Document:

EXHIBIT 10-a

 

SECURITIES
PURCHASE AGREEMENT

 

THIS SECURITIES
PURCHASE AGREEMENT (this “Agreement”), is made effective as of NOVEMBER 18, 2013 (the “Effective
Date”), by and among 112359 FACTOR FUND, LLC (“Buyer”) and BITZIO, INC. (“Company”).
Capitalized terms used herein and not otherwise defined herein shall have the respective meanings set forth in that certain Security
Agreement entered into on even date herewith by and between Company and Buyer.

 

WITNESSETH

 

WHEREAS, the Company
and the Buyer are executing and delivering this Agreement in reliance upon an exemption from securities registration pursuant to
Rule 506 of Regulation D (“Regulation D”), as promulgated by the U.S. Securities and Exchange Commission
(the “SEC”) under Section 4(2) of the Securities Act of 1933, as amended (the “Securities Act”);

 

WHEREAS, the parties
desire that, upon the terms and subject to the conditions contained herein, the Company shall issue and sell to the Buyer, as provided
herein, and the Buyer shall purchase the Securities, which shall be convertible into shares of the Company’s common stock,
par value $0.001 (the “Common Stock” and, as converted, the “Conversion Shares”), in exchange
for certain consideration payable on the terms set forth herein (the “Purchase Price” and the “Subscription
Amount”).

 

NOW, THEREFORE,
in consideration of the mutual covenants and other agreements contained in this Agreement the Company and the Buyer hereby agree
as follows:

 

1. PURCHASE AND
SALE OF SECURITIES

 

(a) The Securities.
Prior to the Initial Closing Date, the Company shall have filed with the Secretary of State of the State of Nevada a Certificate
of Designation of Series B Convertible Preferred Shares in the form annexed hereto as Exhibit A (the “Series
B Preferred”). Subject to the terms and conditions set forth in this Agreement, the Buyer shall purchase from the Company
and the Company shall sell and issue to Buyer a total of One Million (1,000,000) shares of the Series B Preferred (the “Securities”)
..

 

(b) The Purchase
Price. Buyer shall purchase the Series B Preferred in exchange for Fifty Cents ($0.50) per share in the form of U.S. cash funds
(the “Purchase Price”).

 

(c) The Initial Closing.
The Initial Closing of the purchase and sale of the Securities shall take place at 10:00 a.m. Eastern Standard Time on the second
(2nd) business day following the date hereof, subject to notification of satisfaction of the conditions to the Closing
set forth herein and in Sections 6 and 7 below (or such later date as is mutually agreed to by the Company and the Buyer) (the
“Initial Closing Date”). At the Initial Closing, the Company shall sell and the Buyer shall purchase Five Hundred
Thousand (500,000) shares of Series B Preferred for a total of $250,000. Buyer shall be credited toward the Purchase Price at the
Initial Closing with the Thirty Thousand Dollars previously loaned to the Buyer, and the Bridge Note issued by the Company to Buyer
shall be deemed satisfied.

 

(d) Subsequent Closings.
Five Subsequent Closings shall occur. At each Subsequent Closing, the Company shall sell and the Buyer shall purchase One Hundred
Thousand (100,000) shares of Series B Preferred for a total of $50,000. The dates for the Subsequent Closings shall be February
18, 2014, March 18, 2014, April 18, 2014, May 19, 2014, and June 18, 2014.

 

2. BUYER’S
REPRESENTATIONS AND WARRANTIES

 

Buyer represents and warrants
that:

 

(a) Investment Purpose.
Buyer is acquiring the Securities and, upon conversion of Securities, the Buyer will acquire the Conversion Shares then issuable,
for its own account for investment only and not with a view towards, or for resale in connection with, the public sale or distribution
thereof, except pursuant to sales registered or exempted under the Securities Act; provided, however, that by making the representations
herein, such Buyer reserves the right to dispose of the Conversion Shares at any time in accordance with or pursuant to an effective
registration statement covering such Conversion Shares or an available exemption under the Securities Act.

 

(b) Accredited Investor
Status. Buyer is an “Accredited Investor” as that term is defined in Rule 501(a)(3) of Regulation D.

 

    	Exhibit 10-a	PAGE 1

    	 

    

 

(c) Information.
Buyer and its advisors (and its counsel), if any, have been furnished with all materials that have been requested by Buyer relating
to the business, finances and operations of the Company and information it deemed material to making an informed investment decision
regarding its purchase of the Securities and the Conversion Shares. Buyer and its advisors, if any, have been afforded the opportunity
to ask questions of the Company and its management. Neither such inquiries nor any other due diligence investigations conducted
by Buyer or its advisors, if any, or its representatives shall modify, amend or affect Buyer’s right to rely on the Company’s
representations and warranties contained in Section 3 below. Buyer understands that its investment in the Securities and the Conversion
Shares involves a high degree of risk. Based upon economic bargaining power, Buyer is in a position regarding the Company that
enabled and enables Buyer to obtain information from the Company in order to evaluate the merits and risks of this investment.
Buyer has sought such accounting, legal and tax advice, as it has considered necessary to make an informed investment decision
with respect to its acquisition of the Securities and the Conversion Shares.

