Equity-Based Joint Ventures

• Involves the creation of a separate legal entity.
  
• Partners invest capital and receive ownership shares.
  
• Profits and losses are shared based on shareholding.
  
• Common in both domestic and international collaborations.
  
• Operates under company law and regulatory guidelines.
  

Contractual Joint Ventures

• Formed through a contract without creating a new entity.
  
• Focuses on specific projects or business goals.
  
• Partners agree on roles, contributions, and profit-sharing.
  
• Suitable for short-term collaborations or single transactions.
  
• Legally binding under contract law in India.
  

Domestic Joint Ventures

• Involves only Indian companies or individuals.
  
• Regulated under Indian laws and industry norms.
  
• Often used to combine local expertise and resources.
  
• No foreign investment or international compliance involved.
  
• Simpler regulatory procedures compared to international JVs.
  

International Joint Ventures

• Includes one or more foreign companies partnering with Indian firms.
  
• Requires adherence to Foreign Direct Investment (FDI) policies.
  
• Useful for market entry, technology transfer, and expansion.
  
• Subject to approval from regulatory bodies like the RBI or DPIIT.
  
• Involves cross-border legal, tax, and compliance issues.
  

Project-Based Joint Ventures

• Formed specifically for completing a defined project.
  
• Dissolves automatically after the project completion.
  
• Common in infrastructure, construction, and large contracts.
  
• Clear scope, timelines, and deliverables are agreed upon.
  

Allows risk-sharing and resource pooling for large tasks.