Document:

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                                                                    Exhibit 10.3

                             LEASE AGREEMENT BETWEEN

           W9/MBC REAL ESTATE LIMITED PARTNERSHIP, a Delaware limited
                            partnership, AS LANDLORD,

                                       AND

          MARLIN LEASING CORPORATION, a Delaware corporation, AS TENANT

                               DATED APRIL 9, 1998
<PAGE>
1.    Lease Grant............................................................1

2.    Term...................................................................1

3.    Rent...................................................................1

      (a)   Basic Rent.......................................................1

      (b)   Payment..........................................................1

      (c)   Operating Costs..................................................2

4.    Delinquent Payment; Handling Charges...................................3

5.    Security Deposit.......................................................3

6.    Landlord's Obligations.................................................4

      (a)   Landlord's Obligations...........................................4

      (b)   Landlord's Right to Perform Tenant's Obligations.................4

7.    Improvements; Alterations; Repairs; Maintenance........................4

      (a)   Improvements; Alterations........................................4

      (b)   Repairs; Maintenance.............................................5

      (c)   Performance of Work..............................................5

      (d)   Mechanic's Liens.................................................5

      (e)   Environmental Compliance.........................................6

      (f)   Utilities........................................................7

      (g)   Landlord's Construction obligation...............................4

8.    Use....................................................................7

9.    Assignment and Subletting..............................................7

      (a)   Transfers: Consent...............................................7

      (b)   Cancellation.....................................................8

      (c)   Additional Compensation..........................................8

10.   Insurance; Waivers; Subrogation; Indemnity.............................8

      (a)   Insurance........................................................8

      (b)   Waiver of Negligence; No Subrogation.............................9

      (c)   Indemnity........................................................9

11.   Subordination; Attornment;  Notice to Landlord's Mortgage..............9

      (a)   Subordination...................................................10
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      (b)   Attornment......................................................10

      (c)   Notice to Landlord's Mortgagee..................................10

      (d)   Landlord's Mortgagee's Protection Provisions....................10

12.   Rules and Regulations.................................................11

13.   Condemnation..........................................................11

      (a)   Total Taking....................................................11

      (b)   Partial Taking - Tenant's Rights................................11

      (c)   Partial Taking - Landlord's Rights..............................11

      (d)   Award...........................................................11

14.   Fire or Other Casualty................................................11

      (a)   Repair Estimate.................................................11

      (b)   Landlord's and Tenant's Rights..................................12

      (c)   Landlord's Rights...............................................12

      (d)   Repair Obligation...............................................12

15.   Personal Property Taxes...............................................12

16.   Events of Default.....................................................12

17.   Remedies..............................................................13

18.   Payment by Tenant; Non-Waiver.........................................14

      (a)   Payment by Tenant...............................................14

      (b)   No Waiver.......................................................14

19.   Waiver of Distraint...................................................15

20.   Surrender of Premises.................................................15

21.   Holding Over..........................................................15

22.   Certain Rights Reserved by Landlord...................................15

23.   Intentionally Deleted.................................................

24.   Miscellaneous.........................................................16

      (a)   Landlord Transfer...............................................16

      (b)   Landlord's Liability............................................16

      (c)   Force Majeure...................................................16

      (d)   Brokerage.......................................................16

      (e)   Estoppel Certificates...........................................16

      (f)   Notices.........................................................17
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      (g)   Separability....................................................17

      (h)   Amendments; and Binding Effect..................................17

      (i)   Quiet Enjoyment.................................................17

      (j)   No Merger.......................................................17

      (k)   No Offer........................................................17

      (l)   Entire Agreement................................................17

      (m)   Waiver of Jury Trial............................................18

      (n)   Governing Law...................................................18

      (o)   Joint and Several Liability.....................................18

      (p)   Financial Reports...............................................18

      (q)   Landlord's Fees.................................................18

      (r)   Telecommunications..............................................18

      (s)   General Definitions.............................................18

      (t)   Confidentiality.................................................19

      (u)   Parking.........................................................19

      (v)   Effectiveness of Lease..........................................19

      (w)   List of Exhibits................................................19

25.   Other Provisions......................................................19
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                              LIST OF DEFINED TERMS

                                                                            Page

Additional Rent .............................................................1
Affiliate...................................................................18
Basic Rent...................................................................1
Building.....................................................................1
Casualty....................................................................11
Commencement Date............................................................1
Damage Notice...............................................................12
Event of Default............................................................13
Hazardous Substances.........................................................6
including...................................................................18
Interest Rate................................................................3
ISRA.........................................................................6
Landlord.....................................................................1
Landlord's Mortgagee........................................................10
Law.........................................................................18
Laws........................................................................18
Lease........................................................................1
Loss.........................................................................9
NJDEP........................................................................6
Operating Costs..............................................................2
Operating Costs and Tax Statement............................................3
Permitted Use................................................................7
Premises.....................................................................1
Proportionate Share..........................................................3
Rent.........................................................................1
Security Deposit.............................................................3
Taking......................................................................11
Taxes........................................................................3
Tenant.......................................................................1
Tenant Party................................................................18
Term.........................................................................1
Transfer.....................................................................7
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                                      LEASE

      THIS LEASE AGREEMENT (this "Lease") is entered into as of April 9, 1998,
between W9/MBC REAL ESTATE LIMITED PARTNERSHIP, a Delaware limited partnership
("Landlord"), and MARLIN LEASING CORPORATION, a Delaware corporation ("Tenant").

1.    Lease Grant. Subject to the terms of this Lease, Landlord leases to
Tenant, and Tenant leases from Landlord, Suite No. 170 (the "Premises") as
depicted in the plan attached hereto as Exhibit A in the office building (the
"Building") located at 124 Gaither Drive, Mt. Laurel Township, Burlington
County, New Jersey. The land on which the Building is located is described on
Exhibit B attached hereto. The term "Building" includes the related land,
driveways, parking facilities, and similar improvements. Tenant shall also have
a non-exclusive license to use such driveways and parking facilities.

2.    Term. The term of this Lease shall begin on the Commencement Date
(defined hereunder) and shall expire at 5:00 p.m., July 31, 2001 (the "Term",
which definition shall include all renewals of the initial Term). If the
Commencement Date is not the first day of a calendar month, then the Term shall
be extended by the number of days between the Commencement Date and the first
day of the next month. The "Commencement Date" shall mean the date that is the
first to occur of: (i) the date that Landlord receives a temporary or permanent
certificate of occupancy for the Premises, and (ii) August 1, 1998. Tenant shall
promptly execute and deliver to Landlord an Acknowledgment of Commencement Date
in form reasonably requested by Landlord.

3.    Rent.

      (a) Basic Rent. "Basic Rent" (herein so called) shall be the following
amounts for the following periods of time:

<TABLE>
<CAPTION>
      Time Period                         Monthly Basic Rent
<S>                                       <C>
      Commencement Date - May 31, 1999      $12,271.00
      June 1, 1999 - July 31 , 2000         $12,271.00
      June 1, 2000- July 31, 2001           $12,271.00
</TABLE>

      (b) Payment. Tenant shall timely pay to Landlord Basic Rent and all
additional sums to be paid by Tenant to Landlord under this Lease (collectively,
the "Rent"), without deduction or set off, at Landlord's address provided for in
this Lease or as otherwise specified by Landlord. Basic Rent, adjusted as herein
provided, shall be payable monthly in advance, and shall be accompanied by all
applicable state and local sales or use taxes. The first monthly installment of
Basic Rent shall be payable contemporaneously with the execution of this Lease;
thereafter, Basic Rent shall be payable on the first day of each month beginning
on the first day of the second full calendar month of the Term. The monthly
Basic Rent for any partial month at the beginning of the Term shall equal the
product of 1/365 of the annual Basic Rent in
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effect during the partial month and the number of days in the partial month from
and after the Commencement Date, and shall be due on the Commencement Date.

      (c) Operating Costs.

            (1) Tenant shall pay as additional rent under this Lease
("Additional Rent") Tenant's Proportionate Share (defined hereunder) of
Operating Costs. Landlord may make a good faith estimate of the Additional Rent
to be due by Tenant for any calendar year or part thereof during the Term, and
Tenant shall pay to Landlord, on the Commencement Date and on the first day of
each calendar month thereafter, an amount equal to the estimated Additional Rent
for such calendar year or part thereof divided by the number of months therein.
From time to time, Landlord may estimate and re-estimate the Additional Rent to
be due by Tenant and deliver a copy of the estimate or re-estimate to Tenant.
Thereafter, the monthly installments of Additional Rent payable by Tenant shall
be appropriately adjusted in accordance with the estimations so that, by the end
of the calendar year in question, Tenant shall have paid all of the Additional
Rent as estimated by Landlord. Any amounts paid based on such an estimate shall
be subject to adjustment as herein provided when actual Operating Costs are
available for each calendar year.

            (2) The term "Operating Costs" shall mean all reasonable expenses
and disbursements (subject to the limitations set forth below) that Landlord
incurs in connection with' the ownership, operation, and maintenance of the
Building, determined in accordance with sound accounting principles consistently
applied, including, but not limited to, the following costs: (A) wages and
salaries (including management fees) of all employees engaged in the operation,
maintenance, and security of the Building, including taxes, insurance and
benefits relating thereto; (B) all supplies and materials used in the operation,
maintenance, repair, replacement, and security of the Building; (C) costs for
improvements made to the Building which, although capital in nature, are
expected to reduce the normal operating costs of the Building, as well as
capital improvements made in order to comply with any law hereafter promulgated
by any governmental authority, as amortized over the useful economic life of
such improvements as determined by Landlord in its reasonable discretion, (D)
cost of all utilities, except the cost of utilities reimbursable to Landlord by
the Building's tenants other than pursuant to a provision similar to this
Section 3(c) (E) insurance expenses; (F) repairs, replacements, and general
maintenance of the Building; and (G) service or maintenance contracts with
independent contractors for the operation, maintenance, repair, replacement, or
security of the Building (including, without limitation, alarm service, window
cleaning, and snow removal, if any).

            Operating Costs shall not include costs for (i) capital improvements
made to the Building, other than capital improvements described in Section
3.(c)(2)(C) and except for items which are generally considered maintenance and
repair items, such as painting of common areas and the like; (ii) repair,
replacements and general maintenance paid by proceeds of insurance or by Tenant
or other third parties; (iii) interest, amortization or other payments on loans
to Landlord; (iv) depreciation; (v) leasing commissions; (vi) legal expenses for
services, other than those that benefit the Building tenants generally (e.g.,
tax disputes); (vii) renovating or otherwise improving space for occupants of
the Building or vacant space in the Building; (viii) Taxes
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(defined below), and (ix) federal income taxes imposed on or measured by the
income of Landlord from the operation of the Building.

            (3) Tenant shall also pay its Proportionate Share of the Taxes for
each year and partial year falling within the Term, which shall be determined by
multiplying the aggregate Taxes by Tenant's Proportionate Share. Tenant shall
pay its Proportionate Share of Taxes in the same manner as provided above for
Additional Rent with regard to Operating Costs. "Taxes" shall mean taxes,
assessments, and governmental charges whether federal, state, county or
municipal, and whether they be by taxing districts or authorities presently
taxing or by others, subsequently created or otherwise, and any other taxes and
assessments attributable to the Building (or its operation), excluding, however,
penalties and interest thereon and federal and state taxes on income (if the
present method of taxation changes so that in lieu of the whole or any part of
any Taxes, there is levied on Landlord a capital tax directly on the rents
received therefrom or a franchise tax, assessment, or charge based, in whole or
in part, upon such rents for the Building, then all such taxes, assessments, or
charges, or the part thereof so based, shall be deemed to be included within the
term "Taxes" for purposes hereof). Taxes shall include the reasonable costs of
consultants retained in an effort to lower taxes and all reasonable costs
incurred in disputing any taxes or in seeking to lower the tax valuation of the
Building.

            (4) By April 1 of each calendar year, or as soon thereafter as
practicable, Landlord shall furnish to Tenant a statement of Operating Costs for
the previous year, adjusted as provided in Section 3.(c)(5), and of the Taxes
for the previous year (the "Operating Costs and Tax Statement"). If the
Operating Costs and Tax Statement reveals that Tenant paid more for Operating
Costs than the actual amount for the year for which such statement was prepared,
or more than its actual share of Taxes for such year, then Landlord shall
promptly credit or reimburse Tenant for such excess; likewise, if Tenant paid
less than Tenant's actual Proportionate Share of Additional Rent or share of
Taxes due, then Tenant shall promptly pay Landlord such deficiency.

            (5) As used herein, Tenant's "Proportionate Share" shall be 15%,
which is the percentage obtained by dividing the rentable square feet of area in
the Premises, which is stipulated to be 12,271 rentable square feet by the total
number of square feet of area in the Building, which is stipulated to be 79,635
rentable square feet.

4.    Delinquent Payment; Handling Charges. All past due payments required of
Tenant hereunder shall bear interest from the date due until paid at the lesser
of 18% per annum (the "Interest Rate") or the maximum lawful rate of interest;
additionally, after Landlord has delivered to Tenant written notice of its
failure to pay rent when due, then Landlord may without delivering to Tenant
notice of such delinquency, charge Tenant a fee equal to 5% of any future
delinquent payment during the 12-month period following such delinquency to
reimburse Landlord for its cost and inconvenience incurred as a consequence of
Tenant's delinquency. In no event, however, shall the charges permitted under
this Section 4 or elsewhere in this Lease, to the extent they are considered to
be interest under law, exceed the maximum lawful rate of interest.

5.    Security Deposit. Contemporaneously with the execution of this Lease,
Tenant shall pay to Landlord $12,271.00 (the "Security Deposit"), which shall be
held by Landlord to
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secure Tenant's performance of its obligations under this Lease. The Security
Deposit is not an advance payment of Rent or a measure or limit of Landlord's
damages upon an Event of Default (defined in Section 16). Landlord may, from
time to time and without prejudice to any other remedy, use all or a part of the
Security Deposit to perform any obligation Tenant fails to perform hereunder.
Following any such application of the Security Deposit, Tenant shall pay to
Landlord on demand the amount so applied in order to restore the Security
Deposit to its original amount. Provided that Tenant has performed all of its
obligations hereunder, Landlord shall, within 30 days after the Term ends,
return to Tenant the portion of the Security Deposit which was not applied to
satisfy Tenant's obligations. The Security Deposit may be commingled with other
funds, and no interest shall be paid thereon. If Landlord transfers its interest
in the Premises and the transferee assumes Landlord's obligations under this
Lease, then Landlord may assign the Security Deposit to the transferee and
Landlord thereafter shall have no further liability for the return of the
Security Deposit.

6.    Landlord's Obligations

      (a) Landlord's Obligations. This Lease is intended to be a net lease;
accordingly, Landlord's maintenance obligations are limited to the replacement
of the Building's roof and maintenance of the foundation and structural members
of exterior walls (the "Buildings Structure") and the maintenance of parking
areas, driveways, alleys and grounds surrounding the Building, including the
maintenance of the exterior of the Building and rail tracks serving the
Building; Landlord shall not be responsible for (1) any such work until Tenant
notifies Landlord of the need therefor in writing or (2) for alterations to the
Building's Structure required by applicable law because of Tenant's use of the
Premises (which alterations shall be Tenant's responsibility). [The Building's
Structure does not include skylights, windows, glass or plate glass, doors,
special fronts, or office entries, all of which shall be maintained by Tenant.
Landlord's liability for any defects, repairs, replacement or maintenance for
which Landlord is specifically responsible for under this Lease shall be limited
to the cost of performing the work unless such liability is due to Landlord's
gross negligence or willful misconduct.

      (b) Landlord's Right to Perform Tenant's Obligations. Landlord may, at its
option, perform Tenant's maintenance, repair, and replacement obligations and
any other items that are Tenant's obligation pursuant to Section 7 if Tenant
fails to do so within five (5) days of the date Tenant receives notice of the
necessity to perform such maintenance, repair, or replacement. Tenant shall
reimburse Landlord for the cost incurred in so doing within ten (10) days after
being invoiced therefor.

