Join Date: Aug 2004
Location: Climbing, a mountain, Canada.
Initial share (membeship) costs $5
2% (I think) of your purchases buys extra, non-voting shares at $5 each.
If you have more than 100 shares then they buy back shares at fiscal year end. But here's the catch. They don't buy back from everybody.
The Coop is not for profit. This is how I believe it works: So if they have extra "profit" left over, that's what they buy back with. Say they have $45,000 left over, they buy back 9,000 shares. There's more than 9,000 members out there with extra shares so not all of them get bought back. So if they do a buyback it's by no means guaranteed that even if you have over 100 shares that you will get money.
I have never understood how they choose who gets buyback, though. I think it has sometthing to do with how much you've spent in the last year? Like they pick the most active people first?
I bet you can find out more details on the MEC website.