To maximize the chances of success, the prospective joint venture partners should first jointly prepare and agree on a business plan ─ even before signing the joint venture agreement. It will enable each party to judge the other's expectations, level of interest, management style and experience.

→ Wise Agreement

Startup Business Plan

Include as much details as possible with regard to the governing structure, strategies, policies and methods so that the perceptions, expectations and preferences of the parties are highlighted and sorted out. The partners should particularly focus on areas where they depend on each other, such as synergy creation, technology transfer, market penetration and R&D.

JV Checklist  ▪ A preliminary MoU  ▪ Governing Structure

The business plan should also include mechanisms to resolve disagreements between the JV partners, contingency plans, exit strategies, the terms of dissolution of the joint venture, and the a process to → make changes in the business plan in response to market changes, emerging opportunities, and customer feedback.

JV Agreement: a Checklist

It is important to involve the key managerial and operating personnel in development of the business plan as they will best understand the details that need to be negotiated.

Structuring a Strategic Alliance: 10 Questions To Answer