Explain that while often non-binding, the LOI is the most critical document in a merger or acquisition because it sets the moral and financial framework for the deal. Body Paragraph 1: Establishing Value and Terms
Describe how this phase protects the buyer from undisclosed liabilities. sample letter of intent to buy a business
Discuss how the LOI forces both parties to agree on a valuation early, preventing "deal fatigue" later. Explain that while often non-binding, the LOI is
Reiterate that the LOI is a psychological commitment. Explain that while often non-binding