Document:

Exhibit
10.15 

 

 

FRANCHISE
HOLDINGS INTERNATIONAL, INC.

 

2015
Equity Incentive Plan

 

Adopted
by the Board of Directors: June 5, 2015

 

Termination
Date: June 5, 2025

 

1.
General.

 

(a)
Eligible Stock Award Recipients. Employees, Directors and Consultants are eligible to receive Stock Awards.

 

(b)
Available Stock Awards. The Plan provides for the grant of the following types of Stock Awards: (i) Incentive Stock Options, (ii)
Nonstatutory Stock Options, (iii) Stock Appreciation Rights, (iv) Restricted Stock Awards, (v) Restricted Stock Unit Awards and (vi)
Other Stock Awards.

 

(c)
Purpose. The Plan, through the granting of Stock Awards, is intended to help the Company secure and retain the services of eligible
award recipients, provide incentives for such persons to exert maximum efforts for the success of the Company and any Affiliate and provide
a means by which the eligible recipients may benefit from increases in value of the Common Stock.

 

2.
Administration.

 

(a)
Administration by Board. The Board will administer the Plan. The Board may delegate administration of the Plan to a Committee or
Committees, as provided in Section 2(c).

 

(b)
Powers of Board. The Board will have the power, subject to, and within the limitations of, the express provisions of the Plan:

 

(i)
To determine (A) who will be granted Stock Awards; (B) when and how each Stock Award will be granted; (C) what type of Stock Award
will be granted; (D) the provisions of each Stock Award (which need not be identical), including when a person will be permitted to exercise
or otherwise receive cash or Common Stock under the Stock Award; (E) the number of shares of Common Stock subject to a Stock Award; and
(F) the Fair Market Value applicable to a Stock Award.

 

(ii)
To construe and interpret the Plan and Stock Awards granted under it, and to establish, amend and revoke rules and regulations for
administration of the Plan and Stock Awards. The Board, in the exercise of these powers, may correct any defect, omission or inconsistency
in the Plan or in any Stock Award Agreement, in a manner and to the extent it will deem necessary or expedient to make the Plan or Stock
Award fully effective.

 

    	 

     

    

 

(iii)
To settle all controversies regarding the Plan and Stock Awards granted under it.

 

(iv)
To accelerate, in whole or in part, the time at which a Stock Award may be exercised or vest (or at which cash or shares of Common
Stock may be issued).

 

(v)
To suspend or terminate the Plan at any time. Except as otherwise provided in the Plan or a Stock Award Agreement, suspension or
termination of the Plan will not impair a Participant’s rights under his or her then-outstanding Stock Award without his or her
written consent except as provided in subsection (viii) below.

 

(vi)
To amend the Plan in any respect the Board deems necessary or advisable, including, without limitation, by adopting amendments relating
to Incentive Stock Options and certain nonqualified deferred compensation under Section 409A of the Code and/or to make the Plan or Stock
Awards granted under the Plan compliant with the requirements for Incentive Stock Options or exempt from or compliant with the requirements
for nonqualified deferred compensation under Section 409A of the Code, subject to the limitations, if any, of applicable law. However,
if required by applicable law, and except as provided in Section 9(a) relating to Capitalization Adjustments, the Company will seek stockholder
approval of any amendment of the Plan that (A) materially increases the number of shares of Common Stock available for issuance under
the Plan, (B) materially expands the class of individuals eligible to receive Stock Awards under the Plan, (C) materially increases the
benefits accruing to Participants under the Plan, (D) materially reduces the price at which shares of Common Stock may be issued or purchased
under the Plan, (E) materially extends the term of the Plan, or (F) materially expands the types of Stock Awards available for issuance
under the Plan. Except as provided in the Plan (including subsection (viii) below) or a Stock Award Agreement, no amendment of the Plan
will impair a Participant’s rights under an outstanding Stock Award unless (1) the Company requests the consent of the affected
Participant, and (2) such Participant consents in writing.

 

(vii)
To submit any amendment to the Plan for stockholder approval, including, but not limited to, amendments to the Plan intended to satisfy
the requirements of Section 422 of the Code regarding Incentive Stock Options.

 

(viii)
To approve forms of Stock Award Agreements for use under the Plan and to amend the terms of any one or more Stock Awards, including,
but not limited to, amendments to provide terms more favorable to the Participant than previously provided in the Stock Award Agreement,
subject to any specified limits in the Plan that are not subject to Board discretion; provided however, that a Participant’s
rights under any Stock Award will not be impaired by any such amendment unless (A) the Company requests the consent of the affected Participant,
and (B) such Participant consents in writing. Notwithstanding the foregoing, (1) a Participant’s rights will not be deemed to have
been impaired by any such amendment if the Board, in its sole discretion, determines that the amendment, taken as a whole, does not materially
impair the Participant’s rights, and (2) subject to the limitations of applicable law, if any, the Board may amend the terms of
any one or more Stock Awards without the affected Participant’s consent (A) to maintain the qualified status of the Stock Award
as an Incentive Stock Option under Section 422 of the Code; (B) to change the terms of an Incentive Stock Option, if such change results
in impairment of the Award solely because it impairs the qualified status of the Award as an Incentive Stock Option under Section 422
of the Code; (C) to clarify the manner of exemption from, or to bring the Stock Award into compliance with, Section 409A of the Code;
or (D) to comply with other applicable laws.

