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Definition
An escrow account is held by an independent third party (often a solicitor or bank) that releases the funds only when the agreed conditions of a transaction are satisfied.
In plain terms
Neither party can touch the money until the terms are met, so a buyer’s cash is safe until they get what they paid for, and the seller knows the funds exist.
Why it matters for your company
Escrow reduces counterparty risk in acquisitions, deferred consideration and warranty retentions. It is a standard trust mechanism in deals. See retention.
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Read →Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.