 

(d) Authorization,
Enforcement. This Agreement has been duly and validly authorized, executed and delivered on behalf of such Buyer and is a valid
and binding agreement of Buyer enforceable in accordance with its terms, except as such enforceability may be limited by general
principles of equity or applicable bankruptcy, insolvency, reorganization, moratorium, liquidation and other similar laws relating
to, or affecting generally, the enforcement of applicable creditors’ rights and remedies.

 

(e) Due Formation
of Corporate and Other Buyer. Buyer has been formed and validly exists and has not been organized for the specific purpose
of purchasing the Securities and is not prohibited from doing so.

 

3. REPRESENTATIONS
AND WARRANTIES OF THE COMPANY

 

The Company represents
and warrants to the Buyer that, except as set forth in the SEC Documents (as defined herein):

 

(a) Organization
and Qualification. The Company and its Subsidiaries are corporations duly organized and validly existing in good standing under
the laws of the jurisdiction in which they are incorporated, and have the requisite corporate power to own their properties and
to carry on their business as now being conducted. Each of the Company and its Subsidiaries is duly qualified as a foreign corporation
to do business and is in good standing in every jurisdiction in which the nature of the business conducted by it makes such qualification
necessary, except to the extent that the failure to be so qualified or be in good standing would not have a material adverse effect
on the Company and its Subsidiaries taken as a whole.

 

(b) Authorization,
Enforcement, Compliance with Other Instruments. (i) The Company has the requisite corporate power and authority to enter
into and perform this Agreement and the other Transaction Documents and to issue the Securities and the Conversion Shares in accordance
with the terms hereof and thereof, (ii) the execution and delivery of this Agreement by the Company and the consummation by it
of the transactions contemplated hereby, including, without limitation, the issuance of the Securities the Conversion Shares and
the reservation for issuance and the issuance of the Conversion Shares issuable upon conversion or exercise thereof, have been
duly authorized by the Company’s Board of Directors and no further consent or authorization is required by the Company, its
Board of Directors or its stockholders, (iii) this Agreement has been duly executed and delivered by the Company, (iv) this Agreement
constitute the valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except
as such enforceability may be limited by general principles of equity or applicable bankruptcy, insolvency, reorganization, moratorium,
liquidation or similar laws relating to, or affecting generally, the enforcement of creditors’ rights and remedies.

 

(c) Capitalization.
The authorized capital stock of the Company consists of 250,000,000 shares of Common Stock, par value $0.001 per share, of which
about 185,000,000 shares of Common Stock are issued and outstanding as of the date hereof, and 25,000,000 shares of preferred stock,
of which 2,043,120 shares are issued and outstanding as of the date hereof. All of such outstanding shares have been validly issued
and are fully paid and non assessable. Except as disclosed in the SEC Documents (as defined in Section 3(f)), no shares of Common
Stock are subject to preemptive rights or any other similar rights or any liens or encumbrances suffered or permitted by the Company.
Except as disclosed in the SEC Documents, (x) there are no outstanding options, warrants, scrip, rights to subscribe to, calls
or commitments of any character whatsoever relating either to or rights convertible into any shares of capital stock of the Company
or any of its subsidiaries, or contracts, commitments, understandings or arrangements by which the Company or any of its subsidiaries
is or may become bound to issue additional shares of capital stock of the Company or any of its subsidiaries or options, warrants,
scrip, rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities or rights convertible
into, any shares of capital stock of the Company or any of its subsidiaries, (y) there are no agreements or arrangements under
which the Company or any of its subsidiaries is obligated to register the sale of any of their securities under the Securities
Act and (z) there are no outstanding registration statements or comment letters from the SEC or any other regulatory agency. There
are no securities or instruments containing anti-dilution or similar provisions that will be triggered by the issuance of the Securities
as described in this Agreement. The Company has furnished to the Buyer true and correct copies of the Company’s Articles
of Incorporation, as amended and as in effect on the date hereof (the “Articles of Incorporation”), and the
Company’s By-laws, as in effect on the date hereof (the “By-laws”), and the terms of all securities convertible
into or exercisable for Common Stock and the material rights of the holders thereof in respect thereto other than stock options
issued to employees and consultants.

 

    	Exhibit 10-a	PAGE 2

    	 

    

 

(d) Issuance of Securities.
Upon filing of the Certificate of Designation for the Series B Preferred, the Securities will be duly authorized and, upon issuance
in accordance with the terms hereof, shall be duly issued, fully paid and non assessable, free from all taxes, liens and charges
with respect to the issue thereof. The Conversion Shares issuable upon conversion of the Securities have been duly authorized and
reserved for issuance, subject to the Company’s shareholders’ approval of the authorization of additional shares of
Common Stock. Upon conversion or exercise in accordance with the Securities the Conversion Shares will be duly issued, fully paid
and nonassessable.

