Don’t leave it chance: Why using escrow services is important in Thailand.

Whether you are buying a business in Thailand for the first time or you are expanding your portfolio, trust between both parties can be a major obstacle. Even before an exchange of money occurs and the purchase is finalized you have to rely on the trustworthiness of the seller. Are they providing accurate information on the past expenses and revenues? Are there an outstanding and noteworthy maintenance issues that have to be addressed? Some of those can be mitigated by bringing in trusted third parties to review point-of-sale reports or contractors to inspect the building, but how do you ensure that when the money is transferred that the seller doesn’t skip town and vanish with your payment?

This is where choosing a trusted partner like Siam Business Brokers can help alleviate the risk of losing unsecured funds. As an escrow agent, we hold all funds until the transaction is completed to the satisfaction of both the buyer and seller. Typically, this occurs when the new lease is furnished by the landlord and signed by the buyer. Issues can arise after the initial deposit and due diligence is conducted. If you have already sent money directly to the seller, this can put you a tough position to negotiate or exit the deal entirely if required.

An escrow service is not just beneficial for the buyer – the seller is also protected in the instance a contracted buyer gets cold feet. For whatever reason, a buyer may not want to go through with the purchase of the business, however they may still be required by the contract to forfeit the initial deposit. Our escrow service holds these funds and if a buyer chooses to exit the transaction, we deliver them to the seller in accordance with the purchase contract.

Buying or selling a business in Thailand can be difficult, especially for first time buyers, and that’s why Siam Business Brokers is here to assist both buyers and sellers in putting together quick, easy, and trusted transactions. We would love to partner with you on your next deal. Contact us today for details.

Compare listings