Mergers and Acquisitions (M&A) are high-stake transactions where financial security and trust are non-negotiable. As a lawyer, your role is to safeguard your client’s interests whilst ensuring, to the extent possible, a smooth deal closure. But what happens when concerns about payment security, contingent liabilities, or deal conditions threaten to derail negotiations?

This is where Riverside Escrow can become your game-changing ally.

What is Escrow?

Escrow is the term used when a contractual arrangement (often called an escrow agreement) is put in place between two or more parties, in which an Escrow Provider will hold funds or property during a transaction, acting as an independent third party. The Escrow Provider will hold the funds or property until the pre-agreed conditions set out in the escrow agreement have been met. Once the conditions are met the Escrow Provider will release the funds/ property held to the recipient.

The Biggest Concern in M&A: Payment Security

One of the greatest pain points in M&A transactions is the exchange of funds. A buyer will hesitate to release or draw upon funds until due diligence and transaction documents are completed, while sellers fear non-payment after meeting agreed-upon conditions.

With Riverside Escrow, funds are held until all contractual obligations are satisfied—offering both parties peace of mind and financial protection.

In a typical M&A transaction, the buyer deposits the agreed-upon funds into the dedicated client account upon completion of the main transaction. These funds then are held independently by the escrow provider and are only released to the seller once the pre-agreed terms are met. These structured funds flow not only safeguards the transaction but also minimizes the risk of disputes or non-payment, reinforcing trust between parties.

How can Escrow Services help Navigate Complex Earn-Outs & Contingent Payments?

Many M&A deals include earn-outs, performance-based payments, and staged payments, adding layers of complexity and risk. What if a seller doesn’t meet performance targets? What if the buyer refuses to pay? Riverside Escrow can simplify this process by holding funds in a neutral account until all conditions are met—encouraging a fair, transparent, and conflict-free transaction.

How can Riverside Escrow Support your transactions?

Using escrow services isn’t just about payment visibility and certainty of fund availability; it’s about strategic efficiency. By integrating Riverside Escrow into your M&A deals, your firm can:

Minimize Risk – Prevent financial disputes and ensure compliance with agreed-upon terms.
Streamline Negotiations – Reduce roadblocks and keep both parties aligned.
Ensure Faster Closings – Avoid delays caused by payment concerns.
Enhance Client Trust – Position your firm as a proactive, risk-mitigating advisor.

As an FCA-regulated escrow provider, Riverside Escrow ensures that all funds are handled with precision, neutrality, and regulatory compliance. While you focus on the legal strategy, we assist in safeguarding the financial elements—helping you close deals with confidence.

Ready to elevate your M&A practice? Leverage escrow services and transform how you manage high-value transactions. Contact us today.