Document:

EXHIBIT 4.7

                          SECURITIES PURCHASE AGREEMENT

                                 BY AND BETWEEN

                                  NUCLEUS, INC.

                                     AND THE

                                   PURCHASERS

                                  NAMED HEREIN

                               AS OF MARCH 1, 2000

THE SECURITIES OFFERED HEREBY HAVE NOT BEEN REGISTERED WITH THE SECURITIES AND
EXCHANGE COMMISSION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), OR
THE SECURITIES COMMISSION OF ANY STATE UNDER ANY STATE SECURITIES LAW. THEY ARE
BEING OFFERED PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER REGULATION D
("REGULATION D") PROMULGATED UNDER THE ACT. THE SECURITIES MAY NOT BE OFFERED,
SOLD OR OTHERWISE TRANSFERRED UNLESS THE SECURITIES ARE REGISTERED UNDER THE ACT
AND APPLICABLE STATE SECURITIES LAWS, OR SUCH OFFERS, SALES AND TRANSFERS ARE
MADE PURSUANT TO AVAILABLE EXEMPTIONS FROM THE REGISTRATION REQUIREMENTS OF
THOSE LAWS.

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                          SECURITIES PURCHASE AGREEMENT

     THIS SECURITIES PURCHASE AGREEMENT (the "Agreement" or the "Purchase
Agreement") is entered into as of March 1, 2000, by and between NUCLEUS, INC., a
Nevada corporation (the "Company"), and each of the undersigned (each a
"Purchaser" and collectively the "Purchasers").

                                R E C I T A L S:

     WHEREAS, the Company is offering (the "Offering") for sale in a private
placement pursuant to Section 4(2) of the Securities Act of 1933, as amended
(the "Act"), and Regulation D thereunder ("Regulation D"), a maximum of
$6,200,000 principal amount of promissory notes of the Company (the "Senior
Bridge Notes") and shares of the Company's Common Stock, par value $.001 per
share (the "Common Stock"); and

     WHEREAS, each Purchaser wishes to subscribe for and receive a Senior
Bridge Note and Common Stock in accordance with the terms and conditions of this
Agreement.

     NOW, THEREFORE, for good and valuable consideration, the receipt of
which is hereby acknowledged, the parties hereto hereby agree as follows:

     1.   SUBSCRIPTION AND CLOSING

          1.1  PURCHASE. Subject to the terms and conditions of this
Agreement, the Purchasers hereby agree to purchase from the Company, and the
Company hereby agrees to issue and sell to the Purchasers (a) Senior Bridge
Notes upon the terms set forth in the form of Promissory Note attached as
Exhibit A, which terms are incorporated herein by reference and made a part
hereof, and (b) shares of Common Stock (the "Shares"). The aggregate principal
amount of Senior Bridge Notes, the number of Shares and the purchase price
therefor for each Purchaser shall be as indicated on Schedule 1.1 hereto.
Section 5.4 below sets forth the method of calculation of the number of Shares
to be issued to each Purchaser as of the Closing and the potential issuance of
additional shares of Common Stock on the Maturity Date of the Senior Bridge
Notes.

          1.2  ESCROW OF FUNDS.

               (a)  All funds received from Purchasers shall be
          deposited in an escrow account with Bank of America (the "Escrow
          Agent"). Funds in the escrow account shall only be released to the
          Company at Closing if subscription for a minimum of $3,000,000
          principal amount of Senior Bridge Notes have been received. Subsequent
          to the Closing, the Company may continue to offer Senior Bridge Notes
          and Shares until April 1, 2000 or until subscription for a maximum of
          $6,200,000 principal amount of Senior Bridge Notes or Shares have been
          received.

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               (b)  In the event that the minimum amount of Senior
          Bridges Notes is not subscribed for by the Closing, all funds
          collected to date by the Escrow Agent will be returned to the
          Purchaser without interest and no Senior Bridge Notes or Shares will
          be issued. All funds will be promptly refunded to Purchasers.

               (c)  Subscriptions held in the escrow account may be
          revoked at any time prior to the Closing; provided, that written
          notice of the revocation is sent by certified or registered mail,
          return receipt requested, and is received by the Company at least two
          (2) business days prior to the Closing. In the event any such
          revocation is made by a Purchaser, such Purchaser's funds shall be
          promptly refunded without interest.

          1.3  PAYMENT OF PURCHASE PRICE AND DELIVERY OF SHARES AND SENIOR
BRIDGE NOTES. Payment of the purchase price for the Senior Bridge Notes and
Shares, and delivery of the Senior Bridge Notes and Shares by the Company (the
"Closing"), shall occur upon the execution hereof or at such other date, time
and place as the parties shall mutually agree in writing. The purchase price for
the Senior Bridge Notes shall be the principal amount of Senior Bridge Notes
purchased by each Purchaser and the purchase price for the Shares shall be $.001
per Share. The aggregate purchase price for the Senior Bridge Notes and the
Shares is payable by wire transfer of immediately available funds. Certificates
for the Senior Bridge Notes and Shares will be issued in the name of each of the
Purchasers not later than five (5) Business Days (as defined) from the Closing.

