Search Fund Reps & Warranties (R&W) Solver

Underwrite utilizing institutional R&W insurance policies to replace traditional 10% purchase price seller escrow holdbacks with a minimal 0.5% retention, making acquisition bids far more competitive.

Enterprise Value & Escrow Terms

Target Acquisition Enterprise Value ($ USD)

Traditional Seller Escrow Holdback Required (% - e.g. 10%)

R&W Insurance Premium (% of Policy Limit - e.g. 3.25%)

Escrow Released & Deal Advantage

Traditional 10% Cash Escrow Held Back at Closing

$850,000 Tied Up in Escrow

Cash Released to Seller at Closing via R&W

+$807,500 Cash Unlocked for Seller

Total R&W Policy Premium Cost (10% Policy Limit)

$27,625 Total Premium Fee