Document:

Change in Terms Agreements and Modification to Business Loan Agreement

 Exhibit 10.1 
 CHANGE IN TERMS AGREEMENT 
  

															
	 Principal
	  	Loan Date	  	Maturity	  	Loan No	  	Call / Coll	  	Account	  	Officer	  	Initials
	 $4,000,000.00
	  	06-23-2006	  	10-10-2007	  	258901	  		  	0000002589-01	  	310	  	M K

 References in the shaded area are for Lender’s use only and do not limit the applicability of
this document to any particular loan or item. 
 Any item above containing “* * *” has been omitted due to text length limitations.

  

							
	Borrower:	  	 RAINMAKER SYSTEMS, INC.
 900 E. HAMILTON
AVENUE STE 400
 CAMPBELL, CA 95008
	  	Lender:	  	 BRIDGE BANK, National Association
 55 Almaden
Boulevard
 Suite 100
 San Jose, CA
95113

  

					
	 Principal Amount: $4,000,000.00
	  	Initial Rate: 8.000%	  	Date of Agreement: June 23, 2006

 DESCRIPTION OF EXISTING INDEBTEDNESS. A Revolving Line of Credit evidenced by that certain
Promissory Note #258901 (“Note”) dated April 29, 2004, in the original principal amount of Four Million and 00/100 Dollars ($4,000,000.00) and any and all modifications thereafter. The outstanding principal balance due under the Note,
as of the date of this Agreement, is $0.00. 
 DESCRIPTION OF CHANGE IN TERMS. The Note is hereby amended and restated as follows:

 The date on which all-outstanding principal is due and payable (together with any accrued but unpaid interest thereon) is hereby extended from
December 10, 2006 to October 10, 2007 (“Maturity Date”). 
 PAYMENT. Borrower will pay this loan in one payment of all outstanding
principal plus all accrued unpaid interest on October 10, 2007. In addition, Borrower will pay regular monthly payments of all accrued unpaid interest due as of each payment date, beginning July 10, 2006, with all subsequent interest
payments to be due on the same day of each month after that. 
 VARIABLE INTEREST RATE. The interest rate on this Agreement is
subject to change from time to time based on changes in an independent index which is the Prime Rate as published in the Wall Street Journal (the “Index”). The Index is not necessarily the lowest rate charged by Lender on its loans. If the
Index becomes unavailable during the term of this loan, Lender may designate a substitute index after notice to Borrower. Lender will tell Borrower the current Index rate upon Borrower’s request. The interest rate change will not occur more
often than each day. Borrower understands that Lender may make loans based on other rates as well. The Index currently is 8.000% per annum. The interest rate to be applied to the unpaid principal balance of the Note will be at a rate
equal to the Index, resulting in an initial rate of 8.000% per annum. NOTICE: Under no circumstances will the interest rate on the Note be more than the maximum rate allowed by applicable law. 
 CONTINUING VALIDITY. Except as expressly changed by this Agreement, the terms of the original obligation or obligations, including all agreements evidenced or
securing the obligation(s), remain unchanged and in full force and effect. Consent by Lender to this Agreement does not waive Lender’s right to strict performance of the obligation(s) as changed, nor obligate Lender to make any future change in
terms. Nothing in this Agreement will constitute a satisfaction of the obligation(s). It is the intention of Lender to retain as liable parties all makers and endorsers of the original obligation(s), including accommodation parties, unless a party
is expressly released by Lender in writing. Any maker or endorser, including accommodation makers, will not be released by virtue of this Agreement. If any person who signed the original obligation does not sign this Agreement below, then all
persons signing below acknowledge that this Agreement is given conditionally, based on the representation to Lender that the non-signing party consents to the changes and provisions of this Agreement or otherwise will not be released by it. This
waiver applies not only to any initial extension, modification or release, but also to all such subsequent actions. 
 PRIOR TO SIGNING THIS AGREEMENT,
BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS AGREEMENT, INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE AGREEMENT. 
 BORROWER: 
  

			
	RAINMAKER SYSTEMS, INC.
		
