What is a joint venture?
A joint venture is an agreement and cooperation between two companies. They work together and their cooperation is based on a common goal, specific project or a business idea. Companies create a business entity and it can be a partnership, corporation or limited liability company.
In this cooperation, each participant shares responsibility for costs, losses, and profits associated with the joint venture. Despite the shared responsibility, this type of cooperation is its own legal entity that stays separate from the parties’ other company interests.
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