# EDGAR Filing Document

**Accession Number:** 0001087329
**File Stem:** 0001477932-23-001786
**Filing Date:** 2023-3
**Character Count:** 202625
**Document Hash:** 73736bd8c940db417b41165603bc0b31
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001477932-23-001786.hdr.sgml**: 20230328

**ACCESSION NUMBER**: 0001477932-23-001786

**CONFORMED SUBMISSION TYPE**: 1-A/A

**PUBLIC DOCUMENT COUNT**: 200

**FILED AS OF DATE**: 20230328

**DATE AS OF CHANGE**: 20230328

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** RushNet, Inc.
- **CENTRAL INDEX KEY:** 0001087329
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-BUSINESS SERVICES, NEC [7389]
- **IRS NUMBER:** 860853156
- **STATE OF INCORPORATION:** CO
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 1-A/A
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 024-11912
- **FILM NUMBER:** 23767160

**BUSINESS ADDRESS:**
- **STREET 1:** 8465 MERCHANTS WAY
- **STREET 2:** SUITE 206
- **CITY:** ORANGE PARK
- **STATE:** FL
- **ZIP:** 32222
- **BUSINESS PHONE:** 423-206-2299

**MAIL ADDRESS:**
- **STREET 1:** 8465 MERCHANTS WAY
- **STREET 2:** SUITE 206
- **CITY:** ORANGE PARK
- **STATE:** FL
- **ZIP:** 32222

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** AURORA PRECIOUS METALS  INC
- **DATE OF NAME CHANGE:** 20030409

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** COMPUTERXPRESS COM INC
- **DATE OF NAME CHANGE:** 20000706

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** COSTPLUSFIVE COM
- **DATE OF NAME CHANGE:** 19990611

## Part

**PART II: INFORMATION REQUIRED IN OFFERING CIRCULAR**

**ITEM 1**

**COVER PAGE OF PRELIMINARY OFFERING CIRCULAR**

**DATE OF PROPOSED SALE TO PUBLIC:**

**2<sup>nd</sup> Quarter 2023 – immediately following approval from SEC**

**RUSHNET, INC.**

**Corporate Office:**

**8465 Merchant's Way, Suite 206**

**Jacksonville, Florida 32222**

**(833) 435-4678**

**Best Efforts Offering**

**5,000,000,000 Common Shares of RushNet, Inc. at $0.001 per Share: $$5,000,000 Aggregate Offering**

**No Minimum** 

**Termination Date of Offering: April 1, 2024 Unless Extended (Up to 12 Months from the date of this Offering Circular)**

**An Offering Statement pursuant to Regulation A (17 CFR 230.251, *et seq.*) relating to the securities described herein below has been filed with the U. S. Securities and Exchange Commission (the "Commission"). Information contained in this preliminary offering circular is subject to completion or amendment (hereafter, the "Preliminary Offering Circular"). The securities described herein may not be sold nor may offers to buy be accepted before the Offering Statement filed with the Commission is qualified. This Preliminary Offering Circular shall not constitute an offer to sell or the solicitation of an offer to buy nor may there be any sales of these securities in any state in which such offer, solicitation or sale would be unlawful before the registration or qualification under the laws of any such state. The issuer may elect to satisfy its obligation to deliver a final offering circular ("Final Offering Circular") by sending you a notice within two business days following the completion of its sale to you that contains the uniform resource locator ("URL") where the Final Offering Circular or the Offering Statement in which such Final Offering Circular was filed or may be obtained.**

**Offering Circular Dated March 28, 2023**

**We are providing the disclosures in the format prescribed in Part II to the Form 1-A**

**THE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR APPLICABLE STATE SECURITIES LAWS, AND ARE BEING OFFERED AND SOLD IN RELIANCE ON EXEMPTIONS FROM THE REGISTRATION REQUIREMENTS OF THESE LAWS. THE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND EXCHANGE COMMISSION OR ANY STATE REGULATORY AUTHORITY NOR HAS THE COMMISSION OR ANY STATE REGULATORY AUTHORITY PASSED UPON OR ENDORSED THE MERITS OF THE OFFERING. ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL.**

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***Generally, no sale may be made to you in this Offering if the aggregate purchase price you pay is more than 10% of the greater of your annual income or net worth. Different rules apply to accredited investors and non-natural persons. Before making any representation that your investment does not exceed applicable thresholds, we encourage you to review Rule 251(d)(2)(i)(C) of Regulation A. For general information on investing, we encourage you to refer to www.investor.gov.***

This is an offering by RushNet (also known and traded as "RSHN") of up to 5,000,000,000 shares in RushNet, Inc. at $0.001 per share, an aggregate $5,000,000 (the "Offering"). RSHN shares are traded on the Pink Sheets of OTC Markets and are subject of public markets. The proceeds from this Offering will be employed as outlined in "Use of Proceeds" and "Description of Business."

This Offering is being conducted on a best-efforts, self-underwriting basis. Our officers and directors will not receive commissions or any other remuneration from any such sales. Unless earlier terminated, the Offering Period will be up to 12 months from the date hereof. There is no minimum Offering. The issuer reserves the right, but is not committed, to have an SEC registered broker-dealer/member firm of FINRA (the "Placement Agent") sell the shares, at minimum, to supplement the self-underwritten Offering in states where agent of issuer registration is required. (If engaged, the Placement Agent would be paid--out of Shares sold at any closing—from 6-8% of the amount sold by them and we would file a post-effective amendment to this qualified Offering.

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|  | **Price to the**<br> **Public** | **Underwriting Discount and Commissions** | **Proceeds to**<br> **Issuer (2)(3)(4)** | **Proceeds to**<br> **Other Persons** |
| **Per Share (1)** | $.001 | N/A | $.000985 | 0 |
| **No Minimum** | N/A | N/A | 92.5% of Raise  | $74000 |
| **Total Maximum:** | $5000000 | N/A | $5000000 | 0 |

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(1) The common stock of RushNet is being offered on a best-efforts, self-underwriting basis. Still, the Company reserves the right, but is not currently committed, to conduct the offering through broker-dealers who are registered with FINRA, or a combination of the two. As of the date of this Offering Circular, no selling agreement has been agreed upon with any broker-dealer firm. RushNet may be required to indemnify participating broker-dealers and possibly other parties with respect to disclosures made in the Offering Circular. We reserve the right to enter into posting agreements with equity crowdfunding firms, not associated with FINRA members, in connection with this Offering, for which we may pay non-contingent fees as compensation.

(2) The amounts shown are before deducting organization and offering costs to us, which include legal, accounting, printing, due diligence, marketing, consulting, referral fees, selling and other costs incurred in the Offering of the Shares. (See "Use of Proceeds" and "Plan of Distribution.")

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(3) The Shares are being offered pursuant to Regulation A (Section 3(b) of the Securities Act). Because the Offering is a Tier 2, Reg A Offering, there are no state (or for that matter SEC) filing fees. The Shares will only be issued to purchasers who satisfy the requirements set forth in Regulation A. (See "Plan of Distribution.")

(4) RSHN anticipates that it may incur approximately $74,000 for fees for professionals retained by the Company for this Offering. None of these expenses will be paid to a FINRA member.

**THIS OFFERING CIRCULAR IS NOT KNOWN TO CONTAIN AN UNTRUE STATEMENT OF A MATERIAL FACT, NOR TO OMIT MATERIAL FACTS WHICH, IF OMITTED, WOULD MAKE THE STATEMENTS HEREIN MISLEADING. IT CONTAINS A FAIR SUMMARY OF THE MATERIAL TERMS OF DOCUMENTS SUMMARIZED HEREIN. REFERENCE SHOULD BE MADE TO THE CERTIFICATION OF RIGHTS, PREFERENCES AND PRIVILEGES AND OTHER DOCUMENTS REFERRED TO HEREIN, COPIES OF WHICH ARE ATTACHED HERETO OR WILL BE SUPPLIED UPON REQUEST, FOR THE EXACT TERMS OF SUCH AGREEMENTS AND DOCUMENTS.**

**THIS OFFERING CIRCULAR DOES NOT CONSTITUTE AN OFFER OR SOLICITATION IN ANY JURISDICTION IN WHICH SUCH AN OFFER OR SOLICITATION WOULD BE UNLAWFUL. NO PERSON HAS BEEN AUTHORIZED TO GIVE ANY INFORMATION OR TO MAKE ANY REPRESENTATIONS CONCERNING THE COMPANY OTHER THAN THOSE CONTAINED IN THIS OFFERING CIRCULAR, AND IF GIVEN OR MADE, SUCH OTHER INFORMATION OR REPRESENTATION MUST NOT BE RELIED UPON.**

**PROSPECTIVE INVESTORS ARE NOT TO CONSTRUE THE CONTENTS OF THIS OFFERING CIRCULAR, OR OF ANY PRIOR OR SUBSEQUENT COMMUNICATIONS FROM THE COMPANY OR ANY OF ITS EMPLOYEES, AGENTS OR AFFILIATES, AS INVESTMENT, LEGAL, FINANCIAL OR TAX ADVICE. EACH INVESTOR SHOULD CONSULT HIS OWN COUNSEL, ACCOUNTANT AND OTHER PROFESSIONAL ADVISORS AS TO LEGAL, TAX AND OTHER RELATED MATTERS CONCERNING HIS INVESTMENT.**

If a subscription is rejected, the associated proceeds will be returned immediately to the investors without interest. Otherwise, proceeds from the sale of Shares will be retained by the applicable issuer.

**THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION DOES NOT PASS UPON THE MERITS OF OR GIVE ITS APPROVAL TO ANY SECURITIES OFFERED OR THE TERMS OF THE OFFERING, NOR DOES IT PASS UPON THE ACCURACY OR COMPLETENESS OF ANY OFFERING CIRCULAR OR OTHER SELLING LITERATURE. THESE SECURITIES ARE OFFERED PURSUANT TO AN EXEMPTION FROM REGISTRATION WITH THE COMMISSION; HOWEVER, THE COMMISSION HAS NOT MADE AN INDEPENDENT DETERMINATION THAT THE SECURITIES OFFERED ARE EXEMPT FROM REGISTRATION.**

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**OVERVIEW OF OFFERING**

RushNet, Inc. is making a public offering of 5,000,000,000 shares at a selling price of $.001 per share.

The Offering is being conducted on a best-efforts basis. If sold on a self-underwritten basis, there would be no brokerage commissions paid; if SEC-registered broker-dealers are engaged as a Selling Agent, brokerage commissions will be paid to such firms of 6%-8% or best negotiated terms…or a combination of the two.

*There are no selling security holders.*

You should only purchase Shares if you can afford a loss of your investment. Our independent registered public accounting firm has issued an audit opinion (attached) for RushNet.

THIS OFFERING CIRCULAR MAY NOT BE REPRODUCED IN WHOLE OR IN PART. THE USE OF THIS OFFERING CIRCULAR FOR ANY PURPOSE OTHER THAN AN INVESTMENT IN THE COMMON STOCK DESCRIBED HEREIN IS NOT AUTHORIZED AND IS PROHIBITED.

THIS OFFERING IS SUBJECT TO WITHDRAWAL OR CANCELLATION BY RUSHNET AT ANY TIME AND WITHOUT NOTICE. RUSHNET RESERVES THE RIGHT IN ITS SOLE DISCRETION TO REJECT ANY SUBSCRIPTION IN WHOLE OR IN PART NOTWITHSTANDING TENDER OF PAYMENT OR TO ALLOT TO ANY PROSPECTIVE INVESTOR LESS THAN THE NUMBER OF SECURITIES SUBSCRIBED FOR BY SUCH INVESTOR.

THE OFFERING PRICE OF THE SECURITIES IN WHICH THIS OFFERING CIRCULAR RELATES HAS BEEN DETERMINED BY RSHN RUSHNETAND DOES NOT NECESSARILY BEAR ANY SPECIFIC RELATION TO THE ASSETS, BOOK VALUE OR POTENTIAL EARNINGS OF THE COMPANY OR ANY OTHER RECOGNIZED CRITERIA OF VALUE.

**NASAA UNIFORM LEGEND:**

**IN MAKING AN INVESTMENT DECISION, INVESTORS MUST RELY ON THEIR OWN EXAMINATION OF THE ISSUER AND THE TERMS OF THE OFFERING, INCLUDING THE MERITS AND RISKS INVOLVED. THESE SECURITIES HAVE NOT BEEN RECOMMENDED BY FEDERAL OR STATE SECURITIES COMMISSIONS OR REGULATORY AUTHORITY. FURTHERMORE, THE FOREGOING AUTHORITIES HAVE NOT CONFIRMED THE ACCURACY OR DETERMINED THE ADEQUACY OF THIS DOCUMENT. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE. THESE SECURITIES ARE SUBJECT TO RESTRICTIONS ON TRANSFERABILITY AND RESALE AND MAY NOT BE TRANSFERRED OR RESOLD EXCEPT AS PERMITTED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND THE APPLICABLE STATE SECURITIES LAWS, PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM. INVESTORS SHOULD BE AWARE THAT THEY WILL BE REQUIRED TO BEAR THE FINANCAL RISKS OF THIS INVESTMENT FOR AN INDEFINITE PERIOD OF TIME.**

**FOR ALL RESIDENTS OF ALL STATES:**

**THE SHARES OFFERED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF STATES IN WHICH OFFERED AND SOLD IN RELIANCE ON EXEMPTIONS FROM THE REGISTRATION REQUIREMENTS OF SAID ACT AND SUCH LAWS. THE INTERESTS ARE SUBJECT IN VARIOUS STATES TO RESTRICTION ON TRANSFERABILITY AND RESALE AND MAY NOT BE TRANSFERRED OR RESOLD EXCEPT AS PERMITTED UNDER SAID ACT AND SUCH LAWS PURSUANT TO REGISTRATION OR EXEMPTION THEREFROM. THE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND EXCHANGE COMMISSION, ANY STATE SECURITIES COMMISSION OR OTHER REGULATORY AUTHORITY, NOR HAVE ANY OF THE FOREGOING AUTHORITIES PASSED UPON OR ENDORSED THE MERITS OF THIS OFFERING OR THE ACCURACY OR ADEQUACY OF THE OFFERING CIRCULAR. ANY REPRESENTATION TO THE CONTRARY IS UNLAWFUL.**

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**ITEM 2.**

****TABLE OF CONTENTS**.**

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| **Item** | **Description**  |
| [1.](#i1) | [Cover of Offering Circular](#i1) |
| [2.](#TOC) | [**Table of Contents**](#TOC) |
| [3.](#summary) | [Summary of Offering and Risk Factors](#summary) |
| [4.](#dilution) | [Dilution](#dilution) |
| [5.](#planof) | [Plan of Distribution; No Selling Securityholders](#planof) |
| [6.](#useof) | [Use of Proceeds](#useof) |
| [7.](#discrip) | [Description of Business](#discrip) |
| [8.](#i8) | [Our Properties](#i8) |
| [9.](#managment) | [Management's Discussion and Analysis of Financial Condition and Results of Operations](#managment) |
| [10.](#director) | [Directors, Executive Officers and Significant Employees](#director) |
| [11.](#compensa) | [Compensation of Directors and Executive Officers](#compensa) |
| [12.](#sequrity) | [Security Ownership of Management and Certain Security Holders](#sequrity) |
| [13.](#intrest) | [Interest of Management and Others in Certain Transactions](#intrest) |
| [14.](#sequrity) | [Securities Being Offered](#sequrity) |
| F-1  | Financial Statements |

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**ITEM 3.**

**SUMMARY OF OFFERING AND RISK FACTORS**

**The following summary is qualified in its entirety by the more detailed information and the consolidated financial statements and notes thereto appearing at the end of this Offering Circular. Prospective investors should consider carefully the information discussed under "Summary of Offering and Risk Factors." An investment in our securities presents substantial risks and you could lose all or substantially all of your investment.**

*Basis of Presentation; Explanatory Notes.*

For interpretative purposes, respective to our responses in this Offering Circular, we consider ourselves a "small business" as that term is defined in 17 CFR 230.157.

<u>Advice of Forward-Looking Statements</u>

There are various sections of this Offering Circular that contain "forward-looking statements." We use words such as "believe, "intend," "expect," "anticipate", "plan," "may," "will" and similar expressions (in either their singular or plural forms) to identify forward-looking statements. All forward-looking statements including, but not limited to, forecasts or estimates concerning any former business or plan of operations, including demand for our products and services, mix of revenue streams, ability to control and/or reduce operating expenses, anticipated operating results, cost savings, product development efforts, general outlook of our business and industry, our business, competitive position, adequate liquidity to fund our operations and meet our other cash requirements, are inherently uncertain as they are based on our management's expectations and assumptions concerning such future events. These forward-looking statements are subject to numerous known and unknown risks and uncertainties. You should not place undue reliance on these forward-looking statements. Our actual results could differ materially from those we anticipate and conveyed by the use of such forward-looking statements and, for many reasons, are subject to certain risks. All forward-looking statements in this Offering Circular are made as of the date hereof, based on information available to us (taking into consideration that certain information is unknown or not available to us) as of the date hereof, and we assume no obligation to update any forward-looking statement or information contained in this Offering Circular.

The following Summary highlights material information contained elsewhere in this Offering Circular. This summary does not contain all of the information you should consider before investing in our common stock. Before making an investment decision, you should read the entire Offering Circular carefully, including the "Summary of Risk Factors" section, the "Management's Discussion and Analysis of Financial Condition and Results of Operations" section, the consolidated financial statements and the consolidated notes to the consolidated financial statements.

RushNet (or "RSHN"), on a best-efforts basis, is making a public offering (the "Offering") as outlined in this Offering Circular.Currently, there is a public market (on OTC Markets/Pink Sheets) for RSHN's common stock. Part of our business plan is to become a reporting company as a result of this Regulation A public qualification and, indeed, to go "upmarket"—such as seeking listing on one of OTC Markets' secondary markets —most likely on OTCQB initially and, in due course, OTCQX, or the NASDAQ National Capital Market which RSHN may then qualify. Nonetheless, an investment in the Shares offered for sale under this Offering Circular involves a high degree of risk. You should purchase Company securities only if you can afford losing your entire investment. (See "Risk Factors" beginning on page 8 of this Offering Circular.)

Unless earlier terminated, the Offering will remain up to 12 months from the date of this qualified Offering Circular. The Offering can be extended by management at their sole discretion by amending the underlying Offering Statement. (See "Plan of Distribution.") The date that RushNet has accepted subscriptions for up to 5,000,000,000 RushNet shares aggregating $5,000,000 will mark the end of the Offering. At such time, the up to twelve (12) month Offering will alternatively be concluded or discontinued.

