Document:

Exhibit 4.5

 

Securities
Purchase Agreement

 

This
Securities Purchase Agreement (this “Agreement”), dated as of June 6, 2014, is entered into by and between
Cabinet Grow, Inc., a Nevada corporation (the “Company”), and
Chicago Venture Partners, L.P., a Utah limited partnership, its successors and/or
assigns (“Buyer”).

A.The Company
and Buyer are executing and delivering this Agreement in reliance upon the exemption from securities registration afforded by the
rules and regulations promulgated by the United States Securities and Exchange Commission (the “SEC”) under
the Securities Act of 1933, as amended (the “1933 Act”).

B.Buyer desires
to purchase and the Company desires to issue and sell, upon the terms and conditions set forth in this Agreement (i) a Secured
Convertible Promissory Note, in the form attached hereto as Exhibit A, in the original principal amount of $1,657,500.00
(the “Note”), convertible into shares of common stock, $0.001 par value per share, of the Company (the “Common
Stock”), upon the terms and subject to the limitations and conditions set forth in such Note, and (ii) a Warrant to Purchase
Common Stock in the form attached hereto as Exhibit B (the “Warrant”).

This Agreement,
the Note, the Warrant, the Security Agreement (as defined below), the Stockholder Pledge Agreements (as defined below), the Buyer
Pledge Agreement (as defined below), the Secured Buyer Notes (as defined below), the Buyer Notes (as defined below), and all other
certificates, documents, agreements, resolutions and instruments delivered to any party under or in connection with this Agreement,
as the same may be amended from time to time, are collectively referred to herein as the “Transaction Documents”).

C.For purposes
of this Agreement: “Conversion Shares” means all shares of Common Stock issuable upon conversion of all or any
portion of the Note; “Warrant Shares” means all shares of Common Stock issuable upon the exercise of or pursuant
to the Warrant; and “Securities” means the Note, the Conversion Shares, the Warrant and the Warrant Shares.

NOW THEREFORE,
the Company and Buyer hereby agree as follows:

1. Purchase
and Sale of Securities.

1.1. Purchase
of Securities. On the Closing Date (as defined below), the Company shall issue and sell to Buyer and Buyer agrees to
purchase from the Company the Note and the Warrant. In consideration thereof, Buyer shall pay (i) the amount designated as
the initial cash purchase price on Buyer’s signature page to this Agreement (the “Initial Cash Purchase
Price”), and (ii) issue to the Company the Secured Buyer Notes and the Buyer Notes (the sum of the initial
principal amount of the Secured Buyer Notes and the Buyer Notes, together with the Initial Cash Purchase Price, the
“Purchase Price”). Subject to Section 1.5, the Secured Buyer Notes shall be secured by the Membership
Interest Pledge Agreement substantially in the form attached hereto as Exhibit C, as the same may be amended from time
to time (the “Buyer Pledge Agreement”). Initially, only the Secured Buyer Notes will be secured by
the Buyer Pledge Agreement pursuant to the terms and conditions of the Buyer Pledge Agreement, the Secured Buyer Notes and
this Agreement, but the Buyer Notes may become secured subsequent to the Closing (as defined below) by such collateral and at
such time as determined by Buyer in its sole discretion. The Purchase Price, the OID (as defined below) and the Carried
Transaction Expense (as defined below) are allocated to the Tranches (as defined in the Note) of the Note and to the Warrant
as set forth in the table attached hereto as Exhibit D.

1.2. Form of
Payment. On the Closing Date, (i) Buyer shall pay the Purchase Price to the Company by delivering the following at the
Closing: (A) the Initial Cash Purchase Price, which shall be delivered by wire transfer of immediately available funds to the
Company, in accordance with the Company’s written wiring instructions, (B) Secured Buyer Note #1 in the principal
amount of $250,000.00 duly executed and substantially in the form attached hereto as Exhibit E (“Secured
Buyer Note #1”); (C) Secured Buyer Note #2 in the principal amount of $250,000.00 duly executed and substantially
in the form attached hereto as Exhibit F (“Secured Buyer Note #2”, and together with Secured Buyer
Note #1, the “Secured Buyer Notes”); (D) Buyer Note #3 in the principal amount of $250,000.00 duly
executed and substantially in the form attached hereto as Exhibit G (“Buyer Note #3”); and (E)
Buyer Note #4 in the principal amount of $250,000.00 duly executed and substantially in the form attached hereto as Exhibit
H (“Buyer Note #4”, and together with Buyer Note #3, the “Buyer Notes”); and (ii)
the Company shall deliver the duly executed Note and Warrant on behalf of the Company, to Buyer, against delivery of such
Purchase Price.

1.3. Closing
Date. Subject to the satisfaction (or written waiver) of the conditions set forth in Section 5 and Section 6 below, the
date and time of the issuance and sale of the Securities pursuant to this Agreement (the “Closing Date”)
shall be 5:00 p.m., Eastern Time on or about June 6, 2014, or such other mutually agreed upon time. The closing of the
transactions contemplated by this Agreement (the “Closing”) shall occur on the Closing Date at the offices
of Buyer unless otherwise agreed upon by the parties.

1.4. Note
Collateral. The Note shall be secured by the collateral set forth in that certain Security Agreement attached hereto as Exhibit
I listing all of the Company’s assets, including without limitation the Secured Buyer Notes and the Buyer Notes, as
security for the Company’s obligations under the Transaction Documents (the “Security Agreement”).
The Note shall be further secured by certain Stock Pledge Agreements in the form attached hereto as Exhibit J
(collectively, the “Stock Pledge Agreements”), which Stock Pledge Agreements shall be made by each
stockholder of the Company (the “Stockholders”) in favor of Buyer with respect to all of such
Stockholder’s shares of Class A Preferred Stock of the Company (“Class A Preferred”), as more
specifically set forth in the Stock Pledge Agreements, all the terms and conditions of which are hereby incorporated and made
a part of this Agreement.

1.5. Secured
Buyer Note Collateral. At the Closing, Buyer shall execute the Buyer Pledge Agreement, thereby granting to the Company a
security interest in the collateral described therein (the “Collateral”). Buyer also agrees to file a UCC
Financing Statement (Form UCC1) with the Utah Department of Commerce in the manner set forth in the Buyer Pledge Agreement in
order to perfect the Company’s security interest in the Collateral. Notwithstanding anything to the contrary herein or
in any other Transaction Document, Buyer may, in Buyer’s sole discretion, add additional collateral to the Collateral
covered by the Buyer Pledge Agreement, and may substitute Collateral as Buyer deems fit, provided that the net fair market
value of the substituted Collateral may not be less than the aggregate principal balance of the Secured Buyer Notes as of the
date of any such substitution. In the event of a substitution of Collateral, Buyer shall timely execute any and all
amendments and documents necessary or advisable in order to properly release the original collateral and grant a security
interest upon the substitute collateral in favor of the Company, including without limitation the filing of an applicable UCC
Financing Statement Amendment (Form UCC3) with the Utah Department of Commerce. The Company agrees to sign the documents and
take such other measures requested by Buyer in order to accomplish the intent of the Transaction Documents, including without
limitation, execution of a Form UCC3 (or equivalent) termination statement against the Collateral within five (5) Trading
Days (as defined in the Note) after written request from Buyer. The Company acknowledges and agrees that the Collateral may
be encumbered by other monetary liens in priority and/or subordinate positions. The intent of the parties is that the net
fair market value of the Collateral (less any other prior liens or encumbrances) will be equal to or greater than the
aggregate outstanding balance of the Secured Buyer Notes. To the extent the fair market value of the Collateral (less any
other liens or encumbrances) is less than the total outstanding balance of all the Secured Buyer Notes, then the
Collateral will be deemed to only secure those Secured Buyer Notes with an aggregate outstanding balance that is less than or
equal to such net fair market value of the Collateral, applied in numerical order of the Secured Buyer Notes. By way of
example only, if the fair market value of the Collateral is determined by appraisal to be $500,000 and the Collateral is
encumbered by $250,000 of prior liens, then the net fair market value for purposes of this section is $250,000 ($500,000 -
$250,000). Accordingly, the Collateral will be deemed to secure only Secured Buyer Note #1, while Secured Buyer Note #2 shall
be deemed unsecured. If the Collateral is subsequently appraised for $500,000 with all prior liens removed, then the
Collateral will automatically be deemed to secure Secured Buyer Note #1 and Secured Buyer Note #2.

1.6. Original
Issue Discount; Transaction Expenses. The Note carries an original issue discount of $150,000.00 (the
“OID”). In addition, the Company agrees to pay $10,000.00 to Buyer to cover Buyer’s legal fees,
accounting costs, due diligence, monitoring and other transaction costs incurred in connection with the purchase and sale of
the Securities, $2,500.00 of which amount was previously paid to Buyer and $7,500.00 (the “Carried Transaction
Expense Amount”) of which amount is included in the initial principal balance of this Note. The Purchase Price,
therefore, shall be $1,500,000.00, computed as follows: $1,657,500.00 original principal balance, less the OID, less the
Carried Transaction Expense Amount. The Initial Cash Purchase Price shall be the Purchase Price less the sum of the initial
principal amounts of the Secured Buyer Notes and the Buyer Notes.

2. Buyer’s
Representations and Warranties. Buyer represents and warrants to the Company that: (i) this Agreement has been duly and
validly authorized; (ii) this Agreement constitutes a valid and binding agreement of Buyer enforceable in accordance with its
terms; (iii) Buyer is an “accredited investor” as that term is defined in Rule 501(a) of Regulation D of the 1933
Act, and (iv) this Agreement, the Secured Buyer Notes, the Buyer Notes, and the Buyer Pledge Agreement have been duly
executed and delivered on behalf of Buyer.

3. Representations
and Warranties of the Company. The Company represents and warrants to Buyer that: (i) the Company is a corporation duly
organized, validly existing and in good standing under the laws of its state of incorporation and has the requisite corporate
power to own its properties and to carry on its business as now being conducted; (ii) the Company is duly qualified as a
foreign corporation to do business and is in good standing in each jurisdiction where the nature of the business conducted or
property owned by it makes such qualification necessary; (iii) each of the Transaction Documents and the transactions
contemplated hereby and thereby, have been duly and validly authorized by the Company; (iv) this Agreement, the Note, the
Security Agreement, the Warrant, and the other Transaction Documents have been duly executed and delivered by the Company and
constitute the valid and binding obligations of the Company enforceable in accordance with their terms, subject as to
enforceability only to general principles of equity and to bankruptcy, insolvency, moratorium, and other similar laws
affecting the enforcement of creditors’ rights generally; (v) the execution and delivery of the Transaction Documents
by the Company, the issuance of Securities in accordance with the terms hereof, and the consummation by the Company of the
other transactions contemplated by the Transaction Documents do not and will not conflict with or result in a breach by the
Company of any of the terms or provisions of, or constitute a default under (a) the Company’s formation documents or
bylaws, each as currently in effect, (b) any indenture, mortgage, deed of trust, or other material agreement or instrument to
which the Company is a party or by which it or any of its properties or assets are bound, including any listing agreement for
the Common Stock, or (c) to the Company’s knowledge, any existing applicable law, rule, or regulation or any applicable
decree, judgment, or order of any court, United States federal or state regulatory body, administrative agency, or other
governmental body having jurisdiction over the Company or any of the Company’s properties or assets; (vi) no further
authorization, approval or consent of any court, governmental body, regulatory agency, self-regulatory organization, or stock
exchange or market or the stockholders or any lender of the Company is required to be obtained by the Company for the
issuance of the Securities to Buyer; (vii) the Company is not, nor has it ever been, a “Shell Company,” as such
type of “issuer” is described in Rule 144(i)(1) under the 1933 Act; (viii) the Company has taken no action
which would give rise to any claim by any person or entity for a brokerage commission, placement agent or finder’s fees
or similar payments by Buyer relating to the Note or the transactions contemplated hereby; (ix) except for such fees arising
as a result of any agreement or arrangement entered into by Buyer without the knowledge of the Company (a
“Buyer’s Fee”), Buyer shall have no obligation with respect to such fees or with respect to any
claims made by or on behalf of other persons for fees of a type contemplated in this subsection that may be due in connection
with the transactions contemplated hereby and the Company shall indemnify and hold harmless each of Buyer, Buyer’s
employees, officers, directors, stockholders, managers, agents, and partners, and their respective affiliates, from and
against all claims, losses, damages, costs (including the costs of preparation and attorneys’ fees) and expenses
suffered in respect of any such claimed or existing fees (other than a Buyer’s Fee, if any); and (x) when issued, each
of the Securities (including, without limitation, the Conversion Shares and the Warrant Shares), will be validly issued,
fully paid for and non-assessable, free and clear of all liens, claims, charges and encumbrances.

