Document:

<PAGE>
                                                                    EXHIBIT 10.2

THIS COMMON STOCK PURCHASE WARRANT HAS NOT BEEN REGISTERED UNDER THE SECURITIES
ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"). THE HOLDER HEREOF, BY PURCHASING
THIS COMMON STOCK PURCHASE WARRANT, AGREES FOR THE BENEFIT OF THE COMPANY THAT
SUCH SECURITIES MAY BE OFFERED, SOLD OR OTHERWISE TRANSFERRED ONLY (A) TO THE
COMPANY, (B) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES
ACT, OR (C) IF REGISTERED UNDER THE SECURITIES ACT AND ANY APPLICABLE STATE
SECURITIES LAWS. IN ADDITION, A SECURITIES PURCHASE AGREEMENT ("PURCHASE
AGREEMENT"), DATED THE DATE HEREOF, A COPY OF WHICH MAY BE OBTAINED FROM THE
COMPANY AT ITS PRINCIPAL EXECUTIVE OFFICE, CONTAINS CERTAIN ADDITIONAL
AGREEMENTS AMONG THE PARTIES, INCLUDING, WITHOUT LIMITATION, PROVISIONS WHICH
LIMIT THE EXERCISE RIGHTS OF THE HOLDER AND SPECIFY MANDATORY REDEMPTION
OBLIGATIONS OF THE COMPANY.

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

                       METROPOLITAN HEALTH NETWORKS, INC.

                          COMMON STOCK PURCHASE WARRANT

--------------------------------------------------------------------------------
                                             No. 1
Number of shares: 150,000               Holder:GCA Strategic Investment Fund
Limited

                                             c\o Prime Management
Expiration Date:  May 24, 2007               Mechanics Building
                                             12 Church Street
Purchase Price Per Share:  $0.68             Hamilton, Bermuda HM11

          For identification only. The governing terms of this Warrant
                              are set forth below.
--------------------------------------------------------------------------------

Metropolitan Health Networks, Inc., a Florida corporation (the "Company"),
hereby certifies that, for value received, GCA Strategic Investment Fund Limited
or assigns ("Holder"), is entitled, subject to the terms set forth below, to
purchase from the Company at any time or from time to time after the date hereof
and prior to the fifth anniversary hereof (the "Exercise Period"), at the
Purchase Price hereinafter set forth, One Hundred Fifty Thousand (150,000)
shares of the fully paid and nonassessable shares of common stock of the
Company, $.001 par value per share (the "Common Stock"). The number and
character of such shares of Common Stock and the Purchase Price are subject to
adjustment as provided herein.

<PAGE>

         The purchase price per share of Common Stock issuable upon exercise of
this Warrant (the "Purchase Price") shall initially be $0.68, provided, however,
that the Purchase Price shall be adjusted from time to time as provided herein.

1.       Certain Defined Terms. Capitalized terms used herein not otherwise
defined shall have the meanings ascribed thereto in the Purchase Agreement. As
used herein the following terms, unless the context otherwise requires, have the
following respective meanings:

         (a)      The term "Company" shall include Metropolitan Health Networks,
         Inc. and any corporation that shall succeed or assume the obligations
         of such corporation hereunder.

         (b)      The term "Common Stock" includes (a) the Company's common
         stock, $.001 par value per share, (b) any other capital stock of any
         class or classes (however designated) of the Company, authorized on or
         after such date, the holders of which shall have the right, without
         limitation as to amount, either to all or to a share of the balance of
         current dividends and liquidating dividends after the payment of
         dividends and distributions on any shares entitled to preference, and
         the holders of which shall ordinarily, in the absence of contingencies,
         be entitled to vote for the election of a majority of directors of the
         Company (even though the right so to vote has been suspended by the
         happening of such a contingency) and (c) any other securities into
         which or for which any of the securities described in (a) or (b) may be
         converted or exchanged pursuant to a plan of recapitalization,
         reorganization, merger, sale of assets or otherwise.

         (c)      The term "Other Securities" refers to any stock (other than
         Common Stock) and other securities of the Company or any other person
         (corporate or otherwise) that the Holder of this Warrant at any time
         shall be entitled to receive, or shall have received, on the exercise
         of this Warrant, in lieu of or in addition to Common Stock, or that at
         any time shall be issuable or shall have been issued in exchange for or
         in replacement of Common Stock or Other Securities pursuant to Section
         4 or otherwise.

2.       Exercise of Warrant.

         2.1      Method of Exercise.

         (a)      This warrant may be exercised in whole or in part (but not as
         to a fractional share of Common Stock), at any time and from time to
         time during the Exercise Period by the Holder hereof by delivery of a
         notice of exercise (a "Notice of Exercise") substantially in the form
         attached hereto as Exhibit A via facsimile to the Company. Promptly
         thereafter the Holder shall surrender this Warrant to the Company at
         its principal office, accompanied by payment of the Purchase Price
         multiplied by the number of shares of Common Stock for which this
         Warrant is being exercised (the "Exercise Price"). Payment of the
         Exercise Price shall be made, at the option of the Holder, (i) by check
         or bank draft payable to the order of the Company, or (ii) by wire
         transfer to the account of the Company. Upon exercise, the Holder shall
         be entitled to

<PAGE>

         receive, promptly refund the excess to the Holder. Upon exercise, the
         Holder shall be entitled to receive, promptly after payment in full,
         one or more certificates, issued in the Holder's name or in such name
         or names as the Holder may direct, subject to the limitations on
         transfer contained herein, for the number of shares of Common Stock so
         purchased. The shares of Common Stock so purchased shall be deemed to
         be issued as of the close of business on the date on which the Company
         shall have received from the Holder payment in full of the Exercise
         Price (the "Exercise Date").

