“A mutually beneficial and profitable partnership where opposing skills or benefits are leveraged.”
Joint ventures are based around different people or organisations having varying degrees of time, expertise and funds. For example someone has time & experience, working with someone who has little time or experience but they have funds they want to earn a return on, simple...
With interest rates being at an all time low, cash savers, cash rich businesses and pension trustees are getting very little or negative growth in the bank taking inflation into account, and with the stock market and other asset vehicles risky and unstable many private investors are flocking to property for a better return on their money.
That's all well and good, but everyone needs to know that everything is being done as securely and safely as possible as possible, as with all investments you have to continually balance the risk versus reward.
When thinking of partnerships we have developed our CREST model to help you. These are the things to think about to ensure any arrangement works for both parties as everyone’s priorities are different.
CREST
Credibility - Honesty, integrity, results
Return - What or how much do you want?
Exit - What is the exit plan and timescale?
Security - Legal agreements need to be properly arranged
Trust - Most important aspect in any joint venture partnership
Top six things to consider:
1. What you are looking for in an investment or partnership?
2. Think about what you would like to achieve in two, five and ten years?
3. What would success means to you?
4. What returns or benefits are you looking for?
5. Consider what credibility means to you?
6. What would be most important to you in an investment or partnership?
All of this should help you take a giant step in the right direction when considering any joint venture!
