Committed Facility Amount Sample Clauses

The Committed Facility Amount clause defines the maximum amount of credit or funds that a lender is obligated to make available to a borrower under a loan agreement. This amount represents the upper limit of the borrower's access to financing, regardless of the total facility size or any additional uncommitted portions. For example, if a facility has a committed amount of $10 million, the lender must provide up to that amount upon the borrower's request, subject to the terms of the agreement. The core function of this clause is to provide certainty to both parties regarding the lender's funding obligation, thereby managing expectations and reducing the risk of funding shortfalls.