| Summary: | Cooperative is a form of cooperation and mutual assistance to achieve a common goal. Through the
cooperative model, prosperous cooperation in economic activity is achieved with real economic benefit.
The collective management of the factors of production under market conditions is most often a
manifestation of some of the following postulates, that when the individual size of the factors are highly
limited and the possibilities for their increase are not profitable, the need for association is manifested.
According to F. Raiffeisen's maxim, which states that "when one can't achieve something alone, everyone
can do it together", referring to the cooperation of their efforts. In addition, when the production factors
owned by the individual owners have technological qualities that allow them, when combined, to perform
the relevant work more efficiently and optimally, the LLC as a legal organizational form is suitable in
agricultural activity, when there is ownership of property and land fund, which can hardly be
differentiated. In order to fairly organize the relations and overcome the contradictions between the
owners, the fragmentation of the land, it is necessary to apply this structural form of the enterprise. The
effectiveness of this form of enterprise is also expressed in economic cases of lack of financial capital for
its investment in expensive equipment and facilities that are beyond the capabilities of an individual
individual. In this regard, the partners in the LLC can be not only natural persons, but also legal entities.
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