A Letter of Intent Sales is commonly used in Singapore business transactions as a preliminary step before entering into a definitive sales agreement. It is particularly valuable in complex transactions where parties need to outline key terms and conditions before committing to detailed due diligence or final negotiations. The document typically includes proposed purchase price, payment terms, timeline, and any conditions precedent, while operating within Singapore's robust legal framework for commercial transactions. It serves to demonstrate serious intent while maintaining flexibility in negotiations.
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1. Intent Declaration: Clear statement of intention to enter into a sales agreement, including identification of parties and date
2. Subject Matter: Description of goods/products to be sold including key specifications and quantities
3. Key Commercial Terms: Proposed price, payment terms, delivery terms, and other primary commercial conditions
4. Timeline: Expected timeframe for negotiation, due diligence, and execution of definitive agreement
5. Non-Binding Statement: Clear statement that LOI is non-binding except for specific clauses
1. Due Diligence Process: Details of the due diligence process, timing, and access requirements - include for complex transactions
2. Exclusivity: Terms of exclusive negotiation period and restrictions on dealing with other parties
3. Confidentiality: Terms for handling confidential information and trade secrets - include if sensitive information will be shared
4. Deposit Terms: Terms regarding any advance payment or security deposit - include if upfront payment is required
5. Conditions Precedent: Any conditions that must be met before proceeding with the transaction - include for regulated industries or complex deals
1. Term Sheet: Detailed summary of key commercial terms and conditions
2. Product Specifications: Technical specifications and details of the goods/products to be sold
3. Timeline Schedule: Detailed timeline showing key milestones and deadlines for the transaction
4. Due Diligence Checklist: List of required documents and information for review process
5. Pricing Schedule: Detailed breakdown of pricing, including any variable components or volume discounts
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