 

    	 

     

    

 

(ix)
Generally, to exercise such powers and to perform such acts as the Board deems necessary or expedient to promote the best interests
of the Company and that are not in conflict with the provisions of the Plan or Stock Awards.

 

(x)
To adopt such procedures and sub-plans as are necessary or appropriate to permit participation in the Plan by Employees, Directors
or Consultants who are foreign nationals or employed outside the United States (provided that Board approval will not be necessary for
immaterial modifications to the Plan or any Stock Award Agreement that are required for compliance with the laws of the relevant foreign
jurisdiction).

 

(xi)
 To effect, with the consent of any adversely affected Participant, (A) the reduction of the exercise, purchase or strike price of
any outstanding Stock Award; (B) the cancellation of any outstanding Stock Award and the grant in substitution therefor of a new (1)
Option or SAR, (2) Restricted Stock Award, (3) Restricted Stock Unit Award, (4) Other Stock Award, (5) cash and/or (6) other valuable
consideration determined by the Board, in its sole discretion, with any such substituted award (x) covering the same or a different number
of shares of Common Stock as the cancelled Stock Award and (y) granted under the Plan or another equity or compensatory plan of the Company;
or (C) any other action that is treated as a repricing under generally accepted accounting principles.

 

(c)
Delegation to Committee. The Board may delegate some or all of the administration of the Plan to a Committee or Committees. If administration
of the Plan is delegated to a Committee, the Committee will have, in connection with the administration of the Plan, the powers theretofore
possessed by the Board that have been delegated to the Committee, including the power to delegate to a subcommittee of the Committee
any of the administrative powers the Committee is authorized to exercise (and references in this Plan to the Board will thereafter be
to the Committee or subcommittee). Any delegation of administrative powers will be reflected in resolutions, not inconsistent with the
provisions of the Plan, adopted from time to time by the Board or Committee (as applicable). The Committee may, at any time, abolish
the subcommittee and/or revest in the Committee any powers delegated to the subcommittee. The Board may retain the authority to concurrently
administer the Plan with the Committee and may, at any time, revest in the Board some or all of the powers previously delegated.

 

(d)
Delegation to an Officer. The Board may delegate to one (1) or more Officers the authority to do one or both of the following: (i)
designate Employees who are not Officers to be recipients of Options and SARs (and, to the extent permitted by applicable law, other
Stock Awards) and, to the extent permitted by applicable law, the terms of such Stock Awards, and (ii) determine the number of shares
of Common Stock to be subject to such Stock Awards granted to such Employees; provided, however, that the Board resolutions regarding
such delegation will specify the total number of shares of Common Stock that may be subject to the Stock Awards granted by such Officer
and that such Officer may not grant a Stock Award to himself or herself. Any such Stock Awards will be granted on the form of Stock Award
Agreement most recently approved for use by the Committee or the Board, unless otherwise provided in the resolutions approving the delegation
authority. The Board may not delegate authority to an Officer who is acting solely in the capacity of an Officer (and not also as a Director)
to determine the Fair Market Value pursuant to Section 13(t) below.

 

    	 

     

    

 

(e)
Effect of Board’s Decision. All determinations, interpretations and constructions made by the Board in good faith will not
be subject to review by any person and will be final, binding and conclusive on all persons.

 

3.
Shares Subject to the Plan.

 

(a)
Share Reserve.

 

(i)
Subject to Section 9(a) relating to Capitalization Adjustments, the aggregate number of shares of Common Stock that may be issued
pursuant to Stock Awards from and after the Effective Date will not exceed approximately 10% of the total equity of the Company, calculated
post-increase of the authorized shares (which currently equals 10,000,000 shares) (the “Share Reserve”).

 

(ii)
For clarity, the Share Reserve in this Section 3(a) is a limitation on the number of shares of Common Stock that may be issued pursuant
to the Plan. Accordingly, this Section 3(a) does not limit the granting of Stock Awards except as provided in Section 7(a).

