Pronunciation: [lˈɔ͡ɪ] (IPA) 
The spelling of the word "LOI" is quite simple, as it's pronounced exactly as it's spelled. The phonetic transcription of "loi" is [lɔɪ]. This means that the first sound is "l," followed by an "oi" diphthong sound that rhymes with "boy." In French, "loi" means "law," but in English, it is often used as an acronym for "letter of intent." So, whether you're using it in French or English, the spelling of "LOI" remains the same.
LOI (Letter of Intent) refers to a formal written document that outlines the key terms and conditions of a proposed agreement between two parties. It is typically utilized in the business world as an initial step towards negotiating and reaching a final agreement, serving as a preliminary understanding before the official contract is drafted.
The purpose of an LOI is to express the intention of the involved parties to enter into a future agreement and establish the groundwork for negotiations. It commonly includes important details such as the scope of the agreement, the parties involved, key milestones, financial considerations, and any other terms and conditions that need to be addressed. While an LOI is not considered a legally binding contract, it represents a sincere commitment from both parties to work towards a future agreement.
The content and level of detail included in an LOI can vary depending on the specific situation and agreement being pursued. In complex transactions or acquisitions, an LOI may serve as the foundation for due diligence and formal negotiations. However, it should be understood that an LOI is not a substitute for a final contract and certain aspects may still be subject to change during the negotiation process.
Overall, an LOI acts as a preliminary agreement or understanding between parties, providing a framework for negotiations and paving the way to creating a legally binding contract in the future.
