Escrow arrangement for iMinds participants
Escrow services assure that in unforeseen circumstances, such as bankruptcy or termination of an business, the customer can be assured of continued use of innovative and critical company software.
Before a release event the start-up does not have to expose its secrets and intellectual property to its customers. The presence of an escrow agent therefore represents an incentive for a (potential) customer in investing in the new technology and working with a new and young supplier.
Young companies and starting enterprises benefit from escrow arrangements. The presence of an escrow agent represents an incentive for a customer in investing in the new technology and working with a new and young supplier. On the other end, the supplier that developed the software can provide its services without exposing its secrets and intellectual property.
A software escrow agreement helps the parties to plan the evolution of the software over the time by establishing responsibilities, even if the supplier goes out of business.
The choice of optional services, such as verifications provided by Escrow Alliance, helps the customer to make sure that upgrades and maintenance can be done even when the supplier is no longer available to do so.
It also gives the customer the ability to maintain an application in-house indefinitely or gives the customer the ability of taking its time until a replacement technology can be identified and implemented with an alternative supplier.
Implementing a software escrow allows the supplier to protect the intellectual property of the software, even in case of termination of the company. It also improves the reputation of the company, as the organization appears to the licensees to be a reliable business partner. Usually an escrow contract is easy to establish and is cost effective for both licensor and licensee.
Another element to consider is that software protected by an escrow agreement has a greater value on the market, because supplier offer continuity of the application. By establishing an escrow procedure, it is possible to prevent the loss of functionality, a circumstance particularly dangerous for critical applications or for software that are difficult to replace.
In the real world offering software escrow services helps suppliers to answer the awkward question: ‘You are a new company. What will happen if you are no longer around?’.
Our offer to iMinds connected companies consist of a full service escrow offer. In addition, we offer support services such as presentations and training, presentation material and we may join meetings between supplier and their prospect when this helps these companies to close a deal.
In addition, our offer consists of a discounted rate and favourable payment conditions.