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1. The best method of reducing risks in any business and more so in construction projects is to incorporate the entity doing the work as a Limited Liability Partnership under the Limited Liability Partnership Act, 2008 or a company limited by shares under the Companies Act, 2013. This would ensure that the liability of the company becomes limited depe...
Wazzeer Professional Network
ProfessionalCan one share and transfer the risk simultaneously in the risk management of construction projects?
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Wazzeer Professional Network
Professional1. The best method of reducing risks in any business and more so in construction projects is to incorporate the entity doing the work as a Limited Liability Partnership under the Limited Liability Partnership Act, 2008 or a company limited by shares under the Companies Act, 2013. This would ensure that the liability of the company becomes limited depending on the nature and constitution of the entity.
2. The other method of transferring an sharing the risk is to enter to a Joint Venture or Special Purpose Vehicle with another entity and where the liability with respect to carrying out the construction project is mutually divided by way of an agreement defining the liability between the respective entities.
3. Another method could be buying an insurance policy for covering the risks relating to the project but which would entail outflow of funds in the form of premium for the policy.
To take this discussion forward, all you have to do is ->"Get your Wazzeer"
over 3 years ago
View answer
Can one share and transfer the risk simultaneously in the risk management of construction projects?
-
Wazzeer Professional Network
Professional1. The best method of reducing risks in any business and more so in construction projects is to incorporate the entity doing the work as a Limited Liability Partnership under the Limited Liability Partnership Act, 2008 or a company limited by shares under the Companies Act, 2013. This would ensure that the liability of the company becomes limited depending on the nature and constitution of the entity.
2. The other method of transferring an sharing the risk is to enter to a Joint Venture or Special Purpose Vehicle with another entity and where the liability with respect to carrying out the construction project is mutually divided by way of an agreement defining the liability between the respective entities.
3. Another method could be buying an insurance policy for covering the risks relating to the project but which would entail outflow of funds in the form of premium for the policy.
To take this discussion forward, all you have to do is ->"Get your Wazzeer"
over 3 years ago
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