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"...This is an excellent program. I'm so glad that I stumbled on to this when researching for task management programs. Very low learning curv, quite flexible, and the price is right. Tried at least 20 other programs, either too complicated, too expensive, or poor documentation..."
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Joint Venture Checklist

 

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Short-term partnerships in the form of joint venture can involve many types of business. Today many individuals, groups of individuals, companies and corporations are interested in founding a profitable joint venture. This checklist will show you what you should know about joint ventures.

JointVentureChecklist.zip 6,5 Kb


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1. Reasons behind Joint Venture

  • Saving costs by applying united efforts and achieving synergetic benefits.
  • Sharing risks to run intensive and considerable projects.
  • Getting access to new technologies, skills and experience.
  • Developing new products and co-branding.
  • Getting new customers and markets.
  • Outsourcing and new opportunities related to outsourcing projects.
  • Reducing pressure of global competition.

2. Finding partners

  • Use Internet and business publications to find new partners.
  • Note that in a typical joint venture one party brings traffic (customers and sales opportunities) and other parties give intellectual property (software products, services, business know-how, patents etc.), so choose the proper role for your side.
  • Understand what you are going to deliver to the future joint venture and then look for partners which have what you need.
  • Example 1: you have written a book (a real bestseller), and now you need to find a partner who would offer existing sales opportunities (websites, distribution network) to promote your book.
  • Example 2: you own a software development company and look for programmers who will show great performance and develop new software products for business management. You can found a joint venture, and outsourcing can be the basis for it.

3. What Joint Venture Agreement identifies:

  • The idea of your joint venture.
  • Contribution, role and participation of each partner.
  • The duration for which your joint venture will exist.
  • Management and performance of joint venture obligations.
  • Allocation of budget, revenues and expenses.

4. Considering the main items of Joint Venture Agreement

  • Identify the parties and their roles.
  • Establish the purpose of Joint Venture Agreement.
  • Outline the main goals of the future collaborative work.
  • Sign Non-Disclosure Agreement.
  • Set commencement date and duration.
  • Set expectations and benefits for every partner.
  • Identify and direct financing.
  • Identify which parties will be stakeholders to split future dividends.
  • Identify responsibilities (penalties) if one of the parties will quit.
  • Define responsibilities for day-to-day operations in all relevant areas of activity.
  • Identify who will run Tactical (day-to-day) decision making.
  • Identify who will run Strategic (long-term) decision making.
  • Define permissions level to business information per partner.
  • Work out a detailed plan for management and delivery arrangements.
  • Define where Accountable body and top management will be located (Headquarters)
  • Set the date when your joint venture is to be terminated.

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