Strategic Planning

A sale to employees can provide an owner with significant tax breaks. Because of the IRC §1042 Capital Gains Rollover, business owners who sell at least 30% of the stock in their C-Corporation to an employee-owned cooperative can roll over the proceeds from the sale into qualified replacement securities and defer payment of any capital gains tax indefinitely.

This booklet is meant to be a “users’ manual” for workers (especially immigrant workers) and their advocates in the field who may be thinking of organizing a worker owned cooperative as a worker empowerment strategy.

This guide reviews various legal formations and ways to capitalize worker and consumer cooperatives.

This brief article disccuses the role of cooperatives in fueling economic recovery and the importance of public policy in cultivating factors of success.

EE embarked on its pioneering efforts to sell Fair Trade products in the United States with coffee from Nicaragua. From the beginning, EE paid the producers an above market price for their products out of a desire to help provide a better, more stable income and to more equitably distribute the proceeds of the final sales. The producers are typically small farmers indigenous to their region. On each product the company slogan -- “Small Farmers, Big Change” -- is prominently displayed.