         (b)      Notwithstanding anything to the contrary set forth herein,
         upon exercise of all or a portion of this Warrant in accordance with
         the terms hereof, the Holder shall not be required to physically
         surrender this Warrant to the Company. Rather, records showing the
         amount so exercised and the date of exercise shall be maintained on a
         ledger substantially in the form of Annex B attached hereto (a copy of
         which shall be delivered to the Company or transfer agent with each
         Notice of Exercise). It is specifically contemplated that the Holder
         hereof shall act as the calculation agent for all exercises of this
         Warrant. In the event of any dispute or discrepancies, such records
         maintained by the Holders shall be controlling and determinative in the
         absence of manifest error. The Holder and any assignee, by acceptance
         of this Warrant, acknowledge and agree that, by reason of the
         provisions of this paragraph, following an exercise of a portion of
         this Warrant, the number of shares of Common Stock represented by this
         Warrant will be the amount indicated on Annex B attached hereto (which
         may be less than the amount stated on the face hereof).

         2.2      Representations of Holder. The Holder hereof represents and
warrants to the Company that it has acquired this Warrant and anticipates
acquiring the shares of Common Stock issuable upon exercise of the Warrant
solely for its own account for investment purposes and not with a view to or for
resale of such securities unless such resale has been registered with the
Commission or an applicable exemption is available therefore. At the time this
Warrant is exercised, the Company may require the Holder to state in the Notice
of Exercise such representations concerning the Holder as are necessary or
appropriate to assure compliance by the Holder with the Securities Act.

         2.3      Company Acknowledgment. The Company will, at the time of the
exercise of this Warrant, upon request of the Holder hereof, acknowledge in
writing its continuing obligation to afford to such Holder the registration
rights to which such Holder shall continue to be entitled after such exercise in
accordance with the provisions of a Registration Rights Agreement dated the date
hereof (the "Registration Rights Agreement"). If the Holder shall fail to make
any such request, such failure shall not affect the continuing obligation of the
Company to afford such Holder any such rights.

         2.4      Limitation on Exercise. Notwithstanding the rights of the
Holder to exercise all or a portion of this Warrant as described herein, such
exercise rights shall be limited, solely to the extent set forth in the Purchase
Agreement as if such provisions were specifically set forth herein. In addition,
the number of shares of Common Stock issuable upon exercise of this Warrant is
subject to reduction as specified in Section 10.3 of the Purchase Agreement.

<PAGE>

         2.5      Mandatory Exercise. In the event the volume weighted average
sales price for the Common Stock, as reported on Bloomberg, L.P., is greater
than or equal to $1.50 for 60 consecutive Trading Days at any time after the
Closing Date, the Holder shall be required to exercise the Warrant in full and
in accordance with the terms provided herein; provided, however, this Section
2.5 shall be void if the Registration Statement is not effective with the
Commission on the date such mandatory exercise is triggered.

3.       Delivery of Stock Certificates, etc., on Exercise. As soon as
practicable after the exercise of this Warrant, and in any event within three
(3) business days thereafter, the Company at its expense (including the payment
by it of any applicable issue, stamp or transfer taxes) will cause to be issued
in the name of and delivered to the Holder thereof, or, to the extent
permissible hereunder, to such other person as such Holder may direct, a
certificate or certificates for the number of fully paid and nonassessable
shares of Common Stock (or Other Securities) to which such Holder shall be
entitled on such exercise, plus, in lieu of any fractional share to which such
Holder would otherwise be entitled, cash equal to such fraction multiplied by
the then applicable Purchase Price, together with any other stock or other
securities and property (including cash, where applicable) to which such Holder
is entitled upon such exercise pursuant to Section 2 or otherwise.

4.       Adjustment for Extraordinary Events. The Purchase Price to be paid by
the Holder upon exercise of this Warrant, and the consideration to be received
upon exercise of this Warrant, shall be adjusted in case at any time or from
time to time in the case of any stock split, dividends, mergers or
recapitalizations.

5.       No Impairment. The Company will not, by amendment of its Certificate of
Incorporation or through any reorganization, transfer of assets, consolidation,
merger, dissolution, issue or sale of securities or any other voluntary action,
avoid or seek to avoid the observance or performance of any of the terms of this
Warrant, but will at all times in good faith assist in the carrying out of all
such terms and in the taking of all such action as may be necessary or
appropriate in order to protect the rights of the Holder of this Warrant against
impairment. Without limiting the generality of the foregoing, the Company (a)
will not increase the par value of any shares of stock receivable on the
exercise of this Warrant above the amount payable therefor on such exercise, (b)
will take all such action as may be reasonably necessary or appropriate in order
that the Company may validly and legally issue fully paid and unassessable
shares of stock on the exercise of this Warrant, and (c) will not transfer all
or substantially all of its properties and assets to any other person (corporate
or otherwise), or consolidate with or merge into any other person or permit any
such person to consolidate with or merge into the Company (if the Company is not
the surviving person), unless such other person shall expressly assume in
writing and will be bound by all the terms of this Warrant.

6.       Accountant's Certificate as to Adjustments. In each case of any
adjustment or readjustment in the shares of Common Stock (or Other Securities)
issuable on the exercise of this Warrant, the Company at its expense will
promptly cause independent certified public accountants in use at the time by
the Company to compute such adjustment or readjustment in

<PAGE>

accordance with the terms of this Warrant and prepare a certificate setting
forth such adjustment or readjustment and showing in detail the facts upon which
such adjustment or readjustment is based, including a statement of (a) the
consideration received or receivable by the Company for any additional shares of
Common Stock (or Other Securities) issued or sold or deemed to have been issued
or sold, (b) the number of shares of Common Stock (or Other Securities)
outstanding or deemed to be outstanding, and (c) the Purchase Price and the
number of shares of Common Stock to be received upon exercise of this Warrant,
in effect immediately prior to such issue or sale and as adjusted and readjusted
as provided in this Warrant. The Company will forthwith mail a copy of each such
certificate to the Holder of this Warrant, and will, on the written request at
any time of the Holder of this Warrant, furnish to such Holder a like
certificate setting forth the Purchase Price at the time in effect and showing
how it was calculated. Such statement shall be binding absent manifest error.

