Common use of CAPITAL, CREDIT, RECORDS AND UNIFORM SYSTEMS Clause in Contracts

CAPITAL, CREDIT, RECORDS AND UNIFORM SYSTEMS. A. NET WORKING CAPITAL The amount and structure of the net working capital required to properly conduct the business of DEALER depends upon many factors, including the nature, size and volume of DEALER's vehicle sales, service and parts operations. Therefore, DEALER agrees to establish and maintain actual net working capital in an amount not less than the minimum net working capital specified in a separate Minimum Net Working Capital Agreement executed by DEALER and DISTRIBUTOR concurrently with this Agreement. If, either because of changed conditions or because DISTRIBUTOR adopts a new net working capital formula, DISTRIBUTOR shall have the right to revise DEALER's minimum net working capital requirement to be used in DEALER's operation. If so revised, DEALER agrees to enter into the revised Minimum Net Working Capital Agreement and to meet the new standard within a reasonable period of time as established by DISTRIBUTOR.

CAPITAL, CREDIT, RECORDS AND UNIFORM SYSTEMS. A. NET WORKING CAPITAL The amount and structure of the net working capital required to properly conduct the business of DEALER depends upon many factors, including the nature, size and volume of DEALER's vehicle sales, service and parts operations. Therefore, DEALER agrees to establish and maintain actual net working capital in an amount mount not less than the minimum net working capital specified in a separate Minimum Net Working Capital Agreement executed by DEALER and DISTRIBUTOR concurrently with this Agreement. If, either because of changed conditions or because DISTRIBUTOR adopts a new net working capital formula, DISTRIBUTOR shall have the right to revise DEALER's minimum net working capital requirement to be used in DEALER's operation. If so revised, DEALER agrees to enter into the revised Minimum Net Working Capital Agreement and to meet the new standard within a reasonable period of time as established by DISTRIBUTOR.