6 Letter Of Intent To Hire Templates & Samples

There are several factors that the hiring manager must consider while recruiting a new employee. After advertising the position, the candidates are shortlisted and interviewed. An offer letter is then prepared for the candidate who is selected for the job. However, before this, the hiring manager needs to notify the candidate of their intention to hire them. A letter of intent (LOI) expresses the intention to hire a candidate. The candidate can choose to accept the offer or discuss the terms further. 

If you have identified the best candidate for a vacant position, this article will guide you in writing a letter to express your intent to hire them. Furthermore, the article will also discuss its significance. Customizable and downloadable templates of the LOI are also provided in this article to help you prepare a professional and thorough document.

What is a Letter of Intent to Hire?

A formal letter expressing an organization’s intent to hire a person for a position is known as a letter of intent to hire.

It is usually sent after an interview. The letter typically includes information about the job, such as the title, the duties and responsibilities of the role, and the start date, among others. It may also detail the compensation and benefits package offered to the candidate. However, it must be noted here that the letter only indicates the employer’s interest in hiring the candidate and is not a legally enforceable document. The candidate can accept or reject the terms and conditions or negotiate a counteroffer with the hiring manager.

A letter to show interest in hiring a candidate is not an offer or appointment letter. An offer letter is sent by a hiring manager to the candidate to offer them a position at the organization. It is legally binding; once it is signed, the candidate is considered an employee of the organization. Such letters are typically sent either after an interview process or as a result of an application. An appointment letter is the final step in the hiring process to officially hire a candidate after they have accepted the job offer. An appointment letter outlines the terms of employment and is a formal record of employment and the acceptance of the position by the candidate.

Given below are the letter of intent to hire templates for you:

Why You Should Write a Letter of Intent Before Hiring a Candidate

Before making a formal offer, you should send the candidate a letter to notify them that the organization intends to hire them. By doing so, you can gauge the candidate’s interest in the position and determine if they are willing to negotiate the terms further.

This correspondence allows both you and the candidate to discuss the terms of the position, such as compensation, benefits, and the start date, before you make a formal offer.

From a legal standpoint, a letter of intent can protect your organization by clarifying the terms and conditions of the employment before a formal contract is signed. The letter outlines the expectations of the role and provides an overview of the duties and responsibilities of the position. It ensures that the candidate understands what will be expected of them in the position and gives them an opportunity to negotiate any changes. 

Since an LOI to hire is a formal letter, you should observe formal formatting guidelines. You should explicitly state that this is merely an intent to engage, not an offer or appointment.  The following are the components to include to help you draft a professional letter of intent to hire:

Your name and company information

Include your name, designation, organization name, contact information, and address, followed by the date. The candidate has to be sure of the sender. This information is especially critical because the candidate needs to respond to the letter. If you are printing the letter on your company’s letterhead, present this information at the top of the page. 

For example:

Maxie Cyan
Hiring Manager
Sapphire Manufacturing
1524 W 1725^th St.
Woods Cross, Utah (UT), 84087
(801) 250-1339
[email protected]
May 5, 2023

Candidate’s information and date

Begin the letter by writing the candidate’s name, address, and contact information, as illustrated in the example below:

Nitya Balwinder
111 S Lansing St.
Mount Pleasant, Michigan (MI), 48858
(630) 563-3728
[email protected]

To avoid any ambiguity and to give your letter a polished appearance, it is important to mention the candidate’s details accurately and clearly 

Salutation

Include a courteous and respectful salutation. Salutations such as “Dear Sir” or “Dear”  are appropriate. You may also use Mr., Ms., or Mrs., followed by the candidate’s full name.

Opening statement

In the first paragraph, state your intention to hire the candidate. Express your appreciation for the candidate’s aptitude, which makes them a good fit for your organization.

You may present the first paragraph in the following manner:

I am writing to express my intention to offer you a position at [Company Name] as [Job Title]. I was impressed by your experience and qualifications, and I think you would be an excellent addition to our team.

Time commitment

Specify whether the position is full-time, part-time, or temporary with the possibility of promotion.

For example:

The position is full-time and will require a commitment of [number of hours]  per week. You will be expected to work from Monday to Friday, from [start] to [finish] time, with a [number of hours]-long lunch break.

Compensations and benefits

Specify the candidate’s salary, including overtime or other additional compensation. Include any perks they are entitled to, such as vacation or sick leave.

For example:

Your rate of pay as a [position] will be [rate of pay] per [Hour/Week/Month]. Salary is inclusive of overtime or other additional compensation that may be applicable.

Start date and responsibilities

Inform the candidate of the exact date their employment will begin if they accept the offer. Outline the candidate’s primary role and responsibilities. To avoid any disputes, their exact responsibilities should be explicitly stated in the letter. 

You may present this as shown below:

[Company Name] intends to have you commence employment by [Start Date]. Your primary roles as a [position] will include [responsibilities]. In addition to these specific tasks, your supervisor may request that you be responsible for [general responsibilities] from time to time.

Leave and vacations

Specify the number of days that the employee would be entitled to take off from work and specify whether such leaves will be compensated.

This may be presented as shown below:

In addition to your compensation, you will also be entitled to a comprehensive vacation package, which includes [number of days] of paid vacation per year. You will also be eligible for [number of days] of paid sick leave and company holidays.

Probation period

If applicable, specify the period during which you will evaluate the candidate’s performance to ascertain whether they are suitable for a permanent role.

This information may be presented as follows:

The position has a probationary period of [Probation Period]. During this time, you will be expected to demonstrate your ability to meet the expectations of the role and contribute to the team’s success. 

Termination rules

Mention the conditions that necessitate the termination of employment, as well as the appropriate notice period. These rules enable the candidate to recognize the scenarios that necessitate their termination and how you shall administer these rules. 

For example:

[Company Name] may terminate employment for cause, such as theft, fraud, or violation of company policies, with [Notice Period] written notice.

Non-compete clause

Include a provision that forbids your employee from competing with your company once their relationship with it has ended for a certain number of years. That is, they will not start, join, or buy a business that is similar to and in competition with your organization.

For example:

Upon resignation or termination, the employee shall not, indirectly or directly, engage in any business that competes with the business of [Company Name].

Binding effect

Include legally enforceable provisions, such as a confidentiality agreement or a non-solicitation clause. These clauses protect your organization’s interests and can be enforced in a court of law if the candidate breaches them. 

Signatures

Include your name, signature, and date, as well as those of the candidate, in the format presented below:

Employee                                                                Hiring Manager
Name   : _____________                                   Name   : _____________
Sign : _____________                                        Sign : _____________
Date : _____________                                       Date : _____________

Signatures indicate that both parties have read, acknowledged, and consented to the terms and conditions in the letter.  

• Letters of intent to hire are valuable documents that allow hiring managers to communicate their intention to offer a job to a candidate and prompt negotiations regarding the terms and conditions of the employment.
• It is a preliminary communication that is not a legally binding agreement but may contain specific binding provisions, such as confidentiality or a non-compete clause.
• The letter should highlight your intention to hire the candidate, position, start date and salary, benefits, and terms and conditions of employment.
• A template of the letter of intent to hire outlines the terms of employment being offered to the candidate. Using a customizable and downloadable template streamlines the hiring process, allowing you to easily edit the letter for each candidate rather than writing a new one each time.
• By adhering to the recommendations discussed in this article, you will draft a letter that is professional and exhaustive.