What is SaaS Escrow?​

Ensuring Continuity for Cloud Hosted Software

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What is SaaS Escrow?

SaaS Escrow provides secure access to a third-party cloud application crucial for maintaining a company’s business continuity. It helps prevent both short-term and long-term disruptions to the end-user’s business operations, thereby preventing financial losses, irrespective of the software vendor’s operational status.

SaaS Escrow involves a three-party agreement between the SaaS vendor, the end user, and a trusted third-party, where essential deposit materials are securely deposited and verified for completeness and usability.

In a trigger event such as bankruptcy, the software escrow vendor would release the deposit materials to the beneficiary.  Our SaaS Continuity solutions would provide the beneficiary with continuity either with access to the production environment or a deployed escrow environment managed by Escrow London for almost seamless continuity.

SaaS Escrow is similar to a source code escrow agreement but provides continuity for cloud hosted software usually hosted within AWS, Microsoft Azure or Google Cloud. The SaaS Escrow solution may include:

  • Verified SaaS Escrow – Everything you will need to recover the SaaS environment -Verified on an annual basis.
  • Software Escrow for SaaS including a deposit of all the components required to deploy the software to a cloud environment including source code, deployment scripts and databases.
  • SaaS Access Continuity – The access credentials to the cloud production environment deposited and verified for continuity.
  • Enterprise SaaS Continuity Escrow – this SaaS Escrow solution provides a redundant operating environment of the SaaS software that can be quickly spun up in the event of a release situation.

The SaaS Escrow agreement outlines the responsibilities of all the parties and includes pre-defined release conditions.

Escrow London’s SaaS Continuity Escrow solutions can be hosted in the following regions:

  • USA
  • Canada
  • United Kingdom
  • Republic of Ireland (EU)
  • Australia
  • Other regions available upon request

Examples of typical software escrow release conditions?

The release event conditions usually included within a software escrow agreement (these may be amended):

  • Bankruptcy;
  • Insolvency;
  • Discontinuing support or service of the critical software application;
  • Failure to support the product that is licensed to the Beneficiary and then failing to cure such a material breach within ten days of notice;
  • The sale of intellectual property rights to a third party who does not continue providing the same level of protection provided for the beneficiary in the escrow agreement.

Following a release event,  the beneficiary may request for The Escrow Company to release the deposit materials including the source code. The depositor has the opportunity to dispute such a release event and if necessary, the decision may be moved to arbitration.

What Type of Agreement Do You Need ?

The Escrow Company offers a range of free template agreements which provide a great starting position to commence the negotiation of a fair SaaS Escrow contract.

The SaaS Escrow Deposit?

Depositing data is a critical component of the SaaS Escrow agreement. As a leading global vendor of SaaS Escrow services, we understand that the process needs to be simple and secure.

We offer our clients two methods to deposit data with us.

git deposit

Automatic Deposit From Git

The developer can automatically upload the source code from their Git repository using SSH encryption. This process ensures that Escrow London always maintains an up to date version of the source code. We support all popular Gits including GitHub, Bitbucket, GitLab, Azure DevOps (TFS) and more.

cloud storage

Cloud Deposits

We provide all our customers with a client to securely upload their files via secure FTP to our servers. All the data is encrypted while in transit and at rest. We utilize the power of AWS and Microsoft Azure multiple-region storage to provide source code and data storage within the UK, USA, EU, Australia, Asia and other regions according to our clients’ requirements.

Looking to implement a secure software escrow solution?

Leading Companies Trust Escrow London

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