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TECHNOLOGY

Escrow for Freelancers: A Complete Guide for Independent Contractors

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Escrow for Freelancers: A Complete Guide for Independent Contractors

 

As more professionals choose to work independently, they are enjoying the freedom and flexibility that comes with freelancing. However, there are challenges when it comes to getting paid for your services. That’s where escrow comes in—a reliable solution for both freelancers and clients. Escrow acts as a neutral third party, ensuring fair payment and reducing the risk of payment issues or disagreements.

In this article, we will explore the world of escrow for freelancers. We’ll provide you with the knowledge and tools you need to simplify your payment process and protect your interests as a freelancer. Whether you’re an experienced freelancer looking to improve your financial security or new to freelancing, this guide will be your trusted resource.

 

What is Freelancer Escrow?

Freelancer Escrow is a financial arrangement often used in freelance work or online services to make sure that transactions between clients and freelancers are secure and fair. Basically, it means putting funds or assets in the hands of a neutral third party until certain conditions are met.

When it comes to freelancing, an escrow service acts as a middleman, holding onto the money given by the client until the work is done to everyone’s satisfaction. This setup benefits both parties by creating trust and reducing the chances of not getting paid or receiving poor-quality work.

 

How Freelance Escrow Works

Freelance escrow is a useful tool for many freelancers. Here’s how it works:

  1. Agreement: The client and the freelancer discuss and agree on the project terms, including what needs to be delivered, milestones, and payment details.
  2. Escrow Setup: The client puts the agreed-upon funds into an escrow account managed by a trusted third-party platform or service.
  3. Work Begins: The freelancer starts working on the project according to the agreed terms.
  4. Milestones and Verification: If the project has multiple milestones, the client and freelancer can decide on specific points where partial payments are released from the escrow account. When a milestone is completed, the client reviews the work and approves it, allowing the funds for that milestone to be released to the freelancer.
  5. Dispute Resolution: If there’s a disagreement between the client and the freelancer, the escrow service can act as a mediator to resolve the issue fairly. If they can’t reach a resolution, the escrow service may start a dispute process to find the right solution.
  6. Project Completion: Once the project is finished and the client is satisfied, they can approve the final work, and the remaining funds held in escrow are released to the freelancer.

Freelancer escrow provides a sense of security and assurance for both clients and freelancers. It helps minimize the risks associated with financial transactions.

 

Top 5 Escrow Services for Freelancers

Here are five highly regarded escrow services that freelancers often use:

1.     Upwork Escrow

Upwork is a widely popular freelancing platform that incorporates an integrated escrow service. It offers protection for both freelancers and clients by securely holding funds until the project is completed.

2.     Freelancer Escrow

Similar to Upwork, Freelancer.com also provides an escrow service tailored to freelancers. It ensures a secure payment process and protects both parties involved in the project.

3.     Kusnap.com

Kusnap is a well-known e-commerce platform that offers freelancing jobs as well as freelance escrow services to its customers. It can help guarantee a secure payment process, and resolves all dispute between buyers, and sellers.

4.     Guru Safepay

Guru, a freelancing marketplace, utilizes their Safepay escrow service. It safeguards funds and releases them to freelancers once the project is successfully completed, ensuring a fair and secure payment process.

5.     Toptal Escrow

Toptal connects clients with top freelancers in software development, design, and finance. To ensure payment security and client satisfaction, they employ an escrow system.

 

Why you should use Escrow Services as a Freelancer

As a freelancer, utilizing escrow services can offer you a range of advantages and help safeguard your interests in multiple ways. Here are some compelling reasons why you should seriously consider using escrow services:

1.     Payment Security

Escrow services serve as a reliable middleman between you and your clients. When both parties agree on the project terms, the client deposits the payment into an escrow account. This ensures that the funds are securely held until the project is successfully completed.

2.     Client Trust

By recommending the use of an escrow service, you demonstrate your professionalism and commitment to fair business practices. It builds confidence in your clients, assuring them that their funds will be handled securely and that you are dedicated to delivering the agreed-upon work.

3.     Dispute Resolution

In the event of conflicts or disagreements during a project, escrow services can assist in mediation and finding a resolution. They offer dispute resolution mechanisms to ensure a fair outcome for both parties, minimizing the chances of legal disputes or financial losses.

4.     Payment Assurance

As a freelancer, your time and expertise are valuable assets. By utilizing escrow services, you can ensure that you won’t be left unpaid for your hard work. When funds are held in escrow, clients are more likely to fulfill their payment obligations, providing you with peace of mind.

