Non-Equity Strategic Alliance Agreement

A Non-Equity Strategic Alliance Agreement is a document used by two individuals or businesses who would like to join their efforts for a period of time to share resources, clients, and/or services to further both of their business interests. This alliance allows the parties to work together to realize a greater benefit from their combined efforts than what they would be able to achieve working alone. The alliance often involves sharing technology, services, expenses, losses, and eventually profits. By working together using a Non-Equity Strategic Alliance Agreement, the parties can create a competitive advantage in the market over other businesses in the same field.

This alliance is more informal than a Joint Venture Agreement, which involves two entities agreeing to work together to create a new company that will pursue a project together in furtherance of their shared business interests. With a strategic alliance, the parties will work together without forming a new business together. This alliance is also distinct from a Collaboration Agreement, where two businesses arrange to buy equity, or investment, in the other's business in the course of working together. Though they are not creating a new business entirely, the parties will have an ownership interest in each other's business. By using a Non-Equity Strategic Alliance Agreement, the parties will arrange to work together but will not have any ownership interest in each other's businesses. This type of arrangement is both the most informal and the most common of the above-mentioned business partnerships.

Using this document, the parties will be able to come together to grow their businesses while also clearly outlining their expectations of how the alliance will proceed.

How to use this document

This document covers all of the important information necessary for two entities to come together in a business alliance, including the following details:

• Pertinent identifying information for all involved parties, including a description of the primary business in which they are engaged
• A description of the purpose of the alliance and the obligations and duties that each party will undertake as part of the alliance
• Explanation of how profits and expenses will be shared between the parties
• Details about when and how the Agreement will be terminated
• Adherence to confidentiality provisions guaranteeing both parties' privacy
• Outlining who will own any new intellectual property created by the parties during the course of the alliance

The parties can discuss the terms of the Agreement and create and sign the final Agreement prior to beginning to work together.

After inputting the required information, this Agreement is printed out and signed by both Parties, and then kept on file by both parties for the duration of the Agreement as well as for a reasonable period of time thereafter.

Applicable law

Non-Equity Strategic Alliance Agreements in the United States are generally subject to specific state laws, but the general form of a Non-Equity Strategic Alliance Agreement is often similar across states.

How to modify the template

You fill out a form. The document is created before your eyes as you respond to the questions.

At the end, you receive it in Word and PDF formats. You can modify it and reuse it.