      (c) Construction. Landlord's obligation to construct improvements in the
Premises for Tenant's occupancy shall be limited to those obligations, if any,
specifically set forth on Exhibit D hereto.

7.    Improvements; Alterations; Repairs; Maintenance.

      (a) Improvements; Alterations. Improvements to the Premises shall be
installed at Tenant's expense only in accordance with plans and specifications
which have been previously submitted to and approved in writing by Landlord. No
alterations or physical additions in or to the Premises may be made without
Landlord's prior written consent, which
<PAGE>
shall not be unreasonably withheld or delayed; however, Landlord may withhold
its consent to any alteration or addition that would affect the Building's
structure or its HVAC, plumbing, electrical, or mechanical systems. Tenant shall
not paint or install lighting or decorations, signs, window or door lettering,
or advertising media of any type on or about the Premises without the prior
written consent of Landlord. All alterations, additions, or improvements made in
or upon the Premises shall, at Landlord's option, either be removed by Tenant
prior to the end of the Term (and Tenant shall repair all damage caused
thereby), or shall remain on the Premises at the end of the Term without
compensation to Tenant. All alterations, additions, and improvements shall be
constructed, maintained, and used by Tenant, at its risk and expense, in
accordance with all Laws (defined hereunder); Landlord's approval of the plans
and specifications therefor shall not be a representation by Landlord that such
alterations, additions, or improvements comply with any Law.

      (b) Repairs; Maintenance. Tenant shall maintain all parts of the Premises
in a good condition and promptly make all necessary repairs and replacements to
the Premises, excepting only that work which Landlord is expressly responsible
for pursuant to Section 6.(a). Tenant shall maintain the HVAC, plumbing,
electrical, and mechanical systems in the Premises (collectively, the "Building
Systems") in good repair and condition in accordance with applicable law and the
equipment manufacturer's suggested service programs. Landlord warrants that as
of the Commencement Date, the Building Systems shall be in good operating
condition. If Landlord so directs, Tenant shall enter into a preventive
maintenance/service contract with a maintenance contractor approved by Landlord
for servicing all air conditioning, heating, ventilating and other equipment
located within or serving the Premises.

      (c) Performance of Work. All work described in this Section 7 shall be
performed only by Landlord or by contractors and subcontractors approved in
writing by Landlord. Tenant shall cause all contractors and subcontractors to
procure and maintain insurance coverage naming Landlord as an additional insured
against such risks, in such amounts, and with such companies as Landlord may
reasonably require. All such work shall be performed in accordance with all Laws
and in a good and workmanlike manner so as not to damage the Premises, the
Building, or the components thereof.

      (d) Mechanic's Liens. Tenant shall not permit any mechanic's liens to be
filed against the Premises or the Building for any work performed, materials
furnished, or obligation incurred by or at the request of Tenant. If such a lien
is filed, then Tenant shall, within ten days after Landlord has delivered notice
of the filing thereof to Tenant, either pay the amount of the lien or diligently
contest such, lien and deliver to Landlord a bond or other security reasonably
satisfactory to Landlord. If Tenant fails to timely take either such action,
then Landlord may pay the lien claim, and any amounts so paid, including
expenses and interest, shall be paid by Tenant to Landlord within ten days after
Landlord has invoiced Tenant therefor. All materialmen, contractors, artisans,
mechanics, laborers, and any other persons now or hereafter contracting with
Tenant or any contractor or subcontractor of Tenant for the furnishing of any
labor services, materials, supplies, or equipment with respect to any portion of
the Premises, at any time from the date hereof until the end of the Term of this
Lease, are hereby charged with notice that they look exclusively to Tenant to
obtain payment for same. Nothing
<PAGE>
contained herein shall be deemed as consent by Landlord to any liens being
placed upon the Building due to any work performed by or for Tenant.

      (e) Environmental Compliance

            (1) Tenant acknowledges the existence of environmental laws, rules
and regulations, including the provisions of ISRA (defined below ). Tenant shall
comply with any and all such laws, rules and regulations. Tenant represents to
Landlord that Tenant's Standard Industrial Classification (SIC) Number as
designated in the Standard Industrial Classification Manual prepared by the
Office of Management and Budget in the Executive Office of the President of the
United States will not subject the Premises to ISRA applicability. Any change by
Tenant to an operation with an SIC Number subject to ISRA shall require
Landlord's written consent. Any such proposed change shall be sent in writing to
Landlord sixty (60) days prior to the proposed change. Landlord, at its sole
option, may deny consent.

            (2) Tenant agrees to execute such documents as Landlord reasonably
deems necessary and to make such applications as Landlord reasonably requires to
assure compliance with ISRA. Tenant shall bear all costs and expenses incurred
by Landlord associated with any required ISRA compliance resulting from Tenant's
use of the Premises including state agency fees, engineering fees, clean-up
costs, filing fees and suretyship expenses. As used in this Lease, ISRA
compliance shall include applications for determinations of nonapplicability by
the appropriate governmental authority. The foregoing undertaking shall survive
the termination or sooner expiration of this Lease and surrender of the Premises
and shall also survive sale, or lease or assignment of the Premises by Landlord.
Tenant agrees to indemnify and hold Landlord harmless from any violation of ISRA
occasioned by Tenant's use of the Premises. The Tenant shall immediately provide
Landlord with copies of all correspondence, reports, notices, orders, findings,
declarations and other materials pertinent to Tenant's compliance and the
requirements of the `New Jersey Department of Environmental Protection ("NJDEP")
under ISRA as they are issued or received by Tenant.

            (3) Tenant agrees not to generate, store, manufacture, refine,
transport, treat, dispose of or otherwise permit to be present on or about the
Premises, any Hazardous Substances. As used herein, "Hazardous Substances" shall
be defined as any "hazardous chemical," "hazardous substance" or similar term as
defined in the Comprehensive Environmental Responsibility Compensation and
Liability Act, as amended (42 U.S.C. 9601, et seq. the New Jersey Environmental
Cleanup Responsibility Act, as amended, N.J.S.A. 13:1K-6 et seq. and/or the
Industrial Site Recovery Act ("ISRA"), the New Jersey Spill Compensation and
Control Act, as amended, N.J.S.A. 58:10-23.11b, et seq. any rules or regulations
promulgated thereunder, or in any other applicable federal, state or local law,
rule or regulation dealing with environmental protection. The provisions
contained in this Section shall be applicable notwithstanding the fact that any
substance shall not be deemed to be a Hazardous Substance at the time of its use
by Tenant but shall thereafter be deemed to be a Hazardous Substance.

            (4) If Tenant fails to comply with ISRA as stated in this Section or
any other governmental law as of the termination or sooner expiration of this
Lease and as a consequence thereof Landlord is unable to rent the Premises, then
Landlord shall treat Tenant as one who has not removed at the end of its Term,
and thereupon be entitled to all remedies against
<PAGE>
Tenant provided by law in that situation including a monthly rental of two
hundred (200%) percent of the monthly Basic Rent for the last month of the Term
of this Lease or any renewal term, payable in advance on the first day of each
month, until such time as Tenant provides Landlord with a negative declaration
or confirmation that any required clean-up plan has been successfully completed.

            (5) Tenant agrees to indemnify and hold harmless Landlord and
Landlord's Mortgagee of the Premises from and against any and all liabilities,
damages, claims, losses, judgments, causes of action, costs and expenses
(including the reasonable fees and expenses of counsel) which may be incurred by
Landlord or Landlord's Mortgagee (defined hereunder) or threatened against
Landlord or Landlord's Mortgagee, relating to or arising out of any breach by
Tenant of the undertakings set forth in this Section, said indemnity to survive
this Lease expiration or sooner termination.

      (f) Utilities. Tenant shall obtain and pay for all water, gas,
electricity, heat, telephone, sewer, sprinkler charges and other utilities and
services used at the Premises, together with all taxes, penalties, surcharges,
and maintenance charges pertaining thereto. Landlord may, at Tenant's expense,
separately meter and bill Tenant directly for its use of utility services.
Landlord shall not be liable for any interruption or failure of utility service
to the Premises unless caused by Landlord's willful misconduct or ordinary
negligence. Any amounts payable by Tenant under this Section shall be due within
ten (10) days after Landlord has invoiced Tenant therefor.

8.    Use. Tenant shall continuously occupy and use the Premises for general
office use only ("Permitted Use") and shall comply with all Laws relating to the
use, condition, access to, and occupancy of the Premises. The Premises shall not
be used for any use which is disreputable, creates extraordinary fire hazards,
or results in an increased rate of insurance on the Building or its contents, or
for the storage of any hazardous materials or substances. If, because of a
Tenant Party's acts, the rate of insurance on the Building or its contents
increases, then such acts shall be an Event of Default, Tenant shall pay to
Landlord the amount of such increase on demand, and acceptance of such payment
shall not waive any of Landlord's other rights. Tenant shall conduct its
business and control each other Tenant Party so as not to create any nuisance or
unreasonably interfere with other tenants or Landlord in its management of the
Building.

9.    Assignment and Subletting

      (a) Transfers; Consent. Tenant shall not, without the prior written
consent of Landlord, (1) assign, transfer, or encumber this Lease or any estate
or interest herein, whether directly or by operation of law, (2) permit any
other entity to become Tenant hereunder by merger, consolidation, or other
reorganization, (3) if Tenant is an entity other than a corporation whose stock
is publicly traded, permit the transfer of an ownership interest in Tenant so as
to result in a change in the current control of Tenant, (4) sublet any portion
of the Premises, (5) grant any license, concession, or other right of occupancy
of any portion of the Premises, or (6) permit the use of the Premises by any
parties other than Tenant (any of the events listed in Section 9.(a)(i) through
9.(a)(6) being a "Transfer"). If Tenant requests Landlord's consent to a
Transfer, then Tenant shall provide Landlord with a written description of all
terms and conditions of the proposed Transfer, copies of the proposed
documentation, and the following information about the proposed transferee: name
and address; reasonably satisfactory
<PAGE>
information about its business and business history; its proposed use of the
Premises; banking, financial, and other credit information; and general
references sufficient to enable Landlord to determine the proposed transferee's
creditworthiness and character. Landlord shall not unreasonably withhold its
consent to any assignment or subletting of the Premises, provided that the
proposed transferee (A) is creditworthy, (B) has a good reputation in the
business community, (C) does not engage in business similar to those of other
tenants in the Building, and (D) is not another occupant of the Building or
person or entity with whom Landlord is negotiating to lease space in the
Building; otherwise, Landlord may withhold its consent in its sole discretion.
Concurrently with Tenant's notice of any request for consent to a Transfer,
Tenant shall pay to Landlord a fee of $750 to defray Landlord's expenses in
reviewing such request, and Tenant shall also reimburse Landlord immediately
upon request for its reasonable attorneys' fees incurred in connection with
considering any request for consent to a Transfer. If Landlord consents to a
proposed Transfer, then the proposed transferee shall deliver to Landlord a
written agreement whereby it expressly assumes Tenant's obligations hereunder;
however, any transferee of less than all of the space in the Premises shall be
liable only for obligations under this Lease that are properly allocable to the
space subject to the Transfer for the period of the Transfer. No Transfer shall
release Tenant from its obligations under this Lease, but rather Tenant and its
transferee shall be jointly and severally liable therefor. Landlord's consent to
any Transfer shall not waive Landlord's rights as to any subsequent Transfers.
If an Event of Default occurs while the Premises or any part thereof are subject
to a Transfer, then Landlord, in addition to its other remedies, may collect
directly from such transferee all rents becoming due to Tenant and apply such
rents against Rent. Tenant authorizes its transferees to make payments of rent
directly to Landlord upon receipt of notice from Landlord to do so. Tenant shall
pay for the cost of any demising walls or other improvements necessitated by a
proposed subletting or assignment.

      (b) Cancellation. Landlord may, within 30 days after submission of
Tenant's written request for Landlord's consent to an assignment or subletting,
cancel this Lease as to the portion of the Premises proposed to be sublet or
assigned as of the date the proposed Transfer is to be effective. If Landlord
cancels this Lease as to any portion of the Premises, Tenant shall have 5 days
after Notice from Landlord thereof within which to withdraw its request for
consent to an assignment or subletting in writing to Landlord. In the event that
Tenant does not so withdraw its request, then this Lease shall cease for such
portion of the Premises and Tenant shall pay to Landlord all Rent accrued
through the cancellation date relating to the portion of the Premises covered by
the proposed Transfer. Thereafter, Landlord may lease such portion of the
Premises to the prospective transferee (or to any other person) without
liability to Tenant.

      (c) Additional Compensation. Tenant shall pay to Landlord, immediately
upon receipt thereof, the excess of(1) all compensation received by Tenant for a
Transfer less the costs reasonably incurred by Tenant with unaffiliated third
parties in connection with such Transfer (i.e., brokerage commissions, tenant
finish work, and the like) over (2) the Rent allocable to the portion of the
Premises covered thereby.

10.   Insurance; Waivers; Subrogation; Indemnity

      (a) Insurance. Tenant shall maintain throughout the Term the following
insurance policies: (1) commercial general liability insurance in amounts of
$3,000,000 per
<PAGE>
occurrence with $5,000,000 in the aggregate or such other amounts as Landlord
may from time to time reasonably require, insuring Tenant, Landlord, Landlord's
agents and their respective Affiliates (defined hereunder) against all liability
for injury to or death of a person or persons or damage to property arising from
the use and occupancy of the Premises, (2) insurance covering the full value of
Tenant's property and improvements, and other property (including property of
others) in the Premises, (3) contractual liability insurance sufficient to cover
Tenant's indemnity obligations hereunder, and (4) worker's compensation
insurance, containing a waiver of subrogation endorsement acceptable to
Landlord. Tenant's insurance shall provide primary coverage to Landlord when any
policy issued to Landlord provides duplicate or similar coverage, and in such
circumstance Landlord's policy will be excess over Tenant's policy. Tenant shall
furnish to Landlord certificates of such insurance and such other evidence
satisfactory to Landlord of the maintenance of all insurance coverages required
hereunder, and Tenant shall obtain a written obligation on the part of each
insurance company to notify Landlord at least 30 days before cancellation or a
material change of any such insurance policies. All such insurance policies
shall be in form, and issued by companies, reasonably satisfactory to Landlord.

      (b) Waiver of Negligence; No Subrogation. Landlord and Tenant each waives
any claim it might have against the other for any injury to or death of any
person or persons or damage to or theft, destruction, loss, or loss of use of
any property (a "Loss"), to the extent the same is insured against under any
insurance policy that covers the Building, the Premises, Landlord's or Tenant's
fixtures, personal property, leasehold improvements, or business, or, in the
case of Tenant's waiver, is required to be insured against under the terms
hereof, regardless of whether the negligence of the other party caused such
Loss; however, Landlord's waiver shall not include any deductible amounts on
insurance policies carried by Landlord. Each party shall cause its insurance
carrier to endorse all applicable policies waiving the carrier's rights of
recovery under subrogation or otherwise against the other party.

      (c) Indemnity. Subject to Section 10.(b), Tenant shall defend, indemnify,
and hold harmless Landlord and its representatives and agents from and against
all claims, demands, liabilities, causes of action, suits, judgments, damages,
and expenses (including attorneys' fees) arising from (1) any Loss arising from
any occurrence on the Premises (other than any Loss arising out of a breach of
Tenant's obligations under Section 7.(e), which shall be subject to the
indemnity in such Section) or (2) Tenant's failure to perform its obligations
under this Lease, even though caused or alleged to be caused by the negligence
or fault of Landlord or its agents (other than a Loss arising from the
negligence of Landlord or its agents). Subject to Section 10(b). Landlord shall
defend, indemnify, and hold harmless Tenant and its agents from and against all
claims, demands, liabilities, causes of action, suits, judgments, and expenses
(including attorneys' fees) for any Loss arising from any occurrence in the
Building's common areas (other than a Loss arising from the Negligence of a
Tenant Party). This indemnity provision shall survive termination or expiration
of this Lease. If any proceeding is filed for which indemnity is required
hereunder, the indemnifying party agrees, upon request therefor, to defend the
indemnified party in such proceeding at its sole cost utilizing counsel
satisfactory to the indemnified party.