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**INVESTORS ARE CAUTIONED TO CAREFULLY EVALUATE RUSH-NET'S ABILITY TO FULLY ESTABLISH ITS STATED OBJECTIVES AND TO INQUIRE AS TO CURRENT DOLLAR VOLUME OF SUB-SCRIPTIONS.**

**UNTIL JANUARY 1, 2023 (90 DAYS AFTER THE DATE HEREOF), ANY BROKER-DEALER EFFECTING TRANSACTIONS IN THE SHARES, WHETHER OR NOT PARTICIPATING IN THIS DISTRIBUTION, MAY BE REQUIRED TO DELIVER A CURRENT COPY OF THIS OFFERING CIRCULAR. THIS IS IN ADDITION TO THE OBLIGATION OF DEALERS TO DELIVER A COPY OF THIS OFFERING CIRCULAR WHEN ACTING AS UNDERWRITERS AND WITH RESPECT TO ANY UNSOLD ALLOTMENTS OR SUBSCRIPTIONS.**

*The following Summary is qualified in its entirety by the more detailed information and financial statements appearing elsewhere or incorporated by reference in this Offering Circular. All references in this Offering Circular to shares are as of December 31, 2022 unless otherwise specified. Prospective investors should carefully consider the information set forth under the heading "Summary of Risk Factors."*

On January 15, 1997, RushNet Inc. was incorporated in the State of Nevada. A Plan of Conversion of RushNet from a Nevada corporation to a Colorado corporation was filed on January 2, 2015. The Articles of Incorporation for a Profit Corporation for Rushnet Inc. to be incorporated as a Colorado corporation were filed on January 2, 2015. A Statement of Conversion was filed on January 2, 2015, converting RushNet from a Nevada corporation to a Colorado corporation. On September 27, 2018, RushNet changed its name to RushNet Transition Inc. As part of a plan of corporate reorganization dated September 25, 2018, and filed with the Colorado Secretary of State, RushNet reorganized as follows: (i) RushNet changed its name to RushNet Transition Inc; (ii) on October 26, 2018, RushNet Transition Inc merged to Rush Merger Sub Inc., a Colorado corporation formed on September 27, 2018 ("Rush-Sub"), being Rush-Sub the survivor entity; (iii) Rush-Sub was a wholly owned subsidiary of RushNet, Inc., a Colorado corporation incorporated on September 27, 2018, and the company subject to this Offering. Ultimately, on October 31, 2022, Rush-Sub merged to RushNet, Inc., the Offering company, being RushNet, Inc., the survivor entity. RushNet's corporate office is located at 8465 Merchant's Way, Suite 206, Jacksonville, Florida 32222. RSHN's telephone number is (423) 206-2299.

As a small business in the diagnostics testing space, our plan of operations has been structured in a manner that management believes brings the requisite skills and services to the Company in order to operate efficiently and at the same time manage overhead costs. We have 9 full time employees but will add others as funding or cash flow permits.

**Summary Financial Data**

The Summary Financial Information reflects the financial position and operations of the RushNet as of and for the year ended December 31, 2021. This information should be read in conjunction with "Management's Discussion and Analysis of Financial Condition and Results of Operation."

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| Current Assets | $691159 |
| Non-current Assets | $7194362 |
| Current liabilities | $1426479 |
| Long Term Liabilities | $5465107 |
| Revenue | $5896764 |
| Gross Profit | $4121524 |
| Net Profit | $163560 |

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**Pro Forma Financial Information**

Audited consolidated financial statements as of December 31, 2021 and 2020 (see Appendix I) are provided in this Offering Circular. In addition, summary financial data is provided in "Selected Financial Data" above.

**Risk Factors**

*You should carefully consider the risks described below. The risks and uncertainties described below are not the only ones facing our Company. Additional risks and uncertainties not presently known to us or that we currently deem immaterial may also adversely affect our business and operations.*

*If any of the matters included in the following risks were to occur, our business, financial condition, results of operations, cash flows or prospects could be materially, adversely affected. In such case, you may lose all or part of your original investment.*

**Efforts by third party payers, including the government, to reduce utilization and pricing could have a material adverse effect on our net revenues and profitability.**

Government payers, such as Medicare and Medicaid, as well as private payers and larger employers have taken steps and may continue to take steps to control the cost, utilization and delivery of healthcare services, including clinical laboratory services. The Center for Medicare and Medicaid Services, or CMS (formerly the Health Care Financing Administration) has, over the years, sought to control clinical laboratory expenditures by the Medicare and Medicaid programs through various means, including reimbursement rate reductions, measures designed to control over-utilization by some physicians, and limited coverage policies.

The impact of competitive bidding on our revenues is not known and is impossible to accurately predict. Furthermore, since January 1, 2006, CMS began implementing Medicare Part D in accordance with the Medicare Prescription Drug Improvement and Modernization Act ("MMA"). CMS has projected that a sizeable percentage of traditional Medicare beneficiaries will shift into new private health plans (Medicare Advantage). It is not known and we cannot predict the impact that a shift from traditional Medicare fee-for-service to Medicare Advantage may have on our revenues.

The healthcare industry has experienced a trend of consolidation among healthcare insurers, resulting in fewer but larger insurers with significant bargaining power in negotiating fee arrangements with healthcare providers, including clinical laboratories. These healthcare insurers, as well as independent physician associations, demand that clinical laboratory service providers accept discounted fee structures or assume all or a portion of the financial risk associated with providing testing services to their members through capitated payment arrangements. Under capitated payment arrangements, clinical laboratories receive a fixed monthly fee per enrolled individual for all laboratory tests performed during the month, regardless of the number or cost of the tests actually performed, although some services, such as various esoteric tests, new technologies and anatomic pathology services, may be carved out from a capitated arrangement. Services that are carved out from a capitated arrangement are charged on a fee-for-service basis. We work closely with healthcare insurers as they evaluate new tests; however, as innovation in the testing area increases, there is no guarantee that healthcare insurers will agree to offer new tests as a covered service, reimburse them at rates that reflect the true cost or value associated with such services or carve out these services from capitated arrangements.

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Efforts to impose reduced reimbursements and more stringent cost controls by government and other payers may continue. If we cannot offset additional reductions in the payments we receive for our services by reducing costs, increasing test volume and/or introducing new procedures, our net revenues and profitability could be materially adversely affected.

**If we fail to comply with extensive laws and regulations, we could suffer fines and penalties or be required to make significant changes to our operations.**

We are subject to extensive and frequently changing federal, state and local laws and regulations. We believe that, based on our experience with government settlements and public announcements by various government officials, the federal government continues to strengthen its position on healthcare fraud. In addition, legislative provisions relating to healthcare fraud and abuse give federal enforcement personnel substantially increased funding, powers and remedies to pursue suspected fraud and abuse. While we believe that we are in material compliance with all applicable laws, many of the regulations applicable to us, including those relating to billing and reimbursement of tests and those relating to relationships with physicians and hospitals, are vague or indefinite and have not been interpreted by the courts. They may be interpreted or applied by a prosecutorial, regulatory or judicial authority in a manner that could require us to make changes in our operations, including our pricing and/or billing practices. If we fail to comply with applicable laws and regulations, we could suffer civil and criminal damages, fines and penalties, including the loss of licenses or our ability to participate in Medicare, Medicaid and other federal and state healthcare programs and additional liabilities from third-party claims.

The Clinical Laboratory Improvement Amendments of 1988 (CLIA) regulates virtually all clinical laboratories by requiring that they be certified by the federal government and comply with various operational, personnel and quality requirements intended to ensure that their clinical laboratory testing services are accurate, reliable and timely. Furthermore, CLIA does not preempt state laws that are more stringent than federal law. Some state laws may require additional personnel qualifications, quality control, record maintenance and/or proficiency testing. Intentional and serious failures to comply with these requirements can lead to loss of licenses, exclusion from the Medicare and Medicaid programs, fines and other penalties.

Billing and reimbursement for clinical laboratory testing is subject to significant and complex federal and state regulation. Penalties for violations of laws relating to billing federal healthcare programs and for violations of federal fraud and abuse laws include: (1) exclusion from participation in the Medicare/Medicaid programs; (2) asset forfeitures; (3) civil and criminal fines and penalties; and (4) the loss of various licenses, certificates and authorizations necessary to operate some or all of a clinical laboratory's business. Civil monetary penalties for a wide range of violations are not more than $10,000 per violation plus three times the amount claimed and, in the case of kickback violations, not more than $50,000 per violation plus up to three times the amount of remuneration involved. A parallel civil remedy under the federal False Claims Act provides for damages not more than $11,000 per violation plus up to three times the amount claimed

As an integral part of our compliance program, we investigate all reported or suspected failures to comply with federal healthcare reimbursement requirements. Any non-compliance that results in Medicare or Medicaid overpayments is reported to the government and reimbursed by us. As a result of these efforts, we have periodically identified and reported overpayments. While we have reimbursed these overpayments and have taken corrective action where appropriate, we cannot assure investors that in each instance the government will necessarily accept these actions as sufficient.

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**Failure in our information technology systems, including failures resulting from our systems conversions or failures to adapt existing systems to proposed Health Information Technology ("HIT") standards, could significantly increase turnaround time, otherwise disrupt our operations, or lead to increased competition by other providers of laboratory services, all of which could reduce our customer base and result in lost net revenues.**

Information systems are used extensively in virtually all aspects of our business, including laboratory testing, billing, customer service, logistics and management of medical data. Our success depends, in part, on the continued and uninterrupted performance of our information technology, or IT, systems. IT systems are vulnerable to damage from a variety of sources, including telecommunications or network failures, malicious human acts and natural disasters. Moreover, despite network security measures, some of our servers are potentially vulnerable to physical or electronic break-ins, computer viruses and similar disruptive problems. Despite the precautionary measures we have taken to prevent unanticipated problems that could affect our IT systems, sustained or repeated system failures that interrupt our ability to process test orders, deliver test results or perform tests in a timely manner could adversely affect our reputation and result in a loss of customers and net revenues.

In addition, public and private initiatives at the federal, state and regional levels to create HIT standards for the electronic exchange of clinical information, including laboratory results, could require costly modifications to our existing IT systems. While we do not expect HIT standards to be adopted or implemented without adequate time to comply with new standards, failure or delay in implementing HIT interoperability standards or in adopting and incorporating standardized clinical coding systems in our IT systems, could result in a loss of customers, a loss of business opportunities, and could adversely affect our reputation.

**The contemplated acquisition(s) may not produce the anticipated benefits.**

A major tenet of our business plan is the acquisition of growing, profitable laboratories. Even if we are able to successfully acquire the operations of acquired laboratories, we may not be able to realize all or any of the benefits that we expect to result from such acquisition and integration. We believe individual acquisition(s) will generate annual synergies (and savings) upon integration, anticipated to occur within two years of closing on a given acquisition. However, there can be no assurance that such synergies will be realized.

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**Failure to timely or accurately bill for our services could have a material adverse effect on our net revenues and bad debt expense.**

Billing for laboratory services is extremely complicated. We provide testing services to a broad range of healthcare providers. We consider a "payer" to be the party that pays for the test and a "customer" to be the party who refers the test to us. Depending on the billing arrangement and applicable law, we must bill various payers, such as patients, insurance companies, Medicare, Medicaid, doctors and employer groups, all of which have different billing requirements. Additionally, auditing for compliance with applicable laws and regulations as well as internal compliance policies and procedures add further complexity to the billing process. Among many other factors complicating billing are:

· pricing differences between our fee schedules and the reimbursement rates of the payers;

· disputes with payers as to which party is responsible for payment; and

· disparity in coverage and information requirements among various carriers.

We incur significant costs as a result of our participation in Medicare and Medicaid programs as billing and reimbursement for clinical laboratory testing is subject to considerable and complex federal and state regulation. These costs include those related to: (1) complexity added to our billing processes; (2) training and education of our employees and customers; (3) compliance and legal costs; and (4) costs related to, among other factors, medical necessity denials and advanced beneficiary notices. Compliance with applicable laws and regulations, as well as internal compliance policies and procedures, adds further complexity and costs to the billing process. Changes in laws and regulations could negatively impact our ability to bill our clients. CMS establishes procedures and continuously evaluates and implements changes in the reimbursement process.

Bad debt is an inherent part of every business. RushNet , just as any laboratory, has its share of contributory sources of bad debt. As in the case of any business, management must know and understand its projected income and cash flow in order to manage operating expenses and maintain reasonable profit. In laboratory services, management must know the estimates of amounts to be collected under the terms of the 3<sup>rd</sup> party payor contracts and its historical adjudication rates to determine projected income; however, a factor that can potentially delay or adversely affect the anticipated figures is the validity of the patient's details transmitted by the customer through an order (aka requisition) or through the payor's assessment of medical necessity. If unanticipated issues arise from one or more of these primary contributory factors, then delays may occur in billing due to the additional workload required to rectify the situation through billing follow ups and, in some occasions, in retraining of the customer's operations practices. In effect this results in the slowing of the billing and collecting process, creates backlogs of unbilled requisitions and generally increases the aging of accounts receivables and potentially adjustments to estimated revenue through changes in adjudication rates of claims by third-party payors.

Failure to provide a higher quality of service than that of our competitors could have a material adverse effect on our net revenues and profitability.

While there has been significant consolidation in the clinical laboratory testing business in recent years, it remains a fragmented and highly competitive industry. We believe that healthcare providers consider a number of factors when selecting a laboratory, including:

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· service capability and quality;

· accuracy, timeliness and consistency in reporting test results;

· number and type of tests performed by the laboratory;

· number, convenience and geographic coverage of patient service centers;

· reputation in the medical community; and

· pricing.

We believe that we compete favorably in these areas. We compete with three types of laboratory providers—hospital-affiliated laboratories, other independent clinical laboratories and physician-office laboratories. Hospitals generally maintain an on-site laboratory to perform testing on their patients. In addition, many hospitals compete with independent clinical laboratories for outreach (non-hospital patients) testing. Most physicians have admitting privileges or other relationships with hospitals as part of their medical practice and many hospitals leverage their relationships with community physicians and encourage the physicians to send their outreach testing to the hospital's laboratory. In addition, hospitals that own physician practices generally require the physicians to refer tests to the hospital's laboratory. As a result of this affiliation between hospitals and community physicians, we compete against hospital-affiliated laboratories primarily based on quality of service. Our failure to provide service superior to hospital-affiliated laboratories and other laboratories could have a material adverse effect on our net revenues and profitability.

**Regulations requiring the use of "standard transactions" for health care services issued under "HIPAA" may negatively impact our profitability and cash flows.**

Pursuant to the Health Insurance Portability and Accountability Act of 1996, or HIPAA, the Secretary of the Department of Health and Human Services, or HHS, issued final regulations designed to improve the efficiency and effectiveness of the health care system by facilitating the electronic exchange of information in certain financial and administrative transactions while protecting the privacy and security of the information exchanged. Three principal regulations have been issued in final form: standards for electronic transactions, security regulations and privacy regulations.

The HIPAA transaction standards are complex, and subject to differences in interpretation by payers. For instance, some payers may interpret the standards to require us to provide certain types of information, including demographic information not usually provided to us by physicians. While most of our transactions are submitted and/or received in standard format, inconsistent application of transaction standards by some remaining payers or our inability to obtain certain billing information not usually provided to us by physicians could increase our costs and the complexity of billing. In addition, new requirements for additional standard transactions, such as claims attachments, could prove technically difficult, time-consuming or expensive to implement. We are working closely with our payers to establish acceptable protocols for claims submissions and with our trade association and an industry coalition to present issues and problems as they arise to the appropriate regulators and standards setting organizations.

**Compliance with the HIPAA security regulations and privacy regulations may increase our costs.**

The HIPAA privacy and security regulations establish comprehensive federal standards with respect to the uses and disclosures of protected health information by health plans, healthcare providers and healthcare clearinghouses, in addition to setting standards to protect the confidentiality, integrity and availability of protected health information. The regulations establish a complex regulatory framework on a variety of subjects, including:

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· the circumstances under which usage and disclosures of protected health information are permitted or required without a specific authorization by the patient, including but not limited to treatment purposes, activities to obtain payments for our services, and our healthcare operations activities;

· a patient's rights to access, amend and receive an accounting of certain disclosures of protected health information;

· the content of notices of privacy practices for protected health information; and

· administrative, technical and physical safeguards required of entities that use or receive protected health information.

We have implemented practices to meet the requirements of the HIPAA privacy and security regulations, as required by law. The privacy regulations establish a "floor" and do not supersede state laws that are typically more stringent. Therefore, we are required to comply with both federal privacy regulations and varying state privacy laws. The federal privacy regulations restrict our ability to use or disclose patient-identifiable laboratory data, without patient authorization, for purposes other than payment, treatment or healthcare operations (as defined by HIPAA), except for disclosures for various public policy purposes and other permitted purposes outlined in the privacy regulations. The privacy and security regulations provide for significant fines and other penalties for wrongful use or disclosure of protected health information, including potential civil and criminal fines and penalties. Although the HIPAA statute and regulations do not expressly provide for a private right of damages, we also could incur damages under state laws to private parties for the wrongful use or disclosure of confidential health information or other private personal information. In mitigation, we do not engage in any data transfers outside the U.S.

Compliance with all of the HIPAA regulations, including new standard transactions, requires ongoing resources from all healthcare organizations. While we believe our total costs to comply with HIPAA will not be material to our operations or cash flows, new standard transactions and additional customer requirements resulting from different interpretations of the current regulations could impose additional costs on us.

**FDA regulation of laboratory-developed tests or analyte specific reagents could lead to increased costs and delay in introducing new tests.**

The FDA has regulatory responsibility over instruments, test kits, reagents and other devices used to perform diagnostic testing by clinical laboratories. In the past, the FDA has claimed regulatory authority over laboratory-developed tests but has exercised enforcement discretion in not regulating tests performed by high complexity CLIA-certified laboratories. Representatives of clinical laboratories (including the Company) and the American Clinical Laboratory Association (our industry trade association) have met with representatives of the FDA to address industry issues with regard to increased oversight over the analyte specific reagents used in laboratory-developed tests in particular. We expect those discussions to continue. FDA interest in or actual regulation of laboratory-developed tests or increased regulation of the various medical devices used in laboratory-developed testing could lead to periodic inquiry letters from the FDA and increased costs and delays in introducing new tests.

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**The development of new, more cost-effective tests that can be performed by physicians in their offices or by patients could negatively impact our testing volume and net revenues.**

The diagnostics testing industry is faced with changing technology and new product introductions. Advances in technology may lead to the development of more cost-effective tests that can be performed outside of an independent clinical laboratory such as (1) point-of-care tests that can be performed by physicians in their offices, (2) esoteric tests that can be performed by hospitals in their own laboratories or (3) home testing that can be performed by patients in their homes or by physicians in their offices. Development of such technology and its use by our customers would reduce the demand for our laboratory-based testing services and negatively impact our net revenues. Currently, most of our clinical laboratory testing is categorized as "high" or "moderate" complexity, and thereby subject to extensive and costly regulation, under CLIA. Manufacturers of laboratory equipment and test kits could seek to increase their sales by marketing point of care laboratory equipment to physicians and by selling test kits approved for home use to both physicians and patients. Diagnostic tests approved or cleared by the FDA for over the counter ("OTC") or prescription home use are automatically deemed to be "waived" tests under CLIA and may be performed in physician office laboratories with minimal regulatory oversight as well as by patients in their homes. The FDA has regulatory responsibility over instruments, test kits, reagents and other devices used by clinical laboratories and the Secretary of HHS has delegated to the FDA the authority to determine whether particular tests (waived tests) are "simple" and have "an insignificant risk of an erroneous result" under CLIA. Increased approval of OTC or home test kits and/or increased numbers and types of waived tests could lead to increased testing by physicians in their offices, which could affect our market for laboratory testing services and negatively impact our net revenues.

**Our operations may be adversely impacted by the effects of natural disasters such as hurricanes and earthquakes or acts of terrorism and other criminal activities.**

Our operations may be adversely impacted by the effects of natural disasters such as hurricanes and earthquakes, acts of terrorism or other criminal activities. Such events may result in a temporary decline in the number of patients who seek laboratory testing services. In addition, such events may temporarily interrupt our ability to transport specimens or to receive materials from our suppliers.

