A joint venture is a business arrangement in which two or more persons or entities agree to jointly pursue a specific business objective—often more limited in scope and duration than a typical business or company. A joint venture may be organized as its own corporation or limited liability company. In addition to the risks of the business venture, a person or entity considering a joint venture should understand the tax issues, liability issues, and fiduciary duty issues involved.

In Maine, a joint venture is recognized as a collaborative business effort where two or more parties come together to achieve a specific business goal. This type of partnership can be structured in various forms, including as a corporation or a limited liability company (LLC), depending on the needs and preferences of the parties involved. When forming a joint venture, parties must consider several legal aspects. Tax implications are crucial, as the structure of the joint venture will determine the tax responsibilities of each party. Liability issues are also significant, as each member of the joint venture may be liable for the actions of the entity, depending on the structure chosen. Lastly, fiduciary duties arise in joint ventures, requiring parties to act in the best interest of the joint venture and each other. Maine's statutes and regulations will govern these aspects, and it is advisable for parties to consult with an attorney to navigate the complexities of forming and operating a joint venture in the state.