How to register a co-operative

Once you have decided to form a new co-operative under the Co-operatives Act 2009 (the Act) the steps for registering are:

Step 1 – Draft the rules, formation disclosure statement and name the co-operative

Create the rules for the co-operative:

The rules govern how the co-operative runs and outline its members' rights and responsibilities. The rules need to comply with the law and contain certain mandatory matters.

Special consideration also needs to be given to the active membership rule which sets out what members need to do to support the primary activities of the co-operative or to maintain a relationship with the Co-operative.

To help with developing the rules, there are Model Rules for distributing and non-distributing co-operatives that a co-operative can opt to use. For information about the model rules and the matters that must be included see our Co-operatives Rules page.

If a cooperative does not use the model rules, we recommend that it seek professional or legal advice with creating its rules.

Prepare draft formation disclosure statement (if required):

Distributing co-operatives must prepare a disclosure statement for potential members. Non-distributing co-operatives are not required to prepare a formation disclosure statement unless directed to do so by the Registrar of Co-operatives. A disclosure statement will be required where the operations of the proposed co-operative may result in a significant financial risk to members or where other circumstances exist that warrant the preparation of a disclosure statement.

A formation disclosure statement must contain information necessary to ensure potential members understand the nature and extent of their financial involvement or liability as a member of the co-operative.

An example Disclosure Statement for formation is available to help co-operatives prepare their statement.

Financial or legal advice may be required to prepare the disclosure statement and rules.

Naming the co-operative:

The name of a co-operative must include the word ‘Co-operative’ or the abbreviation ‘Co-op’ or ‘Coop’ and must end with the word ‘Limited’ or ‘Ltd’.

The proposed co-operative name will be rejected if it is considered to be misleading or it is too similar to an existing co-operative, body corporate or business name.

You can check the names of existing organisations and business names on the Search ASIC registers.

Step 2 – Get approval of the name, draft rules and formation disclosure statement

Complete the form Application to approve co-operatives rules and formation disclosure statement (Form 1) and submit it together with the appropriate fee, the rules, and the formation disclosure statement to Consumer Protection at least 35 days before the proposed formation meeting.

If you have the documents ready to submit, lodge the application online.

Step 3 - Hold a formation meeting to agree to the rules and present the disclosure statement to prospective members (if applicable) 

Once the rules and any disclosure statements have been approved, the co-operative must hold a formation meeting.

The formation meeting gives prospective members the opportunity to vote on the rules, read the formation disclosure statement, formalise their membership by completing membership applications, and for the co-operative’s board of directors to be elected.

At least five people who would be suitably qualified to be a member of the co-operative must attend the meeting.

You will need to have copies of the rules (approved by the Registrar), the formation disclosure statement (approved by the Registrar), and the Form 3 – Application to Register a Co-operative on hand for signing at the formation meeting.

Step 4 – Apply to register the Co-operative

Within two months of the formation meeting, the following documents must be completed and submitted to Consumer Protection:

a) Form 3 – Application to Register a Co-operative

b) Two copies of the rules signed and certified as being agreed to by two thirds of members at the formation meeting by the chairperson and secretary of the formation meeting.

c) A copy of the formation disclosure statement (if applicable) signed and certified as being presented to members at the formation meeting by the chairperson and secretary of the formation meeting.

d) The application fee.

When you have the documents ready to submit, lodge the application online. 

If approved, the Registrar will register the Co-operative and issue a certificate of registration.