 

(b)
Reversion of Shares to the Share Reserve. If a Stock Award or any portion thereof (i) expires or otherwise terminates without all
of the shares covered by such Stock Award having been issued or (ii) is settled in cash (i.e., the Participant receives cash rather
than stock), such expiration, termination or settlement will not reduce (or otherwise offset) the number of shares of Common Stock that
may be available for issuance under the Plan. If any shares of Common Stock issued pursuant to a Stock Award are forfeited back to or
repurchased by the Company because of the failure to meet a contingency or condition required to vest such shares in the Participant,
then the shares that are forfeited or repurchased will revert to and again become available for issuance under the Plan. Any shares reacquired
by the Company in satisfaction of tax withholding obligations on a Stock Award or as consideration for the exercise or purchase price
of a Stock Award will again become available for issuance under the Plan.

 

(c)
Incentive Stock Option Limit. Subject to the Share Reserve and Section 9(a) relating to Capitalization Adjustments, the aggregate
maximum number of shares of Common Stock that may be issued pursuant to the exercise of Incentive Stock Options will be 10,000,000 shares
of Common Stock.

 

(d)
Source of Shares. The stock issuable under the Plan will be shares of authorized but unissued or reacquired Common Stock, including
shares repurchased by the Company on the open market or otherwise.

 

    	 

     

    

 

4.
Eligibility.

 

(a)
Eligibility for Specific Stock Awards. Incentive Stock Options may be granted only to employees of the Company or a “parent
corporation” or “subsidiary corporation” thereof (as such terms are defined in Sections 424(e) and 424(f) of the Code).
Stock Awards other than Incentive Stock Options may be granted to Employees, Directors and Consultants; provided, however, that
Stock Awards may not be granted to Employees, Directors and Consultants who are providing Continuous Service only to any “parent”
of the Company, as such term is defined in Rule 405, unless (i) the stock underlying such Stock Awards is treated as “service recipient
stock” under Section 409A of the Code (for example, because the Stock Awards are granted pursuant to a corporate transaction such
as a spin off transaction), or (ii) the Company, in consultation with its legal counsel, has determined that such Stock Awards are otherwise
exempt from or alternatively comply with the distribution requirements of Section 409A of the Code.

 

(b)
Ten Percent Stockholders. A Ten Percent Stockholder will not be granted an Incentive Stock Option unless the exercise price of such
Option is at least one hundred ten percent (110%) of the Fair Market Value on the date of grant and the Option is not exercisable after
the expiration of five (5) years from the date of grant.

 

(c)
Consultants. A Consultant will not be eligible for the grant of a Stock Award if, at the time of grant, either the offer or sale
of the Company’s securities to such Consultant is not exempt under Rule 701 because of the nature of the services that the Consultant
is providing to the Company, because the Consultant is not a natural person, or because of any other provision of Rule 701, unless the
Company determines that such grant need not comply with the requirements of Rule 701 and will satisfy another exemption under the Securities
Act as well as comply with the securities laws of all other relevant jurisdictions.

 

5.
Provisions Relating to Options and Stock Appreciation Rights.

 

Each
Option or SAR will be in such form and will contain such terms and conditions as the Board deems appropriate. All Options will be separately
designated Incentive Stock Options or Nonstatutory Stock Options at the time of grant, and, if certificates are issued, a separate certificate
or certificates will be issued for shares of Common Stock purchased on exercise of each type of Option. If an Option is not specifically
designated as an Incentive Stock Option, or if an Option is designated as an Incentive Stock Option but some portion or all of the Option
fails to qualify as an Incentive Stock Option under the applicable rules, then the Option (or portion thereof) will be a Nonstatutory
Stock Option. The provisions of separate Options or SARs need not be identical; provided, however, that each Stock Award Agreement
will conform to (through incorporation of provisions hereof by reference in the applicable Stock Award Agreement or otherwise) the substance
of each of the following provisions:

 

(a)
Term. Subject to the provisions of Section 4(b) regarding Ten Percent Stockholders, no Option or SAR will be exercisable after the
expiration of ten (10) years from the date of its grant or such shorter period specified in the Stock Award Agreement.

 

(b)
Exercise Price. Subject to the provisions of Section 4(b) regarding Ten Percent Stockholders, the exercise or strike price of each
Option or SAR will be not less than one hundred percent (100%) of the Fair Market Value of the Common Stock subject to the Option or
SAR on the date the Stock Award is granted. Notwithstanding the foregoing, an Option or SAR may be granted with an exercise or strike
price lower than one hundred percent (100%) of the Fair Market Value of the Common Stock subject to the Stock Award if such Stock Award
is granted pursuant to an assumption of or substitution for another option or stock appreciation right pursuant to a Corporate Transaction
and in a manner consistent with the provisions of Section 409A of the Code and, if applicable, Section 424(a) of the Code. Each SAR will
be denominated in shares of Common Stock equivalents.