4. Company
Covenants. Until all of the Company’s obligations hereunder are paid and performed in full, or within the
timeframes otherwise specifically set forth below, the Company shall comply with the following covenants: (i) from the
Trading Date (as defined below) until the date that is six (6) months after all the Conversion Shares and the Warrant Shares
either have been sold by Buyer, or may permanently be sold by Buyer without any restrictions pursuant to Rule 144, the
Company shall timely make all filings required to be made by it under the 1933 Act, the Securities Exchange Act of 1934, as
amended (the “1934 Act”), Rule 144 or any United States securities laws and regulations thereof applicable
to the Company or by the rules and regulations of its principal trading market, and such filings shall conform to the
requirements of applicable laws, regulations and government agencies, and, unless such filings are publicly available on the
SEC’s EDGAR system (via the SEC’s web site at no additional charge), the Company shall provide a copy thereof to
Buyer promptly after such filings; (ii) from the Trading Date and for so long as Buyer beneficially owns any of the
Securities and for at least twenty (20) Trading Days thereafter, the Company shall file all reports required to be filed with
the SEC pursuant to Sections 13 or 15(d) of the 1934 Act, and shall take all reasonable action under its control to
ensure that adequate current public information with respect to the Company, as required in accordance with Rule 144, is
publicly available, and shall not terminate its status as an issuer required to file reports under the 1934 Act even if the
1934 Act or the rules and regulations thereunder would permit such termination; (iii) from the Trading Date and for so long
as Buyer beneficially owns any of the Securities and for at least twenty (20) Trading Days thereafter, the Common Stock
shall be listed or quoted for trading on any of (a) the NYSE Amex, (b) the New York Stock Exchange, (c) the Nasdaq Global
Market, (d) the Nasdaq Capital Market, (e) the OTC Bulletin Board, (f) the OTCQX, or (g) the OTCQB (each of the foregoing, an
“Eligible Market”); (iv) the Company shall use the net proceeds received hereunder for working capital and
general corporate purposes only; provided, however, the Company will not use such proceeds to pay fees payable (A) to
any broker or finder relating to the offer and sale of the Securities unless such broker, finder, or other party is a
registered investment adviser or registered broker-dealer and such fees are paid in full compliance with all applicable laws
and regulations, or (B) to any other party relating to any financing transaction effected prior to the date hereof; (v) from
and after the date hereof and until all of the Company’s obligations hereunder and the Note are paid and performed in
full, the Company shall not transfer, assign, sell, pledge, hypothecate or otherwise alienate or encumber any of the
Company’s assets that are encumbered by the Security Agreement, including without limitation the Secured Buyer Notes or
the Buyer Notes, in any way without the prior written consent of Buyer; (vi) when issued, each of the Securities (including,
without limitation, the Conversion Shares and the Warrant Shares), will be validly issued, fully paid for and non-assessable,
free and clear of all liens, claims, charges and encumbrances; (vii) the Company shall exercise its best efforts to, within
four (4) months of the Closing Date, file a Registration Statement on Form S-1 with the SEC and file and obtain FINRA
approval of a Form 15c2-11, but in any event shall, within five (5) months of the Closing Date, file a Registration Statement
on Form S-1 with the SEC and file and obtain FINRA approval of a Form 15c2-11; (viii) the Company shall exercise its best
efforts to cause its Common Stock to be trading on an Eligible Market within six (6) months of the Closing Date (the date on
which the Common Stock is first trading on an Eligible Market, the “Trading Date”), but in any event
shall cause its Common Stock to be trading on an Eligible Market within nine (9) months of the Closing Date; (ix) on or
before the Trading Date, the Company shall deliver the Irrevocable Letter of Instructions to Transfer Agent (the
“Transfer Agent Letter”) substantially in the form attached hereto as Exhibit K to its transfer
agent (the “Transfer Agent”) and shall exercise its best efforts to cause the Transfer Agent to execute
the same; (x) the Company shall not amend any of its organizational documents, including without limitation its Articles of
Incorporation, Bylaws, stockholder agreements or similar documents, that would limit, impact or interfere with any proxy,
voting or foreclosure rights of Buyer set forth in any Stock Pledge Agreement or any other rights of Buyer pursuant to any of
the Transaction Documents; and (xi) the Company shall not, without the prior written consent of Buyer, (A) alter, change or
modify the terms, rights, privileges, voting rights, or preferences of the Class A Preferred as in effect on the date hereof,
(B) issue any additional shares of Class A Preferred or any other class of stock other than Common Stock, and (C) create any
new class of stock, whether preferred or common.

5. Conditions
to Company’s Obligation to Sell. The obligation of the Company hereunder to issue and sell the Securities to Buyer
at the Closing is subject to the satisfaction, at or before the Closing Date, of each of the following conditions:

5.1. Buyer shall
have executed this Agreement, the Secured Buyer Notes, the Buyer Notes and the Buyer Pledge Agreement, and delivered the same
to the Company.

5.2. Buyer shall
have delivered the Purchase Price in accordance with Section 1.2 above.

6. Conditions
to Buyer’s Obligation to Purchase. The obligation of Buyer hereunder to purchase the Securities at the Closing is
subject to the satisfaction, at or before the Closing Date, of each of the following conditions, provided that these
conditions are for Buyer’s sole benefit and may be waived by Buyer at any time in its sole discretion:

6.1. The Company
shall have executed this Agreement and delivered the same to Buyer.

6.2. The Company
shall have delivered to Buyer the duly executed Note and Warrant in accordance with Section 1.2 above.

6.3. The Company
shall have delivered to Buyer a fully executed Secretary’s Certificate evidencing the Company’s approval of the
Transaction Documents substantially in the form attached hereto as Exhibit L.

6.4. The Company
shall have delivered to Buyer a fully executed Share Issuance resolution to be delivered to the Transfer Agent substantially
in the form attached hereto as Exhibit M.

6.5. Each
Stockholder shall have delivered to Buyer a fully executed Stock Pledge Agreement.

6.6. The Company
shall have delivered to Buyer fully executed copies of the Security Agreement, the Buyer Pledge Agreement, the Stock Pledge
Agreements, and all other Transaction Documents required to be executed by the Company herein or therein.

6.7. The Company
shall have designated a new class of preferred stock known as Class A Preferred Stock having rights and privileges that are
acceptable to Buyer, and certificates evidencing their ownership of such shares shall have been issued to the
Stockholders.

7. Reservation
of Shares. Beginning on the Trading Date and at all times thereafter during which the Note is convertible or the Warrant
is exercisable, the Company will reserve from its authorized and unissued Common Stock to provide for the issuance of Common
Stock upon the full conversion of the Note and full exercise of the Warrant. The Company will at all times reserve at least
(i) three times the number of shares of Common Stock necessary to convert the total Outstanding Balance (as defined in and
determined pursuant to the Note, but only with respect to Conversion Eligible Tranches (as defined in the Note)) of the Note, plus (ii)
three times the number of Warrant Shares (as determined pursuant to the Warrant) deliverable upon full exercise of the
Warrant (the “Share Reserve”), but in any event not less than 10,000,000 shares of Common Stock shall be
reserved at all times for such purpose (the “Transfer Agent Reserve”). The Company further agrees that at
all times following the Trading Date it will cause its transfer agent to immediately add shares of Common Stock to the
Transfer Agent Reserve in increments of 1,000,000 shares as and when requested by Buyer in writing from time to time,
provided that such incremental increases do not cause the Transfer Agent Reserve to exceed the Share Reserve. In furtherance
thereof, from and after the Trading Date and until such time that the Note has been paid in full and the Warrant exercised in
full, the Company shall require its transfer agent to reserve for the purpose of issuance of Conversion Shares under the Note
and Warrant Shares under the Warrant, a number of shares of Common Stock equal to the Transfer Agent Reserve. The Company
shall further require its transfer agent to hold such shares of Common Stock exclusively for the benefit of Buyer and to
issue such shares to Buyer promptly upon Buyer’s delivery of a conversion notice under the Note or a Notice of Exercise
under any Warrant.

8. Governing
Law; Miscellaneous. The provisions set forth in this Section 8 shall apply to this Agreement, as well as all other
Transaction Documents as if these terms were fully set forth therein.

8.1. Cross
Default. Any Event of Default (as defined in the Note) by the Company under the Note shall be deemed a default under this
Agreement, and any default by the Company under this Agreement shall be deemed an Event of Default under the Note.

8.2. Governing
Law; Venue. This Agreement shall be governed by and interpreted in accordance with the laws of the State of Utah for
contracts to be wholly performed in such state and without giving effect to the principles thereof regarding the conflict of
laws. Each party consents to and expressly agrees that venue for Arbitration (as defined in Exhibit N) of any dispute
arising out of or relating to any Transaction Document or the relationship of the parties or their affiliates shall be in
Salt Lake County or Utah County, Utah); provided, however, that notwithstanding anything herein to the contrary,
enforcement of Investor’s rights under the Security Agreement will occur in accordance with the Uniform Commercial Code
of the state in which the collateral described therein is located and enforcement of Company’s rights over the
Collateral will occur in accordance with the laws of the state in which the Collateral is located). Without modifying the
parties obligations to resolve disputes hereunder pursuant to the Arbitration Provisions (as defined below), for any
litigation arising in connection with any of the Transaction Documents, each party hereto hereby (a) consents to and
expressly submits to the exclusive personal jurisdiction of any state or federal court sitting in Salt Lake County, Utah, (b)
expressly submits to the venue of any such court for the purposes hereof, and (c) waives any claim of improper venue and any
claim or objection that such courts are an inconvenient forum or any other claim or objection to the bringing of any such
proceeding in such jurisdictions or to any claim that such venue of the suit, action or proceeding is improper.

8.3. Arbitration
of Claims. The parties shall submit all Claims (as defined in Exhibit N) arising under this Agreement or any
other Transaction Document or other agreements between the parties and their affiliates to binding arbitration pursuant to
the arbitration provisions set forth in Exhibit N attached hereto (the “Arbitration Provisions”).
The parties hereby acknowledge and agree that the Arbitration Provisions are unconditionally binding on the parties hereto
and are severable from all other provisions of this Agreement. Any capitalized term not defined in the Arbitration Provisions
shall have the meaning set forth in this Agreement. By executing this Agreement, the Company represents, warrants and
covenants that the Company has reviewed the Arbitration Provisions carefully, consulted with legal counsel about such
provisions (or waived its right to do so), understands that the Arbitration Provisions are intended to allow for the
expeditious and efficient resolution of any dispute hereunder, agrees to the terms and limitations set forth in the
Arbitration Provisions, and that the Company will not take a position contrary to the foregoing representations. The Company
acknowledges and agrees that Buyer may rely upon the foregoing representations and covenants of the Company regarding the
Arbitration Provisions.

8.4. Counterparts.
Each Transaction Document may be executed in any number of counterparts, each of which shall be deemed an original, but all
of which together shall constitute one instrument. The parties hereto confirm that any electronic copy of another
party’s executed counterpart of a Transaction Document (or such party’s signature page thereof) will be deemed to
be an executed original thereof.

8.5. Headings.
The headings of this Agreement are for convenience of reference only and shall not form part of, or affect the
interpretation of, this Agreement.

8.6. Severability.
In the event that any provision of this Agreement is invalid or unenforceable under any applicable statute or rule of law,
then such provision shall be deemed inoperative to the extent that it may conflict therewith and shall be deemed modified to
conform to such statute or rule of law. Any provision hereof which may prove invalid or unenforceable under any law shall not
affect the validity or enforceability of any other provision hereof.

8.7. Entire
Agreement; Amendments. This Agreement and the instruments and exhibits referenced herein contain the entire understanding
of the parties with respect to the matters covered herein and therein and, except as specifically set forth herein or
therein, neither the Company nor Buyer makes any representation, warranty, covenant or undertaking with respect to such
matters. No provision of this Agreement may be waived or amended other than by an instrument in writing signed by the parties
hereto.

8.8. Notices.
Any notice required or permitted hereunder shall be given in writing (unless otherwise specified herein) and shall be deemed
effectively given on the earliest of: (a) the date delivered, if delivered by personal delivery as against written receipt
therefor or by e-mail to an executive officer, or by facsimile (with successful transmission confirmation), (b) the earlier
of the date delivered or the third Trading Day after deposit, postage prepaid, in the United States Postal Service by
certified mail, or (c) the earlier of the date delivered or the third Trading Day after mailing by express courier, with
delivery costs and fees prepaid, in each case, addressed to each of the other parties thereunto entitled at the following
addresses (or at such other addresses as such party may designate by ten (10) calendar days’ advance written notice
similarly given to each of the other parties hereto):

If to the Company:

 

Cabinet Grow, Inc.

Attn: Sam May

17801 Main Street #E

Irvine, California 92614

 

With a copy to (which copy shall not constitute notice):

 

Legal & Compliance,
LLC

Attn: Laura Anthony

330 Clematis Street, Suite 217

West Palm Beach, Florida 33401

 

If to Buyer:

 

Chicago Venture Partners, L.P.

Attn: John Fife

303 East Wacker Drive, Suite 1200

Chicago, Illinois 60601

 

With a copy to (which copy shall not constitute notice):

 

Hansen Black Anderson Ashcraft PLLC

Attn: Jonathan K. Hansen

2940 West Maple Loop, Suite 103

Lehi, Utah 84043

 

8.9. Successors
and Assigns. This Agreement or any of the severable rights and obligations inuring to the benefit of or to be performed
by Buyer hereunder may be assigned by Buyer to a third party, including its financing sources, in whole or in part, without
the need to obtain the Company’s consent thereto. The Company may not assign its rights or obligations under this
Agreement or delegate its duties hereunder without the prior written consent of Buyer.

8.10. Survival.
The representations and warranties of the Company and the agreements and covenants set forth in this Agreement shall survive
the Closing hereunder notwithstanding any due diligence investigation conducted by or on behalf of Buyer. The Company agrees
to indemnify and hold harmless Buyer and all its officers, directors, employees, attorneys, and agents for loss or damage
arising as a result of or related to any breach or alleged breach by the Company of any of its representations, warranties
and covenants set forth in this Agreement or any of its covenants and obligations under this Agreement, including advancement
of expenses as they are incurred.