          1.4  MULTIPLE PURCHASES.  This Agreement may be executed by one or
more Purchasers. In the event this Agreement pertains to a purchase by a single
Purchaser, all references to the Purchasers or "each Purchaser" shall be deemed
to refer to such single Purchaser.

     2.   REPRESENTATIONS, WARRANTIES AND COVENANTS OF COMPANY

     The Company represents and warrants to and covenants with the
Purchasers as follows:

          2.1  ORGANIZATION, GOOD STANDING, AND QUALIFICATION.

               (a)  The Company is a corporation duly organized, validly
          existing and in good standing under the laws of the State of Nevada
          and has all requisite corporate power and authority to carry on its
          business as now conducted and as proposed to be conducted. The Company
          is duly qualified to transact business and is in good standing in each
          jurisdiction in which the failure to so qualify would have a material
          adverse effect on the business or properties of the Company and its
          subsidiaries taken as a whole.

               (b)  Each subsidiary of the Company is a corporation duly
          organized, validly existing and in good standing under the laws of its
          state of incorporation and has all requisite corporate power and
          authority to carry on its business as now conducted and as proposed to
          be conducted. Each such subsidiary is duly qualified

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          to transact business and is in good standing in each jurisdiction in
          which the failure to so qualify would have a material adverse effect
          on the business or properties of such subsidiary.

          2.2  AUTHORIZATION. All corporate action on the part of the Company,
its officers, directors and shareholders necessary for the authorization,
execution and delivery of this Agreement, and the performance of all obligations
of the Company hereunder and the authorization, issuance and delivery of the
Senior Bridge Notes, the Shares and shares of Common Stock issuable upon
conversion of the Senior Bridge Notes (the "Convertible Shares," and together
with the Shares, the Additional Shares (as herein defined) and the Senior Bridge
Notes, the "Securities"), has been taken.

          2.3  AGREEMENT. This Agreement has been duly executed and
delivered by the Company and, assuming due authorization, execution and delivery
of this Agreement by the Purchaser, is a valid and binding obligation of the
Company, enforceable against the Company in accordance with its terms.

          2.4  VALID ISSUANCE OF SENIOR BRIDGE NOTES AND OTHER SECURITIES.
When issued and delivered in accordance with the terms of this Agreement, the
Senior Bridge Notes, the Shares, the Additional Shares and the Convertible
Shares will be duly and validly issued and outstanding, fully paid and
non-assessable, free and clear of any claims or pre-emptive rights, and
(assuming the representations and warranties of the Purchaser herein are true
and correct in all material respects) will have been issued in compliance with
all applicable federal and state securities law.

          2.5  SEC REPORTS. The Company has timely filed all forms, reports and
documents with the Securities and Exchange Commission (the "Commission") since
January 1, 1998, required to be filed by it under the Securities Exchange Act of
1934, as amended (the "1934 Act"), through the date hereof (collectively, the
"SEC Reports"). Such SEC Reports, at the time filed, complied as to form in all
material respects with the requirements of the 1934 Act.

          2.6  CURRENT PUBLIC INFORMATION. The Company's Common Stock is
registered under Section 12(b) or 12(g) of the Act. The Company has delivered to
the Purchaser copies of the Company's most recent annual report on Form 10-KSB
(the "Annual Report"), each Quarterly Report on Form 10-QSB since the date of
its Annual Report, the most recent proxy statement for its Annual Meeting of
Shareholders, and each interim report on Form 8-K filed by the Company since the
date of its Annual Report. The Company has also delivered to each Purchaser a
Private Placement Memorandum dated February 7, 2000 relating to its Common Stock
(the "Private Placement Memorandum"). The information concerning the Company set
forth in any of the SEC reports and in the Private Placement Memorandum does
not, as of their respective dates, contain a misrepresentation of a material
fact or omit to state any fact required to make the statements contained therein
not misleading in any material respect. Since the date of the Private Placement
Memorandum there has been no Material Adverse Effect (as defined below) in
respect of the Company, except as disclosed on Schedule 2.6 annexed hereto.

          2.7  NO CONFLICTS.  The execution and delivery of this Agreement and
the consummation of the transactions contemplated hereby does not and will not
conflict with or result

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in a breach by the Company of any of the terms or provisions of, or constitute a
default under, the Certificate of Incorporation or bylaws of the Company, or any
indenture, mortgage, deed of trust or other agreement or instrument to which the
Company is a party or by which it or any of its properties or assets are bound,
or any existing applicable decree, judgment or order of any court, federal or
state regulatory body, administrative agency or other governmental body having
jurisdiction over the Company or any of its properties or assets.