11.   Subordination; Attornment; Notice to Landlord's Mortgage

<PAGE>
      (a) Subordination. This Lease shall be subordinate to any deed of trust,
mortgage, or other security instrument, or any ground lease, master lease, or
primary lease, that now or hereafter covers all or any part of the Premises (the
mortgagee under any such mortgage or the lessor under any such lease is referred
to herein as a "Landlord's Mortgagee"). Landlord shall use reasonable effort to
obtain a subordination, recognition and attornment agreement in form reasonably
acceptable to Landlord's Mortgagee and Tenant from the current Landlord's
Mortgagee within 90 days from the date hereof however, Landlord's failure to
deliver such agreement shall not constitute a default by Landlord hereunder nor
prohibit the mortgaging of the Building. Any Landlord's Mortgagee may elect, at
any time, unilaterally, to make this Lease superior to its mortgage, ground
lease, or other interest in the Premises by so notifying Tenant in writing.

      (b) Attornment. Tenant shall attorn to any party succeeding to Landlord's
interest in the Premises, whether by purchase, foreclosure, deed in lieu of
foreclosure, power of sale, termination of lease, or otherwise, upon such
party's request, and shall execute such agreements confirming such attornment as
such party may reasonably request, provided the same do not materially change,
alter or amend the terms and provisions of this Lease.

      (c) Notice to Landlord's Mortgagee. Tenant shall not seek to enforce any
remedy it may have for any default on the part of Landlord without first giving
written notice by certified mail, return receipt requested, specifying the
default in reasonable detail, to any Landlord's Mortgagee whose address has been
given to Tenant, and affording such Landlord's Mortgagee a reasonable
opportunity to perform Landlord's obligations hereunder.

      (d) Landlord's Mortgagee's Protection Provisions. If Landlord's Mortgagee
shall succeed to the interest of Landlord under this Lease, Landlord's Mortgagee
shall not be: (1) liable for any act or omission of any prior lessor (including
Landlord); (2) bound by any rent or additional rent or advance rent which Tenant
might have paid for more than the current month to any prior lessor (including
Landlord), and all such rent shall remain due and owing, notwithstanding such
advance payment; (3) bound by any security or advance rental deposit made by
Tenant which is not delivered or paid over to Landlord's Mortgagee and with
respect to which Tenant shall look solely to Landlord for refund or
reimbursement; (4) bound by any termination, amendment or modification of this
Lease made without Landlord's Mortgagee's consent and written approval, except
for those terminations, amendments and modifications permitted to be made by
Landlord without Landlord's Mortgagee's consent pursuant to the terms of the
loan documents between Landlord and Landlord's Mortgagee; (5) subject to the
defenses which Tenant might have against any prior lessor (including Landlord);
and (6) subject to the offsets which Tenant might have against any prior lessor
(including Landlord) except for those offset rights which (A) are expressly
provided in this Lease, (B) relate to periods of time following the acquisition
of the Building by Landlord's Mortgagee, and (C) Tenant has provided written
notice to Landlord's Mortgagee and provided Landlord's Mortgagee a reasonable
opportunity to cure the event giving rise to such offset event. Landlord's
Mortgagee shall have no liability or responsibility under or pursuant to the
terms of this Lease or otherwise after it ceases to own an interest in the
Building. Nothing in this Lease shall be construed to require Landlord's
Mortgagee to see to the application of the proceeds of any loan, and Tenant's
agreements set forth herein shall not be impaired on account of any modification
of the
<PAGE>
documents evidencing and securing any loan.

12.   Rules and Regulations. Tenant shall comply with the rules and regulations
of the Building which are attached hereto as Exhibit C. Landlord may, from time
to time, change such rules and regulations for the safety, care, or cleanliness
of the Building and related facilities, provided that such changes will not
unreasonably interfere with Tenant's use of the Premises. Tenant shall be
responsible for the compliance with such rules and regulations by each Tenant
Party.

13.   Condemnation.

      (a) Total Taking. If the entire Building or Premises are taken by right of
eminent domain or conveyed in lieu thereof (a "Taking"), this Lease shall
terminate as of the date of the Taking.

      (b) Partial Taking - Tenant's Rights. If any part of the Building becomes
subject to a Taking and such Taking will prevent Tenant from conducting its
business in the Premises in a manner reasonably comparable to that conducted
immediately before such Taking for a period of more than 150 days, then Tenant
may terminate this Lease as of the date of such Taking by giving written notice
to Landlord within 30 days after the Taking, and Rent shall be apportioned as of
the date of such Taking. If Tenant does not terminate this Lease, then Rent
shall be abated on a reasonable basis as to that portion of the Premises
rendered untenantable by the Taking.

      (c) Partial Taking - Landlord's Rights. If any material portion, but less
than all, of the Building becomes subject to a Taking, or if Landlord is
required to pay any of the proceeds received for a Taking to a Landlord's
Mortgagee, then Landlord may terminate this Lease by delivering written notice
thereof to Tenant within 30 days after such Taking, and Rent shall be
apportioned as of the date of such Taking. If Landlord does not so terminate
this Lease, then this Lease will continue, but if any portion of the Premises
has been taken, Rent shall abate as provided in the last sentence of Section
13.(b).

      (d) Award. If any Taking occurs, then Landlord shall receive the entire
award or other compensation for the land on which the Building is situated, the
Building, and other improvements taken, and Tenant may separately pursue a claim
(to the extent it will not reduce Landlord's award) against the condemnor for
the value of Tenant's personal property which Tenant is entitled to remove under
this Lease, moving costs, loss of business, and other claims it may have.

14.   Fire or Other Casualty

      (a) Repair Estimate. If the Premises or the Building are damaged by fire
or other casualty (a "Casualty"), Landlord shall, within 90 days after such
Casualty, deliver to Tenant a good faith estimate (the "Damage Notice") of the
time needed to repair the damage caused by such Casualty.
<PAGE>
      (b) Landlord's and Tenant's Rights. If a material portion of the Premises
or the Building is damaged by Casualty such that Tenant is prevented from
conducting its business in the Premises in a manner reasonably comparable to
that conducted immediately before such Casualty and Landlord estimates that the
damage caused thereby cannot be repaired within 210 days after the Casualty,
then Tenant may terminate this Lease by delivering written notice to Landlord of
its election to terminate within 30 days after the Damage Notice has been
delivered to Tenant. If Tenant does not so timely terminate this Lease, then
(subject to Section 14.(c)) Landlord shall repair the Building or the Premises,
as the case may be, as provided below, and Rent for the portion of the Premises
rendered untenantable by the damage shall be abated on a reasonable basis from
the date of damage until the completion of the repair, unless a Tenant Party
caused such damage, in which case, Tenant shall continue to pay Rent without
abatement.

      (c) Landlord's Rights. If a Casualty damages a material portion of the
Building, and Landlord makes a good faith determination that restoring the
Premises would be uneconomical, or if Landlord is required to pay any insurance
proceeds arising out of the Casualty to a Landlord's Mortgagee, then Landlord
may terminate this Lease by giving written notice of its election to terminate
within 30 days after the Damage Notice has been delivered to Tenant, and Basic
Rent and Additional Rent shall be abated as of the date of the Casualty.

      (d) Repair Obligation. If neither party elects to terminate this Lease
following a Casualty, then Landlord shall, within a reasonable time after such
Casualty, begin to repair tile Building and the Premises and shall proceed with
reasonable diligence to restore the Building and Premises to substantially the
same condition as they existed immediately before such Casualty; however,
Landlord shall not be required to repair or replace any of the furniture,
equipment, fixtures, alterations, and other improvements which may have been
placed by, or at the request of, Tenant or other occupants in the Building or
the Premises.

15.   Personal Property Taxes. Tenant shall be liable for all taxes levied or
assessed against personal property, furniture, or fixtures placed by Tenant in
the Premises. If any taxes for which Tenant is liable are levied or assessed
against Landlord or Landlord's property and Landlord elects to pay the same, or
if the assessed value of Landlord's property is increased by inclusion of such
personal property, furniture or fixtures and Landlord elects to pay the taxes
based on such increase, then Tenant shall pay to Landlord, upon demand, the part
of such taxes for which Tenant is primarily liable hereunder; however, Landlord
shall not pay such amount if Tenant notifies Landlord that it will contest the
validity or amount of such taxes before Landlord makes such payment, and
thereafter diligently proceeds with such contest in accordance with law and if
the non-payment thereof does not pose a threat of lien or other cloud on
Landlord's title to the Building or of lien or other cloud on Landlord's title
to the Building or of loss or seizure of the Building or interest of Landlord
therein or impose any fee or penalty against Landlord.

16.   Events of Default.  Each of the following occurrences shall be an
"Event of Default":

      (a) Tenant's failure to pay Rent within five days after Landlord has
delivered notice to Tenant that the same is due; however, an Event of Default
shall occur hereunder without any obligation of Landlord to give any notice if
Landlord has given Tenant written notice under this Section 16.(a) on more than
one occasion during the twelve (12) month interval preceding such failure by
Tenant;
<PAGE>
      (b) Tenant (1) abandons or vacates the Premises or any substantial portion
thereof or (2) fails to continuously operate its business in the Premises for
the Permitted Use set forth herein;

      (c) Tenant fails to provide any estoppel certificate within the time
period required under Section 24.(e) and such failure shall continue for 5 days
after written notice thereof from Landlord to Tenant;

      (d) Tenant's failure to perform, comply with, or observe any other
agreement or obligation of Tenant under this Lease and the continuance of such
failure for a period of more than 30 days after Landlord has delivered to Tenant
written notice thereof; however, if such failure is not cured within such 30-day
period and Tenant commences to cure such failure within such 30-day period and
thereafter diligently pursues such cure to completion, then such failure shall
not constitute an Event of Default unless it is not fully cured within an
additional 30 days after the original 30-day period; and

      (e) The filing of a petition by or against Tenant (the term "Tenant" shall
include, for the purpose of this Section 16.(e), any guarantor of Tenant's
obligations hereunder.) (1) in any bankruptcy or other insolvency proceeding;
(2) seeking any relief under any state or federal debtor relief law; (3) for the
appointment of a liquidator or receiver for all or substantially all of Tenant's
property or for Tenant's interest in this Lease; or (4) for the reorganization
or modification of Tenant's capital structure; however, if such a petition is
filed against Tenant, then such filing shall not be an Event of Default unless
Tenant fails to have the proceedings initiated by such petition dismissed within
90 days after the filing thereof.

17.   Remedies. Upon any Event of Default, Landlord may, in addition to all
other rights and remedies afforded Landlord hereunder or by law or equity,
including the night to seek specific performance of Tenant's obligations under
this Lease, take any of the following actions:

      (a) Terminate this Lease by giving Tenant written notice thereof, in which
event Tenant shall pay to Landlord the sum of (1) all Rent accrued hereunder
through the date of termination, (2) all amounts due under Section 18.(a), and
(3) an amount equal to (A) the total Rent that Tenant would have been required
to pay for the remainder of the Term discounted to present value at a per annum
rate equal to the "Prime Rate" as published on the date this Lease is terminated
by The Wall Street Journal, Northeast Edition, in its listing of "Money Rates"
minus one percent (1%), minus (B) the then present fair rental value of the
Premises for such period, similarly discounted;

      (b) Terminate Tenant's right to possess the Premises without terminating
this Lease by giving written notice thereof to Tenant, in which event Tenant
shall pay to Landlord (1) all Rent and other amounts accrued hereunder to the
date of termination of possession, (2) all amounts due from time to time under
Section 18.(a), and (3) all Rent and other net sums required hereunder to be
paid by Tenant during the remainder of the Term, diminished by any net sums
thereafter received by Landlord through reletting the Premises during such
period, after deducting all out-of-pocket costs incurred by Landlord in
<PAGE>
reletting the Premises. Landlord shall use reasonable efforts to relet the
Premises on such terms as Landlord in its sole discretion may determine
(including a term different from the Term, rental concessions, and alterations
to, and improvement of, the Premises); however, Landlord shall not be obligated
to relet the Premises before leasing other portions of the Building. Landlord
shall not be liable for, nor shall Tenant's obligations hereunder be diminished
because of, Landlord's failure to relet the Premises or to collect rent due for
such reletting, provided that Landlord complies with its obligation to use
reasonable efforts to relet the premises as provided above. Tenant shall not be
entitled to the excess of any consideration obtained by reletting over the total
Rent due hereunder. Reentry by Landlord in the Premises shall not affect
Tenant's obligations hereunder for the unexpired Term; rather, Landlord may,
from time to time, bring an action against Tenant to collect amounts due by
Tenant, without the necessity of Landlord's waiting until the expiration of the
Term. Unless Landlord delivers written notice to Tenant expressly stating that
it has elected to terminate this Lease, all actions taken by Landlord to
dispossess or exclude Tenant from the Premises shall be deemed to be taken under
this Section l7.(b). If Landlord elects to proceed under this Section 17.(b), it
may at any time thereafter elect to terminate this Lease under Section l7.(a).

      (c) Additionally, without notice, Landlord may alter locks or other
security devices at the Premises to deprive Tenant of access thereto, and
Landlord shall not be required to provide a new key or right of access to
Tenant; or

      (d) Tenant hereby waives all right of redemption to which Tenant or any
person under Tenant might be entitled by any law now or hereinafter in force.

18.   Payment by Tenant; Non-Waiver

      (a) Payment by Tenant. Upon any Event of Default, Tenant shall pay to
Landlord all costs incurred by Landlord (including court costs and reasonable
attorneys' fees and expenses) in (1) obtaining possession of the Premises, (2)
removing and storing Tenant's or any other occupant's property, (3) repairing,
restoring, altering, remodeling, or otherwise putting the Premises into
condition acceptable to a new tenant, (4) if Tenant is dispossessed of the
Premises and this Lease is not terminated, reletting all or any part of the
Premises (including brokerage commissions, cost of tenant finish work, and other
costs incidental to such reletting), (5) performing Tenant's obligations which
Tenant failed to perform, and (6) enforcing, or advising Landlord of, its
rights, remedies, and recourses arising out of the Event of Default. To the full
extent permitted by law, Landlord and Tenant agree the federal and state courts
of New Jersey shall have exclusive jurisdiction over any matter relating to or
arising from this Lease and the parties' rights and obligations tinder this
Lease.

      (b) No Waiver. Landlord's acceptance of Rent following an Event of Default
shall not waive Landlord's rights regarding such Event of Default. No waiver by
Landlord of any violation or breach of any of the terms contained herein shall
waive Landlord's rights regarding any future violation of such term. Landlord's
acceptance of any partial payment of Rent shall not waive Landlord's rights with
regard to the remaining portion of the Rent that is due, regardless of any
endorsement or other statement on any instrument delivered in payment of Rent or
any writing delivered in connection therewith; accordingly, Landlord's
acceptance of a partial payment of Rent shall not constitute an accord and
satisfaction of the full amount of the Rent that is due.
<PAGE>
19.   Waiver of Distraint. Landlord waives all lien, right, interest and claim
it might otherwise have in and waives its right of distraint of, the machinery,
fixtures and other property of Tenant, and in any other property of any nature
whether on or off the Premises, belonging to Tenant. The provisions of this
Section are intended to apply to Landlord's common law (if any) and statutory
right of distraint because of failure to pay Basic Rent and Additional Rent.