	 By:
	 	 /s/ Steve Valenzuela

		 	Authorized Signer for RAINMAKER SYSTEMS, INC.

 Date: 7/6/06 

 DISBURSEMENT REQUEST AND AUTHORIZATION 
  

															
	 Principal
	  	Loan Date	  	Maturity	  	Loan No	  	Call / Coll	  	Account	  	Officer	  	Initials
	 $4,000,000.00
	  	06-23-2006	  	10-10-2007	  	258901	  		  	0000002589-01	  	310	  	M K

 References in the shaded area are for Lender’s use only and do not limit the applicability of
this document to any particular loan or item. 
 Any item above containing “* * *” has been omitted due to text length limitations.

  

							
	Borrower:	  	 RAINMAKER SYSTEMS, INC.
 900 E. HAMILTON AVENUE
STE 400 CAMPBELL, CA 95008
	  	Lender:	  	 BRIDGE BANK, National Association
 55 Almaden
Boulevard
 Suite 100
 San Jose, CA
95113

 LOAN TYPE. This is a Variable Rate Nondisclosable Revolving Line of Credit Loan to a Corporation for
$4,000,000.00 due on October 10, 2007. The reference rate (Prime Rate as published in the Wall Street Journal, currently 8.000%), resulting in an initial rate of 8.000. 
 PRIMARY PURPOSE OF LOAN. The primary purpose of this loan is for: 
  ̈  Personal, Family, or Household
Purposes or Personal Invastment. 
 x  Business (Including Real Estate Investment).

 SPECIFIC PURPOSE. The specific purpose of this loan is: WORKING CAPITAL. 
 DISBURSEMENT INSTRUCTIONS. Borrower understands that no loan proceeds will be disbursed until all of Lender’s conditions for making the loan have been satisfied. Please disburse the loan proceeds of
$4,000,000.00 as follows: 
  

				
	 Undisbursed Funds:
	  	$	4,000,000.00
		  	 	 
	 Note Principal:
	  	$	4,000,000.00

 CHARGES PAID IN CASH. Borrower has paid or will pay in cash as agreed the following charges: 
  

				
	Prepaid Finance Charges Paid in Cash:	  		
	 $10,000.00 LOAN FEE
	  	 	$10,000.00
	 Other Charges Paid in Cash:
	  		
	 $50.00 MONITORING FEE
	  	$	50.00
		  	 	 
	 Total Charges Paid in Cash:
	  	$	10,050.00

 AUTOMATIC PAYMENTS. Borrower hereby authorizes Lender automatically to deduct from Borrower’s account,
numbered 101032936, the amount of any loan payment. If the funds in the account are insufficient to cover any payment, Lender shall not be obligated to advance funds to cover the payment. At any time and for any reason, Borrower or Lender may
voluntarily terminate Automatic Payments. 
 FINANCIAL CONDITION. BY SIGNING THIS AUTHORIZATION, BORROWER REPRESENTS AND WARRANTS TO LENDER THAT THE
INFORMATION PROVIDED ABOVE IS TRUE AND CORRECT AND THAT THERE HAS BEEN NO MATERIAL ADVERSE CHANGE IN BORROWER’S FINANCIAL CONDITION AS DISCLOSED IN BORROWER’S MOST RECENT FINANCIAL STATEMENT TO LENDER. THIS AUTHORIZATION IS DATED JUNE 23,
2006. 
 BORROWER: 
  

			
	 RAINMAKER SYSTEMS, INC.

		
	 By:
	 	 /s/ Steve Valenzuela

		 	Authorized Signer for RAINMAKER SYSTEMS, INC.