7.       Notices of Record Date, etc. In the event of

(a)      any taking by the Company of a record of the holders of any class or
securities for the purpose of determining the holders thereof who are entitled
to receive any dividend or other distribution, or any right to subscribe for,
purchase or otherwise acquire any shares of stock of any class or any other
securities or property, or to receive any other right, or

(b)      any capital reorganization of the Company, any reclassification or
recapitalization of the capital stock of the Company or any transfer of all or
substantially all the assets of the Company to or consolidation or merger of the
Company with or into any other person, or

(c)      any voluntary or involuntary dissolution, liquidation or winding- up of
the Company, then and in each such event the Company will mail or cause to be
mailed to the Holder of this Warrant a notice specifying (i) the date on which
any such record is to be taken for the purpose of such dividend, distribution or
right, and stating the amount and character of such dividend, distribution or
right, and (ii) the date on which any such reorganization, reclassification,
recapitalization, transfer, consolidation, merger, dissolution, liquidation or
winding-up is to take place, and the time, if any, as of which the holders of
record of Common Stock (or Other Securities) shall be entitled to exchange their
shares of Common Stock (or Other Securities) for then and in each such event the
Company will mail or cause to be mailed to the Holder of this Warrant a notice
specifying (i) the date on which any such record is to be taken for the purpose
of such dividend, distribution or right, and stating the amount of character of
such dividend, distribution or right, and (ii) the date on which any such
reorganization, reclassification, recapitalization, transfer, consolidation,
merger, dissolution, liquidation or winding-up is to take place, and the time,
if any, as of which the holders of record of Common Stock (or Other Securities)
shall be entitled to exchange their shares of Common Stock (or Other Securities)
for securities or other property deliverable on such reorganization,
reclassification, recapitalization, transfer, consolidation, merger,
dissolution, liquidation or winding-up. Such notice shall be mailed at least 10
days prior to the date specified in such notice on which any action is to be
taken.

8.       Reservation of Stock, etc. Issuable on Exercise of Warrant. The Company
will at all times reserve and keep available, solely for issuance and delivery
on the exercise of this Warrant, all shares of Common Stock (or Other
Securities) from time to time issuable on the exercise of this Warrant.

<PAGE>

9.       Exchange of Warrant.

(a)      On surrender for exchange of this Warrant, properly endorsed and in
compliance with the restrictions on transfer set forth in the legend on the face
of this Warrant, to the Company, the Company at its expense will issue and
deliver to or on the order of the Holder thereof a new Warrant of like tenor, in
the name of such Holder or as such Holder (on payment by such Holder of any
applicable transfer taxes) may direct, calling in the aggregate on the face or
faces thereof for the number of shares of Common Stock called for on the face of
the Warrant so surrendered.

(b)      Upon written notice from the Purchaser that the Purchaser has elected
to transfer amongst each other a portion of this Warrant, and on surrender for
amendment and restatement of this Warrant, the Company at its expense will issue
and deliver to or on the order of the Holder thereof a new Warrant of like
tenor, in the name of such Holder as the Purchaser (on payment by such Holder of
any applicable transfer taxes) may direct, calling in the aggregate on the face
or faces thereof for the number of shares of Common Stock as set forth in such
notice reflecting such transfer.

10.      Replacement of Warrant. On receipt of evidence reasonably satisfactory
to the Company of the loss, theft, destruction or mutilation of this Warrant
and, in the case of any such loss, theft or destruction of this Warrant, on
delivery of an indemnity agreement or security reasonably satisfactory in form
and amount to the Company or, in the case of any such mutilation, on surrender
and cancellation of this Warrant, the Company at its expense will execute and
deliver, in lieu thereof, a new Warrant of like tenor.

11.      Remedies. The Company stipulates that the remedies at law of the Holder
of this Warrant in the event of any default or threatened default by the Company
in the performance of or compliance with any of the terms of this Warrant are
not and will not be adequate, and that such terms may be specifically enforced
by a decree for the specific performance of any agreement contained herein or by
an injunction against a violation of any of the terms hereof or otherwise.

12.      Negotiability, etc.. This Warrant is issued upon the following terms,
to all of which each Holder or owner hereof by the taking hereof consents and
agrees:

(a)      title to this Warrant may be transferred by endorsement and delivery in
the same manner as in the case of a negotiable instrument transferable by
endorsement and delivery.

(b)      any person in possession of this Warrant properly endorsed is
authorized to represent himself as absolute owner hereof and is empowered to
transfer absolute title hereto by endorsement and delivery hereof to a bona fide
purchaser hereof for value; each prior taker or owner waives and renounces all
of his equities or rights in this Warrant in favor of such bona fide purchaser,
and each such bona fide purchaser shall acquire absolute title hereto and to all
rights represented hereby;

<PAGE>

(c)      until this Warrant is transferred on the books of the Company, the
Company may treat the registered Holder hereof as the absolute owner hereof for
all purposes, notwithstanding any notice to the contrary; and

(d)      notwithstanding the foregoing, this Warrant may not be sold,
transferred or assigned except pursuant to an effective registration statement
under the Securities Act or pursuant to an applicable exemption therefrom.

13.      Registration Rights. The Company is obligated to register the shares of
Common Stock issuable upon exercise of this Warrant in accordance with the terms
of the Registration Rights Agreement.

