C21, and Section 26 (1) (c) of the Capital Gains Tax Act, CAP. Posted by: NREH Essentially helps people imbibe a savings culture. Keying into this opportunity, a number a reputable cooperative society in Nigeria, notably BERSAMA Multipurpose Society and Prime Asset Cooperative, are currently taking the lead to explore the model for accommodation needs of its members and general public. But before we proceed into what the likely benefits of this system are, I would like to break down what an housing cooperative society in Nigeria really entails. This society provides short-term financial support or aid to its members when they need it and they have been termed to be very helpful at all times. Welcome to MEMCOS Our benefits cannot be over-emphasized. It is easy to join. Meaning you can network. Cooperative allows you set aside a certain amount of money while you are still in gainful employment which allows you to fall back on that savings you have and run with it for other businesses you may want to do on your own. So until the economy is fully back on its feet and the low/middle income earner can live comfortably well, the housing cooperative society may continue to be an interesting formula for the average Nigerian to be a landlord. Any person with common interest can become a member. Those needs may vary from individual to individual, but there is always an underlining factor that binds these people together which is usually survival. It means that all individuals have equal rights in dealing with the undertakings of the association. Investment Partnership The Legacy Cooperative Society also provides investment partnership for entrepreneurs who require financial support. They are formed mainly to tackle a particular need and of course, to make a profit. In Nigeria, … TYPES OF COOPERATIVE SOCIETIES IN NIGERIA With a cooperative society that has members of about 200 -300 or more, it means that whatever it is you are doing as an individual, you can showcase such products with the members of the cooperative. 2. 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You can check them out and your own homework on them too. So you can transit from being in paid employment to being self-employed.”. The MTNN Employees Multipurpose Cooperative Society (MEMCOS) was borne out of the desire of the generality of employees of MTN Nigeria to organise themselves into "society" to pool resources together for the benefit … It is a known fact that not all Nigerians can meet up to their demands and necessities of life. However, since a strict check & balance method is being employed, this occurrences rarely happen. ... Benefits of Registering a Co-operative Society If one of the member defaults on any of the payments, whether it is the co-op maintenance, taxes, loan repayment or contributions, the other co-owners are also affected. According to Amana (1978) in Nigeria, the co-operative society department was included in the port-folio of the ministry social welfare and co-operative. 1) Since cooperative societies are business organizations, the management should be made up of people with some experience with business management. 3) Members these days are having a better understanding of what cooperatives truly are, and thus are acting approp… It is important to ensure that the cooperative society you’re looking to join is duly registered at the Corporate  Affairs Commission C.A.C and other relevant authorities. 2) Cooperatives have started employing qualified employees to carry out basic functions, so this should help properly shape the overall structure of cooperatives. However, returns are expected to be submitted to the Director of Cooperatives at intervals determined by the Director or such agency that regulates Cooperative Societies. The second thing you benefit from cooperative as an individual is access to loans either in cash or in the form of goods. Fair distribution of overflow. University Cooperative Society, Ota, Ogun State and Lead City University Cooperative Societ y Ibadan, Oyo State, as a means of data collection. It is therefore safe and recommended to procure a land, building or the like through a cooperative society. The following are some of the important advantages of co-operative societies. A primary advantage of a cooperative society in Nigeria is the pooling of the members’ resources so that their buying power is leveraged, thus lowering the cost per member in all the services and products associated with owning a home. In Nigeria and around the world, cooperative societies have been an effective way for people to exert control over their economic livelihoods for over 160 years. The cooperative movement began in Europe in the 19th century, primarily in Britain and France. in Co-Operative Society, Real Estate News January 13, 2016 Availability of loans at low rate of interest to either purchase a land, house or possibly develop a land or make renovations to procured buildings. The membership of a cooperative society is open to all. The early cooperative societies in Nigeria were established to facilitate cocoa farming which led to the establishment of the Cooperative Registrar of the Colonial Government in 1935. So what a cooperative does is regardless of where you work or what tribe you are from, as long as you have identified yourself as someone who wants to actually not feed with his ten fingers alone, being able to have something that will help you in the future, a cooperative is the right place.”, “It is also one of the most primitive tools of saving. Cooperative society refers to a private business organization that is managed, controlled, owned, and administered by the people who make use of its products, supplies, or services. May 3, 2018 Cooperatives gives you the platform to network. 0. Other forms of cooperative may fall under those categories. In the last five decades or so, the unbridled increase in housing deficiency across the country has led to the emergence of housing cooperative societies in Nigeria, although they still represent a low percentage from the point of view of the cooperative movement. Upon assessment, if the Director is satisfied that the society has complied with the provisions of the … Admonishing cooperative societies in Lagos to embrace electronic voting for their periodic election of officers into key administrative positions, Atomode stated … Required fields are marked *, Pros and Cons of Joining a Housing Cooperative Society In Nigeria, Housing Cooperative Society In Nigeria – The Breakdown. The first attempts to create different types of cooperative society in Nigeria were aimed at the peasants. There are three (3) Major categories of cooperative society in Nigeria namely; 1. Four beneficiaries received N416,000 each from the society, a… Do not forget to check out the two cooperative houses i mentioned earlier (BERSAMA and Prime Asset Cooperative). A housing cooperative is a type of cooperative whose social objective is to provide its members with housing,  premises and other real estate, acquire land to build and urbanize the acquired land for habitation. It is no longer news that only two per cent of Nigerians are investing in real estate, while the remaining 98 per cent either lack the financial capacity or knowledge to take advantage of benefits that real estate sector has for the economy. Like i said, they come highly recommended, with a proven track record and trustworthiness. The benefit of registering a cooperative society is to be recognized as an entity under the law in Nigeria, so that your dealings will be seen as authentic as no one would love to deal directly with an unregistered company let alone a cooperative society that is unregistered. The ultimate objective is to help members buy land, own a house or an apartment, invest profitably in real estate and other opportunities. Cooperative allows you set aside a certain amount of money while you are still in gainful employment which allows you to fall back on that savings you have and run with it for other businesses you may want to do on your own. It’s just a temporary warehousing such money to be disbursed. The head of department was the registrar of co-operatives of societies with his headquarters in Kano State. -ownership of the land or estate they claim to own. -possible withdrawals and interest rates. About NNMCSL. Benefits of Cooperative Societies Similar to an LLC, Cooperative Societies are of limited liability and have a legal personality separate from that of its members. What is however, new is the reawakening among citizens to use the model for home ownership and wealth creation. For instance, the consumer co-operative society’s main goals and plans of his society are to form arrangement for the pecuniary benefit and the improvement of the social and domestic condition of its member by raising a sufficient amount of capital in shares of two naira each. In evaluating agricultural credit utilization by cooperative farmers in Benue State, Nigeria, Okwoche et al (2001) observed a significant difference between the agricultural output and income of farmers’ before and after the utilization of loan acquired. 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The story of a cooperative society in Nigeria started in the 30’s of the previous century after the legislative unit passed the bill about the creation of this movement. Best Cooperative Societies are needed in our everyday businesses. Meaning that whatever savings I have kept in those financial institutions is not actually a savings. A cooperative society is an organization which is owned and run jointly by its members, who share the profits or benefits. We give out loans at designated interest rates for entrepreneurs and members of the society who need an alternate source for quick business loans. Advantages and guarantees of housing cooperatives. The membership fee is kept low so that everyone would be able to join and benefit from cooperative societies. History of cooperative society in West Africa and Nigeria. Also read: Nigeria plans to start a bridge Bank to aid struggling lenders. 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