 Date: 7/6/06 

 Modification to Business Loan Agreement 
 This Modification is entered into this 23rd day of June, 2006, by and between Rainmaker Systems, Inc, (“Borrower”), and Bridge Bank, National Association
(“Lender”). 
 Recitals 
 WHEREAS,
Borrower is currently indebted to Lender pursuant to the terms and conditions of that certain Business Loan Agreement (“Agreement”) between Borrower and Lender dated December 16, 2005, and 
 WHEREAS, Lender and Borrower have agreed to modify the terms and conditions set forth in the Agreement and particularly (but without limitation) with respect to the
Affirmative Covenants set forth in the Business Loan Agreement. 
 Agreements 
 NOW THEREFORE, for good, valuable and sufficient consideration the undersigned agrees, confirms and ratifies the terms and provisions of the Agreement as set forth
therein, including without limitation. 
 The Minimum Income and Cash Flow Requirements, Debt Service Coverage Ratio and Minimum unrestricted Cash
provision of the Business Loan Agreement is hereby deleted in its entirety and the following Minimum Income and Cash Flow Requirements, Debt Service Coverage Ratio and Minimum unrestricted Cash is attached and made a part thereof: 

Minimum Income and Cash Flow Requirements: Maintain not less than the following Minimum Net Income Level: $1.00. Maintain not less than the following Minimum Net
Income Level: evaluated at quarter-end starting 6/30/06 and thereafter. 
 Debt Service Coverage Ratio: Borrower agrees that the net annual operating
income shall at all times yield a Debt Service Coverage Ratio (“DSCR”) equal to or in excess of 1.25:1.00. The DSCR is based on annual net operating income as reported in operating statements as a ratio to the total annual monthly debt
service obligation to the Bank. This covenant is evaluated at quarter-end starting 6/30/06 and thereafter. 
 Minimum Unrestricted Cash: Borrower must
maintain deposits of unrestricted cash with Lender of at least $2,750,000.00 (“Minimum Deposit Amount”). The Minimum Deposit Amount shall be reduced to the amount equal to 1.0 times the total of all Borrower’s term borrowings from
Lender rounded up to the nearest $250,000.00 increment. 
 Except as specifically provided herein, all terms and conditions of the Business Loan
Agreement are hereby ratified and confirmed in all respects, and shall remain in full force and effect, without waiver or modification. All terms defined in the Business Loan Agreement shall have the same meaning when used in this Modification. This
Modification and Business Loan Agreement shall be read together, as one document. 
 Borrower hereby remakes all representation and warranties contained in
the Business Loan Agreement and reaffirm all covenants set forth therein. Borrower further certifies that as of the date of this Modification there exists no Event of Default as defined in the Business Loan Agreement and Promissory Note nor any
condition, act or event which with the giving of notice or the passage of time or both would constitute any such Event of Default. 
 IN WITNESS WHEREOF, the
parties hereto have caused this Modification to be executed as of the day and year first written above. 
  

			
	 Borrower:

	
	 Rainmaker Systems, Inc.

		
	 By:
	 	 /s/ Steve Valenzuela

		 	Authorized Signer for Rainmaker Systems, Inc.

 Date: 7/6/06 
  

			
	 Lender:

	
	 Bridge Bank, National Association

		
	 By:
	 	 /s/ Martin Kriegler

		 	Martin Kriegler, Vice President

 CHANGE IN TERMS AGREEMENT 
  

															
	 Principal
	  	Loan Date	  	Maturity	  	Loan No	  	Call / Coll	  	Account	  	Officer	  	Initials
	 $1,666,672.00
	  	06-29-2006	  	02-02-2008	  	258904	  		  	0000002589-01	  	310	  	M K

 References in the shaded area are for Lender’s use only and do not limit the applicability of
this document to any particular loan or item. 
 Any item above containing “* * *” has been omitted due to text length limitations.