20.   Surrender of Premises. No act by Landlord shall be deemed an acceptance of
a surrender of the Premises, and no agreement to accept a surrender of the
Premises shall be valid unless it is in writing and signed by Landlord. At the
expiration or termination of this Lease, Tenant shall deliver to Landlord the
Premises with all improvements located therein in good repair and condition,
free of Hazardous Substances placed on the Premises during the Term,
broom-clean, reasonable wear and tear (and condemnation and Casualty damage not
caused by Tenant, as to which Sections 13 and 14 shall control) excepted, and
shall deliver to Landlord all keys to the Premises. Provided that Tenant has
performed all of its obligations hereunder, Tenant may remove all unattached
trade fixtures, furniture, and personal property placed in the Premises by
Tenant, and shall remove such alterations, additions, improvements, trade
fixtures, personal property, equipment, wiring, and furniture as Landlord may
request. Tenant shall repair all damage caused by such removal. All items not so
removed shall be deemed to have been abandoned by Tenant and may be
appropriated, sold, stored, destroyed, or otherwise disposed of by Landlord
without notice to Tenant and without any obligation to account for such items.
The term "trade fixtures" shall not include carpeting, floor coverings, attached
shelving, lighting fixtures (other than free-standing lamps) wall coverings or
similar improvements. The provisions of this Section 20 shall survive the end of
the Term.

21.   Holding Over. If Tenant fails to vacate the Premises at the end of the
Term, then Tenant shall be a tenant from month to month and, in addition to all
other damages and remedies to which Landlord may be entitled for such holding
over, Tenant shall pay, in addition to the other Rent, Basic Rent as provided
for pursuant to N.J.S.A. 2A:42-6 which shall be payable in advance on the first
day of each month. The provisions of this Section 21 shall not be deemed to
limit or constitute a waiver of any other rights or remedies of Landlord
provided herein or at law. If Tenant fails to surrender the Premises upon the
termination or expiration of this Lease, in addition to any other liabilities to
Landlord accruing therefrom, Tenant shall protect, defend, indemnify and hold
Landlord harmless from all loss, costs (including reasonable attorneys' fees)
and liability resulting from such failure, including, without limiting the
generality of the foregoing, any claims made by any succeeding tenant founded
upon such failure to surrender, and any lost profits to Landlord resulting
therefrom.

22.   Certain Rights Reserved by Landlord.  Provided that the exercise of
such rights does not unreasonably interfere with Tenant's occupancy of the
Premises, Landlord shall have the following rights:

      (a) To decorate and to make inspections, repairs, alterations, additions,
changes, or improvements, whether structural or otherwise, in and about the
Building, or any part thereof, to enter upon the Premises and, during the
continuance of any such work, to temporarily close doors, entryways, public
space, and corridors in the Building; to interrupt or temporarily suspend
Building services and facilities; to change the name of the Building; and to
change the
<PAGE>
arrangement and location of entrances or passageways, doors, and doorways,
corridors, elevators, stairs, restrooms, or other public parts of the Building;

      (b) To take such reasonable measures as Landlord deems advisable for the
security of the Building and its occupants; evacuating the Building for cause,
suspected cause, or for drill purposes; temporarily denying access to the
Building; and closing the Building after normal business hours and on Sundays
and holidays, subject, however, to Tenant's right to enter when the Building is
closed after normal business hours under such reasonable regulations as Landlord
may prescribe from time to time; and

      (c) To enter the Premises at reasonable hours to show the Premises to
prospective purchasers, lenders, or, during the last 12 months of the Term,
tenants.

23.   Intentionally Deleted.

24.   Miscellaneous.

      (a) Landlord Transfer. Landlord may transfer any portion of the Building
and any of its rights under this Lease. If Landlord assigns its rights under
this Lease, then Landlord shall thereby be released from any further obligations
hereunder, provided that the assignee assumes Landlord's obligations hereunder
in writing.

      (b) Landlord's Liability. The liability of Landlord (and its partners,
shareholders or members) to Tenant for any default by Landlord under the terms
of this Lease shall be limited to Tenant's actual direct, but not consequential,
damages therefor and shall be recoverable only from the interest of Landlord in
the Building, and Landlord (and its partners, shareholders or members) shall not
be personally liable for any deficiency. This Section shall not limit any
remedies which Tenant may have for Landlord's defaults which do not involve the
personal liability of Landlord.

      (c) Force Majeure. Other than for Tenant's obligations under this Lease
that can be performed by the payment of money (e.g., payment of Rent and
maintenance of insurance), whenever a period of time is herein prescribed for
action to be taken by either party hereto, such party shall not be liable or
responsible for, and there shall be excluded from the computation of any such
period of time, any delays due to strikes, riots, acts of God, shortages of
labor or materials, war, governmental laws, regulations, or restrictions, or any
other causes of any kind whatsoever which are beyond the control of such party.

      (d) Brokerage. Neither Landlord nor Tenant has dealt with any broker or
agent in connection with the negotiation or execution of this Lease, other than
Grubb & Ellis, whose commission shall be paid by Landlord. Tenant and Landlord
shall each indemnify the other against all costs, expenses, attorneys' fees, and
other liability for commissions or other compensation claimed by any broker or
agent claiming the same by, through, or under the indemnifying party.

      (e) Estoppel Certificates. From time to time, Tenant shall furnish to any
party designated by Landlord, within ten days after Landlord has made a request
therefor, a certificate
<PAGE>
signed by Tenant confirming and containing such factual certifications and
representations as to this Lease as Landlord may reasonably request.

      (f) Notices. All notices and other communications given pursuant to this
Lease shall be in writing and shall be (1) mailed by first class, United States
Mail, postage prepaid, certified, with return receipt requested, and addressed
to the parties hereto at the address specified next to their signature block,
(2) hand delivered to the intended address, or (3) sent by prepaid facsimile
transmission, or telex followed by a confirmatory letter. All notices shall be
effective upon delivery to the address of the addressee. The parties hereto may
change their addresses by giving notice thereof to the other in conformity with
this provision.

      (g) Separability. If any clause or provision of this Lease is illegal,
invalid, or unenforceable under present or future laws, then the remainder of
this Lease shall not be affected thereby and in lieu of such clause or
provision, there shall be added as a part of this Lease a clause or provision as
similar in terms to such illegal, invalid, or unenforceable clause or provision
as may be possible and be legal, valid, and enforceable.

      (h) Amendments; and Binding Effect. This Lease may not be amended except
by instrument in writing signed by Landlord and Tenant. No provision of this
Lease shall be deemed to have been waived by a party to this Lease unless such
waiver is in writing signed by such party, and no custom or practice which may
evolve between the parties in the administration of the terms hereof shall waive
or diminish the right of either party to insist upon the performance by the
other party in strict accordance with the terms hereof. The terms and conditions
contained in this Lease shall inure to the benefit of and be binding upon the
parties hereto, and upon their respective successors in interest and legal
representatives, except as otherwise herein expressly provided. This Lease is
for the sole benefit of Landlord and Tenant, and, other than Landlord's
Mortgagee, no third party shall be deemed a third party beneficiary hereof.

      (i) Quiet Enjoyment. Provided Tenant has performed all of its obligations
hereunder, Tenant shall peaceably and quietly hold and enjoy the Premises for
the Term, without hindrance from Landlord or any party claiming by, through, or
under Landlord, but not otherwise, subject to the terms and conditions of this
Lease.

      (j) No Merger. There shall be no merger of the leasehold estate hereby
created with the fee estate in the Premises or any part thereof if the same
person acquires or holds, directly or indirectly, this Lease or any interest in
this Lease and the fee estate in the leasehold Premises or any interest in such
fee estate.

      (k) No Offer. The submission of this Lease to Tenant shall not be
construed as an offer, and Tenant shall not have any rights under this Lease
unless Landlord executes a copy of this Lease and delivers it to Tenant.

      (l) Entire Agreement. This Lease constitutes the entire agreement between
Landlord and Tenant regarding the subject matter hereof and supersedes all oral
statements and prior writings relating thereto. Except for those set forth in
this Lease, no representations, warranties, or agreements have been made by
Landlord or Tenant to the other with respect to this Lease or the obligations of
Landlord or Tenant in connection therewith. The normal rule of construction that
<PAGE>
any ambiguities be resolved against the drafting party shall not apply to the
interpretation of this Lease or any exhibits or amendments hereto.

      (m) Waiver of Jury Trial. To the maximum extent permitted by law, Landlord
and Tenant each waive right to trial by jury in any litigation arising out of or
with respect to this Lease.

      (n) Governing Law. This Lease shall be governed by and construed in
accordance with the laws of the State in which the Premises are located.

      (o) Joint and Several Liability. If Tenant is comprised of more than one
party, each such party shall be jointly and severally liable for Tenant's
obligations under this Lease.

      (p) Financial Reports. Within 15 days after Landlord's request, Tenant
will furnish Tenant's most recent audited financial statements (including any
notes to them) to Landlord, or, if no such audited statements have been
prepared, such other financial statements (and notes to them) as may have been
prepared by an independent certified public accountant or, failing those,
Tenant's internally prepared financial statements. Tenant will discuss its
financial statements with Landlord and will give Landlord reasonable access to
Tenant's books and records in order to enable Landlord to verify the internally
prepared financial statements. Landlord will not disclose any aspect of Tenant's
financial statements that Tenant designates to Landlord as confidential except
(1) to Landlord's Mortgagee or prospective purchasers of the Building, (2) in
litigation between Landlord and Tenant, and (3) if required by court order.

      (q) Landlord's Fees. Whenever Tenant requests Landlord to take any action
or give any consent required or permitted under this Lease, Tenant will
reimburse Landlord for Landlord's reasonable, out-of-pocket costs incurred in
reviewing the proposed action or consent, including without limitation
reasonable attorneys', engineers' or architects' fees, within 10 days after
Landlord's delivery to Tenant of a statement of such costs. Tenant will be
obligated to make such reimbursement without regard to whether Landlord consents
to any such proposed action.

      (r) Telecommunications. Tenant and its telecommunications companies,
including but not limited to local exchange telecommunications companies and
alternative access vendor services companies shall have no right of access to
and within the Building, for the installation and operation of
telecommunications systems including but not limited to voice, video, data, and
any other telecommunications services provided over wire, fiber optic,
microwave, wireless, and any other transmission systems, for part or all of
Tenant's telecommunications within the Building and from the Building to any
other location without Landlord's prior written consent, which shall not be
unreasonably withheld. Landlord shall use reasonable efforts to consider all
such requests and respond thereto within 1 business day.

      (s) General Definitions. The following terms shall have the following
meanings: "Laws" means all federal, state, and local laws, rules and
regulations, all court orders, all governmental directives and governmental
orders, and all restrictive covenants affecting the Property, and "Law" means
any of the foregoing; "Affiliate" means any person or entity which, directly or
indirectly, controls, is controlled by, or is under common control with the
party in question; "Tenant Party" shall include Tenant, any assignees claiming
<PAGE>
by, through, or under Tenant, any subtenants claiming by, through, or under
Tenant, and any agents, contractors, employees, invitees of the foregoing
parties; and "including" means including, without limitation.

      (t) Confidentiality. Tenant acknowledges that the terms and conditions of
this Lease are to remain confidential for Landlord's benefit, and may not be
disclosed by Tenant to anyone, by any manner or means, directly or indirectly,
without Landlord's prior written consent. The consent by Landlord to any
disclosures shall not be deemed to be a waiver on the part of Landlord of any
prohibition against any future disclosure. Landlord agrees that it shall not
disclose the terms and conditions of this lease other than in the ordinary
course of Landlord's business.

      (u) Parking. If and so long as Tenant is not in default beyond any
applicable grace period under any of the terms, covenants and conditions of this
Lease, Landlord shall provide Tenant with access for the parking of up to 55
automobiles, at no charge to Tenant.

      (v) Effectiveness of Lease. The effectiveness of this Lease is conditioned
upon the execution and delivery to Landlord of a personal Guaranty in the form
of Exhibit E.

      (w) List of Exhibits. All exhibits and attachments attached hereto are
incorporated herein by this reference.

                  Schedule 1  -     Basic Rent
                  Exhibit A   -     Outline of Premises
                  Exhibit B   -     Legal Description of Building
                  Exhibit C   -     Building Rules and Regulations
                  Exhibit D   -     Tenant Finish Work: Landlord Builds to Plans
                  Exhibit E   -     Form of Guaranty

25.   Other Provisions.

LANDLORD AND TENANT EXPRESSLY DISCLAIM ANY IMPLIED WARRANTY THAT THE PREMISES
ARE SUITABLE FOR TENANT'S INTENDED COMMERCIAL PURPOSE, AND TENANT'S OBLIGATION
TO PAY RENT HEREUNDER IS NOT DEPENDENT UPON THE CONDITION OF THE PREMISES OR THE
PERFORMANCE BY LANDLORD OF ITS OBLIGATIONS HEREUNDER, AND, EXCEPT AS OTHERWISE
EXPRESSLY PROVIDED HEREIN, TENANT SHALL CONTINUE TO PAY THE RENT, WITHOUT
ABATEMENT, SETOFF OR DEDUCTION, NOTWITHSTANDING ANY BREACH BY LANDLORD OF ITS
DUTIES OR OBLIGATIONS HEREUNDER, WHETHER EXPRESS OR IMPLIED. NOTHING IN THIS
PARAGRAPH SHALL BE CONSTRUED TO DIMINISH THE OBLIGATIONS OF LANDLORD OR THE
RIGHTS OF TENANT THAT ARE EXPRESSLY SET FORTH ELSEWHERE IN THIS LEASE.

                  [Remainder of page intentionally left blank}
<PAGE>
Dated as of the date first above written.

                                    TENANT:

                                    MARLIN LEASING CORPORATION, a
                                    Delaware corporation

                                    By:
                                        -------------------------------------
                                    Name:       Gary W. Kester
                                          ------------------------------------
                                    Title:      Vice President
                                           -----------------------------------
                                    Address:    124 Gaither Drive, Suite 170
                                                Mt. Laurel, New Jersey
                                    Attention:  Daniel P. Dyer
                                    Telecopy:   (609) 910-1098

                                    LANDLORD:

                                    W9/MBC REAL ESTATE LIMITED
                                    PARTNERSHIP, a Delaware limited
                                    partnership

                                    By:   W9/MBC Gen-Par, Inc., its general
                                          partner

                                    By:
                                        -------------------------------------
                                    Name:       Stephen M. Abelman
                                         ------------------------------------
                                    Title:      A.V.P
                                          ------------------------------------
                                    Address:    c/o Archon Group, L.P.
                                                1275 K. Street, N.W., Suite 900
                                                Washington, DC 20005
                                    Attention:  Asset Manager
                                    Telecopy:   202-2 1 6-5 803

                                    With a copy to:

                                                Archon Group, L.P.
                                                600 Las Colinas Boulevard,
                                                Suite 1900
                                                Irving, Texas 75039
                                    Attention:  Asset Manager
                                    Telecopy:   972-830-7600
<PAGE>
                                    EXHIBIT A

                     [ORIGINAL DOCUMENT INCLUDES A SCHEMATIC
                      OF THE PREMISES AT 124 GAITHER DRIVE]
<PAGE>
                                    EXHIBIT B

                         [LEGAL DESCRIPTION OF BUILDING]
<PAGE>
                                    EXHIBIT C

                         BUILDING RULES AND REGULATIONS

      The following rules and regulations shall apply to the Premises, the
Building and the appurtenances thereto:

1.    Sidewalks, doorways, vestibules, halls, stairways, and other similar
areas shall not be obstructed by tenants or used by any tenant for purposes
other than ingress and egress to and from their respective leased premises and
for going from one to another part of the Building.

2.    Plumbing, fixtures and appliances shall be used only for the purposes
for which designed, and no sweepings, rubbish, rags or other unsuitable material
shall be thrown or deposited therein. Damage resulting to any such fixtures or
appliances from misuse by a tenant or its agents, employees or invitees, shall
be paid by such tenant.

3.    No signs, advertisements or notices shall be painted or affixed on or to
any windows or doors or other part of the Building. No nails, hooks or screws
shall be driven or inserted in any part of the Building without the prior
written consent of Landlord. Except as consented to in writing by Landlord or in
accordance with Tenant's building standard improvements, no draperies, curtains,
blinds, shades, screens or other devices shall be hung at or used in connection
with any window or exterior door or doors of the Premises. No awning shall be
permitted on any part of the Premises. Tenant shall not place anything against
or near glass partitions or doors, or windows which might appear unsightly from
outside the Premises.

