Joint Ventures


Joint Ventures

Joint Ventures come in all shapes and sizes and don't have to take on a particular legal form. 

The term therefore covers a range of different business formats and legal entities and can be provide a relevant way of collaboration across a whole spectrum of businesses.


Joint Ventures by Conventional Partnerships:

A partnership is defined as "the relation which subsists between persons carrying on a business in common with a view of profit" (Partnership Act 1890). Believe it or not, this definition remains in force even today. 

Because partnership law under the 1890 Act lays down various default positions for partners where they do not have a written agreement regulating their business relationship, there has always been a need for partners to settle the terms on which they collaborate by agreement. Because under the law, partners also have unlimited personal liability for all partnership debts and obligations, there is motivation to ensure that their relationship is clear from the start.

The purpose of a partnership agreement is therefore to set out the arrangements between the parties about how they will work, in much the same way as a shareholders’ agreement for a company. Net Lawman's templates have a wide range of uses.

  • They are ideal for partnerships with between two and ten partners.
  • Ownership of partnership assets and share of income and expenses does not have to be in equal proportions. Your sharing ratio could be 50:50, but it could also be 60:40, 70:30 or any other.
  • Their template agreements can be used if one or more of the partners is 'sleeping' or 'silent', i.e. contributes money, experience or assets but does not take part in the day to day running of the business.
  • Whilst partners are likely to be human individuals, these agreements can be used where one or more is a company or a not-for-profit organisation.

Read what Net Lawman says about its templates:

"These agreements allow you to set out in detail how your partnership operates: what each partner may and may not do for the business, and how liability is shared. We include templates to form all three types of structure: LPs, LLPs and standard partnerships under the 1890 Act."


Template: Partnership Agreement (conventional)

Read what Net Lawman says about this template:

"A comprehensive partnership agreement suitable for a business in any industry and with any number of partners. Covering a large number of practical, commercial and administrative points, it allows you to amend the default provisions of the Partnership Act 1890 and also provides additional terms relevant to how a modern day business operates. Use it not only to protect your legal rights but also to set out how you want your partnership to work."

See other forms of partnership on our Partnerships page


Joint Ventures by Limited Liability Companies:

One of the common forms of joint venture is through the formation of a company. 

Template: Shareholders' Agreement: joint venture through company

Read what Netlawman says about this template:

"This template is for a company that is the vehicle for a joint venture operated by two or more parties. The shareholders in the project could be two or more individuals or companies, whilst the venture could be any business, from a property renovation to the design and manufacture of an item that requires the specialist expertise and skills of all partners. Use for a project that has a purpose and structure over a short time scale.

Although the company will be an independent legal unit, the venturers will want to know what is happening and will exert closer control than if they were mere shareholders in an associated company.

It is assumed that the venturers will be two companies, but they could as easily be three or more – individuals or any other entities.

This agreement is about control, co-operation and management. It is as suitable for research project as to construct a road or export goods abroad. There is no specific cut off between a joint venture company and any other in tax laws and other areas."


Detailed guidance notes are provided with each template. Net Lawman offers a money back guarantee if the document is not what you need, as well as a legal review option if you want some professional assistance when you are drawing up your documents.

Notice:

The documents menus are designed to describe the documents, but please be sure that you check them over carefully to ensure that they do meet your needs. All documents are subject to Net Lawman's Terms and Conditions, which we ask you to read before you purchase any documents.

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