<PAGE>
EXHIBIT 10.1

                              AMENDMENT NUMBER ONE
                         TO LOAN AND SECURITY AGREEMENT


This AMENDMENT NUMBER ONE TO LOAN AND SECURITY AGREEMENT (the "Amendment") is
entered into as of October 3, 2001, between and among, on the one hand, the
lenders identified on the signature pages hereof (such lenders, together with
their respective successors and assigns, are referred to hereinafter each
individually as a "Lender" and collectively as the "Lenders"), FOOTHILL CAPITAL
CORPORATION, a California corporation, as the arranger and administrative agent
for the Lenders ("Agent"), and, on the other hand, HYPERCOM CORPORATION, a
Delaware corporation ("Parent"), and each of Parent's Subsidiaries identified on
the signature pages hereof (such Subsidiaries are referred to hereinafter each
individually as a "Borrower", and individually and collectively, jointly and
severally, as the "Borrowers"), with reference to the following:

WHEREAS, Borrowers and Parent previously entered into that certain Loan and
Security Agreement, dated as of July 31, 2001 (as further amended, restated,
supplemented, or otherwise modified from time to time, the "Loan Agreement"),
with Agent and Lenders pursuant to which Lenders have made certain loans and
financial accommodations available to Borrowers and Parent;

WHEREAS, pursuant to Section 3.2 of the Loan Agreement, the parties agreed to
amend the Loan Agreement to add a negative covenant in form and substance
satisfactory to Parent and each Initial Lender with respect to the monthly
operating expenses of Parent and its Subsidiaries with which Parent and its
Subsidiaries will be required to comply until the Term Loan is paid in full;

NOW, THEREFORE, in consideration of the foregoing and the mutual covenants
herein contained, and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereby agree as
follows:

         1.       Defined Terms. All terms used herein and not otherwise defined
                  shall have the meanings ascribed thereto in the Loan
                  Agreement.

         2.       Amendment To The Loan Agreement. A new Section 7.24 shall be
                  added to the Loan Agreement to read in its entirety as
                  follows:

                  "Section 7.24 Operating Expenses.

                  Until the Term Loan shall be paid in full, permit the combined
                  monthly operating expenses of Parent and its Subsidiaries
                  (calculated in accordance with GAAP applied on a basis
                  consistent with the calculations used to prepare the financial
                  statements to be delivered pursuant to Section 6.3(c) and the
                  Closing Date Business Plan) to exceed the amount set forth in
                  the following table for the applicable period set forth
                  opposite thereto:
<PAGE>
<TABLE>
<CAPTION>
                   Time Period                Maximum Combined Operating Expense
<S>                                           <C>
        July 2001                             $10,800,000

        August 2001                           $10,800,000

        September 2001                        No designated limit

        October 2001                          $10,800,000

        November 2001                         $10,800,000

        December 2001                         No designated limit

        Each first and second month           An amount equal to the result of
        of each calendar quarter thereafter   (a) one third of the sum of the
                                              Projections for (x) selling,
                                              general and administrative
                                              expenses and (y) research and
                                              development expenses, in each
                                              case as set forth in the Closing
                                              Date Business Plan for the
                                              quarter which includes such month,
                                              multiplied by (b) 120%."

        Each third month of each calendar     No designated limit
        quarter thereafter
</TABLE>


Representations and Warranties. Each of the Borrowers and the Parent hereby
represents and warrants to the Agent and the Lenders that (a) the execution,
delivery, and performance of this Amendment and of the Loan Agreement, as
amended hereby, are within its powers, have been duly authorized by all
necessary action, and are not in contravention of any law, rule, or regulation,
or any order, judgment, decree, writ, injunction, or award of any arbitrator,
court, or Governmental Authority, or of the terms of its Governing Documents, or
of any contract or undertaking to which it is a party or by which any of its
properties may be bound or affected, (b) this Amendment and the Loan Agreement,
as amended hereby, constitute its legal, valid, and binding obligation,
enforceable against it in accordance with its terms, and (c) this Amendment has
been duly executed and delivered by it.

Choice of Law and Venue; Jury Trial Waiver. This Amendment shall be governed by
and construed in accordance with the laws of the State of California. The
parties hereto agree that the provisions of Section 13 of the Loan Agreement are
hereby incorporated herein by this reference mutatis mutandis.

Counterparts; Telefacsimile Execution. This Amendment may be executed in any
number of counterparts and by different parties and separate counterparts, each
of which when so executed


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and delivered, shall be deemed an original, and all of which, when taken
together, shall constitute one and the same instrument. Delivery of an executed
counterpart of a signature page to this Amendment by telefacsimile shall be
effective as delivery of a manually executed counterpart of this Amendment. Any
party delivering an executed counterpart of this Amendment by telefacsimile also
shall deliver a manually executed counterpart of this Amendment, but the failure
to deliver a manually executed counterpart shall not affect the validity,
enforceability, and binding effect of this Amendment.

