We construct an improved version of nonrelativistic QCD for use in lattice simulations of heavy quark physics, with the goal of reducing systematic errors from all sources to below 10%. We develop power counting rules to assess the importance of the various operators in the action and compute all leading order corrections required by relativity and finite lattice spacing. We discuss radiative corrections to tree level coupling constants, presenting a procedure that effectively resums the largest such corrections to all orders in perturbation theory. Finally, we comment on the size of nonperturbative contributions to the coupling constants.

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We show that meson structure strongly affects the magnitude of Coulombic final-state corrections to the decay rate for T'4* -+ Bt B-. Model calculations indicate that the corrections are much smaller than they would be for pointlike mesons.