Minimum Liquid Assets Clause Samples
The Minimum Liquid Assets clause requires a party, typically a borrower, to maintain a specified minimum amount of easily accessible cash or cash-equivalent assets. This requirement is usually monitored through regular financial reporting, and the assets must be held in forms that can be quickly converted to cash, such as bank deposits or marketable securities. The core function of this clause is to ensure the party remains financially stable and able to meet short-term obligations, thereby reducing the lender's risk of default.
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Minimum Liquid Assets. Seller shall maintain Total Eligible Liquidity of not less than $1,000,000.00. “Total Eligible Liquidity” means, at any particular time, the sum of Seller’s cash, cash equivalents (certificates of deposit and other depository accounts established at FDIC-insured banks), United States government-issued securities and other registered, unrestricted equity or debt securities which are publicly traded on a recognized United States exchange and have been approved by Bank, in its sole and absolute discretion and which, in all events, are held in Seller’s name and are free and clear of all Liens (except Liens in favor of Bank), as calculated and determined as set forth in Exhibit E-1 attached hereto.
Minimum Liquid Assets. The Company shall not permit Liquid Assets of the Company to be less than $150,000 at any time.
Minimum Liquid Assets. The Parent’s Liquid Assets, determined on a consolidated basis, shall not at any time be less than $15,000,000, nor shall the Parent or any applicable Subsidiary of the Parent (including, without limitation, Borrower and WD Capital) otherwise fail to be in compliance with applicable requirements of ▇▇▇▇▇▇ ▇▇▇, ▇▇▇▇▇▇▇ Mac, ▇▇▇▇▇▇ ▇▇▇, FHA, and HUD.
Minimum Liquid Assets. With respect to the Borrower, maintain at all times Liquid Assets of at least equal to $5,000,000.
Minimum Liquid Assets. As of the end of any fiscal quarter, permit the sum of (i) Available Cash as of such date of determination plus (ii) the Maximum Available Corporate Revolver Commitment as of such date of determination (in each case to be calculated on a Consolidated basis, without duplication, in accordance with GAAP) to be less than $30,000,000.
Minimum Liquid Assets. Permit Borrower’s Liquid Assets at any time to be less than $2,000,000.
Minimum Liquid Assets. Borrower collectively shall not permit the sum of Borrower’s Liquid assets at any time to be less than Seventy-Five Million Dollars ($75,000,000).
Minimum Liquid Assets. Guarantor shall maintain Total Eligible Liquidity of not less than $40,000,000.00. “Total Eligible Liquidity” means, at any particular time, the sum of Guarantor’s cash, cash equivalents (certificates of deposit and other depository accounts established at FDIC-insured banks), United States government-issued securities and other registered, unrestricted equity or debt securities which are publicly traded on a recognized United States exchange and have been approved by Bank, in its sole and absolute discretion and which, in all events, are held in Guarantor’s name and are free and clear of all Liens (as defined in the Warehouse Agreement) (except Liens in favor of Bank), as calculated and determined as set forth in Exhibit A attached hereto.
Minimum Liquid Assets. Liquid Assets of the Borrower and Included Subsidiaries on a consolidated basis shall be at least (i) from and after the Closing Date until March 31, 2025, $2,049,754.10 and (ii) at all times from and after March 31, 2025, $4,049,754.10; provided that, notwithstanding the foregoing clause (ii), in the event that the Minimum Equity Raise is completed by May 31, 2025, the Liquid Assets of the Borrower and Included Subsidiaries on a consolidated basis shall be at least $2,049,754.10 at all times following such date; provided, further, that on the date the Administrative Agent receives evidence, satisfactory to the Administrative Agent in the Administrative Agent’s sole discretion, of the irrevocable payment in full of the Comfortex Settlement Amount (and any interest and fees accrued thereon) and full satisfaction of the Claims (as defined in the Comfortex Settlement Agreement), the applicable minimum Liquid Assets requirement set forth herein shall be reduced by $285,000; provided, further, that on the date the Administrative Agent receives evidence, satisfactory to the Administrative Agent in the Administrative Agent’s sole discretion, of the irrevocable payment in full of $264,754.10 (or such lesser amount as determined in Administrative Agent’s sole discretion) (such applicable amount, the “Group JS Shortfall Amount”) in respect of the G-III License Agreement related to potential shortfalls in royalty payments from Group JS International, Ltd. for the fiscal year 2024, the applicable minimum Liquid Assets requirement set forth herein shall be reduced by $264,754.10; provided, further, that (x) until the date that the Administrative Agent receives evidence, satisfactory to the Administrative Agent in the Administrative Agent’s sole discretion, of entry by the Borrower into a payment plan (the “Tax Lien Payment Plan”) with the IRS in respect of the federal tax lien set forth on Disclosure Schedule 7.9, in form and substance satisfactory to the Administrative Agent (such date, the “Payment Plan Effective Date”), the applicable minimum Liquid Assets requirement set forth herein shall increase by $30,000 on the last day of each Fiscal Quarter starting with the Fiscal Quarter ending March 31, 2025 (the aggregate amount of such increases, the “Tax Lien Reserve Amount”), and (y) following the Payment Plan Effective Date, the applicable minimum Liquid Assets requirement set forth herein shall be reduced on the last day of each Fiscal Month by the amount of the cas...
Minimum Liquid Assets. Liquid Assets of Guarantor and its Subsidiaries on a consolidated basis shall be at least $3,000,000 at all times.