**Our tests and business processes may infringe on the intellectual property rights of others, which could cause us to engage in costly litigation, pay substantial damages or prohibit us from selling certain of our tests.**

Other companies or individuals, including our competitors, may obtain patents or other property rights that would prevent, limit or interfere with our ability to develop, perform or sell our tests or operate our business. As a result, we may be involved in intellectual property litigation and we may be found to infringe on the proprietary rights of others, which could force us to do one or more of the following:

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· cease developing, performing or selling products or services that incorporate the challenged intellectual property;

· obtain and pay for licenses from the holder of the infringed intellectual property right;

· redesign or reengineer our tests;

· change our business processes; or

· pay substantial damages, court costs and attorneys' fees, including potentially increased damages for any infringement held to be willful.

Patents generally are not issued until several years after an application is filed. The possibility that, before a patent is issued to a third party, we may be performing a test or other activity covered by the patent is not a defense to an infringement claim. Thus, even tests that we develop could become the subject of infringement claims if a third party obtains a patent covering those tests.

Infringement and other intellectual property claims, regardless of their merit, can be expensive and time-consuming to litigate. In addition, any requirement to reengineer our tests or change our business processes could substantially increase our costs, force us to interrupt product sales or delay new test releases. Infringement claims could arise in the future as patents could be issued on tests or processes that we may be performing, particularly in emerging areas of specialty testing.

**Federal and state laws permit a court to void a guarantee issued by any of our subsidiaries if the court finds the guarantee to constitute a fraudulent conveyance.**

Our obligations may in the future be guaranteed by the Company or our subsidiaries to the extent described in this Offering Circular. These guarantees may be subject to various federal and state fraudulent conveyance laws enacted for the protection of creditors.

The issuance of a guarantee by RushNet or any of our subsidiaries will constitute a fraudulent conveyance if:

· the guarantee was issued with the intent to hinder, delay or defraud any present or future creditor; or

· RushNet or subsidiary did not receive fair consideration for issuing the guarantee and (1) was insolvent or rendered insolvent by reason of the issuance of the guarantee, (2) was engaged or about to engage in a business or transaction for which the remaining assets of the subsidiary constituted insufficient capital to carry on its business or (3) intended to incur debts beyond its ability to pay such debts as they matured.

If a court finds a guarantee issued to constitute a fraudulent conveyance, the court could give a lower priority to, or subordinate, the claims of senior creditors against claims of other creditors. In addition, a court could void all or part of any guarantee.

Investing in our Shares involves a high degree of risk and many uncertainties. You should carefully consider the risks described below along with all of the other information contained in this Offering Circular, including our financial statements and the related notes, before deciding whether to purchase our shares. If any of the adverse events described in the following risk factors, as well as other factors which are beyond our control, actually occur, our business, results of operations and financial condition may suffer significantly. The foregoing is a description of what we consider the key challenges and material risks to our business and an investment in our securities. It may not be exhaustive.

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**ITEM 4**

**DILUTION**

Dilution represents the difference between the Offering Price per share and the net tangible book value per share immediately after completion of this Offering. Net tangible book value is the amount that results from subtracting total liabilities and intangible assets from total assets. Dilution of the value of the Shares you purchase is a result of the Shares held by our existing stockholders and potential conversion of preferred shares.

Dilution also arises as a result of our arbitrary determination of the Offering Price of the Shares being offered. In addition, no investment banker, appraiser or other independent third party has been consulted concerning the Offering Price for the Shares or the fairness of the Offering Price used for the Shares.

As of December 31, 2021, the net tangible book value of RushNet common stock was negative ($0.0003) per Share based upon 8,174,641,795 common shares outstanding and 35,000,000 and 32,000,000 convertible preferred shares series A and B outstanding at December 31, 2021. If you invest in our Shares, your interest will be diluted to the extent of the difference between the public Offering Price per share of our common stock and the as adjusted net tangible book value per share of our common stock after this Offering. Without giving effect to any changes in the net tangible book value other than by the sale and issuance of 5,000,000,000 shares in this Offering at the initial public offering price of $0.001 per Share, our *pro forma* net tangible book value as of 90 days following the effectiveness of this Offering, using December 31, 2021 balances, will be $ or $ per share of outstanding common stock. Dilution in net tangible book value per share represents the difference between the amount per share paid by the purchasers of our Shares in this Offering and the net tangible book value per share of our capital stock immediately afterwards. This represents an immediate increase of $ per share of capital stock to existing shareholders and an immediate dilution of $ per share of common stock to the new investors.

The following table illustrates this per Share dilution:

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|  | **5.0MM**<br> **Shares**<br> **(100%)** | **3.75MM**<br> **Shares**<br> **(75%)** | **2.5MM**<br> **Shares**<br> **(50%)** | **1.25MM**<br> **Shares**<br> **(25%)** |
| Offering Price per Share | $.001 | $.001 | $.001 | $.001 |
| Net tangible book value per Share before Offering | $(.00000348) | $(.000156) | $(.000309) | $(0.00046) |
| Increase per Share attributable to new investors | $.00611 | $.000506 | $.000377 | $.000213 |
| Pro forma net tangible book value per Share after Offering | ($.0002) | ($.000107) | ($.000236) | $(0.0004) |
| Dilution per Share to new investors | $.001002 | $.001107 | $.001236 | $.0014 |

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The following table summarizes the differences between the existing shareholders and the new investors with respect to the number of Shares of common stock purchased, the total consideration paid, and the average price per Share paid, on a range from 5,000,000,000 shares (100% of the Offering) and the Shares (25% of the Offering) relative to the $ maximum amount being offered pursuant to this Offering Circular:

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**Applicable to purchasers of Shares in this Offering if all 5,000,000,000 (100%) Shares sold:**

Price per Share: $0.001

Dilution per Share: $0.00102

Increase to present stockholders in net tangible book value per Share: ($0.000002)

Capital contributions: $5,000,000

Number of Shares outstanding after Offering: 13,206,641,79

Percentage of ownership by public after Offering: 37.86%

**Applicable to purchasers of Shares in this Offering if 3,750,000,000 (75%) Shares sold:**

Price per share: $0.001

Dilution per Share: $0.001107

Increase to present stockholders in net tangible book value per Share: ($0.000107

Capital contributions: $3,750,000

Number of shares outstanding after Offering: 11,956,641,795

Percentage of ownership by public after Offering: 31.36%

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**Applicable to purchasers of Shares in this Offering if 2,500,000,000 (50%) Shares sold:**

Price per share: $0.001

Dilution per Share: $00.1236

Increase to present stockholders in net tangible book value per Share: ($0.000236)

Capital contributions: $2,500,000

Number of shares outstanding after offering: 10,706,641,795

Percentage of ownership by public after offering: 23.35%

A**pplicable to purchasers of Shares in this Offering if 1,250,000,000 (25%) Shares sold**

Price per share: $0.001

Dilution per share: $0.00140

Increase to present stockholders in net tangible book value per Share: ($0.0004)

Capital contributions: $1,250,000

Number of shares outstanding after Offering: 9,456,641,795

Percentage of ownership by public after Offering: 13.22%

The applicable percentages of ownership are based on an aggregate of shares of our common stock issued and outstanding on December 31, 2021 and December 31, 2022

**Future Dilution.**

For business purposes, we may from time to time issue additional common and preferred stock which may result in dilution of existing shareholders. Dilution is a reduction in the percentage of ownership of company stock caused by the issuance of new stock. Dilution can also occur when holders of preferred convertible stock or stock options (such as company employees) or holders of other optionable securities exercise their options. If in the future the number of Shares outstanding increases, each existing stockholder will own a smaller, or diluted, percentage of the Company, making each share less valuable. Dilution may also reduce the value of existing Shares by reducing the stock's earnings per share. There is no guarantee that dilution of the common stock will not occur in the future.

**Shares Eligible for Future Sale.**

Future sales of substantial amounts of our common stock in the public market could adversely affect prevailing market prices. Furthermore, since only a limited number of Shares may be available for sale shortly after this Offering because of contractual and legal restrictions on resale described below, sales of substantial amounts of common stock in the public market after the restrictions lapse could adversely affect the prevailing market price for our common stock as well as our ability to raise equity capital in the future.

As of December 31, 2022, RushNet had outstanding 8,174,641,795 shares of common stock, $.0001 par value per share (the "Shares"), and 35,000,000 preferred stock series A and 32,000,000 Series B Preferred Stock issued and outstanding. RushNet Preferred series A shares have voting rights of 500 votes for every preferred A share. Each share of Series B Preferred Stock has no voting rights, and shall be convertible, at the option of the holder thereof, at any time and from time to time, and without the payment of additional consideration by the holder thereof, into six (6) fully paid and non-assessable shares of Common Stock (the "Converted Series B Preferred Stock"). In the event the number of Converted Series B Preferred Stock exceeds the number of authorized shares of Common Stock, the Corporation shall undertake the necessary actions to permit the full conversion of Series B Preferred Stock into shares of Common Stock as soon as practicable after the Corporation receives notice of conversion. Shares will become available for sale in the public market from time to time upon expiration of their respective holding periods under Rule 144 discussed below, a portion of which will be subject to Rule 144 volume limitations.

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**Rule 144.**

In general, under Rule 144 as currently in effect, beginning 90 days after the effective date of the Offering of which this Offering Circular is a part, any person who is not deemed to have been a Company affiliate for purposes of the Securities Act at any time during 90 days preceding a sale and who has beneficially owned their Shares for at least six months, including the holding period of any prior owner other than one of our affiliates, may sell shares without restriction, subject to the Company's compliance with the public information requirements of Rule 144. In addition, under Rule 144, any person who is not an affiliate of ours and has held their shares for at least one year, including the holding period of any prior owner other than one of our affiliates, would be entitled to sell an unlimited number of shares immediately upon the closing of this Offering without complying with any of the requirements of Rule 144.

In general, under Rule 144, as currently in effect, our affiliates or persons selling shares on behalf of our affiliates who beneficially owns shares that were purchased from us, or any affiliate, at least six months previously, are entitled to sell upon expiration of any lock-up agreements, within any three-month period beginning 90 days after the date of this Offering Circular, a number of shares that does not exceed the greater of:

· 1% of the number of shares of our common stock then outstanding, which will equal approximately 81,746,418 shares (rounded to the nearest whole number) immediately after this offering; or

· If exchange traded, the average weekly trading volume of our common stock during the four calendar weeks preceding the filing of a notice on Form 144 with respect to the sale.

Sales of restricted shares under Rule 144 held by our affiliates or persons selling shares on behalf of our affiliates are also subject to requirements regarding the manner of sale, notice and the availability of current public information about us. Rule 144 also provides that affiliates relying on Rule 144 to sell shares of our common stock that are not restricted shares must nonetheless comply with the same restrictions applicable to restricted shares, other than the holding period requirement.

**ITEM 5.**

**PLAN OF DISTRIBUTION**

RushNet is offering for sale a total of 5,000,000,000 shares of our common stock at a fixed price of $0.001 per share (the "Selling Price") for the duration of this offering (the "Offering"). There is no minimum that must be sold by us. The offering is being conducted on a self-underwritten, best efforts basis, which means our officers/directors (Messrs. Sweat and Gerville-Reache) will attempt to sell the shares directly to friends, family members and business acquaintances, typically without the use of broker dealers. Our officers and directors will not receive commissions or any other remuneration from any such sales. Unless earlier terminated, the Offering will be up to twelve (12) months from the date hereof unless, in the sole discretion of the Company, terminated earlier. If a subscription is rejected for any reason, investor funds will be promptly returned, excluding interest, if any. At the present time, there is a public market for RushNet (also known and traded as RSHN).

The shares will be offered on a best-efforts, self-underwritten basis (that is without the use of a broker-dealer) by RushNet during the up to twelve (12) month Offering as defined below to a maximum number of 5,000,000,000 additional shares. The Company reserves the right, but is not committed to, have an SEC registered broker-dealer and a member firm of FINRA (the "Placement Agent") sell the shares to supplement our self-underwritten Offering in states where agent of issuer registration is required. (If engaged, the Placement Agent would be paid (out of Shares sold at any closing), a negotiated 6-8% of the amount sold by such firm and we would file a pre-effective or post-effective amendment to this Offering.).

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If any Placement Agents (other SEC-registered, FINRA member broker-dealer firms) are engaged to offer Shares, they will be paid a negotiated portion of the contemplated 6-8% selling commission. In addition, any Managing Placement Agent would be reimbursed for its expenses the lesser of actual expenses or 5% of the proceeds of Offering and may be issued a negotiated number of shares for its services to the Company. In connection with this Offering, the Managing and any Additional Placement Agent(s), if so engaged, are underwriters as defined by the Securities Act and the rules promulgated there under. Presently, the officers and directors who will conduct the offering are exempt from registration as set forth by Rule 3a4-1 of the Exchange Act in that: 1) they are not subject to the "bad boy" provisions for statutory disqualifications; 2) they are not associated persons of a broker or dealer; 3) they are not compensated in connection with their participation in the Offering by the payment of commissions or other compensation based directly or indirectly on transactions in securities; and 4) they are state qualified to the extent required.

If a Selling Agent is engaged for this Offering, the common shares (up to 5,000,000,000) will be offered in all 50 states and remain open for up to 12 months from the date of this Offering Circular, following its qualification, and will terminate on October 1, 2023 unless extended by an amendment to the Offering Statement by us for up to an additional twelve (12) months or terminated sooner by us in our discretion regardless of the amount of capital raised.

As of the date of this Offering Circular, selling agreements have not been negotiated by us with any broker-dealer firms. If Selling Agents are engaged to sell Shares, negotiated brokerage commissions of 6%-8% of the Offering Price may be paid to broker-dealers who are members of FINRA with respect to sales of Shares made by such firms in connection with the Offering. We may be required to indemnify participating broker-dealers and possibly other parties with respect to disclosures made in the Offering Circular or pay other fees associated with the Offering--even if the Offering is not consummated (subject to any limitations imposed by FINRA rules, regulations or interpretations).

A copy of any associated agreement between such Selling Agent/broker and RSHN would be filed as an exhibit to the Form 1-A relating to this Offering and filed with the SEC.

We reserve the right to enter into posting agreements with equity crowdfunding firms not associated with FINRA members, in connection with this Offering, for which we may pay non-contingent fees as compensation. No compensation will be paid to any principal shareholder, officer, director or any affiliated company or party with respect to the sale of our common stock for their introduction of friends, family and business acquaintances.

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**Offering Expenses.**

Irrespective of the number of Shares sold in this Offering, the Company is responsible for all offering fees and expenses, including the following: (i) fees and disbursements of our legal counsel, accountants and other professionals we engage; (ii) fees and expenses incurred in the production of offering documents, including design, printing, photograph and written material procurement costs; (iii) all filing fees, including FINRA and any blue sky filing fees; (iv) all of the legal fees related to the registration and qualification of the offered shares under applicable state securities laws and FINRA clearance; and (v) our transportation, accommodation and other roadshow expenses.

**Pricing of the Offering**.

Prior to the Offering, there has been no public market for the Shares offered. The initial public Offering price was arbitrarily determined by our one-person Board of Directors. The principal factors considered in determining the initial public Offering price include:

· the information set forth in this Offering and otherwise available to our sole director;

· our history and prospects and the history of and prospects for the lines of business and industry in which we compete;

· our prospects for future earnings and the present state of our development;

· the general condition of the securities markets at the time of this Offering;

· the recent market prices of, and demand for, publicly traded common stock of generally comparable companies; and

· other factors deemed relevant by us.

**Investment Limitations.**

Generally, no sale may be made to you in this Offering if the aggregate purchase price you pay is more than 10% of the greater of your annual income or net worth. Different rules apply to accredited investors and non-natural persons. Before making any representation that your investment does not exceed applicable thresholds, we encourage you to review Rule 251(d)(2)(i)(C) of Regulation A. For general information on investing, we encourage you to refer to www.investor.gov.

**Right to Reject Subscriptions.**

After we receive your complete, executed subscription agreement and the funds required under the subscription agreement have been transferred to our administrative account, we have the right to review and accept or reject your subscription in whole or in part, for any reason or for no reason. We will return all monies from rejected subscriptions immediately to you, without interest or deduction.

**Acceptance of Subscriptions.**

Upon our acceptance of a subscription agreement, we will be asked to countersign the subscription agreement and issue the Shares subscribed. Once you submit the subscription agreement and it is accepted, you may not revoke or change your subscription or request your subscription funds. All accepted subscription agreements are irrevocable, and investors are reminded that there is no minimum associated with this Offering.

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Under Rule 251 of Regulation A, non-accredited, non-natural investors are subject to the investment limitation and may only invest funds which do not exceed 10% of the greater of the purchaser's revenue or net assets (as of the purchaser's most recent fiscal year end). A non-accredited, natural person may only invest funds which do not exceed 10% of the greater of the purchaser's annual income or net worth (please see below on how to calculate your net worth).

NOTE: For the purposes of calculating your net worth, it is defined as the difference between total assets and total liabilities. This calculation must exclude the value of your primary residence and may exclude any indebtedness secured by your primary residence (up to an amount equal to the value of your primary residence). In the case of fiduciary accounts, net worth and/or income suitability requirements may be satisfied by the beneficiary of the account or by the fiduciary, if the fiduciary directly or indirectly provides funds for the purchase of the offered shares.

In order to purchase offered shares and prior to the acceptance of any funds from an investor, an investor will be required to represent, to the Company's satisfaction, that he is either an accredited investor or is in compliance with the 10% of net worth or annual income limitation on investment in this Offering.

**ITEM 6.**

**USE OF PROCEEDS**

The proceeds from the sale of the shares of common stock (the "Shares") offered hereby (before associated organization and offering expenses) are estimated to be approximately $5,000,000 if the maximum Offering is achieved (See "Capitalization" below). The following illustrates the Company's estimated application of proceeds (% in parentheses). The below table (and associated footnotes) is intended to provide an overview of the contemplated application (often referred to as use) of proceeds over time as a function of the success of the Offering's capital raise and assuming due diligence will have been completed. To facilitate the review of such Shares sold over time, we have added columns relative to anticipated moneys raised here--characterized as Phase I (up to $2,000,000), Phase II (up to $3,750,000 in the aggregate, an additional $1,750,000 raise) and Phase III (up to $5,000,000 in the aggregate, an additional $1,250,000 maximum) in Shares sold during this Offering, in this up to twelve (12) months, Offering at $0.001 per Share.