 

Conclusion

Escrow provides a secure and reliable platform where freelancers can confidently work with clients, knowing that their hard-earned money is protected until project completion. With escrow acting as a neutral third party, disputes and payment delays become less of a concern, allowing freelancers to focus on their work without unnecessary distractions. Freelancers and independent contractors can greatly benefit from utilizing escrow services as a secure and efficient means of ensuring fair payment and project completion.

 

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TECHNOLOGY

Europe’s Network and Information Security (NIS2) directive raises the stakes for African businesses to comply with European Union’s (EU) cyber security standards

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Issam-El-Haddioui- (1)

The European Union’s NIS2 cyber security  directive has significant implications for African businesses trading with the continent.  This is according to Check Point Software Technologies (www.CheckPoint.com), a leading AI-powered cloud-delivered cyber security provider, which urges African businesses with strong ties to the EU to take steps to comply with this new, stringent cyber security regulation.

The European Union’s NIS2 Directive, came into effect this month and requires member states to amend their national legislation. The NIS2 Directive imposes strict cyber security requirements, including enhanced management liability, reporting to authorities, risk management, and business continuity planning, placing African companies trading with the EU under increased scrutiny.

CheckPoint-NIS2-infographic-EN (1)

The NIS2 Directive builds upon the original NIS1 Directive introduced in 2016, expanding its scope to cover a wider range of sectors including Energy, Banking, Transport, Digital Infrastructure, Healthcare, Food Production, and Research. More than 80% of European enterprises are now within the scope of this legislation, which extends to global supply chain partners—including many businesses in Africa.

Collins Emadau, Check Point Partner and Director at Westcon, explains, “Europe is still Africa’s leading trading partner. African businesses, particularly in leading economies such as South Africa, Kenya, and Nigeria, need to understand the far-reaching impact of NIS2. Compliance is not just about meeting EU standards—it’s about securing their future in a globalised market. Failure to comply will result in not only heavy fines but also the potential loss of critical trade partnerships with EU member states.”

What’s at Stake for African Businesses?

The EU remains the largest trading partner for Africa, with over 18 Economic Partnership Agreements and trade worth billions annually. African businesses, especially in sectors like Energy, Banking, Transport, and Manufacturing, are key partners in the EU’s supply chains. To continue doing business with EU companies, African organisations must comply with NIS2, which mandates strict cyber security measures to protect critical infrastructure and supply chains.

Issam El Haddioui, Head of Security Sales Engineering:  Africa, Check Point Software Technologies, says, “NIS2 sets a new standard for cyber security, and African businesses must act now. Many organisations are unaware of the depth of these requirements, which go beyond local regulations. Compliance is essential not only for maintaining business relationships with the EU but also for enhancing the overall resilience of African economies against cyber threats.”

Compliance will exact a cost for African organisations, which according to Interpol’s 2021 Africa Cyberthreat Assessment Report, spends an average of only 0.05% of their revenue on cyber security, far below the global average of 0.3-0.5%.  The Report also estimated the financial impact of cyber crime in the region at over $4 billion USD, representing about 10 percent of Africa’s total GDP.

Tougher Penalties and Personal Responsibility

NIS2 introduces personal liability for business leaders in the event of a cyber attack, meaning that executives themselves can be held financially accountable for breaches. Penalties include fines of up to EUR 7 million or 1.4% of a company’s global annual turnover, whichever is higher. This goes beyond the GDPR, placing even more responsibility on corporate leadership to ensure robust cyber security practices are in place.

NIS2 mandates that organisations must report cyber incidents to authorities promptly and inform their stakeholders, suppliers, and customers. Therefore, African businesses must ensure they have a comprehensive incident response plan in place, along with regular cyber security training for both IT and leadership teams.

Steps for African Businesses to Ensure Compliance

To successfully implement NIS2 and avoid devastating penalties, Check Point recommends the following four steps for African businesses:

  1. Knowledge: Business leaders must gain a basic understanding of cyber security to effectively communicate with their IT teams and ensure sound decision-making.
  2. People: Establish an agile IT security department, including key roles such as a Data Protection Officer (DPO) and a Chief Information Security Officer (CISO), to manage and distribute responsibilities efficiently.
  3. Audit: Conduct regular risk assessments and audits to identify and mitigate vulnerabilities. Continuous monitoring is essential to stay compliant with evolving threats.
  4. Incident Management: Develop clear procedures for responding to cyber incidents, including swift reporting to national authorities, suppliers, and stakeholders.