8.11. Publicity.
The Company and Buyer shall have the right to review a reasonable period of time before issuance of any press releases by
the other party with respect to the transactions contemplated hereby.

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

8.13. Buyer’s
Rights and Remedies Cumulative; Liquidated Damages. All rights, remedies, and powers conferred in this Agreement and the
Transaction Documents are cumulative and not exclusive of any other rights or remedies, and shall be in addition to every
other right, power, and remedy that Buyer may have, whether specifically granted in this Agreement or any other Transaction
Document, or existing at law, in equity, or by statute, and any and all such rights and remedies may be exercised from time
to time and as often and in such order as Buyer may deem expedient. The parties acknowledge and agree that upon the
Company’s failure to comply with the provisions of the Transaction Documents, Buyer’s damages would be uncertain
and difficult (if not impossible) to accurately estimate because of the parties’ inability to predict future interest
rates and future share prices, Buyer’s increased risk, and the uncertainty of the availability of a suitable substitute
investment opportunity for Buyer, among other reasons. Accordingly, any fees, charges, and default interest due under the
Note, the Warrant, and the other Transaction Documents are intended by the parties to be, and shall be deemed, liquidated
damages (under the Company’s and Buyer’s expectations that any such liquidated damages will tack back to the
Closing Date for purposes of determining the holding period under Rule 144). The parties agree that such liquidated damages
are a reasonable estimate of Buyer’s actual damages and not a penalty, and shall not be deemed in any way to limit any
other right or remedy Buyer may have hereunder, at law or in equity. The parties acknowledge and agree that under the
circumstances existing at the time this Agreement is entered into, such liquidated damages are fair and reasonable and are
not penalties. All fees, charges, and default interest provided for in the Transaction Documents are agreed to by the parties
to be based upon the obligations and the risks assumed by the parties as of the Closing Date and are consistent with
investments of this type. The liquidated damages provisions of the Transaction Documents shall not limit or preclude a party
from pursuing any other remedy available at law or in equity; provided, however, that the liquidated damages provided
for in the Transaction Documents are intended to be in lieu of actual damages.

8.14. Ownership
Limitation. Notwithstanding anything to the contrary contained in this Agreement or the other Transaction Documents, if
at any time Buyer shall or would be issued shares of Common Stock under any of the Transaction Documents, but such issuance
would cause Buyer (together with its affiliates) to beneficially own a number of shares exceeding the Maximum Percentage (as
defined in the Note), then the Company must not issue to Buyer the shares that would cause Buyer to exceed the Maximum
Percentage. The shares of Common Stock issuable to Buyer that would cause the Maximum Percentage to be exceeded are referred
to herein as the “Ownership Limitation Shares”. The Company will reserve the Ownership Limitation Shares
for the exclusive benefit of Buyer. From time to time, Buyer may notify the Company in writing of the number of the Ownership
Limitation Shares that may be issued to Buyer without causing Buyer to exceed the Maximum Percentage. Upon receipt of such
notice, the Company shall be unconditionally obligated to immediately issue such designated shares to Buyer, with a
corresponding reduction in the number of the Ownership Limitation Shares. For purposes of this Section, beneficial ownership
of Common Stock will be determined under Section 13(d) of the 1934 Act.

8.15. Attorneys’
Fees and Cost of Collection. In the event of any arbitration or action at law or in equity to enforce or interpret the
terms of this Agreement or any of the other Transaction Documents, the parties agree that the party who is awarded the most
money shall be deemed the prevailing party for all purposes and shall therefore be entitled to an additional award of the
full amount of the attorneys’ fees, deposition costs, and expenses paid by such prevailing party in connection with
arbitration or litigation without reduction or apportionment based upon the individual claims or defenses giving rise to the
fees and expenses. Nothing herein shall restrict or impair an arbitrator’s or a court’s power to award fees and
expenses for frivolous or bad faith pleading. If (a) the Note or Warrant is placed in the hands of an attorney for
collection or enforcement prior to commencing arbitration or legal proceedings, or is collected or enforced through any
arbitration or legal proceeding, or Buyer otherwise takes action to collect amounts due under the Note or to enforce the
provisions of the Note or any Warrant; or (b) there occurs any bankruptcy, reorganization, receivership of the Company
or other proceedings affecting the Company’s creditors’ rights and involving a claim under the Note or any
Warrant; then the Company shall pay the costs incurred by Buyer for such collection, enforcement or action or in connection
with such bankruptcy, reorganization, receivership or other proceeding, including, without limitation, attorneys’ fees,
expenses, deposition costs, and disbursements.

8.16. Waiver.
No waiver of any provision of this Agreement shall be effective unless it is in the form of a writing signed by the party
granting the waiver. No waiver of any provision or consent to any prohibited action shall constitute a waiver of any other
provision or consent to any other prohibited action, whether or not similar. No waiver or consent shall constitute a
continuing waiver or consent or commit a party to provide a waiver or consent in the future except to the extent specifically
set forth in writing.

8.17. Waiver
of Jury Trial. EACH PARTY TO THIS AGREEMENT IRREVOCABLY WAIVES ANY AND ALL RIGHTS SUCH PARTY MAY HAVE TO DEMAND THAT ANY
ACTION, PROCEEDING OR COUNTERCLAIM ARISING OUT OF OR IN ANY WAY RELATED TO THIS AGREEMENT OR THE RELATIONSHIPS OF THE PARTIES
HERETO BE TRIED BY JURY. THIS WAIVER EXTENDS TO ANY AND ALL RIGHTS TO DEMAND A TRIAL BY JURY ARISING UNDER COMMON LAW OR ANY
APPLICABLE STATUTE, LAW, RULE OR REGULATION. FURTHER, EACH PARTY HERETO ACKNOWLEDGES THAT SUCH PARTY IS KNOWINGLY AND
VOLUNTARILY WAIVING SUCH PARTY’S RIGHT TO DEMAND TRIAL BY JURY.

8.18. Time of
the Essence. Time is expressly made of the essence of each and every provision of this Agreement and the other
Transaction Documents.

[Remainder of page intentionally left blank;
signature page to follow]

    	 

    	 

    

SUBSCRIPTION AMOUNT:

 

	Principal Amount of Note:	$1,657,500.00
	 	 
	Initial Cash Purchase Price:	$500,000.00

 

IN WITNESS WHEREOF,
the undersigned Buyer and Company have caused this Agreement to be duly executed as of the date first above written.

 

LENDER:

 

Chicago
Venture Partners, L.P.

 

By: Chicago Ventures Management, LLC,
its General Partner

 

By: CVM, Inc., its Manager

 

By: _______________________________

     John M. Fife, President

 

 

COMPANY:

 

Cabinet
Grow, Inc.

 

 

By: ______________________________________

Printed Name: ______________________________

Title: _____________________________________

 

ATTACHED EXHIBITS:

 

		Exhibit A	Note

		Exhibit B	Warrant

		Exhibit C	Buyer Pledge Agreement

		Exhibit D	Allocation of Purchase Price

		Exhibit E	Secured Buyer Note #1

		Exhibit F	Secured Buyer Note #2

		Exhibit G	Buyer Note #3

		Exhibit H	Buyer Note #4

		Exhibit I	Security Agreement

		Exhibit J	Stock Pledge Agreements

		Exhibit K	Irrevocable Transfer Agent Instructions

		Exhibit L	Secretary’s Certificate

		Exhibit M	Share Issuance Resolution

		Exhibit N	Arbitration Provisions

 

    	 

    	 

    

EXHIBIT N

 

ARBITRATION PROVISIONS

 

1. Dispute
Resolution. For purposes of this Exhibit N, the term “Claims” means any disputes, claims,
demands, causes of action, liabilities, damages, losses, or controversies whatsoever arising from related to or connected
with the transactions contemplated in the Transaction Documents and any communications between the parties related thereto,
including without limitation any claims of mutual mistake, mistake, fraud, misrepresentation, failure of formation, failure
of consideration, promissory estoppel, unconscionability, failure of condition precedent, rescission, and any statutory
claims, tort claims, contract claims, or claims to void, invalidate or terminate the Agreement or any of the other
Transaction Documents. The parties hereby agree that the arbitration provisions set forth in this Exhibit N
(“Arbitration Provisions”) are binding on the parties hereto and are severable from all other provisions
in the Transaction Documents. As a result, any attempt to rescind the Agreement or declare the Agreement or any other
Transaction Document invalid or unenforceable for any reason is subject to these Arbitration Provisions. These
Arbitration Provisions shall also survive any termination or expiration of the Agreement.

 

2. Arbitration.
Except as otherwise provided herein, all Claims must be submitted to arbitration (“Arbitration”) to be
conducted in Salt Lake County, Utah or Utah County, Utah and pursuant to the terms set forth in these Arbitration Provisions.
The parties agree that the award of the Arbitration Panel (as defined below) shall be final and binding upon the parties;
shall be the sole and exclusive remedy between them regarding any Claims, counterclaims, issues, or accountings presented or
pleaded to the Arbitration Panel; and shall promptly be payable in United States dollars free of any tax, deduction or offset
(with respect to monetary awards). Any costs or fees, including without limitation attorneys’ fees, incident to
enforcing the Arbitration Panel’s award shall, to the maximum extent permitted by law, be charged against the party
resisting such enforcement. The award shall include Default Interest (as defined in the Note) both before and after the
award. Judgment upon the award of the Arbitration Panel will be entered and enforced by a state court sitting in Salt Lake
County, Utah. The parties hereby incorporate herein the provisions and procedures set forth in the Utah Uniform Arbitration
Act, U.C.A. § 78B-11-101 et seq. (as amended or superseded from time to time, the “Arbitration
Act”). Pursuant to Section 78B-11-105 of the Arbitration Act, in the event of conflict between the terms of these
Arbitration Provisions and the provisions of the Arbitration Act, the terms of these Arbitration Provisions shall
control.

 

3. Arbitration
Proceedings. Arbitration between the parties will be subject to the following procedures:

 

3.1. Pursuant to
Section 110 of the Arbitration Act, the parties agree that a party may initiate Arbitration by giving written notice to the
other party (“Arbitration Notice”) in the same manner that notice is permitted under Section 8.8 of the
Agreement; provided, however, that the Arbitration Notice may not be given by email or fax. Arbitration will be deemed
initiated as of the date that the Arbitration Notice is deemed delivered under Section 8.8 of the Agreement (the
“Service Date”). After the Service Date, information may be delivered, and notices may be given, by email
or fax pursuant to Section 8.8 of the Agreement or any other method permitted thereunder. The Arbitration Notice must
describe the nature of the controversy, the remedies sought, and the election to commence Arbitration proceedings. All Claims
in the Arbitration Notice must be pleaded consistent with the Utah Rules of Civil Procedure.

 

3.2. The final
Arbitration hearing will be heard by a three (3) person arbitration panel (“Arbitration Panel”). Within
ten (10) calendar days after the Service Date, Investor shall select and submit to Company the names of five (5) arbitrators
that are designated as “neutrals” or qualified arbitrators by Utah ADR Services (http://www.utahadrservices.com)
(such five designated persons hereunder are referred to herein as the “Proposed Arbitrators”). For the
avoidance of doubt, each Proposed Arbitrator must be qualified as a “neutral” with Utah ADR Services. Within ten
(10) calendar days after Investor has submitted to Company the names of the Proposed Arbitrators, Company must select, by
written notice to Investor, three (3) of the Proposed Arbitrators to act as the members of the Arbitration Panel. If Company
fails to select three of the Proposed Arbitrators in writing within such 10-day period, then Investor may select such three
arbitrators from the Proposed Arbitrators by providing written notice of such selection to Company. If Investor fails to
identify the Proposed Arbitrators within the time period required above, then Company may at any time prior to Investor
designating the Proposed Arbitrators, select the names of the five (5) Proposed Arbitrators. Investor may then, within ten
(10) calendar days after Company has submitted notice of its Proposed Arbitrators to Investor, select, by written notice to
Company, three (3) of the Proposed Arbitrators to serve on the Arbitration Panel. If Investor fails to select in writing and
within such 10-day period the three members of the Arbitration Panel, then Company may select such three members of the
Arbitration Panel by providing written notice of such selection to Investor. After the three members of the Arbitration Panel
are selected, Investor shall designate in writing to Company the name of one of such three arbitrators to serve as the lead
arbitrator (the “Lead Arbitrator”). Subject to Paragraph 3.12 below, the cost of the arbitrators must be
paid equally by both parties; provided, however, that if one party refuses or fails to pay its portion of the
arbitrators’ fees, then the other party can advance such unpaid amounts (subject to the accrual of Default Interest
thereupon), with such amount added to or subtracted from, as applicable, the award granted by the Arbitration Panel. If Utah
ADR Services ceases to exist or to provide a list of neutrals, then the arbitrators shall be selected under the then
prevailing rules of the American Arbitration Association. The date that all three selected arbitrators agree in writing to
serve as the arbitrators hereunder is referred to herein as the “Arbitration Commencement Date”.

 

3.3. An answer and any
counterclaims to the Arbitration Notice, which must be pleaded consistent with the Utah Rules of Civil Procedure, shall be
required to be delivered to the other party within twenty (20) calendar days after the Service Date. Upon request, the
Arbitration Panel is hereby instructed to render a default award, consistent with the relief requested in the Arbitration
Notice, against a party that fails to submit an answer within such time period.

