I get the way a (worker) cooperative works in an imaginary world. The real thorny issue is that in this world where there is nothing else, it becomes almost impossible to start a business that requires real capital investment. Corporate Paper and bank loans are pretty much impossible since you have almost no revenue and not even a history of revenue. If you can get a loan, it will have a double-digit interest rate. You could impose a capital requirement on your first employees, but then you wouldn't find many. The way new companies in the primary and secondary sector start is always with an investment by passive partners. It has been this way since before the industrial revolution.

The worker board will also have the same perverse incentives current boards do to a lesser degree. Why wouldn't they make terrible decisions in the name of short-term shareholder value? What is the crucial difference between a company who sells shares on the public market (where anyone could get a profit share) and a worker cooperative (where employees [re-]invest their wages to get a profit share)?