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  4. Rocky Mountain High Brands, Inc. (RMHB) Message Board

Usually you use a LOI when you are either lukewarm

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Post# of 75385
Posted On: 09/12/2016 5:33:21 PM
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Posted By: Global Guy
Re: Thczinvestor18 #25228
Usually you use a LOI when you are either lukewarm on a project (I'm not saying that here) or you are interested but it's a bigger deal and you don't want to put in a purchase offer (PO) and tie up a large EMD when there are unknowns on the deal that you will rely on your contingencies to get you out of if needed.

That's how I use them and it's pretty common. They are a baby step towards a potential deal but not the real deal itself. You're interested, but you need to know more about the project before you decide if you want to submit a PO or not.

Even the offer amount can change. Li can terminate the option based on DD and then submit a PO with all new terms.

No one is saying this is a bad situation. But it is not a sale. That's not being negative, that's just the real legal status.

So it's a bit premature to be ordering your Lambos and mansions. They haven't announced the lottery numbers yet.



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