 

3.4. The party that
delivers the Arbitration Notice to the other party shall have the option to also commence legal proceedings with any state
court sitting in Salt Lake County, Utah (“Litigation Proceedings”), subject to the following: (i) the
complaint in the Litigation Proceedings is to be substantially similar to the claims set forth in the Arbitration Notice,
provided that an additional cause of action to compel arbitration will also be included therein, (ii) so long as the other
party files an answer to the complaint in the Litigation Proceedings and an answer to the Arbitration Notice, the Litigation
Proceedings will be stayed pending an award of the Arbitration Panel hereunder, (iii) if the other party fails to file an
answer in the Litigation Proceedings or an answer in the Arbitration Proceedings, then the party initiating Arbitration shall
be entitled to a default judgment consistent with the relief requested, to be entered in the Litigation Proceedings, and (iv)
any legal or procedural issue arising under the Arbitration Act that requires a decision of a court of competent jurisdiction
may be determined in the Litigation Proceedings. Any award of the Arbitration Panel may be entered in such Litigation
Proceedings pursuant to the Arbitration Act.

 

3.5. Pursuant to
Section 118(8) of the Arbitration Act, the parties agree that discovery shall be conducted in accordance with the Utah Rules
of Civil Procedure; provided, however, that incorporation of such rules will in no event supersede the Arbitration
Provisions set forth herein, including without limitation the time limitation set forth in Paragraph 3.9 below, and the
following:

 

(a) The Lead
Arbitrator will be responsible for determining all issues regarding discovery.

 

(b) Discovery will
only be allowed if the likely benefits of the proposed discovery outweigh the burden or expense, and the discovery sought is
likely to reveal information that will satisfy a specific element of a claim or defense already pleaded in the Arbitration.
The party seeking discovery shall always have the burden of showing that all of the standards and limitations set forth in
these Arbitration Provisions are satisfied. The scope of discovery in the Arbitration proceedings shall also be limited as
follows:

 

(i) To
facts directly connected with the transactions contemplated by the Agreement.

 

(ii) To
facts and information that cannot be obtained from another source that is more convenient, less burdensome or less
expensive.

 

(c) No party shall be
allowed (a) more than fifteen (15) interrogatories (including discrete subparts), (b) more than fifteen (15) requests for
admission (including discrete subparts), (c) more than ten (10) document requests (including discrete subparts), or (d) more
than three depositions (excluding expert depositions) for a maximum of seven (7) hours per deposition.

 

3.6. Any party
submitting any written discovery requests, including interrogatories, requests for production, subpoenas to a party or a
third party, or requests for admissions, must prepay the estimated attorneys’ fees and costs, as determined by the Lead
Arbitrator, before the responding party has any obligation to produce or respond.

 

(a) All discovery
requests must be submitted in writing to the Lead Arbitrator and the other party before issuing or serving such discovery
requests. The party issuing the written discovery requests must include with such discovery requests a detailed explanation
of how the proposed discovery requests satisfy the requirements of these Arbitration Provisions and the Utah Rules of Civil
Procedure. Any party will then be allowed, within ten (10) calendar days of receiving the proposed discovery requests, to
submit to the Lead Arbitrator an estimate of the attorneys’ fees and costs associated with responding to such written
discovery requests and a written challenge to each applicable discovery request. After receipt of an estimate of
attorneys’ fees and costs and/or challenge(s) to one or more discovery requests, the Lead Arbitrator will make a
finding as to the likely attorneys’ fees and costs associated with responding to the discovery requests and issue an
order that (A) requires the requesting party to prepay the attorneys’ fees and costs associated with responding to the
discovery requests, and (B) requires the responding party to respond to the discovery requests as limited by the Lead
Arbitrator within a certain period of time after receiving payment from the requesting party. If a party entitled to submit
an estimate of attorneys’ fees and costs and/or a challenge to discovery requests fails to do so within such 10-day
period, the Lead Arbitrator will make a finding that (A) there are no attorneys’ fees or costs associated with
responding to such discovery requests, and (B) the responding party must respond to such discovery requests (as may be
limited by the Lead Arbitrator) within a certain period of time as determined by the Lead Arbitrator.

 

(b) In order to allow
a written discovery request, the Lead Arbitrator must find that the discovery request satisfies the standards set forth in
these Arbitration Provisions and the Utah Rules of Civil Procedure. The Lead Arbitrator must strictly enforce these
standards. If a discovery request does not satisfy any of the standards set forth in these Arbitration Provisions or the Utah
Rules of Civil Procedure, the Lead Arbitrator may modify such discovery request to satisfy the applicable standards, or
strike such discovery request in whole or in part.

 

(c) Discovery
deadlines will be set forth in a scheduling order issued by the Lead Arbitrator. The parties hereby authorize and direct the
Lead Arbitrator to take such actions and make such rulings as may be necessary to carry out the parties’ intent for the
arbitration proceedings to be efficient and expeditious.

 

3.7. Each party may
submit expert reports (and rebuttals thereto), provided that such reports must be submitted by the deadlines established by
the Lead Arbitrator. Expert reports must contain the following: (a) a complete statement of all opinions the expert will
offer at trial and the basis and reasons for them; (b) the expert’s name and qualifications, including a list of all
publications within the preceding 10 years, and a list of any other cases in which the expert has testified at trial or in a
deposition or prepared a report within the preceding 10 years; and (c) the compensation to be paid for the expert’s
study and testimony. The parties are entitled to depose any other party’s expert witness one time for no more than 4
hours. An expert may not testify in a party’s case-in-chief concerning any matter not fairly disclosed in the expert
report.

 

3.8. All information
disclosed by either party during the Arbitration process (including without limitation information disclosed during the
discovery process) shall be considered confidential in nature. Each party agrees not to disclose any confidential information
received from the other party during the discovery process unless (i) prior to or after the time of disclosure such
information becomes public knowledge or part of the public domain, not as a result of any inaction or action of the receiving
party, (ii) such information is required by a court order, subpoena or similar legal duress to be disclosed if such receiving
party has notified the other party thereof in writing and given it a reasonable opportunity to obtain a protective order from
a court of competent jurisdiction prior to disclosure; or (iii) disclosed to the receiving party’s agents,
representatives and legal counsel on a need to know basis who each agree in writing not to disclose such information to any
third party. Pursuant to Section 118(5) of the Arbitration Act, the Lead Arbitrator is hereby authorized and directed to
issue a protective order to prevent the disclosure of privileged information and confidential information upon the written
request of either party.

 

3.9. The parties hereby
authorize and direct the Arbitration Panel to take such actions and make such rulings as may be necessary to carry out the
parties’ intent for the arbitration proceedings to be efficient and expeditious. Pursuant to Section 120 of the
Arbitration Act, the parties hereby agree that an award of the Arbitration Panel must be made within 150 days after the
Arbitration Commencement Date. The Lead Arbitrator is hereby authorized and directed to hold a scheduling conference within
ten (10) calendar days after the Arbitration Commencement Date in order to establish a scheduling order with various binding
deadlines for discovery, expert testimony, and the submission of documents by the parties to enable the Arbitration Panel to
render a decision prior to the end of such 150-day period. The Utah Rules of Evidence will apply to any final hearing before
the Arbitration Panel.

 

3.10. The decision of the
Arbitration Panel shall be determined by majority vote of the arbitrators. The Arbitration Panel shall have the right to award
or include in the Arbitration Panel’s award any relief which the Arbitration Panel deems proper under the circumstances,
including, without limitation, specific performance and injunctive relief, provided that the Arbitration Panel may not award exemplary
or punitive damages. The Arbitration Panel shall select a single arbitrator to prepare the written decision of the Arbitration
Panel.

 

3.11. If any part of these Arbitration Provisions is found to violate applicable law or to be illegal, then such provision
shall be modified to the minimum extent necessary to make such provision enforceable under applicable law.

 

3.12. The Arbitration
Panel is hereby directed to require the losing party to (i) pay the full amount of the costs and fees of the arbitrators, and
(ii) reimburse the prevailing party the reasonable attorneys’ fees, arbitrator costs, deposition costs, and other
discovery costs incurred by the prevailing party.

 

[Remainder of page intentionally left blank]Exhibit 4.6

 

SECURED
CONVERTIBLE PROMISSORY NOTE 

	Effective Date: June 6, 2014	U.S. $1,657,500.00

 

FOR VALUE RECEIVED,
Cabinet Grow, Inc., a Nevada corporation (“Borrower”), promises
to pay to Chicago Venture Partners, L.P., a Utah limited partnership, or its successors
or assigns (“Lender”), $1,657,500.00 and any interest, fees, charges and late fees on the date that is twenty-nine
(29) months after the Purchase Price Date (as defined below) (the “Maturity Date”) in accordance with the terms
set forth herein and to pay interest on the Outstanding Balance (as defined below) (including all Tranches (as defined below),
both Conversion Eligible Tranches (as defined below) and Subsequent Tranches (as defined below) that have not yet become Conversion
Eligible Tranches) at the rate of ten percent (10%) per annum from the Purchase Price Date until the same is paid in full. This
Secured Convertible Promissory Note (this “Note”) is issued and made effective as of June 6, 2014 (the “Effective
Date”). For purposes hereof, the “Outstanding Balance” of this Note means, as of any date of determination,
the Purchase Price (as defined below), as reduced or increased, as the case may be, pursuant to the terms hereof for redemption,
conversion or otherwise, plus any original issue discount (“OID”), the Carried Transaction Expense Amount (as
defined below), accrued but unpaid interest, collection and enforcements costs (including attorneys’ fees) incurred by Lender,
transfer, stamp, issuance and similar taxes and fees related to Conversions (as defined below), and any other fees or charges (including
without limitation late charges) incurred under this Note. This Note is issued pursuant to that certain Securities Purchase Agreement
dated June 6, 2014, as the same may be amended from time to time (the “Purchase Agreement”), by and between
Borrower and Lender. All interest calculations hereunder shall be computed on the basis of a 360-day year comprised of twelve (12) thirty
(30) day months, shall compound daily and shall be payable in accordance with the terms of this Note. Certain capitalized
terms used herein but not otherwise defined shall have the meaning ascribed thereto in the Purchase Agreement. Certain other capitalized
terms used herein are defined in Attachment 1 attached hereto and incorporated herein by this reference.

This Note carries
an OID of $150,000.00. In addition, Borrower agrees to pay $10,000.00 to Lender to cover Lender’s legal fees, accounting
costs, due diligence, monitoring and other transaction costs incurred in connection with the purchase and sale of this Note, $2,500.00
of which amount was previously paid to Lender and $7,500.00 of which amount (the “Carried Transaction Expense Amount”)
is included in the initial principal balance of this Note. The purchase price for this Note and the Warrant (as defined in the
Purchase Agreement) (the “Purchase Price”), therefore, shall be $1,500,000.00, computed as follows: $1,657,500.00
original principal balance, less the OID, less the Carried Transaction Expense Amount. The Purchase Price shall be payable by delivery
to Borrower at Closing of the Secured Buyer Notes, the Buyer Notes, and a wire transfer of immediately available funds in the amount
of the Initial Cash Purchase Price. For purposes hereof, the term “Purchase Price Date” means the date the Initial
Cash Purchase Price is delivered by Lender to Borrower.

Notwithstanding
any other provision contained in this Note, the conversion by Lender of any portion of the Outstanding Balance shall only be exercisable
in five (5) tranches (each, a “Tranche”), consisting of (i) an initial Tranche in an amount equal to $557,500.00
and any interest, costs, fees or charges accrued thereon or added thereto under the terms of this Note and the other Transaction
Documents (as defined in the Purchase Agreement) (“Tranche #1”), and (ii) four (4) additional Tranches, each
in the amount of $275,000.00, plus any interest, costs, fees or charges accrued thereon or added thereto under the terms of this
Note and the other Transaction Documents (each such additional Tranche, a “Subsequent Tranche”). Tranche #1
shall correspond to the Initial Cash Purchase Price, $50,000.00 of the OID and the Carried Transaction Expense Amount, and may
be converted on the date that is six (6) months from the Trading Date (as defined in the Purchase Agreement) or at any time thereafter.
The first Subsequent $25,000.00 the second Subsequent $25,000.00 $25,000.00 $25,000.00 date that is six (6) months from thedate
that is six (6) months from thethe date that is six (6) months from thecosts, fees or charges

1. Payment;
Prepayment. Provided there is an Outstanding Balance, on each Installment Date (as defined below), Borrower shall pay to
Lender an amount equal to the Installment Amount (as defined below) due on such Installment Date in accordance with
Section 8. All payments owing hereunder shall be in lawful money of the United States of America or Conversion Shares
(as defined below), as provided for herein, and delivered to Lender at the address furnished to Borrower for that purpose.
All payments shall be applied first to (a) costs of collection, if any, then to (b) fees and charges, if any, then to (c)
accrued and unpaid interest, and thereafter, to (d) principal. Notwithstanding the foregoing, so long as Borrower has not
received a Lender Conversion Notice (as defined below) or an Installment Notice (as defined below) from Lender where the
applicable Conversion Shares have not yet been delivered and so long as no Event of Default has occurred since the Effective
Date (whether declared by Lender or undeclared), then Borrower shall have the right, exercisable on not less than five (5)
Trading Days prior written notice to Lender to prepay the Outstanding Balance of this Note, in full, in accordance with this
Section 1. Any notice of prepayment hereunder (an “Optional Prepayment Notice”) shall be delivered to
Lender at its registered address and shall state: (y) that Borrower is exercising its right to prepay this Note, and (z) the
date of prepayment, which shall be not less than five (5) Trading Days from the date of the Optional Prepayment Notice. On
the date fixed for prepayment (the “Optional Prepayment Date”), Borrower shall make payment of the
Optional Prepayment Amount (as defined below) to or upon the order of Lender as specified by Lender in writing to Borrower
not more than one (1) Trading Day prior to the Optional Prepayment Date. If Borrower exercises its right to prepay this Note,
Borrower shall make payment to Lender of an amount in cash (the “Optional Prepayment Amount”) equal to
125% multiplied by the then Outstanding Balance of this Note. If Borrower delivers an Optional Prepayment Notice and fails to
pay the Optional Prepayment Amount due to Lender within two (2) Trading Days following the Optional Prepayment Date, Borrower
shall forever forfeit its right to prepay this Note pursuant to this Section. 

