The significance of the letter of intent is also seen in the real estate field for it can tell a property owner of a person wishing to buy. It can also play a significant role in cases of disabled persons whose parents have passed on by showing the intention of the parents to the child.
Selling Price & Terms _ Amount of cash down, interest rate and term as well as description of the security the buyer is providing the seller. Structure _ Is it an asset or stock sale? How is the sale price allocated among different elements of the sale such as non_compete clause and goodwill (this is important for tax reasons and is discussed in the next section).