Document:

EX-10.4

 Exhibit 10.4 
 COGNOVIT PROMISSORY NOTE 
  

			
	$1,012,500	  	July 17, 2009

 For value received, Intellinetics, Inc., an Ohio corporation (the
“Company”), promises to pay to the order of the Director of Development of the State of Ohio (the “Director”), at Strategic Business Investment Division, 77 South High Street, 28th Floor, P.O. Box 1001, Columbus, Ohio 43216-1001, or at such other
address as may be designated in writing by the Director, the principal sum of One Million Twelve Thousand Five Hundred Dollars ($1,012,500), or such amount thereof as shall be disbursed to the Company, with interest on the amount of principal from
time to time outstanding from the first Escrow Funding Date as specified under and defined in the Loan Agreement between the Director and the Company dated as of July 17, 2009 (the “Loan Agreement”), at the rate of six percent
(6%) per annum until paid, subject to adjustment as set forth in the Loan Agreement or herein. Interest on this Note shall be paid in monthly installments, which shall be due and payable on the first day of each calendar month commencing on the
first day of August 2010 (the “First Interest Payment Date”) and such amount shall include interest accrued hereon from the Escrow Funding Date to the First Interest Payment Date. The principal of this Note shall be paid in forty-eight
(48) consecutive monthly installments of Twenty-One Thousand Ninety-Three and 75/100 Dollars ($21,093.75) each plus interest thereon, which shall be due and payable on the first day of each calendar month commencing on the first day of August
2011 (the “First Installment Date”) and ending on July 1, 2015 (the “Last Installment Date”) and the amount of the installment payable on the Last Installment Date shall be equal to the balance of the principal sum
outstanding, together with interest accrued thereon and yet unpaid. In addition, the Company promises to pay to the order of the Director a monthly service fee equal to one-twelfth (1/12) of one percent (1.0%) of the principal balance
outstanding from time to time under this Note (the “Service Fee”), and such Service Fee shall be due and payable on the first day of each calendar month commencing on the first day of the second month after the first Escrow Funding Date
and continuing each following month until and including the Last Installment Date. 
 In addition to all other payments required
under hereunder, upon maturity of the Loan (as defined in the Loan Agreement) whether at scheduled maturity, by acceleration or otherwise, the Company shall pay to the Director a loan participation fee equal to 10% of the dollar amount of the Loan
actually funded; provided, however, if the Loan is prepaid in full prior to Last Installment Date, the loan participation fee shall be paid to the Director at the time of such prepayment. 

This Note does not of itself constitute a commitment by the Director to make any disbursement of the Loan (as defined in the Loan
Agreement) to the Company. The conditions for making such a disbursement are set forth in the Loan Agreement. The disbursements made by the Director to the Company shall not exceed the face amount of this Note and the total amount of such
disbursement is limited by and subject to the conditions for making disbursement of the Loan as set forth in the Loan Agreement. 

