Cannabis Business and Hemp
Step 1 – Open an Escrow Account
In order to open an escrow account, you will need to provide the following documents:
– Escrow agreement signed by all parties (Download Escrow Agreement)
– Operating agreement for each entity (buyer and seller)
– An LLC resolution signed by all company owners telling us who is authorized to release the funds (Download Sample LLC Resolution)
– Copy of driver’s license or passport for each party authorized to sign
– W-9 for the company that is receiving the funds
Step 2 – Fund Escrow
Once we have your documents, you will be assigned a transaction number. You can now fund your escrow account via ACH, check, cashier’s check, or Wire.
Remember to ALWAYS call to confirm wire instructions prior to sending any funds!!
Step 3 – Complete The Transaction
If you are working with a title company, such as Token Title Group, they will have various documents for you to sign at closing. The title company will provide a copy of the closing package, along with a disbursement ledger outlining where the funds should go. If your purchase doesn’t include real estate, they will coordinate with your attorney or broker to obtain the final documents. Once all parties are in agreement that the terms of the contract have been fulfilled and have authorized to release funds, they will disburse.
Real estate / business sales:
$1500 per closing (this does not include title insurance related costs, however we can coordinate this for you with cannabis friendly Token Title Group)
$1500 per million transacted, up to 4 parties involved
Custom escrow transactions:
If you have a different type of transaction, a lot of parties involved, or a transaction over $2 million, Token Title Group can customize an arrangement for you