Joint ventures provide an excellent framework in which to achieve a new product or service objective, enabling organisations to pool knowledge and resources cost-effectively.
As with any form of commercial collaboration, joint ventures require some careful planning to ensure they work smoothly and effectively. This covers the basics such as who will be doing what, all the way through to contingency planning for situations such as differences of opinion and unequal amounts of effort from individual parties. Without a strong agreement that addresses these points, the chances of project success can be weakened, and can even deteriorate into dispute.
SA Law’s joint venture advice will help you establish the perfect foundation for project success and longevity. We not only help you to reduce risks, but also look for ways to optimise short and long-term profitability.
HOW WE HELP YOU
- We work closely with you to understand all facets of the collaboration so we can recommend the best approach. We ensure the expectations of all parties are expressed and agreed within a solid joint venture agreement, and help to expose areas of potential risk that might undermine harmony and trust.
- Our joint venture advice includes consideration of the best business structure to adopt. We can explore a range of options with you, including formation of a new company for the duration of the project.
- After that, we can provide advice as and when required to keep your collaboration running smoothly.
IT’S GOOD TO BEAR IN MIND
- Think carefully about what you want from the joint venture, particularly what each party will be responsible for, how you will handle important decisions, and how risk will be shared.
- Even at the outset, it’s good to think about what needs to happen if one party chooses to leave.