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What is a cooperative?

"A cooperative means different things to different people, but simply stated it is a collection of people who have learned it is difficult to achieve some goal by working alone. They join together to advance their common interests to the benefit of all. Cooperation is working together to achieve common objectives."

A cooperative business enterprise is the joining of people or businesses with the same common interests, with an emphasis on self-help. Basic features characterize the cooperative business enterprise:

  •   a cooperative business enterprise is a commercial activity
  •   it is a nonprofit enterprise, which distributes net margins back to members
  •   it is owned by the members who are the users
  •   a cooperative is organized to respond to the economic needs of members
  •   cooperatives emphasize member control
  •   cooperative business enterprise is a voluntary organization
  •   cooperatives recognize the principle of proportionality: members share risks, financial obligations, and 
      benefits in proportion to the use they make of the association

Reference: Abrahamsen, Martin A. PhD.  Cooperative Business Enterprise.  New York:  McGraw-Hill, 1976.

 
What are the benefits of becoming a member of HESCO?

Since HESCO buys many supplies in large volume and warehouses for shipment in smaller quantities, we can get better pricing from manufacturers and vendors on many products. On those products where there is no marked price advantage, the purchaser should also consider the benefits of:

  •   just-in-time inventory procurement
  •   reduced on-hand inventory and its drain on capital
  •   experienced HESCO staff who assist in managing your purchasing
  •   single-sourcing efficiencies for your staff
  •   electronic ordering
  •   risk reduction of sourcing from an AIB-approved warehouse facility
How can we join HESCO?

Membership in HESCO is accomplished only through application by the interested entity, management screening to determine eligibility, execution of a Uniform Member Contract, and review and approval of the Board of Directors.

 
How does the application process work?

HESCO policy provides for a two-year provisional membership period. Either party may terminate the membership during this period, but HESCO's services and supplies are made available to the member with all privileges of membership except the right to vote. Upon successful completion of the two-year provisional period, and on presentation to and approval by the HESCO Board of Directors, the member is accorded voting privileges. Qualified affiliates of the member are also entitled to HESCO's supplies and services, but without voting rights.

 
How much does it cost to join HESCO?

There are no fees associated with becoming a member. HESCO is a cooperative – not a purchasing club.

 
Can we buy from HESCO without being a member?

Yes, you can! HESCO can sell to non-members as well as to members. A non-member is a customer who takes advantage of the low-cost efficiencies of the cooperative without assuming the risks and benefits of ownership, such as the financial obligation to support the enterprise or the net margin refunded after overhead is paid annually. For a customer who has common supply needs, it provides a low-cost alternative to procuring supplies independently.

 
What are HESCO's payment terms?

Payment terms for cooperative members are a standard 1% 15 days, net 30 days. Other accounts can have special terms which may depend on credit worthiness, business cycle, or product purchases. Any past due account is subject to an 18% annual interest charge (1.5%/month) on the invoices past the due date. We also offer credit card payment options with Visa, Mastercard, and American Express.

 
How do I apply for an account at HESCO?

Applying for an open account at HESCO is as simple as downloading, completing, and returning the Credit Application form for approval to our Credit Manager. If you prefer to buy with a corporate credit card, Visa, Mastercard, Discover, or American Express, your account will be set up as a credit card customer.

 
Can I just buy using a credit card with no account?

To access HESCO online ordering selections and other resources, you will need an account set up with the Credit Application form. You will be notified via e-mail of an account number, user name, and password to access the private level of our web site.

 
Does HESCO get better pricing than we can?

Because HESCO buys some supplies in large volume and warehouses for shipment in smaller quantities, we can get more competitive pricing from manufacturers and vendors on most products. HESCO also maintains purchasing relationships with key manufacturers and distributors. These relationships can reduce prices based on the annual volume of all member/customer purchases. On those products where there is no marked price advantage, the purchaser should weigh the value of other benefits: single-sourcing, reduced inventory, dependable delivery, and reduced financial risk.

 
Why can't I just buy from the HESCO site like others I go to?

The HESCO web site focuses on businesses needing packaging and operating supplies. We are interested in developing a relationship with our users, not just selling products. Our distribution system is centralized in Florida and we make sure our shipping standards meet with customer approval, so we don't simply take orders for items.

 
Why can't I access the other selections on the HESCO site?

To access the private level of selections, a user ID and password are required. Even in that case, some of those selections may still not be available because they are specifically used only by members of the cooperative, and of little interest to you and your business. An ID and password identifies your status as a customer account at HESCO.

 
How does my order get delivered?

HESCO has a fleet of trucks delivering to most parts of the state of Florida . Consolidated or full truckload shipments are scheduled to specific areas daily. In addition, HESCO makes use of UPS and common carriers when the need arises. We pride ourselves on scheduling deliveries to meet your time constraints. Even in an emergency, we can find a way to deliver on a timely basis.

 
 
 
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