4.    Landlord will furnish Tenant, free of charge, with two keys to Tenant's
suite entrance. Landlord may make a reasonable charge for any additional keys
and for having any locks changed. Tenant shall not make or have made additional
keys without Landlord's prior written consent, and Tenant shall not alter any
lock or install a new additional lock or bolt on any door of its Premises
without Landlord's prior written consent. Tenant shall deliver to Landlord upon
termination of its tenancy, the keys to all locks for doors on the Premises and
in the event of loss of any keys furnished by Landlord, shall pay Landlord
therefor.

5.    If Tenant requires telegraphic, telephonic, burglar alarm or similar
services, it shall first obtain, and comply with, Landlord's instructions for
their installation.

6.    Movement in or out of the Building of furniture or office equipment, or
dispatch or receipt by tenants of any bulky material, merchandise or materials
shall be conducted under Landlord's supervision at such times and in such a
manner as Landlord may reasonably require. Each tenant assumes all risks of and
shall be liable for all damage to articles moved and injury to persons or public
engaged or not engaged in such movement, including equipment, property and
personnel of Landlord if damaged or injured as a result of acts in connection
with carrying out this service for such tenant.

7.    Landlord may prescribe weight limitations and determine the
locations for safes and other heavy equipment or items, which shall in all
cases be placed in the Building so as to
<PAGE>
distribute weight in a manner acceptable to Landlord which may include the use
of such supporting devices as Landlord may require. All damages to the Building
caused by the installation or removal of any property of a tenant, or done by a
tenant's property while in the Building, shall be repaired at the expense of
such tenant.

8.    Corridor doors, when not in use, shall be kept closed. Nothing shall be
swept or thrown into the corridors, halls, elevator shafts or stairways. No
birds or animals shall be brought into or kept in, on or about any tenant's
leased premises. No portion of any tenant's leased premises shall at any time be
used or occupied as sleeping or lodging quarters.

9.    Tenant shall not use or keep in the Premises any toxic or hazardous
materials, or any kerosene, gasoline or inflammable or combustible fluid or
material other than those limited quantities necessary for the operation or
maintenance of office equipment. Tenant shall not use or permit to be used in
the Premises any foul or noxious gas or substance, or permit or allow the
Premises to be occupied or used in a manner offensive or objectionable to
Landlord or other occupants of the Building by reason of improper, objectionable
or unpleasant noise, odors, or vibrations.

10.   Tenant shall not make or permit any vibration or improper, objectionable
or unpleasant noises or odors in the Building or otherwise interfere in any way
with other tenants or persons having business with them.

11.   No machinery of any kind (other than normal office equipment) shall be
operated by any tenant on its leased area without Landlord's prior written
consent, nor shall any tenant use or keep in the Building any flammable or
explosive fluid or substance.

12.   Landlord will not be responsible for lost or stolen personal property,
money or jewelry from Tenant's Premises or public or common areas regardless of
whether such loss occurs when the area is locked against entry or not. Tenant
assumes any and all responsibility for protecting its Premises from theft and
robbery, which responsibility includes keeping doors locked and other means of
entry to the Premises closed.

13.   No vending or dispensing machines of any kind may be maintained in
any Premises without the prior written permission of Landlord.

14.   Tenant shall not conduct any activity on or about the Premises or Building
which will draw pickets, demonstrators, or the like.

15.   All vehicles are to be currently licensed, in good operating condition,
parked for business purposes having to do with Tenant's business operated in the
Premises, parked within designated parking spaces, one vehicle to each space.
Tenant shall not leave vehicles in the Building parking areas overnight, or park
any vehicles in the Building parking areas other than automobiles, motorcycles,
motor driven, non-motor driven bicycles, or four wheel drive trucks. No vehicle
shall be parked as a "billboard" vehicle in the parking lot. Any vehicle parked
improperly may be towed away. Tenant, Tenant's agents, employees, vendors and
customers who do not operate or park their vehicles as required shall subject
the vehicle to being towed at the expense of the owner or driver. Landlord may
place a "boot" on the vehicle to immobilize it and may levy a charge of $50.00
to remove the "boot." Tenant shall indemnify, hold and save
<PAGE>
harmless Landlord of any liability arising from the towing or booting of any
vehicles belonging to a Tenant Party.

16.   Landlord may waive any one or more of these rules and regulations for the
benefit of Tenant or any other tenant, but no waiver by Landlord shall be
construed as a waiver of the rules and regulations in favor of tenant or any
other Tenant, nor prevent Landlord from thereafter enforcing the rules and
regulations against any or all of the tenants of the Building.
<PAGE>
                                    EXHIBIT D

                TENANT FINISH-WORK: LANDLORD BUILDS TO PLANS

1.    Except as set forth in this Exhibit, Tenant accepts the Premises in
their "AS-IS" condition on the date that this Lease is entered into.

2.    On or before the execution of this Lease, Tenant has delivered to
Landlord a space plan depicting improvements to be installed in the Premises
called space Plan SK-2, which plans were prepared by Polek-Schwartz Architects,
and dated March 18, 1998 (the "Space Plans"). On or before April 17, 1998,
Tenant shall provide to Landlord for its approval final working drawings,
prepared in accordance with the Space Plans by an architect that has been
approved by Landlord (which approval shall not unreasonably be withheld), of all
improvements that Tenant proposes to install in the Premises; such working
drawings shall include the partition layout, ceiling plan, electrical outlets
and switches, telephone outlets, drawings for any modifications to the
mechanical and plumbing systems of the Building, and detailed plans and
specifications for the construction of the improvements called for under this
Exhibit in accordance with all applicable governmental laws, codes, rules, and
regulations. Further, if any of Tenant's proposed construction work will affect
the Building's heating, ventilation and air conditioning, electrical,
mechanical, or plumbing systems, then the working drawings pertaining thereto
shall be prepared by the Building's engineer of record, whom Tenant shall at its
cost engage for such purpose. Landlord's approval of such working drawings shall
not be unreasonably withheld, provided that (a) they comply with all applicable
governmental laws, codes, rules, and regulations, (b) such working drawings are
sufficiently detailed to allow construction of the improvements in a good and
workmanlike manner, and (c) the improvements depicted thereon conform to the
rules and regulations promulgated from time to time by Landlord for the
construction of tenant improvements (a copy of which has been delivered to
Tenant). As used herein, "Working Drawings" shall mean the final working
drawings approved by Landlord, as amended from time to time by any approved
changes thereto, and "Work" shall mean all improvements to be constructed in
accordance with and as indicated on the Working Drawings. Approval by Landlord
of the Working Drawings shall not be a representation or warranty of Landlord
that such drawings are adequate for any use, purpose, or condition, or that such
drawings comply with any applicable law or code, but shall merely be the consent
of Landlord to the performance of the Work. Tenant shall, at Landlord's request,
sign the Working Drawings to evidence its review and approval thereof. All
changes in the Work must receive the prior written approval of Landlord, and in
the event of any such approved change Tenant shall, upon completion of the Work,
furnish Landlord with an accurate, reproducible "as-built" plan (e.g., sepia) of
the improvements as constructed, which plan shall be incorporated into this
Lease by this reference for all purposes. After the Working Drawings have been
approved, Landlord shall cause the Work to be performed in accordance with the
Working Drawings. The Work shall be performed only by contractors and
subcontractors approved in writing by Landlord, which approval shall not be
unreasonably withheld.
<PAGE>
3.    If a delay in the performance of the Work occurs (a) because of any change
by Tenant to the Space Plans or the Working Drawings, (b) because of any
specification by Tenant of materials or installations in addition to or other
than Landlord's standard finish-out materials, or (c) if Tenant otherwise delays
completion of the Work, then, notwithstanding any provision to the contrary in
this Lease, Tenant's obligation to pay Rent hereunder shall commence on the
scheduled Commencement Date. If the Premises are not ready for occupancy and the
Work is not substantially completed (as reasonably determined by Landlord) on
the scheduled Commencement Date for any reason other than the reasons specified
in the immediately preceding sentence, then the obligations of Landlord and
Tenant shall continue in full force and Rent shall be abated until the date the
Work is substantially completed and the Premises are tendered to Tenant, which
date shall be the Commencement Date.

4.    Tenant shall bear the entire additional costs incurred by Landlord in
performing the Work because of an event specified in clause 3.(a), 3.(b), or
3.(c) of this Exhibit. Tenant shall pay Landlord an amount equal to 50% of the
estimated additional costs of any change to the Space Plans or the Working
Drawings at the time of such change; Tenant shall pay to Landlord the remaining
portion of additional costs incurred in performing the Work because of an event
specified in clauses 3 .(a), 3 .(b), or 3 .(c) of this Exhibit upon substantial
completion of the Work. In consideration for Landlord's management and
supervision for services performed in connection with clauses 3.(a), 3.(b), and
3.(c), Tenant shall pay to Landlord a construction management fee equal to ten
percent of the additional costs specified in this Section 4.

5.    To the extent not inconsistent with this Exhibit, Section 7.(a) of this
Lease shall govern the performance of the Work and Landlord's and Tenant's
respective rights and obligations regarding the improvements installed pursuant
thereto.
<PAGE>
                                    EXHIBIT E

                                    GUARANTY

      As a material inducement to Landlord to enter into the Lease, dated April
_, 1998 (the "Lease"), between MARLIN LEASING CORPORATION, as Tenant, and W9/MBC
REAL ESTATE LIMITED PARTNERSHIP, as Landlord, ____________ having an address at
_________________ and ___________________ having an address at ______________
(collectively the "Guarantors") each hereby unconditionally and irrevocably
jointly and severally guarantee the complete and timely performance of each
obligation of Tenant under the Lease and any extensions or renewals of and
amendments to the Lease. This Guaranty is an absolute, primary, and continuing,
guaranty of payment and performance and is independent of Tenant's obligations
under the Lease. Guarantors waive any right to require Landlord to (a) join
Tenant with Guarantors in any suit arising under this Guaranty, (b) proceed
against or exhaust any security given to secure Tenant's obligations under the
Lease, or (c) pursue or exhaust any other remedy in Landlord's power. Landlord
may, without notice or demand and without affecting each Guarantors' liability
hereunder, from time to time, compromise, extend or otherwise modify any or all
of the terms of the Lease. Guarantors hereby waive all demands for performance,
notices of performance, and notices of acceptance of this Guaranty. The
liability of the Guarantors under this Guaranty will not be affected by (1) the
release or discharge of Tenant from, or impairment, limitation or modification
of, Tenant's obligations under the Lease in any bankruptcy, receivership, or
other debtor relief proceeding, whether state or federal and whether voluntary
or involuntary; (2) the rejection or disaffirmance of the Lease in any such
proceeding; or (3) the cessation from any cause whatsoever of the liability of
Tenant under the Lease. Guarantors shall pay to Landlord all costs incurred by
Landlord in enforcing this Guaranty (including, without limitation, reasonable
attorneys' fees and expenses). The obligations of Tenant under the Lease to
execute and deliver estoppel statements, as therein provided, shall be deemed to
also require the Guarantors hereunder to do so and provide the same relative to
Guarantors following written request by Landlord in accordance with the terms of
the Lease.

      Notwithstanding anything to the contrary contained herein, this Guaranty
shall remain effective until the date on which Tenant provides Landlord with
Tenant's most recent financial statement, audited by an accounting firm
reasonably acceptable to Landlord, which shows that Tenant has a net worth of
$5,000,000.00, at which time this Guaranty shall be of no further force or
effect, and the Guarantors shall be released of all liability hereunder.

                                        ----------------------------------------

                                        ----------------------------------------
<PAGE>
                               AMENDMENT TO LEASE

            THIS AMENDMENT TO LEASE ("Amendment") is dated as of the 22ND day of
September, 1999, and is entered into by and between W9/PHC Real Estate Limited
Partnership, a Delaware limited partnership ("Landlord") and Marlin Leasing
Corporation, a Delaware corporation ("Tenant").

                                   BACKGROUND

                  A. Landlord and Tenant entered into that certain Lease
Agreement dated as of April 9, 1998 ("Lease") pursuant to which Tenant leases
from Landlord Suite No. 170 consisting of approximately +/- 12,271 rentable
square feet in the office building ("Building") located in the business park
commonly known as Gateway Business Park with a street address of 124 Gaither
Drive, Mt. Laurel Township, Burlington County, New Jersey and as defined in the
Lease as the Premises (herein sometimes referred to as "Suite No. 170").

                  B. Tenant desires to expand the Premises and lease from
Landlord and Landlord desires to rent to Tenant, in addition to the Premises,
Suite 200 consisting of approximately +/-16,994 rentable square feet in the
Building (the "Expansion Premises").

                  C. Capitalized terms used, but not defined herein, shall have
the same meaning given those terms in the Lease.

            NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, and intending to be legally bound
hereby, the parties hereto agree as follows.

      1. The Background above is incorporated herein by reference.

      2. The Lease is hereby amended to correct the typographical error in
Landlord's name throughout the Lease from "W9/MBC Real Estate Limited
Partnership" to "W9/PHC Real Estate Limited Partnership."

      3. Subject to the terms of the Lease, as hereby amended, Landlord leases
to Tenant, and Tenant leases from Landlord, in addition to the Premises, the
Expansion Premises as depicted in the plan attached hereto as Exhibit A.
Notwithstanding anything else contained herein to the contrary for the first
(1st) year of the Lease term hereof, Tenant shall lease from Landlord only a
portion of the Expansion Premises consisting of approximately +/-10,059 square
feet. At any time during the first (1st) year of the Lease term, but no later
than the first (1st) day of the first (1st) month of the second year of the
Lease term, Tenant shall lease from Landlord the entire Expansion Premises.

      4. The term of the Lease for the Expansion Premises shall commence on the
earlier of (i) January 2, 2000; or (ii) Tenant's occupancy of the Premises (the
"Commencement Date") and ending at 5:00 p.m. on the last day of the 60th full
calendar month following the
<PAGE>
Commencement Date, subject to adjustment and earlier termination as provided in
the Lease (the "Termination Date").

      5. (a) Notwithstanding anything else contained herein to the contrary, if
the Expansion Premises are not ready for occupancy by Tenant on or before the
Commencement Date, then (a) Tenant's obligation to pay Basic Rent and Additional
Rent for the Expansion Premises shall be waived until Landlord tenders
possession of the Expansion Premises to Tenant, (b) Landlord shall not be in
default under the Lease as hereby amended or be liable for damages therefor, and
(c) Tenant shall accept possession of the Expansion Premises when Landlord
tenders possession thereof to Tenant.

         (b) Notwithstanding anything else contained herein to the contrary, if
Landlord fails to tender possession of the Expansion Premises in ready for
occupancy condition on or before March 1, 2000, and if such failure to tender
possession of the Expansion Premises is not caused by a Tenant Party or Tenant
Delay, then Tenant shall, as its exclusive remedy therefor, receive a credit
equal to one (1) month's Monthly Basic Rent for the Expansion Premises for each
month's delay from and after March 1, 2000 (prorated for partial month's delay)
until Landlord delivers occupancy of the Expansion Premises in accordance with
the terms hereof.

      6. The term of the Lease for Suite No. 170 is hereby extended to run
coterminus with the term for the Expansion Premises and shall likewise expire on
the Termination Date (the "Premises Extended Term").

      7. Monthly Basic Rent for Suite No. 170 for the Premises Extended Term
shall be the following amounts for the following periods of time and shall be
payable in accordance with the Terms of the Lease:

<TABLE>
<CAPTION>
            Time Period                               Monthly Basic Rent
<S>                                                   <C>
            August 1, 2001 - July 31, 2002              $12,639.13
            August 1,2002 - July 31, 2003               $13,018.30
            August 1, 2003 - July 31, 2004              $13,408.85
            August 1, 2004 - Termination Date           $13,810.70
</TABLE>

      8. The Lease shall be amended so that the term "Premises" shall be deemed
to include the Premises and the Expansion Premises.

