Written Report in

Financial Management
(Cooperative)

SUBMITTED BY:
Group 5

Members:
Amante, Jane
Cuartero, Denise
Dela Cruz, Joshua
Estacion, Fernando
Guiterez, Ram
Naingue, Diana
Patron, Aislinn
Reyes, Neil
Rodil, Jan Joshua
Valenzuela, Nicole
Villadolid, Lander

BS- ENTREPRENEURSHIP
BLOCK 3-1

SUBMITTED TO:
Ms. Mary Rose Patingo

October 23,2020
COOPERATIVE

What is a COOPERATIVE?
Cooperatives are people-centered enterprises owned, controlled and run by and for their members
to realize their common economic, social, and cultural needs and aspirations, thus it is driven by
values not profit. It is regulated by the RA 6939 or The Cooperative Development Authority Act

What is the importance of Financial Management to Cooperatives?

● For allocation and Utilization of Financial Resources
● To maintain the purpose of the Cooperative
● For forecasting the future
● To be able to give immediate solutions to financial concerns or problems
● For an optimal capital structure

Pros and Cons of Cooperatives

PROS OF COOPERATIVES
● 1. They instill an atmosphere of cooperation.
● 2. They are democratic.
● 3. They provide great economic benefits to members.
● 4. They can make for engaged employees and customers.
● 5. They enjoy less taxation.

CONS OF COOPERATIVES
● 1. They have less capital incentives, which do not appeal to big investors.
● 2. They face interrelated investment disadvantages.
● 3. They would allow generic marketing.
● 4. They will see slow decision - making processes.
● 5. They share pricing with competition.

Types of Cooperatives
● Producer / Marketing Cooperatives
● Consumer Cooperatives
● Worker / Services Cooperatives
● Housing Cooperatives
● Financial Cooperatives
● New Generation Cooperatives
● Multi-Stakeholder Cooperatives
● Non-profit Community Service Cooperatives

SAMPLES OF COOPERATIVES IN THE PHILIPPINES

● Mushroom Producers Cooperative (Marikina, Metro Manila)
● Philippine Sports Commission Consumer Cooperative (Malate, Manila)
● Bangsamoro women garments and tailoring service cooperative (Lanao Del Sur)
● Wonderland Townhomes (Manila, Metro Manila)
● Happy Homes Housing (Tanza, Cavite)
● Kapandesal Multipurpose Cooperative (Malate, Manila)
 ● U E Cooperative Credit Union (Sampaloc, Manila)
● The Foundation for Agrarian Reform Cooperatives in Mindanao (Davao Del Sur)
● Earth Kitchen (Quezon City)
● Ayala Corporation
● COVENANT COMMUNITY SERVICE COOPERATIVE (Ermita, Manila)

HOW TO ORGANIZE A COOPERATIVE

FIRST. Get organized.
SECOND. Reserved your proposed cooperative name.
THIRD. Prepare a general statement called an economic survey.
FOURTH. Prepare the cooperative by-laws. The by-laws contain the rules and regulations
governing the operation of the cooperative.
FIFTH. Prepare the articles of cooperation.
SIXTH. Secure bond of accountable officer(s).
SEVENTH. Execute Treasurer's Affidavit.
EIGHTH. Complete the Pre-Membership Education Seminar (PMES).
NINTH. Register your cooperative with the Cooperative Development Authority (CDA)

Submit the following required documents in four (4) copies:

Four (4) copies each of the Economic Survey, Articles of Cooperation and By-Laws duly
notarized;
1. Economic Survey;
2. Articles of Cooperation and By-Laws;
3. Surety bond of accountable officers;
4. Treasurer's Affidavit;
5. Approved Cooperative Name Reservation Slip;
6. Certificate of PMES;
Sources:

● What is Cooperatives?
What is a cooperative? | ICA. (n.d.). ICA. https://www.ica.coop/en/cooperatives/what-is-a-
cooperative

RA 6939
Cooperative Development Authority. (n.d.). CDA KOOPS E-FORUM NATIONAL
GOVERNMENT AGENCIES’ PROGRAMS FOR COOPERATIVES, SERIES 2.
https://www.cda.gov.ph/resources/issuances/republic-act-6939

● Importance of Cooperatives.
The Role of Financial Management in an Organization - Talentedge Learning Series. (n.d.).
Talentedge. https://talentedge.com/articles/role-financial-management-organization/

● Pros and cons of Cooperatives.

Gregory, L. G. (n.d.). McDonald’s Generic Strategy & Intensive Growth Strategies.
Paramore Institute. Retrieved February 5, 2017, from https://greengarageblog.org/10-pros-
and-cons-of-cooperatives

● Types of Cooperatives
Types of Cooperatives - Manitoba ( n .d ) Manitoba
https://www.gov.mb.ca/jec/busdev/coop/types.html

● Sample of Cooperatives
Housing Cooperatives
Investopedia (n . d) Investopedia - https://www.investopedia.com/articles/pf/08/housingco-
op.asp#:~:text=A%20housing%20cooperative%20or%20%22co,unit%20that%20they%20liv
e%20in.

Master list of Registered Cooperatives in Philippines

J. (n.d.). Master list of Registered Cooperatives in the Philippines. Scribd.
https://www.scribd.com/doc/263127077/Master-list-of-Registered-Cooperatives-in-the-
Philippines

Financial Cooperatives
InvestorWord (n . d) InvestorWord-
http://www.investorwords.com/12110/financial_cooperative.html

Multi-stakeholder Cooperatives
J. (n.d.). Master list of Registered Cooperatives in the Philippines. Scribd.
https://www.scribd.com/doc/263127077/Master-list-of-Registered-Cooperatives-in-the-
Philippines

Community Service Cooperatives

Skookum, A. (2013, July 26). What it means to be a Community Service Cooperative –
Skookum Food Provisioners’ Cooperative. Skookumfood.
http://skookumfood.ca/2013/07/26/community-service-cooperative/
● How to organize a cooperative
MEMORANDUM | NOTICE TO COMPLY WITH SECTION 4 (uu) OF REPUBLIC ACT NO.
11494, OTHERWISE KNOWN AS THE “BAYANIHAN TO RECOVER AS ONE ACT.” (n.d.).
CDA. https://www.cda.gov.ph/resources/partners/2-uncategorised/1203-faq-how-to-
organize-a-cooperative