Perhaps your Arizona company is thriving within a certain sphere. You have brought demonstrated prowess to a business sector, combined that aptitude with well-considered moves, sweat equity and abiding passion for what you do, and your creative ideas and business plan are now bearing fruit.
Maybe another business you are familiar with that is operating in a different sector has a similar history, with its company principals having garnered your respect.
What if the owners of that business are looking with interest at your professional team and the acumen that your company might bring to a new business project they are envisioning? Perhaps they have strong and proven experience in what will be one important aspect of such a project, but lack expertise in an equally vital area that is paramount to success of an envisioned venture. You command that expertise, and they would like to tap it.
Conversely, what if you have been thinking the same thing? You have unquestioned capability in one key area of a new business you are thinking about, but need to bring on board a partner — an outside company — to help you fully realize a new entrepreneurial vision.
Joint venture companies are often formed when such factors align, with the combined strengths of business partners enabling them to achieve success in areas that would otherwise be unattainable.
In certain instances, a joint venture platform can be the ideal business form for pursuing new opportunities.
As noted in an online overview of joint ventures, though, there are a few important things that any would-be partner “needs to keep in mind.”
At the top of the list, as stated in that primer: the need to secure assistance from “a knowledgeable attorney who can anticipate issues that may be unknown to a joint venture hopeful.”
The bottom line with a joint venture is that, while this form of business partnership might be appropriate in a given case, knowing that for sure requires in-depth consideration of myriad factors. What is the goal? What is each party contributing? How can terms and conditions be set forth clearly and accurately in governing legal documents? Who will make key decisions? How will business conflict — including contract disputes — be resolved?
A proven business transaction attorney can provide guidance on such matters and continue helping a business following its creation and after it has gained traction.
Call Cook & Price, PLC today at 480-407-4440 or email us through this website.