          2.8  COMPLIANCE WITH LAWS. As of the date hereof, the conduct
of the business of the Company complies in all material respects with all
statutes, laws, regulations, ordinances, rules, judgments, orders or decrees
applicable thereto, except for non-compliance which would not have a material
adverse effect on the business, properties, condition (financial or otherwise),
results of operations or prospects of the Company (a "Material Adverse Effect").
The Company has not received notice of any alleged violation of any statute,
law, regulation, ordinance, rule, judgment, order or decree from any
governmental authority, which could have a Material Adverse Effect.

          2.9  LITIGATION. Except as disclosed in the SEC Reports, there
is no action, suit or proceeding before or by any court or governmental agency
or body, domestic or foreign, now pending or, to the knowledge of the Company,
threatened, against or affecting the Company, or any of its properties, which
could reasonably be expected to result in any Material Adverse Effect or which
could reasonably be expected to interfere with the Company's ability to
consummate the transactions contemplated by this Agreement.

          2.10 PRIOR PRIVATE PLACEMENTS. The offer and sale of the Securities
are exempt from registration under Section 5 of the Act. Neither the Company nor
any person acting on its behalf has taken or will take any action (including,
without limitation, any offering of any securities of the Company under
circumstances which would require the integration of such offering with the
offering of the Securities) which would subject the offering or issuance or sale
of the Securities to the registration requirements of Section 5 of the Act.

          2.11 COMMISSIONS. Except for the payment to Cruttenden Roth
Incorporated of (i) a cash fee equal to ten percent (10%) of the aggregate
principal amount of Senior Bridge Notes (5% in the case of Purchasers introduced
by the Company) and (ii) warrants to purchase shares of Common Stock equal to
ten percent (10%) (5% in the case of Purchasers introduced by the Company) of
the Shares sold in this offering, with an exercise price equal to the closing
bid price of the Common Stock as of the Closing. No person, firm or corporation
will be entitled to receive any brokerage fee, commission or other similar
payment from the Company in connection with the consummation of the transactions
contemplated hereby and the Company shall not make any such payment to any
person, firm or corporation.

     3.   REPRESENTATIONS AND WARRANTIES OF PURCHASERS; ACCESS TO INFORMATION;
INDEPENDENT INFORMATION; INDEPENDENT INVESTIGATION

     Each Purchaser represents and warrants to the Company as follows:

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          3.1  INDEPENDENT INVESTIGATION. Each Purchaser, in offering to
purchase the Securities hereunder, has, prior to the date hereof, been given
access to and the opportunity to examine all books, records and material
contracts and documents of the Company and to meet with and ask questions of the
Company's management. In making its investment decision to purchase the
Securities, no Purchaser is relying on any oral or written representations or
assurances from the Company or any other person or any representation of the
Company or any other person other than as set forth in this Agreement, the SEC
Reports or in a document executed by a duly authorized representative of the
Company making reference to this Agreement. Each Purchaser has such experience
in business and financial matters that it is capable of evaluating the risk of
its investment and determining the suitability of its investment. Each Purchaser
is a sophisticated investor, as defined in Rule 506(b)(2)(ii) of Regulation D
under the Act, and an "accredited investor" as defined in Rule 501 of Regulation
D under the Act.

          3.2  ECONOMIC RISK. Each Purchaser understands and acknowledges
that an investment in the Securities involves a high degree of risk, including a
possible total loss of investment. Each Purchaser represents that it is able to
bear the economic risk of an investment in the Securities.

          3.3  NO GOVERNMENT RECOMMENDATION OR APPROVAL. Each Purchaser
understands that no federal or state agency or similar agency of any other
country has passed upon or made any recommendation or endorsement of the
Company, this transaction or the subscription of the Securities.

          3.4  NO REGISTRATION. Each Purchaser understands that the
Securities have not been registered under the Act and are being offered and sold
pursuant to an exemption from registration contained in the Act based in part
upon the representations of the Purchasers contained herein. The Shares and
Convertible Shares do, however, carry certain registration rights as set forth
in the Registration Rights Agreement in the form of Exhibit B annexed hereto,
dated the date hereof and executed by the parties hereto in connection herewith
(the "Registration Rights Agreement").

          3.5  NO PUBLIC SOLICITATION.  Without conducting any independent
investigation, no Purchaser knows of any public solicitation or advertisement of
an offer in connection with the proposed issuance and sale of the Securities.

          3.6  INVESTMENT INTENT. Each Purchaser is acquiring the Securities for
its own account, for investment and not with a view to the distribution thereof.
Each Purchaser understands that except as set forth in the Registration Rights
Agreement, the Company has no present intention of registering any such sale of
the Securities. Each Purchaser represents and warrants to the Company that it
has made no predetermined arrangements to sell the Securities (other than the
registration provisions contained in the Registration Rights Agreement, which
pertain only to a potential method of disposing of the Shares and Convertible
Shares).