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|  | **Phase I ($2000000)**  | **Phase I ($2000000)**  | **Phase II ($1,750,000 Additional)**  | **Phase II ($1,750,000 Additional)**  | **Phase III ($1,250,000 Additional)**  | **Phase III ($1,250,000 Additional)**  |
|  | **Offering (1)**  | **Offering (1)**  | **Offering (2)**  | **Offering (2)**  | **Offering (3)**  | **Offering (3)**  |
| **(1)(2)(3)(4)(5)(6)(7)(8)(9)(10)(11)(12)(13)(14)**  | **Dollar**  | **%**  | **Dollar**  | **%**  | **Dollar**  | **%**  |
| **Working Capital**  | $1926000 | 96.29% | $1750000 | 100% | $1250000 | 100% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Legal Fees  | $18500 | 0.93% | $0 | 0.0% | $0 | 0.0% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounting  | $55500 | 2.78% | $0 | 0.0% | $0 | 0.0% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Miscellaneous  | $0 | 0.00% | $0 | 0.0% | $0 | 0.0% |
| **Totals**  | $**1926000** | **100%** | $**1750000** | **100%** | $**1250000** | **100%** |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Phase I of the Offering will seek to raise $2,000,000.The bulk of the funds we intend to raise in the first of several tranches of funds in this aggregate $5,000,000 Offering will be dedicated to working capital. Certain funds will be used to cover the expenses and related administrative expenses. The aim of phase is to booster the growth of the wholly-owned toxicology lab subsidiary, HeliosDX (before known as Chattahoochee Physician Laboratory Services), and increase revenues substantially on an enterprise basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Phase II of the Offering will seek to raise a further $1,750,000 dollars, to fund the operation of the toxicology laboratory subsidiary. The aim of this phase will be to increase revenues substantially on an enterprise basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Phase III of the Offering will seek to raise a further $1,250,000 dollars, principally to fund the operation of the toxicology laboratory subsidiary. The aim of this phase will be to increase revenues substantially on an enterprise basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. A portion of the funds, approximately $137,500 are being allocated towards the acquisition of potential tangible assets, including property, building, and technical laboratory assets for the toxicology laboratory subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. Certain funds related to this Offering will be allocated to the fees and services required to complete the Regulation A transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Certain working capital funds will be used to maintain sufficient cash flows for the operations and relevant payments to creditors; a portion will be allocated to in efforts to gain more business and attract more investors, including institutional and/or family funds.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. Loan/Debt: Certain funds will be allocated with priority to the loan payable to the previous owners of Chattahoochee Physicians Laboratory Services (d/b/a HeliosDX) to complete the payments owed for the 2020 purchase of the laboratory.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. Instruments: RushNet will utilize funds to complete the payments necessary for the analyzers utilized for the core business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. Software, instruments and equipment: Certain funds will be used to any necessary costs for RushNet's and HeliosDX software, instrument and equipment improvement and updating.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. General and administrative expenses related to successful completion of objectives will be compensated and/or paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. Loan/Debt: Any outstanding debt owed on purchases of HeliosDX will be funded.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. Future Growth and Acquisition: a future targeted acquisition will be funded through this final Phase/tranche.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. Offering expenses: reserved for future endeavors of spinout/spinoff of entities which we will seek, acquire and prepare for public offering.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. Miscellaneous: Reserved for unforeseen and/or inherent associated costs to the above aforementioned events.

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**ITEM 7**

**DESCRIPTION OF BUSINESS**

*Executive Summary*:

This Executive Summary provides a brief overview of the RSHN business plan as it has evolved since Ashley Sweat became the controlling shareholder. RushNet acquired two subsidiaries: a testing laboratory and a healthcare billing and coding consulting company, respectively HeliosDX and Grandeza Healthcare Consultants. In 2021, the acquisitions have driven more than $163,000 to the bottom line of RSHN on a consolidated basis. The Company continues to seek out growth through other acquisitions and to up-list to higher trading markets for which we may qualify, namely OTCQB, OTBQX, NASDAQ National Capital Market and/or TSX-V. In the meantime, Grandeza is focusing on expanding through organic growth and acquisition while improving revenue cycle management through its billing and appeals processes. This latter initiative is expected to boost cash flow by improving adjudication rates and payment turnaround times. RushNet expects to remain profitable during its aggressive growth plans.

**ITEM 8**

**DESCRIPTION OF PROPERTY**

As of the date of this Offering, we use the following leased offices:

· Two suites in Alpharetta Georgia ($1,850 per month) for our Rushnet laboratory **.** 

· One suite in Orange Park, Florida ($2,861 per month) for Executive Offices

· Two suites in Soddy Daisy, Tennessee ($2,400 per month) for Grandeza offices. Lease agreement update in January 2022 to $2,470 per month.

Currently, the above space is sufficient to meet our needs. We do not foresee any significant difficulties in obtaining any required additional space if needed.

**ITEM 9**

**MANAGEMENT'S DISCUSSION**

**AND ANALYSIS OF FINANCIAL CONDITION**

**AND RESULTS OF OPERATIONS**

*The following management's discussion and analysis ("MD&A") should be read in conjunction with the RushNet, Inc. and Subsidiaries ("RSHN") consolidated financial statements as of and for the years ended December 31, 2021 and 2020, and the consolidated notes thereto.*

**Safe Harbor for Forward-Looking Statements**

Certain statements included in this MD&A constitute forward-looking statements, including those identified by the expressions *anticipate, believe, plan, estimate, expect, intend* and similar expressions to the extent they relate to RSHN or its management. These forward-looking statements are not facts, promises or guarantees; rather, they reflect current expectations regarding future results or events. These forward-looking statements are subject to risks and uncertainties that could cause actual results, activities, performance or events to differ materially from current expectations. These include risks related to revenue growth, operating results, industry, products and litigation, as well as the matters discussed in the RSHN MD&A under *Risk Factors*. Readers should not place undue reliance on any such forward-looking statements. RSHN disclaims any obligation to publicly update or to revise any such statements to reflect any change in the Company's expectations or in events, conditions, or circumstances on which any such statements may be based, or that may affect the likelihood that actual results will differ from those set forth in the forward-looking statements.

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*Overview*

The financial statements include the consolidated financial position as of June 30, 2022 and on December 31, 2021 and 2020, and results of operations for the years ended on December 31, 2021 and 2020. The consolidated statements include those of RushNet, Inc. and its subsidiaries, HeliosDX (formerly Chattahoochee Physicians Laboratory, LLC) and Grandeza Healthcare Consulting, LLC ("Grandeza"). HeliosDX is a subsidiary of RushNet that provides laboratory testing services of high complexity urine drug testing (UDT), Allergy Droplet Cards, Oral Fluids, and PCR testing. Grandeza provides management and billing services principally to clinical reference laboratories.

The Company's operations are classified into two reportable segments: (1) laboratory diagnostic services and (2) billing services. Separate management of each segment is required because each business unit is subject to different marketing, production, and technology strategies. Intersegment sales are based on the costs to produce the services. (See note 13 in the consolidated financial statements.)

*Results of Operations*

During 2021, the Company accomplished a reverse merger between Chattahoochee Physicians Laboratory, LLC, later converted to HeliosDx, and RushNet, Inc. in exchange for the issuance of 32,000,000 Series Preferred Stock and the assumption of the seller financed note. Additionally, in August 2021, the Company acquired the operations of Grandeza, which was controlled by Ashley Sweat, in exchange for the issuance of 300,000,000 common shares of RushNet, Inc. (See the audited consolidated financial statements, notes 1 and 12 for detailed financial information.)

As of December 31, 2021, the Company closed its fiscal year with approximately $1 million of stockholders' equity which was an increase in comparable equity of approximately $504,000 as of December 31, 2020. The approximate stockholders' equity remains unchanged as of June 30, 2022.

Gross revenue for all segments increased by approximately $1.5 million from 2020 to 2021; and by another approximately $450,000 as of June 30, 2022. Total revenue year over year from June 30, 2021 to as of June 30, 2022 are approximately $4.9 million.

Operating expenses increased from 2020 by approximately $1,133,000 year over year; with total operating expense as of June 30, 2022 to be approximately $2.3 million. The primary increases were due to referral fees associated with the growth in gross revenues and increases in payroll and employee benefits. Additionally, during 2021, the Company incurred significant accounting and legal consulting expenses for the purpose of improving controls within its operations, financial reporting and compliance. Management has undertaken steps to improve its financial reporting to accomplish the Company's short and long-term plans to elevate its stock listing status from the OTC markets.

For the fiscal year ending on December 31, 2021, RushNet generated after tax consolidated net income of $163,560 while that number was $990,714 for the prior year. A key difference in the comparability for the net after tax income is that the results of operations reported for 2020 do not include a provision for income taxes. During 2021, as a result of the merger between HeliosDX and RushNet, the consolidated Company recorded deferred tax expense of $356,628. (See note 2 subheading – *Accounting for Income Taxes-* and note 6 in our consolidated financial statements.) RushNet was not subject to corporate income taxes prior to the reverse merger in 2021.

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*Liquidity and Capital Resources*

RSHN generated $982,543 of positive cash flow from its operations for the year 2021, after adjusting for the deferred tax expense. This is a decrease from 2020, primarily attributed to tax expense. The consolidated Company continues to experience growth in the volume of laboratory testing, and to support that growth, during 2021, the Company entered into various laboratory equipment finance leases. The leases financed the acquisition of approximately $781,000 of new laboratory equipment. The leasing obligations are an obligation of the consolidated Company. During 2021, RSHN borrowed $442,000 under a line of credit and made scheduled payments of $437,482 to creditors.

On March 1, 2022, Wellmed, a top 5 payer for heliosDX put the Company on prepayment review – this meant the insurance carrier required additional documentation in order to process and pay the Company's claims. By June 30, 2022, this has negatively impacted the Company's monthly revenue by approximately $30,000. The Company has filed a formal complaint with Wellmed disputing the denials and seeking payment of all denied claims with interest.

*Critical Accounting Policies and Estimates*

We consider our critical accounting policies to be those that require the more significant judgments and estimates in the preparation of the consolidated financial statements, including the following:

*Use of Estimates*

The preparation of consolidated financial statements in conformity with US generally accepted accounting principles requires management to make estimates and assumptions that may affect the reported amounts of certain assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Although these estimates and assumptions are based on the Company's knowledge of current events and actions the Company may take in the future, actual results could ultimately differ from those estimates and assumptions and the differences could be material. The significant estimates include allowance for credit losses, the incremental borrowing rate for the lease obligations, the valuation of goodwill, and the identification and valuation of assets acquired, and liabilities assumed in connection with business combinations.

*Revenue Recognition*

The Company adopted the requirements of Accounting Standards Codification ("ASC") Topic 606 ("Topic 606"), Revenue from Contracts with Customers, under the full retrospective transition approach effective January 1, 2020, the earliest period presented. The ASU amended existing standards for revenue recognition which establishes principles for recognizing revenue upon transfer of promised goods or services to customers in an amount that reflects the expected consideration received in exchange for those goods or services. There was no cumulative effect to beginning equity of the Company and no changes to the consolidated financial statement presentation as a result of the adoption.

*Net Patient Service Revenue*

Patient service revenue is reported at the amount that reflects the consideration the Company expects to receive in exchange for the services provided. These amounts are due from Medicare or third-party payors and include variable consideration for retroactive adjustments from estimated reimbursements, if any, under reimbursement programs. Performance obligations are determined based on the nature of the services provided.

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Revenue for laboratory analysis charges, and the related accounts receivable, are recognized as services are provided and are billed monthly on the date of service at their estimated net realizable value. The Company derives a significant amount of its revenue from funds under federal Medicare and state Medicaid assistance programs, the continuation of which are dependent upon governmental policies and are subject to audit risk and potential recoupment. Accounts receivable for laboratory services are reported at estimated net realizable amounts from patients and responsible third-party payors. Management periodically evaluates the collectability of its receivables and establishes reserves for potential uncollectible accounts based upon estimates of the net realizable value of the accounts. Management considers both the age of the invoice as well as the history with the payor in its evaluation. Management believes the reserves established at the period-end are adequate to cover potential future losses.

Billings for services under third-party payor programs are recorded net of estimated retroactive adjustments, if any, under reimbursement programs. Retroactive adjustments are accrued on an estimated basis in the period the related services are rendered and adjusted in future periods or as final settlements are determined. Contractual or cost related adjustments from Medicare or Medicaid are accrued when assessed (without regard to when the assessment is paid or withheld). Subsequent positive or negative adjustments to these accrued amounts are recorded in net revenues when known. As of December 31, 2021 and 2020, the contractual adjustments to revenue totaled $16,788,665 and $18,231,208, respectively.

*Goodwill and Intangible Assets*

Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in each business combination.

RushNet tests goodwill in the fourth quarter or more frequently if events or circumstances indicate that assets might be impaired. RushNet uses a variety of methodologies in conducting impairment tests of goodwill, including, but not limited to, discounted cash flow models, which include assumptions we believe are consistent with those a market participant would use. (See note 2 of the consolidated financial statements for a detailed discussion.) There were no impairments during 2021 or 2020.

*Plan of Operations*

Management is focused upon the growth of the laboratory services revenue through increased marketing efforts and laboratory referral relationships. Management is also focused on the acquisition of comparable laboratories in the United States of America. The funds obtained from this offering will be used to reduce debt and provide the required cash flow to support the revenue growth.

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**ITEM 10**

**DIRECTORS, EXECUTIVE OFFICERS AND SIGNIFICANT EMPLOYEES**

The following table sets forth the names and ages of our current directors, executive officers and significant employees:

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| **Name and Age** | **Position(s) Held** | **Date of**<br> **Appointment** | **Other Public Company**<br> **Directorships** |
| Ashley Sweat (45) | Chairman, President/CEO and Principal Financial Officer  | Since March 2021 |  |
| Yann Gerville-Reache (42) | Chief Operating Officer | Since August 2021 |  |

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For a fuller exposition of Compensation, Securities Ownership and Related Party Transactions, respectively Items 11, 12 and 13 of this Offering Circular.

***Terms of Officers***

Our officers were appointed by the controlling shareholder to serve until their successors are duly elected and qualified. Our Board of Directors, going forward, will be elected by a majority vote of outstanding preferred and common stockholders. Currently, the Company has only one director and two officers as noted above, Mr. Sweat and Mr. Gerville-Reache.

*Background and Business Experience.* 

<u>Ashley Sweat</u> is RushNet's Chairman, President and CEO, and Chief Financial Officer and he holds comparable roles in RSHN's lead subsidiary, HeliosDX. He obtained a Master's in Organizational Management from Phoenix University in 2004 and completed his undergraduate studies from Gardner-Webb University (B.A.) in 2000. Mr. Sweat is the controlling shareholder of RushNet Inc. and Subsidiaries with over 22 years' experience with multiple organizations in the healthcare and communications industries. In such increasingly responsible positions, Mr. Sweat has amassed more than 17 sales awards and achievements. In 2020, Mr. Sweat acquired Chattahoochee Physician laboratory Services which was then later acquired by RushNet. Mr. Sweat also formed Grandeza Healthcare Consultants, a sister company, as its own separate entity. He became the controlling shareholder in RSHN in March 2021; Chattahoochee Physician laboratory Services was later rebranded and converted to HeliosDX in the State of Georgia and subsequently consolidated HeliosDX and Grandeza under RushNet. Under his leadership, sales have grown year over year, on a consolidated basis, from approximately $4,400,000 in 2020 to $5,900,000 in 2021. Mr. Sweat focuses his professional attention exclusively on RushNet and its subsidiaries. He is the sole director of the consolidated Company, an officer, and the largest shareholder of RSHN.

<u>Yann Gerville-Reache</u> is RushNet's Chief Operating Officer ("COO") since August 2021. Mr. Gerville-Reache graduated from Belmont University in 2002 and served in several capacities at the beginning of his career in Paris, France. He returned to the US in 2005 and continued his career in Logistics covering a wide breadth of experiences from customs brokerage, import and export, domestic distribution, business development and account management. During his career, he completed a two-year program within CEVA Logistics (CMA-CGM) as a Lean Manager and earned his project management certification from PMI. Both of these skillsets have served him for various roles across his various experiences and various industries. He brings 20 years of operations and business development experience to the RSHN management team.

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*Committees*

Our Board of Directors is currently comprised of one (1) individual, Ashley Sweat. The RSHN Board is expected, for the foreseeable future, to act as a "committee of the whole" board and, as such, is not expected to have separate audit, compensation and nominating committees. Following the effectiveness of this Offering and the capital raise contemplated, we intend to add members to the Board, one or more of whom may be independent.

The audit committee function is performed by our sole Director. Accordingly, currently and for the foreseeable future, the oversight and primary responsibility for reviewing the services performed by our independent auditors, evaluating our accounting policies and our system of internal controls rests with Mr. Sweat.

The compensation committee function is performed by our sole Director. Hence, currently and for the foreseeable future, Mr. Sweat oversees and approves the compensation structure, all forms of compensation relating to our director and executive officers and any long-term incentive compensation or equity plans or programs or similar arrangements.

The nominating committee function is performed by our sole Director, Mr. Sweat. This function relates to selecting individuals qualified to become our directors and determining the composition of the Board and any committees.

Because the Board is currently comprised of only one Director and there are only two officers at the parent company level, we do not feel we need to create committees to perform management responsibilities for the foreseeable future.

*Compliance with Section 16(a) and Section 13(d) of the Exchange Act*

Section 16(a) of the Securities Exchange Act of 1934 requires directors and executive officers and persons who beneficially own more than 10% of a registered class of equity securities to file initial reports of ownership and reports of change in ownership of common stock and other equity securities with the Commission. Since our inception, and for the foreseeable future, we have not had a class of equity securities registered under the Securities Exchange Act of 1934, as amended; therefore, compliance with Section 16(a) by our officers and directors has not been required to date. Once the Company becomes what is called a "Section 12" reporting company, our officers, directors and greater than 10% stockholders will be required by the Commission's rules and regulations to furnish us with copies of all Section 16(a) forms they file. At such time, our officers, directors and greater than 5% shareholders will also be required to file Schedules 13-G or 13-F under the Exchange Act.

*Legal and Disciplinary History of Our Officers and Directors.*

None. During the last five years, excluding traffic violations and minor offenses, none of our directors and officers, have been: (a) convicted in a criminal proceeding or named as a defendant in a pending criminal proceeding; (b) the subject of an entry of an order, judgment, or decree, not subsequently reversed, suspended, or vacated, by a court of competent jurisdiction, that permanently enjoined, barred, suspended, or otherwise, their involvement in any type of business, securities, commodities, or banking activities; (c) the subject of a finding or judgment by a court of competent jurisdiction (in a civil action), the Securities and Exchange Commission, the Commodities Futures Trading Commission, or a state securities regulator of a violation of U. S. Federal or state securities or commodities trading laws, which finding or judgment has not been reversed, suspended, or vacated; or (d) the subject of an order by a self-regulatory organization that permanently or temporarily barred, suspended, or otherwise limited any of our directors' or officers' involvement in any type of business or securities activities. Similarly, Mr. Sweat is not a disqualified person under Rule 230.262, Rule 230.505(b)(2)(iii) and Rule 230.506(d)(2)(ii) of the Securities and Exchange Commission.

*Family Relationships.*

We do not have any executive officers or directors who are related to one another.

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**ITEM 11**

**COMPENSATION OF DIRECTORS AND EXECUTIVE OFFICERS**

Currently, RSHN has 9 full time employees and one (1) part time employee on an enterprise basis. RSHN does not expect to have any additional employees until at least $8,000,000 is raised during the Offering. Going forward, we expect to create a compensation committee to address such compensation policies once the current Offering closes.

Salary for the only Officers of RSHN, the parent company:

Ashley Sweat, the Chairman, President, CEO and Principal Financial Officer, is paid an annualized $150,000 for his multiple corporate roles.

Yann Gerville-Reache, the Chief Operating Officer of RSHN is paid an annualized $125,000.

Bonus: Discretionary bonus distributed for the fiscal year ended December 31, 2021.

None of our directors and executive officers received any of the following from RSHN for the fiscal year ended December 31, 2021 and 2020 in any of the following ways:

Bonus: None, as of this current fiscal year, but a year-end 2022 bonus is expected to be paid in an amount not currently known.

Stock Awards: None currently but a year-end stock award is expected to be paid.

Option Awards:

Non-Equity Incentive Plan Compensation

Nonqualified Deferred Compensation Earnings

All Other Compensation

*Basis of Presentation for Summary Compensation Table.*

There are no employment contracts, compensatory plans or arrangements, including payments to be received from us with respect to any executive officer, that would result in payments to such person because of his resignation, retirement, or other involuntary termination of employment by us, any change in control, or a change in the responsibilities of any of our directors or executive officers following a change in our control.

