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An international joint venture (JV) occurs when two businesses based on two or more countries form a partnership. A company that wants to explore international trade without taking full responsibility for cross-border business operations has the opportunity to create a joint venture with a foreign partner. International investors entering into a joint venture minimize the risk associated with a direct acquisition of a business. In the development of international business, performing due diligence in a foreign country and a partner limits the risks associated with such a business transaction.

Due diligence is an essential component of any financial transaction, especially regarding corporate finance. In a few words, due diligence is a process of conducting a comprehensive investigation, audit or review of a transaction or investment opportunity before finalizing a deal. The goal of due diligence is to identify potential risks and opportunities, as well as to ensure that the parties involved have all the information, they need to make an informed decision. In this article, we will explore the concept of due diligence in more detail, including its definition, the types of due diligence, and its significance for corporate finance and business transactions.

Expanding your business in Russia can be a challenging yet rewarding experience. Russia’s vast territory, rich natural resources, and large population offer many opportunities for foreign investors. However, entering the Russian market requires careful planning, strategic thinking, and knowledge of the local laws and regulations. Two common ways of establishing a presence in Russia are by setting up a branch or a representative office. In this article, we will discuss the main differences and benefits of these two options, as well as the legal requirements and registration process.

Until 2022, the parties to the agreement provided for an arbitration clause, in which they most often chose English law to resolve disputes. In the current situation, for similar purposes, Russian companies most often choose Russian law, and do not so actively apply to Western arbitration institutions, such as the…

The Ministry of Economic Development of Russia stated that representatives of Russia and Iran are interested in increasing the pace of work on creating a regulatory framework for cooperation in the trade sphere. The Russian-Iranian Working Group on Cooperation notes the development in the field of transport and logistics, as…

Every foreigner who stays in Russia for more than a week must register for migration at the Ministry of internal Affairs. Regardless of citizenship and the purpose of arrival, foreign citizens fill out a migration card when crossing the Russian border. This document contains information about foreigners entering the Russian Federation and entitles them to stay in the country for 7 days. However, if the trip lasts longer than this period, a foreigner should register with migration authority.

Since the introduction of sanctions, the Russian market has faced the exit of many foreign companies and brands. However, according to experts, they left in such a way that in the future they would return and resume their activities, as evidenced, for example, by the preservation of assets in Russia….

The Federal Tax Service has adopted a new order that regulates the verification of the reliability of information in the Unified State Register of Legal Entities. Thus, the order establishes: • grounds for verification, • its conditions, • methods of conducting, • the procedure for using the results of verification…

A bunch of new regulations regarding countersanctions, parallel import, employment etc. became effective in February 2023. Сountersanctions The President of Russia issued a decree as the response to the Russian oil price cap which became effective 01.02.2023. It prohibits foreign organizations and individuals to conclude oil and petroleum products supply…

A machine-readable power of attorney is an innovation in the law, which began to be applied in 2023, so far in test mode. Such a power of attorney will allow interacting with electronic document management and electronic signature not only for company executives and individual entrepreneurs, but also for other…

Our company offers you a comprehensive Enhanced Due Diligence (EDD) service. This check is necessary to minimize the risks when you enter into a deal for large amounts of money. Similar checks are almost always carried out before entering into a deal with any counterparty, but EDD has a peculiarity: it provides a more detailed and thorough check of risky counterparties. Therefore, the first thing is to determine whether a potential partner can be classified as a risky one. And the KYC mechanism (know your customer) is used for this. This technique was developed and implemented by the FATF (Financial Action Task Force on Money Laundering). FATF is an intergovernmental organization that develops global standards in the field of combating money laundering and the financing of terrorism (AML/CFT), it also evaluates the compliance of national AML/CFT systems with these standards.

To date, NFTs have been actively used on the market. In the virtual economy, NFTs are used to confirm the ownership of digital assets and the right to use them. What is NFT? NFT is a non-fungible token, in simple words, a unit of accounting that does not have copies,…

The service sector is an industry with many components of the economy and management. Commercial companies, individual entrepreneurs, and businessmen carry out their activity in this area. New opportunities and forms of ownership appear: The Internet, network marketing etc. Therefore, accountants have many problematic situations.

In 2022, a decree was adopted prohibiting residents from paying shares, deposits and shares in the property of legal entities that are non-residents. This measure has been extended to 2024. Despite this, the Central Bank of the Russian Federation issues special individual permits for such operations. To obtain permission to…

1. Business will pay taxes in a new way. The government is introducing a single tax account, where all commercial fees will be accumulated. Now the business will not need to search for the current budget classification code, it is enough to transfer the tax debt to a single account…

In recent years, particularly during the coronavirus period, many have adapted and switched to remote working. In some cases, the specific of the employee’s work allows for remote working. Formalising the contractual relationship with the employee On the one hand, labour law allows for the remote working, however, according to…