There are two ways that residents of a community can jointly
capitalize a new local business. One is to start a cooperative,
a business that is owned by its member-customers, who provide
the necessary capital in the form of member dues, govern the
business democratically, and receive a share of any surplus or
profits. Customer-owned cooperatives have been particularly
successful in the grocery sector. The U.S. is home to about 300
grocery store cooperatives, which have annual sales of about
$1.5 billion. They include stores like The Wedge in Minneapolis
and the Davis Food Co-op in Davis, California. Another approach
is to create a community-owned store that is structured as a
local stock corporation. There are at least a dozen examples of
these around the country. One of the best-known is the Powell
Mercantile in Powell, Wyoming. Founded in 2002, this profitable
downtown department store is owned by about 800 local families
who capitalized the business by buying shares priced at $500
each. The Powell Mercanti