The University of Wisconsin Center for Cooperatives (UWCC) was awarded $127,000 by the Wisconsin Economic Development Corporation to boost cooperative development throughout the state of Wisconsin.
The funding will allow UWCC to expand technical assistance for start-ups, conversions, and existing co-ops, and address one of Wisconsin’s pressing concerns: retiring business owners without succession plans.
“Like many states, Wisconsin faces a ‘silver tsunami’ of retiring business owners,” says Courtney Berner, UWCC’s Executive Director. “If successors are not identified, Wisconsin could lose upwards of 50,000 businesses over the next two decades.”
With approximately half of Wisconsin businesses owned by Baby Boomers, UWCC has been approached by retiring business owners from a wide range of industries, from manufacturing to veterinary medicine, says Berner.
“Regardless of industry, the cross-cutting theme we keep hearing is that business owners would prefer to hand over their business to the employees who helped build the business, rather than permanently close or sell to a large competitor or private equity,” says Berner.
Business owners turn to UWCC to take the guesswork out of not only converting into a cooperative, but assistance throughout the lifespan of a cooperative.
The Center supports businesses at every stage: brand new start-up cooperatives, businesses converting into cooperatives, and established cooperatives, in areas including organizational development, feasibility analysis and business plans, meeting facilitation, and development of articles of incorporation, bylaws, and policy.
The Center also raises awareness about the cooperative model through outreach and educational programs for communities, economic developers, and technical assistance providers.
The interest in the cooperative model continues to grow, and Berner says the benefits are clear.
“Employee-owned businesses like worker co-ops benefit communities,” says Berner. “They retain jobs, services, and wealth locally and have the potential to increase worker productivity, satisfaction, and retention, and are more resilient during economic downturns.”
Learn more about UWCC and all the WEDC grant award winners.