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Corporations and many other businesses can use this type of letter as a precursor to a formal agreement. In it they can list the salient points of their intentions and what they intend to include in formal contractual agreement if both parties can come to an amicable agreement. Thus it can be used as a fall back document should any questions arise during the final contract negotiations. A good example of this might be a letter sent to a company's investor explaining their intentions to buyout another company and what it is expected to do to the value of their stocks.

The Significance of a Letter of Intent Sample. A letter of intent shows the information that parties have agreed on so that the information is clear to them. The use of this type of letter is widespread and it is almost like a written contract but it is not binding. It states that a person or organization intends to take part in a certain action. If a person or organization wants to get a guide on how to make a good letter of intent, they can get a letter of intent sample, which is available at many online sites.

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