Acquisition Escrow Services
A company is to be acquired. The buyer agrees to certain calculated risks. But what about any possible liabilities revealed by the due diligence survey?
How can the buyer be protected against, for example, incomplete environmental permits? The departure of key managers? Serious financial underperformance and/or other threats? The buyer requires 100% coverage for these potential liabilities. The seller, however, needs to be assured of payment in the event that no liabilities are found.
The best solution? We set up an agreement to retain a certain amount of the purchase price in a dedicated blocked bank account: the escrow account. Buyer and seller reap the benefits of the escrow agreement, where the release conditions of funds are negotiated expertly. And given that both buyer and seller seek maximum security, Intertrust is a natural choice, with the experience, skills and capacity to act on short notice. Other escrow applications are: securing performance bonds, bid bonds, multi-party investments and fractional ownership structures.
