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The Non-Binding Letter of Intent to Purchase Business is a crucial preliminary document in the Indian business acquisition process, typically used after initial discussions but before detailed due diligence and definitive agreements. It serves to memorialize the parties' preliminary understanding while explicitly maintaining its non-binding nature, except for specific provisions like confidentiality or exclusivity. Under Indian law, this document helps structure negotiations and sets expectations without creating legally binding obligations for the main transaction. It's particularly useful in complex business purchases where parties need to outline key terms, proposed valuation, and transaction structure before committing significant resources to due diligence and detailed negotiations. The document typically precedes more formal agreements and helps secure preliminary commitment from stakeholders while maintaining flexibility for both parties.

1. Letter Header and Date: Formal business letter header including sender's details, recipient's details, and date

2. Subject Line: Clear indication that this is a Non-Binding Letter of Intent for Business Purchase

3. Introduction of Parties: Identification of the potential purchaser and the target business/seller

4. Expression of Interest: Clear statement of interest in purchasing the business and the non-binding nature of the letter

5. Transaction Overview: Brief description of the proposed transaction structure and assets/business to be purchased

6. Proposed Purchase Price: Indication of the proposed purchase price or price range and payment terms

7. Due Diligence: Overview of the proposed due diligence process and timeline

8. Timeline: Proposed timeline for negotiation, due diligence, and closing

9. Confidentiality: Statement regarding the confidential nature of discussions and any existing NDAs

10. Non-Binding Nature: Clear statement that the LOI is non-binding except for specific provisions (like confidentiality)

11. Next Steps: Proposed immediate actions and path forward

12. Closing and Signatures: Formal closing of the letter and signature blocks