Initial Advance Fee Clause Samples

Initial Advance Fee. In consideration of the Investor granting the Company the right to deliver the Initial Advance Notice for an amount up to $400,000 regardless of the Maximum Advance Amount at such time, the Company undertakes to pay to the Investor an amount equal to 22% of the final amount paid to the Company in respect of the Initial Advance Notice (the “Initial Advance Commitment Fee”), which shall be due and payable on the date 120 days after the Closing Date in respect of the Initial Advance Notice. The Initial Advance Commitment Fee shall be discharged, at the discretion of the Company, in cash, or by the issuance of such number of shares of Common Stock (the “Initial Advance Fee Shares”) as is equal to the Initial Advance Commitment Fee divided by the purchase price for the Shares issued in respect of the Initial Advance Notice, provided however, the Initial Advance Commitment Fee shall be forgiven if the closing price of the Common Stock on the date 120 days after the Closing Date in respect of the Initial Advance Notice is greater than or equal to the Purchase Price for the Shares issued in respect of the Initial Advance Notice.