 

    	 

     

    

 

(c)
Purchase Price for Options. The purchase price of Common Stock acquired pursuant to the exercise of an Option may be paid, to the
extent permitted by applicable law and as determined by the Board in its sole discretion, by any combination of the methods of payment
set forth below. The Board will have the authority to grant Options that do not permit all of the following methods of payment (or otherwise
restrict the ability to use certain methods) and to grant Options that require the consent of the Company to use a particular method
of payment. The permitted methods of payment are as follows:

 

(i)
by cash, check, bank draft or money order payable to the Company;

 

(ii)
pursuant to a program developed under Regulation T as promulgated by the Federal Reserve Board that, prior to the issuance of the
stock subject to the Option, results in either the receipt of cash (or check) by the Company or the receipt of irrevocable instructions
to pay the aggregate exercise price to the Company from the sales proceeds;

 

(iii)
by delivery to the Company (either by actual delivery or attestation) of shares of Common Stock;

 

(iv)
if an Option is a Nonstatutory Stock Option, by a “net exercise” arrangement pursuant to which the Company will reduce
the number of shares of Common Stock issuable upon exercise by the largest whole number of shares with a Fair Market Value that does
not exceed the aggregate exercise price; provided, however, that the Company will accept a cash or other payment from the Participant
to the extent of any remaining balance of the aggregate exercise price not satisfied by such reduction in the number of whole shares
to be issued. Shares of Common Stock will no longer be subject to an Option and will not be exercisable thereafter to the extent that
(A) shares issuable upon exercise are used to pay the exercise price pursuant to the “net exercise,” (B) shares are delivered
to the Participant as a result of such exercise, and (C) shares are withheld to satisfy tax withholding obligations;

 

(v)
according to a deferred payment or similar arrangement with the Optionholder; provided, however, that interest will compound
at least annually and will be charged at the minimum rate of interest necessary to avoid (A) the imputation of interest income to the
Company and compensation income to the Optionholder under any applicable provisions of the Code, and (B) the classification of the Option
as a liability for financial accounting purposes; or

 

(vi)
in any other form of legal consideration that may be acceptable to the Board and specified in the applicable Stock Award Agreement.

 

(d)
Exercise and Payment of a SAR. To exercise any outstanding SAR, the Participant must provide written notice of exercise to the Company
in compliance with the provisions of the Stock Award Agreement evidencing such SAR. The appreciation distribution payable on the exercise
of a SAR will be not greater than an amount equal to the excess of (A) the aggregate Fair Market Value (on the date of the exercise of
the SAR) of a number of shares of Common Stock equal to the number of Common Stock equivalents in which the Participant is vested under
such SAR, and with respect to which the Participant is exercising the SAR on such date, over (B) the strike price. The appreciation distribution
may be paid in Common Stock, in cash, in any combination of the two or in any other form of consideration, as determined by the Board
and contained in the Stock Award Agreement evidencing such SAR.

 

    	 

     

    

 

(e)
Transferability of Options and SARs. The Board may, in its sole discretion, impose such limitations on the transferability of Options
and SARs as the Board will determine. In the absence of such a determination by the Board to the contrary, the following restrictions
on the transferability of Options and SARs will apply:

 

(i)
Restrictions on Transfer. An Option or SAR will not be transferable except by will or by the laws of descent and distribution (and
pursuant to subsections (ii) and (iii) below), and will be exercisable during the lifetime of the Participant only by the Participant.
The Board may permit transfer of the Option or SAR in a manner that is not prohibited by applicable tax and securities laws. Except as
explicitly provided herein, neither an Option nor a SAR may be transferred for consideration.

 

(ii)
Domestic Relations Orders. Subject to the approval of the Board or a duly authorized Officer, an Option or SAR may be transferred
pursuant to the terms of a domestic relations order, official marital settlement agreement or other divorce or separation instrument
as permitted by Treasury Regulation 1.421-1(b)(2). If an Option is an Incentive Stock Option, such Option may be deemed to be a Nonstatutory
Stock Option as a result of such transfer.

 

(iii)
Beneficiary Designation. Subject to the approval of the Board or a duly authorized Officer, a Participant may, by delivering written
notice to the Company, in a form approved by the Company (or the designated broker), designate a third party who, upon the death of the
Participant, will thereafter be entitled to exercise the Option or SAR and receive the Common Stock or other consideration resulting
from such exercise. In the absence of such a designation, the executor or administrator of the Participant’s estate will be entitled
to exercise the Option or SAR and receive the Common Stock or other consideration resulting from such exercise. However, the Company
may prohibit designation of a beneficiary at any time, including due to any conclusion by the Company that such designation would be
inconsistent with the provisions of applicable laws.