2. Security.
This Note is secured by that certain Security Agreement of even date herewith, as the same may be amended from time to time
(the “Security Agreement”), executed by Borrower in favor of Lender encumbering all of Borrower’s
assets, including without limitation the Secured Buyer Notes and the Buyer Notes, as more specifically set forth in the
Security Agreement, all the terms and conditions of which are hereby incorporated into and made a part of this Note. This
Note is further secured by certain Stock Pledge Agreements of even date herewith (the “Stock Pledge
Agreements”) made by each stockholder of Borrower (the “Stockholders”) in favor of Lender with
respect to all of such Stockholder’s shares of Class A Preferred Stock of Borrower, as more specifically set forth in
the Stock Pledge Agreements, all of the terms and conditions of which are hereby incorporated into and made a part of this
Note.

3. Lender
Optional Conversion.

3.1. Lender
Conversion Price. Subject to adjustment as set forth in this Note, the conversion price for each Lender Conversion (as
defined below) shall be equal to the sum of $6,500,000.00 divided by the number of fully-diluted shares of Common Stock that
are outstanding on the date that Borrower files its Registration Statement on Form S-1 (the “Filing Date”)
with the SEC pursuant to the terms of the Purchase Agreement (the “Lender Conversion Price”).

3.2. Lender
Conversions. Lender has the right on the date that is six (6) months from the Purchase Price Date or at any time
thereafter, including without limitation until any Optional Prepayment Date (even if Lender has received an Optional
Prepayment Notice), at its election, to convert (each instance of conversion is referred to herein as a “Lender Conversion”)
all or any part of the Outstanding Balance into shares (“Lender Conversion Shares”) of fully paid
and non-assessable common stock, $0.001 par value per share (“Common Stock”), of Borrower as per the
following conversion formula: the number of Lender Conversion Shares equals the amount being converted (the
“Conversion Amount”) divided by the Lender Conversion Price. Conversion notices in the form attached
hereto as Exhibit A (each, a “Lender Conversion Notice”) may be effectively delivered to
Borrower by any method of Lender’s choice (including but not limited to facsimile, email, mail, overnight courier, or
personal delivery), and all Lender Conversions shall be cashless and not require further payment from Lender. Borrower shall
deliver the Lender Conversion Shares from any Lender Conversion to Lender in accordance with Section 9 below within
three (3) Trading Days of Lender’s delivery of the Lender Conversion Notice to Borrower.

3.3. Application
to Installments. Notwithstanding anything to the contrary herein, including without limitation Section 8 hereof, Lender
may, in its sole discretion, apply all or any portion of any Lender Conversion toward any Installment Conversion (as defined
below), even if such Installment Conversion is pending, as determined in Lender’s sole discretion, by delivering
written notice of such election (which notice may be included as part of the applicable Lender Conversion Notice) to Borrower
at any date on or prior to the applicable Installment Date. In such event, Borrower may not elect to allocate such portion of
the Installment Amount being paid pursuant to this Section 3.3 in the manner prescribed in Section 8.3; rather, Borrower must
reduce the applicable Installment Amount by the Conversion Amount described in this Section 3.3.

4. Defaults
and Remedies.

4.1. Defaults.
The following are events of default under this Note (each, an “Event of Default”): (i) Borrower shall
fail to pay any principal when due and payable (or payable by Conversion) hereunder; or (ii) Borrower shall fail to deliver
any Conversion Shares or True-Up Shares (as defined below) in accordance with the terms hereof or any Warrant Shares in
accordance with the terms of the Warrant; or (iii) Borrower shall fail to pay any interest, fees, charges, or any other
amount when due and payable (or payable by Conversion) hereunder; or (iv) a receiver, trustee or other similar official shall
be appointed over Borrower or a material part of its assets and such appointment shall remain uncontested for twenty (20)
days or shall not be dismissed or discharged within sixty (60) days; or (v) Borrower shall become insolvent or generally
fails to pay, or admits in writing its inability to pay, its debts as they become due, subject to applicable grace periods,
if any; or (vi) Borrower shall make a general assignment for the benefit of creditors; or (vii) Borrower shall file a
petition for relief under any bankruptcy, insolvency or similar law (domestic or foreign); or (viii) an involuntary
proceeding shall be commenced or filed against Borrower; or (ix) Borrower is not DWAC Eligible at any time following the date
that is one (1) year from the Purchase Price Date; or (x) Borrower shall become delinquent in its filing requirements as a
fully-reporting issuer registered with the SEC at any time following the Trading Date; or (xi) Borrower shall default or
otherwise fail to observe or perform any covenant, obligation, condition or agreement of Borrower contained herein or in any
other Transaction Document, including without limitation all covenants to timely file all required quarterly and annual
reports and any other filings that are necessary to enable Lender to sell Conversion Shares, Warrant Shares and
True-Up Shares pursuant to Rule 144; or (xii) any representation, warranty or other statement made or furnished by or on
behalf of Borrower to Lender herein, in any Transaction Document, or otherwise in connection with the issuance of this Note
shall be false, incorrect, incomplete or misleading in any material respect when made or furnished; or (xiii) the occurrence
of a Fundamental Transaction without Lender’s prior written consent; or (xiv) Borrower shall fail to maintain the Share
Reserve as required under the Purchase Agreement; or (xv) Borrower effectuates a reverse split of its Common Stock without
twenty (20) Trading Days prior written notice to the Borrower; or (xvi) any money judgment, writ or similar process shall be
entered or filed against the Borrower or any subsidiary of the Borrower or any of its property or other assets for more than
$100,000, and shall remain unvacated, unbonded or unstayed for a period of twenty (20) calendar days unless otherwise
consented to by the Lender; or (xvii) Borrower fails to exercise its best efforts to file a Registration Statement on Form
S-1 with the SEC or a Form 15c2-11 with FINRA on or before the date that is four (4) months from the Effective Date or, in
any event, fails to file a Registration Statement on Form S-1 with the SEC or a Form 15c2-11 with FINRA on or before the date
that is five (5) months from the Effective Date; or (xviii) Borrower fails to exercise its best efforts to cause its Common
Stock to be publicly trading on or before the date that is six (6) months from the Effective Date or, in any event,
Borrower’s Common Stock is not publicly trading on an Eligible Market on or before the date that is nine (9) months
from the Effective Date.

4.2. Remedies.
Upon the occurrence of any Event of Default, Lender may at any time thereafter accelerate this Note by written notice to
Borrower, with the Outstanding Balance becoming immediately due and payable in cash at the Mandatory Default Amount (as
defined hereafter). Notwithstanding the foregoing, upon the occurrence of any Event of Default, Lender may, at its option,
elect to increase the Outstanding Balance by applying the Default Effect (as defined below) (subject to the limitation set
forth below) via written notice to Borrower without accelerating the Outstanding Balance, in which event the Outstanding
Balance shall be increased as of the date of the occurrence of the applicable Event of Default pursuant to the Default
Effect, but the Outstanding Balance shall not be immediately due and payable unless so declared by Lender (for the avoidance
of doubt, if Lender elects to apply the Default Effect pursuant to this sentence, it shall reserve the right to declare the
Outstanding Balance immediately due and payable at any time and no such election by Lender shall be deemed to be a waiver of
its right to declare the Outstanding Balance immediately due and payable as set forth herein unless otherwise agreed to by
Lender in writing). For purposes hereof, the “Default Effect” is calculated by multiplying the Outstanding
Balance by 125%, with the resulting product then becoming the Outstanding Balance under this Note; provided that the Default
Effect may only be applied twice hereunder. Notwithstanding the foregoing, upon the occurrence of any Event of Default
described in clauses (iv), (v), (vi), (vii) or (viii) of Section 4.1, the Outstanding Balance as of the date of acceleration
shall become immediately and automatically due and payable in cash at the Mandatory Default Amount, without any written
notice required by Lender. The “Mandatory Default Amount” means the greater of (i) the Outstanding Balance
(including all Tranches, both Conversion Eligible Tranches and Subsequent Tranches that have not yet become Conversion
Eligible Tranches) divided by the Installment Conversion Price (as defined below) on the date the Mandatory Default Amount is
either demanded or paid in full, whichever has a lower Installment Conversion Price, multiplied by the volume
weighted average price (the “VWAP”) on the date the Mandatory Default Amount is either demanded or paid in
full, whichever has a higher VWAP, or (ii) the Default Effect. At any time following the occurrence of any Event of Default,
upon written notice given by Lender to Borrower, (a) interest shall accrue on the Outstanding Balance beginning on the date
the applicable Event of Default occurred at an interest rate equal to the lesser of 22% per annum or the maximum rate
permitted under applicable law (“Default Interest”), (b) the Lender Conversion Price for all Lender
Conversions occurring after the date of the applicable Event of Default shall equal the lower of the Lender Conversion Price
applicable to any Lender Conversion and the Market Price (as defined below) as of any applicable date of Conversion, and (c)
the true-up provisions of Section 11 below shall apply to all Lender Conversions that occur after the date the applicable
Event of Default occurred. Additionally, following the occurrence of any Event of Default, Borrower may, at its option, pay
any Lender Conversion in cash instead of Lender Conversion Shares by paying to Lender on or before the applicable Delivery
Date (as defined below) a cash amount equal to the number of Lender Conversion Shares set forth in the applicable Lender
Conversion Notice multiplied by the highest intra-day trading price of the Common Stock that occurs during the period
beginning on the date the applicable Event of Default occurred and ending on the date of the applicable Lender
Conversion Notice. In connection with acceleration described herein, Lender need not provide, and Borrower hereby waives, any
presentment, demand, protest or other notice of any kind, and Lender may immediately and without expiration of any grace
period enforce any and all of its rights and remedies hereunder and all other remedies available to it under applicable law.
Such acceleration may be rescinded and annulled by Lender at any time prior to payment hereunder and Lender shall have all
rights as a holder of the Note until such time, if any, as Lender receives full payment pursuant to this Section 4.2. No such
rescission or annulment shall affect any subsequent Event of Default or impair any right consequent thereon. Nothing herein
shall limit Lender’s right to pursue any other remedies available to it at law or in equity including, without
limitation, a decree of specific performance and/or injunctive relief with respect to Borrower’s failure to timely
deliver Conversion Shares upon Conversion of the Notes as required pursuant to the terms hereof.

4.3. Certain
Additional Rights. Notwithstanding anything to the contrary herein, in the event Borrower fails to make any payment or
otherwise to deliver any Conversion Shares as and when required under this Note, then (i) the Lender Conversion Price for all
Lender Conversions occurring after the date of such failure to pay shall equal the lower of the Lender Conversion Price
applicable to any Lender Conversion and the Market Price as of any applicable date of Conversion, and (ii) the true-up
provisions of Section 11 below shall apply to all Lender Conversions that occur after the date of such failure to pay,
provided that all references to the “Installment Notice” in Section 11 shall be replaced with references to a
“Lender Conversion Notice” for purposes of this Section 4.3, all references to “Installment Conversion
Shares” in Section 11 shall be replaced with references to “Lender Conversion Shares” for purposes of this
Section 4.3, and all references to the “Installment Conversion Price” in Section 11 shall be replaced with
references to the “Lender Conversion Price” for purposes of this Section 4.3.

4.4. Cross
Default. A breach or default by Borrower of any covenant or other term or condition contained in any Other Agreements (as
defined below) shall, at the option of Lender, be considered an Event of Default under this Note, in which event Lender shall
be entitled (but in no event required) to apply all rights and remedies of Lender under the terms of this Note.
“Other Agreements” means, collectively, (a) all existing and future agreements and instruments between,
among or by Borrower (or an affiliate or any Stockholder), on the one hand, and Lender (or an affiliate), on the other hand,
and (b) any financing agreement or a material agreement that affects Borrower’s ongoing business operations. For the
avoidance of doubt, all existing and future loan transactions between Borrower and Lender and their respective affiliates
will be cross-defaulted with each other loan transaction and with all other existing and future debt of Borrower to
Lender.

5. Unconditional
Obligation; No Offset. Borrower acknowledges that this Note is an unconditional, valid, binding and enforceable
obligation of Borrower not subject to offset (except as set forth in Section 21 below), deduction or counterclaim of any
kind. Borrower hereby waives any rights of offset it now has or may have hereafter against Lender, its successors and
assigns, and agrees to make the payments or conversions called for herein in accordance with the terms of this Note.

