We are often approached by people wanting to go into a “Joint Venture” with other party(s) so as to maximise the benefit of their combined skills. At first glance the synergies are generally obvious and some sort of joint endeavour usually makes commercial sense.
When asked for more information about the exact nature of the proposed “Joint Venture” it becomes clear that they either don’t really know what structure they would like, or don’t understand the issues involved in choosing the most appropriate Joint Venture vehicle.
The information in this article is based on our experience in assisting clients to negotiate and document various different types of Joint Ventures.
