Clear Creek Food Cooperative

June 20, 2011

Dear owner-members,

Owners of the Clear Creek Food Co-op affirmed their gratitude for the unique and wholesome products, generous educational culture, and niche of specialized services provided by their Co-op at an owner-member meeting on June 16. Twenty-three members and one guest speaker gathered for two hours at the Co-op to discuss the Co-op’s future, financial reality, and the challenges of limited resources.

After dire predictions that the Co-op would be out of business by July due to rising food and transportation costs, as well as slow summer sales, Co-op board and staff members reached out to all owners for a realistic assessment of owners’ priorities and commitment. In 2009 the Co-op’s owners voted to move to the heart of Richmond in 2009, and with only $19,000 in start-up capital, the Co-op has been reaching out to new customers, owners and community partners for 18 successful, exciting months.

There is a plan to get through lean summer months, the Co-op needs to raise $8000. To reincorporate as a non-profit (thereby increasing access to funding, especially grants for the Co-op’s extensive educational efforts), the Co-op needs to raise approximately $4000. To replace the large fridge that has been breaking down regularly (and has now completely died), the Co-op needs to raise $5000.

Owner-members enthusiastically discussed the plan and agreed to support the Co-op through their own finances and member recruitment. The board will assess fundraising and member recruiting efforts throughout the next few weeks, and communicate with owner-members about the feasibility of the Co-op. If sufficient funds are not raised through member loans, donations and recruitment, the board may pursue selling the Co-op to a commercial entity.

Despite the enormity of the task ahead, owner-members were optimistic about the Co-op’s future. Considering that regional food co-ops have raised as much as $750,000 through member loans, Clear Creek Co-op’s owner-members intend to raise $17,000 in the next few weeks.

Michael Boring of Boring + Boring law firm spoke to owner-members about the possibilities and benefits of reincorporating as a non-profit as well as member loans, drawing on his experience as an attorney for co-ops, and a board member of an Indianapolis food co-op. Owner-members also heard about innovative educational and outreach efforts of the Co-op, and unanimously approved new board members Sara Coulter, Stacie Shepherd and Lisa Marshall. (We did not have a quorum present for an official vote, so please return the enclosed ballot ASAP – even if you were at the meeting!)

Next steps:

The board will reassess fundraising and owner-member recruitment advances on July 22. If these efforts have been successful, the board will pursue legal reincorporation for the Co-op and continue to strengthen the Co-op’s products and services. If sufficient fundraising and recruitment have not occurred, the board will call an owner-member meeting to discuss selling the Co-op.

• Can you invest in your Co-op financially? We’ve already raised $1350 through donations to the Co-op. Perhaps you would like to contribute toward the new fridge? Or toward legal fees for reincorporating as a non-profit?
• If you’re not in a position to make a donation, can you make a loan to the Co-op? Member loans are at the heart of many food co-ops’ growth and success. Contact a board member today if you’re ready to talk about a loan! Contact the Co-op if you need a board member’s phone number or email address.
• If you’re not in a position to make a loan, please participate in the Co-op’s Crunch Cash program! Buy yourself a gift certificate that you will use before August 21 on packaged grocery, bulk, health and beauty, household, items as well as special orders. The Co-op gets the capital it needs in this summer shopping slump, and you get all the products you’d buy anyway!
• We all need to be recruiting members, left and right. Challenge yourself to recruit 2 friends to the Co-op this summer! If you recruit 3 new owner-members, you’ll receive a $20 gift certificate! (Make sure recruits list you as their recruiter.) You may not know which of your green-living friends are already members of the Co-op, so contact a board member or stop by the store to check.* The Co-op is now filled with owner-only sales for you and the 2 (or 3!) new owner-members you’ll recruit this summer! When you bring them in, enjoy the new signage throughout the store, and inviting artwork on the storefront!
• The board and staff are working around the clock to grow a sustainable, thriving Co-op! As we delve into the details of a new business plan, legal reincorporation, member loans and cost-cutting, can you jump into the joys of local food, education, marketing, membership and fundraising? A board member is on each of these committees, eager to put your skills and passion to good use! Contact the Co-op today to get involved. (Remember, owner-members who volunteer at least 2 hours each week get a 15% discount at the store!)

Thank you for growing your Co-op!

Anna Lisa Gross, President
Jen Ferrell, Secretary
Lisa Marshall, Treasurer
Tory Medinger
Stacie Shepherd
Natalie Richert-Sumner
Sara Coulter

* Note regarding the membership list: At the June 16 member meeting we discussed whether all owner-members have access to the full membership list. Our current by-laws indicate that the list is available only in preparation for member meetings (any member can call a member meeting with a petition signed by at least 20 members). Otherwise, the membership list is not published for members. We hope you’ll come to the next owner-member meeting and vote to open up this regulation!