,
01491 834 699 Buckinghamshire, MK11 1LJ
Natoora.co.uk - The Online www.organictrail.co.uk
Farmers Market 01908 568952
3G Hewlett House, Havelock Terrace, London SW8 4AS Organically Speaking
www.natoora.co.uk 2 Hartley Mews, High Street, Hartley Wintney
020 7627 1600 Hampshire, RG27 8NX
The Organic Delivery Company www.organically-speaking.co.uk
70 Rivington Street, London, EC2A 3AY 01252 845577
www.organicdelivery.co.uk Arujo Organics
0207 739 8181 39a Rochester Way, Twyford, Oxon, OX17 3JU
Patisserie Organic www.arujo-organics.com
Unit D, 47 Allcroft Rd, London, NW5 4NB 01295 811140
The Tea and Coffee Plant Chiltern Organics
170 Portobello Road, London W11 2EB Frieth, near Henley-on-Thames, Oxfordshire
www.coffee.uk.com www.chilternorganics.co.uk
0207 221 8137 01494 883868
Tolhurst Organic Produce FWP Matthews Ltd
2 West Lodge, Hardwick, Whitchurch on Thames Station Road, Shipton under Wychwood
Pangbourne, Reading, Berkshire RG8 7RA Chipping Norton, Oxon. OX7 6BH
0118 9843428 or 01865 556151 www.fwpmatthews.co.uk
Uber Organic 01993 830 342
110 Gloucester Avenue, Primrose Hill London, NW1 8HX M Feller Son & Daughter Organic Butchers
www.uberorganic.co.uk 54-55 The Oxford Covered Market
020 7096 8890 Oxford, OX1 3DY
Woodfield Organics www.mfeller.co.uk
www.woodfieldorganics.com 01865 251164
07847 450358 Riverford Organic Vegetables Limited
Vintage Roots Wash Barn, Buckfastleigh Devon TQ11 0LD
Freepost, Reading, Berkshire, RG22 9ZZ www.riverford.co.uk
www.vintageroots.co.uk 0845 6002311
0800 980 4992 Body and Soul Organics
UK Organics 1 Parade Court, Ockham Road South
Douglas House, 33 Douglas Road, Caversham, East Horsley, Surrey, KT24 6QR
Reading, Berkshire, RG4 5BH www.organic-gmfree.co.uk
www.ukorganics.co.uk 01483 282868
0118 375 9 375 Farnham Organics
Eat Organic 5 Station Hill, Farnham, Surrey, GU9 8AA
15 Marlborough Avenue, Reading, Berkshire, RG1 5JB http://www.farnhamorganics.co.uk
www.eatorganic.co.uk 01252 719101
Real Food Direct Headley Village Stores
Real Food Direct, Bryants Farm, Kiln Rd, Dunsden, Village Hall Stores, Headley, Surrey
Reading, Berkshire, RG4 9PB www.headleystores.co.uk
www.realfooddirect.co.uk 01372 377338
0118 946 4706 Horti Halcyon
Sheepdrove Organic Farm Heath Mill House, Heath Mill Lane, Fox Corner,
Warren Farm Office, Lambourn, Berkshire RG17 7UU Worplesdon, Surrey. GU3 3PR
www.sheepdrove.com www.hortihalcyon-organic.co.uk
01488 71659 01483 232095

