I worked for a cooperative once. It had its upsides. But it eventually lost steam because of the diffusion of responsibility. At its peak it had a strong core council of 5-7 official members looking after it and it flourished. But it was somewhat of a labor of love and over time they had kids, moved away, etc and eventually there just weren’t enough committed core people to keep it going.

A small business generally has one person who is ready to do absolutely whatever it takes to make it a success. This can be game changing. All their skin is in the game. If they have to skip a paycheck they do. If they have to work all night they do.

You know, a dictator, as you call them -_-