6. Waiver.
No waiver of any provision of this Note shall be effective unless it is in the form of a writing signed by the party
granting the waiver. No waiver of any provision or consent to any prohibited action shall constitute a waiver of any other
provision or consent to any other prohibited action, whether or not similar. No waiver or consent shall constitute a
continuing waiver or consent or commit a party to provide a waiver or consent in the future except to the extent specifically
set forth in writing.

7. Rights
Upon Issuance of Securities.

7.1. Subsequent
Equity Sales. If Borrower or any subsidiary thereof, as applicable, at any time on or after the Purchase Price Date
(provided that this Note is outstanding), shall sell or issue any Common Stock to Lender or any third party for a price that
is less than the then effective Lender Conversion Price, then such Lender Conversion Price shall be automatically reduced and
only reduced to equal such lower issuance price. If Borrower or any subsidiary thereof, as applicable, at any time on or
after the Trading Date (provided that this Note is outstanding), shall sell or grant any option to any party to purchase, or
sell or grant any right to reprice, or issue any Common Stock, preferred shares convertible into Common Stock, or debt,
warrants, options or other instruments or securities to Lender or any third party which are convertible into or exercisable
for shares of Common Stock (together herein referred to as “Equity Securities”), including without
limitation any Deemed Issuance (as defined herein), at an effective price per share less than the then effective Lender
Conversion Price (such issuance, together with any sale of Common Stock, is referred to herein as a “Dilutive
Issuance”), then, the Lender Conversion Price shall be automatically reduced and only reduced to equal such lower
effective price per share. If the holder of any Equity Securities so issued shall at any time, whether by operation of
purchase price adjustments, reset provisions, floating conversion, exercise or exchange prices or otherwise, or due to
warrants, options, or rights per share which are issued in connection with such Dilutive Issuance, be entitled to receive
shares of Common Stock at an effective price per share that is less than the Lender Conversion Price, such issuance shall be
deemed to have occurred for less than the Lender Conversion Price on the date of such Dilutive Issuance, and the then
effective Lender Conversion Price shall be reduced and only reduced to equal such lower effective price per share.
Such adjustments described above to the Lender Conversion Price shall be permanent (subject to additional adjustments under
this section), and shall be made whenever such Common Stock or Equity Securities are issued. Borrower shall notify Lender, in
writing, no later than the Trading Day following the issuance of any Common Stock or Equity Securities subject to this
Section 7.1, indicating therein the applicable issuance price, or applicable reset price, exchange price, conversion price,
or other pricing terms (such notice, the “Dilutive Issuance Notice”). For purposes of
clarification, whether or not Borrower provides a Dilutive Issuance Notice pursuant to this Section 7.1, upon the occurrence
of any Dilutive Issuance, on the date of such Dilutive Issuance the Lender Conversion Price shall be lowered to equal the
applicable effective price per share regardless of whether Lender accurately refers to such lower effective price per share
in any Installment Notice or Lender Conversion Notice.

7.2. Adjustment
of Lender Conversion Price upon Subdivision or Combination of Common Stock. Without limiting any provision hereof, if
Borrower at any time on or after the Effective Date subdivides (by any stock split, stock dividend, recapitalization or
otherwise) one or more classes of its outstanding shares of Common Stock into a greater number of shares, the Lender
Conversion Price in effect immediately prior to such subdivision will be proportionately reduced. Without limiting any
provision hereof, if Borrower at any time on or after the Effective Date combines (by combination, reverse stock split or
otherwise) one or more classes of its outstanding shares of Common Stock into a smaller number of shares, the Lender
Conversion Price in effect immediately prior to such combination will be proportionately increased. Any adjustment pursuant
to this Section 7.2 shall become effective immediately after the effective date of such subdivision or combination. If any
event requiring an adjustment under this Section 7.2 occurs during the period that a Lender Conversion Price is calculated
hereunder, then the calculation of such Lender Conversion Price shall be adjusted appropriately to reflect such event.

7.3. Other
Events. In the event that Borrower (or any subsidiary) shall take any action to which the provisions hereof are not
strictly applicable, or, if applicable, would not operate to protect Lender from dilution or if any event occurs of the type
contemplated by the provisions of this Section 7 but not expressly provided for by such provisions (including, without
limitation, the granting of stock appreciation rights, phantom stock rights or other rights with equity features), then
Borrower’s board of directors shall in good faith determine and implement an appropriate adjustment in the Lender
Conversion Price so as to protect the rights of Lender, provided that no such adjustment pursuant to this Section 7.3 will
increase the Lender Conversion Price as otherwise determined pursuant to this Section 7, provided further that if Lender
does not accept such adjustments as appropriately protecting its interests hereunder against such dilution, then
Borrower’s board of directors and Lender shall agree, in good faith, upon an independent investment bank of nationally
recognized standing to make such appropriate adjustments, whose determination shall be final and binding and whose fees and
expenses shall be borne by Borrower.

8. Borrower
Installments.

8.1. Installment
Conversion Price. Subject to the adjustments set forth herein, the conversion price for each Installment Conversion (the
“Installment Conversion Price”) shall be the lesser of (i) the Lender Conversion Price, and (ii) 70% (the
“Conversion Factor”) of the average of the three (3) lowest Closing Bid Prices in the twenty (20) Trading
Days immediately preceding the applicable Conversion (the “Market Price”), provided that if at any time
after the first twenty-three (23) Trading Days following the Trading Date (the “Conversion Factor Measuring
Period”), the VWAP of the Common Stock for any Trading Day is less than 50% of the average of the VWAPs for each
Trading Day during the Conversion Factor Measuring Period, then in such event the then-current Conversion Factor shall be
reduced to 60% for all future Conversions. Additionally, if at any time after the Trading Date the Conversion Shares are not
DWAC Eligible, then the then-current Conversion Factor will automatically be reduced by 5% for all future Conversions. If at
any time after the Trading Date, the Conversion Shares are not DTC Eligible, then the then-current Conversion Factor will
automatically be reduced by an additional 5% for all future Conversions. For example, the first time Borrower is not DWAC
Eligible, the Conversion Factor for future Conversions thereafter will be reduced from 70% to 65% for purposes of this
example. Following such event, the first time the Conversion Shares are not DTC Eligible, the Conversion Factor for future
Conversions thereafter will be reduced from 65% to 60% for purposes of this example.

8.2. Installment
Conversions. Beginning on the date that is one (1) year after the Purchase Price Date and on the same day of each month
thereafter until the Maturity Date (each, an “Installment Date”), Borrower shall pay to Lender the
applicable Installment Amount due on such date, subject to the provisions of this Section 8. Payments of each Installment
Amount may be made (a) in cash, or (b) by converting such Installment Amount into shares of Common Stock
(“Installment Conversion Shares,” and together with the Lender Conversion Shares, the “Conversion
Shares”) in accordance with this Section 8 (each an “Installment Conversion,” and together with
Lender Conversions, a “Conversion”) per the following formula: the number of Installment Conversion Shares
equals the portion of the applicable Installment Amount being converted divided by the Installment Conversion Price, or (c)
by any combination of the foregoing, so long as the cash is delivered to Lender on the applicable Installment Date and the
Installment Conversion Shares are delivered to Lender on or before the applicable Delivery Date. Notwithstanding the
foregoing, Borrower will not be entitled to elect an Installment Conversion with respect to any portion of any applicable
Installment Amount and shall be required to pay the entire amount of such Installment Amount in cash if on the applicable
Installment Notice Due Date (defined below) there is an Equity Conditions Failure (as defined below), and such failure is not
waived in writing by Lender. Moreover, in the event Borrower desires to pay all or any portion of any Installment Amount in
cash, it must notify Lender in writing of such election and the portion of the applicable Installment Amount it elects to pay
in cash not more than twenty-five (25) or less than fifteen (15) Trading Days prior to the applicable Installment Date. If
Borrower fails to so notify Lender, it shall not be permitted to elect to pay any portion of such Installment Amount in cash
unless otherwise agreed to by Lender in writing or proposed by Lender in an Installment Notice delivered by Lender to
Borrower. Notwithstanding the foregoing or anything to the contrary herein, Borrower shall only be obligated to deliver
Installment Amounts with respect to Tranches that have become Conversion Eligible Tranches and shall have no obligation to
pay to Lender any Installment Amount with respect to any Tranche that has not become a Conversion Eligible Tranche. In
furtherance thereof, in the event Borrower has repaid all Conversion Eligible Tranches pursuant to the terms of this Note, it
shall have no further obligations to deliver any Installment Amount to Lender unless and until any Subsequent Tranche that
was not previously a Conversion Eligible Tranche becomes a Conversion Eligible Tranche pursuant to the terms of this Note.
Notwithstanding that failure to repay this Note in full by the Maturity Date is an Event of Default, the Installment Dates
shall continue after the Maturity Date as described in this Section 8 until the Outstanding Balance is repaid in full,
provided that Lender shall, in Lender’s sole discretion, determine the Installment Amount for each Installment Date
after the Maturity Date.

8.3. Allocation
of Installment Amounts. Subject to Section 8.2 regarding an Equity Conditions Failure, for each Installment Date (each,
an “Installment Notice Due Date”), Borrower may elect to allocate the payment of the applicable
Installment Amount between cash and via an Installment Conversion, by email or fax delivery of a notice to Lender
substantially in the form attached hereto as Exhibit B (each, an “Installment Notice”), provided,
that to be effective, each applicable Installment Notice must be received by Lender not more than twenty-five (25) or less
than fifteen (15) Trading Days prior to the applicable Installment Notice Due Date. If Lender has not received an Installment
Notice within such time period, then Lender may prepare the Installment Notice and deliver the same to Borrower by fax or
email. Following its receipt of such Installment Notice, Borrower may either ratify Lender’s proposed allocation in the
applicable Installment Notice or elect to change the allocation by written notice to Lender by email or fax on or before
12:00 p.m. New York time on the applicable Installment Date, so long as the sum of the cash payments and the amount of
Installment Conversions equal the applicable Installment Amount, provided that Lender must approve any increase to the
portion of the Installment Amount payable in cash. If Borrower fails to notify Lender of its election to change the
allocation prior to the deadline set forth in the previous sentence (and seek approval to increase the amount payable in
cash), it shall be deemed to have ratified and accepted the allocation set forth in the applicable Installment Notice
prepared by Lender. If neither Borrower nor Lender prepare and deliver to the other party an Installment Notice as outlined
above, then Borrower shall be deemed to have elected that the entire Installment Amount be converted via an
Installment Conversion. Borrower acknowledges and agrees that regardless of which party prepares the applicable Installment
Notice, the amounts and calculations set forth thereon are subject to correction or adjustment because of error, mistake, or
any adjustment resulting from an Event of Default or other adjustment permitted under the Transaction Documents (an
“Adjustment”). Furthermore, no error or mistake in the preparation of such notices, or failure to apply
any Adjustment that could have been applied prior to the preparation of an Installment Notice may be deemed a waiver of
Lender’s right to enforce the terms of any Note, even if such error, mistake, or failure to include an Adjustment
arises from Lender’s own calculation. Borrower shall deliver the Installment Conversion Shares from any Installment
Conversion to Lender in accordance with Section 9 below on or before each applicable Installment Date.

9. Method
of Conversion Share Delivery. On or before the close of business on the third (3rd) Trading Day following the
Installment Date or the third (3rd) Trading Day following the date of delivery of a Lender Conversion Notice, as
applicable (the “Delivery Date”), Borrower shall, provided it is DWAC Eligible at such time, deliver or
cause its transfer agent to deliver the applicable Conversion Shares electronically via DWAC to the account designated by
Lender in the applicable Lender Conversion Notice or Installment Notice. If Borrower is not DWAC Eligible, it shall
deliver to Lender or its broker (as designated in the Lender Conversion Notice or Installment Notice, as applicable), via
reputable overnight courier, a certificate representing the number of shares of Common Stock equal to the number of
Conversion Shares to which Lender shall be entitled, registered in the name of Lender or its designee. For the avoidance of
doubt, Borrower has not met its obligation to deliver Conversion Shares by the Delivery Date unless Lender or its broker, as
applicable, has actually received the certificate representing the applicable Conversion Shares no later than the close of
business on the relevant Delivery Date pursuant to the terms set forth above.

10. Conversion
Delays. If Borrower fails to deliver Conversion Shares or True-Up Shares in accordance with the timeframes stated in
Sections 3, 8, 9, or 11, as applicable, Lender, at any time prior to selling all of those Conversion Shares or True-Up
Shares, as applicable, may rescind in whole or in part that particular Conversion attributable to the unsold Conversion
Shares or True-Up Shares, with a corresponding increase to the Outstanding Balance (any returned Conversion Amount will tack
back to the Purchase Price Date for purposes of determining the holding period under Rule 144). In addition, for each
Conversion, in the event that Conversion Shares or True-Up Shares are not delivered by the fourth Trading Day (inclusive of
the day of the Conversion or the True-Up Date (as defined below), as applicable), a late fee equal to the greater of $500.00
per day and 2% of the applicable Conversion Amount or Installment Amount, as applicable (but in any event the cumulative
amount of such late fees shall not exceed the applicable Conversion Amount or Installment Amount) will be assessed for each
day after the third Trading Day (inclusive of the day of the Conversion and the True-Up Date) until Conversion Share or
True-Up Share delivery is made; and such late fee will be added to the Outstanding Balance (under Lender’s and
Borrower’s expectations that any late fees charged will tack back to the Purchase Price Date for purposes of
determining the holding period under Rule 144).

