MAG 6 -Reggio Emilia : Aternative financing to spread the culture of alternative economy

MAG 6 was founded in 1988. It mainly operates in the Emilia Romagna region. It has clearly political objectives. It wants to "provide real services and financial support to alternative development and labour initiatives based on cooperation and self-management principles, so as to overcome the logic behind exploitation and pure capitalist profit". The cooperative is run by 6 people on a voluntary basis: two are in charge of relations with members and information; a third runs the administration; another is in charge of finance and loan managemenand the last is responsible for the documentation centre.

MAG 6 has regular contacts with the projects it supports, in order to monitor how they are run. It supports projects with a clear human development dimension and projects targeting marginalized groups and with sustainable, nonviolent, ecological, solidarity objectives.

Members can chose whether their deposit is frozen for one year or less or not restricted at all. There is no limit to the size of the loan to member cooperatives. Guarantees are mainly based on personal relations.

MAG 6 also offers consultancy work to member cooperatives. This accounts for 2% of its budget. Though a young cooperative, MAG 6 is already responsible for organizing seminars, cultural initiatives and publishing a review. It has a social capital of 35 million Lire (around 23,000 US $)savings of 800 millions lire (around 530,000 US $). It has 282 individual and 31 collective members.