Joint-Venture Agreement

Description

A Joint Venture Agreement is a contract used to set up a business arrangement between two or more parties who agree to combine resources for a limited time to accomplish a particular project or goal.

Joint ventures are a way to enter markets through the partnering of commercial resources. Within joint ventures, equity positions are usually taken by the participants. Such holdings can vary substantially in size, although it is usually important to establish clear lines of management decision-making control in order to achieve success. A lesser form of participation, which may or may not involve equity participation, involves strategic alliances.

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