What type of financial arrangement involves pooling resources for a specific project without maintaining in ongoing operations?

A joint venture is a specific type of financial arrangement where two or more parties come together to pool their resources for a particular project or objective. This collaboration is focused on a singular venture rather than on continuous ongoing operations or businesses. In a joint venture, each party contributes assets, shares risks, and benefits according to their agreement for that particular project, making it distinct from other arrangements like partnerships that can imply a broader continuous operational engagement.

The nature of a joint venture allows for flexibility and a defined time frame, with the intention of achieving a specific goal, such as developing a new product or entering a new market. Once the project is completed, the joint venture may be dissolved. This finite focus differentiates it from consortiums, which generally work on larger-scale projects and might involve a more permanent structure for collaboration among multiple organizations, and investment funds or partnership agreements, which typically imply longer-term operational commitments or investments across various projects.