Eligible Purchase Orders definition
Eligible Purchase Orders are binding, non-contingent and non-cancelable purchase orders issued within the previous ninety (90) days, for the delivery of goods by Borrower or the provision of services by Borrower, and which, but for the fact that an invoice has not been sent, are otherwise “Eligible Accounts.” Upon the issuance of an invoice in respect of such a purchase order, such applicable purchase order shall not be deemed to be an “Eligible Purchase Order”.
Eligible Purchase Orders are Purchase Orders received in the ordinary course of Borrower’s business that meet all Borrower’s representations and warranties in Section 5.3, have been, at the option of Bank, confirmed in accordance with Section 2.1.1(g), and will result in the creation of an Account due and owing from Account Debtors deemed creditworthy by Bank in its sole discretion. Without limiting the fact that the determination of which Purchase Orders are eligible hereunder is a matter of Bank discretion in each instance, Eligible Purchase Order shall not include the following Purchase Order (which listing may be amended or changed in Bank’s discretion with notice to Borrower):
Eligible Purchase Orders purchase orders issued in favor of Debtor, and which have not expired or been cancelled, covering the purchase of goods from Debtor, issued by Buyers.
Examples of Eligible Purchase Orders in a sentence
Bank may, in its good faith business discretion, finance such Eligible Purchase Orders by extending credit to Borrower in an amount equal to the result of the Advance Rate multiplied by the face amount of the Eligible Purchase Orders (the “Purchase Order Advance”).
No Responsible Officer of Borrower has any Knowledge of any actual or imminent Insolvency Proceeding of any Account Debtor whose accounts are an Eligible Domestic Account or an Eligible Foreign Account or whose Purchase Orders are Eligible Purchase Orders in any Borrowing Base Certificate.
Subject to the terms of this Agreement, at all times that Borrower’s Net Cash is greater than or equal to Three Million Five Hundred Thousand Dollars ($3,500,000.00), Borrower may request that Bank finance specific Eligible Purchase Orders.
Bank may, in its good faith business discretion, finance such Eligible Purchase Orders by extending credit to Borrower in an amount equal to the result of the Advance Rate multiplied by the face amount of the Eligible Purchase Orders (the “Purchase Orders Advance”).
Subject to the terms of this Agreement, Borrower may request that Bank finance specific Eligible Purchase Orders.
More Definitions of Eligible Purchase Orders
Eligible Purchase Orders are Purchase Orders made by Borrower in the ordinary course of Borrower’s business that meet all Borrower’s representations and warranties, and are otherwise acceptable to Bank in all respects. The determination of which Purchase Orders are eligible hereunder is a matter of Bank’s discretion in each instance.
Eligible Purchase Orders are signed and accepted Purchase Orders received in the ordinary course of Borrower’s business that meet all Borrower’s representations and warranties in Section 5.3, and will result in the creation of an Eligible Account due and owing from Account Debtors deemed creditworthy by Bank in its good faith business judgment. Without limiting the fact that the determination of which Purchase Orders are eligible hereunder is a matter of good faith business judgment of the Bank in each instance, Eligible Purchase Order shall not include the following Purchase Orders (which listing may be amended or changed in Bank’s good faith business judgment):
Eligible Purchase Orders means purchase orders received by each Borrower for the purchase of Finished Goods from customers (i) credit approved by Montcap, (ii) for which the mix of customers and products is acceptable to Montcap and (iii) for which Montcap is satisfied that the Borrower will be able to respect the delivery date stipulated in the purchase orders by shipping all the products referred to in the purchase orders;
Eligible Purchase Orders means purchase orders for Borrower Products substantially in form and substance as provided in Exhibit J or otherwise acceptable to Agent, arising in the ordinary course of Borrower’s business, that have been submitted to Agent. Agent reserves the right at any time following the completion of an audit or field examination of Borrower’s purchase orders for Borrower Products the results of which reflect a material change to the make-up of Borrower’s purchase orders for Borrower Products from the make-up of Borrower’s purchase orders for Borrower Products on or prior to the Closing Date of most recent audit or field examination, to adjust any of the criteria set forth below and to establish new criteria in its good faith credit judgment upon providing Borrower five (5) days’ prior written notice of such new criteria. Should qualifying purchase orders be canceled, they shall no longer be considered Eligible Purchase Orders or be considered eligible for inclusion in the Borrowing Base. Unless otherwise agreed by Agent, Eligible Purchase Orders shall not include the following:
Eligible Purchase Orders. “Liquidity”; “Reserves”; “Streamline Balance”; “Streamline Period”.
Eligible Purchase Orders means, at any date, firm purchase orders held by Borrower which are acceptable to Silicon in its sole discretion in all respects and are for products due to be shipped within the following six months. Upon the next issuance of equity or subordinated debt securities by Borrower, the proceeds thereof shall be used to repay in full all sums due under the Purchase Order Line, and thereafter no further Loans will be available under the Purchase Order Line. In the event the Commitment which the Borrower has received from Silicon dated July 7, 1998 for mezzanine financing terminates or is terminated for any reason, all sums due under the Purchase Order Line shall become due and payable, and thereafter no further Loans will be available under the Purchase Order Line.
Eligible Purchase Orders means purchase orders which actually exist when funding occurs.