14.      Reserved.

15.      Notices, etc.. All notices and other communications from the Company to
the Holder of this Warrant shall be mailed by first class registered or
certified mail, postage prepaid, at such address as may have been furnished to
the Company in writing by such Holder or, until any such Holder furnishes to the
Company any address, then to, and at the address of, the last Holder of this
Warrant who has so furnished an address to the Company.

16.      Miscellaneous. This Warrant and any term hereof may be changed, waived,
discharged or terminated only by an instrument in writing signed by the party
against which enforcement of such change, waiver, discharge or termination is
sought. This Warrant shall be construed and enforced in accordance with and
governed by the internal laws of the State of Florida. The headings in this
Warrant are for the purposes of reference only, and shall not limit or otherwise
affect any of the terms hereof. The invalidity or unenforceability of any
provision hereof shall in no way affect the validity or enforceability of any
other provision.

                            [SIGNATURE PAGE FOLLOWS]

DATED as of May 24, 2002.

                                        METROPOLITAN HEALTH NETWORKS, INC.

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

[Corporate Seal]

Attest:

By:
   -----------------------------------------
   Secretary

<PAGE>

                                   EXHIBIT A

                        FORM OF NOTICE EXERCISE - WARRANT
                       (To be executed only upon exercise
                       of the Warrant in whole or in part)

To
   -------------------------------------

         The undersigned registered Holder of the accompanying Warrant, hereby
exercises such Warrant or portion thereof for, and purchases thereunder,
__________1 shares of Common Stock (as defined in such Warrant) and herewith
makes payment therefor in the amount and manner set forth below, as of the date
written below. The undersigned requests that the certificates for such shares of
Common Stock be issued in the name of, and delivered to, whose address is
______________________________________________________.

         The Exercise Price is paid as follows:

         9        Bank draft payable to the Company in the amount of $_________.
         9        Wire transfer to the account of the Company in the amount
                  of $___________.

         Upon exercise pursuant to this Notice of Exercise, the Holder will be
in compliance with the Limitation on Exercise (as defined in the Securities
Purchase Agreement pursuant to which this Warrant was issued).

Date:
     ---------------------------------------------------------------------------
                     (Name must conform to name of Holder as
                      specified on the face of the Warrant)

 Date of exercise:
                  ----------------------------------------

--------

         (1) Insert the number of shares of Common Stock as to which the
accompanying Warrant is being exercised. In the case of a partial exercise,
a new Warrant or Warrants will be issued and delivered, representing the
unexercised portion of the accompanying Warrant, to the Holder surrendering
the same.

<PAGE>

                                     ANNEX B

                             WARRANT EXERCISE LEDGER

<TABLE>
<CAPTION>
                      ORIGINAL NUMBER OF          WARRANTS        EXERCISE PRICE      NEW BALANCE           ISSUER        HOLDER
     DATE                  WARRANTS              EXERCISED             PAID           OF WARRANTS          INITIALS      INITIALS
----------------      ------------------       -------------      --------------    ---------------      ------------   ----------
<S>                   <C>                      <C>                <C>               <C>                  <C>            <C>

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

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

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

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

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

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

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

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

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

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

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

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

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

----------------      ------------------       -------------      --------------    ---------------      ------------   ----------
</TABLE><PAGE>
                                                                    EXHIBIT 10.3

THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE UNITED
STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"). THE HOLDER
HEREOF, BY PURCHASING SUCH SECURITIES AGREES FOR THE BENEFIT OF THE COMPANY THAT
SUCH SECURITIES MAY BE OFFERED, SOLD OR OTHERWISE TRANSFERRED ONLY (A) TO THE
COMPANY, (B) PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES
ACT, OR (C) IF REGISTERED UNDER THE SECURITIES ACT AND ANY APPLICABLE STATE
SECURITIES LAWS. IN ADDITION, A SECURITIES PURCHASE AGREEMENT, DATED AS OF THE
DATE HEREOF, A COPY OF WHICH MAY BE OBTAINED FROM THE COMPANY AT ITS PRINCIPAL
EXECUTIVE OFFICE, CONTAINS CERTAIN ADDITIONAL AGREEMENTS AMONG THE PARTIES,
INCLUDING, WITHOUT LIMITATION, PROVISIONS WHICH (A) LIMIT THE CONVERSION RIGHTS
OF THE HOLDER, (B) SPECIFY VOLUNTARY AND MANDATORY REPAYMENT, PREPAYMENT AND
REDEMPTION RIGHTS AND OBLIGATIONS AND (C) SPECIFY EVENTS OF DEFAULT FOLLOWING
WHICH THE REMAINING BALANCE DUE AND OWING HEREUNDER MAY BE ACCELERATED. ANY
UNITED STATES PERSON WHO HOLDS THIS OBLIGATION WILL BE SUBJECT TO LIMITATIONS
UNDER THE UNITED STATES INCOME TAX LAWS, INCLUDING THE LIMITATIONS PROVIDED IN
SECTIONS 165(j) AND 1287(a) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED.

No. 1                                                                 $1,580,000

                            6% CONVERTIBLE DEBENTURE
                                       of

         Metropolitan Health Networks, Inc., a Florida corporation (together
with its successors, the "Company"), for value received hereby promises to pay
to:

                      GCA STRATEGIC INVESTMENT FUND LIMITED

(the "Holder") and registered assigns, the principal sum of One Million Five
Hundred Eighty Thousand ($1,580,000) or, if less, the principal amount of this
Debenture then outstanding, on the Maturity Date by wire transfer of immediately
available funds to the Holder in such coin or currency of the United States of
America as at the time of payment shall be legal tender for the payment of
public and private debts, and to pay interest, which shall begin to accrue on
the date of this Debenture, quarterly in arrears, on (i) the last day of March,
June, September and December of each year until the Maturity Date, commencing
June 30, 2002 (unless such day is not a Business Day, in which event on the next
succeeding Business Day) (each an "Interest Payment Date"), (ii) the Maturity
Date, (iii) each Conversion Date, as hereafter defined, and (iv) the date the
principal amount of the Convertible Debentures shall be declared to be or shall
automatically become due and payable, on the principal sum hereof outstanding in
like coin or currency, at the rates per annum set forth below, from the most
recent Interest Payment Date to which interest has been paid on this

<PAGE>

Convertible Debenture, or if no interest has been paid on this Convertible
Debenture, from the date of this Convertible Debenture until payment in full of
the principal sum hereof has been made. The Maturity Date is May 24, 2004.

