Document:

Exhibit 4.1

 

THIS
WARRANT AND THE SHARES ISSUABLE HEREUNDER HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE
SOLD, PLEDGED OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH APPLICABLE LAW.

 

WARRANT
TO PURCHASE STOCK

 

	Corporation:	 	Spectrum Global Solutions, Inc.	 
	Number of Shares:	 	$150,000 divided by the Warrant Price	 
	Class of Stock:	 	Common Stock	 
	Initial Exercise Price:	 	[125% of the prior day’s closing price]	 
	Issue Date:	 	October 10, 2018	 
	Expiration Date:	 	October 10, 2021	 

 

This
Warrant Certifies That, for
good and valuable consideration, the receipt of which is hereby acknowledged, HERITAGE COMMERCE CORP. or its assignee (“Holder”)
is entitled to purchase the number of fully paid and nonassessable shares of the class of securities (the “Shares”)
of the corporation (the “Company”) at the initial exercise price per Share (the “Warrant
Price”) all as set forth above and as adjusted pursuant to Article 2 of this Warrant, subject to the provisions
and upon the terms and conditions set forth in this Warrant.

 

ARTICLE
1

 

EXERCISE

 

1.1
Method of Exercise. Holder may exercise this Warrant by delivering this Warrant and a duly executed Notice of Exercise in
substantially the form attached as Appendix 1 to the principal office of the Company. Unless Holder is exercising the conversion
right set forth in Section 1.2, Holder shall also deliver to the Company a check for the aggregate Warrant Price for the Shares
being purchased.

 

1.2
Conversion Right. In lieu of exercising this Warrant as specified in Section 1.1, Holder may from time to time convert this
Warrant, in whole or in part, into a number of Shares determined by dividing (a) the aggregate fair market value of the Shares
or other securities otherwise issuable upon exercise of this Warrant minus the aggregate Warrant Price of such Shares by (b) the
fair market value of one Share. The fair market value of the Shares shall be determined pursuant to Section 1.3.

 

1.3
Fair Market Value. If the Shares are traded regularly in a public market, the fair market value of the Shares shall be the
closing price of the Shares (or the closing price of the Company’s stock into which the Shares are convertible) reported
for the business day immediately before Holder delivers its Notice of Exercise to the Company. If the Shares are not regularly
traded in a public market, the Board of Directors of the Company shall determine fair market value in its reasonable good faith
judgment. The foregoing notwithstanding, if Holder advises the Board of Directors in writing that Holder disagrees with such determination,
then the Company and Holder shall promptly agree upon a reputable investment banking firm to undertake such valuation. If the
valuation of such investment banking firm is greater than that determined by the Board of Directors, then all fees and expenses
of such investment banking firm shall be paid by the Company. In all other circumstances, such fees and expenses shall be paid
by Holder.

 

1.4
Delivery of Certificate and New Warrant. Promptly after Holder exercises or converts this Warrant, the Company shall deliver
to Holder certificates for the Shares acquired and, if this Warrant has not been fully exercised or converted and has not expired,
a new warrant representing the Shares not so acquired.

 

1.5
Replacement of Warrants. On receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction or
mutilation of this Warrant and, in the case of loss, theft or destruction, on delivery of an indemnity agreement reasonably satisfactory
in form and amount to the Company or, in the case of mutilation, on surrender and cancellation of this Warrant, the Company at
its expense shall execute and deliver, in lieu of this Warrant, a new warrant of like tenor.

 

    1

     

    

 

ARTICLE
2

 

ADJUSTMENTS
TO THE SHARES

 

2.1
Dividends. If the Company declares or pays a dividend on its stock, then upon exercise of this Warrant, for each Share acquired,
Holder shall receive, without cost to Holder, the property to which Holder would have been entitled had Holder owned the Shares
of record as of the Issue Date.

 

2.2
Reclassification, Exchange or Substitution. Upon any reclassification, exchange, substitution, or other event that results
in a change of the number and/or class of the securities issuable upon exercise or conversion of this Warrant, Holder shall be
entitled to receive, upon exercise or conversion of this Warrant, the number and kind of securities and property that Holder would
have received for the Shares if this Warrant had been exercised immediately before such reclassification, exchange, substitution,
or other event. The Company or its successor shall promptly issue to Holder a new Warrant for such new securities or other property.
The new Warrant shall provide for adjustments which shall be as nearly equivalent as may be practicable to the adjustments provided
for in this Article 2 including, without limitation, adjustments to the Warrant Price and to the number of securities or property
issuable upon exercise of the new Warrant. The provisions of this Section 2.2 shall similarly apply to successive reclassifications,
exchanges, substitutions, or other events.

 

2.3
Assumption. Upon the closing of any Acquisition the successor entity shall assume the obligations of this Warrant, and then
this Warrant shall be exercisable for the same securities, cash, and property as would be payable for the Shares issuable upon
exercise of the unexercised portion of this Warrant as if such Shares were outstanding on the record date for the Acquisition
and subsequent closing. The Company or its successor shall promptly issue to Holder a new Warrant for such new securities or other
property. The new Warrant shall provide for adjustments which shall be as nearly equivalent as may be practicable to the adjustments
provided for in this Article 2 including, without limitation, adjustments to the Warrant Price and to the number of securities
or property issuable upon exercise of the new Warrant. The provisions of this Section 2.3 shall similarly apply to successive
reclassifications, exchanges, substitutions, or other events. For the purpose of this Warrant, “Acquisition” means
any sale, license, or other disposition of all or substantially all of the assets (including intellectual property) of the Company,
or any reorganization, consolidation, or merger of the Company where the holders of the Company’s securities before the
transaction beneficially own less than 50% of the outstanding voting securities of the surviving entity after the transaction.

 

2.4
Adjustments for Combinations, Etc. If at any time while this Warrant, or any portion thereof, remains outstanding and unexpired,
the Company shall split, subdivide or combine the securities as to which purchase rights under this Warrant exist into a different
number of securities of the same class, the Warrant Price for such securities shall be proportionately decreased in the case of
a split or subdivision or proportionately increased in the case of a combination.

 

2.5
Adjustments for Diluting Issuances. If the Company issues additional shares of capital stock (including shares of common stock
ultimately issuable upon conversion of a security convertible into common stock, but not including shares issued upon exercise
of options issued pursuant to the Company’s stock option plan(s), “Additional Common Shares”) after the date of the
Warrant and the consideration per Additional Common Share is less than the Warrant Price in effect immediately before such issue,
the Warrant Price shall be reduced, concurrently with such issue, to a price (calculated to the nearest hundredth of a cent) determined
by multiplying the Warrant Price by a fraction: (i) the numerator of which is the amount of such capital stock outstanding immediately
before such issuance plus the amount of capital stock that the aggregate consideration received by Company for the Additional
Common Shares would purchase at the Warrant Price in effect immediately before such issuance, and (ii) the denominator of which
is the amount of capital stock outstanding immediately before such issuance plus the number of such Additional Common Shares (the
“Adjusted Warrant Price”).

 

    2

     

    

 

2.6
No Impairment. The Company shall not, by amendment of its Certificate/Articles of Incorporation or through a
reorganization, transfer of assets, consolidation, merger, dissolution, issue, or sale of securities or any other voluntary
action, avoid or seek to avoid the observance or performance of any of the terms to be observed or performed under this
Warrant by the Company, but shall at all times in good faith assist in carrying out all the provisions of this Article 2 and
in taking all such action as may be necessary or appropriate to protect Holder’s rights under this Article against
impairment. If the Company takes any action affecting the Shares or its common stock other than as described above that
adversely affects Holder’s rights under this Warrant, the Warrant Price shall be adjusted downward and the number of
Shares issuable upon exercise of this Warrant shall be adjusted upward in such a manner that the aggregate Warrant Price of
this Warrant is unchanged.

 

2.7
Certificate as to Adjustments. Upon each adjustment of the Warrant Price, the Company at its expense shall promptly compute
such adjustment, and furnish Holder with a certificate of its Chief Financial Officer setting forth such adjustment and the facts
upon which such adjustment is based. The Company shall, upon written request, furnish Holder a certificate setting forth the Warrant
Price in effect upon the date thereof and the series of adjustments leading to such Warrant Price.

 

2.8
Fractional Shares. No fractional Shares shall be issuable upon exercise or conversion of the Warrant and the Number of Shares
to be issued shall be rounded down to the nearest whole Share. If a fractional share interest arises upon any exercise or conversion
of the Warrant, the Company shall eliminate such fractional share interest by paying Holder amount computed by multiplying the
fractional interest by the fair market value of a full Share.

 

ARTICLE
3

 

REPRESENTATIONS
AND COVENANTS OF THE COMPANY

 

3.1
Representations and Warranties. The Company hereby represents and warrants to the Holder that all Shares which may be issued
upon the exercise of the purchase right represented by this Warrant, and all securities, if any, issuable upon conversion of the
Shares, shall, upon issuance, be duly authorized, validly issued, fully paid and nonassessable, and free of any liens and encumbrances
except for restrictions on transfer provided for herein or under applicable federal and state securities laws.

 

(a)
Notice of Certain Events. If the Company proposes at any time (a) to declare any dividend or distribution upon its
common stock, whether in cash, property, stock, or other securities and whether or not a regular cash dividend; (b) to offer
for subscription pro rata to the holders of any class or series of its stock any additional shares of stock of any class or
series or other rights; (c) to effect any reclassification or recapitalization of common stock; or (d) to merge or
consolidate with or into any other corporation, or sell, lease, license, or convey all or substantially all of its assets, or
to liquidate, dissolve or wind up, then, in connection with each such event, the Company shall give Holder (1) at least 20
days prior written notice of the date on which a record will be taken for such dividend, distribution, or subscription rights
(and specifying the date on which the holders of common stock will be entitled thereto) or for determining rights to vote, if
any, in respect of the matters referred to in (a) and (b) above; and (2) in the case of the matters referred to in (c) and
(d) above at least 20 days prior written notice of the date when the same will take place (and specifying the date on which
the holders of common stock will be entitled to exchange their common stock for securities or other property deliverable upon
the occurrence of such event).

 

3.2
Information Rights. So long as the Holder holds this Warrant and/or any of the Shares, the Company shall deliver to the Holder
(a) promptly after mailing, copies of all communiques to the shareholders of the Company, (b) within ninety (90) days after the
end of each fiscal year of the Company, the annual audited financial statements of the Company certified by independent public
accountants of recognized standing and (c) within forty-five (45) days after the end of each of the first three quarters of each
fiscal year, the Company’s quarterly, unaudited financial statements.

 

3.3
Registration Rights. At the option of Holder, the Shares shall be “Registrable Securities”, and Holder shall have
such piggyback registration rights as may have been or may be granted to any other holder of a warrant to purchase stock issued
by the Company.

 

    3

     

    

 

ARTICLE
4

 

MISCELLANEOUS

 

4.1
Term; Expiration. This Warrant is exercisable in whole or in part, at any time and from time to time on or before the Expiration
Date set forth above. If this Warrant has not been exercised prior to the Expiration Date, this Warrant shall be deemed to have
been automatically exercised on the Expiration Date by “cashless” conversion pursuant to Section 1.2.

