Beijing internet enterprise letter joint venture model
A joint venture refers to an enterprise in which the Chinese and foreign parties of a joint venture jointly invest and jointly operate, and bear risks and losses in proportion to the investment. Its main legal features are: there are legal requirements for the proportion of foreign investors in the registered capital of enterprises; Enterprises adopt the organizational form of limited liability companies. Therefore, this kind of joint venture is called equity joint venture.
A contractual joint venture in which Chinese and foreign parties agree on their respective rights and obligations through a contractual joint venture contract. Its main legal features are: there is no mandatory requirement for the share of foreign investors in the registered capital of enterprises; Enterprises adopt flexible ways of organization and management, profit distribution and risk burden. Therefore, this kind of joint venture is called contractual joint venture.