 

(f)
Vesting Generally. The total number of shares of Common Stock subject to an Option or SAR may vest and therefore become exercisable
in periodic installments that may or may not be equal. The Option or SAR may be subject to such other terms and conditions on the time
or times when it may or may not be exercised (which may be based on the satisfaction of performance goals or other criteria) as the Board
may deem appropriate. The vesting provisions of individual Options or SARs may vary. The provisions of this Section 5(f) are subject
to any Option or SAR provisions governing the minimum number of shares of Common Stock as to which an Option or SAR may be exercised.

 

    	 

     

    

 

(g)
Termination of Continuous Service. Except as otherwise provided in the applicable Stock Award Agreement or other agreement between
the Participant and the Company, if a Participant’s Continuous Service terminates (other than for Cause and other than upon the
Participant’s death or Disability), the Participant may exercise his or her Option or SAR (to the extent that the Participant was
entitled to exercise such Stock Award as of the date of termination of Continuous Service) within the period of time ending on the earlier
of (i) the date three (3) months following the termination of the Participant’s Continuous Service (or such longer or shorter period
specified in the applicable Stock Award Agreement, which period will not be less than thirty (30) days if necessary to comply with applicable
laws unless such termination is for Cause) and (ii) the expiration of the term of the Option or SAR as set forth in the Stock Award Agreement.
If, after termination of Continuous Service, the Participant does not exercise his or her Option or SAR within the applicable time frame,
the Option or SAR (as applicable) will terminate.

 

(h)
Extension of Termination Date. Except as otherwise provided in the applicable Stock Award Agreement or other agreement between the
Participant and the Company, if the exercise of an Option or SAR following the termination of the Participant’s Continuous Service
(other than for Cause and other than upon the Participant’s death or Disability) would be prohibited at any time solely because
the issuance of shares of Common Stock would violate the registration requirements under the Securities Act, then the Option or SAR will
terminate on the earlier of (i) the expiration of a total period of three (3) months (that need not be consecutive) after the termination
of the Participant’s Continuous Service during which the exercise of the Option or SAR would not be in violation of such registration
requirements, or (ii) the expiration of the term of the Option or SAR as set forth in the applicable Stock Award Agreement. In addition,
unless otherwise provided in a Participant’s Stock Award Agreement, if the sale of any Common Stock received upon exercise of an
Option or SAR following the termination of the Participant’s Continuous Service (other than for Cause) would violate the Company’s
insider trading policy, then the Option or SAR will terminate on the earlier of (i) the expiration of a period of time (that need not
be consecutive) equal to the applicable post-termination exercise period after the termination of the Participant’s Continuous
Service during which the sale of the Common Stock received upon exercise of the Option or SAR would not be in violation of the Company’s
insider trading policy, or (ii) the expiration of the term of the Option or SAR as set forth in the applicable Stock Award Agreement.

 

(i)
Disability of Participant. Except as otherwise provided in the applicable Stock Award Agreement or other agreement between the Participant
and the Company, if a Participant’s Continuous Service terminates as a result of the Participant’s Disability, the Participant
may exercise his or her Option or SAR (to the extent that the Participant was entitled to exercise such Option or SAR as of the date
of termination of Continuous Service), but only within such period of time ending on the earlier of (i) the date twelve (12) months following
such termination of Continuous Service (or such longer or shorter period specified in the Stock Award Agreement, which period will not
be less than six (6) months if necessary to comply with applicable laws), and (ii) the expiration of the term of the Option or SAR as
set forth in the Stock Award Agreement. If, after termination of Continuous Service, the Participant does not exercise his or her Option
or SAR within the applicable time frame, the Option or SAR (as applicable) will terminate.

 

    	 

     

    

 

(j)
Death of Participant. Except as otherwise provided in the applicable Stock Award Agreement or other agreement between the Participant
and the Company, if (i) a Participant’s Continuous Service terminates as a result of the Participant’s death, or (ii) the
Participant dies within the period (if any) specified in the Stock Award Agreement for exercisability after the termination of the Participant’s
Continuous Service (for a reason other than death), then the Option or SAR may be exercised (to the extent the Participant was entitled
to exercise such Option or SAR as of the date of death) by the Participant’s estate, by a person who acquired the right to exercise
the Option or SAR by bequest or inheritance or by a person designated to exercise the Option or SAR upon the Participant’s death,
but only within the period ending on the earlier of (i) the date eighteen (18) months following the date of death (or such longer or
shorter period specified in the Stock Award Agreement, which period will not be less than six (6) months if necessary to comply with
applicable laws), and (ii) the expiration of the term of such Option or SAR as set forth in the Stock Award Agreement. If, after the
Participant’s death, the Option or SAR is not exercised within the applicable time frame, the Option or SAR (as applicable) will
terminate.

 

(k)
Termination for Cause. Except as explicitly provided otherwise in a Participant’s Stock Award Agreement or other individual
written agreement between the Company or any Affiliate and the Participant, if a Participant’s Continuous Service is terminated
for Cause, the Option or SAR will terminate immediately upon such Participant’s termination of Continuous Service, and the Participant
will be prohibited from exercising his or her Option or SAR from and after the time of such termination of Continuous Service.