 

4.2
Legends. This Warrant and the Shares (and the securities issuable, directly or indirectly, upon conversion of the Shares,
if any) shall be imprinted with a legend in substantially the following form:

 

THIS
SECURITY HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE SOLD, PLEDGED OR OTHERWISE TRANSFERRED
EXCEPT IN ACCORDANCE WITH APPLICABLE LAW.

 

4.3
Compliance with Securities Laws on Transfer. This Warrant and the Shares issuable upon exercise of this Warrant (and the securities
issuable, directly or indirectly, upon conversion of the Shares, if any) may not be transferred or assigned in whole or in part
without compliance with applicable federal and state securities laws by the transferor and the transferee.

 

4.4
Transfer Procedure. Subject to the provisions of Section 4.3, Holder may transfer all or part of this Warrant or the Shares
issuable upon exercise of this Warrant (or the securities issuable, directly or indirectly, upon conversion of the Shares, if
any) by giving the Company notice of the portion of the warrant being transferred setting forth the name, address and taxpayer
identification number of the transferee and surrendering this Warrant to the Company for reissuance to the transferee(s) (and
Holder, if applicable) , provided that no such notice shall be required for a transfer to an affiliate of Holder.

 

4.5
Notices. All notices and other communications from the Company to the Holder, or vice versa, shall be deemed delivered and
effective when given personally or mailed by first-class registered or certified mail, postage prepaid, at such address as may
have been furnished to the Company or the Holder, as the case may be, in writing by the Company or such Holder from time to time.
All notices to the Holder shall be addressed as follows:

 

HERITAGE
COMMERCE CORP.

 

C/O
HERITAGE BANK OF COMMERCE

150
South Almaden Blvd.

San
Jose, California 95113

Attn:
Mike Hansen

 

4.6
Amendments. This Warrant and any term hereof may be changed, waived, discharged or terminated only by an instrument in writing
signed by the party against which enforcement of such change, waiver, discharge or termination is sought.

 

4.7
Attorneys’ Fees. In the event of any dispute between the parties concerning the terms and provisions of this Warrant,
the party prevailing in such dispute shall be entitled to collect from the other party all costs incurred in such dispute, including
reasonable attorneys’ fees.

 

[REMAINDER
OF THIS PAGE INTENTIONALLY LEFT BLANK]

 

    4

     

    

  

4.8
Governing Law. This Warrant shall be governed by and construed in accordance with the laws of the State of California, without
giving effect to its principles regarding conflicts of law.

 

	 	Spectrum Global Solutions, Inc.
	 	 	 
	 	By:	        
	 	Name:	 
	 	Title:	 

 

    5

     

    

  

APPENDIX
1

 

NOTICE
OF EXERCISE

 

 

1.
The undersigned hereby elects to purchase ______________ shares of the common stock of Spectrum Global Solutions, Inc. pursuant
to the terms of the attached warrant, and tenders herewith payment of the purchase price of such shares in full.

 

1.
The undersigned hereby elects to convert the attached warrant into shares in the manner specified in the warrant. This conversion
is exercised with respect to ______________ of the shares covered by the warrant.

 

[Strike
paragraph above that does not apply.]

 

2.
Please issue a certificate or certificates representing said shares in the name of the undersigned or in such other name as
is specified below:

 

	 	HERITAGE COMMERCE CORP.
	 	 
	 	 	 
	 	 	 
	 	 	 

  

3.
The undersigned represents it is acquiring the shares solely for its own account and not as a nominee for any other party
and not with a view toward the resale or distribution thereof except in compliance with applicable securities laws.

 

Heritage
Commerce Corp., or Registered Assignee

 

      

	(Signature)	 
	 	 
	 	 
	(Date)Exhibit 10.1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ADEX CORPORATION

HERITAGE BANK OF COMMERCE

LOAN AND SECURITY AGREEMENT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

     

     

    

 

This Loan
And Security Agreement is entered into as of October 10, 2018, by and between Heritage
Bank of Commerce (“Bank”) and ADEX Corporation (“Borrower”).

 

Recitals

 

Borrower
wishes to obtain credit from time to time from Bank, and Bank desires to extend credit to Borrower. This Agreement sets forth the
terms on which Bank will advance credit to Borrower, and Borrower will repay the amounts owing to Bank.

 

Agreement

 

The parties agree as follows:

 

1. Definitions
and Construction.

 

1.1 Definitions. As used in this
Agreement, the following terms shall have the following definitions:

 

“Accounts”
means all presently existing and hereafter arising accounts, contract rights, payment intangibles, and all other forms of obligations
owing to Borrower arising out of the sale or lease of goods (including, without limitation, the licensing of software and other
technology) or the rendering of services by Borrower, whether or not earned by performance, and any and all credit insurance, guaranties,
and other security therefor, as well as all merchandise returned to or reclaimed by Borrower and Borrower’s Books relating
to any of the foregoing.

 

“Advance” or “Advances” means
a cash advance or cash advances under the Revolving Facility.

 

“Affiliate”
means, with respect to any Person, any Person that owns or controls directly or indirectly such Person, any Person that controls
or is controlled by or is under common control with such Person, and each of such Person’s senior executive officers, directors,
and partners.

 

“Bank
Expenses” means all: reasonable costs or expenses (including reasonable attorneys’ fees and expenses) incurred in connection
with the preparation, negotiation, administration and enforcement of the Loan Documents; reasonable Collateral audit fees; and
Bank’s reasonable attorneys’ fees and expenses incurred in amending, enforcing or defending the Loan Documents (including
fees and expenses of appeal), incurred before, during and after an Insolvency Proceeding, whether or not suit is brought.

 

“Borrower’s
Books” means all of Borrower’s books and records including: ledgers; records concerning Borrower’s assets or
liabilities, the Collateral, business operations or financial condition; and all computer programs, or tape files, and the equipment,
containing such information.

 

“Borrowing
Base” means an amount equal to eighty five percent (85%) of Eligible Accounts, as determined by Bank with reference to the
most recent Borrowing Base Certificate delivered by Borrower; provided however, that the Borrowing Base may be revised from time
to time by Bank following each Collateral audit or as Bank deems necessary in Bank’s sole judgment and upon prior written
notification thereof to Borrower.

 

“Business
Day” means any day that is not a Saturday, Sunday, or other day on which banks in the State of California are authorized
or required to close.

 

“Change
in Control” shall mean a transaction in which any “person” or “group” (within the meaning of Section
13(d) and 14(d)(2) of the Securities Exchange Act of 1934) becomes the “beneficial owner” (as defined in Rule 13d-3
under the Securities Exchange Act of 1934), directly or indirectly, of a sufficient number of shares of all classes of stock then
outstanding of Borrower ordinarily entitled to vote in the election of directors, empowering such “person” or “group”
to elect a majority of the board of directors of Borrower, who did not have such power before such transaction.

 

    	 	1.	 

     

    

 

“Closing Date” means the date of
this Agreement.

 

“Code” means the California Uniform Commercial Code.

 

“Collateral” means the property described
on Exhibit A attached hereto.

 

“Contingent
Obligation” means, as applied to any Person, any direct or indirect liability, contingent or otherwise, of that Person with
respect to (i) any indebtedness, lease, dividend, letter of credit or other obligation of another; (ii) any obligations with respect
to undrawn letters of credit, corporate credit cards, or merchant services issued or provided for the account of that Person; and
(iii) all obligations arising under any agreement or arrangement designed to protect such Person against fluctuation in interest
rates, currency exchange rates or commodity prices; provided, however, that the term “Contingent Obligation” shall
not include endorsements for collection or deposit in the ordinary course of business. The amount of any Contingent Obligation
shall be deemed to be an amount equal to the stated or determined amount of the primary obligation in respect of which such Contingent
Obligation is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined
by Bank in good faith; provided, however, that such amount shall not in any event exceed the maximum amount of the obligations
under the guarantee or other support arrangement.

 

“Copyrights”
means any and all copyright rights, copyright applications, copyright registrations and like protections in each work or authorship
and derivative work thereof.

 

“Credit
Extension” means each Advance or any other extension of credit by Bank for the benefit of Borrower hereunder.

 

“Daily Balance” means the amount of
the Obligations owed at the end of a given day.

 

“EBDA”
means Borrower’s earnings before depreciation, expenses, amortization expenses and stock-based compensation expenses, each
determined in accordance with GAAP.

 

“EBITDA”
means Borrower’s earnings before interest, taxes, depreciation, amortization and stock-based compensation expenses, each
determined in accordance with GAAP.

 

“Eligible
Accounts” means those Accounts that arise in the ordinary course of Borrower’s business that comply with all of Borrower’s
representations and warranties to Bank set forth in Section 5.4 and net after all offsets and contras; provided, that standards
of eligibility may be fixed and revised from time to time by Bank in Bank’s reasonable judgment and upon notification thereof
to Borrower in accordance with the provisions hereof. Unless otherwise agreed to by Bank, Eligible Accounts shall not include the
following:

 

(a)
Accounts that the account debtor has failed to pay within ninety (90) days of invoice date (or one hundred twenty (120) days
of invoice date with respect to Accounts for which the account debtor is Ericsson);

 

(b)
Accounts with respect to an account debtor, twenty-five percent (25%) of whose Accounts the account debtor has failed to pay
within ninety (90) days of invoice date (or for Accounts with respect to which the account debtor is Ericsson, Ericsson has failed
to pay thirty percent (30%) of such Accounts within one hundred twenty (120) days of invoice date);

 

(c) Accounts with respect to which
the account debtor is an officer, employee, or agent of Borrower;

 

(d)
Accounts with respect to which goods are placed on consignment, guaranteed sale, sale or return, sale on approval, bill and
hold, demo or promotional, or other terms by reason of which the payment by the account debtor may be conditional;

 

(e) Accounts with respect
to which the account debtor is an Affiliate of Borrower;

 

    	 	2.	 

     

    

 

(f)
Accounts with respect to which the account debtor does not have its principal place of business in the United States or Canada,
except for Eligible Foreign Accounts;

 

(g)
Accounts with respect to which the account debtor is the United States or any department, agency, or instrumentality of the
United States, except for Accounts of the United States that Bank approves on a case -by -case basis, which approval may be conditioned
upon the requirement that the payee has assigned its payment rights to Bank, the assignment has been acknowledged under the Assignment
of Claims Act of 1940 (31 U.S.C. Section 3727), and such assignment otherwise complies with the Assignment of Claims Act to Bank's
reasonable satisfaction;

 

(h)
Accounts with respect to which Borrower is liable to the account debtor for goods sold or services rendered by the account
debtor to Borrower or for deposits or other property of the account debtor held by Borrower, but only to the extent of any amounts
owing to the account debtor against amounts owed to Borrower;

 

(i)
Accounts with respect to an account debtor, including Subsidiaries and Affiliates, whose total obligations to Borrower exceed
twenty five percent (25%) of all Accounts (the “Concentration Limit”), to the extent such obligations exceed the aforementioned
percentage, except as approved in writing by Bank and except that the Concentration Limit for Ericsson shall be thirty five percent
(35%);

 

(j)
Accounts that have not yet been billed to the account debtor or that relate to deposits (such as good faith deposits) or other
property of the account debtor held by Borrower for the performance of services or delivery of goods which Borrower has not yet
performed or delivered;

 

(k) prebillings, retention billings,
progress billings or bonded receivables or deferred revenue;

 

(l)
Accounts with respect to which the account debtor disputes liability or makes any claim with respect thereto as to which Bank
believes, in its sole discretion, that there may be a basis for dispute (but only to the extent of the amount subject to such dispute
or claim), or is subject to any Insolvency Proceeding, or becomes insolvent, or goes out of business;

 

(m)
Accounts subject to any Lien (including the Lien in favor of Eustis Cable, Ltd. on Accounts with respect to which the account
debtor is AT&T) other than the Lien in favor of Bank; and

 

(n) Accounts which Bank reasonably
determines to be unsatisfactory for inclusion as an Eligible Account.