         The interest rate shall be six percent (6%) per annum (the "Interest
Rate") or, if less, the maximum rate permitted by applicable law. Past due
amounts (including interest, to the extent permitted by law) will also accrue
interest at the Interest Rate plus 7% per annum or, if less, the maximum rate
permitted by applicable law, and will be payable on demand ("Default Interest").
Interest on this Convertible Debenture will be calculated on the basis of a
360-day year of twelve 30 day months. All payments of principal and interest
hereunder shall be made for the benefit of the Holder pursuant to the terms of
the Agreement (hereafter defined). At the option of the Company, interest may be
paid in cash or in shares of Common Stock. If the Company determines to pay
interest in shares of Common Stock, it shall be required to notify the Holder of
such election on the Closing Date. On each Conversion Date, interest shall be
paid in shares of Common Stock on the portion of the principal balance of the
Convertible Debenture then being converted. The number of shares of Common Stock
issued as interest shall be determined by dividing the dollar amount of interest
due on the applicable Interest Payment Date by the Conversion Price then in
effect.

         This Convertible Debenture (this "Convertible Debenture") is one of a
duly authorized issuance of $1,580,000 aggregate principal amount of Convertible
Debentures of the Company referred to in that certain Securities Purchase
Agreement dated as of the date hereof between the Company and the Purchaser
named therein (the "Agreement"). The Agreement contains certain additional
agreements among the parties with respect to the terms of this Convertible
Debenture, including, without limitation, provisions which (A) limit the
conversion rights of the Holder, (B) specify voluntary and mandatory repayment,
prepayment and redemption rights and obligations and (C) specify Events of
Default following which the remaining balance due and owing hereunder may be
accelerated. All such provisions are an integral part of this Convertible
Debenture and are incorporated herein by reference. This Convertible Debenture
is transferable and assignable to one or more Persons, in accordance with the
limitations set forth in the Agreement.

         The Company shall keep a register (the "Register") in which shall be
entered the names and addresses of the registered holder of this Convertible
Debenture and particulars of this Convertible Debenture held by such holder and
of all transfers of this Convertible Debenture. References to the "Holder" or
"Holders" shall mean the Person listed in the Register as registered holder of
such Convertible Debentures. The ownership of this Convertible Debenture shall
be proven by the Register.

1.       CERTAIN TERMS DEFINED. All terms defined in the Agreement and not
otherwise defined herein shall have for purposes hereof the meanings provided
for in the Agreement.

2.       COVENANTS. The Company covenants and agrees to observe and perform each
of its covenants, obligations and undertakings contained in the Agreement, which
obligations and undertakings are expressly assumed herein by the Company and
made for the benefit of the holder hereof.

                                       4
<PAGE>

3.       RESERVED.

4.       CONVERSION.

         4.1      CONVERSION OF CONVERTIBLE DEBENTURE. Subject to Section 5
         hereof, the Holder shall have the right, at its option, at any time
         from and after the date of issuance of this Convertible Debenture,
         convert the principal amount of this Convertible Debenture, or any
         portion of such principal amount, into that number of fully paid and
         nonassessable shares of Common Stock (as such shares shall then be
         constituted) determined pursuant to this Section 4.1. The number of
         shares of Common Stock to be issued upon each conversion of this
         Convertible Debenture shall be determined by dividing the Conversion
         Amount (as defined below) by the Conversion Price in effect on the date
         (the "Conversion Date") a Notice of Conversion is delivered to the
         Company, as applicable, by the Holder by facsimile or other reasonable
         means of communication dispatched prior to 4:00 p.m., E.S.T. The term
         "Conversion Amount" means, with respect to any conversion of this
         Convertible Debenture, the sum of (1) the principal amount of this
         Convertible Debenture to be converted in such conversion plus (2)
         accrued and unpaid interest, if any, on such principal amount at the
         interest rates provided in this Convertible Debenture to the Conversion
         Date plus (3) Default Interest, if any, on the interest referred to in
         the immediately preceding clause (2) plus (4) at the Holder's option,
         any amounts owed to the Holder pursuant to Section 4.3 hereof, Section
         10.1 of the Agreement or Section 10.4 of the Agreement.

         4.2      CONVERSION PRICE AND LIMITATION. At the option of the Holder,
         any portion or all of the outstanding principal amount of this
         Convertible Debenture shall be converted into a number of shares of
         Common Stock at the conversion price (the "Conversion Price") equal to
         the lesser of (i)75% of the average of the volume weighted average
         sales price of the Common Stock as reported by Bloomberg L.P. for the
         five Trading Days immediately preceding, but not including, May 3,
         2002, or $0.46, (the "Fixed Conversion Price") and (ii) 75% of the
         volume weighted average sales prices as reported by Bloomberg L.P. on
         the Trading Day immediately preceding the Closing Date or $0.43 (the
         "Formula Conversion Price").

