What are the risks and advantages of a joint venture in San Diego?  When is this business strategy used, and what are some of the primary considerations associated with a joint venture?  A joint venture is an excellent strategy for two businesses to leverage each other’s assets in order to develop profitable business more rapidly than either could on their own.  The primary advantages of a joint venture include access to personnel, distribution, technology, working capital or intellectual property as well as new geographical markets or vertical niches.  A joint venture allows you to share risk and leverage each other’s strengths to move forward more quickly and productively.

Joint ventures also present some potential challenges you should guard against, and these should be balanced with any positive outcomes you anticipate.  Unequal distribution of the workload or unclear objectives and measurable metrics will cloud the relationship between the parties and could lead to a business dispute.

While the risks and advantages of a joint venture must be carefully weighed a joint venture is often a strong option for growing your business.  Joint ventures are often deployed between international business partners, and the differences in corporate and societal cultures should be considered when developing strategy and distributing workload.  Leadership is one of the most important elements in a successful joint venture, and it is important to make sure your potential joint venture partner has a single point of contact you can trust to take action, especially when challenges arise.

Joint ventures allow you to reach new markets, and expand your business more profitably and rapidly.  There is also some risk associated with these ventures.  This is why it is important to seek the advice and counsel of the business attorneys at the Watkins Firm.  We have decades of experience serving businesses in the San Diego region, and we can help you to analyze the risks and advantages of a joint venture and protect your interests in the transaction.

We invite you to review the strong recommendations of our clients and contact the Watkins Firm or call 858-535-1511 for a complimentary consultation today to discuss the concepts of a joint venture as it applies to your own business goals and objectives.