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Social economy enterprise

Social economy enterprise

There are three main differences between a social economy enterprise and a traditional commercial business. A social economy enterprise:

  • serves members of the community rather than simply generating profits;
  • includes a democratic decision-making process, allowing users and workers to participate;
  • places greater emphasis on individuals and jobs than on capital when distributing surpluses and income.

Co-operative or NPO?

Generally speaking, a co-operative serves its members, while an NPO serves the community. The members of a co-operative usually make regular use of its goods or services. They may be users or customers of the goods or services offered, or work in the co-operative. There are different kinds of co-operatives: workers, producers, consumers, solidarity or worker-shareholders. NPOs are more flexible and tend to have a less formal structure.

Tools available:

Find the best legal form for your business:

For more details on co-operatives:

For more details on NPOs:

Creating a NPO

  • Form a group of at least 3 promoters/founders
  • Register the NPO with the Registraire des entreprises
  • Draw up its statutes and by-laws
  • Hold a general assembly to found the organization, elect a board and adopt the statutes and by-laws

For more details on NPOs:

Related information:

PME MTL
Centre-Ville

630, rue Sherbrooke Ouest

Bureau 700

Montréal, Québec, H3A 1E4

514 879-0555
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