 The annual rate of interest stated herein shall apply to a 360-day period, and amounts of
interest due hereunder shall be computed upon the basis of 30-daymonths. Installments of principal, interest and monthly service fee shall be applied first to monthly service fee, then interest as provided herein and the balance to principal due
hereunder. 
 The Company may prepay all or any portion of the principal sum hereof at any time without penalty. All such
prepayments shall be applied to the payment of the principal installments due hereon in the inverse order of their maturity, and shall be accompanied by the payment of accrued interest and monthly service fee on the amount of the prepayment to the
date thereof. 
 The payment of this Note and all interest and monthly service fees hereon is secured by a Security Agreement,
Intercreditor Agreement, Guaranty of Payment, and UCC Financing Statements (collectively, the “Security Documents”). The covenants, conditions and agreements contained in the Security Documents and the Loan Agreement are hereby made a part
of this Note. 
 The Company, each endorser and any other party liable on this Note severally waives demand, presentment, notice
of dishonor and protest. 
 If default be made in the payment of any installment of principal, interest and/or monthly service
fee under this Note when any such payment shall have become due and payable, or if an “Event of Default,” as defined in the Loan Agreement or the Security Documents, shall have occurred and be subsisting, then, at the option of the
Director, the entire principal sum payable hereunder and all interest and monthly service fees accrued thereon shall become due and payable at once, without demand or notice. 
 To the extent permitted by law, upon the occurrence of an Event of Default and until such time such Event of Default shall have been cured or waived, the rate of interest under this Note and on any
obligation of the Company under the Loan Documents shall be increased to ten percent (10%) per annum. 
 THE COMPANY AND
THE DIRECTOR, AFTER CONSULTING OR HAVING HAD THE OPPORTUNITY TO CONSULT WITH COUNSEL, KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE ANY RIGHT EITHER OF THEM MAY HAVE TO A TRIAL BY JURY IN ANY LITIGATION BASED UPON OR ARISING OUT OF THIS NOTE, THE
LOAN AGREEMENT, THE SECURITY DOCUMENTS, OR ANY RELATED INSTRUMENT OR AGREEMENT, OR ANY OF THE TRANSACTIONS CONTEMPLATED THEREBY, OR ANY COURSE OF CONDUCT, DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN), OR ACTIONS OF EITHER OF THEM. THIS WAIVER SHALL
NOT IN ANY WAY AFFECT THE DIRECTOR’S ABILITY TO PURSUE REMEDIES PURSUANT TO ANY CONFESSION OF JUDGMENT OR COGNOVIT PROVISION CONTAINED HEREIN, IN THE LOAN AGREEMENT, THE SECURITY DOCUMENTS OR ANY RELATED INSTRUMENT OR AGREEMENT. NEITHER THE
COMPANY NOR THE DIRECTOR SHALL SEEK TO CONSOLIDATE, BY COUNTERCLAIM OR OTHERWISE, ANY ACTION IN WHICH A JURY TRIAL HAS BEEN WAIVED WITH ANY OTHER ACTION IN WHICH A JURY TRIAL CANNOT BE OR HAS NOT BEEN WAIVED. THESE PROVISIONS SHALL NOT BE

  
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DEEMED TO HAVE BEEN MODIFIED IN ANY RESPECT OR RELINQUISHED BY THE COMPANY OR THE DIRECTOR EXCEPT BY A WRITTEN INSTRUMENT EXECUTED BY BOTH OF THEM. 

The Company hereby irrevocably authorizes any attorney-at-law, including any attorney-at-law employed or retained by the Director, to
appear for it in any action on this Note at any time after the same becomes due as herein provided, in any court of record situated in Franklin County, Ohio (which the Company acknowledges to be the place where this Note was signed), or in the
county where the Company then resides or can be found, to waive the issuing and service of process, and confess a judgment in favor of the Director or other holder of this Note against the Company for the amount that may then be due, with interest
at the rate provided for herein, together with the costs of suit, and to waive and release all errors in said proceedings and the right to appeal from the judgment rendered. The Company consents to the jurisdiction and venue of such court. The
Company waives any conflict of interest that any attorney-at-law employed or retained by the Director may have in confessing judgment hereunder and consents to the payment of a legal fee to any attorney-at-law confessing judgment hereunder.

  
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 This Note was executed in Hilliard, Ohio, and shall be construed in accordance with the laws
of Ohio. 
  

WARNING—BY SIGNING THIS PAPER YOU GIVE UP YOUR RIGHT TO NOTICE AND COURT TRIAL. IF YOU DO NOT PAY ON TIME A COURT JUDGMENT MAY BE
TAKEN AGAINST YOU WITHOUT YOUR PRIOR KNOWLEDGE AND THE POWERS OF A COURT CAN BE USED TO COLLECT FROM YOU REGARDLESS OF ANY CLAIMS YOU MAY HAVE AGAINST THE CREDITOR WHETHER FOR RETURNED GOODS, FAULTY GOODS, FAILURE ON HIS PART TO COMPLY WITH THE
AGREEMENT, OR ANY OTHER CAUSE. 

  

			
	INTELLINETICS, INC.,
	an Ohio corporation
		
	By:	 	/s/    Matthew L. Chretien      
		
	Title:	 	President

 This Note is subject to the terms and conditions of a certain Intercreditor Agreement of even
date herewith between the Director and The Delaware County Bank and Trust Company. 
 Cognovit Promissory NoteEX-10.5

 Exhibit 10.5 
 November 1st, 2011 
 FIRST AMENDMENT TO LOAN AGREEMENT 

THIS FIRST AMENDMENT TO LOAN AGREEMENT (this “Amendment”) is dated as of November 1st, 2011, and is made by and
between Intellinetics, Inc., an Ohio corporation (the “Company”) and the Director of Development (the “Director”) of the State of Ohio (the “State”), acting on behalf of the State. 

