How to write a letter of intent (LOI)?
A Letter of Intent is a legal document that sets out the key terms of the agreement between the parties before the definitive agreement is actually signed. It sets the intentions of the parties, and while not usually binding, it can.
It is a written document outlining a preliminary agreement between two parties regarding the terms of a potential purchase or other transaction. Think of it as a roadmap as negotiations and deals move forward.
The parties may agree on certain terms and agree to further negotiate other terms and details of the transaction prior to the actual signing of the purchase agreement.
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