Welcome to Week 7! If you are an entrepreneur, then hopefully someday you will receive the OTHER term sheet that's one of the most important - the letter of intent (LOI). Usually the first step by a company that wants to acquire your company is to issue an LOI. Again, as term sheets go, there are some terms that matter a whole lot and others that don't. And again, it will be riddled with mysterious language that it would seem only the lawyers or experienced deal makers can decipher. Never fear, it can be a straightforward process.
- An LOI marks the point at which you go from discussions with multiple acquisition deals to a single acquisition deal
- Entrepreneurs should try to get to the place where signing an LOI means commitment to follow through on the dael