Stockholders’ 10% Return Sample Clauses
The "Stockholders’ 10% Return" clause establishes a guaranteed minimum return of 10% for stockholders on their investment. In practice, this means that before any profits are distributed to other parties or reinvested, stockholders must first receive a return equal to 10% of their original capital contribution. This clause typically applies to dividend distributions or liquidation events, ensuring that stockholders are prioritized for a set return. Its core function is to protect investors by providing a predictable minimum return, thereby making the investment more attractive and reducing the risk of insufficient compensation for stockholders.
Stockholders’ 10% Return. As of any date, an aggregate amount equal to a 10% cumulative, noncompounded, annual return on Invested Capital (calculated like simple interest); provided, however, that for purposes of calculating the Stockholders’ 10% Return, any Stock Dividend shall not be included as a Distribution; and provided, further, that for purposes of determining the Stockholders’ 10% Return, the return for each portion of the Invested Capital shall commence for purposes of the calculation upon the issuance of the shares issued in connection with such capital.
Stockholders’ 10% Return. As of any date, an aggregate amount equal to a 10% cumulative, noncompounded, annual return on Invested Capital (calculated like simple interest on a daily basis based on a 365-day year); provided, however, that for purposes of calculating the Stockholders’ 10% Return, Invested Capital shall be determined for each day during the period for which the Stockholders 10% Return is being calculated net of Distributions attributable to Net Sales Proceeds but (consistent with the second clause of the definition of Invested Capital) shall always exclude an amount equal to the total number of Shares repurchased from Stockholders by the Company (pursuant to the Company’s plan for the repurchase of Shares) multiplied by the price initially paid for each such redeemed Share when initially purchased from the Company.