 

(e) No Conflicts.
Except as disclosed in the SEC Documents, the execution, delivery and performance of the Transaction Documents by the Company and
the consummation by the Company of the transactions contemplated hereby will not (i) result in a violation of the Articles of Incorporation,
any certificate of designations of any outstanding series of preferred stock of the Company or the By-laws or (ii) conflict with
or constitute a default (or an event which with notice or lapse of time or both would become a default) under, or give to others
any rights of termination, amendment, acceleration or cancellation of, any agreement, indenture or instrument to which the Company
or any of its subsidiaries is a party, or result in a violation of any law, rule, regulation, order, judgment or decree (including
federal and state securities laws and regulations) applicable to the Company or any of its subsidiaries or by which any property
or asset of the Company or any of its subsidiaries is bound or affected. Except as disclosed in the SEC Documents, neither the
Company nor its subsidiaries is in violation of any term of or in default under its Articles of Incorporation or By-laws or their
organizational charter or by-laws, respectively, or any material contract, agreement, mortgage, indenture, instrument, judgment,
decree or order or any statute, rule or regulation applicable to the Company or its subsidiaries. The business of the Company and
its subsidiaries is not being conducted, and shall not be conducted in violation of any material law, ordinance, or regulation
of any governmental entity. Except as specifically contemplated by this Agreement and as required under the Securities Act and
any applicable state securities laws, the Company is not required to obtain any consent, authorization or order of, or make any
filing or registration with, any court or governmental agency in order for it to execute, deliver or perform any of its obligations
under or contemplated by this Agreement in accordance with the terms hereof or thereof. Except as disclosed in the SEC Documents,
all consents, authorizations, orders, filings and registrations which the Company is required to obtain pursuant to the preceding
sentence have been obtained or effected on or prior to the date hereof. The Company and its subsidiaries are unaware of any facts
or circumstance, which might give rise to any of the foregoing.

 

(f) SEC
Documents: Financial Statements. The Company has filed all reports, schedules, forms, statements and other documents required
to be filed by it with the SEC under of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)
(all of the foregoing filed prior to the date hereof or filed or amended after the date hereof and all exhibits included therein
and financial statements and schedules thereto and documents incorporated by reference therein, being hereinafter referred to
as the “SEC Documents”). The Company has delivered to the Buyer or its representatives, or made available through
the SEC’s website at http://www.sec.gov, true and complete copies of the SEC Documents. As of their respective dates,
the financial statements of the Company disclosed in the SEC Documents (the “Financial Statements”) complied
as to form in all material respects with applicable accounting requirements and the published rules and regulations of the SEC
with respect thereto. Such financial statements have been prepared in accordance with generally accepted accounting principles,
consistently applied, during the periods involved (except (i) as may be otherwise indicated in such Financial Statements or the
notes thereto, or (ii) in the case of unaudited interim statements, to the extent they may exclude footnotes or may be condensed
or summary statements) and, fairly present in all material respects the financial position of the Company as of the dates thereof
and the results of its operations and cash flows for the periods then ended (subject, in the case of unaudited statements, to
normal year-end audit adjustments). No other information provided by or on behalf of the Company to the Buyer which is not included
in the SEC Documents, including, without limitation, information referred to in this Agreement, contains any untrue statement
of a material fact or omits to state any material fact necessary in order to make the statements therein, in the light of the
circumstances under which they were made, not misleading.

 

    	Exhibit 10-a	PAGE 3

    	 

    

 

(g) 10(b)-5.
The SEC Documents do not include any untrue statements of material fact, nor do they omit to state any material fact required to
be stated therein necessary to make the statements made, in light of the circumstances under which they were made, not misleading.

 

(h) Absence of Litigation.
Except as disclosed in the SEC Documents, there is no action, suit, proceeding, inquiry or investigation before or by any court,
public board, government agency, self-regulatory organization or body pending against or affecting the Company, the Common Stock
or any of the Company’s subsidiaries, wherein an unfavorable decision, ruling or finding would (i) have a material adverse
effect on the transactions contemplated hereby (ii) adversely affect the validity or enforceability of, or the authority or ability
of the Company to perform its obligations under, this Agreement or any of the documents contemplated herein, or (iii) except as
expressly disclosed in the SEC Documents, have a material adverse effect on the business, operations, properties, financial condition
or results of operations of the Company and its subsidiaries taken as a whole.

 

(i) Acknowledgment
Regarding Buyer’s Purchase of the Securities. The Company acknowledges and agrees that the Buyer is acting solely in
the capacity of an arm’s length purchaser with respect to this Agreement and the transactions contemplated hereby. The Company
further acknowledges that the Buyer is not acting as a financial advisor or fiduciary of the Company (or in any similar capacity)
with respect to this Agreement and the transactions contemplated hereby and any advice given by the Buyer or any of their respective
representatives or agents in connection with this Agreement and the transactions contemplated hereby is merely incidental to such
Buyer’s purchase of the Securities or the Conversion Shares. The Company further represents to the Buyer that the Company’s
decision to enter into this Agreement has been based solely on the independent evaluation by the Company and its representatives.

 

(j) No General Solicitation.
Neither the Company, nor any of its affiliates, nor any person acting on its or their behalf, has engaged in any form of general
solicitation or general advertising (within the meaning of Regulation D under the Securities Act) in connection with the offer
or sale of the Securities or the Conversion Shares.

 

(k) No Integrated
Offering. Neither the Company, nor any of its affiliates, nor any person acting on its or their behalf has, directly or indirectly,
made any offers or sales of any security or solicited any offers to buy any security, under circumstances that would require registration
of the Securities or the Conversion Shares under the Securities Act or cause this offering of the Securities or the Conversion
Shares to be integrated with prior offerings by the Company for purposes of the Securities Act.