      9. Basic Rent for the Expansion Premises shall be the following amounts
for the following periods of time and Monthly Basic Rent under the Lease paid
monthly shall be increased by the following amounts:
<PAGE>
<TABLE>
<CAPTION>
            Time Period       Monthly Basic Rent (Expansion Premises)
            -----------       ---------------------------------------
<S>                           <C>
            Year 1            $10,059.00 based on+/-10,059 rsf to increase
                              to $16,994.00 on the date of expansion into entire
                              Expansion Premises
            Year 2            $17,503.82
            Year 3            $18,028.93
            Year 4            $18,569.80
            Year 5            $19,126.89
</TABLE>

      10. Tenant shall pay as Additional Rent for the Expansion Premises
Tenant's Proportionate Share of the Operating Costs. For purposes hereof, prior
to Tenant's occupancy of the entire Expansion Premises and based on occupancy of
10,059 rsf, Tenant's Proportionate Share for the Expansion Premises shall be
12.63 % and upon Tenant's occupancy of the entire Expansion Premises and
throughout the Lease term Tenant's Proportionate Share shall be 21.34%, which
are the percentages obtained by dividing the rentable square feet area of the
Expansion Premises by the total number of square feet of area in the Building,
which is stipulated to be 79,635 rentable square feet.

      11. Contemporaneously with the execution of this Amendment, Tenant shall
pay to Landlord $16,994 to be added to the Security Deposit held by Landlord to
secure Tenant's performance of its obligations under the Lease, as hereby
amended.

      12. Tenant may use 4.5 undesignated parking spaces for every 1,000
rentable square feet in the Expansion Premises in the parking garage/area
associated with the Building (the "Parking Area") during the Term at no charge
to Tenant.

      13. (a) Except as set forth herein, Tenant accepts the Expansion Premises
in their "AS-IS" condition on the date that this Lease is entered into.

          (b) On or before the date which is 15 days following the date on which
this Amendment is fully executed by both Landlord and Tenant, Landlord shall
engage a design consultant reasonably acceptable to Tenant (whose fee shall be
included in the Total Construction Cost [defined below]) to prepare final
working drawings of all improvements to be installed in the Expansion Premises
and deliver the same to Tenant for its review and approval (which approval shall
not be unreasonably withheld, delayed or conditioned). Tenant shall notify
Landlord whether it approves of the submitted working drawings within five
business days after Landlord's submission thereof. If Tenant disapproves of such
working drawings, then Tenant shall notify Landlord thereof specifying in
reasonable detail the reasons for such disapproval, in which case Landlord
shall, within three business days after such notice, revise such working
drawings in accordance with Tenant's objections and submit to Tenant for its
review and approval. Tenant shall notify Landlord in writing whether it approves
of the resubmitted working drawings within two business days after its receipt
thereof. This process shall be repeated until the working drawings have been
finally approved by Landlord and Tenant. If Tenant fails to notify Landlord that
it disapproves of the initial working drawings
<PAGE>
ithin five business days (or, in the case of resubmitted working drawings,
within two business days) after the submission thereof, then Tenant shall be
deemed to have approved the working drawings in question. Any delay caused by
Tenant's unreasonable withholding of its consent or delay in giving its written
approval as to such working drawings shall constitute Tenant Delay Day (defined
below). To the extent that such working drawings also require Landlord's
approval, Landlord shall also approve such working drawings within three
business days after the architect's submission of such working drawings to
Landlord. Further, if any of Tenant's proposed construction work will affect the
Building's HVAC, electrical, mechanical, or plumbing systems, then the working
drawings pertaining thereto must be approved by the Building's engineer of
record. Landlord's approval of such working drawings shall not be unreasonably
withheld, provided that (a) they comply with all Laws, (b) such working drawings
are sufficiently detailed to allow construction of the improvements in a good
and workmanlike manner, and (c) the improvements depicted thereon conform to the
rules and regulations promulgated from time to time by Landlord for the
construction of tenant improvements. As used herein, "WORKING DRAWINGS" shall
mean the final working drawings approved by Landlord, as amended from time to
time by any approved changes thereto, and "WORK" shall mean all improvements to
be constructed in accordance with and as indicated on the Working Drawings,
together with any work required by governmental authorities to be made to other
areas of the Building solely as a result of the improvements indicated by the
Working Drawings. Landlord's approval of the Working Drawings shall not be a
representation or warranty of Landlord that such drawings are adequate for any
use or comply with any Law, but shall merely be the consent of Landlord thereto.
Tenant shall, at Landlord's request, sign the Working Drawings to evidence its
review and approval thereof. All changes in the Work must receive the prior
written approval of Landlord, and in the event of any such approved change
Tenant shall, upon completion of the Work, furnish Landlord with an accurate,
reproducible "as-built" plan of the improvements as constructed. After the
Working Drawings have been approved, Landlord shall cause the Work to be
performed in accordance with the Working Drawings.

          (c) The Work shall be performed only by contractors and subcontractors
approved in writing by Landlord, which approval shall not be unreasonably
withheld, delayed or conditioned. All contractors and subcontractors shall be
required to procure and maintain insurance against such risks, in such amounts,
and with such companies as Landlord may reasonably require. Certificates of such
insurance, with paid receipts therefor, must be received by Landlord before the
Work is commenced. The Work shall be performed in a good and workmanlike manner
free of defects, shall conform strictly with the Working Drawings, and shall be
performed in such a manner and at such times as and not to interfere with or
delay Landlord's other contractors, the operation of the Building, and the
occupancy thereof by other tenants. All contractors and subcontractors shall
contact Landlord and schedule time periods during which they may use Building
facilities in connection with the Work (e.g., elevators, excess electricity,
etc.).

          (d) If a delay in the performance of the Work occurs solely (i)
because of any change by Tenant to the Working Drawings, or (ii) because of any
specification by Tenant of materials or installations not set forth in the
Working Drawings that are in addition to or other
<PAGE>
han Landlord's standard finish-out materials, or (iii) because Tenant or
Tenant's agents otherwise delays completion of the Work, then, notwithstanding
any provision to the contrary in this Lease, Tenant's obligation to pay Rent
hereunder shall commence on the scheduled Commencement Date (each delay a
"TENANT DELAY" and day of delay caused by any such event shall be a "TENANT
DELAY DAY" provided, however, that "Tenant Delay" shall not include any
unreasonable or undue delay by contractors or subcontractors in the performance
of the Work). If the Expansion Premises are not ready for occupancy and the Work
is not substantially completed (as reasonably determined by Landlord) on the
scheduled Commencement Date for any reason other than the reasons specified in
the immediately preceding sentence, then the obligations of Landlord and Tenant
shall continue in full force and Rent shall be abated until the date the Work is
substantially completed less the number of Tenant Delay Days, which date shall
be the Commencement Date.

          (e) The entire cost of performing the Work (including, without
limitation, design of the Work and preparation of the Working Drawings, costs of
construction labor and materials, electrical usage during construction,
additional janitorial services during construction, general tenant signage,
related taxes and insurance costs, and the construction supervision fee
referenced herein, all of which costs are herein collectively called the "TOTAL
CONSTRUCTION COSTS") in excess of the Construction Allowance (hereinafter
defined) shall be paid by Tenant. Upon approval of the Working Drawings and
selection of a contractor, Tenant shall promptly (i) execute a work order
agreement prepared by Landlord which identifies such drawings and itemizes the
Total Construction Costs and sets forth the Construction Allowance, and (ii) pay
to Landlord 50% of the amount by which Total Construction Costs exceed the
Construction Allowance; upon substantial completion of the Work, Tenant shall
pay to Landlord an amount equal to the Total Construction Costs (as adjusted for
any approved changes to the Work), less (1) the amount of the advance payment
already made by Tenant, and (2) the amount of the Construction Allowance.

          (f) Landlord shall provide to Tenant a construction allowance (the
"CONSTRUCTION ALLOWANCE") equal to the lesser of (a) $15.00 per rentable square
foot in the Expansion Premises (equaling $254,910.00) or (b) the Total
Construction Costs, as adjusted for any approved changes to the Work; however,
if Tenant or its agent is managing the performance of the Work, then Tenant
shall not become entitled to full credit for the Construction Allowance until
the Work has been substantially completed and Tenant has caused to be delivered
to Landlord (1) all invoices from contractors, subcontractors, and suppliers
evidencing the cost of performing the Work, together with lien waivers from such
parties, and a consent of the surety to the finished Work (if applicable) and
(2) a certificate of occupancy from the appropriate governmental authority, if
applicable to the Work, or evidence of governmental inspection and approval of
the Work.

          (g) Landlord or its affiliate or agent shall supervise the Work, make
disbursements required to be made to the contractor, and act as a liaison
between the contractor and Tenant and coordinate the relationship between the
Work, the Building, and the Building's systems. In consideration for Landlord's
construction supervision services, Tenant shall pay to
<PAGE>
Landlord from the Construction Allowance a construction supervision fee equal to
five percent of the Total Construction Costs.

          (h) To the extent not inconsistent herein, Section 7 of the Lease
shall govern the performance of the Work and Landlord's and Tenant's respective
rights and obligations regarding the improvements installed pursuant thereto.

      14. The Lease is hereby ratified and confirmed, and, as modified by this
Amendment, the Lease remains in full force and effect.

      15. This Amendment shall be binding upon and inure to the benefit of the
parties hereto and their respective heirs, executors, administrators, successors
and assigns.

      16. This Amendment may be executed in any number of counterparts, each of
which shall be an original and all, when taken together, shall constitute one
and the same document. Transmission by facsimile of an executed counterpart of
this Amendment shall be deemed to constitute due and sufficient delivery of such
counterpart.

      17. Landlord hereby acknowledges that the Guaranty dated April 8, 1998
executed by Daniel P. Dyer, Gary Kester and Gary R. Shivers (collectively, the
"Guarantors") by its terms is no longer in force or effect and Guarantors are
hereby released of all liability thereunder.
<PAGE>
           IN WITNESS WHEREOF, the parties have executed this Amendment as of
the day and year first written above.

                                    LANDLORD:

                                    W9/PHC REAL ESTATE LIMITED
                                    PARTNERSHIP, a Delaware limited
                                    partnership

                                    By:   W9/PHC Gen-Par, Inc., a Delaware
                                          corporation, its sole general partner

                                          By:
                                             ---------------------------------
                                          Name:       Stephen M. Abelman
                                               -------------------------------
                                          Title:      Assistant Vice President
                                                ------------------------------

                                     TENANT:

                                    MARLIN LEASING CORPORATION, a Delaware
                                    corporation

                                    By:
                                       ---------------------------------------
                                    Name:   George D. Pelose
                                         -------------------------------------
                                    Title:  Vice President and General Counsel
                                          ------------------------------------
<PAGE>
                                   EXHIBIT A

                           PLAN OF EXPANSION PREMISES

              [ORIGINAL DOCUMENT INCLUDES A SCHEMATIC INDICATING THE
                                EXPANSION SPACE]<PAGE>
                                                                    Exhibit 10.4
                              EMPLOYMENT AGREEMENT

      THIS EMPLOYMENT AGREEMENT (this "Agreement") is dated as of October 14,
2003, between Marlin Business Services Corp., a Pennsylvania corporation (the
"Company"), and Daniel P. Dyer ("Executive"). This Agreement shall become
effective immediately upon the consummation of the Company's initial public
offering of its common stock (the "Effective Date").

                                   BACKGROUND

      A.    The Company would like to continue the services of Executive in the
            position of Chief Executive Officer, and Executive is willing to
            continue be employed by the Company in this capacity pursuant to
            this Agreement.

      B.    Executive and the Company's Affiliate, Marlin Leasing Corporation,
            are parties to an employment agreement dated July 26, 2001.
            Executive and the Company now desire to amend and restate that
            agreement to reflect the current understandings of the parties and
            to make certain changes in connection with the initial public
            offering of the Company's stock to be effective as of the Effective
            Date.

      1. Employment Duties and Performance. Executive shall be employed by the
Company on a full-time basis in the position of Chief Executive Officer,
reporting directly to the Company's Board of Directors. Executive shall have
such authority and shall perform such duties and responsibilities as are
typically incident to such position, together with and such additional
reasonable duties consistent his position and title as lawfully delegated to
Executive from time to time by the Board of Directors or any executive officer
of the Company who has the authority to delegate such duties to Executive.
Executive shall use all reasonable efforts to further the interests of the
Company and shall devote substantially all of his business time and attention to
his employment duties to the Company: provided that nothing in this Agreement
shall preclude Executive from devoting reasonable periods required for (i)
participating with professional associations, educational institutions, or in
civic or charitable activities, or (ii) serving on the board of directors or
similar body of any other business entity, provided that it is not a Competitive
Position (as defined in Section 9 hereof) and provided further that membership
on any for-profit board shall require the prior approval of the Company's Board
of Directors..

      2. Term of Agreement. The term of this Agreement (the "Agreement Term")
shall commence on the Effective Date and shall expire on the second anniversary
of the Effective Date. The Agreement Term shall be automatically extended for an
additional year on each anniversary of the Effective Date, unless written notice
of non-extension is provided by either party to the other party at least 90 days
prior to such anniversary. The period of Executive's employment hereunder (the
"Employment Period") shall commence as of the Effective Date and

                                       1
<PAGE>
shall expire at the end of the Agreement Term, unless earlier terminated in
accordance with the terms and conditions of this Agreement.

      3. Base Salary and Incentive Bonus.

            (a) Base Salary. The Company shall pay Executive a base salary (the
"Base Salary") equal to at least $275,000 per annum during the Employment
Period. The Compensation Committee of the Company's Board of Directors (the
"Compensation Committee") shall review the Base Salary not less frequently than
annually, beginning 12 months after the Effective Date, for consideration of
increase based on merit and on competitive market factors. The Base Salary shall
be payable semi-monthly pursuant to the normal pay practices of the Company,
subject to standard deductions such as for income tax withholdings and social
security.

            (b) Incentive Bonus. Executive shall be eligible for an annual
incentive bonus (the "Incentive Bonus") for each fiscal year ending during the
Employment Period, with a minimum target bonus opportunity equal to 85% of Base
Salary. The performance measures used in determining the amount of the Incentive
Bonus shall be established by the Compensation Committee after considering the
recommendation of the Chief Executive Officer. The Incentive Bonus shall be paid
as promptly as practicable after it has been approved by the Company's Board of
Directors. Executive shall be entitled to participate in all other short-term
and long-term bonus or incentive plans or arrangements in which other senior
executives of the Company are eligible to participate from time to time.

      4. Stock Incentives. Executive shall be eligible to participate in all
stock option, restricted stock, stock unit and other equity incentive plans or
arrangements in which other senior executives of the Company are eligible to
participate from time to time.

      5. Benefits. Executive shall be entitled to participate, subject to
general eligibility requirements, in any group medical and hospitalization,
retirement, life insurance or other benefit plan maintained by the Company for
its employees or its senior executives. In addition, the Company shall continue
to provide during the Employment Period, at its cost, additional life and
disability insurance for Executive (with Executive or his designee as the
beneficiary) with coverage amounts under each such policy equal to a minimum of
$695,000 for the life insurance and $9,000 monthly benefit for the disability
insurance.

      6. Business Expenses. Executive shall be entitled to reimbursement of all
reasonable travel and other business expenses and disbursements incurred by
Executive in the performance of Executive's duties under this Agreement, upon
proper accounting in accordance with the Company's normal practices and
procedures for reimbursement of business expenses and in compliance with
applicable IRS regulations.

