Minimum Working Capital Clause Samples
The Minimum Working Capital clause sets a required baseline amount of working capital that a company must maintain during a specified period, often in the context of a loan agreement or business acquisition. This clause typically requires the company to keep enough current assets to cover its current liabilities, ensuring ongoing liquidity and operational stability. By establishing this minimum threshold, the clause helps protect lenders or buyers from financial risk by ensuring the company remains solvent and capable of meeting its short-term obligations.
POPULAR SAMPLE Copied 9 times
Minimum Working Capital. Borrower shall at all times maintain a minimum of $2,000,000.00 in current working capital on an aggregate and consolidated basis. Current working capital shall be defined as all Current Assets, less all Current Liabilities.
Minimum Working Capital. Borrower will maintain at all times a working capital, determined under consistently applied generally accepted accounting principles by subtracting current liabilities from current assets, of $ (Minimum Working Capital) or more. For this determination, current assets exclude (Excluded Current Assets). Likewise, current liabilities include (1) all obligations payable on demand or within one year after the date on which the determination is made, and (2) final maturities and sinking fund payments required to be made within one year after the date on which the determination is made, but exclude all liabilities or obligations that Borrower may renew or extend to a date more than one year from the date of this determination.
Minimum Working Capital. Borrower shall maintain a minimum working capital each Fiscal Quarter of not less than Five Million Dollars ($5,000,000), measured quarterly on the last day of each Fiscal Quarter. For purposes of this Section, working capital shall be defined as current assets minus current liabilities, in each case calculated on a consolidated basis for the Borrower and its Subsidiaries.
Minimum Working Capital. The Borrower shall maintain at all times Working Capital (which shall mean Current Assets less Current Liabilities) of at least $500,000.
Minimum Working Capital. Borrower shall maintain at all times Working Capital as of the end of each Fiscal Quarter in an amount equal to or greater than $50,000,000.00.
Minimum Working Capital. The Company will not permit its Consolidated Working Capital, calculated as of the last day of any fiscal quarter ending after the Closing Date, to be less than $750,000. For purposes of this Section 8(f)(i) only, the calculation of Consolidated Working Capital shall exclude any warrant liability or change therein and any effect on the financial statements of the Company resulting from or otherwise related to (i) the Omnibus Amendment dated as of the date hereof involving the Warrants, (ii) the repricing of the warrants on the date hereof that were issued by the Company on July 28, 2005 pursuant to the Note and Warrant Purchase Agreement and to Libra FE, LP and (iii) any related amendment to or waiver dated as of the date hereof involving the Securities Purchase Agreement, the Note and Warrant Purchase Agreement, any transaction document related thereto, or the registration rights agreement with Libra FE, LP.”
Minimum Working Capital. Borrower shall maintain minimum “Working Capital” of at least $2,500,000.00. “Working Capital” is defined as total current assets less total current liabilities. This covenant shall be tested quarterly (as of March 31st, June 30th, September 30th, and December 31st) beginning September 30, 2019. 1st Amendment 3 ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Bank D. New Subsection D(15), entitled “Acquisitions,” is hereby added to the Agreement as follows:
Minimum Working Capital. Maintain minimum working capital, at all times during the periods set forth below, calculated as Current Assets minus Current Liabilities; provided, for the purpose of computing Current Assets under this Section 6.01.J, the portion of Current Assets which consists of Timber and Timberlands Current or contract rights relating thereto shall be included only up to an amount equal to (x) on or before January 31, 1993, forty-five percent (45%) and (y) thereafter, forty percent (40%), of the amount of Borrowers' overall Current Assets determined in accordance with GAAP: Period Millions of Dollars ------ ------------------- Effective Date through 12/31/95 25 1/1/96 through 6/30/96 19 7/1/96 through 6/30/97 22.5 7/1/97 through 9/30/97 25 10/1/97 through 6/30/98 21.5 7/1/98 and beyond 25
Minimum Working Capital. The Issuer shall ensure that the Issuer on a consolidated basis at all times maintains a positive Working Capital.
Minimum Working Capital. The Guarantor will achieve and maintain consolidated working capital of not less than Fifty-Five Million Dollars ($55,000,000) as of May 31, 1997 and the end of each month thereafter. The Guaranty is hereby amended accordingly but otherwise shall remain in full force and effect.