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A joint venture is generally understood as technical and financial collaboration either in the form of projects, take-overs or alliances with existing companies.  Indian joint ventures usually comprise two or more individuals/companies, one of whom may be non-resident, who come together to form an Indian private/public limited company, holding agreed portions of its share capital.  A joint venture agreement primarily provides for how the shareholders of the joint venture company may transfer or dispose of their shares.  Joint ventures can exist in the form of companies, partnerships or joint working agreements. 

Joint Venture generally has the following characteristics –

1. Contribution by partners of money, property, effort, knowledge, skill or other assets to the common undertaking.

2. A joint property interest in the subject matter of the venture.

3. Right of mutual control or management of the enterprise.

4. Right to share in the property.


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