Which governing body oversees the management of a cooperative entity?

The management of a cooperative entity is overseen by a board of directors. This board is composed of elected members who are typically shareholders within the cooperative. Their primary responsibility is to make decisions that are in the best interest of the cooperative and to ensure that it runs efficiently and effectively. They are tasked with setting policies, managing the financial health of the cooperative, and guiding its overall strategic direction.

In contrast, while shareholders play a crucial role in a cooperative by owning shares and having voting rights, they do not engage directly in day-to-day management decisions. The board of trustees usually pertains to nonprofit organizations or trusts, and a managing agent would be appointed for property management tasks, but they do not have the comprehensive authority or governance role that the board of directors holds within a cooperative. Thus, the board of directors is distinctly responsible for the leadership and governance of cooperative entities.