The active members of the producer company may enjoy special user rights, if provided in the AoA of the company. The company may issue appropriate instruments to active members in respect of such rights. The special use rights refer to any right relating to the supply of additional produce by the active Member or any other right relating to his produce.

Every member can initially receive only the value of the produce as determined by the Board. The withheld price may be disbursed later in cash or by allotment of equity shares. The members are eligible only for limited return but can also be allotted bonus shares. The surplus can also be disbursed as patronage bonus.

Alike any other company, the producer company also has a separate legal identity. The assets, liabilities, rights, debts and privileges shall vest in the company. The company can deal in its own name and hold the properties, too. The change in members or the directors neither affects its existence nor the assets & liabilities or rights & obligations.

The members and the producer institutions have limited liability towards the debts and obligations of the company. Their personal assets remain unaffected in any case of loss or winding up. With assurance to limited liability, the producers can invest with lower risk into such businesses.