Joint Indigenous and Non-Indigenous (JINI) Venture

A Joint Indigenous and Non-Indigenous (JINI) venture is a joint venture between an Indigenous business and a non-Indigenous business. In federal procurement, it qualifies only if the venture is at least 51% owned and controlled by Indigenous people, as set out in Indigenous Services Canada (ISC) guidance on Indigenous Business Directory registration.

The structure belongs to Canadian Indigenous procurement, mainly the Procurement Strategy for Indigenous Business (PSIB) and the Indigenous Business Directory (IBD). It lets an Indigenous business team with a non-Indigenous partner to compete for larger contracts and build capacity, while keeping Indigenous people in control of the work, according to ISC's federal procurement guidance.

What qualifies as a JINI venture

ISC describes the relevant joint venture as a business made up of two or more Indigenous businesses, or of an Indigenous business and a non-Indigenous business. The JINI form is the second of these. In both cases the venture must have at least 51% Indigenous ownership and control, as ISC's PSIB information states.

A venture that combines Indigenous and non-Indigenous partners but falls below the 51% threshold does not meet the definition.

The Indigenous partner's lead role

Ownership alone is not enough. ISC states that the joint-venture agreement must show the Indigenous partner has a lead role, with direct responsibility for managing and executing the core business activities. The non-Indigenous partner may provide technical or operational support. It must not replace or displace the Indigenous partner in delivering the contract. These points are set out in ISC's guidance on partnering.

How JINI ventures access PSIB set-asides

Indigenous-controlled joint ventures may bid on opportunities set aside for Indigenous businesses under the PSIB. They must keep meeting the 51% ownership-and-control requirement and the 33% Indigenous-content requirement throughout the contract, according to ISC.

Solicitations apply the content rule in their own terms. One CanadaBuys request for proposals states that where an Indigenous business and a non-Indigenous business are involved in a contract, 33% of the total monetary value of the work must be performed by Indigenous businesses.

Bid certification for joint ventures

Federal bid documents include the joint-venture category in their Indigenous-business eligibility and certification provisions. A bidder must certify that it is an Indigenous business or a qualifying joint venture. The Standard Acquisition Clauses and Conditions (SACC) Manual contains a certification option for a bidder that is either a joint venture consisting of two or more Indigenous businesses or a joint venture between an Indigenous business and a non-Indigenous business.

ISC's IBD registration guidance also addresses joint ventures, so a venture should confirm its registration position before it bids.

What it means for a supplier

If you are a non-Indigenous firm, you can take part in Indigenous set-aside work only as a partner in a venture that an Indigenous business owns and controls. If you are an Indigenous business, a JINI venture can give you access to contracts larger than you would pursue alone.

• Draft a joint-venture agreement that shows Indigenous ownership, control and the lead role in core activities.
• Certify the venture's status in the bid, using the wording in the solicitation.
• Plan delivery so the Indigenous-content requirement is met for the full life of the contract.
• Confirm the IBD registration requirements with ISC before you submit.