Common use of Preferred Return Clause in Contracts

Preferred Return. As noted, Distributions are not assured. Xxxxxxx Homes Xxxxxxx Loans | 15 Company Operating Agreement Note (Amended): Our Company may never raise enough capital to move forward with its intended business operations. First, to the Members, pro rata in accordance with their percentage interests in the Company as defined in the Operating Agreement (Percentage Interests), until all Members have received a cumulative, non compounded preferred return per annum on their Capital Contributions.