An APA spells out the conditions and terms under which a seller will transfer all of the assets that belong to the business to a buyer. If Buyer extends, Seller may want to: (1) have Buyer bear the risk of changes in circumstances (e.g.To be considered for Capital Funding please complete the funding form and submit a Letter of Intent addressed to Borough President Gibson. A sales agreement for buying a business is necessary for keeping both the parties on the same page and avoiding any legal trouble. Here is my due diligence checklist of the most common items to investigate when conducting due diligence in the buying or merging of a small business. Mutual NonDisclosure Agreement (NDA). Letter of Intent (LOI). An asset purchase agreement is a legal document used when buying or selling a small business. Read on to understand the basics. You must provide the correct Mortgage Recording Tax information and documents when you record your property documents.