Clients are often focused on the main aspects of a financing or acquisition transaction, and often leave the escrow requirements until the last stage of the deal, after all documentation and mechanics of the sale have been finalized. Unfortunately, this approach leaves little time to structure an escrow arrangement and draft a suitable agreement, despite the importance of ensuring that the requirements of the respective parties have been met. Not establishing a timely escrow arrangement can result in delays to the financing or acquisition due to extended negotiation of escrow documentation by the involved parties, completion of KYC compliance requirements and opening of the account to hold escrow proceeds.
1. In-House Form Documentation and Review Process
Relying on external counsel to draft an escrow agreement can be costly. A global agent that provides a form agreement and a thorough review of all documentation in-house, supporting any time zone, is a potential source of significant cost savings to complete the escrow arrangement as quickly as possible.
2. KYC Compliance in as Little as 24 Hours
One key to an efficient and timely negotiation and transaction closing is the AML – KYC process. To maximize that process, Kroll has developed and maintained a large database containing records of institutions and individuals on whom we have completed due diligence. Such a database enables the agent to complete the compliance process within 24 hours, streamline costs and tailor the process to meet the requirements of unique transactions.
3. Dedicated Team of Global Professionals
It is important to find an agent that recognizes that the most efficient escrow arrangement combines the speed of automation with the assuredness of a dedicated professional to help navigate the process.
A global team of experienced professionals ensures capabilities in providing escrow services across any border, in any jurisdiction and to any client.
4. Bank Accounts
Utilize escrow agents who have the ability to provide bank accounts within 24 hours. This avoids delays and allows for the immediate deposit of escrow proceeds once documentation and KYC have been completed.
5. Efficient Global Escrow Agent and Paying Agent Support
Mergers and acquisitions are fast and furious, and efficient escrow agent services are critical in getting to the finish line.
Kroll Agency and Trustee Services provides conflict-free, flexible and highly efficient agency services to the global corporate and M&A markets. As a leading independent service provider, we specialize in the administration of syndicated, bilateral, private credit and restructuring loan transactions.
In addition to these administrative roles, Kroll also serves as an Escrow and Paying Agent supporting M&A or corporate finance activity. Our exceptional service includes provision of a user-friendly form agreement, KYC turnaround in as little as 24 hours across global time zones, on-hand deposit accounts ensuring speed of execution and streamlined costs and a process easily tailored to meet the requirements of unique transactions.
