Heads of terms: asset purchases

by Practical Law Corporate

Maintained | United Kingdom

Heads of terms (also known as a letter of intent, heads of agreement, term sheet or memorandum of understanding) for the sale and purchase of the business and assets of a private limited company, which are intended to be non-binding, except for specifically identified provisions relating to exclusivity of negotiations, transaction costs and governing law.

Get access to this document with Practical Law

Why Practical Law?

Gain a built-in attorney network

Practical Law’s resources are written and maintained by over 650 dedicated, full-time attorney-editors globally. They’re highly qualified, having practiced at the world’s leading law firms, corporate law departments, and government agencies, so they understand the challenges you face. They dedicate themselves to creating resources to help you navigate the new legal realities, legislative changes, and practice areas impacting your clients or organisation.

See how to leverage the expertise of Practical Law’s attorney-editors to help you practice more efficiently.

Expert guidance

650+ full-time, experienced attorney-editors keep you up to date globally

Total resources

118,000+ total resources across 17 practice areas ensure comprehensive coverage

Timely updates 

150,000+ hours spent in 2025 maintaining and updating resources

Experience Practical Law