Form 16-1: Letter of Intent to Enter into Stock Purchase Agreement
$25.00Price
Form 16-1: Letter of Intent to Enter into Stock Purchase Agreement for 100% of Stock of Privately Held Operating Business
Cash Base Price at Closing Plus Incentive Price Payable in Installments Based upon Earnout Formula
(9 pages)
Form addresses:
- Scheduled closing date.
- Purchase price (Base Price of cash and installments).
- Incentive Price (installments contingent upon the target company's revenues).
- Uncollectible accounts receivable credited against Base Price.
- Security: pledge of company's stock.
- Indemnity.
- Representations and warranties (extensive).
- Stock purchase agreement.
- Contingencies.
- Due diligence.
- Compliance with securities laws.
- Covenants not to compete.
- Company's covenants.
- Liquidated damages.
- Broker fees.