3.21 As noted in Chapter 2, PPPs are sometimes formed through SPVs structured as joint ventures. In a typical joint venture, the public sector authority may participate in the funding through contributing assets such as land. The expectation is that cash funding for the joint venture's activities would normally come from the private sector, both through equity contributions and raising debt. In forming and participating in a joint venture and in setting up the financing arrangements, the public sector authority needs to take into account the principles for the allocation of risks and rewards set out in this document. It also needs to have at its disposal appropriate commercial and financial skills, taking into account that it may be both co-owner or equity participant in the SPV as well as customer for the services provided, and may need to manage both of these distinct interests.