Overadvance

Overadvance

A short-term loan that a company takes out in order to buy more material for its inventory immediately before a period of increased sales. A company uses an overadvance to finance its expected increase in sales.
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Wall Street was willing to provide warehouse and overadvance lines to new entrants such as Irvine, California-based BNC Mortgage, Inc.
The amendment to the forbearance agreement also increases the amount of advances which Wells Fargo will extend under the Company's maximum revolving credit line from $2,500,000 to $3,000,000 and increases the maximum overadvance facility from $750,000 to $1,000,000.
The proceeds from the sale will allow us to significantly reduce our senior debt and eliminate the overadvance, and will facilitate a refinancing of the secured lenders.
During the extended moratorium, Wells Fargo will continue to provide advances under the Company's revolving credit line, in amounts of up to $2,500,000, in addition to an overadvance facility of $750,000.
During the extended moratorium, the bank will continue to provide advances under the Company's revolving credit line, in amounts up to $2,500,000, in addition to an overadvance facility of $750,000.
Wells Fargo has also agreed with the Company to extend the moratorium to August 5, 2009, and to increase its overadvance facility to $1,000,000, if one of the two conditions is satisfied.
During the moratorium, the bank will continue to provide credit advances under the Company's revolving credit line, the maximum amount of which will be adjusted to $2 million, in addition to a $500,000 overadvance facility.
5 million overadvance on our credit facility with Laurus, $.
The notice of default was issued primarily due to an overadvance of the Company's borrowing base.
entered into an agreement with the Company to increase the Overadvance allowed on its Senior Facility with the Company from the $750,000 already outstanding to $1.
The new credit facility is secured by a first-priority lien on the subsidiary's proved oil and natural gas reserves and contains a $10 million overadvance feature.
Availability under the Revolving Facility is subject to a borrowing base formula, which includes availability of an overadvance during certain periods.