My firm is exploring a joint venture in the United States to expand our portfolio. Keeping in mind that we want to be involved, but with minimum risk, what are the different benefits when it comes to various company structures for foreign investors?
Answers
When you are ready, you will need advice specific to your company and the working relationship you wish to have, you can get specific advice. A joint venture is an arrangement between two parties. It can take one of several forms. In a limited partnership, one partner is in charge, the general partner, and the other, shielded from liability, the limited partner. The limited partner has voting rights, generally for major decisions. My preferred vehicle is a limited liability company, for statutory protection for liability. Without knowing more, my responses are general. Please seek appropriate advice as you need to understand the pros and cons of each possibility in light of your goals and risk tolerance.