Milestone escrow

Release payment when the work earns

Structure service and custom-goods contracts into funded phases. The full amount is secured at kickoff — disbursement follows buyer approval on each deliverable.

Licensed escrow · Full contract funded upfront · Per-phase release

TXN-48291

Website redesign

Contract value$18,000

Released $10,500In escrow $7,500
PhaseAmountStatus
Discovery & wireframes$4,500Released
Staging build$6,000In review
Production launch$7,500Pending

How it works

Five steps from agreement to phased payout

Both parties follow the same transaction path — full funding first, then release only when each phase is accepted.

Full escrow process
  1. Agree

    Agree on milestone terms

    Define each phase — deliverable, dollar amount, inspection window, and fee split — before funding.

  2. Fund

    Buyer funds escrow

    The buyer deposits the full contract value. Funds for every phase are secured before work begins.

  3. Deliver

    Seller completes a phase

    The seller delivers the agreed work or goods and marks the milestone complete in the transaction.

  4. Accept

    Buyer accepts the phase

    The buyer reviews against the terms during the inspection period and accepts or rejects the milestone.

  5. Release

    Release payment

    Trustners disburses the approved phase amount to the seller. Remaining funds stay held for later phases.

Built for contract work and staged delivery

Freelance & consulting

Design, development, and advisory work billed against defined deliverables.

Agency engagements

Creative, build, and launch phases tied to separate acceptance criteria.

Custom manufacturing

Materials, fabrication, and delivery staged across multiple payouts.

Deposits & retainers

Upfront commitment held in escrow, with balance tied to completion.

Full funding upfront. Partial release on approval.

The buyer deposits the entire contract before work begins. Trustners holds each phase until acceptance — the standard model for licensed milestone escrow.

Buyer

  • Control release phase by phase

    Funds disburse only after you accept work that matches the agreed terms.

  • No mid-project payment requests

    The full contract is funded at start — sellers are not relying on future invoices.

Seller

  • Verified funds before you start

    See the entire contract amount in escrow before delivering phase one.

  • Partial payout on acceptance

    Each approved phase releases to you without renegotiating payment terms.

Phase terms to define before funding

Each line item in your milestone schedule should be specific enough to accept or dispute without ambiguity.

FieldRequirement
Phase descriptionSpecific deliverable — e.g. approved wireframes in Figma, staging URL live
AmountDollar value per phase; all phases must equal the contract total
Inspection periodBusiness days the buyer has to review after seller marks complete
AcceptanceExplicit buyer approval or automatic expiry per agreed terms
Escrow feePaid by buyer, seller, or split 50/50 — set before funding

Common questions

Milestone transactions, funding rules, and fees.

Full FAQ · Fee calculator

Start your milestone transaction today with Trustners

Create a free account, define phases with the other party, and fund the full contract when you're both ready.

$198M+ in protected transactions · 50K+ customers · 190+ countries