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A Letter of Intent is a written document that outlines a preliminary agreement between two parties regarding the terms of a potential purchase or other transaction. The two parties can settle on certain terms while agreeing to continue to negotiate the other terms and details of the transaction before actually signing a purchase agreement.

Use a Letter of Intent if: You want to take serious steps towards negotiating the purchase of all or part of a company. You want to secure your interest in a company and request that the sellers exclude negotiating with another buyer.

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