Profit Margin Sample Clauses
A Profit Margin clause defines the minimum or fixed percentage of profit that a party, typically a contractor or supplier, is entitled to earn on the costs incurred under a contract. In practice, this clause specifies how the profit is calculated—often as a percentage added to the total direct and indirect costs of goods or services provided. For example, if a contractor incurs $100,000 in costs and the agreed profit margin is 10%, the contractor would be paid $110,000 in total. The core function of this clause is to ensure transparency and fairness in compensation, preventing disputes over earnings and providing both parties with a clear understanding of how profits are determined.
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Profit Margin. BUYER may terminate this Agreement with respect to a specific Product upon thirty (30) days’ written notice in the event BUYER’s Gross Profit Margin is below 40% for any two (2) consecutive quarters. In such event, all outstanding purchase orders and the remaining purchase requirement for the calendar year per Section 2.2 will be paid by BUYER to Nephron within 30 days of termination.
Profit Margin. The profit margin for each disbursement shall be stated in the Asset Sale Agreement and contract note to be issued by the Bank to the Customer in accordance with the terms of each Asset Sale Agreement to be entered into from time to time. (viii) Tenure of the Revolving Credit-i Facility: (ix) Tenure of each utilization: The tenure for each transaction shall be stated in the Asset Sale Agreement and Asset Purchase Agreement and contract note to be issued by the Bank to the Customer in accordance with the terms of each Asset Sale Agreement and Asset Purchase Agreement to be entered into from time to time. (x)
Profit Margin i) should be calculated as a percentage of total of the labour cost and overhead cost namely, *** for this Agreement.
Profit Margin. The term "