Selling a Business _ Why the Letter of Intent is So Important. A Letter Of Intent, or LOI, is an "intermediate" document drafted and submitted to you by the buyer.I say intermediate, because it is not the final contract. But it spells out the major elements of the sale the buyer and seller have agreed to so far. Typically, you will accept a Letter Of Intent and then enter into a period of exclusive negotiations with just one buyer. The Elements Of The Letter Of Intent.
How to Write a Letter of Intent. Letter of intent is used when an individual enters into a certain transaction or business relationship. People usually go for letters of intent instead of going for a legally binding agreement.