real estate business-for

Though the middle class is not fully established, it is also growing at a fast rate that demands development of the real estate. This could be a good start for one to want to invest in the real estate. However, investing in real estate can be an expensive venture, but a joint venture can make it so much easier. With the joint venture in real estate, you do not have to be a professional or understand how real estate works to venture in it. You can also sign a joint venture agreement before investing to help you run the business smoothly. A joint venture agreement is a contractual agreement between two or more business partners to assume a common business strategy on a project. All partners generally agree to share the profits and losses through their common shareholdings. Mr Jaffar Tonda, the managing director of Synergy Capital, a real estate investment firm, says he has been successful in the joint venture real estate business ever since he started it with his mother as his partner and he has never looked back. “I put $50,000 in the business and within six months, I had got a profit of $50,000. From then on I knew it worked. I have invested in so many of them,” he says. Mr Tonda has not only stopped at partnering with his mother, but he has also partnered with close family and friends to widen the network. The process Before you venture into the joint venture real estate business, there are steps that you should take such as: Identify individuals that you will partner with. Mr Tonda says that the number of the people is entirely dependent on the individuals who will be in the group. The minimum number is two. However, most importantly, before you jump into the business and making groups, you need to have an understanding of what you are going for.