Benefits for the Purchaser
A Purchaser wishing to secure a vessel for purchase will generally issue a letter of intent and be prepared to deposit a sum (usually 10%) in escrow pending completion or abandonment of the transaction. Once a binding contract has been entered into, that escrow is then held against completion of the purchase.
The Seller can satisfy themselves of the Buyer's good faith and intention to complete the transaction by requesting a deposit to be held in escrow at a letter of intent stage. This deposit is then converted into the deposit under the memorandum of agreement (MOA) or other contractual documentation.
We are able to open marine escrow accounts for vessels registered in flag states that are not on the FATF grey list or black lists. We can hold funds in USD, EUR and GBP.
Fees are quoted on an account-by-account basis in order to ensure that we can deliver you the best value. You can find out more about our fees and pricing on our
pricing page.
We are required to carry out compliance on all parties to the arrangements, including understanding their source of funds and source of wealth.
Our accounts do not pay interest. We hold your funds safeguarded and segregated, and they are protected 100% (including above the £85,000 FSCS limit), because they are held on trust for you and are kept liquid an unencumbered at the Bank of England. Unlike other escrow providers whose banks lend out deposited sums, your funds will simply sit there safely.
We carry significant overheads to maintain our regulatory status, carry out all of our initial and ongoing compliance and to rent the facility to open accounts for your funds at the bank. While we do receive a small amount of interest on your deposits, we use this interest to subsidise and support the costs of providing the service. Regrettably, we are not able to pass on any interest on your deposit.
Some of our clients choose to make a simultaneous deposit in our zero-risk, high-interest Cash Deposit Manager accounts in order to defray the costs of the account - we can help you to calculate the required deposit to either get your escrow arrangements for free, or to even earn money during their term.
Discover our zero-risk, high-interest Cash Deposit Manager AccountsBenefits for the Project Manager / Client Team
Benefits for the Supply Chain
Benefits for the Procurement Agent
