FOR Joint Venture (JV) also known as ‘business deal’, ‘Strategic alliance’, gold ‘Strategic partnership’. Probably the simplest definition is that the joint venture is a win-win strategic partnership between two or more companies or individuals who agree to leverage each other’s resources to achieve common economic goals. Resources can be in the form of technology, relationships, access to existing clients, experience, knowledge, credibility, employees, facilities, finances, etc.
Examples of easy, profitable and simple joint venture agreements
Here are just a few examples of JVs you can negotiate:
2. Reciprocal arrangements
3. Share resources
4. Promotional associations
5. Create profit centers for companies
Let’s look at each one in more detail.
Method n. 1: toll
The toll simply means finding a group of people with a high enough demand and connecting them to the source of supply. Then he comes between them (like a toll collector) and collects money when buyers go through the tollbooth. This method is also known as “Triangulation”.
Examples of tolls:
1. Let’s say that in your local area, there is an Association of Architects. Let’s say they have at least 50 members and they socialize weekly. If you can persuade them to meet once a week at a specific restaurant or hotel, you can arrange a deal with the restaurant / hotel owner to give you a percentage of your weekly bill.
2. Another form of toll is finding successful businesses. There are companies that are actually turning customers away because they can’t keep up with the demand. Get the clues passed to you. You can then direct these leads to another company that will do all the work. You then charge commissions for each converted lead.
3. Find someone with a product to sell and find someone who has a list of customers who have a strong desire for the product in question. Get the listing owner to endorse the product and you will receive a commission for every sale made.
4. When a business goes bankrupt, make money by locating someone who is willing to: buy old inventory, buy old phone number to convert incoming calls, buy customer database, fulfill backorders, get hold of lease charge, etc.
Method # 2: reciprocal arrangements
This is a kind of “scratch-your-back-your-scratch-mine” arrangement.
The fact is that every business has strengths and weaknesses, and many entrepreneurs do not know how to compensate for their weaknesses, creating problems. But a savvy joint venture broker like you can address this by associating businesses with complementary qualities to make them stronger and more profitable together.
Examples of reciprocal arrangements:
1. Barter: a magazine can accept that a restaurant pay a month’s worth of advertising by allowing key magazine staff to eat for free for a specified period of time; a marketing consultant may agree to help a fitness professional generate more leads in exchange for personal training.
2. Connect two businesses with products / services that complement each other. Get them to leverage each other’s customer base by having them continually endorse / promote each other’s products to your own customers. For example, you can organize a beauty spa to promote a gym in the future (and vice versa); or encourage a salon to “reward” loyal customers with gift certificates from a restaurant, leading to lifetime leads to the restaurant. In all cases, you charge a commission on the resulting sales.
Method n. # 3: share existing resources
You can take advantage of existing resources that are underutilized and earn money in the process.
Examples of shared resources:
1. You can start a jewelry designer career by arranging for your creations to be displayed alongside the products in a fancy retail store that sells designer handbags. The jewelry designer doesn’t pay any rent, but she pays you and the store owner a commission each time she makes a sale.
2. You can earn passive income by searching for student tenants for landlords in your local area. You can semi-automate the process by giving a list of local accommodations to a person who works in the Admissions Office of the major universities / schools in your area and asking them to actively assist applicant students in finding accommodations. Make sure to reward your contacts, of course.
3. Licenses: If you have (or know someone with) a system, intellectual resources, or any non-perishable intangibles that other people are willing to pay for, you can simply grant them rights to use these resources for a small fee. . You can license software, hard-to-obtain information, useful research finding, specialized equipment, and so on. Bob Serling has a wealth of licensing resources.
4. Docking – You can easily leverage an existing infrastructure. For example, you can insert your promotional brochure into the envelopes of a national direct mail company that already sends 100,000 letters a month to its existing subscribers. Agree to give them a percentage of your earnings.
Method n. 4: promotional partnerships
Are you (or do you know) someone who is an expert salesperson / marketer? You can partner with someone who has a product / service to sell but has no idea how to sell it.
1. Become an Agent – You can help hire speakers, bands, entertainers, entertainers, performers, etc. and get paid a good commission.
2. Affiliate Marketing – You can market / sell other people’s products and get commission for every sale made. If you don’t want to sell, you can get someone else to do it for you. You can also search for companies without affiliates, set up your affiliate program, recruit the affiliates, let them do all the sales and marketing, and then you only charge a small commission.
Method n. 5: creation of profit centers for existing companies
It is a fact that many people who are in business do not know how to get a steady stream of buyers on an ongoing basis.
1. Packaging: You can add a complementary product or service to an existing one with existing distribution routes and charge commissions. For example, most real estate agents can make more money and serve their clients even more if they also recommend services like moving, interior design, plumbing, electrical, plastering, etc. to every person they sell a house to. But most real estate agents don’t know, so you can settle this deal and make a profit.
2. Encourage restaurants to sell advertising space and earn money by searching for advertisers. Restaurants can make money by displaying advertisements in their bathrooms, on the back of their menu, on their wide-screen televisions, or even on their bulletin boards.
3. Do you live in an area where there are no 24-hour dentists / restaurants / bakeries / liquor stores / entertainment centers? You can enter into a deal where a business owner agrees to allow someone else to use their existing facilities at times when they are normally closed in exchange for rent money or a percentage of profits.
4. Talk to an offline company that doesn’t have a clue about online marketing. Come to an agreement where you use online marketing methods to promote the business and get a commission paid for the resulting sales. You can easily do this deal with experts and gurus – people who have a wealth of information inside their heads, but lack the knowledge on how to turn their expertise into information products and sell them online. You can act as your online publisher (or JV with an existing online publisher) and take a share of the profits.
Being a joint venture broker can be very easy and rewarding if you just know how to listen to other people’s needs. To be successful, all you need to do is solve problems by leveraging existing resources and establishing trustworthy relationships. You don’t need a product or business of your own. You don’t need to be an expert, you don’t need any experience, you can be 18 or 80, you can have a Ph.D. or you can drop out of high school, it doesn’t matter.