Corporate Waratah Alpaca Fibre Co-op is a member owned for-profit Co-operative registered in NSW under the Co-operatives National Law (NSW).
Following extensive business planning and research funded by the Federal Government's Farming Together scheme the Co-op was officially formed on 16 June 2018 at a meeting of its initial members. An initial board of directors of 6 was also elected at this formation meeting.
Under the rules of the Co-op all members must subscribe to a minimum of 10 shares at $100 each in addition to paying an initial joining fee $50 and an annual membership fee of $100. In addition members must meet the Co-op's active membership rule which requires the producer to supply a minimum 30kg of alpaca fibre between 50mm & 140mm length per annum
Member's shareholdings entitle them to vote at annual general meetings and extraordinary general meetings of the Co-op and to nominate as members of the board. Under Co-operative legislation each member is entitled to one vote regardless of the number of shares owned.
Members' shareholdings also confer a right to profit participation in the form of dividend payments. The board currently have a 50 per cent dividend pay-out ratio policy. Under Co-operative legislation a member cannot own more than 20 per cent of the issued capital. Also in accordance with Co-operative legislation members may redeem their share capital at par value upon ceasing membership.