 

(l) Internal Accounting
Controls. Except as set forth in the SEC Documents, the Company and each of its subsidiaries maintain a system of internal
accounting controls sufficient to provide reasonable assurance that (i) transactions are executed in accordance with management’s
general or specific authorizations, (ii) transactions are recorded as necessary to permit preparation of financial statements in
conformity with generally accepted accounting principles and to maintain asset accountability, and (iii) the recorded amounts for
assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any differences.

 

(m) No Material Adverse
Breaches, etc. Except as set forth in the SEC Documents, neither the Company nor any of its subsidiaries is subject to any
charter, corporate or other legal restriction, or any judgment, decree, order, rule or regulation which in the judgment of the
Company’s officers has or is expected in the future to have a material adverse effect on the business, properties, operations,
financial condition, results of operations or prospects of the Company or its subsidiaries. Except as set forth in the SEC Documents,
neither the Company nor any of its subsidiaries is in breach of any contract or agreement which breach, in the judgment of the
Company’s officers, has or is expected to have a material adverse effect on the business, properties, operations, financial
condition, results of operations or prospects of the Company or its subsidiaries.

 

(n) Tax Status.
There are no unpaid taxes in any material amount claimed to be due by the taxing authority of any jurisdiction, and the officers
of the Company know of no basis for any such claim.

 

(o) Certain Transactions.
Except as set forth in the SEC Documents, and except for arm’s length transactions pursuant to which the Company makes payments
in the ordinary course of business upon terms no less favorable than the Company could obtain from third parties, none of the officers,
directors, or employees of the Company is presently a party to any transaction with the Company (other than for services as employees,
consultants, officers and directors), including any contract, agreement or other arrangement providing for the furnishing of services
to or by, providing for rental of real or personal property to or from, or otherwise requiring payments to or from any officer,
director or such employee or, to the knowledge of the Company, any corporation, partnership, trust or other entity in which any
officer, director, or any such employee has a substantial interest or is an officer, director, trustee or partner.

 

    	Exhibit 10-a	PAGE 4

    	 

    

 

(p) Fees and Rights
of First Refusal. The Company is not obligated to offer the securities offered hereunder on a right of first refusal basis
or otherwise to any third parties including, but not limited to, current or former shareholders of the Company, underwriters, brokers,
agents or other third parties.

 

4. COVENANTS

 

(a) Best Efforts.
Each party shall use its best efforts timely to satisfy each of the conditions to be satisfied by it as provided in Sections 6
and 7 of this Agreement.

 

(b) Form D. The
Company agrees to file a Form D with respect to the Securities as required under Regulation D and to provide a copy thereof to
Buyer promptly after such filing. The Company shall, on or before the Closing Date, take such action as the Company shall reasonably
determine is necessary to qualify the Securities, or obtain an exemption for the Securities, for sale to the Buyer at the Closings
pursuant to this Agreement under applicable securities or “Blue Sky” laws of the states of the United States, and shall
provide evidence of any such action so taken to the Buyer on or prior to the Initial Closing Date.

 

(c) Reporting Status.
Until the earlier of (i) the date as of which the Buyer may sell all of the Conversion Shares without restriction pursuant to Rule
144 promulgated under the Securities Act (or successor thereto), or (ii) the date on which (A) the Buyer shall have sold all the
Conversion Shares and (B) none of the Securities are outstanding (the “Registration Period”), the Company shall
file in a timely manner all reports required to be filed with the SEC pursuant to the Exchange Act and the regulations of the SEC
thereunder, and the Company shall not terminate its status as an issuer required to file reports under the Exchange Act even if
the Exchange Act or the rules and regulations thereunder would otherwise permit such termination.

 

(d) Reservation of
Shares. The Company shall take all action reasonably necessary to at all times have authorized, and reserved for the purpose
of issuance, such number of shares of Common Stock as shall be necessary to effect the issuance of all of the Conversion Shares
due to Buyer upon conversion of any derivative security now or hereinafter held by Buyer, including, without limitation, the Series
B Preferred. A default event under this Agreement and the Series B Preferred shall occur if the Company does not have available
such number of shares of Common Stock as shall be necessary to effect the issuance of all of the Conversion Shares due to Buyer
upon conversion of the Series B Preferred for a period of greater than 45 consecutive days commencing 90 days after the Closing
Date.

 

(e) Listings or Quotation.
The Company shall maintain the Common Stock’s authorization for quotation on the OTCQB.

 

(f) Fees and Expenses.
Except as otherwise provided in the letter agreement between the Company and Buyer dated October 28, 2013, each of the Company
and the Buyer shall pay all costs and expenses incurred by such party in connection with the negotiation, investigation, preparation,
execution and delivery of the Transaction Documents.

 

(g) Corporate Existence.
So long as any of the Securities remain outstanding, the Company shall not directly or indirectly consummate any merger, reorganization,
restructuring, reverse stock split consolidation, recertification of shares, cusip change, name change, trading symbol change,
or sale of all or substantially all of the Company’s assets or any similar transaction or related transactions (each such
transaction, an “Organizational Change”) unless, prior to the consummation an Organizational Change, the Company
obtains the written consent of Buyer. In any such case, the Company will make appropriate provision with respect to such holders’
rights and interests to insure that the provisions of this Section 4(g) will thereafter be applicable to the Securities.