  

							
	Borrower:	  	 RAINMAKER SYSTEMS, INC.
 900 E. HAMILTON
AVENUE, SUITE 400 CAMPBELL, CA 95008
	  	Lender:	  	 BRIDGE BANK, National Association
 55 Almaden
Boulevard
 Suite 100
 San Jose, CA
95113

  

					
	 Principal Amount: $1,666,672.00
	  	Initial Rate: 8.000%	  	Date of Agreement: June 29, 2006

 DESCRIPTION OF EXISTING INDEBTEDNESS. A loan evidenced by that certain Promissory Note #258904
(“Note”) dated February 2, 2005 in the original principal amount of Three Million And No/00 Dollars ($3,000,000.00) and any and all modifications thereafter. The outstanding principal balance due under the Note, as of the date of this
Agreement, is $1,666,672.00. 
 DESCRIPTION OF CHANGE IN TERMS. The Note is hereby amended and restated as follows:. 
 PAYMENT. Borrower will pay this loan in 19 principal payments of $83,333.00 each and one final principal and interest payment of $83,919.15. Borrower’s first
principal payment is due July 2, 2006, and all subsequent principal payments are due on the same day of each month after that. In addition, Borrower will pay regular monthly payments of all accrued unpaid interest due as of each payment date,
beginning July 2, 2006, with all subsequent interest payments to be due on the same day of each month after that. Borrower’s final payment due February 2, 2008, will be for all principal and all accrued interest not yet paid.

 VARIABLE INTEREST RATE, The interest rate on this Agreement is subject to change from time to time based on changes in an independent index
which is the Prime Rate as published in the Wall Street Journal (the “Index”). The Index is not necessarily the lowest rate charged by Lender on its loans. If the Index becomes unavailable during the term of this loan, Lender may designate
a substitute index after notice to Borrower. Lender will tell Borrower the current Index rate upon Borrower’s request. The interest rate change will not occur more often than each day. Borrower understands that Lender may make loans based on
other rates as well. The Index currently is 8.000% per annum. The interest rate to be applied to the unpaid principal balance of the Note will be at a rate equal to the Index, resulting in an initial rate of 8.000% per annum.
NOTICE: Under no circumstances will the interest rate on the Note be more than the maximum rate allowed by applicable law. 
 CONTINUING VALIDITY.
Except as expressly changed by this Agreement, the terms of the original obligation or obligations, including all agreements evidenced or securing the obligation(s), remain unchanged and in full force and effect. Consent by Lender to this
Agreement does not waive Lender’s right to strict performance of the obligation(s) as changed, nor obligate Lender to make any future change in terms. Nothing in this Agreement will constitute a satisfaction of the obiigation(s). It is the
intention of Lender to retain as liable parties all makers and endorsers of the original obligation(s), including accommodation parties, unless a party is expressly released by Lender in writing. Any maker or endorser, including accommodation
makers, will not be released by virtue of this Agreement. If any person who signed the original obligation does not sign this Agreement below, then all persons signing below acknowledge that this Agreement is given conditionally, based on the
representation to Lender that the non-signing party consents to the changes and provisions of this Agreement or otherwise will not be released by it. This waiver applies not only to any initial extension, modification or release, but also to all
such subsequent actions. 
 PRIOR TO SIGNING THIS AGREEMENT, BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS AGREEMENT, INCLUDING THE VARIABLE
INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE AGREEMENT. 
 BORROWER: 
  

			
	 RAINMAKER SYSTEMS, INC.

		
	 By:
	 	 /s/ Steve Valenzuela

		 	Authorized Signer for RAINMAKER SYSTEMS, INC.

 Date: 7/6/06 

 DISBURSEMENT REQUEST AND AUTHORIZATION 
  

															
	 Principal
	  	Loan Date	  	Maturity	  	Loan No	  	Call / Coll	  	Account	  	Officer	  	Initials
	 $1,666,672.00
	  	06-29-2006	  	02-02-2008	  	258904	  		  	0000002589-01	  	310	  	M K

 References in the shaded area are for Lender’s use only and do not limit the applicability of
this document to any particular loan or item. 
 Any item above containing “* * *” has been omitted due to text length limitations.

