What is a cooperative company (CV)? Advantages & disadvantages

What is a CV? The CV (Coöperatieve Vennootschap, or SC in French) is a company form where cooperation is central. The goal is not to maximise profit, but to offer a service together: cheaper energy (energy cooperative), local food (food cooperative), or shared ownership of a business (employee cooperative). Partners join to gain access to that service and to help decide on the direction, not to get rich. Every member has an equal say, regardless of how much money they contribute.

Short answer

A CV (Coöperatieve Vennootschap / SC) is a company in which members cooperate around a common goal. Think of neighbours buying solar panels together (energy cooperative) or farmers selling their produce jointly (food cooperative). Every member has an equal say, regardless of how much money they contribute.

Advantages

Democratic governance

One person, one vote, regardless of contribution

Free entry and exit

New partners join by purchasing shares (board decision). Leaving is done by having the CV buy back your shares. No notary needed, no amendment to the articles of association. With a BV, you need to find a buyer and other shareholders often have a right of approval.

Limited liability

Partners only risk their contribution

Social accreditation

A CV can be accredited as a "social enterprise" by the government. This gives access to specific subsidies, public contracts and tax benefits that other legal forms do not receive.

Strong engagement

Members/clients become co-owners

Dividends possible

A CV may distribute profits to partners, but dividends are legally capped at 6% of the contribution. The remainder of the profit must flow back to the cooperative objective.

Disadvantages

At least three founders

You need two other people to get started

Genuine cooperative spirit required

The law requires that you genuinely pursue the cooperative philosophy

Notary required

For incorporation and amendments to the articles of association

Shared control

Every partner has an equal say, regardless of contribution

Governance obligations

General assembly, governing body, bookkeeping

When to choose?

  • You want to set up an energy cooperative, food cooperative or sharing platform
  • You want to make clients or employees co-owners
  • Democratic decision-making is important for your project
  • You want to be accredited as a social enterprise

When not?

  • You want to keep control alone or with one other person: choose a BV
  • You want to attract investors who expect more voting rights
  • Your project is not genuinely cooperative in nature

3. Not sure?

Most entrepreneurs hesitate between a few legal forms. Here are the most common comparisons.

CV vs. BV

The BV is more flexible and easier to set up (one person is sufficient). The CV is intended for genuine cooperatives with equal decision-making power. Only choose a CV if the cooperative model is essential for your project.

CV vs. VZW

Both are forms of collaboration, but a CV may distribute profits (limited) and a VZW may not. Choose a VZW for purely non-profit purposes, a CV if you also want to financially reward members.

How many cooperative companies are there in Belgium?

View the exact figures, top cities, popular sectors and age distribution.

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4. Frequently asked questions

What is a CV in Belgium?

A CV (Coöperatieve Vennootschap / SC) is a company with limited liability, based on the cooperative principle. Every partner has an equal say and partners can easily join and leave.

How many founders do you need for a CV?

At least three founders. This is more than for a BV (one founder) or VZW (two founders).

What is the difference between a CV and a BV?

The CV is based on "one person, one vote" and partners can freely enter and exit. With a BV, you determine the voting rights yourself and share transfers are more restricted.

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