Kinds or Types of Co-operative Society:-

Following are the important kinds of cooperative society:

1. Consumer cooperative society.

2. Producers cooperative society.
3. Credit cooperative society.
4. Agriculture cooperative society.
5. House Building cooperative society.
6. Insurance cooperative society.
7. Miscellaneous Societies.

1. CONSUMER COOPERATIVE SOCIETY:-

This type of society purchases the goods of daily needs from the whole sellers or producers and sells it in
the hands of members because there is no any middle man between whole seller and consumer, so
goods are cheap for the members. These societies are generally found in the shape of departmental
store and retail cooperative store. Sometimes these also earn profit. Some portion of the profit is
distributed among the members and other is spent for the development of business and on the welfare
of the members. This business is conducted by the elected manager. If the business expands then
administrative committee is organized by the members to look after the business. Anyhow its major
objective is to supply the daily necessities of life to its members on lower price. The cooperative
consumers societies are very popular in advanced countries.

2. PRODUCERS COOPERATIVE SOCIETY:-

The main objective of forming this society is to eliminate the middleman and capitalists between the
producer and consumer. It makes direct link between the producers and consumer. It produces goods
according the demand of the members. Surplus production is sold in the open market at profit.
Members of the society pool their resources and produce goods. They also manage the business by
themselves. They also receive the profit according to their capital. All the production process like
purchase of raw material and distribution of goods is performed under the supervision of members. So
goods are produced on low cost and supplied to the members at low price. This type of society
establishes small industrial units which are labour intensive. These societies also establish their own
retail shops to provide their product to the consumer directly.

3. CREDIT COOPERATIVE SOCIETY:-

It is the organization of financially weak persons. Its major objective is to provide short term and
medium term loans to its members. This society protects the members from the money lenders, who
charge the higher rate of interest. In the rural areas it provides the loans to the poor people on low rate
of interest. Credit cooperative society collects the fund from its members and also borrows the loan
from the government. It has two kinds agricultural and non agricultural credit society. The liability of the
members is unlimited.

4. HOUSE BUILDING COOPERATIVE SOCIETY:-

This society is formed generally in the urban areas. It protects and provides the houses facility to its
members. It receives deposits from its members and obtains land for the construction of houses. It
purchases the raw material for construction on low rates and provides to the members on no profit
basis. It also provides the facility of gas, electricity, water and transportation.

5. AGRICULTURAL COOPERATIVE SOCIETY OR COOPERATIVE FARMING SOCIETY:-

This society enables the small farmers to employ improved methods of cultivation. Small farmers cannot
use tractors, tube well and fertilizer due to small holding. In the agricultural countries it is very popular.
These societies provide improved seeds irrigation facility and machines to the farmers to increase their
per acre yield. It also takes interest to dispose of the product of the farmers. It collects the funds from
the members and also borrows the money from the various financial institutions. The liability of the
members is unlimited.

6. CO-OPERATIVE INSURANCE SOCIETY:-

This type of society is formed to provide group insurance to its members. It contracts with the insurance
company collectively. In this way the premium rate of insurance lowers. Generally this society takes
group insurance policy for its members. This society can be organized for issuing policies of small
amount. There are two types of insurance cooperative society, mutual office and self concern. In the
mutual office, the policy holders are the owners and the profit of the insurance company is utilized for
the members. Self concern cooperative society is formed to provide insurance facilities like the private
insurance company.
Due to many problems the cooperative insurance has not been provided successful.

7. MARKETING CO-OPERATIVE SOCIETY :-

This kind of society is very useful for the small produces and agriculturist. Small producers organize this
type of society, to dispose off their product collectively. The society pools the product of all the
members and arranges to supply it on higher price. It strengthens the bar gaining power to the
members. It removes the middleman profit. This society also provides him financial aid to its
members.Storage and information facilities are also provided by the society.