  

							
	Borrower:	  	 RAINMAKER SYSTEMS, INC.
 900 E. HAMILTON
AVENUE, SUITE 400 CAMPBELL, CA 95008
	  	Lender:	  	 BRIDGE BANK, National Association
 55 Almaden
Boulevard
 Suite 100
 San Jose, CA
95113

 LOAN TYPE. This is a Variable Rate Nondisclosable Loan to a Corporation for $1,666,672.00 due on
February 2, 2008. The reference rate (Prime Rate as published in the Wall Street Journal, currently 8.000%), resulting in an initial rate of 8.000. 
 PRIMARY PURPOSE OF LOAN. The primary purpose of this loan is for: 
  ̈  Personal, Family, or Household Purposes or Personal Investment. 
 x  Business (Including Real Estate Investment). 
 SPECIFIC PURPOSE.
The specific purpose of this loan is: REDUCE INTEREST RATE. 
 DISBURSEMENT INSTRUCTIONS. Borrower understands that no loan proceeds will be
disbursed until all of Lender’s conditions for making the loan have been satisfied. Please disburse the loan proceeds of $1,666,672.00 as follows: 
  

				
	 Other Disbursements:
	  		
	 $1,666,672.00 Outstanding principal balance
	  	$	1,666,672.00
		  	 	 
	 Note Principal:
	  	$	1,666,672.00

 AUTOMATIC PAYMENTS. Borrower hereby authorizes Lender automatically to deduct from Borrower’s account,
numbered 101032936, the amount of any loan payment. If the funds in the account are insufficient to cover any payment, Lender shall not be obligated to advance funds to cover the payment. At any time and for any reason, Borrower or Lender may
voluntarily terminate Automatic Payments. 
 FINANCIAL CONDITION. BY SIGNING THIS AUTHORIZATION, BORROWER REPRESENTS AND WARRANTS TO LENDER THAT THE
INFORMATION PROVIDED ABOVE IS TRUE AND CORRECT AND THAT THERE HAS BEEN NO MATERIAL ADVERSE CHANGE IN BORROWER’S FINANCIAL CONDITION AS DISCLOSED IN BORROWER’S MOST RECENT FINANCIAL STATEMENT TO LENDER. THIS AUTHORIZATION IS DATED JUNE 29,
2006. 
 BORROWER: 
  

			
	 RAINMAKER SYSTEMS, INC.

		
	 By:
	 	 /s/ Steve Valenzuela

		 	Authorized Signer for RAINMAKER SYSTEMS, INC.

 Date: 7/6/06 

 CHANGE IN TERMS AGREEMENT 
  

															
	 Principal
	  	Loan Date	  	Maturity	  	Loan No	  	Call / Coll	  	Account	  	Officer	  	Initials
	 $1,000,000.08
	  	06-29-2006	  	06-14-2008	  	258905	  		  	0000002589-01	  	310	  	M K

 References in the shaded area are for Lender’ s use only and do not limit the applicability of
this document to any particular loan or item. 
 Any item above containing “* * *” has been omitted due to text length limitations.

  

							
	Borrower:	  	 RAINMAKER SYSTEMS, INC
 900 E. HAMILTON AVENUE,
SUITE 400 CAMPBELL, CA 95008
	  	Lender:	  	 BRIDGE BANK, National Association
 55 Almaden
Boulevard
 Suite 100
 San Jose, CA
95113

  

					
	Principal Amount: $1,000,000.08	  	Initial Rate: 8.000%	  	Date of Agreement: June 29, 2006

 DESCRIPTION OF EXISTING INDEBTEDNESS. A loan evidenced by that certain Promissory Note #258905
(“Note”) dated June 14, 2005 in the original principal amount of One Million Five Hundred Thousand And 00/100 Dollars ($1,500,000.00) and any and all modifications thereafter. The outstanding principal balance due under the Note, as
of the date of this Agreement, is $1,000,000.08. 
 DESCRIPTION OF CHANGE IN TERMS. The Note is hereby amended and restated as follows:. 

PAYMENT. Borrower will pay this loan in 23 principal payments of $41,666.66 each and one final principal and interest payment of $41,953.94. Borrower’s first
principal payment is due July 14, 2006, and all subsequent principal payments are due on the same day of each month after that. In addition, Borrower will pay regular monthly payments of all accrued unpaid interest due as of each payment date,
beginning July 14, 2006, with all subsequent interest payments to be due on the same day of each month after that. Borrower’s final payment due June 14, 2008, will be for all principal and all accrued interest not yet paid.

