A document that sketches out the basic terms and intentions between two or more parties who plan to make a formal deal later.
Think of it as a roadmap for negotiations, often used in big business moves like mergers, partnerships, or real estate purchases.
A document that sketches out the basic terms and intentions between two or more parties who plan to make a formal deal later. Think of it as a roadmap for negotiations, often used in big business moves like mergers, partnerships, or real estate purchases.
Shows everyone’s serious about working toward a deal.
Lays out key points like price, timelines, and conditions before writing a full contract.
Helps spot issues early, keeps talks on track, and sets expectations.
Used for things like business collaborations, buying property, or supplier agreements.
Mostly, it’s just a plan, not a contract you’re locked into.
Some parts, like keeping secrets or not negotiating with others, can be binding if clearly stated.
It often includes a disclaimer to avoid legal mix-ups.