{"id":10058,"date":"2018-07-19T16:31:57","date_gmt":"2018-07-19T11:01:57","guid":{"rendered":"https:\/\/enterslice.com\/learning\/?p=10058"},"modified":"2020-09-02T17:19:26","modified_gmt":"2020-09-02T11:49:26","slug":"letter-of-intent","status":"publish","type":"post","link":"https:\/\/enterslice.com\/learning\/letter-of-intent\/","title":{"rendered":"What is a Letter of Intent?"},"content":{"rendered":"

A letter of intent (LOI)<\/strong> is a kind of document which outlines the terms of an agreement which is executed between two or more parties prior to the finalization of the legal agreement.  A letter of intent is not considered as a contract and therefore it cannot be legally enforced. It reflects the commitment made by one party to another party. Before the drafting of the full contract, it is used for transaction clarification between the parties. It basically declares partnership or negotiation and mutual understanding among the parties involved. It is also referred as a LOI. It shows the intention of one party in relation to another.<\/p>\n\n\n\n

These types of documents can be prepared in a variety of situations such as at the time of business negotiations which will define the intention of purchase of real estate or which will also give the indication of intent to accept a formal offer. A letter of intent is mainly used as an initial proposal to the other party in business. The initial proposal may be concerned with purchases, or mergers or acquisitions<\/strong><\/a>. It gives clarification on points of a deal but it is not legally binding.<\/p>\n\n\n\n

A properly drafted Letter of Intent (LOI) reflects that the parties are serious taking purchase or sale. We can help you in making a LOI for purchasing an entire company or part of a company.<\/p>\n\n\n\n

What are the Things which must be considered while writing Letter of Intent?<\/h2>\n\n\n\n

Following below mentioned things must be considered:<\/em><\/p>\n\n\n\n