Sample Offer Letter to Ask Someone to Buy their Business

When showing interest in purchasing a business, it is crucial to approach the owner with courtesy and professionalism. Begin by expressing your admiration for the business and its potential, and then inquire about their openness to the idea of selling.

It is also essential to be honest about your intentions and convey your commitment and capability to make a fair and reasonable offer. Furthermore, be ready to discuss the possible terms of the sale and any pertinent details that may concern the owner.

By adopting a respectful and transparent approach, you will establish a solid basis for a productive discussion regarding the potential sale of the business.

TEMPLATE

(Date)

(Business Name)

Attn: (Proprietor Name)

(Address)

(City, Zip Code)

Hello Mr. (Firstname),

I am (Name), the CEO of (Organization Name), a company specializing in __________. It is a pleasure to have the opportunity to introduce myself!

At (Organization Name), we are constantly seeking partnerships or acquisitions possibilities with businesses like yours that demonstrate immense potential, have room for improvement, or aim to solve specific challenges.

Over the past six months, your business, (Business' Name), has captured our attention. We have observed a growth trend and identified significant opportunities for future development and enhancement.

Therefore, our organization would like to initiate a discussion regarding the potential acquisition of your business, either partially or in its entirety. Enclosed with this letter, you will find a proposal sheet outlining our offer.

Please consider this written proposal as a formal letter of intent and offer. If you accept our proposal, we will proceed with detailed discussions regarding the acquisition process and schedule further meetings.

We eagerly await your response and look forward to the possibility of working together!

Thank you,

Sincerely,

(Person's Name)

CEO, (Organization Name)

Encl: Offer letter.

____________________________

Letter of Intent (Offer Letter)

This business purchase letter of intent outlines the fundamental terms that have been mutually agreed upon by the Buyer and Seller:

1. The Buyer: (Name of the Organization), headquartered at (Address).

2. The Seller: (Name of the Proprietor of the Business), at (Address).

3. The Business: “(Name of the Business)” at (Address).

4. Purchase Consideration: The Buyer will pay a total consideration of (Amount in Figures) (Amount in Words) to the Seller including the acquisition of all assets and liabilities.

5. Payment terms: The Buyer shall pay 20% of the agreed purchase consideration at the time of execution of a formal Business Sale Agreement, and the remaining 80% at the time of Closing.

6. Financing: The Buyer has indicated that this Letter of Intent is not contingent upon their capacity to secure financing.

7. Closing: The act of closing refers to the finalization of the transaction, in which the Seller exchanges the Business with the Buyer for the purchase consideration. Time is the essence in this. Both parties are accountable for the costs related to the Closing, with each bearing their own expenses.

8. Binding effect: This Letter of Intent is not intended to create a legally binding agreement. The terms stated herein are intended for the sole purpose of facilitating a potential agreement between the Buyer and the Seller at a later date, without any obligation for either party.

9. Termination: In the event that a formal agreement is not signed by (Date), this Letter of Intent will be terminated.

10. Acceptance: If the Seller agrees to the terms stated hereinabove, then he is to sign the Letter of Intent and send back the duplicate copy to the Buyer by (Date).

(Signature)

Buyer: (Name)

Dated: ______

(Signature)

Seller: (Name)

Dated: ______