Liquidity Ratio definition

Liquidity Ratio means the ratio of Liquidity to all Indebtedness to Bank.
Liquidity Ratio means, as of any date for which it is tested, the ratio of (a) an amount equal to (i) unrestricted cash and cash equivalents maintained with Bank, plus (ii) net, billed accounts receivable of Borrower, excluding Accounts that the account debtor has failed to pay within ninety (90) days of invoice date, to (b) the aggregate amount of all outstanding Obligations.
Liquidity Ratio is the ratio of (a) Quick Assets to (b) all of Borrower’s Obligations to Lenders (but specifically excluding any cash-secured Obligations).

Examples of Liquidity Ratio in a sentence

  • The Borrowers, collectively, shall maintain a Liquidity Ratio of at least 4.00, tested on the last day of each month.


More Definitions of Liquidity Ratio

Liquidity Ratio is a ratio of (i) unrestricted cash and Cash Equivalents held at Bank plus net Accounts receivable (determined in accordance with GAAP) to (ii) all Indebtedness owing from Borrower to Bank with respect to the outstanding Advances.
Liquidity Ratio means the ratio between the liquid assets and current liabilities, where
Liquidity Ratio means a ratio of (i) unrestricted cash, cash equivalents and marketable securities, in each case, on which Bank has a perfected security interest, plus the aggregate amount of Eligible Accounts to (ii) all Indebtedness (other than Indebtedness which is cash secured to the Bank’s reasonable satisfaction) owing from Borrower to Bank.
Liquidity Ratio is a ratio of the (a) sum of (i) cash of Borrower and its Subsidiaries which is shown on its most current consolidated balance sheet, plus (ii) the Accounts of the Borrower and its Subsidiaries; divided by (b) the sum of (i) outstanding Obligations, plus (ii) accounts payable of Borrower and its Subsidiaries.
Liquidity Ratio means fifty percent (50%).
Liquidity Ratio means (a) the sum of (i) Borrower’s unrestricted cash, plus (ii) net billed accounts receivable (including earned but unbilled accounts receivable that is expected to be billed within ten (10) Business Days of month end), divided by (b) all outstanding Obligations under the Revolving Line.
Liquidity Ratio means the ratio (expressed as a percentage) of a Person’s Liquid Assets to Tangible Net Worth.