Long-Term Commitment to Cyber Security

Compliance with NIS2 is not a one-time process; it requires a long-term commitment to cyber security. From 2028, organisations will be required to annually document their NIS2-compliant IT infrastructure and demonstrate that their cyber security measures are aligned with the latest technological advancements.

“African countries, especially economic leaders like South Africa, Kenya, and Nigeria, should also consider using the NIS2 framework as a model for strengthening their own national cyber security regulations. By improving cyber-readiness, African businesses can not only comply with international standards but also protect their data, operations, and reputations from evolving threats,” El Haddioui continues.

El Haddioui, concludes, “The NIS2 Directive marks a significant shift in the cyber security landscape. African business leaders must recognise that cyber security is now a matter of survival, not just compliance. By taking proactive measures, they can safeguard their future, avoid heavy penalties, and ensure their organisations thrive in an increasingly interconnected global economy.”

CheckPoint-NIS2-infographic-EN (1)

 

Distributed by APO Group on behalf of Check Point Software Technologies Ltd..
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TECHNOLOGY

VFS Global appointed to roll out Australian biometric collection centres in Sub-Saharan Africa

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With the recent addition of Sub-Saharan Africa and Europe, VFS Global has become the exclusive biometrics collection service provider to Australian visa applicants across all nine regions globally.

CAPE TOWN, South Africa, October 16, 2024/ —

Services to be rolled out at 12 locations in seven countries in Sub-Saharan Africa by February 2025

VFS Global becomes the exclusive biometric collection service provider for Australian applicants in all the nine regions globally – ​Americas, Europe, Mekong, Middle East and North Africa, Pacific, South Asia, South East Asia, North Asia, Sub-Saharan Africa

Core services include Biometric Collection and Identity Verification, Digital Assistance with online visa applications submission and Online Payment Assistance.
Additional (as required services) include remote interview hosting, document and claim checking, paper digitisation and local addressing and document delivery.

The Department of Home Affairs, Australia has appointed VFS Global to provide biometric collection services for Sub-Saharan Africa. VFS Global is the world’s leading outsourcing and technology service specialist for governments and diplomatic missions. This is in addition to the seven regions awarded in August 2023 to provide biometric collection services –the Americas, Mekong, Middle East and North Africa, North Asia, Pacific, South Asia and Southeast Asia. With the recent addition of Sub-Saharan Africa and Europe, VFS Global has become the exclusive biometrics collection service provider to Australian visa applicants across all nine regions globally.

The Sub-Saharan Africa region includes seven countries in total with Australian Biometric Collection Centre services to be rolled out at 12 locations in 13 countries by February 2025. This includes setting up Centres in Ethiopia, Ghana, Kenya, Nigeria, South Africa, Uganda and Zimbabwe.

According to the agreement, VFS Global’s core services include Biometric Collection and Identity Verification, Digital Assistance with online visa applications submission and Online Payment Assistance on the Department’s ImmiAccount portal. The company would also provide additional (as required services) such as remote interview hosting, document and claim checking, paper digitisation and local addressing and document delivery.

“We are pleased to extend our Agreement with VFS Global to include Europe and Sub-Saharan Africa. We will continue to work closely with VFS Global to ensure the delivery of high-quality biometric collection and visa support services for our visa applicants worldwide.” said Anthony Phillips, Director Offshore Service Delivery Partners Section, Department of Home Affairs.

“Securing these two regions is a testament to our dedication, expertise, commitment to excellence, and trusted partnership with the Department of Home Affairs, Australia. This decision not only reflects our ability to meet highest standards but also reinforces our resolve to deliver innovative solutions. Under the Department’s guidance, we will continue to elevate the experience of Australian applicants across the world,” said Jiten Vyas, Chief Commercial Officer and Head of Business Development, VFS Global.

Distributed by APO Group on behalf of VFS Global.

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ENVIRONMENT

Nigerian Company MMNL to invest $50 Million to scale up its Tubular Batteries Production to 100,000 with backward integration in Next 5 years

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Metal Manufacturing Nigeria Limited (MMNL); also ventures into multiple business verticals in backward & forward integration

Metal Manufacturing Nigeria Limited (MMNL); also ventures into multiple business verticals in backward & forward integration and into the Mining segment to stay ahead of its competitors

Metal Manufacturing Nigeria Limited (MMNL); also ventures into multiple business verticals in backward & forward integration

To cater to the rapidly growing demand of Nigeria’s energy sector; Metal Manufacturing Nigeria Limited (MMNL), Nigeria’s largest tubular battery company is aiming to double its expansion capacity to 60,000 pcs per Month in the next financial year. The company is planning to invest around $50 million in capacity expansion, new greenfield projects in the energy backup segment, R&D, Mining & Beneficiation, Plastic container and carton manufacturing units along with brand building and channel partner engagement to accelerate its ambitious growth target. 