         4.2A     EVENT OF DEFAULT CONVERSION PRICE. Notwithstanding the
         foregoing in Section 4.2, upon the occurrence of an Event of Default
         (as defined in the Agreement) and for so long as any Convertible
         Debenture remains outstanding the Conversion Price shall be equal to
         the lesser of (i) the Fixed Conversion Price and (ii) 75% of the
         average of the volume weighted average sales prices of the Common
         Stock, as reported on Bloomberg, L.P., for the five Trading Days
         immediately preceding the date of the any Notice of Conversion
         submitted by Holder following an Event of Default.

4.3      AUTHORIZED SHARES.

                                       5
<PAGE>

         (a)      Consistent with Section 7.11 of the Agreement, the Company (i)
         shall promptly irrevocably instruct the Company's transfer agent to
         issue certificates for the Common Stock issuable upon conversion of
         this Convertible Debenture and (ii) agrees that its issuance of this
         Convertible Debenture shall constitute full authority to its officers
         and agents who are charged with the duty of executing stock
         certificates to execute and issue the necessary certificates for shares
         of Common Stock in accordance with the terms and conditions of this
         Convertible Debenture.

         (b)      If at any time a Holder of this Convertible Debenture submits
         a Notice of Conversion (x) the Company does not have sufficient
         authorized but unissued shares of Common Stock available to effect such
         conversion in full in accordance with the provisions of this Article 4
         or (y) the Company is prohibited by the applicable rules of the OTC
         Bulletin Board or the National Market on which the Common Shares are
         listed and traded at that time to effect such conversion in full as
         provided in subsection (d) below, without stockholder approval (each, a
         "Conversion Default"), the Company shall issue to the Holder all of the
         shares of Common Stock which are then available to effect such
         conversion. The portion of this Convertible Debenture which the Holder
         included in its Conversion Notice and which exceeds the amount which is
         then convertible into available shares of Common Stock (the "Excess
         Amount") shall, notwithstanding anything to the contrary contained
         herein, not be convertible into Common Stock in accordance with the
         terms hereof until (and at the Holder's option at any time after) the
         date additional shares of Common Stock are authorized by the Company,
         or its stockholders, as applicable, at which time the Conversion Price
         in respect thereof shall be the lower of (i) the Conversion Price on
         the Conversion Default Date (as defined below) and (ii) the Conversion
         Price on the Conversion Date thereafter elected by the Holder in
         respect thereof. The Company shall pay to the Holder payments pursuant
         to Section 10.1(b) of the Agreement ("Conversion Default Payments")
         until the Conversion Default is cured. The Company shall use its best
         efforts to authorize, or cause its stockholders to authorize within 90
         days of the occurrence of a Conversion Default, as applicable, a
         sufficient number of shares of Common Stock as soon as practicable
         following the earlier of (i) such time that the Holder notifies the
         Company or that the Company otherwise becomes aware that there are or
         likely will be insufficient shares to allow full conversion thereof and
         (ii) a Conversion Default. The Company shall send notice to the Holder
         of the authorization of additional shares of Common Stock, the
         Authorization Date and the amount of Holder's accrued Conversion
         Default Payments. The accrued Conversion Default Payments for each
         calendar month shall be paid in cash or shall be convertible into
         Common Stock (at such time as there are sufficient authorized shares of
         Common Stock) at the Market Price, at the Holder's option, as follows:

(1)      In the event the Holder elects to take such payment in cash, cash
payment shall be made to Holder by the fifth Business Day of the month following
the month in which it has accrued; and

(2)      In the event the Holder elects to take such payment in Common Stock,
the Holder may convert such payment amount into Common Stock at the

                                       6
<PAGE>

Conversion Price (as in effect at the time of conversion) at any time after the
fifth Business Day of the month following the month in which it has accrued (at
such time as there are sufficient authorized shares of Common Stock) in
accordance with the terms of this Article 4.

         (c)      The Holder's election pursuant to this Section 4.3 shall be
         made in writing to the Company at any time prior to 4:00 p.m., E.S.T.,
         on the third Business Day of the month following the month in which
         Conversion Default payments have accrued. If no election is made, the
         Holder shall be deemed to have elected to receive cash. Nothing herein
         shall limit the Holders right to pursue actual damages (to the extent
         in excess of the Conversion Default Payments) due to the Company's
         failure to maintain a sufficient number of authorized shares of Common
         Stock.

4.4      METHOD OF CONVERSION.

         (a)      Notwithstanding anything to the contrary set forth herein,
         upon conversion of this Convertible Debenture in accordance with the
         terms hereof, the Holder shall not be required to physically surrender
         this Convertible Debenture to the Company unless the entire unpaid
         principal amount of this Convertible Debenture is so converted. Rather,
         records showing the principal amount converted (or otherwise repaid)
         and the date of such conversion or repayment shall be maintained on a
         ledger substantially in the form of Annex A attached hereto (a copy of
         which shall be delivered to the Company or transfer agent with each
         Notice of Conversion). It is specifically contemplated that the Holder
         hereof shall act as the calculation agent for conversions and
         repayments. In the event of any dispute or discrepancies, such records
         maintained by the Holder shall be controlling and determinative in the
         absence of manifest error or failure of Holder to record the principal
         amount converted (or otherwise repaid) from time to time, in which
         events the record of the Company shall be controlling and
         determinative. The Holder and any assignee, by acceptance of this
         Convertible Debenture, acknowledge and agree that, by reason of the
         provisions of this paragraph, following a conversion of a portion of
         this Convertible Debenture, the principal amount represented by this
         Convertible Debenture will be the amount indicated on Annex A attached
         hereto (which may be less than the amount stated on the face hereof).

         (b)      The Company shall not be required to pay any tax which may be
         payable in respect of any transfer involved in the issuance and
         delivery of shares of Common Stock or other securities or property on
         conversion of this Convertible Debenture in a name other than that of
         the Holder (or in street name), and the Company shall not be required
         to issue or deliver any such shares or other securities or property
         unless and until the person or persons (other than the Holder or the
         custodian in whose street name such shares are to be held for the
         Holder's account) requesting the issuance thereof shall have paid to
         the Company the amount of any such tax or shall have established to the
         satisfaction of the Company that such tax has been paid.

