How you set up a JV depends on what you are trying to achieve.
One option is to agree to co-operate with another business in a limited and specific way. For example, a small business with an exciting new product might want to sell it through a larger company's distribution network. The two partners could agree to a contract setting out the terms and conditions of how this would work.
Alternatively, you might want to set up a separate joint venture business, possibly a new company, to handle a particular contract. A joint venture company like this can be a very flexible option. The partners each own shares in the company and agree on how it should be managed.
In some circumstances, other options may work better than a business corporation. For example, you could form a business partnership. You might even decide to completely merge your two businesses. To help you decide what form of joint venture is best for both sides to consider whether you want HANSE to be involved in managing it. You should also think about what might happen if the venture goes wrong and how much risk you are prepared to accept.
It's worth taking legal advice to help identify your best option. The way you set up your joint venture affects how you run it and how any profits are shared and taxed. It also affects your liability if the venture goes wrong. You need a clear legal agreement setting out how the joint venture will work and how any income will be shared.
We invest in medium sized refineries: Joint Venture and/or Equity Stake and operate/finance long-time processing agreements.