Compare joint venture and partnership.

The major differences between joint venture and partnership are as follows −

Joint Venture

• It is a trade formed by two or more individuals.

• The duration of time is fixed.

• The parties are called Co-Ventures.

• The profit/loss are distributed on interim basis.

• There are no specific governing laws.

• A specific name is not required.

• The accounts may/may not be separately maintained.

• It follows liquidation accounting.

• It includes profit-seeking ventures.

• A minor is not accepted as a Co-Venturer.

Partnership

• It is an agreement made by two or more individuals having respective proportionate shares to start a business.

• The duration of time is not fixed.

• The parties are called partners.

• The profit is distributed annually.

• It is regulated by government.

• It requires specific name for partnership firm.

• A separate set of books has to be maintained.

• It follows on going concern basis accounting.

• It includes profit seeking enterprise.

• A minor can become a partner.