                                       7
<PAGE>

         (c)      Subject to Section 5 hereof, upon receipt by the Company of a
         Notice of Conversion, the Holder shall be deemed to be the holder of
         record of the Common Stock issuable upon such conversion, the
         outstanding principal amount and the amount of accrued and unpaid
         interest on this Convertible Debenture shall be deemed reduced to
         reflect such conversion, and, unless the Company defaults on its
         obligations under this Article 4, all rights with respect to the
         portion of this Convertible Debenture being so converted shall
         forthwith terminate except the right to receive the Common Stock or
         other securities, cash or other assets, as herein provided, on such
         conversion. Subject to Section 5 hereof, if the Holder shall have given
         a Notice of Conversion as provided herein, the Company's obligation to
         issue and deliver the certificates for shares of Common Stock shall be
         absolute and unconditional, irrespective of the absence of any action
         by the Holder to enforce the same, any waiver or consent with respect
         to any provisions thereof, the recovery of any judgment against any
         person or any action by the Holder to enforce the same, any failure or
         delay in the enforcement of any other obligation of the Company to the
         Holder of record, or any setoff, counterclaim, recoupment, limitation
         or termination, or any breach or alleged breach by the Holder of any
         obligation to the Company, and subject to Section 4.4(a) irrespective
         of any other circumstance which might otherwise limit such obligation
         of the Company to the Holder in connection with such conversion. The
         date of receipt (including receipt via telecopy) of such Notice of
         Conversion shall be the Conversion Date so long as it is received
         before 4:00 p.m., E.S.T., on such date.

         (d)      Notwithstanding the foregoing, if a Holder has not received
         certificates for all shares of Common Stock prior to the expiration of
         the Deadline with respect to a conversion of any portion of this
         Convertible Debenture for any reason, then (unless the Holder otherwise
         elects to retain its status as a holder of Common Stock by so notifying
         the Company), the Holder shall regain the rights of a Holder of this
         Convertible Debenture with respect to such unconverted portions of this
         Convertible Debenture and the Company shall, as soon as practicable,
         return such unconverted Convertible Debenture to the holder or, if the
         Convertible Debenture has not been surrendered, adjust its records to
         reflect that such portion of this Convertible Debenture not been
         converted. In all cases, the Holder shall retain all of its rights and
         remedies (including, without limitation, (i) the right to receive
         Conversion Default Payments to the extent required thereby for such
         Conversion Default and any subsequent Conversion Default and (ii) the
         right to have the Conversion Price with respect to subsequent
         conversions determined in accordance with Section 4.3 for the Company's
         failure to convert this Convertible Debenture.

         (e)      In lieu of delivering physical certificates representing the
         Common Stock issuable upon conversion, provided the Company's transfer
         agent is participating in the Depository Trust Company ("DTC") Fast
         Automated Securities Transfer program, upon request of the Holder and
         its compliance with the provisions contained in Section 4.1 and in this
         Section 4.4, the Company shall use its best efforts to cause its
         transfer agent to electronically transmit the Common Stock issuable
         upon conversion to the Holder by crediting the account of Holder's
         Prime Broker with DTC through its Deposit Withdrawal Agent Commission
         System.

                                       8
<PAGE>

         4.5      MANDATORY CONVERSION. In the event the volume weighted average
         sales price for the Common Stock, as reported by Bloomberg L.P., is
         equal to or greater than $1.50 for 60 consecutive Trading Days at any
         time following the Closing Date, Holder shall be required to convert
         this Convertible Debenture at the then applicable Conversion Price;
         provided, however, this provision shall be void if at the time Holder
         is required to convert this Convertible Debenture, the Registration
         Statement is not effective with the Commission.

5.       REDEMPTION.

         5.1      REQUIRED REDEMPTION. In accordance with the provisions of the
         Purchase Agreement and this Convertible Debenture, the Company may
         elect or be required under certain circumstances, to redeem in whole or
         in part, the remaining unpaid principal amount of this Convertible
         Debenture, for cash at a redemption price (the "Redemption Price")
         equal to (x) the number of shares of Common Stock into which this
         Convertible Debenture is then convertible, times (y) the average
         Closing Bid Price of Common Stock for the five (5) Trading Days as
         reported by Bloomberg L.P. immediately preceding the date that this
         Convertible Debenture is called for redemption, plus accrued and unpaid
         interest.

         5.2      MECHANICS OF REDEMPTION. The Company shall effect each such
         redemption within 10 business days of giving notice of its election to
         redeem by facsimile with a copy by either overnight or 2-day courier to
         the Holder of this Convertible Debenture to be redeemed at the address
         and facsimile number of such Holder appearing in the Company's register
         for the Convertible Debentures. Such redemption notice shall indicate
         whether the Company will redeem all or part of such portion of the
         Convertible Debenture to be redeemed and the applicable Redemption
         Price. The Company shall not be entitled to send any notice of
         redemption and begin the redemption procedure unless it has (i) the
         full amount of the Redemption Price, in cash, available in a demand or
         other immediately available account in a bank or similar financial
         institution or (ii) immediately available credit facilities, in the
         full amount of the Redemption Price, with a bank or similar financial
         institution on the date the redemption notice is sent to the Holders of
         this Convertible Debenture. Provided, however, the Company will process
         any Notice of Conversion received prior to the issuance of a notice of
         redemption; and further provided that, after a notice of redemption has
         been issued, the Holder may issue a Notice of Conversion which will not
         be honored unless the Company fails to make the redemption payment when
         due. In the event of such failure, the Notice of Conversion will be
         honored as of the date of the Notice of Conversion. Additionally, if
         the Company fails to make full payments of the Redemption Price of this
         Convertible Debenture being redeemed by the tenth day following the
         notice or redemption, then the Company waives its right to redeem any
         of the remaining then outstanding Debentures, unless approved by the
         Holder.

