Series 27: Suspended Repayments Of A Subordination Agreement

Taken from our Series 27 Online Guide

The repayment of a subordinated loan and the return of an SDN’s unpaid principal at the end of the contract’s term may be suspended if it will cause:

• Its aggregate indebtedness to exceed net capital by a 12 to 1 ratio (if using the traditional standard)

•

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Series 27: Suspended Repayments Of A Subordination Agreement

Taken from our Series 27 Online Guide

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