Buyer Interest and Offers

Indication of Interest

A non-binding early offer that gives a rough price range and deal structure. Why it matters: An IOI helps separate serious buyers from casual ones before the seller shares deeper information or invests time in management meetings.

Related terms

Non-Binding

Not legally final. Many LOI terms are non-binding, meaning either side can still walk away. Why it matters: Non-binding language means the buyer can still change terms or walk away, especially if diligence, financing, or approvals do not go as expected.

Seller

The current business owner who wants to sell the business. Why it matters: The seller is not just handing over ownership; they are also proving the business, answering diligence requests, negotiating risk allocation, and often helping with transition.

IOI

Short for indication of interest. Why it matters: An IOI is usually early and non-binding, so owners should treat it as a signal of interest rather than a final deal.

More from Buyer Interest and Offers

Binding Terms Breakup Fee Confidentiality Agreement Exclusivity IOI Letter of Intent LOI NDA No-Shop Clause Non-Binding

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