Letter of Intent to Purchase Assets of Business

Are you in negotiations to purchase the assets of a business? Set down the terms of your offer in writing with this Letter of Intent template.

• The letter of intent is not a contract and is not legally binding, except as it relates to the negotiations between the parties, such as confidentiality provisions.
• In this template, the buyer intends to incorporate a new company which will purchase all of the assets and goodwill of the business from the seller.
• The letter has a built-in expiry date, which will take effect if the parties fail to execute and deliver a formal Purchase & Sale Agreement within a specified number of days.
• If the buyer is willing to proceed and the seller fails to go through with the transaction, the seller will pay the buyer's costs and a percentage of the purchase price as liquidated damages.
• This is a generic template that can be used anywhere.