Escrow company for closing a deal

by a searcher from Carnegie Mellon University - Tepper School of Business

2 years ago

Is it common to use an escrow company in closing a deal? What are the common scenarios when you should use or not use an escrow company? 

For those who selected an escrow company in closing, what are the important criteria in selecting the right one?

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3 comments

searcher from University of Pennsylvania - The Wharton School

there are many reasons for using escrow services apart from the points raised above which are primarily focused on the closing process. We also use escrow to handle contingent payments such as those tied to conditions subsequent, earn-outs or triggered payments (e.g. customer consents, tax authority clearance).

2 years ago | like reply | 0 likes

searcher from INSEAD

I don't see any reason not to use an escrow account

2 years ago | like reply | 0 likes

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