Legal Case Studies

WHAT IS INCLUDED IN A JVA?



Joint venture agreements are for use when a group of individuals or a group of companies want to collaborate on a project, or form an entirely new company together, but also want to retain a separation legally to continue with other business activities separately, making a partnership inappropriate.

Each joint venture agreement will be different, tailored to the requirements of the parties and the objective of the venture, which is why it is important to have a professional and experienced corporate expert to sit down and asses your needs for a JVA that supports the venture and covers the necessary items.

Although each JVA is unique, we have complied below a guide on some of the items that will be covered in the agreement and the various formats of the agreement available.

Items Covered

Finance

The agreement will cover items specific relating to funding but also to the physical accounting involved such as;

Management

The joint venture agreement will cover various aspects as to the management of the company being set up, or management of the project undertaken by the various parties.

The majority of joint venture agreements are put in place for the formation of a new company by multiple parties and it is in this case that it will cover some of the following;

Shares

Items relating to shares will also form a large part of the joint venture agreement, covering some of the following items;

Tax

The agreement will also briefly cover taxation issues and if necessary go into more detail regarding tax such as;

Exit strategy

The joint venture agreement will always cover:

Other items

As well as specific items in relation to the various parties’ interests the agreement will also be likely to cover some of the following;


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