*Outstanding Equity Award.*

There are no current outstanding equity awards available to our executive officers and/or directors.

*Compensation of Directors.*

At present, our sole director receives no annual stipend, salary or bonus for his service as a member of our Board of Directors.

**[Balance of Page Left Intentionally Blank.]**

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**ITEM 12**

**SECURITY OWNERSHIP OF MANAGEMENT AND CERTAIN SECURITYHOLDERS** 

The following table sets forth the information concerning the number of shares of our common stock owned beneficially as of December 31, 2022 by: (i) our director; (ii) our two executive officers; and (iii) each person or group known by us to beneficially own the outstanding shares of our common stock. Unless otherwise indicated, the shareholder listed below possess sole voting and investment power with respect to the shares they own.

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|:---|:---|:---|:---|
| **Name and Address of**<br> **Beneficial Owner**<br> **(1)(2)(3)(4)** | **Title of Class** | **Amount and**<br> **Nature of**<br> **Beneficial**<br> **Ownership (2)** | **Percent of Class (3)** |
| Ashley Sweat  | RSHN Preferred A<br> RSHN Preferred B | 35000000<br> 32000000 | 70%<br> 100% |
| Yann Gerville-Reache | Common | 0 | 0% |

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Footnotes:

(1) For purposes of this disclosure, the addresses for each designated person is that of RSHN.

(2) There is one director and two officers of RushNet: Mr. Sweat is both the sole director and the President, CEO and Principal Financial Officer of RushNet, Mr. Gerville-Reache is the Chief Operating Officer.

(3) The number and percentage of shares beneficially owned is determined under rules of the SEC and the information is not necessarily indicative of beneficial ownership for any other purpose. Under such rules, beneficial ownership includes any shares as to which the individual has sole or shared voting power or investment power and also any shares, which the individual has the right to acquire within 60 days through the exercise of any stock option or other right. The persons named in the table above have sole voting and investment power with respect to all shares of common stock shown as beneficially owned by them, subject to community property laws where applicable and the information contained in the other footnotes to this table.

(4) Based on 8,174,641,795 issued and outstanding shares of our common stock as of December 31, 2022.

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**ITEM 13.**

**INTEREST OF MANAGEMENT IN CERTAIN TRANSACTIONS.**

The notes to individuals, as amended, in the amount of $4,643,826 on December 31, 2021 bear interest at one percent (1%). Future principal and interest payments of $64,000 are due January 2022, February 2022 and March 2022, then payments are deferred until March 2023, when a payment of approximately $800,000 is due to the individuals. Monthly payments of $64,000 continue in April 2023 with a second balloon payment due June 2024 to reduce the balance to $2.28M, then monthly payments continue in July 2024 until a final balloon payment due June 2025 for $1.6M. The notes are secured by LLC Units of HeliosDX and a life insurance policy on the controlling shareholder. In the event of default certain shares owned by the controlling shareholder would be surrendered to the individuals.

In 2021, the Company paid $50,000 to a family member of the controlling shareholder for marketing services. During the period, June 1, 2020 to December 31, 2020, the Company paid $873,674 to an entity controlled by the Company's controlling shareholder for advertising services. During the period January 1, 2020 to May 31, 2020, the Company paid $702,812 to an entity controlled by the Company's controlling shareholder for advertising services.

Grandeza Healthcare Consultants, a subsidiary of RushNet, is a healthcare billing and consulting company. Grandeza achieved record revenue increases quarter-over-quarter for 2021, which is primarily attributed to the relationship with HeliosDX.

*Reports to Security Holders*

The Company's documents filed with the Securities and Exchange Commission may be inspected at the Commission's principal office in Washington, D.C. Copies of all or any part of the registration statement may be obtained from the Public Reference Section of the Securities and Exchange Commission, 100 F Street N.E., Washington, D.C. 20549. Call the Commission at 1-800-SEC-0330 for further information on the operation of the public reference rooms. The Securities and Exchange Commission also maintains a web site at http://www.sec.gov that contains reports, proxy statements and information regarding registrants that file electronically with the Commission. All of the Company's filings may be located under the CIK number 0001087329

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*Recent Sales of Unregistered Recent Sales*

On August 11, 2021, the Company issued 50,000,000 common shares to reduce a liability to an investor in RushNet, Inc.

On December 16, 2021, the Company issued 60,000,000 common shares for marketing services.

*Promissory Notes*

The Company has the following outstanding Promissory Notes and lines of credit.

1. A line of credit with a finance company in the amount of $36,866 at December 31, 2021. The maximum available under the line of credit is $100,000. The line bears interest at 44.5%, is secured by all assets of the RSHN and personally guaranteed by the controlling shareholder. The line does not have an expiration date.

· A payable to a financing company in the amount of $346,000, bearing interest at a stated rate of 8.5%, and an effective interest rate of at 40% with upfront financing fees of $140,000 are considered.

· Two notes to individuals in the amount of $4,643,826, bearing interest at 1%, maturing in June 2025.

· One note to Mr. Ashley Sweat in the amount of $122,785.09, bearing interest at 10%, commencing on August 29, 2022 and maturing on August 31, 2024.

· A payable to a shareholder in the amount of $107,215.

**ITEM 14**

**DESCRIPTION OF REGISTRANT'S SECURITIES TO BE QUALIFIED**

*Common Stock*

RushNet Inc. was incorporated in the State of Nevada on January 15, 1997. A Statement of Conversion was filed on January 2, 2015 converting RushNet from a Nevada corporation to a Colorado corporation. RushNet's corporate office is located at 8465 Merchant's Way, Suite 206, Jacksonville, Florida 32222. The Company's authorized common stock consists of 9,000,000,000 shares of common stock with a par value of $0.0001.

Common shareholders are entitled to one vote per Share on all matters to be voted upon by Shareholders and, upon issuance in consideration of full payment, are non-assessable. In the event of liquidation, dissolution or winding up of the Company, the shareholders are entitled to share ratably in all assets remaining after payment of liabilities. Shares do not have cumulative voting rights with respect to the election of directors and, accordingly, the holders of more than 50% of the Shares could elect all the directors of the Company. (See "Risk Factors – Control by the Principal Stockholder.")

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*Dividend Rights*

Each common share is entitled to dividends if dividends are declared by the Company's Board of Directors. It is not the current expectation of the Company to pay dividends.

*Director's Liability*

No director of this corporation shall have any personal liability for monetary damages to the corporation or its shareholders for breach of his fiduciary duty as a director, except that this provision shall not eliminate or limit the personal liability of a director to the corporation or its shareholders for monetary damages for: (i) any breach of the director's duty of loyalty to the corporation or its shareholders; (ii) acts or omissions not in good faith or which involve intentional misconduct or a knowing violation of law; (iii) voting for or assenting to a distribution in violation of Colorado Revised Statutes §7-106-401 or the articles of incorporation if it is established that the director did not perform his duties in compliance with Colorado Revised Statutes §7-108-401, provided that the personal liability of a director in this circumstance shall be limited to the amount of the distribution which exceeds what could have been distributed without violation of Colorado Revised Statues §7-106-401 or the articles of incorporation; or (iv) any transaction from which the director directly or indirectly derives an improper personal benefit. Nothing contained herein will be construed to deprive any director of his right to all defenses ordinarily available to a director nor will anything herein be construed to deprive any director of any right he may have for contribution from any other director or other person.

---

| |
|:---|
| 34 |
| *[**Table of Contents**](#TOC)* |

---

The Company expects to obtain Director and Officer Liability coverage ($2,000,000 minimum) concurrent the Offering being with declared effective by the Securities and Exchange Commission.

*Preferred Stock*

RSHN's Articles of incorporation authorize the issuance of preferred stock series A and B. The Company is authorized to issue 50,000,000 preferred shares series A with a par value of $.0001 and 32,000,000 Series B Preferred Stock with a par value of $.0001 as well. As of December 31, 2021, RushNet has 35,000,000 of series A, issued and outstanding to Ashley Sweat. As of December 31, 2021, all of the series B was issued and outstanding to Ashley Sweat. Shareholders of series A preferred stock are entitled to dividends in the amount of 10% of the assets legally available, before the payments of dividends to the holders of common stock. In addition, holders of series A preferred stock have priority over RushNet assets available for distributions. The preferred shares series A carry preferential voting right of 300 votes per share and each preferred A share is convertible into 300 shares of common stock. The preferred shares series B are convertible to six shares of common stock and are exempt from stock splits.

*Transfer and Registrar Agent*

Mountain Share Transfer, LLC is the stock transfer and registrar agent for RushNet's common shares. The transfer agent is located at 2030 Powers Ferry Road, S.E., Suite #212, Atlanta, Georgia 30339. Their business line is (404) 474-3110<u>.</u>

*Dividend Policy*

Short-term or long-term operations prospects may not generate a profit. Therefore, the Company is not likely to pay immediate dividends and an investment in the Company is thus not suitable for investors seeking current income for financial or tax planning purposes. Future dividends will be paid at the sole discretion of the Board of Directors of the Company.

**CHANGES TO AND DISAGREEMENTS ON ACCOUNTING AND**

**FINANCIAL DISCLOSURES**

Somerset CPAs and Advisors were appointed as auditor of RushNet, Inc. and Subsidiaries on January 11, 2022. There have been no changes or disagreements with Somerset and Somerset continues to serve in such capacity.

*Subscription Agreement: We do not need a Subscription Agreement for a self-underwritten offering. If a broker-dealer/Selling Agent (or Agents) is engaged, we would need a Subscription Agreement associated with the best efforts offering and memorializing the terms of such offering—and such documentation would have to be the subject of an Amendment to the Offering Statement and associated Offering Circular.*

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| 35 |
| *[**Table of Contents**](#TOC)* |

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 **EXHIBITS; FINANCIAL** 

**PART F/S [To be inserted.]** 

36<br>

**PART III—EXHIBITS** 

---

| | |
|:---|:---|
| **Exh. No.**  | **Exhibit Description**  |
| [2.1](rshn_ex21.htm) | [Articles of Incorporation and associated Amendment-RSHN](rshn_ex21.htm) |
| [2.2](rshn_ex22.htm) | [Articles of Incorporation-heliosDX, Inc., successor to heliosDX, LLC](rshn_ex22.htm) |
| [2.3](rshn_ex23.htm) | [Bylaws for RushNet, Inc.](rshn_ex23.htm) |
| [2.4](rshn_ex24.htm) | [Bylaws of heliosDX, Inc.](rshn_ex24.htm) |
| 3.1 | Specimen Stock Certificate-RushNet, Inc. N/A since physical stock certificates are not used: All trades done via book entry. |
| 3.2 | Specimen Stock Certificate-heliosDX, Inc. N/A since stock certificates not used: All trades are done via book entry. |
| [6.0](rshn_ex60.htm) | [D&O Insurance](rshn_ex60.htm) |
| [6.1](rshn_ex61.htm) | [Preferred Series A in RushNet, Inc. re Ashley Sweat control/super super-voting Agreement](rshn_ex61.htm) |
| [6.2](rshn_ex62.htm) | [Preferred Series A in heliosDX, Inc. re Ashley Sweat control/super-voting take final/provided.\]](rshn_ex62.htm) |
| [6.3](rshn_ex63.htm) | [Lease Agreement for 1122 E/F Cambridge Square (Alpharetta, Georgia)](rshn_ex63.htm) |
| [6.4](rshn_ex64.htm) | [Lease Agreement for 9218 Dayton Pike (Soddy-Davis, Tennessee)](rshn_ex64.htm) |
| [6.5](rshn_ex65.htm) | [Lease Agreement for 8465 Merchants Way—Suite 206 (Jacksonville, Florida)](rshn_ex65.htm) |
| [6.6](rshn_ex66.htm) | [RushNet Acquisition Agreement to obtain control of RushNet, Inc.](rshn_ex66.htm) |
| [6.7](rshn_ex67.htm) | [RushNet Acquisition Agreement to obtain control of HeliosDX, and designation of Preferred Series B](rshn_ex67.htm) |
| [6.8](rshn_ex68.htm) | [Promissory Notes with multiple heliosDX funding sources](rshn_ex68.htm) |
| [6.9](rshn_ex69.htm) | [Amendments to Promissory Notes](rshn_ex69.htm) |
| [6.10](rshn_ex610.htm) | [Lease Purchase Agreement – ThermoFisher](rshn_ex610.htm) |
| [6.11](rshn_ex611.htm) | [Lease Purchase Agreement – ABS](rshn_ex611.htm) |
| [11.1](rshn_ex111.htm) | [Consent of Auditor for this Form 1-A](rshn_ex111.htm) |
| 12.1 | Consent of Counsel (included in Exhibit 12.2) for this Form 1-A |
| [12.2](rshn_ex122.htm) | [Opinion of Counsel for this Form 1-A](rshn_ex122.htm) |

---

---

| |
|:---|
| 37 |
| *[**Table of Contents**](#TOC)* |

---

**SIGNATURES**

---

| |
|:---|
| **RUSHNET INC.**<br> ***/s/ Ashley Sweat*** |
| Chairman, President, CEO and Principal Financial Officer  |
| Dated: March ___, 2023  |

---

38<br>

## Ex1A-2A

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 2.1**

![](rshn_ex21img3.jpg)

![](rshn_ex21img4.jpg)

![](rshn_ex21img5.jpg)

![](rshn_ex21img6.jpg)

![](rshn_ex21img7.jpg)

![](rshn_ex21img8.jpg)

![](rshn_ex21img9.jpg)

![](rshn_ex21img10.jpg)

![](rshn_ex21img11.jpg)

![](rshn_ex21img12.jpg)

## Ex1A-2A

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 2.2**

![](rshn_ex22img4.jpg)

![](rshn_ex22img5.jpg)

![](rshn_ex22img6.jpg)

![](rshn_ex22img7.jpg)

![](rshn_ex22img8.jpg)

![](rshn_ex22img9.jpg)

![](rshn_ex22img10.jpg)

![](rshn_ex22img11.jpg)

![](rshn_ex22img12.jpg)

![](rshn_ex22img13.jpg)

![](rshn_ex22img14.jpg)

![](rshn_ex22img15.jpg)

## Ex1A-2B

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 2.3**

![](rshn_ex23img1.jpg)

![](rshn_ex23img2.jpg)

![](rshn_ex23img3.jpg)

![](rshn_ex23img4.jpg)

![](rshn_ex23img5.jpg)

![](rshn_ex23img6.jpg)

## Ex1A-2B

**EXHIBIT 2.4**

**BYLAWS**

**OF**

**HELIOSDX INC.**

**(A GEORGIA CORPORATION)**

**ARTICLE I**

**OFFICES**

**Section 1. Principal Office**. The principal office of the corporation is located at 8465 Merchants Way, Suite 206, Jacksonville, Florida 32222, or in such other location as the Board of Directors of the corporation (the "***Board of Directors***") may from time to time determine or the business of the corporation may require.

**Section 2. Other Offices**. The corporation shall also have and maintain an office or principal place of business at such place as may be fixed by the Board of Directors, and may also have offices at such other places, both within and without the State of Georgia, as the Board of Directors may from time to time determine or the business of the corporation may require.

**Section 3. Registered Office.** The registered office of the Corporation and the agent's address shall be as set forth in the Articles of Incorporation. The Board of Directors may at any time change the Corporation's registered agent or address by making the appropriate filing with the Office of the Georgia Secretary of State (the "***SOS***").

**ARTICLE II**

**CORPORATE SEAL**

**Section 4. Corporate Seal**. The Board of Directors may adopt a corporate seal. Said seal may be used by causing it or a facsimile thereof to be impressed or affixed or reproduced or otherwise.

**ARTICLE III**

**STOCKHOLDERS' MEETINGS**

**Section 5. Place of Meetings**. Meetings of the stockholders of the corporation may be held at such place, either within or without the State of Georgia, as may be determined from time to time by the Board of Directors in the notice of the meeting or executed waiver of notice. The Board of Directors may, in its sole discretion, determine that the meeting shall not be held at any place, but may instead be held solely by means of remote communication as provided under the Georgia Business Corporation Code (the "***GBCC***").

**Section 6. Annual Meeting**.

**(a)** The annual meeting of the stockholders of the corporation, for the purpose of election of directors and for such other business as may lawfully come before it, shall be held on such date and at such time as may be designated from time to time by the Board of Directors. Nominations of persons for election to the Board of Directors of the corporation and the proposal of business to be considered by the stockholders may be made at an annual meeting of stockholders: (i) pursuant to the corporation's notice of meeting of stockholders; (ii) by or at the direction of the Board of Directors; or (iii) by any stockholder of the corporation who was a stockholder of record at the time of giving of notice provided for in the following paragraph, who is entitled to vote at the meeting and who complied with the notice procedures set forth in this Section 6. Failure to hold the annual meeting at the designated time shall not affect the validity of any action taken by the corporation.

**(b)** At an annual meeting of the stockholders, only such business shall be conducted as has been properly brought before the meeting. For nominations or other business to be properly brought before an annual meeting by a stockholder pursuant to clause (iii) of paragraph (a) of this Section 6(a) of these Bylaws, (i) the stockholder must have given timely notice thereof in writing to the Secretary of the corporation, (ii) such other business must be a proper matter for stockholder action under the GBCC and applicable law, (iii) if the stockholder, or the beneficial owner on whose behalf any such proposal or nomination is made, has provided the corporation with a Solicitation Notice (as defined in this Section 6(b)), such stockholder or beneficial owner must, in the case of a proposal, have delivered a proxy statement and form of proxy to holders of at least the percentage of the corporation's voting shares required under applicable law to carry any such proposal, or, in the case of a nomination or nominations, have delivered a proxy statement and form of proxy to holders of a percentage of the corporation's voting shares reasonably believed by such stockholder or beneficial owner to be sufficient to elect the nominee or nominees proposed to be nominated by such stockholder, and must, in either case, have included in such materials the Solicitation Notice, and (iv) if no Solicitation Notice relating thereto has been timely provided pursuant to this Section 6, the stockholder or beneficial owner proposing such business or nomination must not have solicited a number of proxies sufficient to have required the delivery of such a Solicitation Notice under this Section 6. To be timely, a stockholder's notice shall be delivered to the Secretary at the principal executive offices of the corporation not later than the close of business on the ninetieth (90<sup>th</sup>) day nor earlier than the close of business on the one hundred twentieth (120<sup>th</sup>) day prior to the first anniversary of the preceding year's annual meeting; *provided, however*, that in the event that the date of the annual meeting is advanced more than thirty (30) days prior to or delayed by more than thirty (30) days after the anniversary of the preceding year's annual meeting, notice by the stockholder to be timely must be so delivered not earlier than the close of business on the one hundred twentieth (120<sup>th</sup>) day prior to such annual meeting and not later than the close of business on the later of the ninetieth (90<sup>th</sup>) day prior to such annual meeting or the tenth (10<sup>th</sup>) day following the day on which public announcement of the date of such meeting is first made. In no event shall the public announcement of an adjournment of an annual meeting commence a new time period for the giving of a stockholder's notice as described above. Such stockholder's notice shall set forth: (A) as to each person whom the stockholder proposed to nominate for election or reelection as a director all information relating to such person that is required to be disclosed in solicitations of proxies for election of directors in an election contest, or is otherwise required, in each case pursuant to Regulation 14A under the Securities Exchange Act of 1934, as amended (the "***1934 Act***"), and Rule 14a-4(d) thereunder (including such person's written consent to being named in the proxy statement as a nominee and to serving as a director if elected); (B) as to any other business that the stockholder proposes to bring before the meeting, a brief description of the business desired to be brought before the meeting, the reasons for conducting such business at the meeting and any material interest in such business of such stockholder and the beneficial owner, if any, on whose behalf the proposal is made; and (C) as to the stockholder giving the notice and the beneficial owner, if any, on whose behalf the nomination or proposal is made (i) the name and address of such stockholder, as they appear on the corporation's books, and of such beneficial owner, (ii) the class and number of shares of the corporation that are owned beneficially and of record by such stockholder and such beneficial owner, and (iii) whether either such stockholder or beneficial owner intends to deliver a proxy statement and form of proxy to holders of, in the case of the proposal, at least the percentage of the corporation's voting shares required under applicable law to carry the proposal or, in the case of a nomination or nominations, a sufficient number of holders of the corporation's voting shares to elect such nominee or nominees (an affirmative statement of such intent, a "***Solicitation Notice***").

