Agreement Letter - Guides, Tips, and What To Include

How to write a solid agreement letter? Here are some guidelines.

AGREEMENT LETTER – These are some tips and guidelines you must remember in order to come up with a solid agreement letter including the format.

Business owners are surely familiar with agreement letters. This particular type of letter is important for records purposes in making agreements with other businesses and in between other parties involved. It could also be between employer to employee and employer to a customer, a client, or a vendor.

Bear in mind that eventhough oral agreement is binding, it is still important to have it in letter for legalities. It may also serve as guide or basis in terms of the limitation and extent of the deal.

Check out what you must always remember:

Keep the letter short, simple, and clear. What’s important is you have provided in the letter all the essential details about the deal.
Do the deal with the right person and not someone who still has to seek approval from the boss. As much as possible, do the business matter with the boss. Also, make sure that that person is showing interest.
For clarity and specification, indicate the correct legal names of the parties. Put the rights and obligations in detail.
Make sure you both agree on details that must be terminated and the solution to resolve the dispute. Write down the terms and conditions of the matter.
Keep it confidential.

See sample: Agreement Letter [Sample]

Here’s format you can definitely follow:

(Sender’s name)
(Sender’s Job Title)
(Sender’s Company Name)
(Sender’s Address)
(Sender’s Contact Details)

(Date)

(Recipient’s name)
(Recipient’s Job Title)
(Recipient’s Company Name)
(Recipient’s Address)

SALUTATION (example: To Whom It May Concern: or Dear Mr./Ms./Dr. [Last Name]:)

BODY OF LETTER
(single space in between sentences and double space in between paragraphs)
(you can use the block style format)

CLOSING SALUTATION (example Respectfully yours, Yours sincerely, Cordially, Respectfully, and for the less formal letter, you may use All the best, Best, Thank you, Regards)

SIGNATURE
(Under your closing, leave four single spaces between your typed full name, title, and other contact details you may want to include)