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This agreement is most often used in transactions involving a purchase. Sometimes two parties will know that they want to do a business deal together, but they aren't ready to sign an actual agreement. For example, they may agree that one party will sell his or her business for a certain price, but they do not yet agree on who will take on certain liabilities of the business. The parties can sign this document to show each other a good faith intention to work out a deal. It can also help parties get on the same page as to what they expect from the purchase.

Go with one of the classics, because they're used for a reason. If you sound too stiff and formal, it comes off like a holiday card. If you reiterate your call to action, it can carry a whiff of desperation. Just get out gracefully and quickly once you've said your piece.

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