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Real Food Direct River Nene Organic Vegetables
Unit 4, Level 3, New England House Stanley's Farm, Peterborough, Cambs. PE7 3TW
New England Street, Brighton, Sussex, BN1 4GH www.rivernene.co.uk
www.realfood-direct.com 0845 078 6868
01273 621222 Shropshires
The Sussex Wine Company Shropshire's, Barway, Ely, Cambridgeshire, CB7 5TZ
47 South Street, Little Chelsea, Eastbourne www.shropshires.com
Sussex, BN21 4UT 01353 727 272
www.thesussexwinecompany.co.uk St Peter's Brewery
01323 431143 St Peter's Hall, St Peter South Eltham
Sedlescome Organic Vineyard Suffolk NR35 1NQ
Cripp's Corner, Sedlescombe, East Sussex TN32 5SA www.stpetersbrewery.co.uk
www.englishorganicwine.co.uk 01986 782322
01580 380715 The Cambridge Organic Food Company
Clare’s Organics Penn Farm Studios, Harston Road, Haslington,
Barneys Barn, Berrycroft, Ashbury, Swindon Cambridge, CB3 7JZ
Wiltshire SN6 8LX www.cofco.co.uk
www.claresorganics.co.uk 01223 873300
01793 710810 The Olive Oil Store
Deverill Trout Farm 1 Saffron Road, Chafford Hundred, Grays,
Longbridge Deverill, Warminster, Wiltshire Essex RM16 6NA
www.purelyorganic.co.uk www.oliveoilstore.co.uk
01985 841093
The Tracklement Company Ltd South West
The Dairy Farm, Pinkney Park, Sherston, Malmesbury, Better Food
Wiltshire SN16 0NX The Bristol Proving House, Sevier Street Bristol BS2 9QS
www.tracklements.co.uk www.betterfood.co.uk
01666 840851 0117 935 1725
Purton House Organic Farm Carley's of Cornwall Ltd
Church End, Purton, Wiltshire, SN5 4EB 34-36 St. Austell Street, Truro, Cornwall, TR1 1SE
www.purton-house.co.uk www.carleys.co.uk
01793 770219 01872 277686
Clipper Teas
East Broadwindsor Road, Beaminster
Castle Acre Organic Dorset, DT8 3PR
Manor Farm, Castle Acre, King's Lynn www.clipper-teas.com
Norfolk, PE32 2BJ (0)1308 863344
www.castleacreorganic.co.uk Dick's Pigs
Desmond Duncans Organic Box Scheme Shepherds House, St Newlyn East
37 Ensign Way, Diss Norfolk, IP22 4GP Cornwall, TR8 5NW
www.organicsforall.co.uk www.dickspigs.com
01379 652101 / 07771 863230 01872 540355
Heron Farm Eversfield Organic
Long Drove, Waterbeach, Cambridge, CB5 9LR Ellacott Barton, Bratton Clovelly, Okehampton
www.heronfarm.co.uk Devon EX20 4LB
01223 441823 www.eversfieldorganic.co.uk
MIllfield Organics 01837 871113
Mill Farm, Mill Lane,Tunstead, Norwich NR12 8HP Godminster Farms
www.millfieldorganics.co.uk Bruton, Somerset, BA10 0NE
Organic Connections www.godminster.com
Riverdale,Town Street, Upwell.Wisbech 01749 813 733
Cambs. PE14 9AF Greenline
www.organic-connections.co.uk Chulmleigh, Devon, EX18 7YU
01945 773374 www.greenol.co.uk
Red Poll Meats 0870 168 8260
Red Poll Meats, Cherry Tree House, Hacheston Linscombe Farm
Woodbridge, Suffolk IP13 0DR Newbuildings, Crediton, Devon, EX17 4PS
www.redpollmeats.co.uk www.linscombe.co.uk
01728 748444 01363 84291

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Nature Made Swaddles Green Farm
East Johnstone, Bish Mill, South Molton Freepost, Chard, Somerset, TA20 3ZB
Devon, EX36 3QE www.swaddles.co.uk
www.naturemade.co.uk 01460 234387
01769 573571 The Local Food Company
OK Foods limited Unit 17, Brent Mill Business Park, Long Meadow,
Unit 10, 21 Burrington Way, Plymouth PL5 3LR South Brent, TQ10 9YT
www.okfoods.org.uk www.thelocalfoodcompany.co.uk
01752 242 235 / 07801 227 558 01392 24 84 85
Providence Farm The Organic Farmers Market Ltd
Crosspark Cross, Holsworthy, Devon, EX22 6JW The Barn, Hitchcocks Farm, Uffculme,
www.providencefarm.co.uk Cullompton, Devon, EX15 3BZ
01409 254 421 www.theorganicfarmersmarket.co.uk
Riverford Home Delivery 01884 840160
6 Camelot View, Camelford Station, PL32 9TU Well Hung Meat
01840 211470 Tordean Farm, Dean Prior, Buckfastleigh
Rod and Ben's Devon,TQ11 0LY
Bickham Farm, Kenn, Exeter, Devon, EX6 7XL www.wellhungmeat.com
www.rodandbens.com 0845 230 3131
01392 833833 West Country Organics
Somerset Organics Oak Farm, Tedburn, St Mary, Exeter
Gilcombe Farm, Somerset. BA10 0QE Devon, EX6 6AW
www.somersetorganics.co.uk www.westcountryorganics.co.uk
01749 813 710 01647 270056

96 NUTS & BOLTS