Cooperative
A member-owned enterprise run on cooperative principles. Delaware has a Worker's Cooperative Act, Wyoming has processing cooperatives and cooperative marketing associations, and Nevada has cooperative associations.
- Entiva fee to form
- $189
- Government fees to form
- $200
- Run plan
- $39 a month
- Steps to form
- 5
- Ongoing filings
- 8
- Ways to close
- 2
Who it suits, and what defines it.
The facts that decide whether it fits.
Who it suits
- Member-owned businesses run on cooperative principles.
- Worker, processing, marketing or consumer cooperatives.
Key facts
- Ownership
- Owned by its members
- Distributions
- Based on members' use (patronage)
- Tax rules
- Subchapter T may apply
- Wyoming annual fee
- Marketing $25; processing $60 minimum licence tax
- Delaware law
- Worker's Cooperative Act
- Wyoming law
- W.S. 17-10
- Nevada law
- NRS ch. 81
What the law requires.
4 rules, each in plain words.
Articles filed under the cooperative statute
In Wyoming this is articles. In Delaware it is acceptance of the Worker's Cooperative Act.
A registered agent, named in the articles
Patronage-based distributions
Distributions follow each member's use of the cooperative, and Subchapter T tax rules may apply.
An annual report in Wyoming
Marketing associations pay $25, and processing cooperatives pay the $60 minimum licence tax.
How Entiva forms it.
5 steps. Entiva prepares and files each one, and collects every signature the law needs.
The steps
5 steps- 1Appoint a registered agent and office
Named in the articles. The registered agent receives legal papers served on the cooperative.
- 2File the cooperative's articles or acceptance
Delaware: Worker's Cooperative Act filing, $200. Wyoming: processing cooperative $100, marketing association $50.
- 3Get an EIN from the IRS
The EIN is the cooperative's IRS tax number. It is free and applied for online, or on Form SS-4.
- 4Apply for federal tax-exempt statusOnly if needed
Optional. Form 1024 or 1028 for exemption. Without exemption, Subchapter T tax rules apply.
- 5Authorise Entiva to act with the IRSOnly if needed
Optional. Form 2848 lets Entiva represent the cooperative. Form 8821 only gives access to tax information.
Documents
7- Cooperative articles or Worker's Cooperative Act acceptance filing
- Registered agent consent
- Consent to act, one per named director or officer
- State filing receipt
- Stamped filing from the state
- Form SS-4 third-party designee authorisation
- EIN confirmation from the IRS
Who takes part
6- Every director: identity and address checked
- Every officer: identity and address checked
- Initial members: names screened against US sanctions lists
- The incorporator who signs the articles, when an individual: identity checked
- A communications contact for the registered agent: photo ID and a live check
- The IRS responsible party for the EIN: photo ID, selfie and SSN or ITIN
What has to be filed, and when.
Entiva tracks every deadline from the day it is formed, and files before each one.
Every year, and as things happen
8 filings- File the Wyoming annual report
Wyoming only. First day of the anniversary month of formation
- File Form 990-N if receipts are normally up to $50,000
If exempt. 15th day of the 5th month after year end (May 15 for calendar years)
- File Form 990, 990-EZ or 990-PF above the 990-N limit
If exempt. 15th day of the 5th month after year end (May 15 for calendar years)
- Request a 6-month extension for a 990 return (Form 8868)
Before the original due date; the extension is automatic
- File the foreign bank account report (FBAR)
April 15, extended to October 15. Only if there are foreign accounts
- File Forms 1099-NEC and 1099-MISC for contractors
January 31 for Form 1099-NEC
- File Forms 1042-S and 1042 for payments to foreign persons
March 15, only if payments go to foreign persons
- File the Delaware unclaimed property report
March 1, for Delaware cooperatives
The changes Entiva handles.
Each change is prepared, approved, signed and filed.
The most common changes
8 changes- Change the registered agent or office
- Handle a registered agent's resignation
- Change the IRS responsible party
- Change the IRS mailing address
- Give Entiva authority to act with the IRS
- End Entiva's authority with the IRS
- Move a cooperative into Delaware, Wyoming or Nevada
- Apply for or regain tax-exempt status
How it closes.
2 routes. The right one depends on whether it can pay its debts, and who starts it.
Voluntary dissolution
Members vote to dissolve the cooperative.
- 1
Members or the board vote to dissolve
- 2
Wind up and distribute assets under the statute and bylaws
- 3
File the dissolution with the state
- 4
File the final Form 990 or final tax return
- 5
Close the IRS business account (EIN)
Administrative dissolution
The state dissolves the cooperative after missed reports.
- 1
Record the state's dissolution
- 2
Revive the cooperative
What Entiva does for you.
From the first filing to the last.
Cooperative
- Files the articles, or the Worker's Cooperative Act acceptance, with the state.Formation
- Names the registered agent and office, and records the individual contact the registered agent holds.Ongoing
- Applies for the cooperative's EIN online.Formation
- Prepares and files the optional IRS exemption application on Form 1024.Formation
- Files the Wyoming annual report each year.Ongoing
- Files the Form 990-N e-Postcard if gross receipts are normally $50,000 or less.Ongoing
Build it with the API.
Every step on this page is an action in the Entiva API, with its documents, signatures and filing.
What it costs, item by item.
Every Entiva fee and every government fee, from forming it to closing it.
Forming it
$189one-off
- Government fees
- $200
Steps marked only if needed are not counted.
Closing it
Quoted before it starts
- Entiva fee
- Fixed, quoted first
- Government fees
- At cost
Included in the Run plan
- Registered agent in your state
- File Form 990-N if receipts are normally up to $50,000
- File Form 990, 990-EZ or 990-PF above the 990-N limit
- Request a 6-month extension for a 990 return (Form 8868)
- File Forms 1099-NEC and 1099-MISC for contractors
- File Forms 1042-S and 1042 for payments to foreign persons
- Routine changes
- Every deadline tracked
Extra, at a fixed fee
- Apply for federal tax-exempt statusOnly if needed
- File the foreign bank account report (FBAR)
- Move a cooperative into Delaware, Wyoming or Nevada
- Apply for or regain tax-exempt status
Each extra is quoted before it starts, and nothing is done until you approve it.
Forming it
Entiva's formation fee is $189, one-off. Government fees are passed through at cost.
WY processing cooperative $100; marketing association $50.
Form 1023 user fee $600; Form 1023-EZ $275.
Excludes steps marked only if needed.
Every year
The Run plan costs $39 a month ($468 a year).
Flat $25 for nonprofit corporations and cooperative marketing associations. Online card payment carries a 2.4% fee per the findings.
Changes
Routine changes are included in the Run plan.
Delaware: $50 for corporations, LLCs, LPs and partnerships; expedite 24-hour $100, same-day $200. Wyoming $5. Nevada $60.
Delaware figure: corporate domestication $234, plus incorporation from $109. LLC domestication $220. LP $200; statutory trust $500. WY $100.
Form 1023 user fee $600; Form 1023-EZ $275.
Closing it
Closing is a fixed-fee project, quoted before it starts.
Delaware corporation revival $189 plus all back taxes, penalties and interest; LLC revival $220; LP $200; LLP/LLLP reinstatement $200; foreign corporation reinstatement $125.
Entiva fees are in US dollars. Government fees are in the currency each authority charges, passed through at cost when the filing is made. Taxes are separate.
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