 

“Eligible
Foreign Accounts” means Accounts with respect to which the account debtor does not have its principal place of business in
the United States or Canada and Bank has approved such Account, which approval shall be made on a case by case basis and may be
conditioned upon such Accounts being (i) supported by one or more letters of credit in an amount and of a tenor, and issued by
a financial institution, acceptable to Bank or (ii) covered in full by credit insurance satisfactory to Bank.

 

“Equipment”
means all present and future machinery, equipment, tenant improvements, furniture, fixtures, vehicles, tools, parts and attachments
in which Borrower has any interest.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended, and the regulations thereunder.

 

“Event of Default” has the meaning assigned
in Article 8.

 

“GAAP” means generally accepted accounting
principles as in effect from time to time.

 

    	 	3.	 

     

    

 

“Indebtedness”
means (a) all indebtedness for borrowed money or the deferred purchase price of property or services, including without limitation
reimbursement and other obligations with respect to surety bonds and letters of credit, (b) all obligations evidenced by notes,
bonds, debentures or similar instruments, (c) all capital lease obligations and (d) all Contingent Obligations.

 

“Insolvency
Proceeding” means any proceeding commenced by or against any person or entity under any provision of the United States Bankruptcy
Code, as amended, or under any other bankruptcy or insolvency law, including assignments for the benefit of creditors, formal or
informal moratoria, compositions, extension generally with its creditors, or proceedings seeking reorganization, arrangement, or
other relief.

 

“Intellectual
Property” means all of Borrower’s right, title, and interest in and to the following: Copyrights, Trademarks and Patents;
all trade secrets, all design rights, claims for damages by way of past, present and future infringement of any of the rights included
above, all licenses or other rights to use any of the Copyrights, Patents or Trademarks, and all license fees and royalties arising
from such use to the extent permitted by such license or rights; all amendments, renewals and extensions of any of the Copyrights,
Trademarks or Patents; and all proceeds and products of the foregoing, including without limitation all payments under insurance
or any indemnity or warranty payable in respect of any of the foregoing.

 

“Inventory”
means all inventory in which Borrower has or acquires any interest, including work in process and finished products intended for
sale or lease or to be furnished under a contract of service, of every kind and description now or at any time hereafter owned
by or in the custody or possession, actual or constructive, of Borrower, including such inventory as is temporarily out of its
custody or possession or in transit and including any returns upon any accounts or other proceeds, including insurance proceeds,
resulting from the sale or disposition of any of the foregoing and any documents of title representing any of the above, and Borrower’s
Books relating to any of the foregoing.

 

“Investment”
means any beneficial ownership of (including stock, partnership interest or other securities) any Person, or any loan, advance
or capital contribution to any Person.

 

“Lien” means any mortgage,
lien, deed of trust, charge, pledge, security interest or other encumbrance.

 

“Loan Documents” means,
collectively, this Agreement, any note or notes, certificates, documents or instruments executed by Borrower, all guarantees,
subordination agreements, or other documents executed by third parties, and any other document, instrument or agreement
entered into in connection with this Agreement, all as amended or extended from time to time.

 

“Material
Adverse Effect” means a material adverse effect on (i) the business operations, condition (financial or otherwise) or prospects
of Borrower and its Subsidiaries taken as a whole or (ii) the ability of Borrower to repay the Obligations or otherwise perform
its obligations under the Loan Documents or (iii) the value or priority of Bank’s security interests in the Collateral.

 

“Negotiable
Collateral” means all letters of credit of which Borrower is a beneficiary, notes, drafts, instruments, securities, documents
of title, and chattel paper, and Borrower’s Books relating to any of the foregoing.

 

“Obligations”
means all debt, principal, interest, Bank Expenses and other amounts owed to Bank by Borrower pursuant to this Agreement or any
other agreement, whether absolute or contingent, due or to become due, now existing or hereafter arising, including any interest
that accrues after the commencement of an Insolvency Proceeding and including any debt, liability, or obligation owing from Borrower
to others that Bank may have obtained by assignment or otherwise.

 

“Parent” means Spectrum Global Solutions,
Inc., the sole stockholder of Borrower.

 

“Patents”
means all patents, patent applications and like protections including without limitation improvements, divisions, continuations,
renewals, reissues, extensions and continuations-in-part of the same.

 

    	 	4.	 

     

    

 

“Periodic
Payments” means all installments or similar recurring payments that Borrower may now or hereafter become obligated to pay
to Bank pursuant to the terms and provisions of any instrument, or agreement now or hereafter in existence between Borrower and
Bank.

 

“Permitted Indebtedness” means:

 

(a) Indebtedness of Borrower in favor
of Bank arising under this Agreement or any other Loan Document;

 

(b) Indebtedness existing
on the Closing Date and disclosed in the Schedule;

 

(c)
Indebtedness secured by a lien described in clause (c) of the defined term “Permitted Liens,” provided (i) such
Indebtedness does not exceed the lesser of the cost or fair market value of the equipment financed with such Indebtedness and (ii)
such Indebtedness does not exceed $250,000 in the aggregate at any given time (or such other amount as Bank may consent to in writing);

 

(d) unsecured Indebtedness owing to
trade creditors in the ordinary course of business; and

 

(e) Subordinated Debt.

 

“Permitted Investment” means:

 

(a) Investments existing
on the Closing Date disclosed in the Schedule; and

 

(b) (i) marketable
direct obligations issued or unconditionally guaranteed by the United States of America or any agency or any State thereof maturing
within one (1) year from the date of acquisition thereof, (ii) commercial paper maturing no more than one (1) year from the date
of creation thereof and currently having rating of at least A-2 or P-2 from either Standard & Poor’s Corporation or
Moody’s Investors Service, (iii) certificates of deposit maturing no more than one (1) year from the date of investment
therein issued by Bank and (iv) Bank’s money market accounts.

 

“Permitted Liens” means the following:

 

(a)
Any Liens existing on the Closing Date and disclosed in the Schedule or arising under this Agreement or the other Loan Documents;

 

(b)
Liens for taxes, fees, assessments or other governmental charges or levies, either not delinquent or being contested in good
faith by appropriate proceedings, provided the same have no priority over any of Bank’s security interests;

 

(c)
Liens (i) upon or in any equipment which was not financed by Bank acquired or held by Borrower or any of its Subsidiaries to
secure the purchase price of such equipment or indebtedness incurred solely for the purpose of financing the acquisition or leasing
of such equipment, or (ii) existing on such equipment at the time of its acquisition, provided that the Lien is confined solely
to the property so acquired or leased and improvements thereon, and the proceeds of such equipment; and

 

(d)
Liens incurred in connection with the extension, renewal or refinancing of the indebtedness secured by Liens of the type described
in clauses (a) through (c) above, provided that any extension, renewal or replacement Lien shall be limited to the property encumbered
by the existing Lien and the principal amount of the indebtedness being extended, renewed or refinanced does not increase; and

 

(e)
Liens in favor of Eustis Cable Ltd. on accounts receivables with respect to the AT&T Ohio “Eustis Projects”
(as defined in and pursuant to the Independent Contractor Agreement between Borrower and Eustis Cable Ltd. dated as of September
30, 2018 and in effect on the date hereof (the “Eustis Agreement”).

 

    	 	5.	 

     

    

 

“Person”
means any individual, sole proprietorship, partnership, limited liability company, joint venture, trust, unincorporated organization,
association, corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or governmental agency.

 

“Prime
Rate” means the variable rate of interest, per annum, that appears in The Wall Street Journal from time to time.

 

“Responsible Officer” means
each of the Chief Executive Officer and the President of Borrower.

 

“Revolving Facility” means the facility under which
Borrower may request Bank to issue Advances, as specified in Section 2.1(a) hereof.

 

“Revolving Line” means a credit extension
of up to Five Million Dollars ($5,000,000).

 

“Revolving
Maturity Date” means the second anniversary of the Closing Date, subject to Bank’s annual review of Borrower on or
around the first anniversary of the Closing Date, which results shall be satisfactory to Bank.

 

“Schedule” means the schedule of exceptions
attached hereto and approved by Bank, if any.

 

“Subordinated
Debt” means any debt incurred by Borrower that is subordinated to the debt owing by Borrower to Bank on terms acceptable
to Bank pursuant to a subordination agreement in form and substance satisfactory to Bank.

 

“Subsidiary”
means, as to any Person, a corporation, partnership, limited liability company or other entity of which shares of stock or other
ownership interests having ordinary voting power (other than stock or such other ownership interests having such power only by
reason of the happening of a contingency) to elect a majority of the board of directors or other managers of such corporation,
partnership or other entity are at the time owned, or the management of which is otherwise controlled, directly or indirectly through
one or more intermediaries (including any Affiliate), or both, by such Person. Unless the context otherwise requires, each reference
to a Subsidiary herein shall be a reference to a Subsidiary of Borrower.

 

“Trademarks”
means any trademark and servicemark rights, whether registered or not, applications to register and registrations of the same and
like protections, and the entire goodwill of the business of Borrower connected with and symbolized by such trademarks.

 

1.2
Accounting Terms. All accounting terms not specifically defined herein shall be construed in accordance with GAAP and all calculations
made hereunder shall be made in accordance with GAAP. When used herein, the terms “financial statements” shall include
the notes and schedules thereto.

 

2. Loan
and Terms of Payment.

 

2.1 Credit Extensions.

 

Borrower
promises to pay to the order of Bank, in lawful money of the United States of America, the aggregate unpaid principal amount of
all Credit Extensions made by Bank to Borrower hereunder. Borrower shall also pay interest on the unpaid principal amount of such
Credit Extensions at rates in accordance with the terms hereof.

 

(a) Revolving Advances.

 

(i) Subject
to and upon the terms and conditions of this Agreement, Borrower may request Advances in an aggregate outstanding amount not
to exceed the lesser of (i) the Revolving Line or (ii) the Borrowing Base. Subject to the terms and conditions of this
Agreement, amounts borrowed pursuant to this Section 2.1(a) may be repaid and reborrowed at any time prior to the Revolving
Maturity Date, at which time all Advances under this Section 2.1(a) shall be immediately due and payable. Notwithstanding the
foregoing, Bank may, in its sole discretion and upon Borrower’s request, make Advances to Borrower after the Revolving
Maturity Date, and all other terms and conditions under this Agreement shall apply to such Advances. Borrower may prepay any
Advances without penalty or premium. Borrower shall use the proceeds of the Advances for short-term working capital and
corporate purposes.

 

    	 	6.	 

