A letter of intent to purchase is a written document where a buyer expresses their intent to buy a product or service. It outlines what will be purchased, the payment terms, and mutual agreements, such as confidentiality clauses. This letter allows both parties to confirm their interest in moving forward with the deal and ensure a mutual understanding before finalizing the purchase contract.
Why Use
A letter of intent to purchase is used when both parties have agreed to enter a purchase agreement but aren’t ready for a final contract. It helps solidify their relationship while finalizing transaction specifics.
Purchase Letter of Intent – By Type (3)
Business
Serves as a preliminary agreement outlining the terms of a business sale between the seller and a interested buyer. You will need a Business Purchase Agreement to finalize the deal.
Used in commercial real estate transactions between a seller and a prospective buyer. You would need a Real Estate Purchase Agreement to complete the deal.
Personal Property
Used for the sale of personal property, such as cars, jewelry, or other individual items, between a seller and a potential buyer. You would also need a Personal Property Purchase Agreement to complete the deal.
Key Elements
A letter of intent to purchase should outline the critical details of the proposed transaction, including:
- Buyer and seller details.
- Description of the product or service.
- Purchase price and payment terms.
- Financing conditions (if applicable).
Both parties must sign and date the letter after completing these details.
Purchase Letter of Intent Sample
Customize and download a free template in either PDF or Word format below.
