An escrow account is an instrument that facilitates financial security, when carrying out a transaction between a buyer and seller. The purpose of an escrow account is to ensure fulfillment of seller's and buyer's mutual engagements, acting as the guarantor for the fulfillment of the contractual obligations.
An escrow account is suitable for a wide range of agreements concerned with real estate and any other asset deals, including trade deals, sale-purchase of enterprises and the transfer of shares.
Clients assets are held in an escrow account of conditional deposition, i.e. an account where pledged funds are kept blocked until execution of the predetermined, definite contractual conditions.
Here at Escrow Group we predominantly provide the following types of escrow services:
The deed/title to an asset or assets is held in escrow until the terms of the contract have been fully satisfied.
- - Contract payments can, but are not required to, be deposited to the escrow agency. The escrow agent then releases the funds to the seller once they have provided accurate bookkeeping records relevant to the transaction.
- - If a default occurs, we then notify the applicable parties in order to resolve the matter as outlined in the escrow agreement.
- - Funds required to be held as retainage, between a contractor and an owner are held in a money market fund for safeguarding.
- - When the project has been satisfactorily completed, the owner then authorises the release of the retainage funds plus any accrued interest on the investment of the monies to the contractor.
Escrow Group also provides bespoke escrow solutions for the following:
- • Mergers & Acquisitions
- • Earn-out provisions
- • Golden handcuff provisions
- • Good faith deposit provisions
- • Holdback provisions
- • Indemnification provisions
- • Purchase price distributions
- • Purchase price adjustments
- • Domain name escrows
- • Environmental escrows
- • Litigation settlement escrows
- • Reinsurance trust escrows
- • Reorganization & liquidation escrows
- • Safekeeping of intellectual property
- • Private placement stock offerings