Once the co-op has incorporated or approved its basic rules, it is ready to begin operations. As soon as management and staff have been hired, their first tasks will be to begin implementation of the co-op’s business plan. Don’t forget to publicize the co-op’s early accomplishments to help create a positive image of the co-op in the community. Celebrate your first sale!
Most stores have two grand openings. The first, the “soft” opening, is when you begin operations. This opening allows you to test your systems and operations thoroughly, generally with the most forgiving audience — your committed members. A few weeks or even a month later, you can throw a big, heavily publicized grand opening complete with festivities and special events.
Don’t forget the crucial role of members in the success of every co-op. Keep in close communication with members and the board of directors — especially if it takes a while to get the store operating at full capacity. Let members know what is happening in the store and when they can expect the kinks to be worked out. Perhaps most importantly, make sure the staff are well trained and prepared to promote co-op membership, in addition to handling their operational responsibilities. There is nothing like a successful and welcoming store to encourage new memberships. And investment from new members will be a welcome boost to the co-op’s early cash flow.
Once operations have begun and you have some operating history (about six to nine months), hold a planning retreat for management and the board to discuss how things are going and where to go next. Focus your planning discussions on the next year. This is also a good time to review the list of keys to success and strategize on what the co-op needs to do to be successful. Don’t forget training for the board and management — continuous education is critical to keeping members and the co-op’s leadership “up to speed.” Also consider taking a member survey at this point — to make sure that the co-op is actually meeting needs and to gauge members’ satisfaction.
Be prepared for the rough road that many new stores face in their first year or so of operations. Opening a new store requires you to keep many balls in the air at one time. No matter how well you plan and train, some will inevitably come down faster or slower than you predicted. Don’t allow yourself to be caught off guard when you encounter these initial stumbling blocks. Be prepared to adapt and overcome them as they appear.
Eventually, after the first couple of years of operations, extend the co-op’s planning horizon to three or five years. Your co-op’s on-going success depends on constant attention to business basics and keeping in contact with members.