 VARIABLE INTEREST RATE. The interest rate on this Agreement is subject to change from time to time based on changes in an
independent index which is the Prime Rate as published in the Wall Street Journal (the “Index”). The Index is not necessarily the lowest rate charged by Lender on its loans. If the Index becomes unavailable during the term of this loan,
Lender may designate a substitute index after notice to Borrower. Lender will tell Borrower the current Index rate upon Borrower’s request. The interest rate change will not occur more often than each day. Borrower understands that Lender may
make loans based on other rates as well. The Index currently is 8.000% per annum. The interest rate to be applied to the unpaid principal balance of the Note will be at a rate equal to the Index, resulting in an initial rate of
8.000% per annum. NOTICE: Under no circumstances will the interest rate on the Note be more than the maximum rate allowed by applicable law. 
 CONTINUING VALIDITY. Except as expressly changed by this Agreement, the terms of the original obligation or obligations, including all agreements evidenced or securing the obligation(s), remain unchanged and in full force and effect.
Consent by Lender to this Agreement does not waive Lender’s right to strict performance of the obligation(s) as changed, nor obligate Lender to make any future change in terms. Nothing in this Agreement will constitute a satisfaction of the
obligation(s). It is the intention of Lender to retain as liable parties all makers and endorsers of the original obligation(s), including accommodation parties, unless a party is expressly released by Lender in writing. Any maker or endorser,
including accommodation makers, will not be released by virtue of this Agreement. If any person who signed the original obligation does not sign this Agreement below, then all persons signing below acknowledge that this Agreement is given
conditionally, based on the representation to Lender that the non-signing party consents to the changes and provisions of this Agreement or otherwise will not be released by it. This waiver applies not only to any initial extension, modification or
release, but also to all such subsequent actions. 
 PRIOR TO SIGNING THIS AGREEMENT, BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS AGREEMENT,
INCLUDING THE VARIABLE INTEREST RATE PROVISIONS. BORROWER AGREES TO THE TERMS OF THE AGREEMENT. 
 BORROWER: 
  

			
	 RAINMAKER SYSTEMS, INC.

		
	 By:
	 	 /s/ Steve Valenzuela

		 	Authorized Signer for RAINMAKER SYSTEMS, INC.

 Date: 7/6/06 

 DISBURSEMENT REQUEST AND AUTHORIZATION 
  

															
	 Principal
	  	Loan Date	  	Maturity	  	Loan No	  	Call / Coll	  	Account	  	Officer	  	Initials
	 $1,000,000.08
	  	06-29-2006	  	06-14-2008	  	258905	  		  	0000002589-01	  	310	  	M K

 References in the shaded area are for Lender’s use only and do not limit the applicability of
this document to any particular loan or item. 
 Any item above containing “* * *” has been omitted due to text length limitations.

  

							
	Borrower:	  	 RAINMAKER SYSTEMS, INC
 900 E. HAMILTON AVENUE,
SUITE 400 CAMPBELL, CA 95008
	  	Lender:	  	 BRIDGE BANK, National Association
 55 Almaden
Boulevard
 Suite 100
 San Jose, CA
95113

 LOAN TYPE. This is a Variable Rate Nondisclosable Loan to a Corporation for $1,000,000.08 due on
June 14, 2008. The reference rate (Prime Rate as published in the Wall Street Journal, currently 8.000%), resulting in an initial rate of 8.000. 
 PRIMARY PURPOSE OF LOAN. The primary purpose of this loan is for: 
  ̈  Personal, Family, or Household Purposes or Personal Investment. 
 x  Business (Including Real Estate Investment. 
 SPECIFIC PURPOSE.
The specific purpose of this loan is: REDUCE INTEREST RATE. 
 DISBURSEMENT INSTRUCTIONS. Borrower understands that no loan proceeds will be
disbursed until all of Lender’s conditions for making the loan have been satisfied. Please disburse the loan proceeds of $51,000,000.08 as follows: 
  

