Yes. Bulk sale escrows are required for every business transfer that has an account with a government tax agency or transfers any furniture, fixtures, and equipment (FF&E). Escrow holders obtain state and county tax agency releases as well as run UCC searches to ensure there are no outstanding debts or liens on the business. Escrow holders coordinate the publication of notices of the sale to meet local and state laws and notify them that the current owner of the assets is selling them. If creditors are owed money, they’ll have their opportunity to get it from the Seller through escrow before the sale closes. We recommend escrow for every asset sale without exception. Escrow officers are trained and experienced in the bulk sale process. Buyers and Sellers expose themselves to substantial additional risk and liability when they attempt to bypass escrow; it's simply not worth it. Take a look at our escrow FAQs for more answers.