Funding and governance of cooperatives: a case study of Magwa and Majola tea estates in the Eastern Cape Province

The purpose of this research study is to assess the funding and governance models utilised in the operations of cooperatives, with specific reference to Magwa and Majola Tea Estates in the Eastern Cape. Luyt (2008) observes that poverty levels in South Africa remain high, and have not been greatly reduced since 1994. There is general agreement amongst Eastern Cape communities that more than two decades after apartheid has ended, nearly half of South Africa’s population continue to live in poverty. A common understanding, is that cooperatives are geared and established to address poverty, address both social and economic development, even though they also emphasise a social focus, they are expected to be operated on sound business principles