 

(h) Transactions
With Affiliates. So long as any Securities are outstanding, the Company shall not, and shall cause each of its subsidiaries
not to, enter into, amend, modify or supplement, or permit any subsidiary to enter into, amend, modify or supplement any agreement,
transaction, commitment, or arrangement with any of its or any subsidiary’s officers, directors, person who were officers
or directors at any time during the previous two (2) years, stockholders who beneficially own five percent (5%) or more of the
Common Stock, or Affiliates (as defined below) or with any individual related by blood, marriage, or adoption to any such individual
or with any entity in which any such entity or individual owns a five percent (5%) or more beneficial interest (each a “Related
Party”), except for (a) customary employment and consulting arrangements and benefit programs on reasonable terms, (b)
any agreement, transaction, commitment, or arrangement on an arms-length basis on terms no less favorable than terms which would
have been obtainable from a person other than such Related Party, (c) any agreement transaction, commitment, or arrangement which
is approved by a majority of the disinterested directors of the Company (for purposes hereof, any director who is also an officer
of the Company or any subsidiary of the Company shall not be a disinterested director with respect to any such agreement, transaction,
commitment, or arrangement). “Affiliate” for purposes hereof means, with respect to any person or entity, another
person or entity that, directly or indirectly, (i) has a ten percent (10%) or more equity interest in that person or entity, (ii)
has ten percent (10%) or more common ownership with that person or entity, (iii) controls that person or entity, or (iv) shares
common control with that person or entity. “Control” or “controls” for purposes hereof means
that a person or entity has the power, direct or indirect, to conduct or govern the policies of another person or entity.

 

    	Exhibit 10-a	PAGE 5

    	 

    

 

(i) Transfer Agent.
The Company covenants and agrees that, in the event that the Company’s agency relationship with the transfer agent should
be terminated for any reason prior to a date which is two (2) years after the Closing Date, the Company shall immediately appoint
a new transfer agent and shall require that the new transfer agent execute and agree to be bound by the terms of the Transfer Agent
Instructions (as defined herein).

 

(j) Current Filings.
The Company shall file all reports required under Section 13 of the Securities Exchange Act of 1934 within the time parameters
mandated by the Rules of the Securities and Exchange Commission.

 

(k) Further Assurances;
Cooperation. The Company shall use its best efforts to cooperate with the Company and to diligently perform under the Transaction
Documents. At and after the Closing, the Company shall execute and deliver such further instruments of conveyance and transfer
as Buyer may reasonably request to convey and transfer effectively to Buyer the Securities and any and all amounts and shares of
Common Stock due and payable thereunder.

 

(l) Use of Proceeds.
The Company shall apply the proceeds of sale of the Securities to the uses set forth on Appendix 4(l) hereto.

 

5. TRANSFER AGENT
INSTRUCTIONS

 

(a) The Company shall
issue the Transfer Agent Instructions to its transfer agent in the form attached hereto as Exhibit C for the purpose
of having certificates issued, registered in the name of the Buyer or its respective nominee(s), for the Conversion Shares representing
such amounts of Securities as specified from time to time by the Buyer to the Company upon conversion of the Securities.

 

(b) The Company shall
not change its transfer agent without the express written consent of the Buyer, which may be withheld by the Buyer in its sole
discretion.

 

(c) The Company warrants
that no instruction contrary to the Transfer Agent Instructions referred to in this Section 5 will be given by the Company to its
transfer agent and that the Conversion Shares shall otherwise be freely transferable on the books and records of the Company as
and to the extent provided in this Agreement.

 

(d) Nothing in this
Section 5 shall affect in any way the Buyer’s obligations and agreement to comply with all applicable securities laws upon
resale of Conversion Shares. If the Buyer provides the Company with an opinion of counsel, in form, scope and substance customary
for opinions of counsel in comparable transactions to the effect that registration of a resale by the Buyer of any of the Conversion
Shares is not required under the Securities Act, the Company shall within two (2) business days instruct its transfer agent to
issue one or more certificates in such name and in such denominations as specified by the Buyer; provided, however, that if the
Company’s common stock is eligible for DWAC delivery, the Conversion Shares will be delivered by DWAC.

 

(e) The Company acknowledges
that a breach by it of its obligations hereunder will cause irreparable harm to the Buyer by vitiating the intent and purpose of
the transaction contemplated hereby. Accordingly, the Company acknowledges that the remedy at law for a breach of its obligations
under this Section 5 will be inadequate and agrees, in the event of a breach or threatened breach by the Company of the provisions
of this Section 5, that the Buyer shall be entitled, in addition to all other available remedies, to an injunction restraining
any breach and requiring immediate issuance and transfer, without the necessity of showing economic loss and without any bond or
other security being required.

 

    	Exhibit 10-a	PAGE 6

    	 

    

 

6. CONDITIONS TO
THE COMPANY’S OBLIGATION TO SELL

 

The obligation of the Company
hereunder to issue and sell the Securities to the Buyer at the Closings is subject to the satisfaction, at or before the Initial
Closing Date and each Subsequent Closing Date, of each of the following conditions, provided that these conditions are for the
Company’s sole benefit and may be waived by the Company at any time in its sole discretion: (a) Buyer shall have executed
this Agreement and delivered it to the Company; and (b), Buyer shall have delivered to the Company the portion of the Purchase
Price payable at the relevant Closing.

