Joint ventures
Combining one party's money with another's time and expertise on a project.
In plain English
In a joint venture, one person might put in money and another does the work. Agree in writing who gets what, what happens if things go wrong, and how decisions are made — before you start.
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Capital requirements
Provided by the capital partner; the operator contributes time and expertise.
Cost assumptions to budget for
- Legal agreement
- SPV set-up and accounts
Potential returns
Split per the agreed waterfall — see the calculator.
Main risks
- Disputes without a clear agreement
- Unregulated investment promotion
- Partner insolvency
Legal checks
- Shareholders' or JV agreement
- Security for the capital partner (e.g. charge)
Regulatory checks
- FCA financial promotion restrictions
- Collective investment scheme rules
Is it suitable?
Often suits
- Experienced operators with known investors
Usually not suitable for
- Raising money from the public without regulatory advice
A general guide, not a personal recommendation. Suitability depends on your finances, experience and attitude to risk.
Step-by-step
- Agree terms in principle.
- Model the waterfall.
- Have solicitors draft the agreement.
- Set up the SPV and bank account.
- Report regularly to partners.
Financial calculations
Joint venture profit split
- ⚠ Document the agreement with solicitors. Raising money from the public can be a regulated activity.
Every figure above comes from the assumptions you entered. This is not a valuation, mortgage offer or financial advice.
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Official sources
Last reviewed 31 Oct 2026. Rules change — check the source before relying on this guide.
Not advice