Accounts structure for a worker cooperative (read: partnership) with expense accounts

Wm wm+gnc at tarrcity.demon.co.uk
Sat Aug 2 05:10:41 EDT 2014


Wed, 30 Jul 2014 17:21:28 <53D961D8.3040102 at mtdata.com>  Mike or Penny 
Novack <stepbystepfarm at mtdata.com>

PS: Either SOMEBODY in your cooperative needs bookkeeping experience or
else you face an ethical/structural problem "how do we employ non-co-op
members for professional services in areas where we lack the skills".
Sorry, but that's an old problem.

There have been good comments in this thread.  I'd like OP Benjamin to 
consider one more non-gnc thought.

Co-operatives, by definition, tend to start out well: good intentions, 
everyone throwing in equal weight and gaining equal benefits.

However, as things progress, at some point someone will end up doing 
most of the accounting and administration and (depending on the nature 
of the co-op) someone will do the picking up and cleaning, general 
maintenance and so on.

===

In plain terms the division of labour *must* become unequal and should 
be recognised in equity.

Example:

Mary, John and Fred each spend 40 hours doing something.

At the end of week 1

Mary does the accounting and admin, arranges insurance, makes sure taxes 
are filed, books appointments for the next week, etc.

John checks the vehicles and equipment used, does basic maintenance and 
repairs using some bits and pieces he happened to have in his workshop 
at home.

Fred goes to the bar, has a few drinks and calls this networking and 
marketing.

What is the equity each has at the end of the week?

===

I am not presenting an answer so much as saying that non-material equity 
should be considered too.  If we repeat the scenario above for a year 
I'd say Mary and John had more equity than Fred.

Every couple knows (or should know) this concept and it is recognised in 
modern divorce rulings, a co-op isn't much different to a marriage, 
really.


-- 
Wm...


More information about the gnucash-user mailing list