REVOLVING LOAN COMPONENT Sample Clauses
The Revolving Loan Component clause defines the portion of a credit facility that allows the borrower to draw, repay, and re-borrow funds up to a specified limit during the loan term. In practice, this means the borrower can access funds as needed, repay them at any time, and then borrow again, provided the total outstanding does not exceed the agreed cap. This structure provides flexibility in managing cash flow and working capital, solving the problem of rigid loan disbursement schedules by enabling ongoing access to credit.
REVOLVING LOAN COMPONENT. Upon the terms and subject to the conditions set forth in this Agreement, Lender agrees at any time and from time to time during the Revolving Loan Term, to make a loan or loans to Borrower, and Borrower may borrow, repay and reborrow during the Revolving Loan Term, with respect to the Revolving Loan Component only, in an aggregate amount not to exceed at any time the lesser of: (i) the amount of the Borrowing Base or (ii) the lending limits set forth in Section 2.1(b) hereof. Notwithstanding anything herein to the contrary, as of the Second Amendment Effective Date, the aggregate balance of all Advances, shall not exceed $6,245,400.00 (the "Maximum Available Amount"). Borrower's right to receive Advances hereunder shall also be subject to the terms and conditions set forth in that certain Intercreditor Agreement between Lender, Borrower, ▇▇▇▇▇▇ and Sovereign dated of even date herewith. Borrower acknowledges, confirms and agrees that Lender shall have the right to allocate any request for an Advance hereunder to this Loan, the Tranche A Credit Facility and/or the Tranche B Credit Facility in such manner as Lender may elect in its sole and absolute discretion. Notwithstanding anything herein to the contrary, Borrower acknowledges, confirms and agrees that it shall not be entitled to receive, nor shall Lender be required to make, any Advance if and to the extent that: (i) Borrower has failed to substantially adhere to the Business Plan, including the Senior Lender Advance Schedule, as determined by Lender in its sole and absolute discretion; or (ii) the most recent weekly flash report delivered in accordance with Section 7.1(h)(i) hereof (a "Weekly Flash Report"), indicates that Borrower has in excess of five million dollars ($5,000,000) in available unrestricted cash. Borrower acknowledges, agrees and confirms that as provided in the Business Plan, the Commitment for the Revolving Loan Component and the Maximum Available Amount shall be reduced to $5,587,900.00 ON MARCH 31, 2006. On or before the SECOND AMENDMENT EFFECTIVE DATE, the aggregate amount of the Commitment for the Revolving Loan Component provided hereunder, under the Additional Credit Facility and the Tranche C Facility shall be equal to $95,000,000.00. Borrower further acknowledges, confirms and agrees that the aggregate Commitment for the Revolving Loan Component under this Agreement, the Additional Credit Facility and the Tranche C Facility shall be reduced to $85,000,000.00 ON MARCH 31, 200...
REVOLVING LOAN COMPONENT. Section 2.1(a) is hereby deleted in its entirety and in its place instead is substituted the following:
REVOLVING LOAN COMPONENT. Section 1.1(zzz) is hereby deleted in its entirety and in its place instead is substituted the following: