Document:

Exhibit 10.22

    

    

    GOLDMAN SACHS SPECIALTY LENDING GROUP, L.P.

    2001 Ross Avenue, Suite 2800

    Dallas, Texas 75201

    

    

    PRIVATE AND CONFIDENTIAL

    

    

    October 14, 2019

    

    

    One Water Assets & Operations, LLC,

    6275 Lanier Islands Parkway

    Buford, Georgia 30518

    Attention: Philip Austin Singleton, Jr., CEO

    

    

    Project Float

    Commitment Letter

    

    

    Ladies and Gentlemen:

    

    

    You have informed Goldman Sachs Specialty Lending Group, L.P. (“we”, “us” or “GSSLG” and, together with its affiliates, “Goldman Sachs”) that
      One Water Marine Holdings, LLC, a Delaware limited liability company (“Holdings”) and certain subsidiaries of Holdings, as borrowers (collectively, “you” or the “Companies”) desire to refinance certain credit facilities made available to the Companies pursuant to that
      certain Credit and Guaranty Agreement dated as of October 28, 2016 (as amended, the “Existing Credit Agreement”), by and among Holdings, the Companies, GSSLG and the lenders party thereto,
      in connection with the initial public offering of OneWater Marine Inc., a Delaware corporation and an indirect equity holder of Companies (“PubCo” and together with the Companies and
      Holdings, the “Credit Parties”). The parties hereto intend to refinance the credit facilities provided under the Existing Credit Agreement via an amended and restatement thereof or with a
      new credit facility, in either case, on the terms set forth in Annex B to consist of (a) up to $100 million under a senior secured multi-draw term loan facility (the “MDTL Facility”); and (b) up to $10 million under a senior secured revolving credit facility (the “Revolving Credit Facility” and,
      collectively with the MDTL Facility, the “Credit Facilities”). The proceeds of the MDTL Facility are expected to be used to (a) refinance all outstanding obligations under the Existing
      Credit Agreement, (b) redeem existing preferred equity interests, (c) pay fees and expenses in connection with the transactions contemplated hereby, and (d) to fund Permitted Acquisitions under the Credit Documents. The proceeds of the Revolving
      Facility are expected to be used to provide for the ongoing working capital requirements of the Companies and for general corporate purposes in accordance with the terms of the documentation governing the Credit Facilities. The approximate sources
      and uses of the funds necessary to consummate the transactions described above are set forth in Annex B, and certain additional conditions to the Commitments (defined below) are set forth
      in Annex C.  The definitive documentation of the Credit Facilities will include, without limitation, (a) an amendment and restatement of or a replacement credit agreement for the Existing
      Credit Agreement and (b) with respect to any existing security instruments or other ancillary loan documents, amendments to or, if reasonably determined by us to be necessary or appropriate, amendments and restatements of or replacement security
      instruments for such security instruments and/or ancillary loan documents, as the case may be.

    
      
        

        

      

      
        

    

    
    We are pleased to confirm the arrangements under which (i) GSSLG is exclusively authorized by the Companies to act as administrative agent and
      documentation agent in connection with the Credit Facilities, and (ii) GSSLG commits to provide the full $110 million of the Credit Facilities (the “Commitments”), in each case on the terms
      and subject to the conditions set forth in this commitment letter and in the attached Annexes A, B and C hereto (collectively, this “Commitment Letter”; capitalized terms used but not defined herein shall have the meanings given to them
      in the attached Annex A, B or C, as applicable). You hereby appoint
      GSSLG to act in each such role. Our fees and certain other economic entitlements for our services related to the Credit Facilities are set forth in a separate confidential fee letter (the “Fee
        Letter”) entered into by the Credit Parties and GSSLG on the date hereof.

    

    

    Our commitments are subject, in our discretion, to the following conditions: (i) the conditions set forth in Annexes A, B and C; (ii)  the Credit Parties’ compliance with the terms of this Commitment Letter and the Fee Letter; and (iii) the
      satisfaction of all conditions precedent set forth in the Credit Documents. Our commitment is also conditioned upon and made subject to our not becoming aware after the date hereof of any new or inconsistent information or other matter not previously
      disclosed to us relating to the Credit Parties or any related subsidiaries or affiliates or the transactions contemplated by this Commitment Letter which we, in our reasonable judgment, deem material and adverse relative to the information or other
      matters disclosed to us prior to the date hereof.

    

    

    By executing this Commitment Letter, the Credit Parties agree on their behalf and on behalf of their respective affiliates that from and after the date
      hereof until the date which is 90 days after the date hereof, the Credit Parties and their respective affiliates (i) will cease any discussion with other potential financing providers, and will not directly or indirectly engage in discussion with,
      provide any information to, or transmit any letter of intent, indicative terms or other document or response to any person or entity other than Goldman Sachs in connection with soliciting or receiving from such financing provider, person or entity a
      proposal, commitment, exclusivity arrangement or definitive agreement to provide debt or equity financing (including any modification, extension, or continuation of existing credit facilities) other than floorplan financing, and (ii) will not enter
      into any definitive agreement for a debt or equity financing (including any modification, extension, or continuation of existing credit facilities) that is in lieu of, inconsistent with, or reasonably expected to interfere with the Credit Facilities
      if GSSLG is ready, willing and able to provide the proceeds of the Credit Facilities on the terms and conditions substantially as set forth in this Commitment Letter.

    

    

    GSSLG intends and reserves the right to syndicate the Credit Facilities to the Lenders.  GSSLG will lead the syndication, including the selection of
      potential Lenders, determining the timing of all offers to potential Lenders, any title of agent or similar designations or roles awarded to any Lender and the acceptance of commitments, the amounts offered and the compensation provided to each
      Lender from the amounts to be paid to GSSLG pursuant to the terms of this Commitment Letter and the Fee Letter. GSSLG will determine the final commitment allocations and will notify you of such determinations. You agree to use all commercially
      reasonable efforts to ensure that GSSLG’s syndication efforts benefit from the Credit Parties’ existing lending relationships. To ensure an orderly and successful syndication of the Credit Facilities, the Company agrees that, until the termination of
      the syndication as determined by GSSLG, the Company will not, and will not permit any of its affiliates to, syndicate or issue, attempt to syndicate or issue, announce or authorize the announcement of the syndication or issuance of, or engage in
      discussions concerning the syndication or issuance of, any debt facility or securities of the Company or any of its subsidiaries or affiliates (other than the Credit Facilities and other indebtedness contemplated hereby to remain outstanding after
      the Closing Date), including any renewals or refinancings of any existing debt facility or securities, without the prior written consent of GSSLG. The Company agrees to enter into such amendments to the Loan Documents as may be requested by GSSLG to
      give effect to the foregoing sentence.

    
      
        

        

      

      2

      
        

      

    

    
    The terms of this Commitment Letter are intended as an outline of certain of the material terms of the Credit Facilities, but do not include all of the
      terms, conditions, covenants, representations, warranties, default clauses and other provisions that will be contained in the Credit Documents. The Credit Documents shall include, in addition, provisions that are customary or typical for financings
      of this type.

    

    

    In addition, the Credit Parties each represent and covenant that (i) all information, other than Projections (defined below), which has been or is
      hereafter provided directly or indirectly by the Credit Parties or any of their respective representatives to GSSLG in connection with the transactions contemplated hereunder (the “Information”)

      is and will be complete and correct in all material respects and does not and will not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements contained therein not misleading and (ii) all
      financial projections concerning the Credit Parties, and their respective subsidiaries that have been or will be made available to GSSLG by the Credit Parties or any of their respective representatives (the “Projections”) have been and will be prepared in good faith based upon assumptions that are believed by the preparer thereof to be reasonable at the time made. You agree that if at any time prior to the Closing Date, any
      of the representations in the preceding sentence would be incorrect in any material respect if the Information and Projections were being furnished, and such representations were being made, at such time, then you will promptly supplement, or cause
      to be supplemented, the Information and Projections so that such representations will be correct in all material respects under those circumstances.

    

    

    By executing this Commitment Letter, you agree to reimburse GSSLG from time to time on demand for all reasonable out-of-pocket fees and expenses
      (including, but not limited to, the reasonable fees, disbursements and other charges of all legal counsel to GSSLG (including, but not limited to, special and local counsel retained by GSSLG) and examiners, search fees, due diligence expenses,
      transportation expenses, and appraisal, environmental, audit, and consultant costs and expenses) incurred before and during the term of this Commitment Letter in connection with the Credit Facilities, the preparation of the definitive documentation
      therefor and the other transactions contemplated hereby, regardless of whether any of the transactions contemplated hereby are consummated.

    

    

    In addition, in connection with arrangements such as this, it is GSSLG’s policy to receive indemnification. You agree to the provisions with respect to
      indemnity and other matters set forth in Annex A, which is incorporated by reference into this Commitment Letter.

    
      
        

        

      

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    GSSLG hereby notifies you that pursuant to the requirements of the USA PATRIOT Act, Title III of Pub. L. 107-56 (signed into law October 26, 2001) (the “Act”), GSSLG and each Lender is required to obtain, verify and record information that identifies each borrower and guarantor under the Credit Facilities, which information includes the name and
      address and other information of each such person or entity that will allow GSSLG and each Lender to identify each such person or entity in accordance with the Act. This notice is given in accordance with the requirements of the Act and is effective
      for GSSLG and each Lender.

    

    

    Please note that this Commitment Letter and the Fee Letter and any written or oral advice provided by us in connection with this arrangement (i) are
      exclusively for the information of the board of directors (or equivalent governing body, person or entity) and the senior management of the Credit Parties and (ii) may not be disclosed to any third party or circulated or referred to publicly without
      our prior written consent except, after providing written notice to GSSLG, pursuant to a subpoena or order issued by a court of competent jurisdiction or by a judicial, administrative or legislative body or committee; provided, however, that we
      hereby consent to disclosure of (x) this Commitment Letter, the Fee Letter and such advice to the officers, directors, agents and advisors of the Credit Parties who are directly involved in the consideration of the Credit Facilities to the extent
      such persons or entities agree to hold the same in confidence, (y) this Commitment Letter and Fee Letter as required by applicable law or compulsory legal process (in which case you agree to inform us promptly thereof) and (z) this Commitment Letter
      (but not the Fee Letter) as required in connection with any public filing to be made with the Securities and Exchange Commission or other applicable regulatory authorities and stock exchanges which are required to be made by you in connection with a
      Qualifying IPO.

    

    

    As you know, Goldman, Sachs & Co. LLC (“GS & Co”) is a full service securities firm
      engaged, either directly or through its affiliates in various activities, including securities trading, investment management, financing and brokerage activities and financial planning and benefits counseling for both companies and individuals. In
      the ordinary course of these activities, GS & Co or its affiliates may actively trade the debt and equity securities (or related derivative securities) of the Credit Parties and other companies which may be the subject of the arrangements
      contemplated by this Commitment Letter, including any of their respective affiliates, for their own account and for the accounts of their customers and may at any time hold long and short positions in such securities. GS & Co or its affiliates
      may also co-invest with, make direct investments in, and invest or co-invest client monies in or with funds or other investment vehicles managed by other parties, and such funds or other investment vehicles may trade or make investments in securities
      or other debt obligations of the Credit Parties or other companies which may be the subject of the arrangements contemplated by this Commitment Letter and any of their respective affiliates.

    

    

    Goldman Sachs may have economic interests that conflict with those of the Credit Parties. You agree that Goldman Sachs will act under this Commitment
      Letter as an independent contractor and that nothing in this Commitment Letter or the Fee Letter or otherwise will be deemed to create an advisory, fiduciary or agency relationship or fiduciary or other implied duty between Goldman Sachs, on the one
      hand, and the Credit Parties, their respective stockholders or their respective affiliates, on the other. You acknowledge and agree that (i) the transactions contemplated by this Commitment Letter and the Fee Letter are arm’s-length commercial
      transactions between Goldman Sachs, on the one hand, and the Credit Parties, on the other, (ii) in connection therewith and with the process leading to such transaction, Goldman Sachs is acting solely as a principal and not the agent or fiduciary of
      the Credit Parties, their respective management, stockholders, creditors or any other person or entity, (iii) Goldman Sachs has not assumed an advisory or fiduciary responsibility in favor of the Credit Parties with respect to the transactions
      contemplated hereby or the process leading thereto (irrespective of whether Goldman Sachs or any of its affiliates has advised or is currently advising the Credit Parties on other matters) or any other obligation to the Credit Parties except the
      obligations expressly set forth in this Commitment Letter and the Fee Letter and (iv) the Credit Parties have consulted their own legal and financial advisors to the extent it deemed appropriate. The Credit Parties further acknowledge and agree that
      it is responsible for making its own independent judgment with respect to such transactions and the process leading thereto. The Credit Parties agree that it will not claim that Goldman Sachs has rendered advisory services of any nature or respect,
      or owes a fiduciary or similar duty to the Credit Parties, in connection with such transaction or the process leading thereto. In addition, GSSLG may employ the services of its affiliates in providing certain services hereunder and may exchange with
      such affiliates information concerning the Credit Parties and other companies that may be the subject of this arrangement, and such affiliates shall be entitled to the benefits afforded to GSSLG hereunder.

    
      
        

        

      

      3

      
        

      

    

    The provisions of the immediately preceding six paragraphs and the fourth paragraph of this Commitment Letter shall remain in full force and effect
      regardless of whether any definitive documentation for the Credit Facilities shall be executed and delivered, and notwithstanding the termination of this Commitment Letter or any commitment or undertaking hereunder.

    

    

    This Commitment Letter may not be assigned by the Companies without GSSLG’s prior written consent (and any purported assignment without such consent
      shall be null and void), is intended to be solely for the benefit of the parties hereto and is not intended to confer any benefits upon, or create any rights in favor of, any person or entity other than the parties hereto. GSSLG may assign its
      commitments hereunder, in whole or in part (including, for example, our commitment to provide the Credit Facilities), to any of its affiliates, and upon such assignment, GSSLG shall be released from the portion of its commitment hereunder that has
      been assigned. Neither this Commitment Letter nor the Fee Letter may be amended or any term or provision hereof or thereof waived or modified except by an instrument in writing signed by each of the parties hereto or thereto, and any term or
      provision hereof or thereof may be amended or waived only by a written agreement executed and delivered by all parties hereto.

    

    

    Our commitment hereunder shall terminate upon the first to occur of (i) at our election, upon any of (A) a material breach by the Credit Parties under
      this Commitment Letter, the Fee Letter or any other document executed in connection herewith, (B) the consummation of the Qualifying IPO without the use of the Credit Facilities, or (C) the termination or abandonment of any agreement to consummate
      the Qualifying IPO or any part thereof prior to the consummation of the Qualifying IPO and (ii) ninety (90) days after the date hereof, unless the closing of the Credit Facilities, on the terms and subject to the conditions contained herein, shall
      have been consummated on or before such date.

    

    

    In addition, please note that Goldman Sachs does not provide accounting, tax or legal advice. Notwithstanding anything herein to the contrary, the Credit
      Parties (and each employee, representative or other agent of the Credit Parties) may disclose to any and all persons or entities, without limitation of any kind, the tax treatment and tax structure of this potential transaction and all materials of
      any kind (including opinions or other tax analyses) that are provided to the Credit Parties relating to such tax treatment and tax structure. However, any information relating to the tax treatment or tax structure shall remain subject to the
      confidentiality provisions hereof (and the foregoing sentence shall not apply) to the extent reasonably necessary to enable the parties hereto, their respective affiliates, and their respective affiliates’ directors and employees to comply with
      applicable securities laws. For this purpose, “tax treatment” means U.S. federal or state income tax treatment, and “tax structure”
      is limited to any facts relevant to the U.S. federal income tax treatment of the transactions contemplated by this Commitment Letter but does not include information relating to the identity of the parties hereto or any of their respective
      affiliates.

    
      
        

        

      

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    This Commitment Letter may be executed in any number of counterparts, each of which when executed shall be an original, and all of which, when taken
      together, shall constitute one agreement. Delivery of an executed counterpart of a signature page of this Commitment Letter and the Fee Letter by facsimile or other electronic transmission shall be effective as delivery of a manually executed
      counterpart hereof. Any party delivering an executed counterpart of this Commitment Letter or the Fee Letter via facsimile or other electronic transmission shall, at our request, also deliver to us or our counsel a manually executed original, but the
      failure to do so does not affect the validity, enforceability or binding effect of this Commitment Letter or the Fee Letter.

    

    

    THIS COMMITMENT LETTER AND THE FEE LETTER SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF
        NEW YORK WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAWS. Each of the parties hereto agrees that any suit or proceeding arising in respect to this arrangement or any matter referred to in this Commitment Letter or the Fee Letter will be
      tried exclusively in the U.S. District Court for the Southern District of New York or, if that court does not have subject matter jurisdiction, in any state court located in the City of New York and each of the parties hereto agrees to submit to the
      jurisdiction of, and to venue in, such courts. ANY RIGHT TO TRIAL BY JURY WITH RESPECT TO ANY ACTION OR PROCEEDING ARISING IN CONNECTION WITH OR AS A RESULT OF EITHER OUR COMMITMENT OR ANY MATTER REFERRED TO IN THIS
        COMMITMENT LETTER OR THE FEE LETTER IS HEREBY WAIVED BY EACH OF THE PARTIES HERETO. The provisions of this paragraph shall remain in full force and effect regardless of whether any definitive documentation for the Credit Facilities shall be
      executed and delivered, and notwithstanding the termination of this Commitment Letter or any commitment or undertaking hereunder.

    

    

    THIS COMMITMENT LETTER AND THE FEE LETTER REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES WITH RESPECT TO THE SPECIFIC MATTERS
      HEREOF, SET FORTH THE ENTIRE UNDERSTANDING OF THE PARTIES HERETO, SUPERSEDE ANY PRIOR AGREEMENTS AMONG THE PARTIES HERETO WITH RESPECT TO THE CREDIT FACILITIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL
      AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

    

    

    Please confirm that the foregoing is in accordance with your understanding by signing and returning to GSSLG the enclosed copy of this Commitment Letter
      and the Fee Letter on or before the close of business on October 15, 2019, whereupon this Commitment Letter and the Fee Letter shall become binding agreements between us. If not signed and returned as described in the preceding sentence by such date,
      this offer will terminate on such date. We look forward to working with you on this assignment.

    

    

    [Remainder of page intentionally left blank]

    
      
        

        

      

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    Very truly yours,

    

    

    	
            GOLDMAN SACHS SPECIALTY LENDING GROUP, L.P.

          
	 	 	 
	
            By:

          	
            /s/ David Miller

          	 
	Name:  

          	David Miller	 
	Title:	Authorized Signatory	 

    

    

    [Signature Page to Commitment Letter – Project Float]

    

    
      
        

        

      

      
        

      

    

    	 	
            ACCEPTED AS OF THE DATE FIRST WRITTEN ABOVE:

          

    

    

    COMPANIES:

    

    

    	 	
            SINGLETON ASSETS & OPERATIONS, LLC

            LEGENDARY ASSETS & OPERATIONS, LLC

            SOUTH FLORIDA ASSETS & OPERATIONS,

            LLC

            651 S FEDERAL HIGHWAY, LLC

          
	 	 	 
	 	
            By:

          	
            /s/ Philip Austin Singleton, Jr.

          
	 	
            Name:

          	
            Philip Austin Singleton, Jr.

          
	 	
            Title:

          	
            Manager

          
	 	 	 
	 	
            BOSUN’S ASSETS & OPERATIONS, LLC

            ONE WATER ASSETS & OPERATIONS, LLC

            SOUTH SHORE LAKE ERIE ASSETS & OPERATIONS, LLC

          
	 	 	 
	 	
            By:

          	
            /s/ Philip Austin Singleton, Jr.

          
	 	
            Name:

          	
            Philip Austin Singleton, Jr.

          
	 	
            Title:

          	
            CEO

          
	 	 	 
	 	
            SUNDANCE LAUDERDALE REALTY, INC.

          
	 	 	 
	 	
            By:

          	
            /s/ Philip Austin Singleton, Jr.

          
	 	
            Name:

          	
            Philip Austin Singleton, Jr.

          
	 	
            Title:

          	
            President

          
	 	 	 
	 	
            MIDWEST ASSETS & OPERATIONS, LLC

          
	 	 	 
	 	
            By: One Water Assets & Operations, LLC, its Manager

          
	 	 	 
	 	
            By:

          	
            /s/ Philip Austin Singleton, Jr.

          
	 	
            Name:

          	
            Philip Austin Singleton, Jr.

          
	 	
            Title:

          	
            CEO

          

    

    

    [Signature Page to Commitment Letter – Project Float]

    
      
        

        

      

      
        

      

    

    HOLDINGS:

    

    

    	 	
            ONE WATER MARINE HOLDINGS, LLC

          
	 	 	 
	 	
            By:

          	
            /s/ Philip Austin Singleton, Jr.

          
	 	
            Name:

          	
            Philip Austin Singleton, Jr.

          
	 	
            Title:

          	
            CEO

          

    

    

    PUBCO:

    

    

    	 	
            ONEWATER MARINE INC.

          
	 	 	 
	 	
            By:

          	
            /s/ Philip Austin Singleton, Jr.

          
	 	
            Name:

          	
            Philip Austin Singleton, Jr.

          
	 	
            Title:

          	
            CEO

          

    

    

    [Signature Page to Commitment Letter – Project Float]

    
      
        

        

      

      
        

      

    

    
    Annex A

    

    

    In the event that Goldman Sachs, or any of the partners, directors or equivalents, agents, employees and controlling persons or
      entities (if any), as the case may be, of Goldman Sachs (each, an “Indemnified Person”), becomes involved in any capacity in any action, proceeding or investigation brought by or against any person or entity,
      including any of your affiliates, shareholders, partners, members, or other equity holders, in connection with or as a result of either this arrangement or any matter referred to in this Commitment Letter or in any fee letter (together, the “Letters”), you agree to periodically reimburse such Indemnified Person for its legal and other expenses (including the cost of any investigation and preparation) incurred in connection therewith. You also will
      indemnify and hold each Indemnified Person harmless against any and all losses, claims, damages, penalties, expenses or liabilities to any person or entity arising in connection with or as a result of either this arrangement or any matter referred to
      in the Letters, and without regard to the exclusive or contributory negligence of any Indemnified Person, except to the extent that such have been found by a final, non-appealable judgment of a court of
      competent jurisdiction that any such loss, claim, damage, penalty, expense or liability results from the gross negligence or willful misconduct of such Indemnified Person in performing the services that are the subject of the Letters. If for any
      reason the foregoing indemnification is unavailable to any Indemnified Person or is insufficient to hold it harmless, then you shall contribute to the amount paid or payable by such Indemnified Person as a result of such loss, claim, damage, penalty,
      expense or liability in such proportion as is appropriate to reflect the relative economic interests of you and your affiliates and equity holders on the one hand and such Indemnified Person on the other hand in the matters contemplated by the
      Letters as well as the relative fault of you, your affiliates and equity holders, and such Indemnified Person with respect to such loss, claim, damage, penalty, expense or liability and any other relevant equitable considerations. Your reimbursement,
      indemnity and contribution obligations under this paragraph shall be in addition to any liability that you may otherwise have, shall extend upon the same terms and conditions to any affiliate of any Indemnified Person and the partners, directors,
      agents, employees and controlling persons or entities (if any), as the case may be, of such Indemnified Person and any such affiliate, and shall be binding upon and inure to the benefit of any successors, assigns, heirs and personal representatives
      of you, any Indemnified Person, any such affiliate and any such other person or entity. You also agree that neither any Indemnified Person nor any of its affiliates, partners, directors, agents, employees or controlling persons or entities shall have
      any liability based on its or their exclusive or contributory negligence or otherwise to you or any person or entity asserting claims on behalf of or in right of you or any other person or entity in connection
      with or as a result of either this arrangement or any matter referred to in the Letters, except to the extent that any losses, claims, damages, penalties, liabilities or expenses incurred by you have been found by a final, non-appealable judgment of
      a court of competent jurisdiction to have resulted from the gross negligence or willful misconduct of such Indemnified Person in performing the services that are the subject of the Letters; provided, however, that in no event shall
      such Indemnified Person or such other parties have any liability for any indirect, consequential or punitive damages in connection with or as a result of such Indemnified Person’s or such other parties’ activities related to the Letters. Any right to trial by jury with respect to any action or proceeding arising in connection with or as a result of either this arrangement or any matter referred to in the Letters is hereby waived by the parties hereto. You
        agree that any suit or proceeding arising in respect to this arrangement or any matter referred to in the Letters will be tried exclusively in the U.S. District Court for the Southern District of New York or, if that court does not have subject
        matter jurisdiction, in any state court located in the City of New York and you agree to submit to the jurisdiction of, and to venue in, such courts. The provisions of this Annex A shall survive any termination or completion of the arrangement
        provided by the Letters, and this Commitment Letter shall be governed by and construed in accordance with the laws of the State of New York without regard to principles of conflicts of laws.

    

    

    
      
        

        

      

      Annex A-1

      
        

      

    

    
    Annex B

    

    

    

    

    

    TERM SHEET

    

    

    CONFIDENTIAL

    SENIOR SECURED CREDIT FACILITIES

    

    

    	
            PubCo:

          	
            OneWater Marine Inc., a Delaware corporation (“PubCo”).

          
	 	 
	
            Holdings:

          	
            One Water Marine Holdings, LLC, a Delaware limited liability company (“Holdings”).

          
	 	 
	
            Borrowers:

          	
            Consistent with the Documentation Principles (the “Borrowers”).

          
	 	 
	
            Guarantors:

          	
            Consistent with the Documentation Principles; provided that, PubCo will be an additional Guarantor.  The Guarantors, collectively with the Borrowers, are referred to as the “Credit Parties”).

          
	 	 
	
            Sole Lead Arranger:

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Administrative Agent:

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Lenders:

          	
            Goldman Sachs Specialty Lending Group, L.P., as lender (in such capacity, “GSSLG”) and/or one or more of its affiliates
              and/or other financial institutions approved by GSSLG (each, a “Lender” and, collectively, the “Lenders”).

          
	 	 
	
            Existing Credit Agreement:

          	
            That certain Credit and Guaranty Agreement, dated as of October 28, 2016 and as amended from time to time, entered into by and among Holdings, the Borrowers, Goldman Sachs Specialty
              Lending Group, L.P., as administrative agent and as collateral agent (in such capacities, “Existing Agent”), and OWM BIP
              Investor, LLC and Goldman Sachs Specialty Lending Holdings, Inc. (each an “Existing Lender”, and together, the “Existing Lenders”).  Capitalized terms not defined herein shall have the same meaning ascribed to them in the Existing Credit
              Agreement.

          
	 	 
	
            Credit Facilities:

          	
            $110,000,000 (the “Total Facility Amount”), consisting of (i) a $10,000,000 Revolving Credit Facility (the “Revolving Credit Facility”) and (ii) a $100,000,000 Multi-draw Term Loan Facility (the “MDTL Facility” and, together with the
              Revolving Credit Facility, the “Credit Facilities”).

          
	 	 
	
            Documentation Principles:

          	
            The terms of the Credit Documents will be based on the terms of the Existing Credit Agreement and the related loan and security documents delivered in connection therewith, in each
              case, as modified to reflect (i) this Term Sheet, (ii) market syndicated loan documentation updates (including but not limited to (A) customary provisions regarding the Beneficial Ownership Regulation (as defined in Annex C), (B) LIBOR replacement, (C) swaps and other qualified financial contracts, (D) compliance with the Employee Retirement Income Security Act of 1974 (as amended), and (E) divisions by limited
              liability companies under Delaware law), (iii) Agent’s internal form documentation updates, and (iv) other changes as may mutually be agreed (the provisions of this paragraph referred to herein as the “Documentation Principles”).  For the avoidance of doubt, consistent with the Existing Credit Agreement, all leases that are or would be treated as operating leases for purposes of GAAP prior to December 15, 2018
              shall continue to be accounted for as operating leases for purposes of the financial terms, under the Credit Facilities regardless of any change to GAAP following such date which would otherwise require treating any lease (or similar
              arrangement conveying the right to use) as a capital lease where such lease (or similar arrangement) was not required to be so treated under GAAP as in effect prior to December 15, 2018.

          
	 	 	 

    
      
        

        

      

      Annex B-1

      
        

      

    

    

    

    	
            Uses of Proceeds:

          	
            Proceeds from the MDTL Facility will be partially used to refinance Holding’s existing credit facilities (the “Existing Credit
                Facilities”), and existing preferred equity interests, and pay fees and expenses, with the remainder to be used for “Permitted Acquisitions” (criteria to be consistent with
              the terms of the Existing Credit Agreement, provided, for the avoidance of doubt, acquisitions less than or equal to $5,000,000 (excluding amounts paid for inventory and/or working capital) shall be deemed Permitted Acquisitions subject to
              customary reporting and legal diligence requirements, among others). The Revolving Credit Facility will be unfunded at closing but may be used for working capital and general corporate purposes.

          
	 	 
	
            Incremental Uncommitted Facility:

          	
            The Credit Facilities will provide for a $20,000,000 uncommitted incremental multi-draw term loan facility with terms and conditions to be mutually agreed by Holdings and Agent.

          
	 	 
	
            Closing Date:

          	
            The date on which all conditions to the closing of the Credit Facilities have been satisfied (the “Closing Date”).

          
	 	 
	
            Maturity Date:

          	
            The date that is 5 years after the Closing Date (the “Maturity Date”).

          
	 	 
	
            Interest Rates:

          	
            All rates shall be calculated on a 360-day basis:

          
	 	 
	 	
            Current/Cash-Pay Rate:  

            

          	
            A floating rate of LIBOR + 7.00% or Base Rate + 6.00%, with a 1.50% LIBOR floor and a 4.50% Base Rate Floor, payable monthly for Base Rate borrowings and up to
              quarterly for LIBOR borrowings, provided that, so long as no default or event of default has occurred and is continuing, the Current/Cash-Pay Rate shall be determined according to the following grid (based on the most recent fiscal quarter
              for which a compliance certificate has been delivered); except that (a) for the first twelve months following the Closing Date, the Current/Cash-Pay Rate shall be no less than the amounts listed in Tier 2 under the below grid and (b) the
              Current/Cash-Pay Rate shall be deemed to be Tier 1 if Holdings fails to deliver quarterly consolidated financials and a related compliance certificate required to be delivered by it consistent with the Documentation Principles, during the
              period from the expiration of the required time for delivery thereof until such items are so delivered:

          

    

    

    	
            Tier

          	
            Senior Leverage

             
            Ratio

          	
            LIBOR

          	
            Base Rate

          
	
            Margin

          	
            Floor

          	
            Margin

          	
            Floor

          
	
            1

          	
            > 1.50 x

          	
            7.00%

          	
            1.50%

          	
            6.00%

          	
            4.50%

          
	
            2

          	
            < 1.50 x & > 1.00 x

          	
            6.50%

          	
            1.50%

          	
            5.50%

          	
            4.50%

          
	
            3

          	
            < 1.00 x

          	
            5.50%

          	
            1.50%

          	
            4.50%

          	
            4.50%

          

    

    

    

    

    	 	
            PIK Rate:

          	
            For a single twelve month period following the Closing Date, Holdings may elect to pay the Current/Cash-Pay Rate in kind
              (the “PIK Option”), subject to a 2.00% premium (the “PIK Premium”) on the Interest Rate for such amounts elected to be
              paid in kind (the sum of the Current/Cash-Pay Rate and the PIK Premium, the “PIK Rate”).

          
	 	 	 
	 	 	
            The PIK Rate, if applicable, shall compound quarterly, and shall be due and payable on the Maturity Date, subject to Mandatory Prepayments, if applicable, provided
              Holdings may elect to prepay any amounts owed under the PIK Rate prior to the Maturity Date without penalty.

          
	 	 	 
	 	
            Default Rate:

          	
            2.00% in addition to the Current/Cash-Pay Rate (and/or PIK Rate, if applicable), payable on demand.

          
	 	 	 

    
      
        

        

      

      Annex B-2

      
        

      

    

    

    

    	
            Un-drawn Facility Fee:

          	
            0.50% per annum times the daily average aggregate un-drawn portion of the Revolving Credit Facility and the MDTL Facility shall accrue from the Closing Date and
              shall be payable monthly in arrears to Agent for the ratable benefit of the Lenders under the Revolving Credit Facility and the MDTL Facility.

          
	 	 
	
            Availability:

          	
            MDTL Facility:  Amounts are available to be drawn under the MDTL Facility for Permitted Acquisitions during the period beginning on the Closing Date and
              ending on the date that is 24 months after the Closing Date (the “MDTL Availability Period”) and subject to pro forma compliance with the Credit Documents and the Incurrence Test
              Multiple. Amounts repaid under the MDTL Facility may not be reborrowed.

          
	 	 
	
            

            

          	Availability under the Credit Facilities shall not exceed the lesser of: 
	 	 	 
	 	
            (a)

          	
            the unused commitment amount; or

          
	 	 	 
	 	
            (b)

          	
            the most recent trailing 12 months Adjusted (with such adjustments to include (1) pro forma credit for acquisitions and identified synergies as approved by Agent,
              and (2) other adjustments consistent with the Documentation Principles) EBITDA (with such EBITDA calculation reduced by any interest paid under the Approved Floorplan Financing) multiplied by the then in effect maximum leverage
              multiple (initially set at 2.00x with step-downs to be determined; the “Incurrence Test Multiple”) less the sum of (i) outstanding amounts under the Credit Facilities and (ii) all
              other indebtedness (including capital leases but excluding Approved Floorplan Financing) of the Credit Parties.

          
	 	 
	 	
            Draws under the Credit Facilities will be subject to pro forma compliance with the Credit Documents.

          
	 	 
	
            Amortization: 

            

          	
            Revolving Credit Facility:  None.  All loans outstanding under the Revolving Credit Facility shall be payable on the Maturity Date.

          
	 	 
	 	
            MDTL Facility: The loans under the MDTL Facility (the “MDT Loans”) shall, commencing with first
              fiscal quarter first occurring following the end of the MDTL Availability Period, be repayable in equal consecutive quarterly installments in an annual amount equal to 5.0% of the principal amount of the MDT Loans, with the final balance of
              the MDT Loans payable on the Maturity Date.

          
	 	 
	
            Mandatory Prepayments: 

            

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Voluntary Prepayments: 

            

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Goldman Sachs Collateral: 

            

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Floorplan Lender Collateral: 

            

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Financial Covenants: 

            

          	
            Consistent with the Documentation Principles and customary and appropriate for GSSLG transactions, including without limitation, financial covenants (measured
              quarterly) related to minimum fixed charge coverage, maximum total leverage ratio (including capital leases but excluding Approved Floorplan Financing) of 3.00x (with step-downs TBD), maximum senior leverage ratio (including capital leases
              but excluding Approved Floorplan Financing and Approved Subordinated Debt) of 2.50x (with step-downs TBD), and minimum availability/liquidity at all times.

          
	 	 
	
            Affirmative Covenants: 

            

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Negative Covenants: 

            

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Representations and Warranties, Events of Default, and Indemnification: 

            

          	
            Consistent with the Documentation Principles.

          
	 	 
	
            Other Conditions and Requirements: 

            

          	
            As set forth in Annex C:

          
	 	 
	
            Choice of Law: 

            

          	
            State of New York.

          
	 	 
	
            Structure Flex: 

            

          	
            GSSLG retains the right to modify the terms, conditions, pricing and/or structure of the Credit Facilities for purposes of establishing “first out” and “last out”
              tranches, including structural changes that modify the application of proceeds of collateral and payments to “first out” and “last out” lenders subject to terms mutually agreeable to GSSLG and such applicable lenders so long as the
              weighted-average cost at closing (calculated as of closing on a blended basis without giving effect to any changes resulting from amortization or prepayments) remains unchanged. The Credit Parties agree to enter into such amendments to the
              Loan Documents as may be requested by GSSLG to give effect to the foregoing sentence.

          

    

    

    This Term Sheet does not purport to summarize all the terms, conditions, representations, warranties and other provisions with respect to the
      transactions referred to herein.

    

    

    [Remainder of Page Intentionally Blank]

    

    

    
      
        

        

      

      Annex B-3

      
        

      

    

    
    Annex C

    

    

    Summary of Additional Conditions Precedent to the Credit Facilities

    

    

    This Summary of Conditions Precedent outlines certain of the conditions precedent to the Credit Facilities referred to in the Commitment Letter of which
      this Annex C is a part (together with all annexes thereto, the “Commitment Letter”). All capitalized terms used but not defined herein shall have the respective meanings
      ascribed to such terms in the Commitment Letter, as applicable.

    

    

    
      
        	

              	1.	
                The preparation, execution and delivery of a definitive credit agreement (the “Credit Facilities”) and other loan and
                  security documents (including, but not limited to, the Equity Pledge Agreement referred to below) executed in connection therewith (together with the Credit Facilities, collectively, the “Credit Documents”), which shall be in form and substance acceptable to Agent and the delivery of other customary closing documents (including, among other things, satisfactory legal opinions (which shall not contain any
                  expiration dates and shall cover, among other issues, organizational power and authority, enforceability, no conflicts, Article 9 and other relevant issues under New York and other relevant, state, federal and foreign law), satisfactory
                  lien searches, satisfactory guaranties, collateral documents, intercreditor agreements, and subordination agreements (including, but not limited to, management fee subordination agreements, if applicable, and amendments to or restatements
                  of subordination agreements in respect of any outstanding seller notes, earn-outs and/or disqualified stock or related obligations incurred in connection with the Existing Credit Agreement (as defined in Annex B)), in each case, to the extent applicable);

              

      

    

    

    

    
      
        	

              	2.	
                All documents required to be delivered under the Credit Documents, including corporate records and documents from public officials and officers’ certificates of the Credit Parties,
                  shall have been delivered;

              

      

    

    

    

    
      
        	

              	3.	
                The representations and warranties of the Credit Parties in the Credit Documents shall be true, correct and complete;

              

      

    

    

    

    
      
        	

              	4.	
                The Lenders shall have received satisfactory evidence that Agent (on behalf of the Lenders) shall have a valid and perfected first priority (subject to certain exceptions to be set
                  forth in the Credit Documents) lien and security interest in the collateral described in the term sheet attached as Annex B to the Commitment Letter, including, without
                  limitation, general and collateral releases from prior lenders, customary corporate and estoppel certificates, fee and leasehold mortgages and related documentation and title policies, charges, and debentures, and
                  landlord/mortgagee/bailee waivers and estoppels;

              

      

    

    

    

    
      
        	

              	5.	
                Agent shall have received: (i) audited financial statements of Holdings and its Subsidiaries for the fiscal year ending September 30, 2018, (ii)  for the interim period from
                  September 30, 2018 to the Closing Date, unaudited financial statements of Holdings and its Subsidiaries for each quarterly period completed prior to 45 days before the Closing Date, and for each monthly period completed prior to 30 days
                  before the Closing Date (but in any event, including monthly unaudited financial statements of Holdings and its Subsidiaries relating to the period ending August 31, 2019), all in form and substance satisfactory to Agent; (iii) pro forma
                  consolidated and consolidating balance sheets of PubCo and its subsidiaries as at the Closing Date, and reflecting the consummation of the Qualifying IPO, the financing thereof (including, without limitation, any incurrence of
                  indebtedness under the Credit Facilities) and the other transactions contemplated by the Credit Documents to occur on or prior to the Closing Date (collectively such transactions, the “Transactions”),

                  which pro forma financial statements shall be in form and substance satisfactory to Agent, (iv) pro forma consolidated and consolidating income statements of PubCo and its subsidiaries as at the Closing Date, and reflecting the
                  consummation of the Transactions, and (v) projections of PubCo and its subsidiaries for the fiscal periods requested by the Lenders, including monthly projections for each month during such fiscal periods;

              

      

    

    

    

    
      
        

        

      

      Annex C-1

      
        

      

    

    

    

    
      
        	

              	6.	
                Since September 30, 2018, there shall have occurred no (a) material adverse change in or effect on: (i) the business, condition (financial or otherwise), assets, liabilities (actual
                  or contingent), operations, management, performance, properties, or prospects of the Credit Parties, taken as a whole, (ii) the ability of any Credit Party to fully and timely perform its obligations under the Credit Documents, (iii) the
                  ability of Agent to enforce the Credit Documents (any of the foregoing being a “Material Adverse Change”) or (b) disruption, adverse change or condition in the financial,
                  lending, banking or capital markets generally;

              

      

    

    

    

    
      
        	

              	7.	
                Agent shall not have become aware after the date of the commitment with respect to the Credit Facilities of any new or inconsistent information or other matter not previously
                  disclosed to Agent relating to the Credit Parties or their respective subsidiaries or affiliates or the Transactions which Agent, in its reasonable judgment, deems material and adverse relative to the information or other matters
                  disclosed to Agent prior to the date hereof;

              

      

    

    

    

    
      
        	

              	8.	
                The absence of any action, suit, investigation, litigation, or proceeding or other legal or regulatory developments, pending or threatened in any court or before any arbitrator or
                  governmental authority that singly or in the aggregate could reasonably be expected to materially impair the Transactions, or that could result in a Material Adverse Change;

              

      

    

    

    

    
      
        	

              	9.	
                The capital structure of the Credit Parties shall be satisfactory to Agent;

              

      

    

    

    

    
      
        	

              	10.	
                Agent shall have received a notice of borrowing and accompanying flow of funds, in each case, in form and substance reasonably satisfactory to Agent;

              

      

    

    

    

    
      
        	

              	11.	
                Receipt by the Lenders, at least ten (10) days prior to the Initial Funding Date, of all documentation and other information required by bank regulatory authorities under applicable
                  “know-your-customer” and anti-money laundering rules and regulations, including the PATRIOT Act and, to the extent any Credit Party qualifies as a “legal entity customer” under
                  31 C.F.R. § 1010.230 (the “Beneficial Ownership Regulation”), at least five (5) business days prior to the Closing Date, a certification regarding beneficial ownership required
                  by the Beneficial Ownership Regulation in relation to such Credit Party;

              

      

    

    

    

    
      
        	

              	12.	
                Evidence of the insurance and endorsements required by the Credit Documents;

              

      

    

    

    

    
      
        	

              	13.	
                Evidence satisfactory to Agent in the form of a solvency certificate with appropriate attachments from the Credit Parties that, as of the Closing Date, after giving effect to the
                  consummation of the Transactions, each Credit Party is and will be solvent;

              

      

    

    

    

    
      
        

        

      

      Annex C-2

      
        

      

    

    

    

    
      
        	

              	14.	
                Satisfactory documentation governing, and consummation of, the recapitalization of the Credit Parties in connection with the Qualifying IPO on terms acceptable to Agent;

              

      

    

    

    

    
      
        	

              	15.	
                The closing of the Credit Facilities shall have been consummated substantially concurrently with the sale or the listing for trading of common stock of PubCo on a bona fide nationally recognized securities exchange resulting in PubCo receiving gross proceeds of no less than $60,000,000 (such transaction, the “Qualifying IPO”) and substantially all of the net proceeds of such Qualifying IPO shall have been further contributed to Holdings substantially concurrently with such Qualifying IPO;

              

      

    

    

    

    
      
        	

              	16.	
                Agent shall have received all necessary governmental and third party waivers and consents in connection with the Qualifying IPO and the other Transactions;

              

      

    

    

    

    
      
        	

              	17.	
                Agent shall have received certified copies of the definitive documentation of the Companies’ floorplan facilities (the “Floorplan

                    Financing”), each of which shall be in form and substance satisfactory to Agent and shall include consents, amendments and/or other modifications necessary to permit the consummation of the Transactions.  Such Floorplan Financing
                  shall have commitments and availability in such amounts and on such terms, including, but not limited to, with respect to any intercreditor agreement and subordination agreement, as are satisfactory to Agent.

              

      

    

    

    

    
      
        	

              	18.	
                Substantially concurrently with the closing of the Qualifying IPO on the Closing Date, all existing indebtedness including existing third party debt for borrowed money of PubCo and
                  its subsidiaries (other than Floorplan Financing and other indebtedness permitted by the Credit Facilities) shall have been repaid, redeemed, defeased, discharged, refinanced or terminated (or irrevocable notice for the repayment or
                  redemption thereof will be given to the extent accompanied by any prepayments or deposits required to defease, terminate and satisfy in full the obligations under any related indentures or notes) and all commitments thereunder shall have
                  been terminated, in each case as evidenced by payoff, release and termination documentation satisfactory to Agent;

              

      

    

    

    

    
      
        	

              	19.	
                All fees, expenses, and other consideration required to be paid on the Closing Date shall have been paid;

              

      

    

    

    

    
      
        	

              	20.	
                On the Closing Date and immediately after giving effect to the consummation of the Transactions, including the payment of all transaction costs required to be paid in cash, the
                  Senior Leverage Ratio (as defined in the Existing Credit Agreement) shall not be greater than 2.00:1.00;

              

      

    

    

    

    
      
        	

              	21.	
                On the Closing Date and immediately after giving effect to the consummation of the Transactions, including the payment of all transaction costs required to be paid in cash, the
                  Total Leverage Ratio (as defined in the Existing Credit Agreement) shall not be greater than 2.50:1.00;

              

      

    

    

    

    
      
        	

              	22.	
                On the Closing Date and immediately after giving effect to the consummation of the Transactions, including the payment of all transaction costs required to be paid in cash, the
                  Credit Parties shall have unrestricted cash and/or availability under the Revolving Facility of at least $5,000,000;

              

      

    

    

    

    
      
        	

              	23.	
                Agent shall have received a pledge of 100% of the equity interests of Holdings owned by PubCo (the “PubCo Pledge Agreement”);

              

      

    

    

    

    
      
        	

              	24.	
                Concurrently with the Qualifying IPO, the limited liability company interests in Companies designated as “Preferred Units” shall be redeemed, retired or otherwise paid or satisfied
                  in full on terms and conditions satisfactory to Agent; and

              

      

    

    

    

    
      
        	

              	25.	
                Concurrently with the Qualifying IPO, the BMI Stock and the Mack Stock, in each case, shall be redeemed, retired or similarly purchased for value, on terms and conditions
                  satisfactory to Agent.

              

      

    

    
      

      

    

  

  Annex C-3SECURITIES
SETTLEMENT AGREEMENT

 

This
SECURITIES SETTLEMENT AGREEMENT (the “Agreement”), dated as of October 11, 2019, is by and among Taronis
Technologies, Inc., a Delaware corporation with offices located at 300 W. Clarendon Ave. #230, Phoenix, Arizona 85013 (the “Company”)
and Maxim Group, LLC (“Maxim”).

 

RECITALS

 

	 	A.	Maxim
    is entitled to certain placement agent fees from the Company in the aggregate amount of $214,750 (the “Agency Fee”)
    arising from that certain engagement letter dated March 7, 2017 by and between the Company and Maxim, as amended to date (“Engagement
    Agreement”).
	 	 	 
	 	B.	The
    Company and Maxim desire to enter into this transaction for the Company to issue to Maxim 175,000 registered freely tradable
    shares (the “Securities”) of the Company’s common stock, $0.001 par value (“Common Stock”)
    in satisfaction and payment in full of payment of the Agency Fee.
	 	 	 
	 	C.	Contemporaneously
    with the execution of this Agreement, the Company shall file a prospectus supplement to its existing shelf registration statement
    on Form S-3, Registration No. 333-230854, with the United States Securities and Exchange Commission (the “SEC”),
    which includes the Securities (the “Registration Statement”).

 

AGREEMENT

 

NOW,
THEREFORE, in consideration of the recitals above incorporated herein by this reference and the mutual covenants contained herein
and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Company and Maxim
hereby agree as follows:

 

1.
ISSUANCE OF COMMON STOCK IN SATISFACTION OF AGENCY FEE.

 

(a)
Issuance of Common Stock. In full satisfaction and in lieu of cash payment of the Agency Fee due to Maxim, the Company
shall issue to Maxim on the Closing Date (as defined below) 175,000 shares of Common Stock.

 

(b)
Closing. The sale and purchase of the Securities shall take place at a closing (the “Closing”) to be
managed by the remote exchange of documents. The date and time of the Closing shall be 10:00 a.m., New York time, on the first
(1st) Business Day (as defined below) following the Effective Date, or at such other time or on such other date as parties hereto
may mutually agree in writing (the “Closing Date”). As used herein “Business Day” means
any day other than a Saturday, Sunday or other day on which commercial banks in New York, New York are authorized or required
by law to remain closed.

 

    	 

    	 

    

 

2.
MAXIM’S REPRESENTATIONS AND WARRANTIES.

 

Maxim
represents and warrants to the Company with respect to only itself that, as of the date hereof and the Closing Date:

 

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

 

(b)
No Conflicts. The execution, delivery and performance by Maxim of this Agreement and the consummation by Maxim of the transactions
contemplated hereby will not (i) result in a violation of the organizational documents of Maxim, or (ii) conflict with, or constitute
a default (or an event which with notice or lapse of time or both would become a default) under, or give to others any rights
of termination, amendment, acceleration or cancellation of, any agreement, indenture or instrument to which Maxim is a party,
or (iii) result in a violation of any law, rule, regulation, order, judgment or decree (including federal and state securities
laws) applicable to Maxim, except in the case of clauses (ii) and (iii) above, for such conflicts, defaults, rights or violations
which could not, individually or in the aggregate, reasonably be expected to have a material adverse effect on the ability of
Maxim to perform its obligations hereunder.

 

3.
REPRESENTATIONS AND WARRANTIES OF THE COMPANY.

 

The
Company represents and warrants to Maxim that, as of the date hereof and the Closing Date:

 

(a)
Authorization; Enforcement; Validity. The Company has the requisite power and authority to enter into and perform its obligations
under this Agreement and to issue the Securities in accordance with the terms hereof and thereof. The execution and delivery of
this Agreement by the Company, and the consummation by the Company of the transactions contemplated hereby (including, without
limitation, the issuance of the shares of Common Stock) have been duly authorized by the Company’s board of directors and
(other than (x) the filing with the SEC of the prospectus supplement to the Registration Statement, which shall occur on the date
hereof and (y) any other filings as may be required by any state securities agencies (collectively, the “Required Filings”))
no further filing, consent or authorization is required by the Company, its subsidiaries, their respective boards of directors
or their stockholders or other governing body. This Agreement has been duly executed and delivered by the Company, and constitutes
the legal, valid and binding obligation of the Company, enforceable against the Company in accordance with its terms, except as
such enforceability may be limited by general principles of equity or applicable bankruptcy, insolvency, reorganization, moratorium,
liquidation or similar laws relating to, or affecting generally, the enforcement of applicable creditors’ rights and remedies
and except as rights to indemnification and to contribution may be limited by federal or state securities law.

 

    	2

    	 

    

 

(b)
Issuance of Securities. The issuance of the Securities is duly authorized and the Securities, when issued, shall be validly
issued, fully paid and non-assessable and free from all preemptive or similar rights, mortgages, defects, claims, liens, pledges,
charges, taxes, rights of first refusal, encumbrances, security interests and other encumbrances (collectively “Liens”)
with respect to the issuance thereof.

 

(c)
Registration. As of the Closing, the Securities shall have been registered under the Securities Act of 1933, as amended
(the “1933 Act”) and will be issued pursuant to the Registration Statement. As such, the Securities will be
freely transferable and freely tradable by Maxim without restriction, whether by way of registration or some exemption therefrom.
The Registration Statement and any prospectus included therein, shall comply in all material respects with the requirements of
the 1933 Act, and the documents incorporated by reference into the Registration Statement, when filed, shall comply in all material
respects with the requirements of the 1934 Act and, in each case, with the rules and regulations of the SEC promulgated under
the 1933 Act or the 1934 Act, as the case may be. At the time the Registration Statement and any amendments thereto become effective
the Registration Statement and any amendments thereto will comply in all material respects with the requirements of the 1933 Act
and will not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein
or necessary to make the statements therein not misleading. The prospectus contained in the Registration Statement and any amendments
or supplements thereto, at the time the prospectus or any amendment or supplement thereto is issued, will comply in all material
respects with the requirements of the 1933 Act and will not contain any untrue statement of a material fact or omit to state a
material fact necessary in order to make the statements therein, in light of the circumstances under which they were made, not
misleading. The SEC has not notified the Company of any objection to the use of the form of the Registration Statement pursuant
to Rule 401(g)(1) under the 1933 Act. The Registration Statement shall meet the requirements set forth in Rule 415(a)(1)(x) under
the 1933 Act.

 

(c)
No Conflicts. The execution, delivery and performance of this Agreement by the Company and the consummation by the Company
of the transactions contemplated hereby (including, without limitation, the issuance of the Securities and the registration of
the Securities pursuant to the Registration Statement) will not (i) result in a violation of the Certificate of Incorporation
(as defined below) (including, without limitation, any certificate of designation contained therein), Bylaws (as defined below),
certificate of formation, memorandum of association, articles of association, bylaws or other organizational documents of the
Company or any of its subsidiaries, or any capital stock or other securities of the Company or any of its subsidiaries, (ii) conflict
with, or constitute a default (or an event which with notice or lapse of time or both would become a default) in any respect under,
or give to others any rights of termination, amendment, acceleration or cancellation of, any agreement, indenture or instrument
to which the Company or any of its subsidiaries is a party, or (iii) result in a violation of any law, rule, regulation, order,
judgment or decree (including, without limitation, foreign, federal and state securities laws and regulations and the rules and
regulations of the Nasdaq Capital Market (the “Principal Market”) and including all applicable foreign, federal
and state laws, rules and regulations) applicable to the Company or any of its subsidiaries or by which any property or asset
of the Company or any of its subsidiaries is bound or affected.

 

    	3

    	 

    

 

4.
COVENANTS.

 

(a)
Effectiveness of Registration Statement. The Company shall immediately notify Maxim via e-mail to the e-mail address set
forth in Section 6(f) below of the filing of the prospectus supplement to the Registration Statement. Thereafter, from and after
the Effective Date, the Company shall use its best efforts to keep such Registration Statement continuously effective until the
date that all the Securities have been sold. Maxim will notify the Company via e-mail when all of the Securities registered on
the Registration Statement have been sold.

 

(b)
Pledge of Securities. Notwithstanding anything to the contrary contained in this Agreement, the Company acknowledges and
agrees that the Securities may be pledged by Maxim in connection with a bona fide margin agreement or other loan or financing
arrangement that is secured by the Securities. The pledge of Securities shall not be deemed to be a transfer, sale or assignment
of the Securities hereunder, and Maxim, in effecting a pledge of Securities, shall be not be required to provide the Company with
any notice thereof or otherwise make any delivery to the Company pursuant to this Agreement. The Company hereby agrees to execute
and deliver such documentation as a pledgee of the Securities may reasonably request in connection with a pledge of the Securities
to such pledgee by Maxim.

 

(c)
Regulation M. The Company will not take any action prohibited by Regulation M under the 1934 Act, in connection with the
distribution of the Securities contemplated hereby.

 

(d)
No Short Selling. Maxim represents and warrants to the Company that at no time prior to the date of this Agreement and
through date of Closing Date, has any of Maxim, its agents, representatives or affiliates engaged in or effected, in any manner
whatsoever, directly or indirectly, any (i) “short sale” (as such term is defined in Rule 200 of Regulation SHO of
the 1934 Act) of the Common Stock or (ii) hedging transaction, which establishes a net short position with respect to the Common
Stock.

 

5.
REGISTER; TRANSFER AGENT INSTRUCTIONS; LEGEND.

 

(a)
Register. The Company shall maintain at its principal executive offices (or such other office or agency of the Company
as it may designate by notice to each holder of Securities), a register for the Securities in which the Company shall record (x)
the name and address of the person in whose name the shares of Common Stock have been issued (including the name and address of
each transferee) and (y) the aggregate number of shares of Common Stock held by such Person. The Company shall keep the register
open and available at all times during business hours for inspection of any Maxim or its legal representatives.

 

(b)
Transfer Agent Instructions. From and after the Effective Date:

 

(i)
the Company shall issue irrevocable instructions to the transfer agent set forth in Section 6(f) below and to any subsequent transfer
agent (as applicable, the “Transfer Agent”) in a form acceptable to Maxim (the “Irrevocable Transfer
Agent Instructions”) to issue certificates or credit shares to the applicable balance accounts at DTC, registered in
the name of Maxim or its respective nominee(s), for the Securities;

 

(ii)
the Company represents and warrants that no instruction other than the Irrevocable Transfer Agent Instructions referred to in
this Section 5(b) will be given by the Company to its Transfer Agent with respect to the Securities, and that the Securities shall
otherwise be freely transferable on the books and records of the Company, as applicable, to the extent provided in this Agreement;
and

 

    	4

    	 

    

 

(iii)
if Maxim effects a sale, assignment or transfer of the Securities, the Company shall permit the transfer and shall promptly instruct
the Transfer Agent to issue one or more certificates or credit shares to the applicable balance accounts at DTC in such name and
in such denominations as specified by Maxim to effect such sale, transfer or assignment.

 

The
Company acknowledges that a breach by it of its obligations hereunder will cause irreparable harm to Maxim. Accordingly, the Company
acknowledges that the remedy at law for a breach of its obligations under this Section 5(b) will be inadequate and agrees, in
the event of a breach or threatened breach by the Company of the provisions of this Section 5(b), that Maxim shall be entitled,
in addition to all other available remedies, to an order and/or injunction restraining any breach and requiring immediate issuance
and transfer, without the necessity of showing economic loss and without any bond or other security being required. The Company
shall cause its counsel to issue the legal opinion referred to in the Irrevocable Transfer Agent Instructions to the Transfer
Agent on each date a registration statement with respect to the issuance or resale of any of the Securities is declared effective
by the SEC. Any fees (with respect to the Transfer Agent, counsel to the Company or otherwise) associated with the issuance of
such opinion or the removal of any legends on any of the Securities shall be borne by the Company.

 

(c)
Legends. Certificates and any other instruments evidencing the Securities shall not bear any restrictive or other legend.

 

(d)
FAST Compliance. From and after the Effective Date, while any shares of Common Stock remain outstanding, the Company shall
maintain a transfer agent that participates in the DTC Fast Automated Securities Transfer Program (“FAST”).

 

6.
MISCELLANEOUS.

 

(a)
Governing Law; Jurisdiction; Jury Trial. All questions concerning the construction, validity, enforcement and interpretation
of this Agreement shall be governed by the internal laws of the State of New York, without giving effect to any choice of law
or conflict of law provision or rule (whether of the State of New York or any other jurisdictions) that would cause the application
of the laws of any jurisdictions other than the State of New York. The Company hereby irrevocably submits to the exclusive jurisdiction
of the state and federal courts sitting in The City of New York, Borough of Manhattan, for the adjudication of any dispute hereunder
or in connection herewith or with any transaction contemplated hereby, and hereby irrevocably waives, and agrees not to assert
in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such
suit, action or proceeding is brought in an inconvenient forum or that the venue of such suit, action or proceeding is improper.
Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action
or proceeding by mailing a copy thereof to such party at the address for such notices to it under this Agreement and agrees that
such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed
to limit in any way any right to serve process in any manner permitted by law. Nothing contained herein shall be deemed or operate
to preclude Maxim from bringing suit or taking other legal action against the Company in any other jurisdiction to collect on
the Company’s obligations to Maxim or to enforce a judgment or other court ruling in favor of Maxim. EACH PARTY HEREBY
IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE TO, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER
OR IN CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT, OR ANY TRANSACTION CONTEMPLATED HEREBY.

 

    	5

    	 

    

 

(b)
Counterparts. This Agreement may be executed in two or more identical counterparts, all of which shall be considered one
and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other
party. In the event that any signature is delivered by facsimile transmission or by an e-mail which contains a portable document
format (.pdf) file of an executed signature page, such signature page shall create a valid and binding obligation of the party
executing (or on whose behalf such signature is executed) with the same force and effect as if such signature page were an original
thereof.

 

(c)
Headings; Gender. The headings of this Agreement are for convenience of reference and shall not form part of, or affect
the interpretation of, this Agreement. Unless the context clearly indicates otherwise, each pronoun herein shall be deemed to
include the masculine, feminine, neuter, singular and plural forms thereof. The terms “including,” “includes,”
“include” and words of like import shall be construed broadly as if followed by the words “without limitation.”
The terms “herein,” “hereunder,” “hereof” and words of like import refer to this entire Agreement
instead of just the provision in which they are found.

 

(d)
Severability. If any provision of this Agreement is prohibited by law or otherwise determined to be invalid or unenforceable
by a court of competent jurisdiction, the provision that would otherwise be prohibited, invalid or unenforceable shall be deemed
amended to apply to the broadest extent that it would be valid and enforceable, and the invalidity or unenforceability of such
provision shall not affect the validity of the remaining provisions of this Agreement so long as this Agreement as so modified
continues to express, without material change, the original intentions of the parties as to the subject matter hereof and the
prohibited nature, invalidity or unenforceability of the provision(s) in question does not substantially impair the respective
expectations or reciprocal obligations of the parties or the practical realization of the benefits that would otherwise be conferred
upon the parties. The parties will endeavor in good faith negotiations to replace the prohibited, invalid or unenforceable provision(s)
with a valid provision(s), the effect of which comes as close as possible to that of the prohibited, invalid or unenforceable
provision(s).

 

(e)
Entire Agreement; Amendments. Except as set forth in Section 3(d) hereof, this Agreement supersedes all other prior oral
or written agreements between Maxim and the Company contains the entire understanding of the parties solely with respect to the
matters covered herein. For clarification purposes, the Recitals are part of this Agreement and the Engagement Agreement remains
in full force and effect. No provision of this Agreement may be amended or waived other than by an instrument in writing signed
by the Company and Maxim.

 

(f) Notices.
Any notices, consents, waivers or other communications required or permitted to be given under the terms of this Agreement
must be in writing and will be deemed to have been given and delivered: (i) upon receipt, when delivered personally; (ii)
upon receipt, when sent by facsimile (provided confirmation of transmission is mechanically or electronically generated
and kept on file by the sending party) or electronic mail; or (iii) one (1) Business Day after deposit with an overnight
courier service with next day delivery specified, in each case, properly addressed to the party to receive the same. The
addresses, facsimile numbers and e-mail addresses for such communications shall be:

 

    	6

    	 

    

 

If
to the Company:

 

Taronis
Technologies, Inc.

16165
N. 83rd Ave., Ste 200

Peoria,
AZ 85382

Telephone:
(866) 370-3835

Attention:
Tyler B. Wilson, CFO & General Counsel

E-Mail:
tylerwilson@taronistech.com

 

If
to the Transfer Agent:

 

Corporate
Stock Transfer, Inc.

3200
Cherry Creek Drive South, #430

Denver,
CO 80209

Telephone:
(303) 282-4800

Facsimile:
(303) 282-5800

Attention:
Karen Naughton

E-Mail:
knaughton@corporatestock.com

 

If
to Maxim:

 

Maxim
Group, LLC

405
Lexington Avenue, 2nd Floor

New
York, New York 10174

Attn:
James Siegel, General Counsel

E-Mail:
jsiegel@maximgrp.com

 

or
to such other address, e-mail address and/or facsimile number and/or to the attention of such other Person as the recipient party
has specified by written notice given to each other party five (5) days prior to the effectiveness of such change. Written confirmation
of receipt (A) given by the recipient of such notice, consent, waiver or other communication, (B) mechanically or electronically
generated by the sender’s facsimile machine or e-mail containing the time, date, recipient facsimile number and, with respect
to each facsimile transmission, an image of the first page of such transmission or (C) provided by an overnight courier service
shall be rebuttable evidence of personal service, receipt by facsimile or receipt from an overnight courier service in accordance
with clause (i), (ii) or (iii) above, respectively.

 

(g)
Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective
successors and assigns, including any purchasers of any of the Securities. The Company shall not assign this Agreement or any
rights or obligations hereunder without the prior written consent of Maxim. Maxim may assign some or all of its rights hereunder
in connection with any transfer of any of its Securities without the consent of the Company, in which event such assignee shall
be deemed to be Maxim hereunder with respect to such assigned rights.

 

    	7

    	 

    

 

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

 

(i)
Survival. The representations, warranties, agreements and covenants contained herein shall survive the Closing. Maxim shall
be responsible only for its own representations, warranties, agreements and covenants hereunder.

 

(j)
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 any 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.

 

(k)
Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to express their
mutual intent, and no rules of strict construction will be applied against any party. No specific representation or warranty shall
limit the generality or applicability of a more general representation or warranty. Each and every reference to share prices,
shares of Common Stock and any other numbers in this Agreement that relate to the Common Stock shall be automatically adjusted
for any stock splits, stock dividends, stock combinations, recapitalizations or other similar transactions that occur with respect
to the Common Stock after the date of this Agreement through the Closing Date.

 

(l)
Remedies. Maxim, and in the event of assignment by Maxim of its rights and obligations hereunder, each holder of Securities,
shall have all rights and remedies set forth in this Agreement and all of the rights which such holders have under the law. Any
person having any rights under any provision of this Agreement shall be entitled to enforce such rights specifically (without
posting a bond or other security), to recover damages by reason of any breach of any provision of this Agreement and to exercise
all other rights granted by law. Furthermore, the Company recognizes that in the event that it fails to perform, observe, or discharge
any or all of its obligations under this Agreement, any remedy at law would inadequate relief to Maxim. The Company therefore
agrees that Maxim shall be entitled to specific performance and/or temporary, preliminary and permanent injunctive or other equitable
relief from any court of competent jurisdiction in any such case without the necessity of proving actual damages and without posting
a bond or other security. The remedies provided in this Agreement shall be cumulative and in addition to all other remedies available
under this Agreement, at law or in equity (including a decree of specific performance and/or other injunctive relief).

 

[SIGNATURE
PAGE FOLLOWS]

 

    	8

    	 

    

 

IN
WITNESS WHEREOF, Maxim and the Company have caused their respective signature page to this Agreement to be duly executed as
of the date first written above.

 

	 	MAXIM
    GROUP, LLC
	 	 	 
	 	By:	/s/
    Clifford     A. Teller
	 	Name:	Clifford
    A. Teller
	 	Title:	Executive
    Managing Director,
	 	 	Head
    of Investment Banking

 

[Signature
Page to Securities Settlement Agreement]

 

    	 

    	 

    

 

IN
WITNESS WHEREOF, Maxim and the Company have caused their respective signature page to this Agreement to be duly executed as
of the date first written above.

 

	 	COMPANY:
	 	 
	 	TARONIS
    TECHNOLOGIES, INC.
	 	 	 
	 	By:	/s/
    Scott     Mahoney
	 	Name:	Scott
    Mahoney
	 	Title:	Chief
    Executive Officer

 

[Signature
Page to Securities Settlement Agreement]

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