Document background
The Letter of Intent to Purchase is a crucial preliminary document in Hong Kong's commercial landscape, used when a potential buyer wishes to formally express their serious interest in acquiring assets, property, or a business. This document serves multiple purposes: it demonstrates commitment to the transaction, outlines key terms and conditions, and provides a framework for further negotiations. While generally non-binding under Hong Kong law (except for specific provisions like confidentiality or exclusivity), it helps parties align their expectations and forms the basis for due diligence and the subsequent definitive agreement. The document is particularly valuable in Hong Kong's fast-paced business environment, where clear communication of intentions and preliminary terms is essential for complex transactions.
