PrivateTechSharesHoldback
Also called: purchase price holdback
In one line
Money an acquirer retains from the sale price for a time, to cover adjustments or claims before paying it out.
In plain English
Similar to escrow, a holdback keeps back part of the proceeds until certain conditions are settled — like a final accounting or warranty period. Sellers get it only once those clear.
If you were explaining it to a 5-year-old
The buyer keeps a handful of coins aside for a bit, just in case, and gives them to you later if everything checks out.
Why it matters when you sell
Holdbacks defer and risk part of your exit proceeds, so the headline deal price isn't necessarily what lands in your account at close.
Related terms
Put it to use
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Sources
A general market-practice term. See how we define and source the glossary in our methodology. General information, not advice.
Educational information only — not financial, tax or legal advice, and not an offer to buy or sell any security. Definitions are general; your own documents and local law govern your situation. PrivateTechShares is independent and not a broker or marketplace.