SBIC Regulatory Provisions Sample Clauses
The SBIC Regulatory Provisions clause sets out the requirements and obligations that apply to parties involved with Small Business Investment Companies (SBICs) under U.S. federal regulations. It typically outlines compliance with specific rules established by the Small Business Administration (SBA), such as restrictions on eligible investments, reporting duties, and limitations on certain transactions. By incorporating these provisions, the clause ensures that all parties adhere to the legal framework governing SBICs, thereby reducing regulatory risk and maintaining the fund’s eligibility for SBIC status.
SBIC Regulatory Provisions. (a) As long as any SBIC Holder is a Lender, Borrower shall notify SBIC Holders (a) at least fifteen (15) days prior to taking any action after which the number of record holders of the Borrower would be increased from fewer than fifty (50) to fifty (50) or more, and (b) of any other action or occurrence after which the number of record holders of stock of the Borrower was increased (or would increase) from fewer than fifty (50) to fifty (50) or more, as soon as practicable after the Borrower becomes aware that such other action or occurrence has occurred or is proposed to occur.
(b) At the same time Borrower delivers its financial statements to Lenders pursuant to Section 10.4, and at such other times as Agent or any Lender reasonably requests, Borrower shall deliver to each SBIC Holder a written statement certified by an authorized signatory of Borrower describing in reasonable detail the use of the proceeds of the Loans. In addition to any other rights granted hereunder, Borrower and each Guarantor shall grant SBIC Holders and the SBA access to Borrower or such Guarantor's books and records for the purpose of verifying the use of such proceeds and verifying the certifications made in SBA Forms 480 and 652 and for the purpose of determining whether the principal business activity of Borrower or such Guarantor continues to constitute an eligible business activity (within the meaning of the SBIC Regulations).
(c) Upon the occurrence of a Regulatory Violation or in the event that any SBIC Holder determines in its sole discretion that a Regulatory Violation has occurred, in addition to any other rights and remedies to which it may be entitled as a holder of the Loan Documents (whether under this Credit Agreement, the Term Note or otherwise), such SBIC Holder shall have the right, to the extent required under the SBIC Regulations, to demand the immediate repayment of the Obligations or repurchase of the Warrants owned by such SBIC Holder at a price equal (a) to the outstanding amount of the Obligations, plus all accrued interest thereon and (b) the fair market value of the Warrants, by delivering written notice of such demand to Borrower and Guarantors. Borrower shall pay the purchase price for such securities by a cashier's or certified check or by wire transfer of immediately available funds to such SBIC Holder demanding repurchase within thirty (30) days after Borrower's receipt of the demand notice, and upon such payment, such SBIC Holder shall deliver the...
SBIC Regulatory Provisions. (1) The Company shall notify each SBIC Holder as soon as practicable (and, in any event, not later than 15 days) prior to taking any action after which the number of record holders of the Company's voting stock would be increased from fewer than 50 to 50 or more, and the Company shall notify each SBIC Holder of any other action or occurrence after which the number of record holders of the Company's voting stock was increased (or would increase) from fewer than 50 to 50 or more, as soon as practicable after the Company becomes aware that such other action or occurrence has occurred or is proposed to occur.
(2) Within 75 days after the date hereof, the Company shall deliver to each SBIC Holder a written statement certified by the Company's president or chief financial officer describing in reasonable detail the use of the proceeds of the sale of Securities hereunder by the Company and its Subsidiaries. In addition to any other rights granted hereunder, the Company shall grant each SBIC Holder and the United States Small Business Administration (the "SBA") --- access to the Company's records for the purpose of verifying the use of such proceeds to the extent required pursuant to SBIC Regulations.
(3) Promptly after the end of each fiscal year (but in any event prior to February 28 of each year), the Company shall deliver to each SBIC Holder a written assessment of the economic impact of each SBIC Holder's investment in the Company, specifying the full-time equivalent jobs created or retained in connection with the investment, the impact of the investment on the revenues and profits of the business and on taxes paid by the business and its employees.
SBIC Regulatory Provisions. (a) The Company hereby acknowledges that each Purchaser has informed it that such Purchaser is a "small business investment company" under the Small Business Investment Act of 1958, as amended, and the regulations thereunder, including Title 13, Code of Federal Regulations, Part 107.
(b) At the same time the Company delivers its annual audited financial statements under Section 8.01(b) hereof and at any time an SBIC Holder (as defined below) may reasonably request, the Company shall deliver to such Purchaser and each other holder of Notes or underlying Common Stock which informs the Company in writing it is an SBIC (an "SBIC Holder") a written statement certified by its president or chief financial officer describing in reasonable detail the use of the proceeds of the financing hereunder by the Company and its Subsidiaries. In addition to any other rights granted hereunder, the Company shall grant each SBIC Holder and the United States Small Business Administration (the "SBA") access to its and its Subsidiaries' records for the purpose of verifying the use of such proceeds and the Company's status as a "small concern."
(c) Promptly after the end of each Fiscal Year (but in any event prior to 20 days thereafter), the Company shall deliver to each SBIC Holder, specifying the full-time equivalent jobs created or retained in connection with the investment, the impact of the investment on the businesses of the Company in terms of expanded revenue and taxes and other economic benefits resulting from the investment (including, but not limited to, technology development or commercialization, minority business development, urban or rural business development and expansion of exports).