 

7. CONDITIONS TO
THE BUYER’S OBLIGATION TO PURCHASE

 

The obligation of the Buyer
hereunder to purchase the Securities and to pay the Purchase Price pursuant to Section 1(b) hereof is subject to the satisfaction,
at or before the Initial Closing Date and each Subsequent Closing Date, of each of the following conditions:

 

(a) The Company shall
have executed that certain consulting agreement (“Consulting Agreement”) with Core Strategic Services, LLC (“CSS”)
and delivered it to the Buyer.

 

(b) The representations
and warranties of the Company shall be true and correct in all material respects as of the date when made and as of the relevant
Closing Date as though made at that time (except for representations and warranties that speak as of a specific date). The Company
shall have performed, satisfied and complied in all material respects with the covenants, agreement and conditions required by
this Agreement to be performed, satisfied or complied with by the Company at or prior to the relevant Closing Date. If requested
by the Buyer, the Buyer shall have received a certificate, executed by the President of the Company to the foregoing effect and
as to such other matters as may be reasonably requested by the Buyer.

 

(c) The Company shall
have executed and delivered to the Buyer the Securities.

 

(d) If requested, the
Company shall have provided to the Buyer a certificate of good standing.

 

(e) The Transfer Agent
Instructions, in form and substance satisfactory to the Buyer, shall have been delivered to and acknowledged in writing by the
Company’s transfer agent.

 

(f) The Company shall
not be in material breach of any contract between the Company and Buyer other than this Agreement.

 

(g) The Company shall
have completed the license agreement with E-Motion Apparel, Inc. to the satisfaction of the Buyer.

 

8. INDEMNIFICATION

 

(a) In consideration
of the Buyer’s execution and delivery of this Agreement and acquiring the Securities and the Conversion Shares hereunder,
and in addition to all of the Company’s other obligations under this Agreement, the Company shall defend, protect, indemnify
and hold harmless the Buyer and each other holder of the Securities and the Conversion Shares, and all of their officers, directors,
employees and agents (including, without limitation, those retained in connection with the transactions contemplated by this
Agreement) (collectively, the “Buyer Indemnitees”) from and against any and all actions, causes of action, suits,
claims, losses, costs, penalties, fees, liabilities and damages, and expenses in connection therewith (irrespective of whether
any such Buyer Indemnitee is a party to the action for which indemnification hereunder is sought), and including reasonable attorneys’
fees and disbursements (the “Indemnified Liabilities”), incurred by the Buyer Indemnitees or any of them as
a result of, or arising out of, or relating to (a) any misrepresentation or breach of any representation or warranty made by the
Company in this Agreement, the other Transaction Documents or any other certificate, instrument or document contemplated hereby
or thereby, (b) any breach of any covenant, agreement or obligation of the Company contained in this Agreement, the other Transaction
Documents or any other certificate, instrument or document contemplated hereby or thereby, or (c) any cause of action, suit or
claim brought or made against such Indemnitee and arising out of or resulting from the execution, delivery, performance or enforcement
of this Agreement or any other instrument, document or agreement executed pursuant hereto by any of the Indemnities, any transaction
financed or to be financed in whole or in part, directly or indirectly, with the proceeds of the issuance of the Securities or
the status of the Buyer or holder of the Securities the Conversion Shares, as a Buyer of Securities in the Company. To the extent
that the foregoing undertaking by the Company may be unenforceable for any reason, the Company shall make the maximum contribution
to the payment and satisfaction of each of the Indemnified Liabilities, which is permissible under applicable law.

 

    	Exhibit 10-a	PAGE 7

    	 

    

 

9. GOVERNING LAW:
MISCELLANEOUS

 

(a) Restrictions
on Conversion. Buyer agrees that, notwithstanding the rights of conversions set forth in the Certificate of Designation of
the Series B Preferred, Buyer shall not be entitled to convert the Shares at any time when Buyer is the holder of any other instrument
convertible into Common Stock of the Company. This covenant will bind Buyer only, and shall not restrict any person to whom Buyer
transfers any of the Shares. Buyer may revoke this agreement at any time by giving written notice of revocation to the Company
no less than 65 days prior to the effective date of the revocation.

 

(b) Governing Law.
This Agreement shall be governed by and interpreted in accordance with the laws of the State of New Jersey, without regard to the
principles of conflict of laws. The Company and the Buyer expressly consent to the jurisdiction and venue of the Superior Court
of New Jersey, Bergen County, for any litigation between the parties.

 

(c) Specific Performance.
The parties hereto recognize that any breach of the terms this Agreement may give rise to irreparable harm for which money damages
would not be an adequate remedy, and accordingly agree that any non-breaching party shall be entitled to enforce the terms of this
Agreement by a decree of specific performance without the necessity of proving the inadequacy as a remedy of money damages. If
specific performance is elected as a remedy hereunder, such remedy shall be in addition to any other remedies available at law
or equity.