 

(l)
Non-Exempt Employees. If an Option or SAR is granted to an Employee who is a non-exempt employee for purposes of the Fair Labor Standards
Act of 1938, as amended, the Option or SAR will not be first exercisable for any shares of Common Stock until at least six (6) months
following the date of grant of the Option or SAR (although the Stock Award may vest prior to such date). Consistent with the provisions
of the Worker Economic Opportunity Act, (i) if such non-exempt Employee dies or suffers a Disability, (ii) upon a Corporate Transaction
in which such Option or SAR is not assumed, continued, or substituted, (iii) upon a Change in Control, or (iv) upon the Participant’s
retirement (as such term may be defined in the Participant’s Stock Award Agreement, in another agreement between the Participant
and the Company, or, if no such definition, in accordance with the Company’s then current employment policies and guidelines),
the vested portion of any Options and SARs may be exercised earlier than six (6) months following the date of grant. The foregoing provision
is intended to operate so that any income derived by a non-exempt employee in connection with the exercise or vesting of an Option or
SAR will be exempt from his or her regular rate of pay. To the extent permitted and/or required for compliance with the Worker Economic
Opportunity Act to ensure that any income derived by a non-exempt employee in connection with the exercise, vesting or issuance of any
shares under any other Stock Award will be exempt from the employee’s regular rate of pay, the provisions of this Section 5(l)
will apply to all Stock Awards and are hereby incorporated by reference into such Stock Award Agreements.

 

(m)
Early Exercise of Options. An Option may, but need not, include a provision whereby the Optionholder may elect at any time before
the Optionholder’s Continuous Service terminates to exercise the Option as to any part or all of the shares of Common Stock subject
to the Option prior to the full vesting of the Option. Subject to the “Repurchase Limitation” in Section 8(m), any unvested
shares of Common Stock so purchased may be subject to a repurchase right in favor of the Company or to any other restriction the Board
determines to be appropriate. Provided that the “Repurchase Limitation” in Section 8(m) is not violated, the Company will
not be required to exercise its repurchase right until at least six (6) months (or such longer or shorter period of time required to
avoid classification of the Option as a liability for financial accounting purposes) have elapsed following exercise of the Option unless
the Board otherwise specifically provides in the Option Agreement.

 

    	 

     

    

 

(n)
Right of Repurchase. Subject to the “Repurchase Limitation” in Section 8(m), the Option or SAR may include a provision
whereby the Company may elect to repurchase all or any part of the vested shares of Common Stock acquired by the Participant pursuant
to the exercise of the Option or SAR.

 

(o)
Right of First Refusal. The Option or SAR may include a provision whereby the Company may elect to exercise a right of first refusal
following receipt of notice from the Participant of the intent to transfer all or any part of the shares of Common Stock received upon
the exercise of the Option or SAR. Such right of first refusal will be subject to the “Repurchase Limitation” in Section
8(m). Except as expressly provided in this Section 5(o) or in the Stock Award Agreement, such right of first refusal will otherwise comply
with any applicable provisions of the bylaws of the Company.

 

6.
Provisions of Stock Awards Other than Options and SARs.

 

(a)
Restricted Stock Awards. Each Restricted Stock Award Agreement will be in such form and will contain such terms and conditions as
the Board deems appropriate. To the extent consistent with the Company’s bylaws, at the Board’s election, shares of Common
Stock may be (i) held in book entry form subject to the Company’s instructions until any restrictions relating to the Restricted
Stock Award lapse; or (ii) evidenced by a certificate, which certificate will be held in such form and manner as determined by the Board.
The terms and conditions of Restricted Stock Award Agreements may change from time to time, and the terms and conditions of separate
Restricted Stock Award Agreements need not be identical. Each Restricted Stock Award Agreement will conform to (through incorporation
of the provisions hereof by reference in the agreement or otherwise) the substance of each of the following provisions:

 

(i)
Consideration. A Restricted Stock Award may be awarded in consideration for (A) cash, check, bank draft or money order payable to
the Company, (B) past services to the Company or an Affiliate, or (C) any other form of legal consideration (including future services)
that may be acceptable to the Board, in its sole discretion, and permissible under applicable law.

 

(ii)
Vesting. Subject to the “Repurchase Limitation” in Section 8(m), shares of Common Stock awarded under the Restricted
Stock Award Agreement may be subject to forfeiture to the Company in accordance with a vesting schedule to be determined by the Board.

 

(iii)
Termination of Participant’s Continuous Service. If a Participant’s Continuous Service terminates, the Company may receive
through a forfeiture condition or a repurchase right, any or all of the shares of Common Stock held by the Participant that have not
vested as of the date of termination of Continuous Service under the terms of the Restricted Stock Award Agreement.