Effect on Loan Documents.

The Loan Agreement, as amended hereby, and each of the other Loan Documents
shall be and remain in full force and effect in accordance with its respective
terms and hereby is ratified and confirmed in all respects. The execution,
delivery, and performance of this Amendment shall not, except as expressly set
forth herein, operate as a waiver of or, except as expressly set forth herein,
as an amendment of, any right, power, or remedy of Agent or any Lender under the
Loan Agreement, as in effect prior to the date hereof. The waivers, consents,
and modifications herein are limited to the specifics hereof, shall not apply
with respect to any facts or occurrences other than those on which the same are
based, shall not excuse future non-compliance with the Loan Agreement, and shall
not operate as a consent to any further or other matter, under the Loan
Documents.

Upon and after the effectiveness of this Amendment, each reference in the Loan
Agreement to "this Agreement", "hereunder", "herein", "hereof" or words of like
import referring to the Loan Agreement, and each reference in the other Loan
Documents to "the Agreement", "thereunder", "therein", "thereof" or words of
like import referring to the Loan Agreement, shall mean and be a reference to
the Loan Agreement as modified and amended hereby.

To the extent that any terms and conditions in any of the Loan Documents shall
contradict or be in conflict with any terms or conditions of the Loan Agreement,
after giving effect to this Amendment, such terms and conditions are hereby
deemed modified or amended accordingly to reflect the terms and conditions of
the Loan Agreement as modified or amended hereby.

Further Assurances. Each of the Borrowers and Parent shall execute and deliver
all agreements, documents, and instruments, in form and substance satisfactory
to Agent, and take all actions as Agent may reasonably request from time to
time, to perfect and maintain the perfection and priority of Agent's security
interests in the Collateral (for the benefit of the Lenders) and to fully
consummate the transactions contemplated under this Amendment and the Loan
Agreement.

Entire Agreement. This Amendment, together with all other instruments,
agreements, and certificates executed by the parties in connection herewith or
with reference thereto, embody the entire understanding and agreement between
the parties hereto and thereto with respect to the subject matter hereof and
thereof and supersede all prior agreements, understandings, and inducements,
whether express or implied, oral or written.

                  [Remainder of page intentionally left blank]


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<PAGE>
         IN WITNESS WHEREOF, the parties hereto have caused this Amendment
Number One to Loan and Security Agreement to be executed and delivered as of the
date first above written.

PARENT:

HYPERCOM CORPORATION,
a Delaware corporation


By:   /s/ Jonathon E. Killmer
      ----------------------------------
Name:  Jonathon E. Killmer
Title:    Executive Vice President

BORROWERS:

HYPERCOM U.S.A., INC.,                  HYPERCOM MANUFACTURING RESOURCES, INC.,
a Delaware corporation                  an Arizona corporation


By:   /s/ Jonathon E. Killmer           By:   /s/ Jonathon E. Killmer
     ---------------------------              -------------------------------
Name:   Jonathon E. Killmer             Name:  Jonathon E. Killmer
Title:     Secretary                    Title:    Secretary

HYPERCOM HORIZON, INC.,                 EPICNETZ, INC.,
a Missouri corporation                  a Nevada corporation


By:   /s/ Jonathon E. Killmer           By:   /s/ Jonathon E. Killmer
     ---------------------------              -------------------------------
Name:   Jonathon E. Killmer             Name:   Jonathon E. Killmer
Title:     Secretary                    Title:     Secretary


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<PAGE>
Signature page to Amendment Number One to Loan and Security Agreement
(continued)


BORROWERS (continued)

HYPERCOM LATINO AMERICA, INC.,            HYPERCOM EUROPE LIMITED, INC.,
an Arizona corporation                    an Arizona corporation


By:  /s/ Jonathon E. Killmer              By:   /s/ Jonathon E. Killmer
    -------------------------                 --------------------------
Name:   Jonathon E. Killmer               Name:   Jonathon E. Killmer
Title:     Secretary                      Title:     Secretary

HYPERCOM (ARIZONA), INC.,
an Arizona corporation


By:   /s/ Jonathon E. Killmer
    -------------------------
Name:   Jonathon E. Killmer
Title:     Secretary


LENDERS:

FOOTHILL CAPITAL CORPORATION,         ABLECO FINANCE LLC,
a California corporation, as          a Delaware limited liability company,
Agent and as a Lender                 as a Lender

By:   /s/ John Nocita                 By:   /s/ Kevin Genda
    -----------------                     -----------------
Name:   John Nocita                   Name:   Kevin Genda
Title:     Vice President             Title:  Senior Vice President and Chief
                                              Credit Officer


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