 

(d) Counterparts.
This Agreement may be executed in two or more identical counterparts, all of which shall be considered one and the same agreement
and shall become effective when counterparts have been signed by each party and delivered to the other party. In the event any
signature page is delivered by facsimile transmission, the party using such means of delivery shall cause four (4) additional original
executed signature pages to be physically delivered to the other party within five (5) days of the execution and delivery hereof.

 

(e) Headings; Severability.
The headings of this Agreement are for convenience of reference and shall not form part of, or affect the interpretation of, this
Agreement. If any provision of this Agreement shall be invalid or unenforceable in any jurisdiction, such invalidity or unenforceability
shall not affect the validity or enforceability of the remainder of this Agreement in that jurisdiction or the validity or enforceability
of any provision of this Agreement in any other jurisdiction.

 

(f) Entire Agreement,
Amendments. This Agreement supersedes all other prior oral or written agreements between the Buyer, the Company, their affiliates
and persons acting on their behalf with respect to the matters discussed herein, and this Agreement and the instruments referenced
herein contain the entire understanding of the parties with respect to the matters covered herein and therein and, except as specifically
set forth herein or therein, neither the Company nor any Buyer makes any representation, warranty, covenant or undertaking with
respect to such matters. No provision of this Agreement may be waived or amended other than by an instrument in writing signed
by the party to be charged with enforcement.

 

(g) Notices.
Any notices, consents, waivers, or other communications required or permitted to be given under the terms of this Agreement must
be in writing and will be deemed to have been delivered (i) upon receipt, when delivered personally; (ii) upon confirmation of
receipt, when sent by facsimile; (iii) three (3) days after being sent by U.S. certified mail, return receipt requested, or (iv)
one (1) day after deposit with a nationally recognized overnight delivery service, in each case properly addressed to the party
to receive the same. Each party shall provide five (5) days’ prior written notice to the other party of any change in address
or facsimile number.

 

(h) Successors and
Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective successors and assigns.
Neither the Company nor any Buyer shall assign this Agreement or any rights or obligations hereunder without the prior written
consent of the other party hereto.

 

(i) No Third Party
Beneficiaries. This Agreement is intended for the benefit of the parties hereto and their respective permitted successors and
assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other person.

 

(j) Publicity.
The Company shall issue no press release or public disclosure involving the Transaction Documents and/or the Financing, other than
in filings required by the Exchange Act, in the absence of the Buyer’s prior written consent.

 

    	Exhibit 10-a	PAGE 8

    	 

    

 

(k) Further Assurances.
Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall execute and deliver
all such other agreements, certificates, instruments and documents, as the other party may reasonably request in order to carry
out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated hereby.

 

(l) Termination.
In the event that the Closing shall not have occurred with respect to the Buyer on or before five (5) business days from the date
hereof due to the Company’s or the Buyer’s failure to satisfy the conditions set forth in Sections 6 and 7 above (and
the non-breaching party’s failure to waive such unsatisfied condition(s)), the non-breaching party shall have the option
to terminate this Agreement with respect to such breaching party at the close of business on such date without liability of any
party to any other party; provided, however, that if this Agreement is terminated by the Company pursuant to this Section 9, the
Company shall remain obligated to reimburse the Buyer for $25,000 in fees and expenses.

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK

- SIGNATURE PAGE FOLLOWS]

 

    	Exhibit 10-a	PAGE 9

    	 

    

 

IN WITNESS WHEREOF the parties have
duly executed, or caused their duly authorized representative, to execute this Securities Purchase Agreement.

 

	 	 	 	112359 FACTOR FUND, LLC
	 	 	 	 	 
	 	 	 	By:	/s/ Mary
    Carroll
	 	 	 	Name:	Mary Carroll
	 	 	 	Title:	Manager
	 	 	 	 	 
	BITZIO, INC.	 	 	 
	 	 	 	 	 
	By:	/s/ Hubert
    Blanchette	 	 	 
	Name:	Hubert Blanchette	 	 	 
	Title:	Chief Executive Officer	 	 	 

 

    	Exhibit 10-a	PAGE 10EXHIBIT 10-b

 

EXCHANGE AGREEMENT

 

This EXCHANGE AGREEMENT (the
“Agreement”) dated as of NOVEMBER 18, 2013 (the “Effective Date”)
by and between 112359 FACTOR FUND, LLC (the “Buyer”) and BITZIO,
INC. (the “Company” and, together with Buyer, the “Parties”) as follows:

 

WHEREAS,
on __________________, the Company issued a senior secured convertible debenture to ____________ (“Original Holder”)
with an original principal balance of $____________ (“Debenture”), in exchange for Original Holder’s agreement
to pay Company $_____________ in cash (“Original Purchase Price”);

 

WHEREAS, the Company’s
obligations under the Debenture are currently in default, and the Buyer is unable to cure the default;

 

WHEREAS, Buyer purchased the
Debenture from Original Holder on even date herewith and has requested Company to issue Buyer an amended and restated debenture
in substantially the form of debenture attached hereto in Exhibit A (the “A&R Debenture”)
in exchange for the obligations set forth in the Debenture (each, an “Obligation”), with an aggregate principal
balance of $___________, and convertibility into common stock at a rate equal to 100% of the average of the five lowest closing
prices for Company common stock for the 30 trading days prior to conversion; and,

 

WHEREAS, Company desires to issue
the A&R Debenture to the Buyer in exchange for the Debenture on the basis of the terms and conditions hereof.