 

(iv)
Transferability. Rights to acquire shares of Common Stock under the Restricted Stock Award Agreement will be transferable by the
Participant only upon such terms and conditions as are set forth in the Restricted Stock Award Agreement, as the Board will determine
in its sole discretion, so long as Common Stock awarded under the Restricted Stock Award Agreement remains subject to the terms of the
Restricted Stock Award Agreement.

 

    	 

     

    

 

(v)
Dividends. A Restricted Stock Award Agreement may provide that any dividends paid on Restricted Stock will be subject to the same
vesting and forfeiture restrictions as apply to the shares subject to the Restricted Stock Award to which they relate.

 

(b)
Restricted Stock Unit Awards. Each Restricted Stock Unit Award Agreement will be in such form and will contain such terms and conditions
as the Board deems appropriate. The terms and conditions of Restricted Stock Unit Award Agreements may change from time to time, and
the terms and conditions of separate Restricted Stock Unit Award Agreements need not be identical. Each Restricted Stock Unit Award Agreement
will conform to (through incorporation of the provisions hereof by reference in the Agreement or otherwise) the substance of each of
the following provisions:

 

(i)
Consideration. At the time of grant of a Restricted Stock Unit Award, the Board will determine the consideration, if any, to be paid
by the Participant upon delivery of each share of Common Stock subject to the Restricted Stock Unit Award. The consideration to be paid
(if any) by the Participant for each share of Common Stock subject to a Restricted Stock Unit Award may be paid in any form of legal
consideration that may be acceptable to the Board, in its sole discretion, and permissible under applicable law.

 

(ii)
Vesting. At the time of the grant of a Restricted Stock Unit Award, the Board may impose such restrictions on or conditions to the
vesting of the Restricted Stock Unit Award as it, in its sole discretion, deems appropriate.

 

(iii)
Payment. A Restricted Stock Unit Award may be settled by the delivery of shares of Common Stock, their cash equivalent, any combination
thereof or in any other form of consideration, as determined by the Board and contained in the Restricted Stock Unit Award Agreement.

 

(iv)
Additional Restrictions. At the time of the grant of a Restricted Stock Unit Award, the Board, as it deems appropriate, may impose
such restrictions or conditions that delay the delivery of the shares of Common Stock (or their cash equivalent) subject to a Restricted
Stock Unit Award to a time after the vesting of such Restricted Stock Unit Award.

 

(v)
Dividend Equivalents. Dividend equivalents may be credited in respect of shares of Common Stock covered by a Restricted Stock Unit
Award, as determined by the Board and contained in the Restricted Stock Unit Award Agreement. At the sole discretion of the Board, such
dividend equivalents may be converted into additional shares of Common Stock covered by the Restricted Stock Unit Award in such manner
as determined by the Board. Any additional shares covered by the Restricted Stock Unit Award credited by reason of such dividend equivalents
will be subject to all of the same terms and conditions of the underlying Restricted Stock Unit Award Agreement to which they relate.

 

(vi)
Termination of Participant’s Continuous Service. Except as otherwise provided in the applicable Restricted Stock Unit Award
Agreement, such portion of the Restricted Stock Unit Award that has not vested will be forfeited upon the Participant’s termination
of Continuous Service.

 

    	 

     

    

 

(vii)
Compliance with Section 409A of the Code. Notwithstanding anything to the contrary set forth herein, any Restricted Stock Unit Award
granted under the Plan that is not exempt from the requirements of Section 409A of the Code shall contain such provisions so that such
Restricted Stock Unit Award will comply with the requirements of Section 409A of the Code. Such restrictions, if any, shall be determined
by the Board and contained in the Restricted Stock Unit Award Agreement evidencing such Restricted Stock Unit Award. For example, such
restrictions may include, without limitation, a requirement that any Common Stock that is to be issued in a year following the year in
which the Restricted Stock Unit Award vests must be issued in accordance with a fixed pre-determined schedule.

 

(c)
Other Stock Awards. Other forms of Stock Awards valued in whole or in part by reference to, or otherwise based on, Common Stock,
including the appreciation in value thereof (e.g., options or stock rights with an exercise price or strike price less than one hundred
percent (100%) of the Fair Market Value of the Common Stock at the time of grant) may be granted either alone or in addition to Stock
Awards provided for under Section 5 and the preceding provisions of this Section 6. Subject to the provisions of the Plan, the Board
will have sole and complete authority to determine the persons to whom and the time or times at which such Other Stock Awards will be
granted, the number of shares of Common Stock (or the cash equivalent thereof) to be granted pursuant to such Other Stock Awards and
all other terms and conditions of such Other Stock Awards.