11. True-Up.
On the date that is twenty-three (23) Trading Days (a “True-Up Date”) from each date Borrower delivers
Free Trading (as defined below) Installment Conversion Shares to Lender, there shall be a true-up where Lender shall have the
right to require Borrower to deliver to Lender additional Installment Conversion Shares (“True-Up Shares”)
if the Installment Conversion Price as of the True-Up Date is less than the Installment Conversion Price used in the
applicable Installment Notice. In such event, Borrower shall deliver to Lender within three (3) Trading Days of the date
Lender delivers notice of its right to receive True-Up Shares to Borrower (pursuant to a form of notice substantially in the
form attached hereto as Exhibit C) the number of True-Up Shares equal to the difference between the number of
Installment Conversion Shares that would have been delivered to Lender on the True-Up Date based on the Installment
Conversion Price as of the True-Up Date and the number of Installment Conversion Shares originally delivered to Lender
pursuant to the applicable Installment Notice. For the avoidance of doubt, if the Installment Conversion Price as of the
True-Up Date is higher than the Installment Conversion Price set forth in the applicable Installment Notice, then Borrower
shall have no obligation to deliver True-Up Shares to Lender, nor shall Lender have any obligation to return any excess
Installment Conversion Shares to Borrower under any circumstance.

12. Lender’s
Right of First Refusal to New Issuances. From and after the date hereof and until all of Borrower’s obligations
hereunder and this Note are paid and performed in full and the Warrant is exercised in full (or otherwise expired), Borrower
shall not enter into any Section 3(a)(9) or Section 3(a)(10) transaction, equity line of credit or financing arrangement or
other transaction that involves issuing Borrower securities that are convertible into Common Stock (including without
limitation selling convertible debt, warrants or convertible preferred stock) with a conversion price that varies with the
market price of the Common Stock (a “Variable Security Issuance”), without first offering Lender a right
of first refusal with respect to the same pursuant to this Section 12 by delivering to Lender written notice describing the
terms and conditions of the Variable Security Issuance. Lender shall have a period of fifteen (15) calendar days from its
receipt of such notice to purchase the securities offered in the Variable Security Issuance on the same terms and conditions
offered in the Variable Security Issuance. If Lender fails to exercise such right, Borrower may consummate the Variable
Security Issuance on terms and conditions no more favorable to the purchaser of such securities than those offered to Lender.
If Borrower changes the terms of the Variable Security Issuance or fails to sell such securities within sixty (60) days of
the date it offered the same to Lender, such Variable Security Issuance shall again be subject to the terms of the right of
first refusal set forth in this Section 12.

13. Ownership
Limitation. Notwithstanding anything to the contrary contained in this Note or the other Transaction Documents, if at
any time Lender shall or would be issued shares of Common Stock under any of the Transaction Documents, but such issuance
would cause Lender (together with its affiliates) to beneficially own a number of shares exceeding 9.99% of the number of
shares of Common Stock outstanding on such date (including for such purpose the shares of Common Stock issuable upon such
issuance) (the “Maximum Percentage”), then Borrower must not issue to Lender shares of the Common Stock
which would exceed the Maximum Percentage. For purposes of this section, beneficial ownership of Common Stock will be
determined pursuant to Section 13(d) of the 1934 Act. The shares of Common Stock issuable to Lender that would cause the
Maximum Percentage to be exceeded are referred to herein as the “Ownership Limitation Shares”.
Borrower will reserve the Ownership Limitation Shares for the exclusive benefit of Lender. From time to time, Lender may
notify Borrower in writing of the number of the Ownership Limitation Shares that may be issued to Lender without causing
Lender to exceed the Maximum Percentage. Upon receipt of such notice, Borrower shall be unconditionally obligated to
immediately issue such designated shares to Lender, with a corresponding reduction in the number of the Ownership Limitation
Shares. By written notice to Borrower, Lender may increase, decrease or waive the Maximum Percentage as to itself but any
such waiver will not be effective until the 61st day after delivery thereof. The foregoing 61-day notice requirement is
enforceable, unconditional and non-waivable and shall apply to all affiliates and assigns of Lender.

14. Payment
of Collection Costs. If this Note is placed in the hands of an attorney for collection or enforcement prior to commencing
arbitration or legal proceedings, or is collected or enforced through any arbitration or legal proceeding, or Lender
otherwise takes action to collect amounts due under this Note or to enforce the provisions of this Note, then Borrower shall
pay the costs incurred by Lender for such collection, enforcement or action including, without limitation, attorneys’
fees and disbursements. Borrower also agrees to pay for any costs, fees or charges of its transfer agent that are charged to
Lender pursuant to any Conversion or issuance of shares pursuant to this Note.

15. Opinion
of Counsel. In the event that an opinion of counsel is needed for any matter related to this Note, Lender has the right
to have any such opinion provided by its counsel. Lender also has the right to have any such opinion provided by
Borrower’s counsel.

16. Governing
Law. This Note shall be construed and enforced in accordance with, and all questions concerning the construction,
validity, interpretation and performance of this Note shall be governed by, the internal laws of the State of Utah, without
giving effect to any choice of law or conflict of law provision or rule (whether of the State of Utah or any other
jurisdictions) that would cause the application of the laws of any jurisdictions other than the State of Utah. The provisions
set forth in the Purchase Agreement to determine the proper venue for any disputes are incorporated herein by this
reference.

17. Resolution
of Disputes.

17.1. Arbitration
of Disputes. By its acceptance of this Note, each party agrees to be bound by the Arbitration Provisions set forth as an
Exhibit to the Purchase Agreement.

17.2. Calculation
of Disputes. Notwithstanding the Arbitration Provisions, in the case of a dispute as to any arithmetic calculation
hereunder, including without limitation calculating the Outstanding Balance, Lender Conversion Price, Lender Conversion
Shares to be delivered, Installment Conversion Price, Installment Conversion Shares to be delivered, the Market Price, or the
VWAP (collectively, “Calculations”), Borrower or Lender (as the case may be) shall submit the disputed
determinations or arithmetic calculations (as the case may be) via facsimile or email with confirmation of receipt
(a) within two (2) Trading Days after receipt of the applicable notice giving rise to such dispute to Borrower or Lender
(as the case may be) or (b) if no notice gave rise to such dispute, at any time after Lender learned of the
circumstances giving rise to such dispute. If Lender and Borrower are unable to agree upon such determination or calculation
within two (2) Trading Days of such disputed determination or arithmetic calculation (as the case may be) being
submitted to Borrower or Lender (as the case may be), then Borrower shall, within two (2) Trading Days, submit via
facsimile the disputed Calculation to an independent, reputable investment bank or accounting firm selected by Lender.
Borrower shall cause the investment bank or accounting firm to perform the determinations or calculations (as the case may
be) and notify Borrower and Lender of the results no later than ten (10) Trading Days from the time it receives
such disputed determinations or calculations (as the case may be). Such investment bank’s or accounting firm’s
determination or calculation with respect to the disputes set forth in this Section 17.2 (as the case may be) shall be
binding upon all parties absent demonstrable error. The investment banker’s or accounting firm’s fee for
performing such Calculation shall be paid by the incorrect party, or if both parties are incorrect, by the party whose
Calculation is furthest from the correct Calculation as determined by the investment banker or accounting firm. In the event
Borrower is the losing party, no extension of the Delivery Date shall be granted and Borrower shall incur all effects for
failing to deliver the applicable Conversion Shares in a timely manner as set forth in this Note.

18. Cancellation.
After repayment or conversion of the entire Outstanding Balance (including without limitation delivery of True-Up Shares
pursuant to the payment of the final Installment Amount, if applicable), this Note shall be deemed paid in full, shall
automatically be deemed canceled, and shall not be reissued.

19. Amendments.
The prior written consent of both parties hereto shall be required for any change or amendment to this Note.

20. Assignments.
Borrower may not assign this Note without the prior written consent of Lender. This Note and any shares of Common Stock
issued upon conversion of this Note may be offered, sold, assigned or transferred by Lender without the consent of
Borrower.

21. Offset
Rights. Notwithstanding anything to the contrary herein or in any of the other Transaction Documents, (a) the parties
hereto acknowledge and agree that Lender maintains a right of offset pursuant to the terms of the Secured Buyer Notes and the
Buyer Notes that, under certain circumstances, permits Lender to deduct amounts owed by Borrower under this Note from amounts
otherwise owed by Lender under the Secured Buyer Notes and the Buyer Notes (the “Lender Offset Right”),
and (b) in the event of the occurrence of any Event of Default (as defined the Secured Buyer Notes, the Buyer Notes, or any
other note issued by the initial Lender in connection with the Purchase Agreement), or at any other time, Borrower shall be
entitled to deduct and offset any amount owing by the initial Lender under the Secured Buyer Notes and the Buyer Notes, as
applicable, from any amount owed by Borrower under this Note (the “Borrower Offset Right,” and together
with the Lender Offset Right, the “Offset Rights”). In the event that Borrower’s exercise of
Borrower Offset Right results in the full satisfaction of Borrower’s obligations under this Note, Lender shall return
the original Note to Borrower marked “cancelled” or, in the event this Note has been lost, stolen or destroyed, a
lost note affidavit in a form reasonably acceptable to Borrower. For the avoidance of doubt, Borrower shall not incur any
prepayment premium set forth in Section 1 hereof with respect to any portions of this Note that are satisfied by way of
Borrower Offset Right. Moreover, in the event any party exercises its Offset Rights described in this Section 21, the
corresponding portion of the OID associated with the Secured Buyer Note or Buyer Note, as the case may be, being offset (as
set forth in the third paragraph of this Note) shall also be offset.

22. Time of
the Essence. Time is expressly made of the essence with respect to each and every provision of this Note and the
documents and instruments entered into in connection herewith.

23. Notices.
Whenever notice is required to be given under this Note, unless otherwise provided herein, such notice shall be given in
accordance with the subsection of the Purchase Agreement titled “Notices.”

(REMAINDER OF
PAGE INTENTIONALLY LEFT BLANK)

    	 

    	 

    

IN WITNESS WHEREOF,
Borrower has caused this Note to be duly executed as of the Effective Date set out above.

BORROWER:

Cabinet
Grow, Inc.

 

 

By: _____________________________

Name: ___________________________

Title: ____________________________

 

ACKNOWLEDGED, ACCEPTED AND AGREED:

LENDER:

Chicago
Venture Partners, L.P.

 

By: Chicago Ventures Management, LLC, its General
Partner

 

By: CVM, Inc., its Manager

 

By: ____________________________

     John M. Fife, President

 

 

    	 

    	 

    

ATTACHMENT 1

DEFINITIONS

 

For purposes
of this Note, the following terms shall have the following meanings:

A1.
“Deemed Issuance” means an issuance of Common Stock that shall be deemed to have occurred on the latest
possible permitted date pursuant to the terms hereof or any applicable Warrant in the event Borrower fails to deliver
Conversion Shares as and when required pursuant to Sections 3 or 8 of the Note or Warrant Shares as and when required
pursuant to the Warrant. For the avoidance of doubt, if Borrower has elected or is deemed under Section 8.3 to have elected
to pay an Installment Amount in Installment Conversion Shares and fails to deliver such Installment Conversion Shares, such
failure shall be considered a Deemed Issuance hereunder even if an Equity Conditions Failure exists at that time or other
relevant date of determination.

A2.
“DTC” means the Depository Trust Company.

A3.
“DTC Eligible” means, with respect to the Common Stock, that such Common Stock is eligible to be deposited
in certificate form at the DTC, cleared and converted into electronic shares by the DTC and held in the name of the clearing
firm servicing Lender’s brokerage firm for the benefit of Lender.

A4.
“DTC/FAST Program” means the DTC’s Fast Automated Securities Transfer Program.

A5.
“DWAC” means Deposit Withdrawal at Custodian as defined by the DTC.

A6.
“DWAC Eligible” means that (i) Borrower’s Common Stock is eligible at DTC for full services pursuant
to DTC’s operational arrangements, including without limitation transfer through DTC’s DWAC system, (ii) Borrower
has been approved (without revocation) by the DTC’s underwriting department, (iii) Borrower’s transfer agent is
approved as an agent in the DTC/FAST Program, (iv) the Conversion Shares are otherwise eligible for delivery via DWAC; (v)
Borrower has previously delivered all Conversion Shares to Lender via DWAC; and (vi) Borrower’s transfer agent does not
have a policy prohibiting or limiting delivery of the Conversion Shares via DWAC.