				
	 Other Disbursements:
	  		
	 $1,000,000.08 Outstanding principal balance
	  	$	1,000,000.08
		  	 	 
	 Note Principal:
	  	$	1,000,000.08

 AUTOMATIC PAYMENTS. Borrower hereby authorizes Lander automatically to deduct from Borrower’s account,
numbered 101032936, the amount of any loan payment. If the funds in the account are insufficient to cover any payment, Lender shall not be obligated to advance funds to cover the payment. At any time and for any reason, Borrower or Lender may
voluntarily terminate Automatic Payments. 
 FINANCIAL CONDITION. BY SIGNING THIS AUTHORIZATION, BORROWER REPRESENTS AND WARRANTS TO LENDER THAT THE
INFORMATION PROVIDED ABOVE IS TRUE AND CORRECT AND THAT THERE HAS BEEN NO MATERIAL ADVERSE CHANGE IN BORROWER’S FINANCIAL CONDITION AS DISCLOSED IN BORROWER’S MOST RECENT FINANCIAL STATEMENT TO LENDER. THIS AUTHORIZATION IS DATED JUNE 29,
2006. 
 BORROWER: 
  

			
	 RAINMAKER SYSTEMS, INC.

		
	 By:
	 	 /s/ Steve Valenzuela

		 	Authorized Signer for RAINMAKER SYSTEMS, INC.

 Date: 7/6/06Letter Agreement

 Exhibit 10.26 
 July 7, 2006 
 Mr. Kevin Berry 
 [Address] 
 Dear Kevin, 
 On behalf of California Micro Devices, I am pleased to offer you the position of Chief Financial Officer of the Company. You will
report directly to me. Your start date would be Monday, July 10, 2006, You and the Company agree that our March 17, 2006, Consulting Agreement has been and is hereby extended until Midnight on July 9, 2006, at which time it shall
terminate. Assuming you accept this offer, you would be a full-time employee of the Company starting on July 10, 2006, except that the Company hereby consents to your continuing to consult for RedSeal Systems for up to ten hours each work week
through July 31, 2006. 
 As an officer of the Company you will have the powers and responsibilities set forth in the bylaws of the Company, as well as
other reasonable duties that the board of directors or I may assign you. In addition, the Company agrees to indemnify and defend you, to the extent allowable by law, with respect to any actual or threatened claims made against you related to the
performance of your duties as provided in the Company’s standard form of Indemnification Agreement for its officers and directors. 
 You will receive a
base salary of $8,846.15 bi-weekly, which is equivalent to $230,000 per year, subject to federal, state and other applicable taxes. 
 In addition, you will
participate in the Bonus Plan with a target bonus for fiscal 2007 of 40% of your above base salary. Payout under the plan is based on Company performance against specific criteria. Your bonus for fiscal 2007 is guaranteed at 50% of your target bonus
pro rated by the portion of the fiscal year during which you are a Company employee. 
 Subject to your timely acceptance of this letter and
your commencement of employment on July 10, 2006, the Compensation Committee of the Board of Directors on June 30, 2006, has granted you, on July 10, 2006, a non-statutory stock option to purchase 175,000 shares. The exercise price of
the option will be the closing price of California Micro Devices stock on that day. Your stock option will vest over four years, with 25% vesting at the end of your first year of employment and 6.25% quarterly thereafter. 
 The following paragraph dealing with severance pay and option acceleration, uses the terms “Dismissal without Cause”, “Good Reason”
and “Change in Control”, all of which are defined in the second paragraph following. 
  