 

NOW, THEREFORE, in consideration
of the mutual promises and covenants hereinafter set forth, and for other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the Parties hereby agree as follows:

 

 1. Purchase of Debenture

 

1.1 Exchange.
Effective as of the Effective Date, all of Buyer’s right, title and interest in, to and under the Debenture shall be exchanged
for the A&R Debenture.

 

1.2 Closing
Deliveries. Immediately following the execution hereof, but in no event more than 2 (two) days following such date (the “Closing
Date”), Buyer shall deliver the Debenture to Company and the Company shall deliver the A&R Debenture to Buyer. The
Company shall also deliver the fully executed Security Agreement in the form annexed hereto as Appendix A and the fully
executed Pledge Agreement in the form annexed hereto as Appendix B, together with all deliverables described in said agreements.

 

1.3 The Closing.
The purchase and sale of the Debenture contemplated hereunder (the “Closing”), including the delivery of all
deliveries in this Section 1, shall take place on the Closing Date at the offices of Buyer; provided, however, that the Parties
agree that Closing may take place by mail or overnight delivery.

 

2. Right
of First Refusal. In the event that the Company intends to issue additional securities
in exchange for additional financing at any time prior to the date upon which all amounts due under any debt now or hereinafter
held by Buyer, including, without limitation, the 59FF Debentures (each, a “Proposed Financing”), the Company hereby
grants Buyer the right of first refusal (“ROFR”) to participate in whole or in part in the Proposed Financing and
to purchase any portion to all of the Proposed Securities on terms that are at least as favorable to Buyer as to any third party
that has offered to participate in the Proposed Financing; provided, however, that (i) Buyer shall issue Company a written notice
confirming Buyer’s exercise of its ROFR and intention to participate in such Proposed Financing subject to execution of
mutually agreeable definitive agreements (“ROFR Exercise Notice”) within no more than fifteen (15) days of Buyer’s
receipt of the Company’s written notice in respect of each such Proposed Financing (“ROFR Notice”), which notice
shall include a copy of any third party proposals received by Company in connection with such Proposed Financing; and, that (ii)
Buyer shall forfeit its right to participate in the specific Proposed Financing described in the Company’s ROFR Notice if
Buyer fails to provide its timely ROFR Exercise Notice for any such Proposed Financing.

 

    	PAGE 1

    	 

    

 

 3. Miscellaneous

 

3.1. Limitation
of Liability. Neither Party shall be liable for special, indirect, incidental, consequential, or punitive damages of the other
or for any form of damages (even if advised of the possibility thereof) other than direct damages arising out of or in connection
with this Agreement or the subject matter hereof.

 

3.2. Expenses.
Each Party hereto shall pay its own expenses incurred in connection with this Agreement and in the preparation for and consummation
of the transactions provided for herein.

 

3.3. Entire
Agreement; Amendment. This Agreement supersedes any and all prior and contemporaneous agreements, understandings, negotiations
and discussions amongst any of the Parties hereto (including amongst any members, shareholders, employees, agents, representatives,
officers and/or directors of the Parties), whether oral or written. No amendment, supplement, modification, waiver or termination
of this Agreement shall be binding unless executed in writing by all Parties hereto, or in the case of a waiver, by the Party for
whom such benefit was intended.

 

3.4. Assigns.
This Agreement shall be binding upon and inure to the benefit of, and be enforceable against, the Parties hereto and their respective
predecessors, successors and assigns. This Agreement, including all rights and obligations hereunder, shall be assignable by any
Party hereto upon written notice to the other Parties.

 

3.5. Governing
Law. This Agreement shall be governed by and interpreted in accordance with the laws of the State of New Jersey, without
regard to the principles of conflict of laws. The Company and the Buyer expressly consent to the jurisdiction and venue of the
Superior Court of New Jersey, Bergen County, for any litigation between the parties.

 

3.6. Waivers.
Compliance with the provisions hereof may be waived only by an instrument in writing executed by the Party granting the waiver.
The failure of any Party at any time or times to require performance of any provisions of this Agreement shall in no manner affect
the right of such Party at a later time to enforce the same or any other provision of this Agreement. No waiver of any condition
or of the breach of any term contained in this Agreement in one or more instances shall be deemed to be or be construed as a further
or continuing waiver of such condition or breach or of any other condition or of the breach of any other term of this Agreement.

 

3.7. Further
Assurances; Cooperation. At and after the Closing, the Company will execute and deliver such further instruments of conveyance
and transfer as Buyer and/or its assign(s) may reasonably request to give effect to the terms hereof.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT
BLANK

- SIGNATURE PAGE FOLLOWS]

 

    	PAGE 2

    	 

    

 

IN WITNESS WHEREOF the Parties
have duly executed, or caused their duly authorized representative, to execute this Agreement.

 

	COMPANY:	 
	 	 
	BITZIO, INC.	 
	 	 	 
	By:		 
	Name:	Hubert Blanchette	 
	Title:	Chief Executive Officer	 
	 	 	 
	BUYER:	 
	 	 
	112359 FACTOR FUND, LLC	 
			 
	By:		 
	Name:	Mary Carroll	 
	Title:	Manager	 

 

    	PAGE 3

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