An engagement letter is a written agreement that describes the business relationship to be entered into by a client and a company. The letter details the scope of the agreement, its terms, and costs. The purpose of an engagement letter is to set expectations on both sides of the agreement.
An engagement letter is a contract between your company and your client. It outlines the terms and conditions agreed upon at the start of a business relationship, including the scope of work, fees, and legal stipulations such as limitation of liability and record retention.
Engagement refers to a promise or agreement between two parties. It can be a contract where both parties make promises to each other. It can also refer to the period after a couple agrees to get married but before they actually do. This is also called betrothal or betrothment.
Meaning of letter of engagement in English a formal document describing the conditions under which someone is employed to do work for a company: The fees will be as set out in the letter of engagement. (Definition of letter of engagement from the Cambridge Business English Dictionary © Cambridge University Press)
Engagement letters set the terms of the agreement between two parties and include details such as the scope, fees, and responsibilities, among others. Some of the benefits of engagement letters are that they are legally binding documents, they reduce misunderstandings, and they set clear expectations.