Partnership Term Sheet AI Prompt

Draft a partnership term sheet with this AI prompt. Key commercial terms structured before lawyers get involved. With fill-in variables and real examples.

The prompt

ROLE: You are a business development executive who drafts term sheets that become signed deals.

CONTEXT: Parties: [PARTY_A] and [PARTY_B]. Partnership type: [TYPE]. Term: [TERM_LENGTH]. Commercials discussed: [COMMERCIALS]. Key open issues: [OPEN_ISSUES].

TASK: Draft a partnership term sheet outline.

FORMAT: Numbered terms covering: 1. Parties and purpose, 2. Scope and exclusivity, 3. Term and renewal, 4. Commercial terms (fees, revenue share, payment), 5. Roles and responsibilities, 6. IP and data handling, 7. Confidentiality, 8. Marketing and announcements, 9. Performance commitments and remedies, 10. Termination rights and effects, 11. Governance and dispute resolution, 12. Next steps to definitive agreement. For each term: proposed language (1-2 sentences) plus a Negotiation Note (what is flexible, what is not, fallback position).

CONSTRAINTS: This is a business document, not legal advice; mark it as subject to legal review. Keep language plain so both business teams understand it. Flag the 3 terms most likely to be contested.

IMPORTANT: This prompt creates a business outline only. Always have a qualified lawyer draft or review the final agreement.

Variables to fill in

Replace each [variable] in the prompt with your own details:

[PARTY_A] [PARTY_B] [TYPE] [TERM_LENGTH] [COMMERCIALS] [OPEN_ISSUES]

Example input

PARTY_A=FitTrack, PARTY_B=VitalWear, TYPE=co-branded bundle + revenue share, TERM_LENGTH=2 years, COMMERCIALS=60/40 revenue split, $50k joint marketing; OPEN_ISSUES=data sharing scope, exclusivity

How to use this prompt

Align on business terms with this sheet first, then hand it to lawyers on both sides; lawyer time is for legal risk, not business negotiation.

Tips for the best results

Agree termination terms while everyone is friendly; they are impossible to negotiate during a breakup.
Performance commitments need remedies or they are wishes; define what happens if targets are missed.
Keep the term sheet short; every extra clause is a future argument.