     

    

 

(ii)
Whenever Borrower desires an Advance, Borrower will notify Bank by email, facsimile transmission or telephone no later than
2:00 p.m. Pacific Time, on the Business Day that is one day before the Business Day the Advance is to be made. Each such notification
shall be promptly confirmed by an Advance Request Form in substantially the form of Exhibit B hereto. Bank is authorized
to make Advances under this Agreement, based upon instructions received from a Responsible Officer or a designee of a Responsible
Officer, or without instructions if in Bank’s discretion such Advances are necessary to meet Obligations which have become
due and remain unpaid. Bank shall be entitled to rely on any email or telephonic notice given by a person who Bank reasonably believes
to be a Responsible Officer or a designee thereof, and Borrower shall indemnify and hold Bank harmless for any damages or loss
suffered by Bank as a result of such reliance. Bank will credit the amount of Advances made under this Section to Borrower’s
deposit account at Bank.

 

2.2
Overadvances. If the aggregate amount of the outstanding Advances exceeds the lesser of the Revolving Line or the Borrowing
Base at any time, Borrower shall immediately pay to Bank, in cash, the amount of such excess.

 

2.3 Interest Rates, Payments,
and Calculations.

 

(a) Interest Rates.

 

(i)
Except as set forth in Section 2.3(b), the Advances shall bear interest, on the outstanding Daily Balance thereof, at a per
annum rate equal to two percent (2%) above the Prime Rate.

 

(b)
Late Fee; Default Rate. If any payment is not made within ten (10) days after the date such payment is due, Borrower shall
pay Bank a late fee equal to the lesser of (i) five percent (5%) of the amount of such unpaid amount or (ii) the maximum amount
permitted to be charged under applicable law. All Obligations shall bear interest, from and after the occurrence and during the
continuance of an Event of Default, at a rate equal to five (5) percentage points above the interest rate applicable immediately
prior to the occurrence of the Event of Default.

 

(c)
Payments. Interest hereunder shall be due and payable on the last business day of each month during the term hereof. Bank shall,
at its option, charge such interest, all Bank Expenses, and all Periodic Payments against any of Borrower’s deposit accounts
(and Borrower hereby authorizes Bank to deduct such amounts from its deposit accounts maintained at Bank) or against the Revolving
Facility, in which case those amounts shall thereafter accrue interest at the rate then applicable hereunder. Any interest not
paid when due shall be compounded by becoming a part of the Obligations, and such interest shall thereafter accrue interest at
the rate then applicable hereunder. All payments shall be free and clear of any taxes, withholdings, duties, impositions or other
charges, to the end that Bank will receive the entire amount of any Obligations payable hereunder, regardless of source of payment.

 

(d)
Collections; Bancontrol Account. All payments and proceeds of Accounts (made by wire, ACH, electronic funds transfer or
other electronic payment method) shall be directly deposited into a restricted account maintained with Bank (the
“Bancontrol Account”) as Bank shall specify. Borrower shall cause all account debtors to make such payments to
the Bancontrol account and all invoices shall specify such account information as the remit to and payment address for all
Accounts. Bank shall have sole authority to collect such payments and deposit them to the Bancontrol Account. If Borrower
receives any amount despite such instructions (including any amounts paid by check), Borrower shall immediately deliver such
payment to Bank in the form received, except for an endorsement to the order of Bank and, pending such delivery, shall hold
such payment in trust for Bank. Bank shall credit all amounts paid into the Bancontrol Account first, against any amounts
outstanding under the Revolving Facility, and then, of any remaining balance of such amount, to Borrower’s operating
account. In the event that Borrower receives a material amount of payments by check, upon Bank’s request, Borrower
shall enter into such lockbox agreement as Bank shall reasonably request and to mail all payments made by check to a post
office box under Bank’s control. Bank may, at its option, conduct a credit check of the Account Debtor for each
Eligible Account requested by Borrower for inclusion in the Borrowing Base. Bank may also verify directly with the respective
account debtors the validity, amount and other matters relating to the Eligible Accounts, and notify any account debtor of
Bank’s security interest in the Borrower’s Accounts.

 

    	 	7.	 

     

    

 

(e)
Computation. In the event the Prime Rate is changed from time to time hereafter, the applicable rate of interest hereunder
shall be increased or decreased, effective as of the day the Prime Rate is changed, by an amount equal to such change in the Prime
Rate. All interest chargeable under the Loan Documents shall be computed on the basis of a three hundred sixty (360) day year for
the actual number of days elapsed.

 

2.4
Crediting Payments. Prior to the occurrence of an Event of Default, Bank shall credit a wire transfer of funds, check or other
item of payment to such deposit account or Obligation as Borrower specifies. After the occurrence of an Event of Default, the receipt
by Bank of any wire transfer of funds, check, or other item of payment shall be immediately applied to conditionally reduce Obligations,
but shall not be considered a payment on account unless such payment is of immediately available federal funds or unless and until
such check or other item of payment is honored when presented for payment. Notwithstanding anything to the contrary contained herein,
any wire transfer or payment received by Bank after 12:00 noon Pacific Time shall be deemed to have been received by Bank as of
the opening of business on the immediately following Business Day. Whenever any payment to Bank under the Loan Documents would
otherwise be due (except by reason of acceleration) on a date that is not a Business Day, such payment shall instead be due on
the next Business Day, and additional fees or interest, as the case may be, shall accrue and be payable for the period of such
extension.

 

2.5 Fees and Expenses.

 

(a)
Facility Fees. Borrower shall pay to Bank, on the Closing Date and on each anniversary of the Closing Date for so long as the
Revolving Facility is in place, a facility fee with respect to the Revolving Facility equal to one half of one percent (0.5%) of
the Revolving Line, each of which shall be fully earned and nonrefundable.

 

(b)
Early Termination Fee. In the event that this Agreement is terminated prior to the first anniversary of the Closing Date, Borrower
shall pay to Bank a cash fee in the amount equal to one percent (1%) of the Revolving Line on the date of such termination.

 

(c)
Bank Expenses. Borrower shall pay to Bank, on the Closing Date, all Bank Expenses incurred through the Closing Date, including
reasonable attorneys’ fees and expenses and, after the Closing Date, all Bank Expenses, including reasonable attorneys’
fees and expenses, as and when they are incurred by Bank.

 

2.6
Term. This Agreement shall become effective on the Closing Date and, subject to Section 12.7, shall continue in full force
and effect for so long as any Obligations remain outstanding or Bank has any obligation to make Credit Extensions under this Agreement.
Notwithstanding the foregoing, Bank shall have the right to terminate its obligation to make Credit Extensions under this Agreement
immediately and without notice upon the occurrence and during the continuance of an Event of Default. Notwithstanding termination,
Bank’s Lien on the Collateral shall remain in effect for so long as any Obligations are outstanding.

 

3. Conditions
of Loans.

 

3.1
Conditions Precedent to Initial Credit Extension. The obligation of Bank to make the initial Credit Extension is subject to
the condition precedent that Bank shall have received, in form and substance satisfactory to Bank, the following:

 

(a) this Agreement;

 

(b)
a certificate of the Secretary of Borrower with respect to incumbency and resolutions authorizing the execution and delivery
of this Agreement;

 

(c) UCC National Form
Financing Statement;

 

    	 	8.	 

     

    

 

(d) an intellectual property
security agreement;

 

(e) subordination agreement
executed by Dominion Capital LLC;

 

(f)
executed copy of the Eustis Agreement and the termination of the UCC financing statement in favor of Eustis Cable, Ltd.;

 

(g)
unconditional guaranty duly executed by Parent and ADEX Puerto Rico LLC, together with a certificate of the Secretary of such
Person with respect to incumbency and resolutions authorizing the execution and delivery of such guaranty (and with respect to
Parent, authorization of the issuance of the Warrant);

 

(h) a warrant to purchase
stock issued by Parent (the “Warrant”);

 

(i) payoff letter from
Prestige Capital Corporation;

 

(j) certificate(s) of
insurance naming Bank as loss payee and additional insured;

 

(k) payment of the fees
and Bank Expenses then due specified in Section 2.5 hereof;

 

(l) current financial
statements of Borrower;

 

(m) an audit of the Collateral,
the results of which shall be satisfactory to Bank;

 

(n) establishment of the
Bancontrol Account and lockbox arrangements; and

 

(o)
such other documents, and completion of such other matters, as Bank may reasonably deem necessary or appropriate.

 

3.2
Conditions Precedent to all Credit Extensions. The obligation of Bank to make each Credit Extension, including the initial
Credit Extension, is further subject to the following conditions:

 

(a)
timely receipt by Bank of the Payment/Advance Form as provided in Section 2.1 along with (i) aged listings of accounts receivable
and accounts payable, (ii) a deferred revenue schedule, (iii) sales journal, (iv) collections journal, and (v) a Borrowing Base
Certificate signed by a Responsible Officer in substantially the form of Exhibit C hereto;

 

(b)
the representations and warranties contained in Section 5 shall be true and correct in all material respects on and as of the
date of Borrower’s request for such Credit Extension and on the effective date of each Credit Extension as though made at
and as of each such date, and no Event of Default shall have occurred and be continuing, or would exist after giving effect to
such Credit Extension. The making of each Credit Extension shall be deemed to be a representation and warranty by Borrower on the
date of such Credit Extension as to the accuracy of the facts referred to in this Section 3.2; and

 

(c)
in Bank’s sole discretion, there has not been any material impairment in the Accounts, general affairs, management, results
of operation, financial condition or the prospect of repayment of the Obligations, or there has not been any material adverse deviation
by Borrower from the most recent business plan of Borrower presented to and accepted by Bank.

 

4. Creation
of Security Interest.

 

4.1
Grant of Security Interest. Borrower grants and pledges to Bank a continuing security interest in all presently existing and
hereafter acquired or arising Collateral in order to secure prompt repayment of any and all Obligations and in order to secure
prompt performance by Borrower of each of its covenants and duties under the Loan Documents. Such security interest constitutes
a valid, first priority security interest in the presently existing Collateral, and will constitute a valid, first priority security
interest in Collateral acquired after the date hereof.

 

    	 	9.	 

     

    

 

4.2
Delivery of Additional Documentation Required. Borrower shall from time to time execute and deliver to Bank, at the request
of Bank, all Negotiable Collateral, all financing statements and other documents that Bank may reasonably request, in form satisfactory
to Bank, to perfect and continue the perfection of Bank’s security interests in the Collateral and in order to fully consummate
all of the transactions contemplated under the Loan Documents. Borrower from time to time may deposit with Bank specific time deposit
accounts to secure specific Obligations. Borrower authorizes Bank to hold such balances in pledge and to decline to honor any drafts
thereon or any request by Borrower or any other Person to pay or otherwise transfer any part of such balances for so long as the
Obligations are outstanding.

 

4.3
Right to Inspect. Bank (through any of its officers, employees, or agents) shall have the right, upon reasonable prior notice,
from time to time during Borrower’s usual business hours but no more than twice a year (unless an Event of Default has occurred
and is continuing), to inspect Borrower’s Books and to make copies thereof and to check, test, and appraise the Collateral
in order to verify Borrower’s financial condition or the amount, condition of, or any other matter relating to, the Collateral.

 

5. Representations
and Warranties.

 

Borrower represents and warrants as follows:

 

5.1
Due Organization and Qualification. Borrower and each Subsidiary is a corporation duly existing under the laws of its state
of incorporation and qualified and licensed to do business in any state in which the conduct of its business or its ownership of
property requires that it be so qualified.

 

5.2
Due Authorization; No Conflict. The execution, delivery, and performance of the Loan Documents are within Borrower’s
powers, have been duly authorized, and are not in conflict with nor constitute a breach of any provision contained in Borrower’s
Articles of Incorporation or Bylaws, nor will they constitute an event of default under any material agreement to which Borrower
is a party or by which Borrower is bound. Borrower is not in default under any material agreement to which it is a party or by
which it is bound.

 

5.3
No Prior Encumbrances. Borrower has good and marketable title to its property, free and clear of Liens, except for Permitted
Liens.

 

5.4
Bona Fide Eligible Accounts. The Eligible Accounts are bona fide existing obligations. The property and services giving rise
to such Eligible Accounts have been delivered or rendered to the account debtor or to the account debtor’s agent for immediate
and unconditional acceptance by the account debtor. Borrower has not received notice of actual or imminent Insolvency Proceeding
of any account debtor that is included in any Borrowing Base Certificate as an Eligible Account.

 

5.5
Merchantable Inventory. All Inventory is in all material respects of good and marketable quality, free from all material defects,
except for Inventory for which adequate reserves have been made.

 

5.6
Intellectual Property. Borrower is the sole owner of the Intellectual Property, except for non-exclusive licenses granted by
Borrower to its customers in the ordinary course of business. Each of the Patents is valid and enforceable, and no part of the
Intellectual Property has been judged invalid or unenforceable, in whole or in part, and no claim has been made that any part of
the Intellectual Property violates the rights of any third party. Except as set forth in the Schedule, Borrower’s rights
as a licensee of intellectual property do not give rise to more than five percent (5%) of its gross revenue in any given month,
including, without limitation, revenue derived from the sale, licensing, rendering or disposition of any product or service. Borrower
is not a party to, or bound by, any agreement that restricts the grant by Borrower of a security interest in Borrower’s rights
under such agreement.

 

5.7 Name; Location
of Chief Executive Office. Except as disclosed in the Schedule, Borrower has not done business under any name other than that
specified on the signature page hereof; or, in the past five (5) years, changed its jurisdiction of formation, corporate structure,
organizational type, or any organizational number assigned by its jurisdiction. The chief executive office of Borrower is located
at the address indicated in Section 10 hereof. All Borrower’s Inventory and Equipment is located only at the location set
forth in Section 10 hereof.

 

    	 	10.	 

     

    

 

5.8
Litigation. Except as set forth in the Schedule, there are no actions or proceedings pending by or against Borrower or any
Subsidiary before any court or administrative agency.

 

5.9
No Material Adverse Change in Financial Statements. All consolidated and consolidating financial statements related to Borrower
and any Subsidiary that Bank has received from Borrower fairly present in all material respects Borrower’s financial condition
as of the date thereof and Borrower’s consolidated and consolidating results of operations for the period then ended. There
has not been a material adverse change in the consolidated or the consolidating financial condition of Borrower since the date
of the most recent of such financial statements submitted to Bank.

 

5.10
Solvency, Payment of Debts. Borrower is solvent and able to pay its debts (including trade debts) as they mature.

 

5.11
Regulatory Compliance. Borrower and each Subsidiary have met the minimum funding requirements of ERISA with respect to any
employee benefit plans subject to ERISA, and no event has occurred resulting from Borrower’s failure to comply with ERISA
that could result in Borrower’s incurring any material liability. Borrower is not an “investment company” or
a company “controlled” by an “investment company” within the meaning of the Investment Company Act of 1940.
Borrower is not engaged principally, or as one of the important activities, in the business of extending credit for the purpose
of purchasing or carrying margin stock (within the meaning of Regulations T and U of the Board of Governors of the Federal Reserve
System). Borrower and each Subsidiary have complied with all the provisions of the Federal Fair Labor Standards Act. Borrower and
each Subsidiary have not violated any material statutes, laws, ordinances or rules applicable to it.

 

5.12
Environmental Condition. None of Borrower’s or any Subsidiary’s properties or assets has ever been used by Borrower
or any Subsidiary or, to the best of Borrower’s knowledge, by previous owners or operators, in the disposal of, or to produce,
store, handle, treat, release, or transport, any hazardous waste or hazardous substance other than in accordance with applicable
law; to the best of Borrower’s knowledge, none of Borrower’s properties or assets has ever been designated or identified
in any manner pursuant to any environmental protection statute as a hazardous waste or hazardous substance disposal site, or a
candidate for closure pursuant to any environmental protection statute; no lien arising under any environmental protection statute
has attached to any revenues or to any real or personal property owned by Borrower or any Subsidiary; and neither Borrower nor
any Subsidiary has received a summons, citation, notice, or directive from the Environmental Protection Agency or any other federal,
state or other governmental agency concerning any action or omission by Borrower or any Subsidiary resulting in the releasing,
or otherwise disposing of hazardous waste or hazardous substances into the environment.

 

5.13
Taxes. Borrower and each Subsidiary have filed or caused to be filed all tax returns required to be filed, and have paid, or
have made adequate provision for the payment of, all taxes reflected therein.

 

5.14
Investments. Neither Borrower nor any Subsidiary owns any stock, partnership interest or other equity securities of any Person,
except for Permitted Investments.

 

5.15
Government Consents. Borrower and each Subsidiary have obtained all material consents, approvals and authorizations of, made
all declarations or filings with, and given all notices to, all governmental authorities that are necessary for the continued operation
of Borrower’s business as currently conducted.

 

5.16
Operating, Depository and Investment Accounts. None of Borrower’s nor any Subsidiary’s operating, depository or
investments accounts is maintained or invested with a Person other than Bank.

 

5.17
Full Disclosure. No representation, warranty or other statement made by Borrower in any certificate or written statement furnished
to Bank contains any untrue statement of a material fact or omits to state a material fact necessary in order to make the statements
contained in such certificates or statements not misleading.

 

    	 	11.	 

     

    

 

6. Affirmative
Covenants.

 

Borrower shall do all of the following:

 

6.1
Good Standing. Borrower shall maintain its and each of its Subsidiaries’ corporate existence and good standing in its
jurisdiction of incorporation and maintain qualification in each jurisdiction in which it is required under applicable law. Borrower
shall maintain, and shall cause each of its Subsidiaries to maintain, in force all licenses, approvals and agreements, the loss
of which could have a Material Adverse Effect.

 

6.2
Government Compliance. Borrower shall meet, and shall cause each Subsidiary to meet, the minimum funding requirements of ERISA
with respect to any employee benefit plans subject to ERISA. Borrower shall comply, and shall cause each Subsidiary to comply,
with all statutes, laws, ordinances and government rules and regulations to which it is subject, noncompliance with which could
have a Material Adverse Effect.

 

6.3 Financial Statements, Reports, Certificates.
Borrower shall deliver the following to Bank:

 

(a)
within five (5) days after the last day of each month, (i) aged listings of accounts receivable and accounts payable by invoice
date, (ii) a deferred revenue schedule, (iii) sales journal, (iv) collections journal, and (v) a Borrowing Base Certificate signed
by a Responsible Officer in substantially the form of Exhibit C hereto;

 

(b)
as soon as available, but in any event within thirty (30) days after the end of each month, a Borrower’s balance sheet,
income statement, and cash flow statement covering Borrower’s operations during such month, prepared in accordance with GAAP,
consistently applied, in a form acceptable to Bank along with a Compliance Certificate signed by a Responsible Officer in substantially
the form of Exhibit D hereto;

 

(c)
as soon as available, within fifty (50) days of the end of each Parent’s fiscal quarter, company-prepared consolidated
balance sheet, income statement, and cash flow statement covering Parent’s consolidated operations during such period, prepared
in accordance with GAAP, consistently applied, and filed as Parent’s Form 10-Q filed with the Securities and Exchange Commission;

 

(d)
as soon as available, but in any event within one hundred twenty (120) days after the end of Parent’s fiscal year, audited
consolidated financial statements of Borrower prepared in accordance with GAAP, consistently applied, together with an unqualified
opinion on such financial statements of an independent certified public accounting firm reasonably acceptable to Bank, filed as
Form 10-K with the Securities and Exchange Commission, along with consolidating statements reflecting Borrower’s operations
for such period;

 

(e)
as soon as available, but in any event within fifteen (15) days of filing, copies of Borrower’s tax returns, with schedules;

 

(f)
as soon as available, but in any event no later than thirty (30) days following the beginning of Borrower’s next fiscal
year, annual operating projections (including income statements, balance sheets and cash flow statements presented in a monthly
format) for the upcoming fiscal year approved by Borrower’s board of directors and in form and substance reasonably satisfactory
to Bank (“Financial Projections”);

 

(g)
within thirty (30) days of the end of each month, copies of all bank statements for operating, depository or investment accounts
maintained outside of Bank;

 

(h)
such budgets, sales projections, operating plans, other financial information including information related to the verification
of Borrower’s Accounts as Bank may reasonably request from time to time;

 

(i)
copies of all statements, reports and notices sent or made available generally by Parent to its security holders or to any
holders of Subordinated Debt, promptly upon distribution to such holders;

 

    	 	12.	 

     

    

 

(j) promptly upon receipt of
notice thereof, a report of any legal actions pending or threatened against Borrower or any Subsidiary that could result in
damages or costs to Borrower or any Subsidiary of Fifty Thousand Dollars ($50,000) or more, or any commercial tort claim (as
defined in the Code) acquired by Borrower; and

 

(k)
promptly (and in any event within three (3) Business Days) upon Borrower becoming aware of the existence of any Event of Default
or event described in Section 8 (including Section 8.6) which, with the giving of notice or passage of time, or both, would constitute
an Event of Default, Borrower shall give written notice to Bank of such occurrence, which such notice shall include a reasonably
detailed description of such Event of Default or event which, with the giving of notice or passage of time, or both, would constitute
an Event of Default.

 

6.4
Audits. Bank shall have a right from time to time hereafter to audit Borrower’s Accounts and appraise Collateral at Borrower’s
expense on a semi-annual basis or at Bank’s request.

 

6.5
Inventory; Returns. Borrower shall keep all Inventory in good and marketable condition, free from all material defects except
for Inventory for which adequate reserves have been made. Returns and allowances, if any, as between Borrower and its account debtors
shall be on the same basis and in accordance with the usual customary practices of Borrower, as they exist at the time of the execution
and delivery of this Agreement. Borrower shall promptly notify Bank of all returns and recoveries and of all disputes and claims,
where the return, recovery, dispute or claim involves more than One Hundred Thousand Dollars ($100,000).

 

6.6
Taxes. Borrower shall make, and shall cause each Subsidiary to make, due and timely payment or deposit of all material federal,
state, and local taxes, assessments, or contributions required of it by law, and will execute and deliver to Bank, on demand, appropriate
certificates attesting to the payment or deposit thereof; and Borrower will make, and will cause each Subsidiary to make, timely
payment or deposit of all material tax payments and withholding taxes required of it by applicable laws, including, but not limited
to, those laws concerning F.I.C.A., F.U.T.A., state disability, and local, state, and federal income taxes, and will, upon request,
furnish Bank with proof satisfactory to Bank indicating that Borrower or a Subsidiary has made such payments or deposits; provided
that Borrower or a Subsidiary need not make any payment if the amount or validity of such payment is contested in good faith by
appropriate proceedings and is reserved against (to the extent required by GAAP) by Borrower.

 

6.7 Insurance.

 

(a)
Borrower, at its expense, shall keep the Collateral insured against loss or damage by fire, theft, explosion, sprinklers, and
all other hazards and risks, and in such amounts, as ordinarily insured against by other owners in similar businesses conducted
in the locations where Borrower’s business is conducted on the date hereof. Borrower shall also maintain insurance relating
to Borrower’s business, ownership and use of the Collateral in amounts and of a type that are customary to businesses similar
to Borrower’s.

 

(b)
All such policies of insurance shall be in such form, with such companies, and in such amounts as are reasonably satisfactory
to Bank. All such policies of property insurance shall contain a lender’s loss payable endorsement, in a form satisfactory
to Bank, showing Bank as an additional loss payee thereof, and all liability insurance policies shall show the Bank as an additional
insured and shall specify that the insurer must give at least twenty (20) days’ notice to Bank before canceling its policy
for any reason. Upon Bank’s request, Borrower shall deliver to Bank certified copies of such policies of insurance and evidence
of the payments of all premiums therefor. All proceeds payable under any such policy shall, at the option of Bank, be payable to
Bank to be applied on account of the Obligations.

 

6.8
Operating, Depository and Investment Accounts. Borrower shall maintain and shall cause each of its Subsidiaries to maintain
all of its primary depository, operating, and investment accounts with Bank. For each account that Borrower maintains outside of
Bank on and after the ninetieth (90th) day following the Closing Date, Borrower shall cause the applicable bank or financial institution
at or with which any such account is maintained to execute and deliver an account control agreement or other appropriate instrument
in form and substance satisfactory to Bank.

 

    	 	13.	 

     

    

 

6.9 Financial Covenants.

 

(a)
Minimum Asset Coverage Ratio. Borrower shall maintain a minimum ratio of unrestricted cash maintained at Bank plus all Eligible
Accounts to all Obligations owing to Bank (the “Asset Coverage Ratio”) of at least 1.25 to 1.00, measured on a monthly
basis; provided however that on and after the payment of any distribution permitted under Section 7.6 of this Agreement, Borrower
shall maintain a minimum Asset Coverage Ratio of at least 1.50 to 1.00.

 

(b)
EBITDA. Borrower’s trailing six month’s EBITDA, measured on a quarterly basis, shall be at least the amounts set
forth below for the measurement periods set forth below, and for each measurement period thereafter, such amount as shall be
determined by Bank based on Borrower’s Financial Projections:

 

	 	Six Month Period Ending on:	 	EBITDA	 
	 	June 30, 2018	 	$	0	 
	 	September 30, 2018	 	$	131,000	 
	 	December 31, 2018	 	$	205,000	 
	 	March 31, 2019	 	$	278,000	 
	 	June 30, 2019	 	$	397,000	 
	 	September 30, 2019	 	$	538,000	 
	 	December 31, 2019	 	$	538,000	 
	 	March 31, 2020 and thereafter	 	 	TBD	 

 

6.10 Intellectual Property
Rights.

 

(a)
Borrower shall (i) protect, defend and maintain the validity and enforceability of its Intellectual Property; (ii) promptly
advise Bank in writing of material infringements of its Intellectual Property; and (iii) not allow any Intellectual Property material
to Borrower’s business to be abandoned, forfeited or dedicated to the public.

 

(b)
Borrower shall promptly give Bank written notice of any applications or registrations of intellectual property rights filed
with the United States Patent and Trademark Office, including the date of such filing and the registration or application numbers,
if any. Borrower shall (i) give Bank not less than 30 days prior written notice of the filing of any applications or registrations
with the United States Copyright Office, including the title of such intellectual property rights to be registered, as such title
will appear on such applications or registrations, and the date such applications or registrations will be filed, and (ii) prior
to the filing of any such applications or registrations, shall execute such documents as Bank may reasonably request for Bank to
maintain its perfection in such intellectual property rights to be registered by Borrower, and upon the request of Bank, shall
file such documents simultaneously with the filing of any such applications or registrations. Upon filing any such applications
or registrations with the United States Copyright Office, Borrower shall promptly provide Bank with (i) a copy of such applications
or registrations, without the exhibits, if any, thereto, (ii) evidence of the filing of any documents requested by Bank to be filed
for Bank to maintain the perfection and priority of its security interest in such intellectual property rights, and (iii) the date
of such filing.

 

(c)
Bank may audit Borrower's Intellectual Property to confirm compliance with this Section, provided such audit may not occur
more often than twice per year, unless an Event of Default has occurred and is continuing. Bank shall have the right, but not the
obligation, to take, at Borrower's sole expense, any actions that Borrower is required under this Section to take but which Borrower
fails to take, after 15 days' notice to Borrower. Borrower shall reimburse and indemnify Bank for all reasonable costs and reasonable
expenses incurred in the reasonable exercise of its rights under this Section.

 

6.11
Post-Closing Covenants. Within thirty (30) days following the Closing Date, Borrower shall deliver to Bank, in form and substance
satisfactory to Bank, (i) an IP release executed by PNC Bank, and (ii) landlord waivers with respect to Borrower’s leased
locations in Georgia and California.

 

6.12 Further Assurances.
At any time and from time to time Borrower shall execute and deliver such further instruments and take such further action as
may reasonably be requested by Bank to effect the purposes of this Agreement.

 

    	 	14.	 

     

    

 

7. Negative
Covenants.

 

Borrower will not do any of the following:

 

7.1
Dispositions. Convey, sell, lease, transfer or otherwise dispose of (collectively, a “Transfer”), or permit any
of its Subsidiaries to Transfer, all or any part of its business or property, other than: (i) Transfers of Inventory in
the ordinary course of business; (ii) Transfers of non-exclusive licenses and similar arrangements for the use of the property
of Borrower or its Subsidiaries in the ordinary course of business; or (iii) Transfers of worn-out or obsolete Equipment which
was not financed by Bank. Without limiting the foregoing, Borrower shall not Transfer any cash or other property to Parent or any
Subsidiary of Parent (other than any Subsidiary providing a guaranty of the Obligation hereunder secured by the assets of such
Subsidiary in which Bank has a first priority perfected security interest).

 

7.2
Change in Business; Responsible Officer or Executive Office. (i) Engage in any business, or permit any of its Subsidiaries
to engage in any business, other than the businesses currently engaged in by Borrower and any business substantially similar or
related thereto (or incidental thereto); or (ii) have any Responsible Officer cease performing in such capacity unless a replacement
is appointed by Borrower’s board of directors within sixty (60) days of such change; or (iii) cease to conduct business in
the manner conducted by Borrower as of the Closing Date; or without thirty (30) days prior written notification to Bank, relocate
its chief executive office or state of incorporation or change its legal name; or without Bank’s prior written consent, change
the date on which its fiscal year ends.

 

7.3
Mergers or Acquisitions; Change in Control. Suffer or permit a Change in Control; merge or consolidate, or permit any of its
Subsidiaries to merge or consolidate, with or into any other business organization, or acquire, or permit any of its Subsidiaries
to acquire, all or a material portion of the capital stock or property of another Person.

 

7.4
Indebtedness. Create, incur, guarantee, assume or be or remain liable with respect to any Indebtedness, or permit any Subsidiary
so to do, other than Permitted Indebtedness.

 

7.5
Encumbrances. Create, incur, assume or suffer to exist any Lien with respect to any of its property, or assign or otherwise
convey any right to receive income, including the sale of any Accounts, or permit any of its Subsidiaries so to do, except for
Permitted Liens. Enter into any agreement with any Person other than Bank not to grant a security interest in, or otherwise encumber,
any of its property, or permit any Subsidiary to do so. Enter into any amendment to the Eustis Agreement or any additional or new
arrangement or agreement with Eustis Cable Ltd. that provides for the grant of any security interest to Eustis on any property
of Borrower (other than the Lien permitted under clause (e) of the definition of Permitted Liens) without the Bank’s prior
written consent, at Bank’s discretion.

 

7.6
Distributions. Pay any dividends or make any other distribution or payment on account of or in redemption, retirement or
purchase of any capital stock, or permit any of its Subsidiaries to do so without Bank’s prior written consent on a
case by case basis and, following such consent any distributions to Parent may only be made if (i) no Event of Default has
occurred that is continuing as of the date of such distribution, (ii) no Event of Default would exist after giving effect to
such distribution and the Asset Coverage Ratio after giving effect to such distribution is at least 1.50 : 1.00; (iii) the
amount of such distribution does not exceed fifty percent (50%) of the amount of Borrower’s EBDA as of the immediately
preceding quarter that is in excess of One Hundred Thousand Dollars ($100,000), and (iv) Borrower provides to Bank evidence
of Borrower’s compliance with the foregoing clause (ii) prior to making such distribution to Parent.

 

7.7
Investments. Directly or indirectly acquire or own, or make any Investment in or to any Person, or permit any of its
Subsidiaries so to do, other than Permitted Investments; or maintain or invest any of its property with a Person other than
Bank or permit any of its Subsidiaries to do so unless such Person has entered into an account control agreement with Bank in
form and substance satisfactory to Bank; or suffer or permit any Subsidiary to be a party to, or be bound by, an agreement
that restricts such Subsidiary from paying dividends or otherwise distributing property to Borrower.

 

    	 	15.	 

     

    

 

7.8
Transactions with Affiliates. Directly or indirectly enter into or permit to exist any material transaction with any Affiliate
of Borrower except for transactions that are in the ordinary course of Borrower’s business, upon fair and reasonable terms
that are no less favorable to Borrower than would be obtained in an arm’s length transaction with a non-affiliated Person.

 

7.9
Subordinated Debt. Make any payment on account of Subordinated Debt, except to the extent the payment is allowed under any
subordination agreement entered into with Bank, or amend any provision contained in any documentation relating to the Subordinated
Debt without Bank’s prior written consent.

 

7.10
Inventory and Equipment. Store the Inventory or the Equipment with a bailee, warehouseman, or other third party unless the
third party has been notified of Bank’s security interest and Bank (a) has received an acknowledgment from the third party
that it is holding or will hold the Inventory or Equipment for Bank’s benefit or (b) is in pledge possession of the warehouse
receipt, where negotiable, covering such Inventory or Equipment. Store or maintain any Equipment or Inventory at a location other
than the location set forth in Section 10 of this Agreement.

 

7.11
Compliance. Become an “investment company” or be controlled by an “investment company,” within the
meaning of the Investment Company Act of 1940, or become principally engaged in, or undertake as one of its important activities,
the business of extending credit for the purpose of purchasing or carrying margin stock, or use the proceeds of any Credit Extension
for such purpose. Fail to meet the minimum funding requirements of ERISA, permit a Reportable Event or Prohibited Transaction,
as defined in ERISA, to occur, fail to comply with the Federal Fair Labor Standards Act or violate any law or regulation, which
violation could have a Material Adverse Effect, or a material adverse effect on the Collateral or the priority of Bank’s
Lien on the Collateral, or permit any of its Subsidiaries to do any of the foregoing.

