What are the differences between a general partnership and a joint venture in Quebec? (2026)​

There are many legal structures to consider before you launch a business in Quebec. In this blog post, we will highlight the main differences between a general partnership and a joint venture so you can make an informed decision.

The legal structure of a general partnership and a joint venture

A general partnership is a group of natural or legal persons, called partners, that exercises a commercial activity together, and the partnership itself is considered a legal person.

On the other hand, a joint venture is not considered a legal person. The partners in a joint venture act in their own name and can act for every other partner in the joint venture. A joint venture is created by a written contract, a verbal agreement, or by the parties' actions demonstrating the intent to form a joint venture.

Under the Civil Code of Quebec, a partnership that does not register with the Enterprise Registrar is presumed to be a joint venture.

The purpose of the general partnership and the joint venture

The partners in a partnership agree to collaborate to exercise an activity, such as running a business, to contribute property, knowledge, or activities, and to share the profits made by the partnership.

A joint venture is created for a specific purpose or for a limited amount of time. For example, two businesses can agree to form a joint venture for a specific real estate development project.

How to decide between a general partnership and a joint venture

Choosing between a general partnership and a joint venture depends on your expectations. Do you prefer to have visibility, structure and longevity? In this case, a general partnership may be the right answer for you. On the other hand, a joint venture exists without a juridical personality, remains a secret because it is not required to be registered, and is ideal for short-term or specific-purpose projects.