A7.
“Equity Conditions Failure” means that any of the following conditions has not been satisfied during any
applicable Equity Conditions Measuring Period (as defined below): (i) with respect to the applicable date of
determination all of the Conversion Shares are freely tradable under Rule 144 or without the need for registration under any
applicable federal or state securities laws (in each case, disregarding any limitation on conversion of this Note);
(ii) on each day during the period beginning one month prior to the applicable date of determination and ending on and
including the applicable date of determination (the “Equity Conditions Measuring Period”), the Common
Stock is publicly traded and listed or designated for quotation (as applicable) on any of The New York Stock Exchange, NYSE
Amex, the Nasdaq Global Select Market, the Nasdaq Global Market, the Nasdaq Capital Market, the OTC Bulletin Board, the
OTCQX, or the OTCQB (each, an “Eligible Market”) and shall not have been suspended from trading on any
such Eligible Market (other than suspensions of not more than two (2) Trading Days and occurring prior to the applicable
date of determination due to business announcements by Borrower); (iii) on each day during the Equity Conditions
Measuring Period, Borrower shall have delivered all shares of Common Stock issuable upon conversion of this Note on a timely
basis as set forth in Section 9 hereof and all other shares of capital stock required to be delivered by Borrower on a
timely basis as set forth in the other Transaction Documents; (iv) any shares of Common Stock to be issued in
connection with the event requiring determination may be issued in full without violating Section 13 hereof (Lender
acknowledges that Borrower shall be entitled to assume that this condition has been met for all purposes hereunder absent
written notice from Lender); (v) any shares of Common Stock to be issued in connection with the event requiring
determination may be issued in full without violating the rules or regulations of the Eligible Market on which the Common
Stock is then listed or designated for quotation (as applicable); (vi) on each day during the Equity Conditions
Measuring Period, no public announcement of a pending, proposed or intended Fundamental Transaction shall have occurred which
has not been abandoned, terminated or consummated; (vii) Borrower shall have no knowledge of any fact that would
reasonably be expected to cause any of the Conversion Shares to not be freely tradable without the need for registration
under any applicable state securities laws (in each case, disregarding any limitation on conversion of this Note);
(viii) on each day during the Equity Conditions Measuring Period, Borrower otherwise shall have been in
material compliance with each, and shall not have breached any, term, provision, covenant, representation or warranty of any
Transaction Document; (ix) without limiting clause (viii) above, on each day during the Equity Conditions Measuring
Period, there shall not have occurred an Event of Default or an event that with the passage of time or giving of notice would
constitute an Event of Default; (x) on each Installment Notice Due Date and each Installment Date, the average and median
daily dollar volume of the Common Stock on its principal market for the previous twenty (20) Trading Days shall be greater
than $50,000.00; (xi) the ten (10) day average VWAP of the Common Stock is greater than the price derived from dividing the
sum of $3,000,000.00 by the number of fully-diluted shares of Common Stock that are outstanding on the Filing Date, and (xii)
the Common Stock shall be DWAC Eligible as of each applicable Installment Notice Due Date, Installment Date or other date of
determination.

A8.
“Free Trading” means that (a) the shares or certificate(s) representing the applicable shares of Common
Stock have been cleared and approved for public resale by the compliance departments of Lender’s brokerage firm and the
clearing firm servicing such brokerage, and (b) such shares are held in the name of the clearing firm servicing
Lender’s brokerage firm and have been deposited into such clearing firm’s account for the benefit of Lender.

A9.
“Fundamental Transaction” means that (y) (i) Borrower or any of its subsidiaries shall, directly or
indirectly, in one or more related transactions, consolidate or merge with or into (whether or not Borrower or any of its
subsidiaries is the surviving corporation) any other person or entity, or (ii) Borrower or any of its subsidiaries
shall, directly or indirectly, in one or more related transactions, sell, lease, license, assign, transfer, convey or
otherwise dispose of all or substantially all of its respective properties or assets to any other person or entity, or
(iii) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more related transactions, allow any
other person or entity to make a purchase, tender or exchange offer that is accepted by the holders of more than 50% of the
outstanding shares of voting stock of Borrower (not including any shares of voting stock of Borrower held by the person or
persons making or party to, or associated or affiliated with the persons or entities making or party to, such purchase,
tender or exchange offer), or (iv) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more
related transactions, consummate a stock or share purchase agreement or other business combination (including, without
limitation, a reorganization, recapitalization, spin-off or scheme of arrangement) with any other person or entity
whereby such other person or entity acquires more than 50% of the outstanding shares of voting stock of Borrower (not
including any shares of voting stock of Borrower held by the other persons or entities making or party to, or associated or
affiliated with the other persons or entities making or party to, such stock or share purchase agreement or other business
combination), or (v) Borrower or any of its subsidiaries shall, directly or indirectly, in one or more related
transactions, reorganize, recapitalize or reclassify the Common Stock, other than an increase in the number of authorized
shares of Borrower’s Common Stock, or (z) any “person” or “group” (as these terms are used
for purposes of Sections 13(d) and 14(d) of the 1934 Act and the rules and regulations promulgated thereunder) is or shall
become the “beneficial owner” (as defined in Rule 13d-3 under the 1934 Act), directly or indirectly, of 50%
of the aggregate ordinary voting power represented by issued and outstanding voting stock of Borrower.

A10.
“Installment Amount” means $92,083.33 ($1,657,500.00 ÷ 18), plus the sum of any accrued and unpaid
interest that has been added to the lowest-numbered then-current Conversion Eligible Tranche as of the applicable Installment
Date and accrued, and unpaid late charges that have been added to the lowest-numbered then-current Conversion Eligible
Tranche, if any, under this Note as of the applicable Installment Date, and any other amounts accruing or owing to Lender
under this Note as of such Installment Date; provided, however, that, if the remaining amount owing under all
then-existing Conversion Eligible Tranches or otherwise with respect to this Note as of the applicable Installment Date is
less than the Installment Amount set forth above, then the Installment Amount for such Installment Date (and only such
Installment Amount) shall be reduced (and only reduced) by the amount necessary to cause such Installment Amount to equal
such outstanding amount.

A11.
“Market Capitalization of the Common Stock” shall mean the product equal to (a) the average VWAP of the
Common Stock for the immediately preceding fifteen (15) Trading Days, multiplied by (b) the aggregate number of outstanding
shares of Common Stock as reported on Borrower’s most recently filed Form 10-Q or Form 10-K.

A12.
“Trading Day” shall mean any day on which the Common Stock is traded or tradable for any period on the
Common Stock’s principal market, or on the principal securities exchange or other securities market on which the Common
Stock is then being traded.

 

    	 

    	 

    

EXHIBIT A

Chicago
Venture Partners, L.P.

303 East Wacker Drive, Suite 1200

Chicago, Illinois 60601

Date: __________________

Cabinet Grow, Inc.

Attn: ______________

17801 Main Street #E

Irvine, California 92614

 

LENDER CONVERSION NOTICE

 

The above-captioned Lender
hereby gives notice to Cabinet Grow, Inc., a Nevada corporation (the “Borrower”), pursuant to that certain Secured
Convertible Promissory Note made by the Borrower in favor of the Lender on June 6, 2014 (the “Note”), that the
Lender elects to convert the portion of the Note balance set forth below into fully paid and non-assessable shares of Common Stock
of the Borrower as of the date of conversion specified below. Said conversion shall be based on the Lender Conversion Price set
forth below. In the event of a conflict between this Lender Conversion Notice and the Note, the Note shall govern, or, in the alternative,
at the election of the Lender in its sole discretion, the Lender may provide a new form of Lender Conversion Notice to conform
to the Note. Capitalized terms used in this notice without definition shall have the meanings given to them in the Note.

A.Date of Conversion: ____________

B.Lender Conversion #: ____________

C.Conversion Amount: ____________

D.Lender Conversion Price: _______________

E.Lender Conversion Shares: _______________
(C divided by D)

F.Remaining Outstanding Balance of Note:
____________*

G.Remaining balance of Buyer Notes: ____________*

H. Outstanding Balance of Note net of balance
of Buyer Notes: ____________* (F minus G)

* Subject to adjustments for corrections,
defaults, interest and other adjustments permitted by the Transaction Documents (as defined in the Purchase Agreement).

 

The Conversion Amount converted hereunder
shall be deducted from the following Conversion Eligible Tranche(s):

 

	Conversion Amount	Tranche No.
	 	 
	 	 
	 	 

 

 

Please transfer the Lender Conversion
Shares electronically (via DWAC) to the following account:

	Broker:  		    Address:	
	DTC#:  	 	 	 
	Account #:  	 	 	 
	Account Name:  	 	 	 

 

To the extent the Lender
Conversion Shares are not able to be delivered to the Lender electronically via the DWAC system, deliver all such certificated
shares to the Lender via reputable overnight courier after receipt of this Conversion Notice (by facsimile transmission or otherwise)
to:

_____________________________________

_____________________________________

_____________________________________

 

Sincerely,

 

Lender:

 

Chicago
Venture Partners, L.P.

 

By: Chicago Ventures Management, LLC, its General
Partner

 

By: CVM, Inc., its Manager

 

By: _________________________________

     John
M. Fife, President

 

    	 

    	 

    

EXHIBIT B

Cabinet Grow, Inc.

17801 Main Street #E

Irvine, California 92614

 

Date: _____________

Chicago Venture Partners, L.P.

Attn: John Fife

303 E. Wacker Dr., Suite 1200

Chicago, IL 60601

INSTALLMENT NOTICE

The above-captioned Borrower hereby
gives notice to Chicago Venture Partners, L.P., a Utah limited partnership (the “Lender”), pursuant to that
certain Secured Convertible Promissory Note made by the Borrower in favor of the Lender on June 6, 2014 (the “Note”),
of certain Borrower elections and certifications related to payment of the Installment Amount of $_________________ due on ___________,
201_ (the “Installment Date”). In the event of a conflict between this Installment Notice and the Note, the
Note shall govern, or, in the alternative, at the election of the Lender in its sole discretion, the Lender may provide a new form
of Installment Notice to conform to the Note. Capitalized terms used in this notice without definition shall have the meanings
given to them in the Note.

INSTALLMENT CONVERSION AND CERTIFICATIONS

AS OF THE INSTALLMENT DATE

 

		A.	INSTALLMENT CONVERSION

		A.	Installment Date: ____________, 201_

		B.	Installment Amount: ____________

		C.	Portion of Installment Amount Borrower elected to pay in cash: ____________

		D.	Portion of Installment Amount to be converted into Common Stock: ____________ (B minus C)

		E.	Installment Conversion Price: _______________ (lower of (i) Lender Conversion Price in effect and (ii) Market Price as of Installment
Date)

		F.	Installment Conversion Shares: _______________ (D divided by E)

		G.	Remaining Outstanding Balance of Note: ____________ *

		H.	Remaining balance of Buyer Note(s): ____________*

		I.	Outstanding Balance of Note net of balance of Buyer Note(s): ____________* (G minus H)

 

		B.	EQUITY CONDITIONS CERTIFICATION

		1.	Market Capitalization of the Common Stock:________________

(Check One)

		2.	_________The Borrower herby certifies that no Equity Conditions Failure exists as of the Installment
Date.

		3.	_________The Borrower hereby gives notice that an Equity Conditions Failure has occurred and requests
a waiver from the Lender with respect thereto. The Equity Conditions Failure is as follows:

 

 

 

 

 

 

Sincerely,

Borrower:
Cabinet Grow, Inc.

 

By: ___________________________________

Name: _________________________________

Title: __________________________________

 

 

    	 

    	 

    

EXHIBIT C

 

Chicago Venture Partners, L.P.

303 East Wacker Drive, Suite 1200

Chicago, Illinois 60601

Date: __________________

Cabinet Grow, Inc.

Attn: _________________

17801 Main Street #E

Irvine, California 92614

TRUE-UP NOTICE

The above-captioned Lender hereby gives
notice to Cabinet Grow, Inc., a Nevada corporation (the “Borrower”), pursuant to that certain Secured
Convertible Promissory Note made by the Borrower in favor of the Lender on June 6, 2014 (the “Note”), of True-Up
Conversion Shares related to _____________, 201_ (the “Installment Date”). In the event of a conflict between
this True-Up Notice and the Note, the Note shall govern, or, in the alternative, at the election of the Lender in its sole discretion,
the Lender may provide a new form of True-Up Notice to conform to the Note. Capitalized terms used in this notice without definition
shall have the meanings given to them in the Note.

TRUE-UP CONVERSION SHARES
AND CERTIFICATIONS

AS OF THE TRUE-UP DATE

 

		1.	TRUE-UP CONVERSION SHARES

		A.	Installment Date: ____________, 201_

		B.	True-Up Date: ____________, 201_

		C.	Portion of Installment Amount converted into Common Stock: _____________

		D.	True-Up Conversion Price: _______________ (lower of (i) Lender Conversion Price in effect and (ii)
Market Price as of True-Up Date)

		E.	True-Up Conversion Shares: _______________ (C divided by D)

		F.	Installment Conversion Shares delivered: ________________

		G.	True-Up Conversion Shares to be delivered: ________________ (only applicable if E minus F is greater
than zero)

		2.	EQUITY CONDITIONS CERTIFICATION (Section to be completed by Borrower)

		A.	Market Capitalization of the Common Stock:________________

(Check One)

		B.	_________The Borrower herby certifies that no Equity Conditions Failure exists as of the applicable
True-Up Date.

		C.	_________The Borrower hereby gives notice that an Equity Conditions Failure has occurred and requests
a waiver from the Lender with respect thereto. The Equity Conditions Failure is as follows:

 

 

 

 

 

 

 

Sincerely,

 

Lender:

 

Chicago
Venture Partners, L.P.

 

By: Chicago Ventures Management, LLC, its General
Partner

 

By: CVM, Inc., its Manager

 

By: _______________________________

     John
M. Fife, President

 

 

ACKNOWLEDGED AND CERTIFIED BY:

Borrower: Cabinet Grow, Inc.

 

By: ___________________________________

Name: _________________________________

Title: __________________________________

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