**(d)** Only such persons who are nominated in accordance with the procedures set forth in this Section 6 (or elected or appointed pursuant to Article IV of these Bylaws) shall be eligible to serve as directors and only such business shall be conducted at a meeting of stockholders as has been brought before the meeting in accordance with the procedures set forth in this Section 6. Except as otherwise provided by law, the chair of the meeting shall have the power and duty to determine whether a nomination or any business proposed to be brought before the meeting was made, or proposed, as the case may be, in accordance with the procedures set forth in these Bylaws and, if any proposed nomination or business is not in compliance with these Bylaws, to declare that such defective proposal or nomination shall not be presented for stockholder action at the meeting and shall be disregarded.

**(e)** Notwithstanding the foregoing provisions of this Section 6, in order to include information with respect to a stockholder proposal in the proxy statement and form of proxy for a stockholders' meeting, stockholders must provide notice as required by the regulations promulgated under the 1934 Act. Nothing in these Bylaws is deemed to affect any rights of stockholders to request inclusion of proposals in the corporation proxy statement pursuant to Rule 14a-8 under the 1934 Act.

**(f)** For purposes of this Section 6, "public announcement" means disclosure in a press release reported by the Dow Jones News Service, Associated Press or comparable national news service or in a document publicly filed by the corporation with the Securities and Exchange Commission (the "***SEC***") pursuant to Section 13, 14 or 15(d) of the 1934 Act.

**Section 7. Special Meetings**.

**(a)** Special meetings of the stockholders of the corporation may be called, for any purpose or purposes, by (i) the Chair of the Board of Directors, (ii) the President or Chief Executive Officer, (iii) the Board of Directors pursuant to a resolution adopted by directors representing a quorum of the directors then serving on the Board of Directors or (iv) by the holders of shares entitled to cast not less than 50% of the votes at the meeting, and shall be held at such place, on such date, and at such time as the Board of Directors shall fix.

**(b)** If a special meeting is properly called by any person or persons other than the Board of Directors, the request must be in writing, specifying the general nature of the business proposed to be transacted, and must be delivered personally or sent by certified or registered mail, return receipt requested, or by telegraphic or other facsimile transmission to the Chair of the Board of Directors, the President, the Chief Executive Officer, or the Secretary of the corporation. No business may be transacted at such special meeting otherwise than specified in such notice. The Board of Directors shall determine the time and place of such special meeting, which shall be held not less than 35 nor more than one hundred twenty (120) days after the date of the receipt of the request. Upon determination of the time and place of the meeting, the officer receiving the request shall cause notice to be given to the stockholders entitled to vote, in accordance with the provisions of Section 8 of these Bylaws. Nothing contained in this paragraph (b) is to be construed as limiting, fixing, or affecting the time when a meeting of stockholders called by action of the Board of Directors may be held.

**Section 8. Notice of Meetings**. Except as otherwise provided by law, notice, given in writing or by electronic transmission, of each meeting of stockholders shall be given not less than ten (10) nor more than sixty (60) days before the date of the meeting to each stockholder entitled to vote at such meeting, such notice to specify the place, if any, date and hour, in the case of special meetings, the purpose or purposes of the meeting, and the means of remote communications, if any, by which stockholders and proxyholders may be deemed to be present in person and vote at any such meeting. If mailed, notice is given when deposited in the United States mail, postage prepaid, directed to the stockholder at such stockholder's address as it appears on the records of the corporation. Notice of the time, place, if any, and purpose of any meeting of stockholders may be waived in writing, signed by the person entitled to notice thereof or by electronic transmission by such person, either before or after such meeting, and shall be waived by any stockholder by his or her attendance thereat in person, by remote communication, if applicable, or by proxy, except when the stockholder attends a meeting for the express purpose of objecting, at the beginning of the meeting, to the transaction of any business because the meeting is not lawfully called or convened. Any stockholder so waiving notice of such meeting shall be bound by the proceedings of any such meeting in all respects as if due notice thereof had been given.

**Section 9. Quorum**. At all meetings of stockholders, except as otherwise provided by statute, the Articles of Incorporation or these Bylaws, the presence, in person, by remote communication, if applicable, or by proxy duly authorized, of the holders of a majority of the outstanding shares of stock entitled to vote shall constitute a quorum for the transaction of business. In the absence of a quorum, any meeting of stockholders may be adjourned, from time to time, either by the chair of the meeting or by vote of the holders of a majority of the shares represented thereat, but no other business shall be transacted at such meeting. The stockholders present at a duly called or convened meeting, at which a quorum is present, may continue to transact business until adjournment, notwithstanding the withdrawal of enough stockholders to leave less than a quorum. Except as otherwise provided by statute, the Articles of Incorporation or these Bylaws, in all matters other than the election of directors, the affirmative vote of a majority of shares present in person, by remote communication, if applicable, or represented by proxy duly authorized at the meeting and entitled to vote generally on the subject matter shall be the act of the stockholders. Except as otherwise provided by statute, the Articles of Incorporation or these Bylaws, directors shall be elected by a plurality of the votes of the shares present in person, by remote communication, if applicable, or represented by proxy duly authorized at the meeting and entitled to vote generally on the election of directors. Where a separate vote by a class or classes or series is required, except as otherwise provided by statute, the Articles of Incorporation or these Bylaws, a majority of the outstanding shares of such class or classes or series, present in person, by remote communication, if applicable, or represented by proxy duly authorized, shall constitute a quorum entitled to take action with respect to that vote on that matter. Except as otherwise provided by statute, the Articles of Incorporation or these Bylaws, the affirmative vote of the majority (plurality, in the case of the election of directors) of shares of such class or classes or series present in person, by remote communication, if applicable, or represented by proxy at the meeting shall be the act of such class or classes or series.

**Section 10. Adjournment and Notice of Adjourned Meetings**. Any meeting of stockholders, whether annual or special, may be adjourned from time to time either by the chair of the meeting or by the vote of a majority of the shares present in person, by remote communication, if applicable, or represented by proxy. When a meeting is adjourned to another time or place, if any, notice need not be given of the adjourned meeting if the time and place, if any, thereof are announced at the meeting at which the adjournment is taken. At the adjourned meeting, the corporation may transact any business that might have been transacted at the original meeting pursuant to the Articles of Incorporation, these Bylaws or applicable law. If the adjournment is for more than thirty (30) days or if after the adjournment a new record date is fixed for the adjourned meeting, a notice of the adjourned meeting shall be given to each stockholder of record entitled to vote at the meeting.

**Section 11. Voting Rights**. For the purpose of determining those stockholders entitled to vote at any meeting of the stockholders, except as otherwise provided by law, only persons in whose names shares stand on the stock records of the corporation on the record date, as provided in Section 13 of these Bylaws, shall be entitled to vote at any meeting of stockholders. Every person entitled to vote or execute consents shall have the right to do so either in person, by remote communication, if applicable, or by an agent or agents authorized by a proxy granted in accordance with Georgia law. An agent so appointed need not be a stockholder. No proxy shall be voted after three years from its date of creation unless the proxy provides for a longer period.

**Section 12. Joint Owners of Stock**. If shares or other securities having voting power stand of record in the names of two or more persons, whether fiduciaries, members of a partnership, joint tenants, tenants in common, tenants by the entirety, or otherwise, or if two or more persons have the same fiduciary relationship respecting the same shares, unless the Secretary is given written notice to the contrary and is furnished with a copy of the instrument or order appointing them or creating the relationship where it is so provided, their acts with respect to voting (including giving consent pursuant to Section 14) shall have the following effect: (a) if only one votes, his or her act binds all; (b) if more than one votes and the vote is not evenly split, the act of the majority so voting binds all; (c) if more than one votes, but the vote is evenly split on any particular matter, each faction may vote the securities in question proportionally. If the instrument filed with the Secretary shows that any such tenancy is held in unequal interests, a majority or even-split for the purpose of subsection (c) shall be a majority or even-split in interest.

**Section 13. List of Stockholders**. The Secretary shall prepare and make, at least ten (10) days before every meeting of stockholders, a complete list of the stockholders entitled to vote at said meeting, arranged in alphabetical order, showing the address of each stockholder and the number of shares registered in the name of each stockholder. Such list shall be open to the examination of any stockholder, for any purpose germane to the meeting, on a reasonably accessible electronic network, provided that the information required to gain access to such list is provided with the notice of the meeting, or during ordinary business hours, at the principal place of business of the corporation. In the event that the corporation determines to make the list available on an electronic network, the corporation may take reasonable steps to ensure that such information is available only to stockholders of the corporation. The list shall be open to examination of any stockholder during the time of the meeting as provided by law.

**Section 14. Action Without Meeting**. Any action required or permitted to be taken at a meeting of stockholders may be taken without a meeting if a unanimous consent which sets forth the action is:

**(a)** given in writing or by electronic transmission by each stockholder entitled to vote on the matter; and

**(b)** filed in paper or electronic form with the minutes of the proceedings of the stockholders.

The holders of any class of stock, other than common stock entitled to vote generally in the election of directors, may take action or consent to any action by delivering a consent in writing or by electronic transmission of the stockholders entitled to cast not less than the minimum number of votes that would be necessary to authorize or take the action at a stockholders' meeting if the Corporation gives notice of the action to each holder of the class of stock not later than ten (10) days after the effective time of the action.

As authorized by the Articles of Incorporation, the holders of common stock and preferred stock entitled to vote generally in the election of directors may take action or consent to any action by delivering a consent in writing or by electronic transmission of the stockholders entitled to cast not less than the minimum number of votes that would be necessary to authorize or take the action at a stockholders' meeting if the Corporation gives notice of the action not later than ten (10) days after the effective date of the action to each holder of the class of common stock and to each stockholder who, if the action had been taken at a meeting, would have been entitled to notice of the meeting.

The board of directors may set a record date as provided by the GBCC for the purposes of determining stockholders entitled to take action by written consent and to receive notice of any such action.

Any consent authorized by the GBCC, the Articles of Incorporation, or these Bylaws shall be delivered to the Corporation by delivery to its principal office, its registered agent, or the officer or agent of the Corporation that has custody of the book in which proceedings of minutes of stockholders' meetings are recorded. Delivery may be in paper form, by hand, by certified or registered mail, return receipt requested, or by electronic transmission. The Board of Directors may adopt reasonable procedures for providing consents instead of holding a meeting.

A written consent shall not be effective unless written consents signed by a sufficient number of stockholders to take action are delivered to the corporation within sixty (60) days after the date of the earliest consent in accordance with procedures adopted by the Board of Directors.

A person, even if not then a stockholder of the corporation, may assent to an action by a consent that shall be effective at a future time that is no later than sixty (60) days after the consent is delivered to the corporation or its agent if the person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) is a stockholder at the effective time; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) has not revoked the consent before the effective time.

**Section 15. Organization**.

**(a)** At every meeting of stockholders, the Chair of the Board of Directors, or, if a Chair has not been appointed or is absent, the President or CEO, or, if the President or CEO is absent, a chair of the meeting chosen by a majority in interest of the stockholders entitled to vote, present in person or by proxy, shall act as chair. The Secretary, or, in his or her absence, an Assistant Secretary directed to do so by the President or CEO, shall act as secretary of the meeting.

**(b)** The Board of Directors is entitled to make such rules or regulations for the conduct of meetings of stockholders as it deems necessary, appropriate or convenient. Subject to such rules and regulations of the Board of Directors, if any, the chair of the meeting has the right and authority to prescribe such rules, regulations and procedures and to do all such acts as, in the judgment of such chair, are necessary, appropriate or convenient for the proper conduct of the meeting, including, without limitation, establishing an agenda or order of business for the meeting, rules and procedures for maintaining order at the meeting and the safety of those present, limitations on participation in such meeting to stockholders of record of the corporation and their duly authorized and constituted proxies and such other persons as the chair permits, restrictions on entry to the meeting after the time fixed for the commencement thereof, limitations on the time allotted to questions or comments by participants and regulation of the opening and closing of the polls for balloting on matters that are to be voted on by ballot. The date and time of the opening and closing of the polls for each matter upon which the stockholders shall vote at the meeting shall be announced at the meeting. Unless and to the extent determined by the Board of Directors or the chair of the meeting, meetings of stockholders shall not be required to be held in accordance with rules of parliamentary procedure.

**ARTICLE IV**

**DIRECTORS**

**Section 16. Number and Term of Office**. The number of directors shall be one (1) provided that the number may be increased or decreased from time to time by an amendment to these Bylaws. Directors need not be stockholders unless so required by the Articles of Incorporation. If for any cause, the directors have not been elected at an annual meeting, they may be elected as soon thereafter as convenient.

**Section 17. Powers**. The business and affairs of the corporation shall be managed by or under the direction of the Board of Directors, except as otherwise provided by statute or by the Articles of Incorporation.

**Section 18. Term of Directors**.

**(a)** Subject to the rights of the holders of any series of Preferred Stock to elect additional directors under specified circumstances, directors shall be elected at each annual meeting of stockholders to serve until his or her successor is duly elected and qualified or until his or her death, resignation or removal. No decrease in the number of directors constituting the Board of Directors shall shorten the term of any incumbent director.

**(b)** No person entitled to vote at an election for directors may cumulate votes to which such person is entitled. Every stockholder entitled to vote at an election for directors may cumulate such stockholder's votes and give one candidate a number of votes equal to the number of directors to be elected multiplied by the number of votes to which such stockholder's shares are otherwise entitled or distribute the stockholder's votes on the same principle among as many candidates as such stockholder thinks fit. No stockholder, however, shall be entitled to so cumulate such stockholder's votes unless (i) the names of such candidate or candidates have been placed in nomination prior to the voting and (ii) the stockholder has given notice at the meeting, prior to the voting, of such stockholder's intention to cumulate such stockholder's votes. If any stockholder has given proper notice to cumulate votes, all stockholders may cumulate their votes for any candidates who have been properly placed in nomination. Under cumulative voting, the candidates receiving the highest number of votes, up to the number of directors to be elected, are elected.

**Section 19. Vacancies**.

**(a)** Unless otherwise provided in the Articles of Incorporation, and subject to the rights of the holders of any series of Preferred Stock, any vacancies on the Board of Directors resulting from death, resignation, disqualification, removal or other causes and any newly created directorships resulting from any increase in the number of directors shall, unless the Board of Directors determines by resolution that any such vacancies or newly created directorships shall be filled by stockholders, be filled only by the affirmative vote of a majority of the directors then in office, even though less than a quorum of the Board of Directors, or by a sole remaining director; *provided, however*, that whenever the holders of any class or classes of stock or series thereof are entitled to elect one or more directors by the provisions of the Articles of Incorporation, vacancies and newly created directorships of such class or classes or series shall, unless the Board of Directors determines by resolution that any such vacancies or newly created directorships must be filled by stockholders, be filled by a majority of the directors elected by such class or classes or series thereof then in office, or by a sole remaining director so elected. Any director elected in accordance with the preceding sentence shall hold office for the remainder of the full term of the director for which the vacancy was created or occurred and until such director's successor has been elected and qualified. A vacancy in the Board of Directors shall be deemed to exist under this Bylaw in the case of the death, removal or resignation of any director.

**(b)** At any time or times that the corporation, after the filling of any vacancy, the directors then in office who have been elected by stockholders constitute less than a majority of the directors then in office, then

**(i)** any holder or holders of an aggregate of 5% or more of the total number of shares at the time outstanding having the right to vote for those directors may call a special meeting of stockholders; or

**(ii)** the Superior Court of the proper county shall, upon application of such stockholder or stockholders, summarily order a special meeting of the stockholders, to be held to elect the entire board, the term of office of any director shall terminate upon that election of a successor.

**Section 20. Resignation**. Any director may resign at any time by delivering his or her notice in writing or by electronic transmission to the Secretary, such resignation to specify whether it shall be effective at a particular time, upon receipt by the Secretary or at the pleasure of the Board of Directors. If no such specification is made, it shall be deemed effective at the pleasure of the Board of Directors. When one or more directors resigns from the Board of Directors, effective at a future date, a majority of the directors then in office, including those who have so resigned, shall have power to fill such vacancy or vacancies, the vote thereon to take effect when such resignation or resignations become effective, and each director so chosen shall hold office for the unexpired portion of the term of the director whose place is vacated and until his or her successor has been duly elected and qualified.

**Section 21. Removal**.

**(a)** Subject to any limitations imposed by applicable law and unless otherwise provided in the Articles of Incorporation, the Board of Directors or any director may be removed from office at any time, with or without cause, by the affirmative vote of the holders of a majority of the voting power of all then-outstanding shares of capital stock of the corporation entitled to vote generally at an election of directors.

**(b)** During such time or times that the Board of Directors or any individual director may be removed from office at any time without cause by the affirmative vote of the holders of a majority of the outstanding shares entitled to vote on such removal; *provided, however*, that unless the entire Board of Directors is removed, no individual director may be removed when the votes cast against such director's removal, or not consenting in writing to such removal, would be sufficient to elect that director if voted cumulatively at an election in which the same total number of votes were cast (or, if such action is taken by written consent, all shares entitled to vote were voted) and the entire number of directors authorized at the time of such director's most recent election were then being elected.

**Section 22. Meetings**

**(a) Regular Meetings**. Unless otherwise restricted by the Articles of Incorporation, regular meetings of the Board of Directors may be held at any time or date and at any place within or without the State of Georgia that has been designated by the Board of Directors and publicized among all directors, either orally or in writing, including a voice-messaging system or other system designated to record and communicate messages, facsimile, or by electronic mail or other electronic means. No further notice shall be required for a regular meeting of the Board of Directors.

**(b) Special Meetings**. Unless otherwise restricted by the Articles of Incorporation, special meetings of the Board of Directors may be held at any time and place within or without the State of Georgia whenever called by the Chair of the Board of Directors, the Chief Executive Officer (if a director), the President (if a director) or any director.

**(c) Meetings by Electronic Communications Equipment**. Any member of the Board of Directors, or of any committee thereof, may participate in a meeting by means of conference telephone or other communications equipment by means of which all persons participating in the meeting can hear each other, and participation in a meeting by such means constitutes presence in person at such meeting.

**(d) Notice of Special Meetings**. Notice of the time and place of all special meetings of the Board of Directors shall be orally or in writing, by telephone, including a voice messaging system or other system or technology designed to record and communicate messages, facsimile, telegraph or telex, or by electronic mail or other electronic means, during normal business hours, at least 24 hours before the date and time of the meeting. If notice is sent by US mail, it shall be sent by first class mail, postage prepaid at least three (3) days before the date of the meeting. Notice of any meeting may be waived in writing or by electronic transmission at any time before or after the meeting and shall be waived by any director by attendance thereat, except when the director attends the meeting for the express purpose of objecting, at the beginning of the meeting, to the transaction of any business because the meeting is not lawfully called or convened.

