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Managing Profits On Joint Ventures

by mustafavanancio
6 replies
Hey Warriors,

I have some questions for those who have done a joint venture where one party does for e.g. product creation and another party manages the launch or any other similar activities.

In a situation like this how do you manage the profits between each other?

How do you ensure that everything is transparent between both parties and each party fulfills their side of the deal?

Looking forward to your responses.
#joint #managing #profits #ventures
  • Profile picture of the author arrival7
    That is between the two parties, what ever you two agree upon. If you both agree upon a 50/50 split, I advise that you draw up a contract and you both sign, then the next step is making it happen. It all depends on how you both feel about the situation. Just make sure that both parties walk away from the table in agreement on day one!
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  • Profile picture of the author Marvin Lex
    With good partners one should share 50:50. It doesn't get fairer than that. To make sure everyone fulfills their side of the deal you should write down the most important goals and ensure that those are measurable and objective. Then you both sign the document.
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  • Profile picture of the author mustafavanancio
    Thanks for the responses guys.

    How do you ensure that the profits are divided evenly?

    Is there some special payment processor or software that can do that where both parties can have access to the income stats?
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    • Profile picture of the author arrival7
      Hey, it is a software named Rapid Action Profits, contact the owner and see if his software will do what you are trying to do. Another idea is to contact Clickbank to see if they offer what you are looking for. I think they have something called Clickbank Contract. Please look further into it.
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      • Profile picture of the author Sid Hale
        Originally Posted by mustafavanancio View Post

        How do you ensure that the profits are divided evenly?

        Is there some special payment processor or software that can do that where both parties can have access to the income stats?
        Originally Posted by arrival7 View Post

        Hey, it is a software named Rapid Action Profits, contact the owner and see if his software will do what you are trying to do.
        With Rapid Action Profits, payments are handled on auto-pilot directly to the appropriate receiver (equity partner, a super-affiliate, or a normal affiliate) based on the percentage of revenue sharing set up for each, and depending on whether the sale was affiliate generated, or not.

        Equity partners (JV partners per the OPs definition) receive a percentage of NET sales (i.e. after affiliate commissions are paid out).

        Affiliates receive a percentage of ALL of the sales that they refer, and are paid directly from the customer beginning after their first sales referral.
        Signature

        Sid Hale
        Coming Soon... Rapid Action Profits (Pro)

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  • Profile picture of the author mustafavanancio
    Thanks guys.

    I will look into it.
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