A Joint Venture Agreement to Achieve Commercial Objectives
A joint venture agreement, when two (or more) separate businesses combine their resources, whilst also sharing risk and expertise can be the best way to achieve commercial objectives. Joint venture agreements cover the joint ownership of a limited liability partnership or a separate company, or a commercial agreement or some form of combination of the two.
As with business acquisition and selling a business, a joint venture agreement needs independent legal advice before it is signed. Our experienced corporate solicitors will advise you throughout the process to protect your interests and ensure the agreement covers all the details and ensures there are no hidden or unforeseen risks that could come to light in the future.
What are the Advantages of a Joint Venture Agreement?
Principally, it is the sharing of resources that is the most attractive aspect of a joint venture. This involves sharing market and geographical knowledge, research and development resources and financial resources. Such sharing enables the participating parties to offer products and/or services, often in new markets, which they would not have been able to do on their own
Our knowledge and experience of joint venture agreements covers many different markets and industry sector. We have experience of joint ventures in many different scenarios covering manufacturing, services and research and development.
A key element of any joint venture agreement is the terms and conditions which govern how the joint venture works, and that they are covered in great detail. These terms and conditions make it clear what all parties have to contribute to the joint venture in terms of time, assets and money. They also detail the degree of risk involved and what the benefits are likely to be, in terms of money, other assets, and time.
Inevitably the drafting of these terms and conditions often leads to complex legal issues arising, particularly over less tangible assets such as technological expertise and know-how. We are experienced in resolving these issues to the satisfaction of all parties, which often includes the drafting of dispute resolution clauses the process through which the venture can be dissolved at a future date
What About Joint Venture Agreements that Cross Borders?
Joint Venture Agreements between two or more parties from different countries/jurisdictions have their own complexities. These include the different treatments of tax as well as currency issues caused by fluctuating exchange rates.
Our extensive international experience in corporate transactions, from buying and selling businesses to joint venture agreements, ensures that we have the expertise required when it come to cross border work.
Contact Us for Advice on Joint Venture Agreements
If you would like one of our corporate solicitors to discuss your plans for a joint venture agreement with you, simply contact us or call us on +44(0)121 214 2490 for a FREE initial chat.