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Joint Venture Handbook

Joint Venture is a foresight process in which two or more parties come together in order to expand their business wings and profit and in order to minimize the risk involved in performing business activities. Joint Venture is not only an idea of sharing cost involved in a business but sharp investors use this as a doubling tool of expertise and profit because they choose their co-venture partner in such a way that he will not only add money in his business but also use his expertise and knowledge to take this venture forward.

  • First identify the objective of Joint Venture.
    Write down the outcome of Joint Venture.
    Analyze the target segment where you want to reach.
    Identify the potential partner who is already in the same segment.
    Then Do SWOT analysis of those prospects and firm.
    Determine the type of your joint venture.
    Design your expansion plan and budget.
    Then finally move ahead for final negotiation or discussion.

  • A Joint Venture can benefit in the following ways :
    Newer Markets and Distribution Networks will be tapped
    Increased Capacity
    Diversification of associated risk
    Expertise such as improved technology, specialized staff will be at the disposal
    Greater profits

  • Expands your clientele. From a list-building perspective, a good JV will give you exactly what you want: a (fast) new audience of people in your target market.
    Increases your credibility to your community. Yesterday’s expert paradigm is long gone – today instead of broadcasting your message it is much more valuable to rub elbows with other experts in your niche.
    Divides the costs. You and a JV partner can share costs associated with marketing, and other expenses, reducing your financial burden.
    Strategic move towards competitors. A joint venture may be able to better compete against other industry leaders through the combination of markets, technology, and innovation.

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