      7. Termination of Employment.

            (a) Executive's employment shall or may be terminated, as the case
may be, under the following circumstances:

                                       2
<PAGE>
               (i) Cause. The Company may terminate Executive's employment
hereunder for "Cause" effective upon the vote of 66.67% of the Company's Board
of Directors (excluding Executive's vote if he is then serving on the Board of
Directors) and delivery of a written notice to Executive stating the grounds for
such termination. "Cause" shall mean any one or more of the following: (a)
willful fraud or material dishonesty by Executive in connection with the
performance of his duties to the Company; (b) grossly negligent or intentional
failure by Executive to substantially perform his duties hereunder; (c) material
breach by Executive of a Protective Covenant set forth in Section 9 hereof; or
(d) the conviction of, or plea of nolo contendere to, a charge of commission of
a felony by Executive; provided that no termination for "Cause" shall be
effective until reasonable written notice is provided to Executive setting forth
the reasons for the decision by the Board of Directors to terminate Executive
for Cause, Executive is given an opportunity, together with his counsel, to
appear before, and be heard by, the Board of Directors relating to the proposed
termination for Cause, and Executive fails to remedy the Cause event within
thirty (30) days (except in the case of (d) above) subject to such circumstances
being susceptible to remedy;

               (ii) Disability. Executive's employment shall terminate if,
because of a mental or physical disability or infirmity (meeting the definition
of a covered "disability" for purposes of the Company's disability insurance
plans, or if such plans do not exist, at the Company's election, where such
disability is confirmed by a physician appointed by the Board of Directors),
Executive is unable to perform the essential functions of his duties hereunder,
with or without reasonable accommodation, for a consecutive period of one
hundred twenty (120) days or a non-consecutive period of one hundred twenty
(120) days during any twelve month period;

               (iii) Death. Executive's employment hereunder shall terminate
upon the death of Executive;

               (iv) Termination Without Cause. The Company shall have the right
to terminate Executive's employment hereunder for any reason at any time,
including for any reason that does not constitute Cause, by delivery to
Executive of forty-five (45) days written notice of such termination, subject to
the consequences of such termination as set forth in this Agreement. Such right
to terminate Executive's employment shall be without regard (A) to any general
or specific policies (whether written or oral) of the Company relating to the
employment or termination of its senior executives, or (B) to any statements
made to Executive, whether made orally or contained in any document, pertaining
to Executive's relationship with the Company;

               (v) Resignation for Good Reason. Executive may voluntarily
terminate Executive's employment hereunder for Good Reason. For purposes of this
Agreement, "Good Reason" shall mean any one or more of the following: (a) a
material diminution in Executive's title, or a material change in Executive's
authority, duties, responsibilities or reporting relationship as contemplated by
Section 1 hereof, that is not approved in writing by Executive; (b) a breach by
the Company of its material obligations under this Agreement; (c) the relocation
of the offices at which Executive is principally employed to a location more
than twenty-five (25) miles from Mt. Laurel, New Jersey, which relocation is not
approved, in writing, by Executive; (d) any reduction in Executive's Base Salary
or target Incentive Bonus percentage, or a material reduction in employee or
executive benefits (excluding a reduction in the Company's

                                       3
<PAGE>
benefit plans that is applicable to all employees) ; (e) the occurrence of a
Change in Control (as defined in Exhibit A); or (f) any time after a written
notice of non-extension of this Agreement given by the Company pursuant to
Section 2 hereof; provided that Good Reason shall not be deemed to exist until
reasonable written notice is provided to the Company setting forth the reasons
for the decision by Executive to terminate his employment for Good Reason and
the Company fails to remedy the Good Reason event within thirty (30) days.

               (vi) Resignation without Good Reason. Executive may voluntarily
terminate his employment hereunder for any reason at any time, including for any
reason that does not constitute Good Reason.

            (b) Compensation Upon Termination.

               (i) For Cause; Without Good Reason. If Executive's employment is
terminated for Cause pursuant to Section 7(a)(i), or in the event of Executive's
voluntary termination of his employment pursuant to Section 7(a)(vi) without
Good Reason, then the Company shall pay Executive (A) the Base Salary through
the Date of Termination (as later defined), (B) accrued but unpaid benefits for
Executive (such as accrued but unpaid insurance benefits, retirement plan
benefits, paid time off (PTO) benefits, expense reimbursements, etc.) as of the
Date of Termination and (C) vested rights under any stock option, stock
incentive or other incentive compensation plan or program. Executive and his
dependents shall also be entitled to any continuation of coverage rights
required by COBRA, with premiums to be paid by Executive. (Collectively, the
items set forth in this paragraph (i) are referred to herein as the "Accrued
Benefits").

               (ii) Death or Disability. If Executive's employment is terminated
pursuant to Section 7(a)(ii) or 7(a)(iii) by reason of death or Disability, then
the Company shall pay Executive or his estate, as applicable, the Accrued
Benefits, and any Incentive Bonus earned but not yet paid for any fiscal year
completed prior to the year in which the Date of Termination occurs. Executive
or his estate shall also be entitled to all insurance proceeds paid pursuant to
the coverage provided by the applicable policy referenced in Section 5 hereof.

               (iii) Termination without Cause; Resignation for Good Reason. If
the Company terminates Executive's employment without Cause pursuant to Section
7(a)(iv) or Executive resigns for Good Reason pursuant to Section 7(a)(v), then
the Company shall pay Executive an amount equal to two (2.0) times the sum of
(A) Executive's then-current Base Salary and (B) the average Incentive Bonus
earned by Executive for the two fiscal years preceding the Date of Termination,
which sum shall be paid pro rata through the date that is eighteen (18) months
after the Date of Termination in accordance with the terms described in Section
3(a) above. In the case of any such termination within six (6) months prior to
or following a Change in Control (as defined in Exhibit A), the amount set forth
above shall be paid to Executive in a lump sum within ten (10) business days
following the Date or Termination or the date of the Change in Control,
whichever is later. Upon any termination subject to this paragraph, the
Executive (and his eligible dependents, if applicable) shall also be entitled to
(A) the Company-paid coverages and benefits described in Section 5 through the
date that is twenty-four (24) months after the Date of Termination, at a cost to
the Executive no greater than the cost to an employee of the Company, (B) the
Accrued Benefits, and (C) payment of any Incentive Bonus earned but not yet paid
for any fiscal year

                                       4
<PAGE>
completed prior to the year in which the Date of Termination occurs. All lump
sum severance payments under this paragraph shall be subject to the Executive
signing a standard release of employment claims in the form attached hereto as
Exhibit B.

               (iv) Stock Incentives. In the event that (A) the Company
terminates Executive's employment without Cause pursuant to Section 7(a)(iv),
(B) Executive resigns with Good Reason pursuant to Section 7(a)(v), (C)
Executive's employment is terminated on account of death or Disability pursuant
to Section 7(a)(ii) or (iii) or (D) upon a Change in Control (as defined in
Exhibit A), then (i) the portion of any unvested and outstanding Company stock
options, restricted stock, stock units of other stock incentive rights held by
Executive shall automatically vest immediately upon the Date of Termination or
the date of Change in Control, as the case may be, notwithstanding the terms of
any applicable option or award agreement and (ii) any stock options granted to
Executive on or after the date hereof shall remain exercisable for a period of
two years from the Date of Termination, notwithstanding the terms of any
applicable option agreement. The Company agrees to take all corporate or other
actions necessary or appropriate to effect the intent of this Section 7(b)(iv).

            (c) "Date of Termination" shall mean (i) if Executive's employment
is terminated pursuant to Section 7(a)(i), the date specified in the written
notice of termination delivered to Executive by the Company, (ii) if Executive's
employment is terminated pursuant to Section 7(a)(ii), the date which is (A) the
one hundred twentieth (120th) consecutive day of such inability or (B) the one
hundred and twentieth (120th) day in any twelve (12) month period of such
inability, (iii) if Executive's employment is terminated pursuant to Section
7(a)(iii), the date of Executive's death, (iv) if Executive's employment is
terminated pursuant to Section 7(a)(iv), the date specified in the written
notice of termination delivered to Executive by the Company (which shall be no
less than 45 days from the date of such notice), (v) if Executive terminates his
employment pursuant to Section 7(a)(v) or 7(a)(vi), upon the date specified in
the written notice of termination delivered to Company by Executive. Upon
termination of Executive's employment hereunder for any reason, Executive shall
be deemed to have resigned from all offices and directorships then held with the
Company or any of its Affiliates as of the Date of Termination.

            (d) Company Property. Executive hereby acknowledges and agrees that
all Company Property and equipment furnished to or prepared by Executive in the
course of or incident to Executive's employment, belongs to the Company and
shall be promptly returned to the Company upon termination of Executive's
employment hereunder. "Company Property" includes, without limitation, all
books, manuals, records, reports, notes, contracts, lists, encoded media, and
other documents or materials, or copies thereof (including computer files), and
all other proprietary information relating to the business of the Company.
Following termination, Executive will not retain any written or other tangible
material containing any proprietary information of the Company.

      8. Parachute Tax Indemnity.

            (a) If it shall be determined that any amount paid, distributed or
treated as paid or distributed by the Company to or for Executive's benefit
(whether paid or payable or distributed or distributable pursuant to the terms
of this Agreement or otherwise, but determined

                                       5
<PAGE>
without regard to any additional payments required under this Section 8) (a
"Payment") would be subject to the excise tax imposed by Section 4999 of the
Code or any interest or penalties are incurred by Executive with respect to such
excise tax (such excise tax, together with any such interest and penalties,
being hereinafter collectively referred to as the "Excise Tax"), then Executive
shall be entitled to receive an additional payment (a "Gross-Up Payment") in an
amount such that after payment by Executive of all federal, state and local
taxes (including any interest or penalties imposed with respect to such taxes),
including, without limitation, any income taxes (and any interest and penalties
imposed with respect thereto) and Excise Tax imposed upon the Gross-Up Payment,
Executive retains an amount of the Gross-Up Payment equal to the Excise Tax
imposed upon the Payments. Executive shall make reasonable efforts to cooperate
with the Company to minimize the costs to the Company relating to any Gross-Up
Payment.

            (b) All determinations required to be made under this Section 8,
including whether and when a Gross-Up Payment is required and the amount of such
Gross-Up Payment and the assumptions to be utilized in arriving at such
determination, shall be made by a nationally recognized accounting firm (the
"Accounting Firm") which shall provide detailed supporting calculations both to
the Company and Executive within 15 business days of the receipt of notice from
Executive that there has been a Payment, or such earlier time as is requested by
the Company. The Accounting Firm shall be appointed jointly by Executive and the
Company. All fees and expenses of the Accounting Firm shall be borne by the
Company. Any Gross-Up Payment, as determined pursuant to this Section 8, shall
be paid by the Company to Executive within five days of the receipt of the
Accounting Firm's determination. Any determination by the Accounting Firm shall
be binding upon the Company and Executive. As a result of the uncertainty in the
application of Section 4999 of the Code at the time of the initial determination
by the Accounting Firm hereunder, it is possible that Gross-Up Payments which
will not have been made by the Company should have been made ("Underpayment"),
consistent with the calculations required to be made hereunder. In the event
that the Company exhausts its remedies pursuant to this Section 8 and Executive
thereafter is required to make a payment of any Excise Tax, the Accounting Firm
shall determine the amount of the Underpayment that has occurred and any such
Underpayment shall be promptly paid by the Company to or for Executive's
benefit.

            (c) Executive shall notify the Company in writing of any claim by
the Internal Revenue Service that, if successful, would require the payment by
the Company of the Gross-Up Payment. Such notification shall be given as soon as
practicable but no later then ten business days after Executive is informed in
writing of such claim and shall apprise the Company of the nature of such claim
and the date on which such claim is requested to be paid. Executive shall not
pay such claim prior to the expiration of the 30-day period following the date
on which it gives such notice to the Company (or such shorter period ending on
the date that any payment of taxes with respect to such claim is due). If the
Company notifies Executive in writing prior to the expiration of such period
that it desires to contest such claim, Executive shall: (i) give the Company any
information reasonably requested by the Company relating to such claim; (ii)
take such action in connection with contesting such claim as the Company shall
reasonably request in writing from time to time, including, without limitation,
accepting legal representation with respect to such claim by an attorney
reasonably selected by the Company; (iii) cooperate with the Company in good
faith in order to effectively contest such claim; and (iv) permit the Company to

                                       6
<PAGE>
participate in any proceeding relating to such claim; provided, however, that
the Company shall bear and pay directly all costs and expenses (including
additional interest and penalties) incurred in connection with such contest and
shall indemnify and hold Executive harmless, on an after-tax basis, from any
Excise Tax or income tax (including interest and penalties with respect thereto)
imposed as a result of such representation and payment of costs and expense.
Without limitation on the foregoing provisions of this Section 8, the Company
shall control all proceedings taken in connection with such contest and, at its
sole option, may pursue or forego any and all administrative appeals,
proceedings, hearings and conferences with the taxing authority in respect of
such claim and may, at its sole option, either direct Executive to pay the tax
claimed and sue for a refund or contest the claim in any permissible manner, and
Executive agrees to prosecute such contest to a determination before any
administrative tribunal, in a court of initial jurisdiction and in one or more
appellate courts, as the Company shall determine; provided, however, that if the
Company directs Executive to pay such claim and sue for a refund, the Company
shall advance the amount of such payment to Executive, on an interest-free
basis, and shall indemnify and hold Executive harmless, on an after-tax basis,
from any Excise Tax or income tax (including interest or penalties with respect
thereto) imposed with respect to such advance or with respect to any imputed
income with respect to such advance; and further provided that any extension of
the statute of limitations relating to payment of taxes for Executive's taxable
year with respect to which such contested amount is claimed to be due is limited
solely to such contested amount. Furthermore, the Company's control of the
contest shall be limited to issues with respect to which a Gross-Up Payment
would be payable hereunder and Executive shall be entitled to settle or contest,
as the case may be, any other issue raised by the Internal Revenue Service or
any other taxing authority, so long as such action does not have a material
adverse effect on the contest being pursued by the Company.

            (d) If, after Executive's receipt of an amount advanced by the
Company pursuant to this Section 8, Executive becomes entitled to receive any
refund with respect to such claim, Executive shall (subject to the Company's
complying with the requirements of this Section 8) promptly pay to the Company
the amount of such refund (together with any interest paid or credited thereon
after taxes applicable thereto). If, after Executive's receipt of an amount
advanced by the Company pursuant to this Section 8, a determination is made that
Executive shall not be entitled to any refund with respect to such claim and the
Company does not notify Executive in writing of its intent to contest such
denial of refund prior to the expiration of 30 days after such determination,
then such advance shall be forgiven and shall not be required to be repaid and
the amount of such advance shall offset, to the extent thereof, the amount of
Gross-Up Payment required to be paid.

      9. Protective Covenants.

            (a) Definitions. The following terms shall have the following
meanings when used in this Section 9 or elsewhere in this Agreement:

               (i) "Business" shall mean the "small ticket" equipment leasing
business and any other business activities engaged in by the Company or any
Affiliate as a substantial line of business within one (1) year prior to of the
Date of Termination.

                                       7
<PAGE>
               (ii) "Competitive Position" shall mean (A) Executive's direct or
indirect equity ownership or control of any entity engaged in the Business
(except as provided in the next sentence), or (B) an employment, consulting,
partnership, advisory, directorship, agency, promotional or independent
contractor relationship between Executive and a person, firm, corporation,
partnership or profit or non-profit business or organization ("Person") engaged,
wholly or in part, in the Business, in the United States or Canada.
Notwithstanding the foregoing, Executive's direct or indirect ownership, solely
as a passive investment, of equity securities of any entity that is required to
file periodic reports with the U.S. Securities and Exchange Commission under
Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, the
securities of which corporation are listed on any securities exchange, quoted on
the National Association of Securities Dealers Automated Quotation System or
traded in the over-the-counter market, shall not constitute a "Competitive
Position" if Executive is not a controlling person of, or a member of a group
that controls, the entity and Executive does not, directly or indirectly, own
five percent (5%) or more of any class of securities of the entity.

               (iii) "Confidential Information" shall mean non-public
information (including but not necessarily limited to Trade Secrets) disclosed
to Executive or known by Executive as a consequence of, or through his
relationship with, the Company, about the Customers, Executives (including
compensation paid to other Executives or other terms of employment), operations,
processes, products, inventions, business methods, principals, marketing
methods, costs, prices, contractual relationships, regulatory status, trade
secrets, public relations methods, organization, procedures or finances,
including, without limitation, information of or relating to customer lists of
the Company and its Affiliates.

               (iv) "Customer" shall mean any actual customer or client of the
Company or any Affiliate during the one (1) year time period preceding the Date
of Termination and any actively solicited prospective customer of the Company or
any Affiliate during that same time period.

               (v) "Restricted Territory" shall mean the United States and
Canada.