RECITALS: 

A. The Company and the Director are parties to that certain Loan Agreement dated as of July 17,2009 (the “Loan
Agreement”). 
 B. The current stock ownership of the Company is set forth on Exhibit A, attached hereto and made a
part hereof. 
 C. The Company desires to take the following actions: (i) consummate a stock split whereby approximately
5.3 shares of common stock will be issued for every currently existing share of common stock, which stock split will be effectuated pursuant to Amended and Restated Articles of Incorporation, a copy of which has been furnished to the Director,
(ii) issue additional shares of common stock to existing shareholders and employees as described on Exhibit A, (iii) enter into a merger and share exchange transaction whereby the Company will merge with a public shell corporation with the
public shell corporation being the surviving corporation, the existing shareholders of the Company will become the owners of at least 86% of the capital stock of the surviving corporation, the current board of directors of the Company will control
the board of directors of the surviving corporation, and the surviving corporation will automatically succeed to all obligations, liabilities, duties and rights under the Loan Agreement and the other Loan Documents (as defined in the Loan
Agreement); and (iv) following the merger described in the preceding subsection, the surviving corporation may sell up to 14% of the capital stock of the surviving entity to one or more outside investors in its initial raise, and up to a total
of no more than an additional 26% in future rounds of stock sales (collectively, the “RTO Transactions”). 
 D.
To permit the RTO Transactions, the Company has requested that the Director agree to various amendments as set forth herein, and the Director has agreed to amend the Loan Agreement as hereinafter provided. 

NOW, THEREFORE, in consideration of the foregoing and intending to be legally bound, and incorporating the above-defined terms herein,
the parties hereto agree as follows: 
 1. Capitalized Terms. Unless otherwise defined herein, capitalized terms used
herein shall have the meanings given to them in the Loan Agreement. 
 2. Consent of Director. The Director hereby
consents to the RTO Transactions, including but not limited to the merger into a public company shell for purposes of the covenant set forth in Section 4.4(a) of the Loan Agreement. 

 3. Amendments to Loan Agreement. 

(a) New Definitions. The following new definitions are hereby inserted in Section 1.2 of the Loan Agreement in alphabetical
order: 
 “Company” shall mean Intellinetics, Inc., an Ohio corporation, and any
successor-by-merger. 
 “First Amendment shall mean that certain First Amendment to this Agreement
dated as of November 1st, 2011.” 
 “First Amendment Effective Date shall mean
November 1st, 2011.” 
 “RTO Transactions” shall have the meaning given such term in
the First Amendment. 
 (b) Amendment to Section 4.2 of the Loan Agreement [Public Offering]. Section 4.2 of
Loan Agreement is hereby amended and restated in its entirety as follows: 
 “4.2 Public Offering.
The Loan and all other amounts payable by the Company under this Agreement and the other Loan Documents shall be due and payable in full if the Company shall undertake and complete an initial public offering of its securities, it being acknowledged
and agreed that this covenant shall not apply to the RTO Transactions or any portion thereof. ” 
 (c) Amendment to
Section 4.4(i) of the Loan Agreement [Stock Transfers]. Section 4.4(i) is hereby amended and restated as follows: 

“4.4(i) Stock Transfers. Issue, transfer, sell, or cause to be issued, transferred or sold, any shares of its capital stock
except in connection with the RTO Transactions or in connection with compensation, benefit plans or incentive plans for employees or officers.” 
 4. Conditions to Effectiveness. The amendments contained in this Amendment shall become effective upon satisfaction of each of the following conditions being satisfied to the satisfaction of the
Director: 
 (a) Execution and Delivery of this Amendment. The Company and the Director shall have executed and delivered
this Amendment. 
 (b) Officer’s Certificate. There shall be delivered to the Director a certificate, dated the date
hereof certifying that no Event of Default exists. 
 (c) Secretary’s Certificate. There shall be delivered to the
Director a certificate, dated the date hereof and signed by the Secretary of each Loan Party, certifying as appropriate as to: 

