SOP 43: Escrow.com vs. Direct Wire vs. Payment Processor

SOP 43: Escrow.com vs. Direct Wire vs. Payment Processor

Three ways to move money. The threshold sets the tool.

— Under $3k: payment processor (PayPal Goods/Stripe) is acceptable. Fees are low, dispute window exists, asset value is below escrow-fee efficiency.
— $3k to $250k: licensed escrow (Escrow.com). It holds funds, verifies asset transfer, releases only on your inspection sign-off. Fee ~0.89% — cheap insurance against a non-transferring seller.
— Above $250k or with entity/contracts attached: an M&A attorney's escrow account, not a self-serve platform. You need legal holdback for earn-outs and indemnities.
— Never use: friends-and-family transfers, crypto for a first deal with an unknown seller, or processor 'gift' to dodge fees — you forfeit all dispute protection.

Pass criterion: funds held by a neutral third party until you confirm domain, hosting, and account access transferred.

Save this — run it every deal.