SBIC Regulatory Provisions i. Within 75 days after the Closing and each subsequent Financing hereunder by each holder of Series B Preferred or Underlying Common Stock which is an SBIC (an "SBIC HOLDER") and at the end of each quarter thereafter until all of the proceeds from the Financing hereunder have been used by the Company and its Subsidiaries, the Company shall deliver to each SBIC Holder a written statement certified by the Company's president or chief financial officer describing in reasonable detail the use of the proceeds of the Financing hereunder by the Company and its Subsidiaries. In addition to any other rights granted hereunder, the Company shall grant each SBIC Holder and the United States Small Business Administration (the "SBA") access to the Company's records for the purpose of verifying the use of such proceeds.
ii. Promptly after the end of each fiscal year (but in any event prior to February 28 of each year), the Company shall deliver to each SBIC Holder a written assessment of the economic impact of the SBIC Holder's investment in the Company, specifying the full-time equivalent jobs created or retained in connection with the investment, the impact of the investment on the businesses of the Company in terms of expanded revenue and taxes and other economic benefits resulting from the investment (including, but not limited to, technology development or commercialization, minority business development, urban or rural business development and expansion of exports).
iii. For purposes of this Section, the term "FINANCING" shall have the meaning set forth in the SBIC Regulations.
SBIC Regulatory Provisions. At the same time the Company delivers its annual audited financial statements hereunder and at such other times as any SBIC Holder reasonably requests, the Company shall deliver to the SBIC Holders a written statement certified by the Company's president or chief financial officer describing in reasonable detail the use of the proceeds of the Financing hereunder by the Company and its Subsidiaries. In addition to any other rights granted hereunder, the Company shall grant each SBIC Holder and the SBA reasonable access to the Company's books and records for the purpose of verifying the use of such proceeds and the certifications made by the Company in SBA Forms 480 and 652 delivered hereunder and for the purpose of determining whether the principal business activity of the Company and its Subsidiaries continues to constitute an eligible business activity (within the meaning of the SBIC Regulations).
SBIC Regulatory Provisions. (a) At any time Servicesoft has 50 or more record holders of Servicesoft's voting stock, Servicesoft shall notify each Major Shareholder (as defined in the Shareholders Agreement) which is an SBIC (an "SBIC HOLDER") as soon as practicable (and, in any event, not later than 15 days) prior to taking any action after which any SBIC Holder (collectively with its Affiliates) would be the record holder of 20% or more of Servicesoft's voting stock, and Servicesoft shall notify each SBIC Holder of any other action or occurrence after which any SBIC Holder (collectively with its Affiliates) would own of record 20% or more of Servicesoft's voting stock, as soon as practicable after Servicesoft becomes aware that such other action or occurrence has occurred or is proposed to occur.
(b) Within 75 days after the Closing Date, Servicesoft shall deliver to each SBIC Holder a written statement certified by Servicesoft's president or chief financial officer describing in reasonable detail the use of the proceeds of the sale of Series J
SBIC Regulatory Provisions. (i) Within 75 days after the Closing, the Company shall deliver to each SBIC Holder a written statement certified by the Company's president or chief financial officer describing in reasonable detail the use of the proceeds of the sale of the Convertible Notes by the Company and its Subsidiaries. In addition to any other rights granted hereunder, the Company shall grant each SBIC Holder and the United States Small Business Administration (the "SBA") access to the Company's and its Subsidiaries' records for the purpose of verifying the use of such proceeds.
(ii) The Company will provide each SBIC Holder with information such SBIC Holder requests in order to enable such SBIC Holder to develop promptly after the end of each fiscal year (but in any event prior to February 28 of each year), a written assessment of the economic impact of each SBIC Holder's investment in the Company, specifying the full-time equivalent jobs created or retained in connection with the investment, the impact of the investment on the businesses of the Company in terms of expanded revenue and taxes and other economic benefits resulting from the investment (including, but not limited to, technology development or commercialization, minority business development, urban or rural business development and expansion of exports).
SBIC Regulatory Provisions. If Lender wishes to assign this Agreement or any other Loan Documents or the Warrant Agreement to an Affiliate of Lender that is licensed by the U.S. Small Business Administration, Borrower shall take all steps and provide all such information as reasonably may be requested by Lender to assist therewith.
SBIC Regulatory Provisions. (a) The Company shall notify each Holder which is a SBIC (a "SBIC HOLDER") as soon as practicable (and, in any event, not later than 15 days) prior to taking any action after which the number of record holders of the Company's voting stock would be increased from fewer than 50 to 50 or more, and the Company shall notify each SBIC Holder of any other action or occurrence after which the number of record holders of the Company's voting stock was increased (or would increase) from fewer than 50 to 50 or more, as soon as practicable after the Company becomes aware that such other action or occurrence has occurred or is proposed to occur.
(b) The Company shall give CVCA thirty (30) days prior notice before taking any affirmative steps which would cause the representations in SECTION 4.1.26 to be untrue, and the Company shall use its best efforts to notify CVCA promptly at any time in which the Company reasonably believes the representations contained in SECTION 4.1.26 to be untrue, whether as a result of the Company's affirmative actions or otherwise.
SBIC Regulatory Provisions. (a) For a period of one year following the Closing, the Company shall not change its business activities if such change would render the Company ineligible as a "Small Business" under the SBIC Act or a "qualified small business" under Section 1202 of the IRC.
(b) Within 75 days after Closing, the Company shall deliver to the Investor a written statement certified by the Company's president or chief financial officer describing in reasonable detail the use of the proceeds of the Financing (as defined below) hereunder by the Company and its subsidiaries. In addition to any other rights granted hereunder, the Company shall grant (and cause each subsidiary to grant) the Investor and the United States Small Business Administration (the "SBA") access to the Company's and the subsidiaries' records for the purpose of verifying the use of such proceeds.
(c) Upon the occurrence of a Regulatory Violation (as defined below) or in the event that the Investor determines in its reasonable good faith judgment that a Regulatory Violation has occurred, in addition to any other rights and remedies to which it may be entitled