LOI (Letter of Intent)

A Letter of Intent (LOI) is a written document that outlines the preliminary agreement between parties interested in a transaction, such as a business deal or partnership. It indicates their intentions to work towards a formal agreement in the future and often details key terms and conditions. While it is not legally binding in most cases, an LOI demonstrates serious commitment and helps to clarify expectations early in negotiations. It serves as a roadmap, guiding the parties as they proceed with due diligence and final contract drafting.