  
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 (i) all action taken by such party in connection with this Amendment and the
other documents executed and delivered in connection herewith, together with authorizing resolutions on behalf of the Company evidencing same; 
 (ii) the names of the officer or officers authorized to sign this Amendment and the other documents executed and delivered in connection herewith and the true signatures of such officer or officers and
specifying the officers permitted to act on behalf of the Company for purposes of the Loan Documents and the true signatures of such officers, on which the Director may conclusively rely; and 

(iii) copies of its organizational documents as in effect on the date hereof, together with certificates from the
appropriate state officials as to the continued existence and good standing of the Company in the State of Ohio. 
 5.
Miscellaneous. 
 (a) Full Force and Effect. All provisions of the Loan Agreement remain in full force and effect
on and after the date hereof except as expressly amended hereby. The parties do not amend any provisions of the Loan Agreement except as expressly amended hereby. 
 (b) Counterparts. This Amendment may be signed in counterparts (by facsimile transmission or otherwise) but all of such counterparts together shall constitute one and the same instrument.

 (c) Incorporation into Loan Agreement. This Amendment (including all Schedules and Exhibits) shall be incorporated
into the Loan Agreement by this reference. All representations, warranties, Events of Default and covenants set forth herein shall be a part of the Loan Agreement as if originally contained therein. 

(d) Governing Law. This Amendment and the rights and obligations of the parties hereunder shall be governed by, and construed in
accordance with, the laws of the State of Ohio without regard to its conflict of laws principles. 
 (e) No Novation.
Except as amended hereby, all of the terms and conditions of the Loan Agreement and the other Loan Documents shall remain in full force and effect. The Company and the Director acknowledge and agree that this Amendment is not intended to constitute,
nor does it constitute, a novation, interruption, suspension of continuity, satisfaction, discharge or termination of the obligations, loans, liabilities, or indebtedness under the Loan Agreement or the other Loan Documents. 

[SIGNATURE PAGES FOLLOW] 

  
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 [SIGNATURE PAGE TO FIRST AMENDMENT TO LOAN AGREEMENT] 

IN WITNESS WHEREOF, the parties hereto, by their officers thereunto duly authorized, have executed this First Amendment as of the day and
year first above written. 

                      
                      Company: 

			
	
	INTELLINETICS, INC.
		
	By:	 	/s/    Matthew L. Chretien        
		
	Title:	 	Chief Technology Officer

                      
                      Director: 

			
	
	 DIRECTOR OF DEVELOPMENT, STATE OF OHIO

		
	By:	 	/s/    Kevin Potter
		
	Title:	 	Kevin Potter
		 	 Assistant Director

 Exhibit A 

Ownership 
  

	I.	EXISTING OWNERSHIP 

  

					
	 Shareholder
	  	 No. Shares
	 
	 A. Michael Chretien
	  	 	385	  
	 Matthew Chretien
	  	 	395	  
	 Tom Moss
	  	 	80	  
	 Larry Dill
	  	 	10	  
	 Rye D’Orazio
	  	 	50	  
		  	  
	  
	 
	 Total
	  	 	920	  

  

	II.	FINAL PRE-MERGER OWNERSHIP 

  

													
	 Owner
	  	 Current Shares
	  	 Split
	 	  	 Post-Split
	  	 Addtl. Shares
	  	 Total

	 A. Michael Chretien
	  	385	  	 	x 5.321518987	  	  	2048	  	44	  	2092
	 Matthew L. Chretien
	  	395	  	 	x 5.321518987	  	  	2102	  	0	  	2102
	Tom Moss	  	80	  	 	x 5.321518987	  	  	  425	  	108	  	533
	Larry Dill	  	10	  	 	x 5.321518987	  	  	    53	  	16	  	69
	Rye D’Orazio	  	50	  	 	x 5.321518987	  	  	  266	  	30	  	296
	 William J. Santiago
	  	—	  				  		  	701	  	701
	Ray Shealy	  	—	  				  		  	118	  	118
	Tom Skoulis	  	—	  				  		  	59	  	59
	Mark Shary	  	—	  				  		  	59	  	59
	 Totals
	  	920	  				  	4894	  	1135	  	6029

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