User Member Trading Examples

User Members are members that participate in the running of Market Cross and operate their trade both within and without the co-operative. Market Cross develops opportunities for its Membership and for the local community and calls upon the Membership to support projects run by the co-operative’s clients as and when required. The three categories of User Member are:

  1. Employee Members;
  2. Individual User Members;
  3. Corporate User Members.

Employees of Market Cross are not eligible to operate a trade via the co-operative and they are paid wages or a salary by the co-operative. Therefore, Employee Members do not appear in these examples. Note also, that Non-User Members (Investors) are not eligible to operate a trade via the co-operative (although they may trade with the co-operative).

If you are thinking of joining the co-operative and want to be able to provide your services through the co-operative then you should join as either an Individual User Member or a Corporate User Member depending upon your company structure.

Company Structure of Individual User Members:

  • Sole Trader; or
  • Ordinary Business Partnership.

Company Structure of Corporate User Members:

  • Limited Company; or
  • Limited Partnership; or
  • Limited Liability Partnership.

Examples of Individual User Members engaging with the co-operative

An Individual User Member will benefit from a number of services such as being able to source work for their company, being part of the profit share scheme and having an equal say in how the company is run.

Example 1. John Doe runs a small business, JD Engineering (JDE), as a sole trader. He has 3 staff and joins Market Cross as an Individual User Member. Being the owner, John automatically becomes the representative of his company within the co-operative. JDE has a regular client, Safebird Ltd, who represents 80% of his business turnover. Safebird announces to John that they are going to have to cut their engineering budget which means a reduction in their engagement with JDE. This leaves one of his staff without work but since JDE is a member of Market Cross John contacts his co-operative’s resourcing manager to see whether there is any work available for that staff member. The resourcing manager finds work via a Non-User Investor member (and client of Market Cross).

Example 2. Joe Bloggs and Simon Jones run a Ordinary Business Partnership, Joe Bloggs Nuclear Services (JBNS). The company joins Market Cross as an Individual User Member and nominates Simon as the representative of the company within the co-operative. JBNS has several regular clients but one of them, National Nuclear Ltd (NNL) wants to set up a new project which will require a contractor supplying at least 10 personnel. JBNS would like to be part of the new project but his company only consists of two people and therefore he cannot put in a bid without support. Joe contacts the proposals manager of his co-operative to see whether any other User Members would like to join in on the project. Four members representing eight persons register their interest and the Market Cross proposals manager co-ordinates a bid for submission to NNL with JBNS (a User Member) a key component of the bid.

Examples of Corporate User Members engaging with the co-operative

The Corporate User Member will benefit from a number of services such as being able to source work for their company, being able to get work cover for sick leave, holidays or high workload, being part of the profit share scheme and having an equal say in how the company is run.

Example 3.  John Smith runs a small business, Radwork Ltd, as a limited company. He joins Market Cross as a Corporate User Member and has two staff. The co-operative’s proposals manager telephones John and tell him that a Market Cross proposal is going in to support the National Nuclear Ltd (NNL) project and furnishes John with the details. John registers an interest in the proposal and commits to the provision of one full time person (supplied as 2 persons at half time). Radwork Ltd is selected to resource a proportion of the work based on the proposed terms. Radwork plays an active part in helping produce the proposal.

Example 4. David Taylor runs a small business, Asbestosafe Ltd, as a limited liability partnership. The company has two designated members and four staff. Asbestosafe joins Market Cross as a Corporate User Member. David wants to take his company into the Nuclear industry but requires some advice on how to do so. He contacts his co-operative, Market Cross, and he is advised to receive advice from the resourcing manager plus training and advice from a qualified Radiation Protection Advisor (RPA). The RPA is an Individual User Member and she provides the advice necessary for compliance with the Ionising Radiations Regulations 1999. The proposals manager finds that Asbestosafe can be selected to resource the asbestos work proportion of the NNL project. Asbestosafe plays an active part in helping produce the proposal.