If you are interested in purchasing a business, there are a number of issues bound to arise during the negotiation stage. However, preparation of a letter of intent and the timely advice of legal counsel can help to ease negotiations and expedite the purchase process. Interested parties should always work to create a letter of intent, or term sheet, to outline and identify the initial terms and conditions important to the parties in the purchase. A letter of intent should always include the purchase price and the assets to be sold and may even explore certain binding provisions, such as non-disclosure and non-compete agreements. Once signed by the parties, a letter of intent helps the transaction proceed smoothly and eliminates the potential for parties to insert terms and conditions not previously contemplated. With the terms and conditions explicit in the letter of intent, counsel for the parties may thereafter tailor the agreement without needing excessive client input, saving valuable time and money.
LaVan Law’s business attorneys are experienced in guiding companies through each stage of the purchase process. Whether your company is a start-up or it is looking to grow and acquire the assets of another, take comfort in knowing LaVan Law is here to protect and grow your business.