Engagement Letter

Engagement letters are often used by auditors, accountants and lawyers who want to enter into a written agreement with a client.

What is an engagement letter?

An engagement letter is a document that one party sends to another which details what an agreement may look like for both parties. It will often be between a client and a company and will outline what the future business relationship between the parties will consist of. In that way, an engagement letter will outline what the terms of the proposed business arrangement will be as well as any fees and how those fees are structured. 

An engagement letter can be a contract and a legally binding agreement between two parties - if all elements of a legally binding agreement are adhered to. 

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