 5 

			
	Kevin Berry	 	Page 2 of 3

 If you resign for “Good Reason” or CMD terminates your employment other than a “Dismissal for
Cause” within six months preceding or one year following a Change in Control, then the vesting of your 175,000 options will accelerate by twelve months and you will have twelve months from the date of termination (but not after expiration of
the ten-year term of your option) to exercise options that have vested; provided, however, that if Company options do not continue or are not assumed by the successor corporation following the Change of Control, then you will have the same amount of
time to exercise your options as other Company service providers. You understand and agree that you will be responsible for any tax consequences of your option remaining exercisable and being exercised during this twelve-month period. In addition,
if you resign for “Good Reason” or CMD terminates your employment other than a “Dismissal for Cause”, whether or not as part of a “Change in Control”, you will receive nine (9) months severance at your
then current base salary and continued medical, dental, vision insurance coverage through COBRA. 
 “Good Reason” will exist only if (1) you
notify us within ten (10 business days that you are being required to relocate your offices more than 50 miles from Milpitas, or there is a material reduction in your job duties, or you are no longer the CFO of the company, or you no longer report
to the CEO of the company, or there is an involuntary reduction in your salary, target bonus, or benefits, other than Company-wide executive staff reductions, and (2) if we do not remedy the situation within the following ten (10) business
days. The definition of a “Dismissal for Cause” is the same as in the Company’s Bonus Plan except that reason (vii), unsatisfactory performance of Employee’s duties as determined by the Company in good faith, is excluded; reason
(viii) shall be modified to include at the end, “which act or omission to act is not inadvertent or the result of a failed good faith effort to comply but rather is knowing, intentional or willful”; and reason (ix) is modified to
read in full “breach of the terms or conditions of the Employee’s Confidentiality and Intellectual Property Agreement with CMD or of a material Corporation policy (such as the insider trading policy, communications policy, or code of
ethics), which breach is not curable, or if curable is not cured within two weeks after CMD has given the Employee written notice of the breach”. A “Change of Control” is (a) a merger or sale of assets following which
shareholders of the Company do not own a majority of the surviving entity, or (b) the sale of new or transfer of previously outstanding stock as a result of which a person or entity (or a group acting in concert) becomes the owner of a majority
of the Company’s outstanding stock. 
 As a condition for receiving severance, you will be required to obtain prior written
authorization from the Company before you accept employment with or otherwise render services to a competitor. Failure to obtain such written authorization prior to accepting such a position or rendering such services will result in automatic
termination of the severance pay and benefit continuation. 
 To be eligible for the severance and option acceleration, you will also be required to sign a
full release of claims in a form reasonably satisfactory to the Company within one week following termination of employment and to comply with other provisions of your agreements with the Company which extend beyond employment termination.

  

 6 

			
	Kevin Berry	 	Page 3 of 3

 A complete fringe benefits program will be available to you as of your date of
hire including: 
  

	•	 	Medical Insurance 

  

	•	 	401k Savings plan with a Company match 

  

	•	 	Flex Spending Plan 

  

	•	 	Life Insurance & AD&D Insurance 

 In addition you will be entitled to three (3) weeks of paid vacation time per year. 
 When you report to work you will be expected to execute
the Company’s standard form of agreement with its employees relating to intellectual property, confidential information, and other employment terms, with an amendment as may be necessary to reflect any contrary terms provided in this letter, as
well as an acknowledgement to be bound by the Company’s employee handbook and various policies such as those concerning insider trading and communications. You acknowledge that this letter agreement is a material agreement which the Company
will be filing with the SEC once you begin your employment. 
 This is an offer for “at-will” employment and does not constitute an offer or
guarantee of employment for any period of time. You and the Company are each free to terminate your employment relationship at any time for any reason, with or without cause. Although your job duties, title, compensation and benefits, as well as the
Company’s personnel policies and procedures, may change from time to time, the at-will nature of your employment may only be changed in an express written agreement signed by you and the CEO of the Company. This letter constitutes the full
offer of employment and supersedes any prior discussions. This offer is effective immediately and will expire if not accepted in writing by close of business on July 7, 2006. 
 I look forward to your acceptance of this offer and am confident that with the addition of your capabilities and leadership, California Micro Devices will become an even more successful company. 
 Sincerely, 
  

	
	 /s/ Robert V. Dickinson

	Robert V. Dickinson
	President and Chief Executive Officer
	
	Agreed to and Accepted:
	
	 /s/ Kevin J. Berry

	Kevin J. Berry
	
	 July 7, 2006

	Date Executed

  

 7

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