Most sellers of a business will require any parties interested in buying the business to enter into a confidentiality agreement (or non-disclosure agreement as it is also known).
This is because a seller will often have to divulge a large amount of confidential information about the target business in order for a buyer to understand fully what it is purchasing.
Therefore, the seller will be looking for contractual reassurance that such information will be remain confidential and not be used by a potential seller for any reason other than pursuant to the proposed acquisition.
As a buyer, you may also want to keep the fact that you are looking to acquire the business in question confidential, as well as the details of any agreed terms, such as the purchase price.
Click here for further guidance on confidentiality agreements.