**(e) Waiver of Notice**. The transaction of all business at any meeting of the Board of Directors, or any committee thereof, however called or noticed, or wherever held, shall be as valid as though had at a meeting duly held after regular call and notice, if a quorum be present and if, either before or after the meeting, each of the directors not present who did not receive notice signs a written waiver of notice or waives notice by electronic transmission. All such waivers shall be filed with the corporate records or made a part of the minutes of the meeting.

**Section 23. Quorum and Voting**.

**(a)** Unless the Articles of Incorporation requires a greater number, a quorum of the Board of Directors shall consist of a majority of the total number of directors then serving; *provided, however*, that such number shall never be less than 1/3 of the total number of directors authorized except that when one director is authorized, then one director shall constitute a quorum. At any meeting, whether a quorum be present or otherwise, a majority of the directors present may adjourn from time to time until the time fixed for the next regular meeting of the Board of Directors, without notice other than by announcement at the meeting. If the Articles of Incorporation provides that one or more directors shall have more or less than one vote per director on any matter, every reference in this Section 23 to a majority or other proportion of the directors shall refer to a majority or other proportion of the votes of the directors.

**(b)** At each meeting of the Board of Directors at which a quorum is present, all questions and business shall be determined by the affirmative vote of a majority of the directors present, unless a different vote be required by law, the Articles of Incorporation or these Bylaws.

**Section 24. Action Without Meeting**. Unless otherwise restricted by the Articles of Incorporation or these Bylaws, any action required or permitted to be taken at any meeting of the Board of Directors or of any committee thereof may be taken without a meeting, if all members of the Board of Directors or committee, as the case may be, consent in writing or by electronic transmission, and such writing or writings or transmission or transmissions are filed with the minutes of proceedings of the Board of Directors or committee. A consent may be documented, signed and delivered in any manner permitted by Section 14-2-704 of the GBCC. Such filing shall be in paper form if the minutes are maintained in paper form and shall be in electronic form if the minutes are maintained in electronic form.

**Section 25. Fees and Compensation**. Directors shall be entitled to such compensation for their services as may be approved by the Board of Directors, including, if so approved, by resolution of the Board of Directors, a fixed sum and expenses of attendance, if any, for attendance at each regular or special meeting of the Board of Directors and at any meeting of a committee of the Board of Directors. Nothing herein contained is to be construed to preclude any director from serving the corporation in any other capacity as an officer, agent, employee, or otherwise and receiving compensation therefor.

**Section 26. Committees**.

**(a) Executive Committee**. The Board of Directors may appoint an Executive Committee to consist of one or more members of the Board of Directors. The Executive Committee, to the extent permitted by law and provided in the resolution of the Board of Directors, shall have and may exercise all the powers and authority of the Board of Directors in the management of the business and affairs of the corporation, and may authorize the seal of the corporation to be affixed to all papers that may require it; but no such committee shall have the power or authority in reference to (i) approving or adopting, or recommending to the stockholders, any action or matter expressly required by the GBCC to be submitted to stockholders for approval, or (ii) adopting, amending or repealing any bylaw of the corporation.

**(b) Other Committees**. The Board of Directors may, from time to time, appoint such other committees as may be permitted by law. Such other committees appointed by the Board of Directors shall consist of one or more members of the Board of Directors and shall have such powers and perform such duties as may be prescribed by the resolution or resolutions creating such committees, but in no event shall any such committee have the powers denied to the Executive Committee in these Bylaws.

**(d) Meetings**. Unless the Board of Directors otherwise provide, regular meetings of the Executive Committee or any other committee appointed pursuant to this Section 26 shall be held at such times and places as are determined by the Board of Directors, or by any such committee, and when notice thereof has been given to each member of such committee, no further notice of such regular meetings need be given thereafter. Special meetings of any such committee may be held at any place that has been determined from time to time by such committee, and may be called by any director who is a member of such committee, upon notice to the members of such committee of the time and place of such special meeting given in the manner provided for the giving of notice to members of the Board of Directors of the time and place of special meetings of the Board of Directors. Notice of any special meeting of any committee may be waived in writing at any time before or after the meeting and shall be waived by any director by attendance thereat, except when the director attends such special meeting for the express purpose of objecting, at the beginning of the meeting, to the transaction of any business because the meeting is not lawfully called or convened. Unless otherwise provided by the Board of Directors in the resolutions authorizing the creation of the committee, a majority of the authorized number of members of any such committee shall constitute a quorum for the transaction of business, and the act of a majority of those present at any meeting at which a quorum is present shall be the act of such committee.

**Section 27. Duties of Chair of the Board of Directors**. The Chair of the Board of Directors, when present, shall preside at all meetings of the stockholders and the Board of Directors. The Chair of the Board of Directors shall perform other duties commonly incident to the office and shall also perform such other duties and have such other powers as the Board of Directors designates from time to time. If there is no President and no Chief Executive Officer, then the Chair of the Board of Directors shall also serve as the President and Chief Executive Officer of the corporation and shall have the powers and duties prescribed in Section 30(b).

**Section 28. Organization**. At every meeting of the directors, the Chair of the Board of Directors, or, if a Chair has not been appointed or is absent, the President (if a director), or if the President is not a director or is absent, the Chief Executive Officer (if a director), or if the Chief Executive Officer is not a director or is absent, the most senior Vice President (if a director) or, in the absence of any such person, a chair of the meeting chosen by a majority of the directors present, shall preside over the meeting. The Secretary, or in his or her absence, any Assistant Secretary directed to do so by the President or Chief Executive Officer, shall act as secretary of the meeting.

**ARTICLE V**

**OFFICERS**

**Section 29. Officers Designated**. The officers of the corporation shall include, if and when designated by the Board of Directors, the President, the Chief Executive Officer, one or more Vice Presidents, the Secretary, the Chief Financial Officer, the Treasurer and the Controller, all of whom shall be elected or appointed from time to time by the Board of Directors. The Board of Directors may also appoint one or more Assistant Secretaries, Assistant Treasurers, Assistant Controllers and such other officers and agents with such powers and duties as it deems necessary. The Board of Directors may assign such additional titles to one or more of the officers as it deems appropriate. Any one person may hold any number of offices of the corporation at any one time unless specifically prohibited therefrom by law. The salaries and other compensation of the officers of the corporation shall be fixed by or in the manner designated by the Board of Directors.

**Section 30. Tenure and Duties of Officers**.

**(a) General**. All officers shall hold office at the pleasure of the Board of Directors and until their successors have been duly elected or appointed and qualified, unless sooner removed. Any officer elected or appointed by the Board of Directors may be removed at any time by the Board of Directors. If the office of any officer becomes vacant for any reason, the vacancy may be filled by the Board of Directors, or by the President or other officer if so authorized by the Board of Directors.

**(b) Duties of President**. The President shall preside at all meetings of the stockholders and (if a director) at all meetings of the Board of Directors, unless the Chair of the Board of Directors has been appointed and is present. The President shall be the chief executive officer of the corporation and shall, subject to the control of the Board of Directors, have general supervision, direction and control of the business and officers of the corporation. The President shall perform other duties commonly incident to the office and shall also perform such other duties and have such other powers as the Board of Directors designates from time to time.

**(c) Duties of Chief Executive Officer**. In the absence or disability of the President or if the office of President is vacant, the Chief Executive Officer shall preside at all meetings of the stockholders and (if a director) at all meetings of the Board of Directors, unless the Chair of the Board of Directors has been appointed and is present. If the office of President is vacant, the Chief Executive Officer shall be the chief executive officer of the corporation (including for purposes of any reference to President in these Bylaws) and shall, subject to the control of the Board of Directors, have general supervision, direction and control of the business and officers of the corporation. The President shall perform other duties commonly incident to the office and shall also perform such other duties and have such other powers as the Board of Directors designates from time to time.

**(d) Duties of Vice Presidents**. The Vice Presidents may assume and perform the duties of the President in the absence or disability of the President or whenever the office of President is vacant. The Vice Presidents shall perform other duties commonly incident to their office and shall also perform such other duties and have such other powers as the Board of Directors or the President designates from time to time.

**(e) Duties of Secretary**. The Secretary shall attend all meetings of the stockholders and of the Board of Directors and shall record all acts and proceedings thereof in the minute book of the corporation. The Secretary shall give notice in conformity with these Bylaws of all meetings of the stockholders and of all meetings of the Board of Directors and any committee thereof requiring notice. The Secretary shall perform all other duties provided for in these Bylaws and other duties commonly incident to the office and shall also perform such other duties and have such other powers as the Board of Directors shall designate from time to time. The President may direct any Assistant Secretary to assume and perform the duties of the Secretary in the absence or disability of the Secretary, and each Assistant Secretary shall perform other duties commonly incident to the office and shall also perform such other duties and have such other powers as the Board of Directors or the President designates from time to time.

**(f) Duties of Treasurer**. The Treasurer shall be the principal financial officer of the corporation, shall have the custody of the corporate funds and securities and shall keep full and accurate accounts of receipts and disbursements of the corporation, shall deposit all moneys and other valuable effects in the name and to the credit of the corporation in the depositories designated by the Board of Directors, and in general shall perform all the duties incident to the office of Treasurer and such other duties as the Board of Directors or President shall assign.

The Treasurer shall disburse the funds of the corporation as may be ordered by the Board of Directors, taking proper vouchers for the disbursements. The Treasurer shall keep and maintain the corporation's books of account and shall render to the President and Board of Directors an account of all transactions as Treasurer and of the financial condition of the corporation and exhibit the books, records, and accounts to the President or Board of Directors at any time.

The President may direct the Chief Financial Officer or any Assistant Treasurer, or the Controller or any Assistant Controller to assume and perform the duties of the Treasurer in the absence or disability of the Treasurer, and each Chief Financial Officer and Assistant Treasurer and each Controller and Assistant Controller shall perform other duties commonly incident to the office and shall also perform such other duties and have such other powers as the Board of Directors or the President designates from time to time.

**Section 31. Delegation of Authority**. The Board of Directors may from time to time delegate the powers or duties of any officer to any other officer or agent, notwithstanding any provision hereof.

**Section 32. Resignations**. Any officer may resign at any time by giving notice in writing or by electronic transmission notice to the Board of Directors or to the President or to the Chief Executive Officer or to the Secretary. Any such resignation shall be effective when received by the person or persons to whom such notice is given, unless a later time is specified therein, in which event the resignation shall become effective at such later time. Unless otherwise specified in such notice, the acceptance of any such resignation shall not be necessary to make it effective. Any resignation shall be without prejudice to the rights, if any, of the corporation under any contract with the resigning officer.

**Section 33. Removal**. Any officer may be removed from office at any time, either with or without cause, by the affirmative vote of a majority of the directors in office at the time, or by the unanimous written or electronic consent of the directors in office at the time, or by any committee or superior officers upon whom such power of removal may have been conferred by the Board of Directors.

**ARTICLE VI**

**EXECUTION OF CORPORATE INSTRUMENTS AND VOTING<br>OF SECURITIES OWNED BY THE CORPORATION**

**Section 34. Execution of Corporate Instruments**. The Board of Directors may, in its discretion, determine the method and designate the signatory officer or officers, or other person or persons, to execute on behalf of the corporation any corporate instrument or document, or to sign on behalf of the corporation the corporate name, or to enter into contracts on behalf of the corporation, except as otherwise provided by law or these Bylaws, and such execution or signature shall be binding upon the corporation. All checks and drafts drawn on banks or other depositaries of funds to the credit of the corporation or on special accounts of the corporation shall be signed by such person or persons as the Board of Directors authorizes so to do. Unless authorized or ratified by the Board of Directors or within the agency power of an officer, no officer, agent or employee shall have any power or authority to bind the corporation by any contract or engagement or to pledge its credit or to render it liable for any purpose or for any amount.

**Section 35. Voting of Securities Owned by the Corporation**. All stock and other securities of other corporations owned or held by the corporation for itself, or for other parties in any capacity, shall be voted, and all proxies with respect thereto shall be executed, by the person authorized so to do by resolution of the Board of Directors, or, in the absence of such authorization, by the Chair of the Board of Directors, the President, the Chief Executive Officer, or any Vice President.

**ARTICLE VII**

**SHARES OF STOCK**

**Section 36. Form and Execution of Certificates**. The shares of the corporation shall be represented by certificates, or shall be uncertificated. Certificates for the shares of stock, if any, of the corporation shall be in such form as is consistent with the Articles of Incorporation and applicable law. Every holder of shares of stock in the corporation represented by certificate shall be entitled to have a certificate signed by or in the name of the corporation by any two authorized officers of the corporation, including but not limited to the Chief Executive Officer, the President, the Chief Financial Officer, any Vice President, the Treasurer or Assistant Treasurer or the Secretary or Assistant Secretary, certifying the number of shares owned by him or her in the corporation. Any or all of the signatures on the certificate may be facsimiles. In case any officer, transfer agent, or registrar who has signed or whose facsimile signature has been placed upon a certificate has ceased to be such officer, transfer agent, or registrar before such certificate is issued, it may be issued with the same effect as if he or she were such officer, transfer agent, or registrar at the date of issue.

**Section 37. Lost Certificates**. A new certificate or certificates shall be issued in place of any certificate or certificates theretofore issued by the corporation alleged to have been lost, stolen, or destroyed, upon the making of an affidavit of that fact by the person claiming the certificate of stock to be lost, stolen, or destroyed. The corporation may require, as a condition precedent to the issuance of a new certificate or certificates, the owner of such lost, stolen, or destroyed certificate or certificates, or the owner's legal representative, to agree to indemnify the corporation in such manner as it requires or to give the corporation a surety bond in such form and amount as it may direct as indemnity against any claim that may be made against the corporation with respect to the certificate alleged to have been lost, stolen, or destroyed.

**Section 38. Fixing Record Dates**.

**(a)** In order that the corporation may determine the stockholders entitled to notice of or to vote at any meeting of stockholders or any adjournment thereof, the Board of Directors may fix, in advance, a record date, which record date shall not precede the date upon which the resolution fixing the record date is adopted by the Board of Directors, and which record date shall, subject to applicable law, not be more than 60 nor less than ten (10) days before the date of such meeting. If no record date is fixed by the Board of Directors, the record date for determining stockholders entitled to notice of or to vote at a meeting of stockholders shall be at the close of business on the day immediately preceding the day on which notice is given, or if notice is waived, at the close of business on the day immediately preceding the day on which the meeting is held. A determination of stockholders of record entitled to notice of or to vote at a meeting of stockholders shall apply to any adjournment of the meeting; *provided, however,* that the Board of Directors may fix a new record date for the adjourned meeting.

**(b)** In order that the corporation may determine the stockholders entitled to consent to corporate action without a meeting in accordance with Section 14-2-704 of the GBCC, the Board of Directors may fix a record date, which record date shall not precede the date upon which the resolution fixing the record date is adopted by the Board of Directors, and which date shall not be more than ten (10) days after the date upon which the resolution fixing the record date is adopted by the Board of Directors. Any stockholder of record seeking to have the stockholders authorize or take corporate action without a meeting in accordance with Section 14-2-704 of the GBCC shall, by written notice to the Secretary, request the Board of Directors to fix a record date. The Board of Directors shall promptly, but in all events within ten (10) days after the date on which such a request is received, adopt a resolution fixing the record date. If no record date has been fixed by the Board of Directors within ten (10) days of the date on which such a request is received, the record date for determining stockholders entitled to consent to corporate action without a meeting, when no prior action by the Board of Directors is required by applicable law, shall be the first date on which a signed consent setting forth the action taken or proposed to be taken is delivered to the corporation in accordance with the GBCC. If no record date has been fixed by the Board of Directors and prior action by the Board of Directors is required by law, the record date for determining stockholders entitled to consent to corporate action without a meeting shall be at the close of business on the day on which the Board of Directors adopts the resolution taking such prior action.

**(c)** In order that the corporation may determine the stockholders entitled to receive payment of any dividend or other distribution or allotment of any rights or the stockholders entitled to exercise any rights in respect of any change, conversion or exchange of stock, or for the purpose of any other lawful action, the Board of Directors may fix, in advance, a record date, which record date shall not precede the date upon which the resolution fixing the record date is adopted, and which record date shall be not more than sixty (60) days prior to such action. If no record date is fixed, the record date for determining stockholders for any such purpose shall be at the close of business on the day on which the Board of Directors adopts the resolution relating thereto.

**Section 39. Registered Stockholders**. The corporation is entitled to recognize the exclusive right of a person registered on its books as the owner of shares to receive dividends, and to vote as such owner, and is not bound to recognize any equitable or other claim to or interest in such share or shares on the part of any other person whether or not it has express or other notice thereof, except as otherwise provided by the laws of Georgia.

**ARTICLE VIII** 

**OTHER SECURITIES OF THE CORPORATION**

**Section 40. Execution of Other Securities**. All bonds, debentures and other corporate securities of the corporation, other than stock certificates (covered in Section 36 of these Bylaws), may be signed by the Chair of the Board of Directors, the Chief Executive Officer, the President or any Vice President, or such other person as may be authorized by the Board of Directors, and the corporate seal impressed thereon or a facsimile of such seal imprinted thereon and attested by the signature of the Secretary or an Assistant Secretary, or the Chief Financial Officer or Treasurer or an Assistant Treasurer; *provided, however,* that where any such bond, debenture or other corporate security is authenticated by the manual signature, or where permissible facsimile signature, of a trustee under an indenture pursuant to which such bond, debenture or other corporate security is issued, the signatures of the persons signing and attesting the corporate seal on such bond, debenture or other corporate security may be the imprinted facsimile of the signatures of such persons. Interest coupons appertaining to any such bond, debenture or other corporate security, authenticated by a trustee as aforesaid, shall be signed by the Treasurer or an Assistant Treasurer of the corporation or such other person as may be authorized by the Board of Directors, or bear imprinted thereon the facsimile signature of such person. In case any officer who has signed or attested any bond, debenture or other corporate security, or whose facsimile signature appears thereon or on any such interest coupon, has ceased to be such officer before the bond, debenture or other corporate security so signed or attested has been delivered, such bond, debenture or other corporate security nevertheless may be adopted by the corporation and issued and delivered as though the person who signed the same or whose facsimile signature has been used thereon had not ceased to be such officer of the corporation.

**ARTICLE IX**

**DIVIDENDS**

**Section 41. Declaration of Dividends**. Dividends upon the capital stock of the corporation, subject to the provisions of the Articles of Incorporation and applicable law, if any, may be declared by the Board of Directors pursuant to law at any regular or special meeting. Dividends may be paid in cash, in property, or in shares of the capital stock, subject to the provisions of the Articles of Incorporation and applicable law.

**Section 42. Dividend Reserve**. Before payment of any dividend, there may be set aside out of any funds of the corporation available for dividends such sum or sums as the Board of Directors from time to time, in their absolute discretion, think proper as a reserve or reserves to meet contingencies, or for equalizing dividends, or for repairing or maintaining any property of the corporation, or for such other purpose as the Board of Directors thinks conducive to the interests of the corporation, and the Board of Directors may modify or abolish any such reserve in the manner in which it was created.