          3.7  INCORPORATION AND AUTHORITY.  Each Purchaser has the full power
and authority to execute, deliver and perform this Agreement and to perform its
obligations hereunder. The Agreement has been duly approved by all necessary
action of each Purchaser, including any

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necessary shareholder approval, has been executed by persons duly authorized by
each Purchaser, and constitutes a valid and legally binding obligation of each
Purchaser, enforceable in accordance with its terms.

          3.8  NO RELIANCE ON TAX ADVICE. Each Purchaser has reviewed
with its own tax advisors the foreign, federal, state and local tax consequences
of this investment, where applicable, and the transactions contemplated by this
Agreement. Each Purchaser is relying solely on such advisors and not on any
statements or representations of the Company or any of its agents and
understands that each Purchaser (and not the Company) shall be responsible for
its own income tax liability that may arise as a result of this investment or
the transactions contemplated by this Agreement.

          3.9  INDEPENDENT LEGAL ADVICE. Each Purchaser acknowledges that
it has had the opportunity to review this Agreement and the transactions
contemplated by this Agreement with its own legal counsel. The Purchaser is
relying solely on such counsel and not on any statements or representations of
the Company or any of its agents for legal advice with respect to this
investment or the transactions contemplated by this Agreement, except for the
representations, warranties and covenants set forth herein.

     4.   LEGENDS; SUBSEQUENT TRANSFER OF SECURITIES

          4.1  LEGENDS. The certificate(s) representing the Securities
shall bear a legend substantially as set forth on the cover page of this
Agreement and any other legend, if such legend or legends are reasonably
required to comply with state, federal or foreign law.

     5.   COVENANTS OF THE COMPANY

          5.1  USE OF PROCEEDS. The Company shall use the net proceeds
from the sale of the Shares for general corporate purposes, including
acquisition or merger consideration with respect to any acquisition that may be
consummated by the Company.

          5.2  REGISTRATION RIGHTS. The Company will comply in all
respects with its covenants and agreements concerning the registration rights
and other matters covering the Shares, the Additional Shares and Convertible
Shares as set forth in the Registration Rights Agreement.

          5.3  VALID ISSUANCE OF CONVERTIBLE SHARES. When issued and
delivered in accordance with the Senior Bridge Notes, the Convertible Shares
will be duly and validly issued, fully paid and non-assessable, free and clear
of any claims or pre-emptive rights and will have been issued in compliance with
all applicable federal and state securities laws.

          5.4  METHOD OF CALCULATING NUMBER OF SHARES ISSUED AS OF CLOSING;
INCREASE IN NUMBER OF SHARES.

               (a)  The Shares issued to each of the Purchasers have
          been calculated by dividing (i) 100% of the principal amount of Senior
          Bridge Notes purchased by such

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          Purchaser(s) hereunder by (ii) the average of the closing prices of
          the Company's Common Stock, as traded on the Nasdaq Small Cap Market,
          the Nasdaq National Market or any other national securities exchange
          (or, if not so traded on the Nasdaq Stock Market or national
          securities exchange, as traded on the OTC Electronic Bulletin Board or
          on the over-the-counter market) for the twenty one (21) consecutive
          Trading Days (the "Average Closing Price") immediately preceding the
          Closing. As used herein, the term "Trading Days" shall mean the days
          on which the New York Stock Exchange, Inc. and the Nasdaq Stock
          Market, Inc. shall be open for trading.

               (b)  In the event that the Average Closing Price of
          the Company's Common Stock immediately preceding the Maturity Date of
          the Senior Bridge Notes shall be less than the Average Closing Price
          of such Common Stock immediately preceding the Closing, the Company
          shall, not later than five (5) Trading Days following the Maturity
          Date, issue to the Purchasers additional shares of Company Common
          Stock (the "Additional Shares") in an amount equal to:

                    (i)  (x) 100% of the original principal
               amount of the Senior Bridge Notes issued to each of the
               Purchasers divided by (y) the Average Closing Price immediately
               preceding the Maturity Date minus (z) the number of Shares issued
               to each of the Purchasers as of the Closing and set forth on
               Schedule 1.1 hereof.

                    (ii) The result of the calculation in clause (i) above shall
               be the "Additional Shares" to be issued to each of the
               Purchasers, as aforesaid.

               (c)  As used in this Agreement, the "Maturity Date" of the Senior
          Bridge Notes shall be July 7, 2000, subject to extension by the
          Company to not later than November 3, 2000, as provided herein and in
          the Senior Bridge Notes.

     6.   COVENANTS OF THE PURCHASERS

          6.1  NO SALE IN VIOLATION OF THE ACT. Each Purchaser further
covenants that it will not make any sale, transfer or other disposition of the
Securities in violation of the Act or the rules and regulations of the
Commission promulgated thereunder. Each Purchaser acknowledges and agrees that
the Securities may and will only be resold (i) pursuant to a Registration
Statement under the Act; or (ii) pursuant to an exemption from registration
under the Act.

