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Mission: Clipper City Co-op is a community-owned grocery store dedicated to providing access to
locally sourced food, strengthening the regional economy, and promoting health and well-being. 

What's to love about a food co-op?

We all have childhood memories of parents, teachers and others encouraging us to work together. A co-op is what “working together” looks like all grown up. From the outside, many co-ops look like any other business, since a co-op provides products and services like conventional businesses do. But it’s what goes on behind the scenes that makes it different.

 

A cooperative exists to serve the community and its members, but what makes co-ops unique is that the members are also the owners. So, in addition to getting the products and services you need, you also have a say in the business decisions your cooperative makes.

 

Rather than rewarding outside investors with its profits, a co-op returns surplus revenue to its members in proportion to how much they use the co-op. This democratic approach to business results in a powerful economic force that benefits the co-op, its members and the communities it serves.

Q: What is a food co-op?


A: Food co-ops are member-owned grocery stores.  Clipper City will be a full-service grocery store that stocks as much local, organic, and healthy food as possible.  When you purchase a share in the business for $200, you become an owner and have equity in it.  Although anyone will be able to shop at Clipper City, it is owned and controlled by the owner-members.  Unlike a business owned by an individual, family, or a corporation, profits from a cooperative are returned to the owner-members or are used to help the store better serve the community's needs. Most owner-members of Clipper City Co-op come right from the Manitowoc County community, and ownership by the community is one of the vital differences between a food co-op and a regular grocery store.

 

Q: What is the benefit of owning a share in the co-op?


A: Buying a share in Clipper City Co-op is an investment in the Manitowoc area community, its health, and its economic well-being.  One of the most important reasons current owner-members have joined is because they want to help improve the Manitowoc community.  In addition, co-ops support local farmers by providing them a place to sell their meat and produce year-around.  By investing in a share of the business, you will also have the opportunity to share in the decisions and operations of the co-op.  Owner-members can give input on business decisions, run for the board, and vote in important co-op decisions. If the co-op shows a profit, owner-members may receive that money back in a patronage dividend. Simply put, a co-op is an opportunity for people with similar needs to pool their capital together to fill those needs. 

 

Q: Why do co-ops matter?

 

Co-ops are about helping us all engage more with our communities to make them better places.  Co-ops provide their owners opportunities to take active roles in building the business and meeting the co-op’s missions.  More than regular grocery stores, food co-ops emphasize health education and create opportunities for community building.  These ideas are central to Clipper City Co-op’s mission, because we take seriously our commitment to nurturing community engagement.

 

Q: How much does is cost to be an owner-member?


A: $200 per household will get you full membership and equity in the co-op. At this point in co-op development we accept incremental payments towards full membership, with initial payment of $50 and quarterly payments of $50 until the full membership of $200 is paid in full.  Full share payment of $200 is necessary to exercise voting rights. 

 

Q: What will my $200 be used for?


A: Funds are necessary to complete a feasibility study, conduct community surveys, print material for community outreach, and build partnerships with local producers.   In addition, funds are needed to build leadership, hire consultants, and undertake other necessary operations to work responsibly towards opening a cooperative grocery store in Manitowoc.  Clipper City Co-op operates on cooperative principles and transparency is essential.  All operating decisions and accounting of money spent will be made available upon written request, or provided on our website: www.clippercitycoop.com.

 

Q: When will the co-op open?


A: Clipper City Co-op is following a membership driven time-line, a time-tested model developed by the Food Co-op Initiative.  Generally, it takes 5-7 years to open a full-service food co-op, and a dedicated group of volunteers has been working on Clipper City Co-op for over three years.  After the board of directors is seated in November 2016, a site-selection committee will be formed.  Lease negotiation is scheduled to begin when we have 450 owners.  Owner equity helps us demonstrate to our primary and secondary lenders that we are a sustainable project.  Owner-member support is vital to keep us on track to open in 5-7 years.

 

Q: Who will be able to shop at the co-op?

 

Everyone will be welcome to shop at Clipper City Co-op, whether an owner-member or not.  An important aspect of Clipper City Co-op’s mission is providing access to healthy food to all people, whatever their background. 

 

Q: Where will the co-op be located?


A: The goal is to open the food co-op in downtown Manitowoc, an area determined to have limited grocery options.  Our initial market study was conducted at the end of 2015 by Dakota Worldwide, a consulting firm that specializes in grocery cooperatives.  The study shows that it is feasible to bring a full service food co-op to Manitowoc.  The recommended size of the store is 4500 square feet with 3100 square feet of retail space.  At 250 owners the finance team will build the financial pro-forma, and the site-selection committee will be formed.  

 

Q: What will happen to money if the co-op fails to open?


A: Owner-member equity is an unsecured asset in the co-op, and should the co-op fail to open, for any reason, there is no guarantee that the shares will be paid back.  Some money is being used for printed materials, outreach, and owner-member recruitment.  In addition, some money has been used to match the $10,000 grant from Food Co-op Initiative that we were awarded to help pay for the first market study.  No money has been used to pay for staff; all work is strictly voluntary at this time.  Typically, money would be redistributed to owner-members as fairly and equitably as possible. A vote could also be held by owner-members to determine what to do with leftover funds

© 2016 by Clipper City Co-op  P.O. Box 1401 Manitowoc, WI 54221-1401                                                                      Clipper City Co-op | Manitowoc Co-op | Manitowoc Clipper City Co-op

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