**ARTICLE X**

**FISCAL YEAR**

**Section 43. Fiscal Year**. The fiscal year of the corporation shall be fixed by resolution of the Board of Directors.

**ARTICLE XI**

**INDEMNIFICATION**

**Section 44. Indemnification of Directors, Executive Officers, Other Officers, Employees and Other Agents**.

**(a) Directors and Executive Officers**. The corporation shall indemnify its directors and executive officers (for the purposes of this Article, "executive officers" has the meaning defined in Rule 3b-7 promulgated under the 1934 Act) to the fullest extent not prohibited by the GBCC or any other applicable law; *provided, however,* that the corporation may modify the extent of such indemnification by individual contracts with its directors and executive officers and, *provided, further,* that the corporation shall not be required to indemnify any director or executive officer in connection with any proceeding (or part thereof) initiated by such person unless (i) such indemnification is expressly required to be made by law, (ii) the proceeding was authorized by the Board of Directors of the corporation, (iii) such indemnification is provided by the corporation, in its sole discretion, pursuant to the powers vested in the corporation under the GBCC or any other applicable law or (iv) such indemnification is required to be made under paragraph (d) of this Section.

**(b) Other Officers, Employees and Other Agents**. The corporation shall have power to indemnify its other officers, employees and other agents as set forth in the GBCC or any other applicable law. The Board of Directors shall have the power to delegate the determination of whether indemnification shall be given to any such person except executive officers to such officers or other persons as the Board of Directors determines.

**(c) Expenses**. The corporation shall advance to any person who was or is a party or is threatened to be made a party to any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that such person is or was a director or executive officer of the corporation, or is or was serving at the request of the corporation as a director or executive officer of another corporation, partnership, joint venture, trust or other enterprise, prior to the final disposition of the proceeding, promptly following request therefor, all expenses incurred by any director or executive officer in connection with such proceeding, *provided, however*, that, if the GBCC requires, an advancement of expenses incurred by a director or officer in his or her capacity as a director or officer (and not in any other capacity in which service was or is rendered by such indemnitee, including, without limitation, service to an employee benefit plan) shall be made only upon delivery to the corporation of an undertaking, by or on behalf of such indemnitee, to repay all amounts so advanced if it is ultimately determined by final judicial decision from which there is no further right to appeal that such indemnitee is not entitled to be indemnified for such expenses under this Section or otherwise.

Notwithstanding the foregoing, unless otherwise determined pursuant to paragraph (e) of this Section, no advance shall be made by the corporation to an executive officer of the corporation (except by reason of the fact that such executive officer is or was a director of the corporation, in which event this paragraph shall not apply) in any action, suit or proceeding, whether civil, criminal, administrative or investigative, if a determination is reasonably and promptly made (i) by a majority vote of a quorum consisting of directors who were not parties to the proceeding, even if not a quorum, or (ii) by a committee of such directors designated by a majority of such directors, even though less than a quorum, or (iii) if there are no such directors, or such directors so direct, by independent legal counsel in a written opinion, that the facts known to the decision-making party at the time such determination is made demonstrate clearly and convincingly that such person acted in bad faith or in a manner that such person did not believe to be in or not opposed to the best interests of the corporation.

**(d) Enforcement**. Without the necessity of entering into an express contract, all rights to indemnification and advances to directors and executive officers under this Section shall be deemed to be contractual rights and be effective to the same extent and as if provided for in a contract between the corporation and the director or executive officer. Any right to indemnification or advances granted by this Section to a director or executive officer shall be enforceable by or on behalf of the person holding such right in any court of competent jurisdiction if (i) the claim for indemnification or advances is denied, in whole or in part, or (ii) no disposition of such claim is made within ninety (90) days of request therefor. The claimant in such enforcement action, if successful in whole or in part, shall be entitled to be paid also the expense of prosecuting the claim. In connection with any claim for indemnification, the corporation shall be entitled to raise as a defense to any such action that the claimant has not met the standards of conduct that make it permissible under the GBCC or any other applicable law for the corporation to indemnify the claimant for the amount claimed. In connection with any claim by an executive officer of the corporation (except in any action, suit or proceeding, whether civil, criminal, administrative or investigative, by reason of the fact that such executive officer is or was a director of the corporation) for advances, the corporation shall be entitled to raise as a defense as to any such action clear and convincing evidence that such person acted in bad faith or in a manner that such person did not believe to be in or not opposed to the best interests of the corporation, or with respect to any criminal action or proceeding that such person acted without reasonable cause to believe that his or her conduct was lawful. Neither the failure of the corporation (including its Board of Directors, independent legal counsel or its stockholders) to have made a determination prior to the commencement of such action that indemnification of the claimant is proper in the circumstances because he has met the applicable standard of conduct set forth in the GBCC or any other applicable law, nor an actual determination by the corporation (including its Board of Directors, independent legal counsel or its stockholders) that the claimant has not met such applicable standard of conduct, shall be a defense to the action or create a presumption that claimant has not met the applicable standard of conduct.

**(e) Non-Exclusivity of Rights**. The rights conferred on any person by this Section are not exclusive of any other right that such person may have or hereafter acquire under any applicable statute, provision of the Articles of Incorporation, Bylaws, agreement, vote of stockholders or disinterested directors or otherwise, both as to action in his or her official capacity and as to action in another capacity while holding office. The corporation is specifically authorized to enter into individual contracts with any or all of its directors, officers, employees or agents respecting indemnification and advances, to the fullest extent not prohibited by the GBCC or any other applicable law.

**(f) Survival of Rights**. The rights conferred on any person by this Section shall continue as to a person who has ceased to be a director or executive officer and shall inure to the benefit of the heirs, executors and administrators of such a person.

**(g) Insurance**. To the fullest extent permitted by the GBCC, or any other applicable law, the corporation, upon approval by the Board of Directors, may purchase insurance on behalf of any person required or permitted to be indemnified pursuant to this Section.

**(h) Amendments**. Any repeal or modification of this Section is only prospective and does not affect the rights under this Bylaw in effect at the time of the alleged occurrence of any action or omission to act that is the cause of any proceeding against any agent of the corporation.

**(i) Saving Clause**. If this Section or any portion hereof is invalidated on any ground by any court of competent jurisdiction, then the corporation shall nevertheless indemnify each director and executive officer to the full extent not prohibited by any applicable portion of this Bylaw that has not been invalidated, or by any other applicable law. If this Section is invalid due to the application of the indemnification provisions of another jurisdiction, then the corporation shall indemnify each director and executive officer to the full extent under applicable law.

**(j) Certain Definitions**. For the purposes of this Section, the following definitions apply:

**(1)** The term "proceeding" is to be broadly construed and includes, without limitation, the investigation, preparation, prosecution, defense, settlement, arbitration and appeal of, and the giving of testimony in, any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative.

**(2)** The term "expenses" is to be broadly construed and includes, without limitation, court costs, attorneys' fees, witness fees, fines, amounts paid in settlement or judgment and any other costs and expenses of any nature or kind incurred in connection with any proceeding.

**(3)** The term the "corporation" includes, in addition to the resulting corporation, any constituent corporation (including any constituent of a constituent) absorbed in a consolidation or merger that, if its separate existence had continued, would have had power and authority to indemnify its directors, officers, and employees or agents, so that any person who is or was a director, officer, employee or agent of such constituent corporation, or is or was serving at the request of such constituent corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, stands in the same position under the provisions of this Section with respect to the resulting or surviving corporation as he would have with respect to such constituent corporation if its separate existence had continued.

**(4)** References to a "director," "executive officer," "officer," "employee," or "agent" of the corporation include, without limitation, situations where such person is serving at the request of the corporation as, respectively, a director, executive officer, officer, employee, trustee or agent of another corporation, partnership, joint venture, trust or other enterprise.

**(5)** References to "other enterprises" include employee benefit plans; references to "fines" include any excise taxes assessed on a person with respect to an employee benefit plan; and references to "serving at the request of the corporation" include any service as a director, officer, employee or agent of the corporation that imposes duties on, or involves services by, such director, officer, employee, or agent with respect to an employee benefit plan, its participants, or beneficiaries; and a person who acted in good faith and in a manner he reasonably believed to be in the interest of the participants and beneficiaries of an employee benefit plan is deemed to have acted in a manner "not opposed to the best interests of the corporation" as referred to in this Section.

**ARTICLE XII**

**NOTICES**

**Section 45. Notices**.

**(a) Notice to Stockholders**. Written notice to stockholders of stockholder meetings shall be given as provided in Section 8 of these Bylaws. Without limiting the manner by which notice may otherwise be given effectively to stockholders under any agreement or contract with such stockholder, and except as otherwise required by law, written notice to stockholders for purposes other than stockholder meetings may be sent by United States mail or nationally recognized overnight courier, or by facsimile, telegraph or telex or by electronic mail or other electronic means.

**(b) Notice to Directors**. Any notice required to be given to any director may be given by the method stated in paragraph (a) of this Section, or as provided for in Section 22 of these Bylaws. If such notice is not delivered personally, it shall be sent to such address as such director has filed in writing with the Secretary, or, in the absence of such filing, to the last known post office address of such director.

**(c) Affidavit of Mailing**. An affidavit of mailing, executed by a duly authorized and competent employee of the corporation or its transfer agent appointed with respect to the class of stock affected or other agent, specifying the name and address or the names and addresses of the stockholder or stockholders, or director or directors, to whom any such notice or notices was or were given, and the time and method of giving the same, shall in the absence of fraud, be prima facie evidence of the facts therein contained.

**(d) Methods of Notice**. It is not necessary that the same method of giving notice be employed in respect of all recipients of notice, but one permissible method may be employed in respect of any one or more, and any other permissible method or methods may be employed in respect of any other or others.

**(e) Notice to Person with Whom Communication Is Unlawful**. Whenever notice is required to be given, under any provision of law or of the Articles of Incorporation or Bylaws of the corporation, to any person with whom communication is unlawful, the giving of such notice to such person is not required and there is no duty to apply to any governmental authority or agency for a license or permit to give such notice to such person. Any action or meeting that is taken or held without notice to any such person with whom communication is unlawful has the same force and effect as if such notice had been duly given. In the event that the action taken by the corporation is such as to require the filing of a certificate under any provision of the GBCC, the certificate shall state, if such is the fact and if notice is required, that notice was given to all persons entitled to receive notice except such persons with whom communication is unlawful.

**(f) Notice to Stockholders Sharing an Address**. Except as otherwise prohibited under GBCC, any notice given under the provisions of GBCC, the Articles of Incorporation or the Bylaws shall be effective if given by a single written notice to stockholders who share an address if consented to by the stockholders at that address to whom such notice is given. Such consent is deemed to have been given if such stockholder fails to object in writing to the corporation within sixty (60) days of having been given notice by the corporation of its intention to send the single notice. Any consent is revocable by the stockholder by written notice to the corporation.

**ARTICLE XIII**

**AMENDMENTS**

**Section 46. Amendments**. The Board of Directors is expressly empowered to adopt, amend or repeal Bylaws of the corporation. The stockholders also have power to adopt, amend or repeal the Bylaws of the corporation; *provided, however*, that, in addition to any vote of the holders of any class or series of stock of the corporation required by law or by the Articles of Incorporation, such action by stockholders requires the affirmative vote of the holders of a majority of the voting power of all of the then-outstanding shares of the capital stock of the corporation entitled to vote generally in the election of directors, voting together as a single class.

**ARTICLE XIV**

**LOANS TO OFFICERS**

**Section 47. Loans to Officers**. Except as otherwise prohibited under applicable law, the corporation may lend money to, or guarantee any obligation of, or otherwise assist any officer or other employee of the corporation or of its subsidiaries, including any officer or employee who is a Director of the corporation or its subsidiaries, whenever, in the judgment of the Board of Directors, such loan, guarantee or assistance may reasonably be expected to benefit the corporation. The loan, guarantee or other assistance may be with or without interest and may be unsecured, or secured in such manner as the Board of Directors approves, including, without limitation, a pledge of shares of stock of the corporation. Nothing in these Bylaws is deemed to deny, limit or restrict the powers of guaranty or warranty of the corporation at common law or under any statute.

**ARTICLE XV**

**MISCELLANEOUS**

**Section 48. Annual Report**.

**(a)** Subject to the provisions of paragraph (b) of this Section, the Board of Directors shall cause an annual report to be sent to each stockholder of the corporation not later than one hundred twenty (120) days after the close of the corporation's fiscal year. Such report shall include a balance sheet as of the end of such fiscal year and an income statement and statement of changes in financial position for such fiscal year, accompanied by any report thereon of independent accountants or, if there is no such report, the certificate of an authorized officer of the corporation that such statements were prepared without audit from the books and records of the corporation. Such report shall be sent to stockholders at least fifteen (15) days prior to the next annual meeting of stockholders after the end of the fiscal year to which it relates.

**(b)** If and so long as there are fewer than 100 holders of record of the corporation's shares, the requirement of sending of an annual report to the stockholders of the corporation is hereby expressly waived.

**Section 49. Conflict with Applicable Law or Articles of Incorporation**. These Bylaws are adopted subject to any applicable law and the Articles of Incorporation. Whenever these Bylaws may conflict with any applicable law or the Articles of Incorporation, such conflict shall be resolved in favor of such law or the Articles of Incorporation.

**Section 50. Invalid Provisions**. If any one or more of the provisions of these Bylaws, or the applicability of any provision to a specific situation, shall be held invalid or unenforceable, the provision shall be modified to the minimum extent necessary to make it or its application valid and enforceable, and the validity and enforceability of all other provisions of these Bylaws and all other applications of any provision shall not be affected thereby.

**Section 51. Forum**. Unless the corporation consents in writing to the selection of an alternative forum, the court of competent jurisdiction, whether state or federal, located in Fulton County, Georgia is the sole and exclusive forum for (i) any derivative action or proceeding brought on behalf of the corporation; (ii) any action asserting a claim of breach of a fiduciary duty owed by any director, officer or other employee of the corporation to the corporation or the corporation's stockholders; (iii) any action asserting a claim against the corporation or any director or officer or other employee of the corporation arising pursuant to any provision of the GBCC, the Articles of Incorporation or the Bylaws of the corporation; or (iv) any action asserting a claim against the corporation or any director or officer or other employee of the corporation governed by the internal affairs doctrine.

## Ex1A-6

**EXHIBIT 6.0**

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## Ex1A-6

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 6.1**

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## Ex1A-6

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 6.2**

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## Ex1A-6

**EXHIBIT 6.3**

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## Ex1A-6

**EXHIBIT 6.4**

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## Ex1A-6

**EXHIBIT 6.5**

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## Ex1A-6

**EXHIBIT 6.6**

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## Ex1A-6

**EXHIBIT 6.7**

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## Ex1A-6

**EXHIBIT 6.8**

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## Ex1A-6

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 6.9**

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## Ex1A-6

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 6.10**

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## Ex1A-6

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 6.11**

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## Ex1A-11

**EXHIBIT 11.1**

![](rshn_ex111img1.jpg)

**Accountant's Acknowledgement**

**RushNet, Inc. and Subsidiaries**

**Alpharetta, Georgia**

We hereby agree to the inclusion in this offering circular of our report dated June 1, 2022, except for Note 17, as to which the date is June 16, 2022, which includes an explanatory paragraph as to the Company's ability to continue as a going concern, with respect to the December 31, 2021 and 2020, consolidated financial statements of RushNet, Inc. and Subsidiaries.

![](rshn_ex111img2.jpg)

Indianapolis, Indiana

June 16, 2022

![](rshn_ex111img3.jpg)

## Ex1A-12

&nbsp;&nbsp;&nbsp;&nbsp;**EXHIBIT 12.2**

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### UNITED STATES SECURITIES AND EXCHANGE COMMISSION
**Washington, D.C. 20549**

## FORM 1-A

### REGULATION A OFFERING STATEMENT
### UNDER THE SECURITIES ACT OF 1933

### Item 1. Issuer Information

**Exact name of issuer:** RUSHNET, INC.

**Jurisdiction of Incorporation/Organization:** CO

**Year of Incorporation:** 1997

**CIK:** 0001087329

**I.R.S. Employer Identification Number:** 86-0853156

**Primary Standard Industrial Classification Code:** 8071

**Total number of full-time employees:** 17

**Total number of part-time employees:** 1

**Address of Principal Executive Offices:** 8465 Merchant's Way, Suite 206, —, Orange Park, FL 32222

**Company Phone:** 423-206-2299

**Person to contact:** Benjamin F. Wu

### Financial Statements

**Balance Sheet Information**

| Metric                                   | Amount      |
|:---|:---|
| Cash and Cash Equivalents                | $87360.00   |
| Investment Securities                    | $0.00       |
| Accounts and Notes Receivable            | $806078.00  |
| Property, Plant and Equipment (PP&E)     | $840266.00  |
| Total Assets                             | $7915027.00 |
| Accounts Payable and Accrued Liabilities | $651811.00  |
| Long-Term Debt                           | $3566877.00 |
| Total Liabilities                        | $6963822.00 |
| Total Stockholders' Equity               | $951205.00  |
| Total Liabilities and Equity             | $7915027.00 |

**Statement of Comprehensive Income Information**

| Metric                                    | Amount      |
|:---|:---|
| Total Revenues                            | $5896764.00 |
| Costs and Expenses Applicable to Revenues | $1775240.00 |
| Depreciation and Amortization             | $267145.00  |
| Net Income                                | $163560.00  |
| Earnings Per Share - Basic                | 0.00        |
| Earnings Per Share - Diluted              | 0.00        |

**Auditor Information**

| Metric          | Amount                     |
|:---|:---|
| Name of Auditor | Somerset CPAs and Advisors |

### Outstanding Securities

| Class        |   Outstanding | CUSIP     | Publicly Traded   |
|:---|---:|:---|:---|
| Common Stock |    8174641795 | 782074108 | OTC Markets/Pink  |
| Series A     |             0 |  |  |

### Item 2. Issuer Eligibility
- [x] The issuer certifies that all of the statements in this part are true.

### Item 3. Application of Rule 262
- [x] The issuer certifies that it is not disqualified and has not been involved in any disqualifying event.

### Item 4. Summary Information Regarding the Offering

**Tier:** Tier2

**Financial Statement Status:** Audited

**Type of Securities Offered:** Equity (common or preferred stock)

**Is this a delayed or continuous offering?** Yes

**Was or is the offering to take place within one year after qualification?** No

**Was or is the offering to commence within two days after qualification?** No

**Is this a best efforts offering?** Yes

**Was there any solicitation of interest?** No

**Are there any resale securities by affiliates of the issuer?** No

**Offering Amounts**

| Description                                                     | Amount      |
|:---|:---|
| Number of securities offered                                    | 5000000000  |
| Number of securities outstanding                                | 8174641795  |
| Price per security                                              | $0.00       |
| Issuer's aggregate offering price                               | $5000000.00 |
| Aggregate offering price of securities held by security holders | $0.00       |
| Aggregate price of securities offered concurrently              | $0.00       |
| Total aggregate offering price                                  | $5000000.00 |

**Anticipated Fees**

| Service Provider   | Name                       | Fees      |
|:---|:---|:---|
| Auditor            | Somerset CPAs and Advisors | $55500.00 |
| Legal              | McMurdo Law Group          | $18500.00 |
| Promoters          |  | $0.00     |

**Estimated Net Proceeds to the Issuer:** $4926000.00

### Item 5. Jurisdictions in Which Securities are to be Offered

- All States and Territories

### Item 6. Unregistered Securities Issued or Sold Within One Year

**Name of Such Issuer:** RushNet Inc.

**Title of Securities Issued:** Common Stock

**Total Amount of Securities Issued:** 8174641795

**Amount of such securities sold by principal security holders:** 0

**Aggregate consideration:** N/A

**Basis for aggregate consideration:** —

**Securities Act Exemption:** Exempt from registration under Section 4(a)(2) of the Securities Act of 1933 and Rules promulgated thereunder.