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.
What Is Included In A Letter of Intent? As it pertains to the buying and selling of an early education company (childcare centers or schools), a Letter of Intent ("LOI") is a written statement expressing the intention of the participating parties to enter into a formal agreement. A LOI is not a formal agreement or a binding contract. The LOI serves the very important purpose of defining the agreed upon terms of a transaction so there are no misunderstandings between the parties, but it does not provide the detail found in a Purchase Sale Agreement.