Distinguish between joint stock company and cooperative society

cbse
formsoforganisations

#1

The differences between joint stock company and cooperative society are
Joint Stock Company:
1.Profit motive (except public sector enterprise) is primary. Service motive is secondary.
2.The Companies Act, 1956.
3.Liability limited to the amount of capital contribution or guarantee undertaken by a member.
4.The shares are freely transferable in case of public company. But there is no limit on holdings in case of public companies.
Cooperative Society:
1.Service motive is primary. Profit or earning surplus motive is secondary.
2.The Cooperative Societies Act, 1912 or the State Cooperative Societies Act.
3.Limited
4.The shares are not transferable. Sometimes, limits are also placed on individual holding.