Joint Ventures
A joint venture lets two or more parties combine resources, expertise or capital to pursue a shared objective — while keeping their wider businesses separate. Joint ventures are an increasingly common way of doing business in Cyprus, used for everything from a single project to a long-term strategic alliance.
Ways to structure a joint venture
- a contractual joint venture governed by an agreement between the parties;
- a separate legal entity (typically a jointly owned company);
- a partnership;
- a European Economic Interest Grouping (EEIG).
The right structure depends on tax, liability, control and how the parties intend to exit. See our note: Joint Ventures in Cyprus.
The issues that matter most
Most joint-venture disputes trace back to terms that were never properly agreed at the outset. We make sure yours are: contribution and funding obligations; management and board control; reserved matters and voting; profit distribution; protection of minority interests; deadlock resolution; restrictions on competing activities; and exit, transfer and termination mechanics.
How we help
We advise on selecting and establishing the right joint-venture structure, and we negotiate and draft the joint-venture agreement, shareholders’ agreement and related constitutional documents. See also our note on Corporate Governance and Shareholders’ Agreements.