What’s a JV partnership?

[Edy Lagares]

Can someone explain to me what's a JV partnership ?

What it means and how would this benefit someone?

Thanks in advance

[Nick Rutkowski]

Originally posted by @Edy Lagares:

Can someone explain to me what's a JV partnership ?

What it means and how would this benefit someone?

Thanks in advance

A joint venture partnership is a partnership between two or more people who want to combine forces to attain a common goal. To put it in Star Wars references Han Solo and Chewie share a joint venture partnership because they have different strengths but they team up and make money. 

Now to explain GP/LP partner structures: 

Now Luke and Leia join them and together they have a common goal to destroy the Death Star. Han, Chewie and Leia (Limited Partners) give passively give their resources to Luke (General Partner) and rely on him take the risk to destroy the Death Star. Separately they cant win but together they win

Now what does this all mean? Well in real estate we rely on our strengths and other's resources to get ahead. Some of us inexperienced investors have no money, a ton of energy, and time.  The seasoned investors who don't have the time, energy, but money will passively loan their money and experience to the inexperienced investor so they can take the risk of buying the property. Separately they can't get the investment but together they can get the investment. 

Hope this helps.