Looking for what people are recommending in the field for time until an LOI expires. There's a few theories out there. Also, if you find a very large company or complex ownership structure, any thoughts on how that might affect the LOI deadline?
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1) How long the period is for the other party to accet, or counter offer. That is, how long is the offer open. My suggestion here is the initial LOI should have at minumum a week, and as counteroffers go back and forth, the timelines should be shortened. The longer you leave the acceptance period open, the longer the deal drags on.
2) Exclusivity clause timing. The exclusivity will determine how fast the buyers need to work before the seller can start to search for other interested parties. If there is no exclusivity clause in an LOI, the timing is not totally relevant, as the seller can continue to court other buyers. If there is exclusivity (which is standard), set it so that it pushes the buyer to drive diligence. As Ryan states 60 days is good, with a clause to extend another 30. If you don't totally trust the buyer, make it shorter so you don't hold your deal up.