Advantages and Disadvantages of Joint Venture
What are the advantages and disadvantages of joint ventures?
Smart entrepreneurs and business owners know that Joint Ventures are the fastest and most effective way to radically increase sales and profits with virtually no money and no risk, as long as its done correctly.
Advantages of Joint Ventures are speed, access, sharing of resources and the leveraging of underutilized resources, high profits, back end income, low or no risk opportunities and massive leverage.
Disadvantages of Joint Ventures are the possibility of being ripped off or disappointed by unscrupulous and unprofessional JV partners, and hurting your reputation and/or customers and associates by associating with the wrong people, even unknowingly.
You may also be interested in other articles from “accounting for joint venture” chapter:
- Definition and Explanation of Joint Venture
- Difference Between Joint Venture and Consignment
- Advantages and Disadvantages of Joint Venture
- Joint Venture Accounting – Journal Entries
- Memorandum Joint Venture Account
- General Questions and Answers About Joint Venture Accounting
- Joint Venture Accounting Exercises and Problems
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