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A Joint Venture is a business agreement in which the parties agree to develop a new entity and new assets by contributing to the equity. The parties exercise a joint control over the entity and consequently share the revenues, assets and the expenses of the entity so formed.

Joint Ventures can be for one specific project only, where the venture is referred to as a Consortium; or it can be in the form of a continuing relationship. Where a new legal entity is created for one specific purpose, such can also be referred to as an Incorporated Joint Venture.

Before the talks of a Venture are concluded, the partners undertake:

  • Search for eligible partners
  • Short listing and prioritizing partners
  • Due diligence (which is also inclusive of IP Due Diligence)
  • Foreign Investors