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Any ten adults can voluntarily form an association and get it registered with the Registrar of Co-operative Societies.
Ø Open Membership: Persons having common interest can form a co-operative society.
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Advantages and Disadvantages of Co-operative Society Advantages of Co-operative Society A Co-operative form of business organisation has the following advantages: Ø Easy Formation: Formation of a co-operative society is very easy compared to a joint stock company.
Such help may be provided in the form of capital contribution, loans at low rates of interest, exemption in tax, subsidies in repayment of loans, etc.
Ø Stable Life: A co-operative society has a fairly stable life and it continues to exist for a long period of time.
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Ø Dependence on Government: The inadequacy of capital and various other limitations make cooperative societies dependant on the government for support and patronage in terms of grants, loans subsidies, etc.
Due to this, the government sometimes directly interferes in the management of the society and also audits their annual accounts.
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