     7.   CONDITIONS TO CLOSING; DELIVERIES AT CLOSING

          7.1  CONDITIONS TO PURCHASERS' OBLIGATIONS TO CLOSE.  The obligations
of the Purchasers to purchase the Shares and the Senior Bridge Notes offered
hereunder are conditioned on the fulfillment or waiver of the following:

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               (a)  the execution and delivery of this Agreement, the Senior
          Bridge Notes, certificates for the Common Stock and the Registration
          Rights Agreement by the Company; and

               (b)  all the representations and warranties of the
          Company in this Agreement as of the date hereof shall be true and
          correct at the Closing as if made on such date, and the Company shall
          have performed all actions required hereunder.

          7.2  CONDITIONS TO THE COMPANY'S OBLIGATION TO CLOSE. The
obligation of the Company to sell the Shares and the Senior Bridge Notes offered
hereunder are conditioned on the fulfillment or waiver of the following:

               (a)  the execution and delivery of this Agreement and the
          Registration Rights Agreement by the Purchasers; and

               (b)  all the representations and warranties of the Purchasers
          made in this Agreement as of the date hereof shall be true and correct
          at the Closing as if made on such date, and the Purchasers shall have
          performed all actions required hereunder.

     8.   GOVERNING LAW

     This Agreement shall be governed by and construed in accordance with
the laws of the State of Illinois, applicable to agreements made in and wholly
to be performed in that jurisdiction without regards to the choice of law rules
of such state, except for matters arising under the Securities Act of 1933, as
amended (the "1933 Act") or the 1934 Act which matters shall be construed and
interpreted in accordance with such laws. Any action brought to enforce, or
otherwise arising out of, this Agreement shall be heard and determined in either
a federal or state court sitting in the County of Cook, State of Illinois.

     9.   ENTIRE AGREEMENT; AMENDMENT

     This Agreement, the Registration Rights Agreement, and any other
document delivered pursuant hereto constitute the full and entire understanding
and agreement between the parties with regard to the subjects hereof and
thereof, and no party shall be liable or bound to any other party in any manner
by any warranties, representations or covenants except as specifically set forth
herein or therein. Except as expressly provided herein, neither this Agreement
nor any term hereof may be amended, waived, discharged or terminated other than
by a written instrument signed by the party against whom enforcement of any such
amendment, waiver, discharge or termination is sought.

     10.  NOTICES, ETC.

     Any notice, demand or request required or permitted to be given by
either the Company or any Purchaser pursuant to the terms of this Agreement
shall be in writing and shall be deemed given when delivered personally or by
facsimile, with a hard copy to follow by two day courier addressed

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to the parties at the addresses of the parties set forth at the end of this
Agreement or such other address as a party may request by notifying the other in
writing.

     11.  CONFIDENTIALITY

     Each Purchaser will keep confidential all non-public information
regarding the Company that each receives from the Company unless disclosure of
such information is compelled by a court or other administrative body or
otherwise necessary, in the opinion of Purchasers' counsel, to comply with
applicable law. Neither party shall disclose any information regarding any of
the transactions contemplated hereby without the prior consent of the other
party, unless such disclosure is required in filings made with the Commission.
The Company and its officers and directors have not provided the Purchasers with
any material non-public information.

     12.  COUNTERPARTS

     This Agreement may be executed in any number of counterparts, each of
which shall be enforceable against the parties actually executing such
counterparts, and all of which together shall constitute one instrument. A
facsimile transmission of a signature hereto shall be valid as if an original
and binding on all parties.

     13.  SEVERABILITY

     In the event that any provision of this Agreement becomes or is
declared by a court of competent jurisdiction to be illegal, unenforceable or
void, this Agreement shall continue in full force and effect without said
provision; provided that no such severability shall be effective if it
materially changes the economic benefit of this Agreement to any party.

     14.  TITLES AND SUBTITLES

     The titles and subtitles used in this Agreement are used for
convenience only and are not to be considered in construing or interpreting this
Agreement.

     15.  PARTIES IN INTEREST CITED

     This Agreement may not be transferred, assigned, pledged or
hypothecated by any party hereto, other than by operation of law. This Agreement
shall be binding upon, and shall inure to the benefit of, the parties hereto and
their respective heirs, executors, administrators, successors and permitted
assigns. All representations and warranties of each party hereto shall survive
the Closing contemplated herein for a period of two (2) years. The covenants and
agreements of the parties contained herein, in the Securities and in the
Registration Rights Agreement shall survive the Closing indefinitely.

     The undersigned Purchasers acknowledge that this subscription shall not
be effective unless executed by the Company as indicated below.

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     IN WITNESS WHEREOF, the parties have executed this Agreement on the
date first written above.

COMPANY:                                          PURCHASERS:

NUCLEUS, INC.

