How to form a Joint Venture.

What is a joint venture?

"A joint venture is a legal organization that takes the form of a short term partnership in which the persons jointly undertake a transaction for mutual profit. Generally each person contributes assets and share risks. Like a partnership, joint ventures can involve any type of business transaction and the "persons" involved can be individuals, groups of individuals, companies, or corporations." LII at Cornell Law School

Before we go into HOW to form a joint venture let us discuss WHY?

1. To access new markets.
2. To venture into new fields.
3. To share technology for monetary benifits.
   
4. To attain qualifying criteria.

Things to be agreed on not limited to before forming a Joint Venture.

1. Identification of the participants
2. Term of the agreement
3. Percentage of capital contributions
4. Responsibility of management of the business
5. Responsibility of administrative matters
6. Dissolution of the Joint Venture

Most IMPORTANT

CONTACT YOUR ATTORNEY to formulate the agreement.