Pentiuk, Couvreur & Kobiljak P.C.Attorneys And Counsellors at Law
Call Us For An Initial Consultation
734-407-7193 | 773-435-9064

Joint venture vs. Business Merger: What you should know

Whether you have just started a new business or you are currently running a successful company, you may be looking at how you can take your venture to the next level. Both joint ventures and business mergers can help enhance the power of a company. Although these business methods sound similar, they differ in several ways. It is important to understand the difference and similarities of these business methods so that you can choose the one that fits best for your situation.

Joint ventures involve two companies combining their finances, resources and intelligence to increase revenue for both businesses. Despite this coming together, however, both entities keep their seperate status. The venture may be long-term or short-term and may work together for a common interest. Once the project is complete, the companies may return to their individual business methods or they may continue to work together.

Business mergers, on the other hand, involve two entities coming together and forming one entity that is new and separate from the original two. In this case, the companies give up their individual status and can either take on a new brand to represent the new company or keep one of the existing brands. Mergers can help companies survive in a competitive market, or help a failing business by combining it with a stronger entity. 

Both joint venture and mergers involve companies combining strengths, helping them to become more competitive in the field.


This information is intended to educate and should not be taken as legal advice.



No Comments

Leave a comment
Comment Information

Call Our Offices In Wyandotte, Mi And Chicago, IL

Wyandotte Office
2915 Biddle Avenue
Edelson Building
Suite 200
Wyandotte, MI 48192

Phone: 734-407-7193
Fax: 734-281-7102
Map & Directions

Chicago Office
33 North LaSalle
Suite 3350
Chicago, IL 60602

Phone: 773-435-9064
Fax: 773-289-0767
Map & Directions

Email Us For a Response

How Can We Help You

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

ABA Illinois State Bar Association Indiana State Bar Association Federal Bar Association State Bar of Michigan