By:_____________________________                  _____________________________
    John C. Paulsen, President

                                                  _____________________________

                                                  _____________________________
Address:
401 North Michigan Avenue
Suite 745
Chicago, IL 60611

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                                  SCHEDULE 1.1

                                   PURCHASERS

                     Principal
                      Amount           No. of Shares
                     of Senior           of Common
Name and Address    Bridge Note       Stock Purchased    Purchase Price<F1>
----------------    -----------       ---------------    --------------

--------
<F1>
1    Subject to increase as of the Maturity Date pursuant to Section 5.4 above.

                                       11EXHIBIT 4.8

THIS PROMISSORY NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 OR
UNDER ANY STATE SECURITIES LAWS. THIS PROMISSORY NOTE MAY NOT BE OFFERED, SOLD,
TRANSFERRED, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF REGISTRATION, OR THE
AVAILABILITY OF AN EXEMPTION FROM REGISTRATION, UNDER THE SECURITIES ACT OF 1933
AND APPROPRIATE STATE SECURITIES LAWS. FURTHERMORE, NO OFFER, SALE, TRANSFER,
PLEDGE OR HYPOTHECATION IS TO TAKE PLACE UNLESS THE MAKER RECEIVES, AT THE
HOLDER'S EXPENSE, AN OPINION OF COUNSEL SATISFACTORY TO THE MAKER TO THE EFFECT
THAT SUCH TRANSFER MAY BE EFFECTED WITHOUT VIOLATING ANY SECURITIES LAWS.

                                  NUCLEUS, INC.

                                 PROMISSORY NOTE

$________________                                                 March 9, 2000

     FOR VALUE RECEIVED, Nucleus, Inc., a Nevada corporation, having its
principal business office at 401 North Michigan Avenue, Chicago, Illinois 60611
(the "Company"), promises to pay to the order of ________________ with an
address at _______________ (said payee together with any successor holder of
this promissory note is referred to herein as "Payee"), the principal sum of
_______________ ($__________) in lawful money of the United States of America on
July 6, 2000 (the "Maturity Date"), provided that the Maturity Date may be
extended to not later than November 3, 2000 at the option of the Company upon
delivery of written notice of such extension to the Payee by not later than
October 27, 2000 and payment of the Extension Fee (defined below) to Payee. This
Note shall bear interest on the principal balance outstanding from time to at
the rate of twelve percent (12%) per annum, such interest payable monthly in
cash on the twentieth day of each month, commencing April 20, 2000, on the terms
and conditions hereinafter set forth. The principal amount of this Note,
together with accrued interest thereon, shall be payable on the Maturity Date
(as the same may be extended) out of any funds of the Company legally available
therefor. The principal amount of this Note, together with accrued interested
thereon, may, at the sole option of the Payee, be converted into shares of
Company common stock, par value $.001 per share (the "Common Stock") on or prior
to the Maturity Date (as the same may be extended), as provided in Section 5 of
this Note. Interest on this Note shall be calculated on the basis of a 365-day
year and the actual number of days elapsed.

     1.   The principal sum, interest thereon and all sums due hereunder shall
be payable at the address of Payee set forth in the heading hereof or at such
other place as Payee, from time to time, may designate in writing.

<PAGE>

     2.   Subject to the Payee's conversion rights set forth in Section 5
below, the Company shall prepay the principal sum hereof and accrued interest
hereon in whole prior to the Maturity Date (as the same may be extended) from
proceeds received by the Company through any public or private offering of any
Common Stock, preferred stock or notes which are convertible into or exercisable
for shares of Common Stock (collectively, "Equity Capital") subsequent to the
date hereof.

     3.   This Note is one of the duly authorized promissory notes of the
Company issued pursuant to the Securities Purchase Agreement dated as of March
1, 2000 (herein referred to as the "Securities Purchase Agreement") by and
between the Company and the Purchasers thereof pursuant to which the Company has
issued promissory notes in the aggregate principal amount of not more than $6.2
million (this Note together with such other promissory notes are collectively
referred to as the "Senior Bridge Notes").

     4.   If the Company elects to extend the original July 6, 2000 Maturity
Date of this Note to a later Maturity Date up to and including November 3, 2000,
the Company shall pay to Payee in consideration therefor (the "Extension Fee")
such number of shares of Common Stock as shall equal five percent (5%) of the
outstanding principal balance of this Note divided by the average closing bid
prices of the Common Stock, as traded on the Nasdaq OTC Bulletin Board, the
Nasdaq Small Cap Market, the Nasdaq National Market or any other national
securities exchange (as the case may be), for the twenty-one (21) consecutive
Trading Days (the "21-Day Average Stock Price") immediately prior to November 3,
2000. As used herein, the term "Trading Days" shall mean the days on which the
New York Stock Exchange, Inc. and the Nasdaq Stock Market, Inc. shall be open
for trading.