 

Being the First Company to produce the Tubular Batteries in Nigeria; MMNL have had its fair share of challenges & hurdles. Over the past 5 years, MMNL has conquered several obstacles including a lack of skilled manpower, a duopoly of supply chain vendors, hurdle of sourcing raw materials, unstable power supply, exorbitant hike in electricity tariff & gasoline price and machinery and scarcity of spare parts in the region. Despite of providing thousands of employments of opportunity; battery manufacturing sector is struggling for survival and desperately in need of government policy support such as raising import duty of foreign importers and export duty for raw materials.

Metal Manufacturing Nigeria Limited (MMNL); also ventures into multiple business verticals in backward

These problems would often demoralize and demotivate any company in tubular battery manufacturing sector and make it unviable for any business to operate in such a situation. Despite their 14 years of manufacturing experience in Nigeria, it found itself in a despondent situation which has led the company to explore other verticals to optimize the supply chain cycle. MMNL has taken several initiatives to address the stated challenges. For example, to address the issue of lack of skilled manpower, the company has conducted hundreds of technical training sessions to locals to enhance & upgrade their skill set and it is continuing to invest in manpower training. Similarly to ensure a steady supply of raw materials, the company has ventured into the mining business, beneficiation plant and other business verticals like plastic container & carton manufacturing. The company has also launched its dedicated service centre to resolve customer issues.

 

“Despite several challenges; the company has achieved stable production of 30,000 units per Month by 2024. MMNL is proud of the fact that it is the first & only Made-in-Nigeria inverter battery company which dominates over 35% to 40% of market share. It means every 5 batteries sold in Nigeria; 2 batteries are from MMNL”, said Mr. Amit Kumar, CEO of Metal Manufacturing Nigeria Limited. “As an Industry leader; company is continuously striving to delight the customer with quality and innovation in the product and making significant contributions in local employment opportunity as well as saving foreign exchange” 

Metal Manufacturing Nigeria Limited (MMNL); also ventures into multiple business verticals in backward & forward integration and into the Mining segment to stay ahead of its competitors

MMNL is bound to focus on completing its end-to-end supply chain cycle with a backward and forward integration expansion to proliferate its growth plan and to survive in the highly volatile environment. MMNL has already invested $25 million in Battery production, lead & Oxide manufacturing plant in Shagamu, Ogun state. MMNL’s current production capacity is 30,000 units of inverter batteries. Company is all set to boost its battery production capacity to 60,000 at the start of the new financial year and over 100,000 production capacity by opening a new battery greenfield production plant by 2027-2028 along with backward integration including lead-zinc ore mining and beneficiation. 

 

To make the brand available and accessible for the end customers across Nigeria, MMNL is also expanding geographically across the country, forging multi-channel partnerships, executing its retail strategy and to make use of eCommerce & digital channels.

 

Being an Industry leader with 14 years of manufacturing experience in Nigeria; MMNL has certainly created a high entry barrier for both existing and new players which are considering to start their tubular battery manufacturing operation. Metal Manufacturing Nigeria Limited is a shining example of how a true leader can sail through turbulence of political, economical, social & technological hurdles.

 

About Metal Manufacturing Nigeria Limited (MMNL)

Metal Manufacturing Nigeria Limited (MMNL) is the largest tubular battery manufacturing company

Metal Manufacturing Nigeria Limited (MMNL) is the largest tubular battery manufacturing company.  MMNL is the most trusted and ‘Proudly Made in Nigeria’ brand with over 14 years of industry experience. Recently; MMNL won 3 awards in a row 1) ECOWAS Inverter Battery Company of the Year 2) ECOWAS Inverter Battery Manufacturing Company of the year and 3) ECOWAS Renewable Company of the year. MMNL provides over 1000 direct and indirect local employment opportunities.

The Company also got pioneer status accreditation from Nigerian Investment Promotion Commission (NIPC). Currently MMNL is present across 6 major locations along with a strong network of channel partners consisting 3000+ Installers, 1000+ Dealers and 100+ Distributors and over a half million of satisfied & happy customers.

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