A Joint Venture Agreement is a cooperation
between two or more parties to perform a certain project.
The parties to the agreement sharing their resources, which
including but not limited to capital, personnel, physical
equipment, facilities or intellectual property like trademarks,
patents or any other intellectual property form.
In order to enter into a Joint Venture with the
prospective business partner, a Memorandum of Understanding (known
as MoU), as well as letter of intent (known as LoI), may be signed
by the parties that clarify the basis of the future Joint Venture
agreement. This also includes understanding the culture as well as
the legal background of the parties. While signing a Joint Venture
agreement, the following clauses must be properly examined such as:
Object and scope of the Joint Venture; Equity participation by
local and foreign investors and agreement to a future issue of
capital; Management Committee; Financial arrangements; The
composition