     5.   (a)  If the Company seeks to raise any additional Equity Capital, the
     Payee shall have the option to convert this Note at the closing of any such
     Equity Capital financing into a number of whole shares of Common Stock
     which shall equal the outstanding principal amount of this Note plus
     accrued interest thereon (the "Conversion Amount") divided by the price per
     share at which Common Stock is sold in such Equity Capital financing or the
     conversion price of any notes or preferred stock sold in such Equity
     Capital financing. The Company shall give the Payee not less than thirty
     (30) days prior notice of any proposed Equity Capital financing, and copies
     of all offering documents. The Payee may condition his or her conversion of
     this Note upon completion of the Equity Capital financing.

          (b)  In the case of any (1) consolidation or merger of the
     Company into any entity (other than a consolidation or merger that does not
     result in any reclassification, conversion, exchange or cancellation of
     outstanding shares of Common Stock), (2) sale, transfer, lease or
     conveyance of all or substantially all of the assets of the Company as an
     entirety or substantially as an entirety, or (3) reclassification, capital
     reorganization or change of the Common Stock (other than solely a change in
     par value, or from par value to no par value), in each case as a result of
     which shares of Common Stock shall be converted into the right to receive
     stock, securities or other property (including cash or any combination
     thereof), the Payee shall have the option to convert this Note at the
     closing of such event into the kind and amount of securities, cash and
     other property receivable by a holder of the number of shares

                                        2

<PAGE>

     of Common Stock into which this Note would have been converted immediately
     prior to such event based upon the Conversion Amount divided by the price
     per share of Common Stock upon which the transaction was valued or is to be
     consummated.

          (c)  Within ten (10) days of receipt of notice of an Event of
     Default (as defined in Section 6 hereof) and prior to any action taken by
     Payee under Section 7 hereof, the Payee shall have the option to convert
     this Note into a whole number of shares of Common Stock equal to the
     Conversion Amount divided by the 21-Day Average Stock Price immediately
     prior to the date of the Event of Default.

          (d)  The Payee may exercise his conversion right, in whole or
     in part, upon surrender of this Note to the Company at its address in the
     heading hereof. Upon surrender thereof, the Company will cause to be issued
     certificates for the total number of shares of Common Stock for which the
     Note is being exercised as are required for delivery, within fifteen (15)
     days of such exercise, to the Payee.

          (e)  No fractional shares of Common Stock shall be issued by in
     connection with any conversion of this Note and no cash payment shall be
     made therefor.

     6.   The occurrence of any of the following shall constitute an Event of
Default hereunder:

          (a)  The failure of the Company to pay when due the principal sum
     hereof or any accrued interest hereon.

          (b)  The commencement of any involuntary case or the filing of
     a petition against the Company seeking reorganization, arrangement,
     adjustment or composition of or in respect of the Company under the Federal
     bankruptcy laws, as now or hereafter constituted, or under any other
     applicable Federal or state bankruptcy, insolvency, reorganization or other
     similar law, or seeking the appointment of a receiver, liquidator,
     custodian, trustee (or similar official) of the Company for any substantial
     part of its property, or seeking the winding-up or liquidation of its
     affairs (and such involuntary case or petition is not dismissed within
     sixty (60) days after the filing thereof), or the commencement by the
     Company of a voluntary case or the institution by the Company of
     proceedings to be adjudicated a bankrupt or insolvent, or proceedings
     against it, under the Federal bankruptcy laws as now or hereafter
     constituted, or any other applicable Federal or state bankruptcy or
     insolvency or other similar law, or the consent by the Company to the
     appointment of or taking possession by a receiver, liquidator, trustee,
     custodian (or other similar official) of the Company for any substantial
     part of its property, or the making by it of any assignment for the benefit
     of creditors or the admission by it in writing of its inability to pay its
     debts generally as they become due.

          (c)  The occurrence of an Event of Default under any Senior
     Bridge Notes issued by the Company pursuant to the Securities Purchase
     Agreement.

          (d)  The breach by the Company of any representation or warranty
     contained in the Securities Purchase Agreement.

                                        3

<PAGE>

          (e)  The failure by the Company to perform any covenant or
     agreement on its part required to be performed under this Note, the Senior
     Bridge Notes, the Securities Purchase Agreement or the Registration Rights
     Agreement unless such covenant or agreement shall be fully performed within
     ten (10) days after notice of default.

          (f)  The Company shall sell or otherwise dispose of all or
     substantially all of its assets or consummate a merger, consolidation or
     reorganization with or into one or more other entities, except for any such
     transaction in which the holders of shares of capital stock of the Company
     on the date hereof, directly or indirectly, continue to own a majority of
     the voting securities of the surviving entity having the right under
     ordinary circumstances to elect a majority of the Board of Directors or
     comparable governing body of such entity.

          (g)  The Company shall issue any debt obligation senior in
     right of payment or security to the Senior Bridge Notes.

