What is the name of a business owned by the people who use its services to collectively buy or sell commodities?

The term that describes a business owned by the people who use its services to collectively buy or sell commodities is a cooperative. Cooperatives are formed when individuals come together to achieve common goals and can operate in various sectors, such as agricultural, retail, or banking. Members of a cooperative share the benefits and profits based on their participation rather than on their investment, which distinguishes them from other forms of businesses.

In contrast, a corporation is a legal entity that is separate from its owners, offering limited liability but typically focusing on profit maximization for shareholders. A franchise allows individuals to operate a business under the branding and business model of a larger company, requiring fees and adherence to specific operational guidelines. An LLC, or limited liability company, combines aspects of partnerships and corporations, providing liability protection while allowing for flexibility in management and profit distribution. Each of these business structures serves different purposes and functions compared to a cooperative, which emphasizes collective ownership and member benefits.