One of the many options for your new enterprise is a joint venture. A joint venture by definition is a business agreement in which parties agree to develop, for a specific period, a new entity and assets by contributing equity. They will exercise control over the entity and share any subsequent revenues, expenses and assets.
If you are looking to start a joint venture, it would be prudent to sit with one of our joint ventures attorneys at Byron Carlson Petri & Kalb, LLC. Our corporate law attorneys can assist you to make sure honesty, integrity, and communication within the joint venture is achieved. We will work as zealous advocates to preserve your interests for both short and long term success. Call our Edwardsville office at 877-808-7742 or 877-808-7742.
Benefits of a Joint Venture
Starting a joint venture can have many benefits, including control over revenues, expenses, assets and the overall enterprise. These structures are intended to be for a specific project and as such, this can limit the liabilities involved if you are interested in pursuing interests in more than one area. In this way, if one project does not perform well, it will not impact the other projects in which you are a part.
In Illinois and Missouri, a joint venture is not an entity in and of itself, rather, it is a contractual arrangement. These agreements are legally binding, but in a different way from a statutory entity. This means that you can have an LLC, corporation or any other entity alongside a joint venture. Talking about your interests, needs and goals is all a part of the process when making these decisions. There are some disadvantages to a joint venture when it comes to protecting oneself from liabilities, but this is something that can be mitigated through other structural means.
Consultation Is Crucial
No matter what decisions are being made regarding the structure, operation and legal aspects of your business, it is important to consult with a lawyer. Whether you are contacting our St. Louis or Edwardsville offices, we can schedule time to discuss your goals to ensure you move forward with confidence.
- Christopher W. Byron
- Jillian M. Clark
- Meredith L. Eichholz, Of Counsel