The document discusses the key elements that should be included in a joint venture (JV) contract. A JV contract is created when two or more companies combine resources to accomplish a task. The contract should precisely define the objective of the collaboration, clarify the initial financial contributions of each party, detail the operational obligations of both parties, and determine how profit and loss will be divided. The contract aims to map out the details of the joint venture arrangement to avoid future litigation between the partners.

1. Elements of a JV Contract
Bradford Jacob, Virginia

2. Introduction
 An attorney with ties to Virginia, Bradford Jacob is the
president of EPC Consulting, LLC, a firm that works with
large-scale commercial construction companies. A JD
alumnus of the University of Richmond - TC Williams
School of Law in Virginia, Bradford Jacob is experienced
in drafting a variety of legal agreements, including joint
venture (JV) contracts.
When two or more companies decide to combine
resources to accomplish a task, a JV contract is the legal
document created to map out the details. Though the two
original companies take responsibility for profit, loss, and
cost, the new venture functions as its own entity,
independent of either original party.

3. JV Contract
 In addition to including clear details, a carefully written JV
contract may help to avoid future litigation within the
partnership. The agreement must contain a number
elements, specifying the rights and responsibilities of
each party. These elements include:
1. A defined objective to precisely delineate the purpose
of the collaboration
2. A list of financial contributions that clarifies the initial
contribution amounts
3. Information detailing the obligations of both parties
with respect to day-to-day business operations
4. Directives determining how profit-and-loss
responsibility will be divided.