What is a Joint venture.....please explain in brief....

It is a temporary partnership between any two or more than two people for a limited purpose without the use of company name. Therefore, a joint venture is a partnership where two people agree to initiate a particular venture. These people work together for their mutual benefit and agree to undertake ventures which are called joint ventures or co-venture. A joint venture is a very short duration business confined to two or more person jointly and has definite life, which automatically comes to an end.

A joint venture is an entity formed between two or more parties to undertake economic activity together. The parties agree to create a new entity by both contributing equity, and they then share in the revenues, expenses, and control of the enterprise. The venture can be for one specific project only, or a continuing business relationship such as the Fuji Xerox joint venture. This is in contrast to a strategic alliance, which involves no equity stake by the participants, and is a much less rigid arrangement.

The phrase generally refers to the purpose of the entity and not to a type of entity. Therefore, a joint venture may be a corporation, limited liability company, partnership or other legal structure, depending on a number of considerations such as tax and tort liability.