Topic: patronage

• Allocate patronage and make distributions guides

  How § 308B.725 directs net income to patron members on the basis of patronage, in what forms, and what IRS sources say members report.

• Organize a worker cooperative under chapter 308B guides

  Chapter 308B has no separate worker-cooperative type; you build one by defining patronage as labor and the workers as patron members in your articles and bylaws.

• Organize a consumer cooperative under chapter 308B guides

  Chapter 308B has no separate consumer-cooperative type; you build one by defining patronage as purchases and the customers as patron members in your bylaws.

• What is patronage in a cooperative? faq

  Patronage is business, transactions or services done for or with the cooperative, as the cooperative defines it; federal patronage-dividend tax rules are separate.

• § 308B.005 Definitions statute

  The definitions section of chapter 308B. It fixes what terms such as cooperative, member, membership interest, patron, patronage, articles and filed with the secretary of state mean everywhere else in the chapter.

• § 308B.311 Agricultural Product Marketing Contracts statute

  A cooperative and a patron may sign a marketing contract requiring the patron to sell a specified portion of agricultural product exclusively to the cooperative, for up to ten years per term, with liquidated damages and injunction remedies built in.

• § 308B.551 Patron Member Voting Based On Patronage statute

  Allows the articles or bylaws to give patron members, or delegates elected by patrons, extra votes tied to business done with the cooperative, equity held, or membership of a member cooperative.

• § 308B.721 Allocations And Distributions To Members statute

  Bylaws must set how profits, losses and distributions are split between patron interests (collectively) and other interests; patrons collectively must get at least 50 percent, or 15 percent if specially authorized.

• § 308B.725 Allocations And Distributions To Patron Members statute

  Rules for paying out net income to patron members: reserves, a cap of five percent for promoting cooperatives, distribution on the basis of patronage, annual payment, and allowed forms such as cash or capital credits.