Business Terms Glossary

Joint Venture

Definition of Joint Venture

A Joint Venture is a legal entity created by two or more businesses joining together to conduct a specific business enterprise with both parties sharing profits and losses.

There must be a legal entity. If there is no legal entity for the joint venture, the partnership is simply a strategic alliance, rather than a joint venture.

In a joint venture, both firms share in the efforts and in the profits or loss. The requirements of each firm are outlined in a joint venture agreement.

Joint Venture References On This Site

These articles mention this glossary term:

Share this article

Additional Resources for Entrepreneurs

Lists of Venture Capital and Private Equity Firms

Franchise Opportunities


Business Glossary