 

8. Events
of Default.

 

Any one or more of the following
events shall constitute an Event of Default by Borrower under this Agreement:

 

8.1 Payment Default. If
Borrower fails to pay, when due, any of the Obligations.

 

8.2 Covenant Default.

 

(a)
If Borrower fails to perform any obligation under Article 6 (other than Section 6.1, 6.2, 6.5 or 6.10(a)) or violates any of
the covenants contained in Article 7 of this Agreement; or

 

(b)
If Borrower fails or neglects to perform or observe any obligation under Section 6.1, 6.2, 6.5 or 6.10(a) or any other material
term, provision, condition, or covenant contained in this Agreement, in any of the Loan Documents, or in any other present or future
agreement between Borrower and Bank and as to any default under such other term, provision, condition or covenant that can be cured,
has failed to cure such default within ten days after Borrower receives notice thereof or any officer of Borrower becomes aware
thereof; provided, however, that if the default cannot by its nature be cured within the ten day period or cannot after diligent
attempts by Borrower be cured within such ten day period, and such default is likely to be cured within a reasonable time, then
Borrower shall have an additional reasonable period (which shall not in any case exceed 30 days) to attempt to cure such default,
and within such reasonable time period the failure to have cured such default shall not be deemed an Event of Default but no Credit
Extensions will be made.

 

8.3
Material Adverse Effect. If there occurs any circumstance or circumstances that could have a Material Adverse Effect.

 

    	 	16.	 

     

    

 

8.4 Attachment. If any portion of
Borrower’s assets with a value in excess of $250,000 is attached, seized, subjected to a writ or distress warrant, or
is levied upon, or comes into the possession of any trustee, receiver or person acting in a similar capacity and such
attachment, seizure, writ or distress warrant or levy has not been removed, discharged or rescinded within ten (10) days, or
if Borrower is enjoined, restrained, or in any way prevented by court order from continuing to conduct all or any part of its
business affairs, or if a judgment or other claim becomes a lien or encumbrance upon any portion of Borrower’s assets,
or if a notice of lien, levy, or assessment is filed of record with respect to any of Borrower’s assets by the United
States Government, or any department, agency, or instrumentality thereof, or by any state, county, municipal, or governmental
agency, and the same is not paid within ten (10) days after Borrower receives notice thereof, provided that none of the
foregoing shall constitute an Event of Default where such action or event is stayed or an adequate bond has been posted
pending a good faith contest by Borrower (provided that no Credit Extensions will be required to be made during such cure
period).

 

8.5
Insolvency. If Borrower becomes insolvent, or if an Insolvency Proceeding is commenced by Borrower, or if an Insolvency Proceeding
is commenced against Borrower and is not dismissed or stayed within sixty (60) days (provided that no Credit Extensions will be
made prior to the dismissal of such Insolvency Proceeding).

 

8.6
Other Agreements. If there is a default or other failure to perform in any agreement to which Borrower is a party or by which
it is bound resulting in a right by a third party or parties, whether or not exercised, to accelerate the maturity of any Indebtedness
in an amount in excess of One Hundred Thousand Dollars ($100,000) or which could have a Material Adverse Effect.

 

8.7
Subordinated Debt. If Borrower makes any payment on account of Subordinated Debt, except to the extent the payment is allowed
under any subordination agreement entered into with Bank.

 

8.8
Judgments; Settlements; Fines; Penalties. If a judgment or judgments for the payment of money in an amount, individually or
in the aggregate, of One Hundred Thousand Dollars ($100,000) or more shall be rendered against Borrower, or if Borrower enters
into any settlement agreement with respect to any litigation matters that results in payment obligations or liabilities incurred
by Borrower in excess of One Hundred Thousand Dollars ($100,000); or if one or more fines, penalties or orders or decrees for the
payment of money in excess of One Hundred Thousand Dollars ($100,000) shall be rendered against Borrower by any governmental authority;
and the foregoing shall remain unsatisfied and unstayed for a period of ten (10) days (provided that no Credit Extensions will
be made prior to the satisfaction or stay of such judgment, settlement, fine, penalty or orders or decree); or

 

8.9
Misrepresentations. If any material misrepresentation or material misstatement exists now or hereafter in any warranty or representation
set forth herein or in any certificate delivered to Bank by any Responsible Officer pursuant to this Agreement or to induce Bank
to enter into this Agreement or any other Loan Document; or.

 

8.10
Guaranty. If any guaranty of all or a portion of the Obligations (a “Guaranty”) ceases for any reason to be in
full force and effect, or any guarantor fails to perform any obligation under any Guaranty or a security agreement securing any
Guaranty (collectively, the “Guaranty Documents”), or any event of default occurs under any Guaranty Document or any
guarantor revokes or purports to revoke a Guaranty, or any material misrepresentation or material misstatement exists now or hereafter
in any warranty or representation set forth in any Guaranty Document or in any certificate delivered to Bank in connection with
any Guaranty Document, or if any of the circumstances described in Sections 8.3 through 8.8 occur with respect to any guarantor
or any guarantor dies or becomes subject to any criminal prosecution.

 

9. Bank’s
Rights and Remedies.

 

9.1
Rights and Remedies. Upon the occurrence and during the continuance of an Event of Default, Bank may, at its election, without
notice of its election and without demand, do any one or more of the following, all of which are authorized by Borrower:

 

(a) Declare all
or any portion of Obligations, whether evidenced by this Agreement, by any of the other Loan Documents, or otherwise, immediately
due and payable (provided that upon the occurrence of an Event of Default described in Section 8.5, all Obligations shall become
immediately due and payable without any action by Bank);

 

    	 	17.	 

     

    

 

(b)
Cease advancing money or extending credit to or for the benefit of Borrower under this Agreement or under any other agreement
between Borrower and Bank;

 

(c)
Make such payments and do such acts as Bank considers necessary or reasonable to protect its security interest in the Collateral.
Borrower agrees to assemble the Collateral if Bank so requires, and to make the Collateral available to Bank as Bank may designate.
Borrower authorizes Bank to enter the premises where the Collateral is located, to take and maintain possession of the Collateral,
or any part of it, and to pay, purchase, contest, or compromise any encumbrance, charge, or lien which in Bank’s determination
appears to be prior or superior to its security interest and to pay all expenses incurred in connection therewith. With respect
to any of Borrower’s owned premises, Borrower hereby grants Bank a license to enter into possession of such premises and
to occupy the same, without charge, in order to exercise any of Bank’s rights or remedies provided herein, at law, in equity,
or otherwise;

 

(d)
Set off and apply to the Obligations any and all (i) balances and deposits of Borrower held by Bank, or (ii) indebtedness at
any time owing to or for the credit or the account of Borrower held by Bank;

 

(e)
Ship, reclaim, recover, store, finish, maintain, repair, prepare for sale, advertise for sale, and sell (in the manner provided
for herein) the Collateral. Bank is hereby granted a license or other right, solely pursuant to the provisions of this Section
9.1, to use, without charge, Borrower’s labels, patents, copyrights, rights of use of any name, trade secrets, trade names,
trademarks, service marks, and advertising matter, or any property of a similar nature, as it pertains to the Collateral, in completing
production of, advertising for sale, and selling any Collateral and, in connection with Bank’s exercise of its rights under
this Section 9.1, Borrower’s rights under all licenses and all franchise agreements shall inure to Bank’s benefit;

 

(f)
Dispose of the Collateral by way of one or more contracts or transactions, for cash or on terms, in such manner and at such
places (including Borrower’s premises) as Bank determines is commercially reasonable, and apply any proceeds to the Obligations
in whatever manner or order Bank deems appropriate;

 

(g) Bank may credit bid
and purchase at any public sale; and

 

(h)
Any deficiency that exists after disposition of the Collateral as provided above will be paid immediately by Borrower.

 

9.2 Power of
Attorney. Effective only upon the occurrence and during the continuance of an Event of Default, Borrower hereby
irrevocably appoints Bank (and any of Bank’s designated officers, or employees) as Borrower’s true and lawful
attorney to:(a) send requests for verification of Accounts or notify account debtors of Bank’s security interest in the
Accounts; (b) notify all account debtors with respect to the Accounts to pay Bank directly; (c) sign Borrower’s name on
any invoice or bill of lading relating to any Account, drafts against account debtors, schedules and assignments of Accounts,
verifications of Accounts, and notices to account debtors; (d) make, settle, and adjust all claims under and decisions with
respect to Borrower’s policies of insurance; (e) demand, collect, receive, sue, and give releases to any account debtor
for the monies due or which may become due upon or with respect to the Accounts and to compromise, prosecute, or defend any
action, claim, case or proceeding relating to the Accounts; (f) settle and adjust disputes and claims respecting the accounts
directly with account debtors, for amounts and upon terms which Bank determines to be reasonable; (g) sell, assign, transfer,
pledge, compromise, discharge or otherwise dispose of any Collateral; (h) receive and open all mail addressed to Borrower for
the purpose of collecting the Accounts; (i) endorse Borrower’s name on any checks or other forms of payment or security
that may come into Bank’s possession; (j) execute on behalf of Borrower any and all instruments, documents, financing
statements and the like to perfect Bank's interests in the Accounts and file, in its sole discretion, one or more financing
or continuation statements and amendments thereto, relative to any of the Collateral; and (k) do all acts and things
necessary or expedient, in furtherance of any such purposes; provided however Bank may exercise such power of attorney with
respect to any actions described in clause (j) above, regardless of whether an Event of Default has occurred. The appointment
of Bank as Borrower’s attorney in fact, and each and every one of Bank’s rights and powers, being coupled with an
interest, is irrevocable until all of the Obligations have been fully repaid and performed and Bank’s obligation to
provide Credit Extensions hereunder is terminated.

 

    	 	18.	 

     

    

 

9.3
Accounts Collection. In addition to the foregoing, at any time after the occurrence of an Event of Default, Bank may notify
any Person owing funds to Borrower of Bank’s security interest in such funds and verify the amount of such Account. Borrower
shall collect all amounts owing to Borrower for Bank, receive in trust all payments as Bank’s trustee, and immediately deliver
such payments to Bank in their original form as received from the account debtor, with proper endorsements for deposit.

 

9.4
Bank Expenses. If Borrower fails to pay any amounts or furnish any required proof of payment due to third persons or entities,
as required under the terms of this Agreement, then Bank may do any or all of the following: (a) make payment of the same or any
part thereof; (b) set up such reserves under a loan facility in Section 2.1 as Bank deems necessary to protect Bank from the exposure
created by such failure; or (c) obtain and maintain insurance policies of the type discussed in Section 6.7 of this Agreement,
and take any action with respect to such policies as Bank deems prudent. Any amounts so paid or deposited by Bank shall constitute
Bank Expenses, shall be immediately due and payable, and shall bear interest at the then applicable rate hereinabove provided,
and shall be secured by the Collateral. Any payments made by Bank shall not constitute an agreement by Bank to make similar payments
in the future or a waiver by Bank of any Event of Default under this Agreement.

 

9.5
Bank’s Liability for Collateral. So long as Bank complies with reasonable banking practices, Bank shall not in any
way or manner be liable or responsible for: (a) the safekeeping of the Collateral; (b) any loss or damage thereto occurring
or arising in any manner or fashion from any cause; (c) any diminution in the value thereof; or (d) any act or default of any
carrier, warehouseman, bailee, forwarding agency, or other person whomsoever. All risk of loss, damage or destruction of the
Collateral shall be borne by Borrower.

