What Is a Joint Venture Agreement?
A Sino-foreign joint venture agreement is a preliminary written document that is signed by a Sino-foreign joint venture on the basic points of setting up a Sino-foreign joint venture. The Sino-foreign joint venture agreement can only be signed after the project proposal and feasibility study report have been reviewed and approved by the competent department of the enterprise and forwarded to the approval authority for approval. Once the Sino-foreign joint venture agreement is signed, it marks the end of the negotiation phase and the joint venture is officially established. All parties to the contract are bound by law and bear legal responsibility. All preparations for the establishment of a joint venture must be conducted under the guidance of the goals, basic points and basic principles stipulated in the agreement.
Sino-foreign joint venture agreement
Right!
- Chinese name
- Sino-foreign joint venture agreement
- Definition
- Initial written documents initialed after negotiation
- Content
- Name, nature and business scope of the enterprise
- Nature
- Subject to contract
- A Sino-foreign joint venture agreement is a preliminary written document that is signed by a Sino-foreign joint venture on the basic points of setting up a Sino-foreign joint venture. The Sino-foreign joint venture agreement can only be signed after the project proposal and feasibility study report have been reviewed and approved by the competent department of the enterprise and forwarded to the approval authority for approval. Once the Sino-foreign joint venture agreement is signed, it marks the end of the negotiation phase and the joint venture is officially established. All parties to the contract are bound by law and bear legal responsibility. All preparations for the establishment of a joint venture must be conducted under the guidance of the goals, basic points and basic principles stipulated in the agreement.
- The Sino-foreign joint venture agreement is the basis for the parties to sign the contract, because this agreement's definition of various issues is only preliminary and thick-lined. Therefore, more specific contracts will be signed on the basis of this agreement. If such an agreement conflicts with the corresponding contract signed in the future, the contract shall prevail.
- Sino-foreign joint venture agreement A Sino-foreign joint venture agreement is an instrument concluded by the parties to a joint venture on certain points and principles for the establishment of a joint venture. Generally speaking, it is the basis on which a Chinese-foreign joint venture contract is formulated. It contains the following contents: [1]
- Sino-foreign joint venture agreement [2]
- Party A: China ×× Co., Ltd.
- Address: ×××××××××
- Legal person: ×××
- Party B: British ×× Ltd.
- Address: ×××××××××
- Legal person: ×××
- The two parties reached the following agreement on the joint venture and establishment of a taxi company in Shanghai from 20 ×××××× to ×× on the principle of equality and mutual benefit after friendly negotiation:
- I. The joint venture is named XX Taxi Company. Operates 100 large and small cars. Among them, there are 7 Mercedes-Benz cars (used cars with a driving range of no more than 17,000 kilometers), 83 Toyota cars (including 50 cars with mileage, money meter, air conditioner, walkie-talkie, etc.), van lo cars.
- 2. The joint venture is a limited company. The investment ratio of the two parties is 7: 3, that is, Party A accounts for 70%, Party B accounts for 30%, and the total investment is 1.8 million US dollars, of which Party 1.26 million (including warehouses and other public facilities) and Party B 540,000. The cooperation period is limited to 6 years.
- 3. The company has a board of directors with 5 members, Party A has 3 members and Party B has 2 members, including 1 chairman of the board of directors and 1 vice chairman of the board. The vice president and general manager are respectively held by Party A and Party B.
- 4. The gross profit of the joint venture shall be taxed according to the national tax law and deduct various funds and employee benefits.
- 5. Party B's profits can be calculated in RMB. During the contract period, after Party B's net profit reaches Party B's total investment (including principal and interest), the corporate assets will be owned by Party A.
- 6. The two parties shall jointly abide by the foreign exchange, taxation, joint venture and labor regulations formulated by the Chinese government.
- 7. The two sides agreed to choose the right place at the right time, to further discuss related matters, propose specific implementation plans and sign a contract.
- Party A: (Official Seal) Party B: (Official Seal)
- Representative: (Signature) Representative: (Signature)
- 20 ×× year × month × head
- Signed in Shanghai, China