We are best consultant providing Joint venture registration services in Patna Bihar. We also provide Partnership Registration services, Joint Venture agreement drafting services in Patna Bihar. Joint venture is type of partnership where two or more people or companies or firms collaborate on projects without losing their individual legal identities. We will give you all important information about Joint venture registration in this article in brief.
Joint Venture Registration
Joint venture agreement is business entity, in which two or more parties are involved for shared ownership, risk, return etc. In some sectors where foreign direct investment is not allowed, joint venture is best option for foreign companies to enter in Indian market. For NRI, foreigner who wants to start business in India, establishing a Joint venture is best option. Joint venture is generally established to access a new market in India. Joint venture agreement should be clear and legally binding to both parties. In India no joint ventures is legal entity. It is treated as normal Indian Company. In joint Venture an MOU (memorandum of understanding) is signed by the parties. The joint venture should be applied for all important government approvals and licenses on its own name within prescribed time. In joint Venture agreement all information about shareholding pattern, board member, its compositions, management, place of business, process of share transfer, dividend policy etc point must be written.
Advantages of Joint venture
- Provides low risks for investors outside India.
- Provides new market for both parties.
- Provide entry in restricted sectors for foreign investors.
- Provides flexibility in business diversification.
- Provides financial resources for domestic partners.
Documents Required For Joint Venture
- Copy of basic incorporation documents of both parties.
- Copy KYC documents of all members the joint venture.
- Electricity Bill of principal place of business in India.
- Copy of rent agreement.
- All information, if any required.
Procedure of Joint Venture
- Documents preparation.
- MOU (memorandum of understanding) term and condition discussion with all parties.
- Drafting of MOU.
- Joint venture agreement drafting
- Filing with relevant authority.