 

9.6
Remedies Cumulative. Bank’s rights and remedies under this Agreement, the Loan Documents, and all other agreements shall
be cumulative. Bank shall have all other rights and remedies not inconsistent herewith as provided under the Code, by law, or in
equity. No exercise by Bank of one right or remedy shall be deemed an election, and no waiver by Bank of any Event of Default on
Borrower’s part shall be deemed a continuing waiver. No delay by Bank shall constitute a waiver, election, or acquiescence
by it. No waiver by Bank shall be effective unless made in a written document signed on behalf of Bank and then shall be effective
only in the specific instance and for the specific purpose for which it was given.

 

9.7
Demand; Protest. Borrower waives demand, protest, notice of protest, notice of default or dishonor, notice of payment and nonpayment,
notice of any default, nonpayment at maturity, release, compromise, settlement, extension, or renewal of accounts, documents, instruments,
chattel paper, and guarantees at any time held by Bank on which Borrower may in any way be liable.

 

10. Notices.

 

Unless
otherwise provided in this Agreement, all notices or demands by any party relating to this Agreement or any other agreement entered
into in connection herewith shall be in writing and (except for financial statements and other informational documents which may
be sent by first-class mail, postage prepaid) shall be personally delivered or sent by a recognized overnight delivery service,
certified mail, postage prepaid, return receipt requested, or by email or telefacsimile to Borrower or to Bank, as the case may
be, at its addresses set forth below:

 

	 	If to Borrower:	ADEX CORPORATION
	 	 	1235 Old Alpharetta Road, Suite 120
	 	 	Alpharetta, GA 30005
	 	 	Attn: Roger Ponder, CEO
	 	 	FAX: (407) 260-0749
	 	 	Email: Roger.Ponder@awsolutionsinc.com
	 	 	 
	 	If to Bank:	HERITAGE BANK OF COMMERCE
	 	 	150 South Almaden Blvd.
	 	 	San Jose, California 95113
	 	 	Attn: Mike Hansen and Karla Schrader
	 	 	FAX: (408) 947-6910
	 	 	Email: mike.hansen@herbank.com; karla.schrader@herbank.com

 

    	 	19.	 

     

    

 

The
parties hereto may change the address at which they are to receive notices hereunder, by notice in writing in the foregoing manner
given to the other.

 

11. Choice
of Law and Venue; Jury Trial Waiver.

 

This
Agreement shall be governed by, and construed in accordance with, the internal laws of the State of California, without regard
to principles of conflicts of law. Each of Borrower and Bank hereby submits to the jurisdiction of the state and Federal courts
located in the County of Santa Clara, State of California. BORROWER AND BANK EACH HEREBY WAIVE THEIR RESPECTIVE RIGHTS TO A JURY
TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF ANY OF THE LOAN DOCUMENTS OR ANY OF THE TRANSACTIONS CONTEMPLATED
THEREIN, INCLUDING CONTRACT CLAIMS, TORT CLAIMS, BREACH OF DUTY CLAIMS, AND ALL OTHER COMMON LAW OR STATUTORY CLAIMS. EACH PARTY
RECOGNIZES AND AGREES THAT THE FOREGOING WAIVER CONSTITUTES A MATERIAL INDUCEMENT FOR IT TO ENTER INTO THIS AGREEMENT. EACH PARTY
REPRESENTS AND WARRANTS THAT IT HAS REVIEWED THIS WAIVER WITH ITS LEGAL COUNSEL AND THAT IT KNOWINGLY AND VOLUNTARILY WAIVES ITS
JURY TRIAL RIGHTS FOLLOWING CONSULTATION WITH LEGAL COUNSEL.

 

If
the jury waiver set forth in this Section is not enforceable, then any dispute, controversy or claim arising out of or relating
to this Agreement, the Loan Documents or any of the transactions contemplated therein shall be settled by judicial reference pursuant
to Code of Civil Procedure Section 638 et seq. before a referee sitting without a jury, such referee to be mutually acceptable
to the parties or, if no agreement is reached, by a referee appointed by the Presiding Judge of the California Superior Court for
Santa Clara County. This Section shall not restrict a party from exercising remedies under the Code or from exercising pre-judgment
remedies under applicable law.

 

12. General
Provisions.

 

12.1
Successors and Assigns. This Agreement shall bind and inure to the benefit of the respective successors and permitted assigns
of each of the parties; provided, however, that neither this Agreement nor any rights hereunder may be assigned by either party
without the other party’s prior written consent, which consent may be granted or withheld in Bank’s sole discretion.
Notwithstanding the foregoing, following an Event of Default, or in connection with the sale or disposition of Bank or all or a
portion of Bank’s loan portfolio, or in connection with any merger, acquisition or reorganization involving the Bank, Bank
shall have the right without the consent of or notice to Borrower to sell, transfer, or negotiate, all or any part of, or any interest
in, Bank’s obligations, rights and benefits hereunder to any Person; and without limiting the foregoing, no consent of or
notice to Borrower shall be required for (i) any transfer, sale or assignment to an Affiliate of Bank or (ii) any grant of participation
in all or any part of, or any interest in, Bank’s obligations, rights and benefits hereunder.

 

12.2
Indemnification. Borrower shall defend, indemnify and hold harmless Bank and its officers, employees, and agents against: (a)
all obligations, demands, claims, and liabilities claimed or asserted by any other party in connection with the transactions contemplated
by this Agreement; and (b) all losses or Bank Expenses in any way suffered, incurred, or paid by Bank as a result of or in any
way arising out of, following, or consequential to the transactions between Bank and Borrower whether under this Agreement, or
otherwise (including without limitation reasonable attorneys’ fees and expenses), except for losses, obligations, demands,
claims, and liabilities to the extent solely and directly caused by Bank’s gross negligence or willful misconduct.

 

12.3 Time of Essence. Time is of the
essence for the performance of all obligations set forth in this Agreement.

 

12.4
Severability of Provisions. Each provision of this Agreement shall be severable from every other provision of this Agreement
for the purpose of determining the legal enforceability of any specific provision.

 

    	 	20.	 

     

    

 

12.5
Amendments in Writing, Integration. Neither this Agreement nor the Loan Documents can be amended or terminated orally. All
prior agreements, understandings, representations, warranties, and negotiations between the parties hereto with respect to the
subject matter of this Agreement and the Loan Documents, if any, are merged into this Agreement and the Loan Documents.

 

12.6
Counterparts. This Agreement may be executed in any number of counterparts and by different parties on separate counterparts,
each of which, when executed and delivered, shall be deemed to be an original, and all of which, when taken together, shall constitute
but one and the same Agreement. In the event that any signature to this Agreement or any other Loan Document is delivered by facsimile
transmission or by e-mail delivery of a “.pdf” format data file, such signature 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 facsimile or “.pdf”
signature page were an original thereof. Notwithstanding the foregoing, Borrower shall deliver all original signed documents requested
by Bank no later than ten (10) Business Days following the Closing Date.

 

12.7
Survival. All covenants, representations and warranties made in this Agreement shall continue in full force and effect so long
as any Obligations remain outstanding or Bank has any obligation to make Credit Extensions to Borrower. The obligations of Borrower
to indemnify Bank with respect to the expenses, damages, losses, costs and liabilities described in Section 12.2 shall survive
until all applicable statute of limitations periods with respect to actions that may be brought against Bank have run.

 

12.8
Confidentiality. In handling any confidential information Bank and all employees and agents of Bank, including but not
limited to accountants, shall exercise the same degree of care that it exercises with respect to its own proprietary
information of the same types to maintain the confidentiality of any non-public information thereby received or received
pursuant to this Agreement except that disclosure of such information may be made (i) to the subsidiaries or affiliates of
Bank in connection with their present or prospective business relations with Borrower, (ii) to prospective transferees or
purchasers of any interest in the loans, provided that they are similarly bound by confidentiality obligations, (iii) as
required by law, regulations, rule or order, subpoena, judicial order or similar order, (iv) as may be required in connection
with the examination, audit or similar investigation of Bank and (v) as Bank may determine in connection with the enforcement
of any remedies hereunder. Confidential information hereunder shall not include information that either: (a) is in the public
domain or in the knowledge or possession of Bank when disclosed to Bank, or becomes part of the public domain after
disclosure to Bank through no fault of Bank; or (b) is disclosed to Bank by a third party, provided Bank does not have actual
knowledge that such third party is prohibited from disclosing such information.

 

12.9
Publicity. Borrower authorizes Bank to disclose its relationship with Borrower for marketing and/or advertising purposes with
prior notice to Borrower, including the use of Borrower’s logo, name and contact information, photographs of Borrower or
its buildings, and quotes about Bank from Borrower’s officers and employees in Bank’s promotional materials.

 

12.10
Patriot Act Notice. Bank hereby notifies Borrower that, pursuant to the requirements of the USA Patriot Act, Title III of Pub.
L. 107-56 (signed into law on October 26, 2001) (the “Patriot Act”), it is required to obtain, verify and record information
that identifies the Borrower, which information includes names and addresses and other information that will allow Bank, as applicable,
to identify the Borrower in accordance with the Patriot Act.

 

[SIGNATURE PAGE FOLLOWS]

 

    	 	21.	 

     

    

 

IN WITNESS WHEREOF, the parties
hereto have caused this Agreement to be executed as of the date first above written.

 

	 	ADEX CORPORATION
	 	 
	 	By:	                      
	 	 	 
	 	Name: 	 
	 	 	 
	 	Title:	 
	 	 
	 	HERITAGE BANK OF COMMERCE
	 	 
	 	By:	 
	 	 	 
	 	Name:	 
	 	 	 
	 	Title:	 

 

    	 	22.	 

     

    

 

	DEBTOR:	ADEX CORPORATION
	 	 
	SECURED PARTY:	HERITAGE BANK OF COMMERCE

 

EXHIBIT A

 

COLLATERAL DESCRIPTION
ATTACHMENT TO LOAN AND SECURITY AGREEMENT

 

All
personal property of Borrower (herein referred to as “Borrower” or “Debtor”) whether presently existing
or hereafter created or acquired, and wherever located, including, but not limited to:

 

(a)
all accounts (including health-care-insurance receivables), chattel paper (including tangible and electronic chattel paper), commercial
tort claims, deposit accounts, securities accounts, documents (including negotiable documents), equipment (including all accessions
and additions thereto), general intangibles (including payment intangibles and software), goods (including fixtures), instruments
(including promissory notes), inventory (including all goods held for sale or lease or to be furnished under a contract of service,
and including returns and repossessions), investment property (including securities and securities entitlements), letter of credit
rights, money, and all of Debtor’s books and records with respect to any of the foregoing, and the computers and equipment
containing said books and records;

 

(b) any
and all cash proceeds and/or noncash proceeds of any of the foregoing, including, without limitation, insurance proceeds, and all
supporting obligations and the security therefor or for any right to payment. All terms above have the meanings given to them in
the California Uniform Commercial Code, as amended or supplemented from time to time.

 

     

     

    

 

 

 

     

     

    

 

 

     

     

    

 

 

     

     

    

 

SCHEDULE OF EXCEPTIONS

  

Permitted Indebtedness (Section 1.1)

 

Permitted Investments (Section 1.1)

 

Permitted Liens (Section 1.1)

 

Inbound Licenses (Section 5.6)

 

Prior Names (Section 5.7)

 

Litigation (Section 5.8)

 

Subsidiaries (Section 5.14)

 

Operating, Depository and Investment Accounts
(Section 5.16)

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