               (vi) "Trade Secret" shall mean information or data (including,
but not limited to, confidential business information, technical or
non-technical data, formulas, patterns, compilations, programs, devices,
methods, techniques, drawings, processes, financial data, financial plans,
product plans, lists of actual or potential customers or suppliers) that: (a)
derives economic value, actual or potential, from not being generally known to,
and not being readily ascertainable by proper means by, other persons who can
obtain economic value from its disclosure or use; and (b) is the subject of
efforts that are reasonable under the circumstances to maintain its secrecy.

            (b) Limitations on Competition. In consideration of the rights and
benefits Executive will receive under this Agreement, from the date of this
Agreement through the date that is (i) one (1) year after the Date of
Termination for a termination pursuant to Section 7(i) or Section 7(vi); (ii)
one (1) year after the termination of this Agreement due to non-extension of the
Agreement by the Executive pursuant to Section 2; or (iii) eighteen (18) months
after the Date of Termination for a termination pursuant to Section 7(iv) or
Section 7(v), Executive shall not, directly or indirectly, alone or in
conjunction with any other Person accept or take a

                                       8
<PAGE>
Competitive Position. During the applicable period of time following the Date of
Termination, this covenant shall bind Executive only with respect to Executive's
activities in the Restricted Territory or with respect to any business entity
that is engaged in the Business in the Restricted Territory.

            (c) Confidentiality. Except in conjunction with discharging his
legitimate employment responsibilities or except as and to the extent required
by law, Executive shall not, directly or indirectly, alone or in conjunction
with any other Person, (i) disclose, publish, disseminate or otherwise
communicate, in oral, written, electronic or other format, any Confidential
Information of the Company or any Affiliate to any Person unaffiliated with the
Company, or (ii) use, copy or reproduce any Confidential Information. Upon
termination of his employment, Executive shall return to the Company or, at the
Company's election, destroy all (and shall not retain any) Confidential
Information in possession or control that is in written, electronic or other
non-oral form (together with all copies or duplicates thereof, including
computer files), including, without limitation, any document, record, notebook,
computer program or similar repository of or containing any such Confidential
Information. Notwithstanding the foregoing, Executive shall not be obligated to
treat as confidential, or return to the Company any embodiments of Confidential
Information that (i) is accessible to the public generally (except where such
accessibility resulted from unauthorized disclosure), or (ii) is lawfully
disclosed to Executive by a third party. The duration of the obligations set
forth in this Section 9(c) shall begin on the date of this Agreement and shall
end on the fifth (5th) anniversary of the Date of Termination, except with
respect to any Confidential Information that constitutes a Trade Secret, in
which case the obligations shall continue for as long as the underlying
Confidential Information continues to meet the definition of Trade Secret.

            (d) Non-Solicitation of Company Customers. Also in consideration of
the rights and benefits he will receive under this Agreement, from the date of
this Agreement through the date that is (i) one (1) year after the Date of
Termination for a termination pursuant to Section 7(i) or Section 7(vi); (ii)
one (1) year after the termination of this Agreement due to non-extension of the
Agreement by the Executive pursuant to Section 2; or (iii) eighteen (18) months
after the Date of Termination for a termination pursuant to Section 7(iv) or
Section 7(v), Executive shall not, directly or indirectly, alone or in
conjunction with any other Person, solicit, divert or appropriate (or attempt to
do so) any Customer for the purpose of providing the Customer with, or having
the Customer provided with, services or products that directly compete with
those offered by the Company or any Affiliate.

            (e) Non-Solicitation of Company Personnel. Also in consideration of
the rights and benefits he will receive under this Agreement, from the date of
this Agreement through the date that is 24 months after the Date of Termination,
Executive shall not, directly or indirectly, alone or in conjunction with any
other Person, (a) hire any Person who was an employee of the Company or any
Affiliate at the Date of Termination or (b) encourage or solicit any employee,
consultant, advisor, director, supplier or independent contractor of the Company
to terminate or lessen that Person's affiliation with the Company or any
Affiliate or to violate the terms of any agreement or understanding between that
Person and the Company or any Affiliate.

            (f) Acknowledgments. Executive acknowledges that: (i) the purpose of
the covenants in this Section 9 (the "Protective Covenants") is to protect the
Confidential

                                       9
<PAGE>
Information of the Company, to protect the Company from unfair competition; and
(ii) the scope of the Protective Covenants is reasonable in light of the
irreparable harm to the Company that could result if Executive were to engage in
conduct prohibited by the Protective Covenants and in light of the substantial
rights and benefits that Executive will receive under this Agreement. Executive
also acknowledges that the Company shall have the right in its sole discretion
to waive Executive's compliance with any Protective Covenant on a case-by-case
basis. No such waiver shall be effective unless it is specific and is in
writing. Additionally, Executive acknowledges the receipt of good and adequate
consideration for the Protective Covenants and acknowledges that he can obtain
gainful employment without violation of the Protective Covenants.

            (g) Injunctive Relief and Enforcement; Partial Enforcement. In the
event of breach by Executive of a Protective Covenant, the Company shall be
entitled to institute legal proceedings to obtain damages for any such breach,
or to enforce the specific performance of this Agreement by Executive and to
enjoin Executive from any further violation and to exercise such remedies
cumulatively or in conjunction with all other rights and remedies provided by
law. Executive acknowledges that money damages would be an insufficient remedy
for any breach by him of a Protective Covenant and that in addition to all other
remedies the Company shall be entitled to specific performance and injunctive or
other equitable relief for any such breach. In addition, in the event that any
Protective Covenant shall be determined by any court of competent jurisdiction
to be unenforceable because it extends for too long a period of time or to too
broad a geographical area or too broad an array of prohibited activities, it is
the parties' intent that the court enforce the covenant at issue to the broadest
extent possible within the limitation of the law. Also, to the extent allowed by
law, Executive waives the posting of any bond or security for a temporary
restraining order, preliminary injunction, or any other extraordinary relief
that may be obtained by the Company in connection with this Agreement.

      10. Withholding of Taxes. All payments required to be made by the Company
to the Employee under this Agreement shall be subject to the withholding of such
amounts, if any, relating to tax, excise tax and other payroll deductions as the
Company may reasonably determine it should withhold pursuant to any applicable
law or regulation.

      11. Affiliates. As used in this Agreement, "Affiliates" shall mean any
partnership, joint venture, limited liability company or corporation that,
directly or indirectly through one or more intermediaries Controls, or is
Controlled by, or is under common Control with, any person. The term "Control"
includes, without limitation, the possession, directly or indirectly, of the
power to direct the management and policies of a corporation, partnership, joint
venture or limited liability company, whether through the ownership of voting
securities, by contract or otherwise.

      12. Notice. For the purposes of this Agreement, notices, demands and all
other communications provided for in this Agreement shall be in writing and
shall be deemed to have been duly given when personally delivered, when
transmitted by telecopy with receipt confirmed, or one day after delivery to an
overnight air courier guaranteeing next day delivery, addressed as follows:

                                       10
<PAGE>
     If to Executive:               1 Broadacres Court
                                    Moorestown, NJ 08057

     If to the Company:             Marlin Business Services Corp.
                                    124 Gaither Drive, Suite 170
                                    Mount Laurel, N.J. 08054
                                    Fax:  (888) 479-1100
                                    Attention:  Chairman, Compensation Committee

or to such other address as any party may have furnished to the others in
writing in accordance herewith, except that notices of change of address shall
be effective only upon receipt.

      13. Severability. The invalidity or unenforceability of any provision or
provisions of this Agreement shall not affect the validity or enforceability of
any other provision of this Agreement, which shall remain in full force and
effect; provided, however, that if any one or more of the terms contained in
Section 9 shall for any reason be held to be excessively broad with regard to
time, duration, geographic scope or activity, that term shall not be deleted but
shall be reformed and constructed in a manner to enable it to be enforced to the
extent compatible with applicable law.

      14. Assignment. This Agreement may not be assigned by Executive. Upon
receipt of the Executive's prior written consent, which shall not be
unreasonably withheld, this Agreement may be assigned by the Company to any
direct or indirect subsidiary or parent of the Company, or any successor
(whether by merger, consolidation, purchase or otherwise) to all or
substantially all of the stock, assets or business of the Company and this
Agreement shall be binding upon and inure to the benefit of such successors and
assigns.

      15. Limitation of Liabilities. If Executive is awarded any damages as
compensation for any breach or action related to this Agreement, a breach of any
covenant contained in this Agreement (whether express or implied by either law
or fact), or any other cause of action based in whole or in part on any breach
of any provision of this Agreement, such damages shall be limited to the Maximum
Damages (defined below) plus Executive's legal costs, and shall exclude (i)
punitive damages, and (ii) consequential and/or incidental damages (e.g., lost
profits and other indirect or speculative damages). "Maximum Damages" shall mean
the amount equal to four (4) times all amounts owed to Executive pursuant to
this Agreement through its natural term or through any period for which
severance payments are due pursuant to the terms hereof. Notwithstanding
anything herein to the contrary, there shall be no limit to the amount of
damages Executive may be awarded in connection with any cause of action relating
to (i) improper termination of Executive for Cause or (ii) defamation, slander
or libel of Executive by the Company or its officers or directors.

      16. Headings. The headings contained herein are for reference purposes
only and shall not in any way affect the meaning or interpretation of this
Agreement.

      17. Choice of Law. This Agreement shall be construed in accordance with
and governed by the laws of the State of New Jersey (without regard to its
choice of law principles),

                                       11
<PAGE>
and the parties hereto consent to the jurisdiction of the courts of the State of
New Jersey for any proceeding to enforce the terms of this Agreement.

      18. Entire Agreement. This Agreement contains the entire agreement and
understanding between the Company and Executive with respect to the employment
of Executive by the Company as contemplated hereby, and no representations,
promises, agreements or understandings, written or oral, not herein contained
shall be of any force or effect. This Agreement shall not be changed unless in
writing and signed by both Executive and the Company. As of the Effective Date,
this Agreement supersedes any and all other prior agreements with respect to
those matters covered by the terms of this Agreement including, without
limitation, the employment agreement between the Executive and Marlin Leasing
Corporation dated July 26, 2001.

      19. Acknowledgment. Each party hereto acknowledges that (a) it has
consulted with or has had the opportunity to consult with independent counsel of
its own choice concerning this Agreement and has been advised to do so by the
other party hereto, and (b) that it has read and understands the Agreement, is
fully aware of its legal effect, and has entered into it freely based on its own
judgment.

                            [Signature Page Follows]

                                       12
<PAGE>
      IN WITNESS WHEREOF, the parties have executed this Employment Agreement as
of the date and year first above written.

                                                 MARLIN BUSINESS SERVICES CORP.

                                                 By:
                                                     ------------------------
                                                         Name:
                                                         Title:

                                                 DANIEL P. DYER

                                                 -----------------------------

                                       13
<PAGE>
                                    EXHIBIT A

Definition of Change in Control. For purposes of this Agreement, a "Change in
Control" shall be deemed to have occurred upon:

      (i) an acquisition subsequent to the date hereof by any person, entity or
      group (within the meaning of Section 13(d)(3) or 14(d)(2) of the
      Securities Exchange Act of 1934, as amended (the "Exchange Act")) (a
      "Person"), of beneficial ownership (within the meaning of Rule 13d-3
      promulgated under the Exchange Act) of 35% or more of either (A) the then
      outstanding shares of common stock of the Company or (B) the combined
      voting power of the then outstanding voting securities of the Company
      entitled to vote generally in the election of directors; excluding,
      however, the following: (1) any acquisition directly from the Company,
      other than an acquisition by virtue of the exercise of a conversion
      privilege unless the security being so converted was itself acquired
      directly from the Company, (2) any acquisition by the Company and (3) any
      acquisition by an employee benefit plan (or related trust) sponsored or
      maintained by the Company; provided, however, that a Change in Control
      shall not be deemed to have occurred in the event that, within 30 days
      following the date of the first such acquisition, the person, entity or
      group reduces and maintains its beneficial ownership level at below 35%;

      (ii) a change in the composition of the Board of Director such that during
      any period of two consecutive years, individuals who at the beginning of
      such period constitute the Board, and any new director (other than a
      director designated by a person who has entered into an agreement with the
      Company to effect a transaction described in clause (i), (iii), or (iv) of
      this paragraph) whose election by the Board of Directors or nomination for
      election by the Company's stockholders was approved by a vote of at least
      two-thirds of the directors then still in office who either were directors
      at the beginning of the period or whose election or nomination for
      election was previously so approved, cease for any reason to constitute at
      least a majority of the members thereof;

      (iii) consummation of a transaction involving a merger, consolidation,
      reorganization or similar corporate transaction, whether or not the
      Company is the surviving corporation in such transaction, as a result of
      which the stockholders of the Company immediately prior to the
      consummation of the transaction do not stock of the surviving corporation
      representing 80% or more of the voting power of all capital stock thereof
      outstanding immediately after the consummation of the transaction; and

      (iv) consummation of a transaction involving (A) the sale or other
      disposition of all or substantially all of the assets of the Company or
      (B) a complete liquidation or dissolution of the Company.

                                       14
<PAGE>
                                    EXHIBIT B

                    RELEASE OF CLAIMS AND COVENANT NOT TO SUE

      This RELEASE OF CLAIMS AND COVENANT NOT TO SUE is executed and delivered
by __________________ ("Employee") to Marlin Business Services Corp., a
Pennsylvania corporation ("Employer").

      In consideration of the agreement by Employer to provide Employee with the
severance payments set forth in Section 7 of the Employment Agreement between
Employer and Employee dated October __, 2003 (the "Employment Agreement"),
Employee hereby agrees as follows:

      Section 1. Release and Covenant. Employee, of his own free will,
voluntarily releases and forever discharges Employer, its subsidiaries,
affiliates, their officers, employees, agents, stockholders, successors and
assigns (both individually and in their official capacities with Employer) from,
and covenants not to sue or proceed against any of the foregoing on the basis
of, any and all past or present causes of action, suits, agreements or other
claims which Employee, his dependents, relatives, heirs, executors,
administrators, successors and assigns has or have against Employer upon or by
reason of any matter arising out of his employment by Employer and the cessation
of said employment, and including, but not limited to, any alleged violation of
the Civil Rights Acts of 1964 and 1991, the Equal Pay Act of 1963, the Age
Discrimination in Employment Act of 1967, the Rehabilitation Act of 1973, the
Older Workers Benefit Protection Act of 1990, the Americans with Disabilities
Act of 1990, the Family and Medical Leave Act of 1993, and any other federal or
state law, regulation or ordinance, or public policy, contract or tort law,
having any bearing whatsoever on the terms and conditions or cessation of his
employment with Employer. This release shall not, however, constitute a waiver
of any of Employee's rights upon termination of employment under (i) Sections 7
and 8 of the Employment Agreement, (ii) the terms of any employee benefit plan
of Employer in which Employee is participating or (iii) the policies of Employer
with regard to business expense reimbursement.

      Section 2. Due Care. Employee acknowledges that he has received a copy of
this Release prior to its execution and has been advised hereby of his
opportunity to review and consider this Release for 21 days prior to its
execution. Employee is hereby advised and acknowledges that he has been advised
to consult with an attorney prior to executing this Release. Employee enters
into this Release having freely and knowingly elected, after due consideration,
to execute this Release and to fulfill the promises set forth herein. This
Release shall be revocable by Employee during the 7-day period following its
execution, and shall not become effective or enforceable until the expiration of
such 7-day period. The severance payments under the Employment Agreement shall
be made following the expiration of this 7-day period, and shall be forfeited by
Employee if he exercises the right of revocation.

      Section 3. Reliance by Employee. Employee acknowledges that, in his
decision to enter into this Release, he has not relied on any representations,
promises or agreements of any kind, including oral statements by representatives
of Employer, except as set forth in this Release.

                                       15
<PAGE>
      This RELEASE OF CLAIMS AND COVENANT NOT TO SUE is executed by Employee and
delivered to Employer on _____________________, 20___.

                                           EMPLOYEE:

                                           ---------------------------

                                       16

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