Ziad K. Abdelnour, President & CEO Blackhawk Partners, Inc, the New York_based advisory firm on such matters, puts it this way: "Giving a Letter of Intent only means 'Yes I'm intent to buy the goods but I can change my mind anytime.' A letter of Intent is not a binding contract. [Hence] The Letter of Intent is a total waste of time on a worthless piece of paper."
Beware of an individual or group of people who call themselves Investment Bankers or a Buying Group. When they cannot provide you with personal financial statements or a financial statement from their company, you have a very slim chance of ever closing the transaction. The seller should have a copy of the financial statement from the buyer attached to all offers.