The manual, Co-operatives in Australia provides a good overview of how to make changes to your co-operative. It covers areas such as demutualisation, mergers and transfer or engagements, ending membership, sale or transfer of shares, and removal of Directors.
We recommend you seek advice from an independent financial and legal advisor prior to making any changes, as well as consult your Model Rules.
As there are legal and financial implications for closing a co-operative, it is important that members of the co-operative obtain their own independent advice about how to proceed. Generally, there are three circumstances under which a co-operative may close:
- Voluntary winding up by members
- Voluntary deregistration by members
- Winding up due to insolvency (either commenced by the directors, creditors or the court).
Procedures are available from Registry Services in each state or territory