English Deutsch Français Italiano Español Português 繁體中文 Bahasa Indonesia Tiếng Việt ภาษาไทย
All categories

Can u tell me what the MAIN differences between joint venture company and partnership company??? Thank you

2006-11-30 07:03:20 · 2 answers · asked by Anonymous in Business & Finance Corporations

2 answers

You have an idea for a product, you manufacture your product and need money to bring it to market and you also need distribution channels. You raise capital through a joint venture. This can be comprised of a single investor or an investor fund made up of many investors. Joint Ventures will take on different forms such as stock for capital investment into the company. As an investor, if I believe the product has higher than average potential when presented with the plan, I would invest all or part of the capital you are looking to raise. To protect my investment I would want a portion of the company, and that would be tied in directly into the amount invested. I would also open up channels that you currently have limited or no access to. Distribution, marketing and any other areas that require attention. After all I have a substantial amount invested in the company and I want to ensure it is successful. So I would have some control in the day to day operations.

A partnership company can be between two individuals or corporations. The division of shares based on the amount of money invested by each entity. If corporations form a limited partnership, then employee's from both parties would run the business in their area of expertise.

Hope this helps

2006-12-01 13:06:23 · answer #1 · answered by nmp948 4 · 0 0

a "Joint Venture" arrangement is exactly that:different companies will collaborate on a specific project while maintaining there own corporate identities.A partnership is the merging of different companies into a single entity.

2006-11-30 16:10:43 · answer #2 · answered by Anonymous · 0 0

fedest.com, questions and answers