                                       9
<PAGE>

         5.3      PAYMENT OF REDEMPTION PRICE. The Redemption Price shall be
         paid to the Holder of this Convertible Debenture within 10 business
         days of the delivery of the notice of such redemption to such Holder.

6.       HOLDER'S RIGHT TO ADVANCE NOTICE OF ELECTION REDEEM.

         6.1      HOLDER'S RIGHT TO ELECT TO RECEIVE NOTICE OF CASH REDEMPTION
         BY COMPANY. The Holder of this Convertible Debenture shall have the
         right to require Company to provide advance notice stating whether the
         Company will elect to redeem all or part of the Convertible Debenture
         in cash, pursuant to the Company's redemption rights discussed in
         Section 5.1 above.

         6.2      MECHANICS OF HOLDER'S ELECTION NOTICE. Holder shall give
         notice to the Company by facsimile (the "Election Notice"), requiring
         that the Company disclose whether the Company would elect to redeem the
         redeemable portion of this Convertible Debenture (in whole or in part)
         if the Holder were to provide a Notice of Conversion and sought to
         convert the Convertible Debenture in such principal amount as is
         specified in the Notice of Election.

         6.3      COMPANY'S RESPONSE. Company must respond, disclosing its
         election, within two (2) business days of receipt of Holder's Election
         Notice via facsimile. If Company does not respond to Holder within two
         (2) business days (by 12:00 noon, if required above) via facsimile,
         Company shall be deemed to have forfeited its right to exercise
         redemption pursuant to Section 5(a) upon its receipt of (but only with
         respect to) that Notice of Conversion.

7.       MISCELLANEOUS. This Convertible Debenture shall be deemed to be a
contract made under the laws of the State of Florida, and for all purposes shall
be governed by and construed in accordance with the laws of said State. The
parties hereto, including all guarantors or endorsers, hereby waive presentment,
demand, notice, protest and all other demands and notices in connection with the
delivery, acceptance, performance and enforcement of this Convertible Debenture,
except as specifically provided herein, and asset to extensions of the time of
payment, or forbearance or other indulgence without notice. The Company hereby
submits to the exclusive jurisdiction of the United States District Court for
Florida and of any state court sitting in Palm Beach County, Florida for
purposes of all legal proceedings arising out of or relating to this Convertible
Debenture. The Company irrevocably waives, to the fullest extent permitted by
law, any objection which it may now or hereafter have to the laying of the venue
of any such proceeding brought in such a court and any claim that any such
proceeding brought in such a court has been brought in an inconvenient forum.
The Company hereby irrevocably waives any and all right to trial by jury in any
legal proceeding arising out of or relating to this Convertible Debenture.

         The Holder of this Convertible Debenture by acceptance of this
Convertible Debenture agrees to be bound by the provisions of this Convertible
Debenture which are expressly binding on such Holder.

                                       10
<PAGE>

                             SIGNATURE PAGE FOLLOWS

                                       11
<PAGE>

         IN WITNESS WHEREOF, the Company has caused this instrument to be duly
executed.

         Dated: May ___, 2002

                                      METROPOLITAN HEALTH NETWORKS, INC.

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

                                       12
<PAGE>

                                     ANNEX A

                         CONVERSION AND REPAYMENT LEDGER

<PAGE>

<TABLE>
<CAPTION>

                                 INTEREST CONVERTED  PRINCIPAL CONVERTED
DATE        PRINCIPAL BALANCE    OR PAID             OR PAID               NEW PRINCIPAL BALANCE   ISSUER INITIALS   HOLDER INITIALS
<S>         <C>                  <C>                 <C>                   <C>                     <C>               <C>
------------------------------------------------------------------------------------------------------------------------------------

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

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

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

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

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

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

------------------------------------------------------------------------------------------------------------------------------------
</TABLE>

<PAGE>

FULL NAME AND ADDRESS OF SUBSCRIBER FOR REGISTRATION PURPOSES:

NAME:

ADDRESS:

TEL NO:

FAX NO:

CONTACT
NAME:

DELIVERY INSTRUCTIONS (IF DIFFERENT FROM REGISTRATION NAME):

NAME:

ADDRESS:

TEL NO:

FAX NO:

CONTACT
NAME:

SPECIAL INSTRUCTIONS:
                     -----------------------------------------------------------

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

<PAGE>

                              NOTICE OF CONVERSION

                    (To be Executed by the Registered Holder

                 in order to Convert the Convertible Debenture)

         The undersigned hereby irrevocably elects to convert $________ of the
principal balance of the Convertible Debenture into shares of Common Stock, ____
par value per share (the "Common Stock"), of Metropolitan Health Networks, Inc.
(the "Company") according to the conditions hereof, as of the date written
below. No fee will be charged to the Holder for any conversion, except for
transfer taxes, if any. The undersigned, as contemplated by Section 5.1 of the
Securities Purchase Agreement pursuant to which the Convertible Debenture was
issued, hereby states that the representations and warranties of the undersigned
set forth therein are true and correct in all material respects as of the date
hereof (provided, the undersigned makes no representations concerning its
investment intent with respect to the Common Stock received upon this
conversion).

Conversion calculations:

                                            ------------------------------------
                                            Date of Conversion

                                            ------------------------------------
                                            Applicable Conversion Price

                                            ------------------------------------
                                            Number of Shares

                                            ------------------------------------
                                            Name/Signature

                                            Address:
                                            ------------------------------------

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

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