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How To Find The Right Joint Venture Project Funding Partners

By Anna Smith

A common challenge experienced by most startups is the identification of the best associates to work with. The entire process can be intimidating, but there are a few things you can do to make the most out of it. Learn how to find the right people to partner with in your joint venture project funding quest.

Most people assume that finding ideal associates for a project is an uphill task. That can never be any further from the truth as there are many options one can explore. You can start by looking around you and identifying people you can work with. Do not hesitate to talk to your friends and workmates in a bid to enlist their support. You can also use social media to spread the word out there.

To get people to show interests in what you are about to do, explain to them all the details involved. They will only agree to work with you once they understand what your idea is all about. Use very clear terms to help your potential partners understand your vision and the strategies you propose to adopt. It is advisable to have everything in a written document that they can use to seek clarifications.

Not everyone who shows interests in your project is an ideal partner. As challenging as it may be, you need to come up with a criteria of eliminating people you do need. Any reliable ally worth your time should meet certain requirements. They should have the skills that you lack and therefore compliment your strengths.

It is also critical to pick people who you share with similar work habits. Both of you will have to agree on the amount of work to be done in order to achieve certain objectives. You also need a person who exhibits self-sufficiency in such a way that they can work without your direct input. This makes choosing someone you are familiar with an important consideration.

At the beginning of the job, there are a number of things all parties need to agree upon. The intended relationship between the associates needs to be set out. In general, all of you need is to finance the idea and share the products according to the proportion of their contribution. Remember, you should avoid sharing out profits as yours is not an incorporated venture.

For your joint venture to be successful, you all need to agree on common goals and objectives. All these need to be clearly written down in a document that also includes the scope of the business. It is also important that all of you develop a workable business plan at the beginning. This is a good way of avoiding disputes in the future when associates disagree on the direction to be taken.

You and your chosen friends will also have to set exit mechanisms. At some point, someone will want to leave the engagement. Therefore, there should be a document in place that guides the process of transferring their interests. Lastly, all of you should also create conflict resolution approaches to be used in case of disagreements.

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