Floorplan Loan Facility Sample Clauses
A Floorplan Loan Facility is a type of financing arrangement where a lender provides a revolving line of credit to a borrower, typically a retailer or dealer, to purchase inventory such as vehicles or large equipment. The facility allows the borrower to draw funds as needed to acquire inventory, with the purchased items serving as collateral until they are sold. This arrangement helps businesses manage cash flow by enabling them to stock inventory without tying up significant capital, and it ensures the lender has security in the form of the financed goods.
Floorplan Loan Facility. On any date that the Interim Floorplan Loans plus the Aggregate Floorplan Loans exceed the Floorplan Loan Maximum Available Amount, then Reseller shall, on such date, after demand by Administrative Agent in its discretion (or Administrative Agents shall as directed by Required Lenders), pay such excess to Administrative Agents for the pro-rata benefit of Lenders and failure to pay such excess on such date shall be an immediate Event of Default.
Floorplan Loan Facility