TATA Starbucks Private Limited, popularly known as the Starbucks, which started out in November 2012 now has 101 outlets in 7 cities in India. Did you know that this popular café is a 50:50 Joint Venture between TATA Global Beverage and Starbucks Corporation? Similarly, many insurance companies like Bajaj Allianz General Insurance, Future Generali India Insurance etc and others entities like Mahindra-Renault Limited are Joint Ventures in India.
Joint Venture company is a sought-after form of corporate entity for conducting business in India. Though there are no separate laws for joint ventures in the country, there is always a requirement of a Joint Venture Agreement.
A well-drafted Joint Venture Agreement is capable of mitigating the risk attached to dispute in the future over expenses, control and profits among others. The Joint Venture Agreement can be beneficial in clearing up the possibility of disputes and protect the parties from any fall-outs later. The Joint Venture Agreements are known for distinguishing the joint venture from a partnership and describe the roles of responsibilities of the parties so that the transactions and the relationship run in a smooth manner providing the parties with nothing but profits.
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