Co-ops sell securities to fund their development and operations. With some exceptions, co-ops with 35 or more members can sell securities once they have a receipted offering statement.
FSRA’s primary role is investor protection. For an offering statement to be approved by FSRA, the offering statement is required to meet the full, true and plain disclosure requirements under the Co-operative Corporations Act.
What is a co-op?
What is an offering statement?
An offering statement tells you:
- How the co-op defines its business
- How it plans to use the money it raises
- Description on the securities for sale (terms and conditions, rank related to other debts, etc.)
- The names and positions of directors and officers
- How it finances its operations
An offering statement also includes the co-op’s most recent financial statements.
I invested in an Ontario co-op that didn’t have a receipted offering statement. What should I do?
Some co-ops can be exempted from having a receipted offering statement. Check with the co-op to get further details or with Service Ontario which regulates non-financial co-operatives in Ontario.
What FSRA can do
- Receipt (review, assess and where applicable approve) offering statements based on Full True Plain ( FTP) disclosures
- Provide an up to date list of Offering statements receipted on the website
What FSRA can’t do
- We do not register or dissolve Co-operative corporations
- We do not take complaints for co-ops registered under the Co-operative Corporations Act (CCA). Visit the Ministry Government and Consumer Services