Castler closes Pre-Series A funding of $6 Million led by Flipkart, Capital 2B, IIFL Fintech Fund, Venture Catalysts & Zerodha

How can a business negotiate favorable terms with an escrow agent?

When a business decides to use an escrow agent, it is important to negotiate favorable terms to ensure that the transaction is secure and fair for all parties involved. The Castler Digital Identifier system provides a platform for businesses to negotiate these terms with their chosen escrow agent.

To negotiate favorable terms, businesses should first research and compare different escrow agents to find one that meets their specific needs. Once an agent is selected, the business should communicate their expectations and requirements clearly. This includes the amount of the transaction, the timeline for completion, and any specific conditions or contingencies that must be met.

The business should also negotiate the fees and charges associated with the escrow service. This may include a flat fee or a percentage of the transaction amount. It is important to understand the fee structure and ensure that it is reasonable and competitive.

Finally, the business should review and understand the terms and conditions of the escrow agreement before signing. This includes the responsibilities of each party, the conditions for release of funds, and any dispute resolution procedures. By negotiating favorable terms with an escrow agent, businesses can ensure a smooth and secure transaction process.