Negotiating Joint Ventures
Negotiating Joint Ventures. Define Joint Venture: What is a Joint Venture, What are the Advantages of Joint Venture, how to Succeed with JVs?
What is a Joint Venture
Define Joint Venture: What are Joint Ventures? Joint Ventures are a powerful way to get started in web business. A joint venture is an informal business relationship in which two parties work together to promote and participate in each other’s business, creating mutual benefits. They require minimal initial investment on your part. You do not need to purchase any part of the other party’s business; all you seek is a mutually beneficial working relationship.
Advantages of Joint Venture
This is a powerful way for you to tap into the other company’s list of presold prospects. Mutual endorsements work much better than mere advertisements, as an endorsement comes directly from someone trusted. The chances are sales conversion would thus be much higher.
Create a Referral Circle
This is a powerful strategy I picked up from Janet Switzer. A referral circle is a way to tap into the client bases of complementary businesses. Businesses within this circle would recommend one another: you can thus provide your customers with a much more ‘complete package’ of complementary products and services at no extra hassle or cost, while at the same time creating an alternate stream of income for yourself.
Instead of creating a referral circle, the more experienced of you could also consider a professional consortium, where you would market your services with your business partners together, and split profits accordingly.
Think about how your product or service is a good add-on: how does it enhance the other company’s extant products and services?
How to Negotiate Joint Ventures
More Joint Venture Examples – negotiating successful joint ventures that will make money.