CO-OPERATIVE REGISTRATION PROCEDURES

registHOW TO REGISTER A CO-OPERATIVE
The co-operative Societies Act, Chapter 490 of the Laws of Kenya, states that for a society to be registered with or without limited liability, it has to have its object as the promotion of the welfare and economic interest of its members and has incorporated in its by-laws the following co-operative principles:
(i) voluntary and open membership;
(ii) democratic member control;
(iii) economic participation by members;
(iv) autonomy and independence;
(v) education, training and information;
(vi) co-operation among co-operatives; and
(vii) concern for community in general,
may be registered by the Commissioner as a co- operative society under this Act with or without limited liability. Provided that a co-operative union or an apex society shall not be registered except with limited liability.

HOW TO REGISTER A CO-OPERATIVE
Essentials for registration of co-operative societies.
For a society to be registered under the Act, it must in the case of the primary society, consist of at least ten persons all of whom shall be qualified for membership of the co-operative society in the case of a co-operative union, it consists of two or more registered primary societies in the case of an apex society, consist of two or more secondary societies.

REGISTRATION PROCEDURES
When a member of the public visits a District Co-operative Office with an intention to register a Co-operative Society, he is advised, to make a formal request in writing. This request should include the following:
1. Name of the proposed society,
2. Names of a minimum of ten proposed members (including copies of their ID card, telephone number, physical address, occupation and age).

DOCUMENTS TO BE ATTACHED
1. For formerly employed persons, a letter of confirmation from the employer.
2. For religious based common bond, a copy of certificate of incorporation of the organization accompanied by a letter of approval from the presiding clergy.
3. For Matatu/Transport Societies, copies of at least ten log books of the proposed members vehicles
4. For business people, copies of certificate of incorporation,/business licenses from at least ten proposed members
5. For marketing societies, introductory letter from the area chief to confirm the common bond and expected production
6. For welfare and self-help groups intending to convert to co-operatives, a copy of certificate of registration from relevant ministry.
7. For other informal organizations, a letter of introduction from the area Chief.

PRE CO-OPERATIVE MEETING
Upon receipt of the above documents, the officer shall convene a meeting within a week with the proposed members. The quorum of this meeting (Pre Co-operative Meeting) shall be ten members. The main agenda of the meeting shall be pre co- operative education. During the meeting; the promoters shall appoint interim officials for purpose of overseeing registration.

REQUIREMENTS FOR REGISTRATION

  1. Apart from above documents the following will be required:-
  2. The proposed by-laws in four copies
  3. Filled application for registration form in four copies
  4. Supplementary information form in four copies (if any)
  5. Economic appraisal in four copies
  6. In case of salaried workers, a letter from the employer is needed agreeing check off.
  7. Minutes of the pre co-operative meeting
  8. Bankers cheque of Kshs 3,700 being application and registration fees

After successful registration, the newly registered society to convene the first general meeting within a month after receipt of the certificate by the interim officials.
Failure to do so, the co-operative officer should recommend to the CCD immediate cancellation of the certificate of registration.

CO-OPERATIVE REGISTRATION PROCEDURE

Download the power point here: CO-OPERATIVE REGISTRATION PROCEDURE

WE ARE 389 ON OUR FACEBOOK PAGE!! HOW WILL OUR SACCO LOOK LIKE IF WE WERE TO FORM ONE?

Thanks for joining this page and for visiting the main site. Now we are 389. That’s is incredible. We can form a co-operative society a savings and credit type (Sacco), and the law requires only ten people. Only ten!!

CAN WE REGISTER IT?
CAN WE REGISTER IT?

Lets assume we all want to form a co-operative. We call it Facebook Sacco. Our area of operation is Republic of Kenya. We all agree on postal and physical address of our society. Our common bond is Facebook users who have liked “Co-operative Movement in Kenya” (am sure commissioner won’t buy that!!!). The entrance fee/registration fee we all agree to set it at Ksh. 500. We also agree that one share is Ksh. 20 (i.e. nominal value of one share) and the minimum number of shares is 100 and therefore the non-withdrawable share is Ksh. 2000 and we set transfer of share fee at Ksh. 200. We all unanimously agree also that our minimum monthly contribution (deposits) should be Ksh. 2000.

If we all pay the entrance fees, we will have Ksh. 194,500. This is more than enough for registration and buying few stationary for our society and also remain with some cash that we can loan to our members! Saccos don’t give loans until they are six months old, also members don’t qualify for loans until they are six months old and have been contributing consecutively. We are all contributing Ksh. 2000 per month so every month our account will be reading Ksh. 778,000. In six months, we shall have savings of  Ksh. 4,668,000! Now after six months we can loan to few of our members. Of course by then we will have a loan policy that will control loan granting, repayment terms, etc.

Who is not feeling all nice now? Questions?

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