     7.   If there shall occur an Event of Default described in Paragraph 6
hereof, Payee may at his option, by written notice to the Company, declare the
entire unpaid balance of principal with interest accrued thereon and all other
sums due under this Note to be immediately due and payable. If there shall occur
an Event of Default described in subparagraph 6(b), the entire unpaid balance of
principal with interest accrued thereon and all other sums due under this Note
shall be immediately due and payable without notice to the Company. If there
shall occur an Event of Default, Payee shall be entitled to costs of collection,
including reasonable attorneys' fees.

     8.   The Company hereby waives presentment for payment, demand, notice of
demand, notice of nonpayment or dishonor, protest and notice of protest of this
Note, and all other notices in connection with the delivery, acceptance,
performance, default, or enforcement of the payment of this Note. The Company
agrees that its liability shall be unconditional, without regard to the
liability of any other party, and shall not be affected in any manner by any
indulgence, extension of time, renewal, waiver or modification granted or
consented to by Payee.

     9.   This Note and the obligations of the Company shall be senior in
right of payment to all other debt obligations of the Company (other than Senior
Bridge Notes) arising or incurred subsequent to the date of this Note except for
senior or secured debt obligations assumed by the Company in connection with the
acquisition or purchase of other entities or assets by merger or otherwise.

     10.  All rights and remedies of Payee under this Note and any applicable
law are separate and cumulative, and the exercise of one shall not limit or
prejudice the exercise of any other such rights or remedies. No delay or
omission by Payee in exercising any right or remedy shall operate as a waiver
thereof. No waiver of any rights and remedies hereunder, and no modification or
amendment of this Note, shall be deemed made by Payee unless in writing and duly
signed by Payee. Any such written waiver shall apply only to the particular
instance specified therein and shall not impair the further exercise of such
right or remedy or of any other right or remedy of Payee, and no

                                        4

<PAGE>

single or partial exercise of any right or remedy under this Note shall preclude
any other or further exercise thereof or any other right or remedy.

     11.  The shares of Common Stock into which this Note is convertible in
accordance with Section 5 hereof are subject to the rights and privileges set
forth in the Registration Rights Agreement of even date herewith among the
Company and the Senior Bridge Note investors.

     12.  The Company and Payee agree that this Note shall be governed by and
construed according to the laws of the State of Illinois applicable to contracts
wholly performed within such jurisdiction.

     13.  ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN
CONNECTION WITH THIS NOTE, SHALL BE BROUGHT AND MAINTAINED EXCLUSIVELY IN THE
COURTS OF THE STATE OF ILLINOIS OR IN THE UNITED STATES DISTRICT COURT FOR THE
NORTHERN DISTRICT OF ILLINOIS. EACH OF THE COMPANY AND PAYEE HEREBY EXPRESSLY
AND IRREVOCABLY SUBMITS TO THE JURISDICTION OF THE COURTS OF THE STATE OF
ILLINOIS AND OF THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF
ILLINOIS FOR THE PURPOSE OF ANY SUCH LITIGATION AS SET FORTH ABOVE. EACH OF THE
COMPANY AND PAYEE FURTHER IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS BY
REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE
STATE OF ILLINOIS. EACH OF THE COMPANY AND PAYEE HEREBY EXPRESSLY AND
IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH
IT MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION
BROUGHT IN ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH
LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT FORUM.

     14.  EACH OF THE COMPANY AND PAYEE HEREBY WAIVES ANY RIGHT TO A TRIAL BY
JURY IN ANY ACTION OR PROCEEDING TO ENFORCE OR DEFEND ANY RIGHTS UNDER THIS
NOTE, AND AGREES THAT ANY SUCH ACTION OR PROCEEDING SHALL BE TRIED BEFORE A
COURT AND NOT BEFORE A JURY.

     15.  All notices and other communications provided for under this Note
shall be made in writing to the addresses (either of which may be changed by
written notice) of the Company and Payee at their respective addresses in the
heading hereof. Notices shall be deemed to have been duly given when delivered
by hand, or, if mailed, three business days after deposit in the mail, postage
prepaid and return receipt requested.

     16.  This Note may be amended by an instrument in writing executed by
the Company and the Payees who hold a majority of the aggregate principal amount
of the Senior Bridge Notes and any such amendment shall be binding on all Payees
of the Senior Bridge Notes; provided, however, that no such amendment that
alters the principal amount hereof, the rate of interest payable hereon the
Maturity Date of this Note or the provisions of Section 5 hereof shall be
binding on any Payee without the prior written consent of such Payee.

                                        5

<PAGE>

     17.  This Note shall be binding upon and shall inure to the benefit of
the Company, Payee and their respective successors, assigns, personal
representatives, heirs or legatees, as the case may be.

                            [SIGNATURE ON NEXT PAGE]

                                        6

<PAGE>

     IN WITNESS WHEREOF, the undersigned has executed this Note the day and
year first above written.

                                                  NUCLEUS, INC.

                                              By:______________________________
                                                 Its___________________________

                                        7

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