 

7.
Covenants of the Company.

 

(a)
Availability of Shares. The Company will keep available at all times the number of shares of Common Stock reasonably required to
satisfy then-outstanding Stock Awards.

 

(b)
Securities Law Compliance. The Company will seek to obtain from each regulatory commission or agency having jurisdiction over the
Plan such authority as may be required to grant Stock Awards and to issue and sell shares of Common Stock upon exercise of the Stock
Awards; provided, however, that this undertaking will not require the Company to register under the Securities Act the Plan, any
Stock Award or any Common Stock issued or issuable pursuant to any such Stock Award. If, after reasonable efforts and at a reasonable
cost, the Company is unable to obtain from any such regulatory commission or agency the authority that counsel for the Company deems
necessary for the lawful issuance and sale of Common Stock under the Plan, the Company will be relieved from any liability for failure
to issue and sell Common Stock upon exercise of such Stock Awards unless and until such authority is obtained. A Participant will not
be eligible for the grant of a Stock Award or the subsequent issuance of cash or Common Stock pursuant to the Stock Award if such grant
or issuance would be in violation of any applicable securities law.

 

(c)
No Obligation to Notify or Minimize Taxes. The Company will have no duty or obligation to any Participant to advise such holder as
to the time or manner of exercising such Stock Award. Furthermore, the Company will have no duty or obligation to warn or otherwise advise
such holder of a pending termination or expiration of a Stock Award or a possible period in which the Stock Award may not be exercised.
The Company has no duty or obligation to minimize the tax consequences of a Stock Award to the holder of such Stock Award.

 

    	 

     

    

 

8.
Miscellaneous.

 

(a)
Use of Proceeds from Sales of Common Stock. Proceeds from the sale of shares of Common Stock pursuant to Stock Awards will constitute
general funds of the Company.

 

(b)
Corporate Action Constituting Grant of Stock Awards. Corporate action constituting a grant by the Company of a Stock Award to any
Participant will be deemed completed as of the date of such corporate action, unless otherwise determined by the Board, regardless of
when the instrument, certificate, or letter evidencing the Stock Award is communicated to, or actually received or accepted by, the Participant.
In the event that the corporate records (e.g., Board consents, resolutions or minutes) documenting the corporate action constituting
the grant contain terms (e.g., exercise price, vesting schedule or number of shares) that are inconsistent with those in the Stock Award
Agreement as a result of a clerical error in the papering of the Stock Award Agreement, the corporate records will control and the Participant
will have no legally binding right to the incorrect term in the Stock Award Agreement.

 

(c)
Stockholder Rights. No Participant will be deemed to be the holder of, or to have any of the rights of a holder with respect to,
any shares of Common Stock subject to a Stock Award unless and until (i) such Participant has satisfied all requirements for exercise
of, or the issuance of shares of Common Stock under, the Stock Award pursuant to its terms, and (ii) the issuance of the Common Stock
subject to the Stock Award has been entered into the books and records of the Company.

 

(d)
No Employment or Other Service Rights. Nothing in the Plan, any Stock Award Agreement or any other instrument executed thereunder
or in connection with any Stock Award granted pursuant thereto will confer upon any Participant any right to continue to serve the Company
or an Affiliate in the capacity in effect at the time the Stock Award was granted or will affect the right of the Company or an Affiliate
to terminate (i) the employment of an Employee with or without notice and with or without cause, (ii) the service of a Consultant pursuant
to the terms of such Consultant’s agreement with the Company or an Affiliate, or (iii) the service of a Director pursuant to the
bylaws of the Company or an Affiliate, and any applicable provisions of the corporate law of the state in which the Company or the Affiliate
is incorporated, as the case may be.

 

(e)
Change in Time Commitment. In the event a Participant’s regular level of time commitment in the performance of his or her services
for the Company and any Affiliates is reduced (for example, and without limitation, if the Participant is an Employee of the Company
and the Employee has a change in status from a full-time Employee to a part-time Employee) after the date of grant of any Stock Award
to the Participant, the Board has the right in its sole discretion to (x) make a corresponding reduction in the number of shares subject
to any portion of such Stock Award that is scheduled to vest or become payable after the date of such change in time commitment, and
(y) in lieu of or in combination with such a reduction, extend the vesting or payment schedule applicable to such Stock Award. In the
event of any such reduction, the Participant will have no right with respect to any portion of the Stock Award that is so reduced or
extended.

 

    	 

     

    

 

(f)
Incentive Stock Option Limitations. To the extent that the aggregate Fair Market Value (determined at the time of grant) of Common
Stock with respect to which Incentive Stock Options are exercisable for the first time by any Optionholder during any calendar year (under
all plans of the Company and any Affiliates) exceeds one hundred thousand dollars ($100,000) (or such other limit established in the
Code) or otherwise does not comply with the rules governing Incentive Stock Options, the Options or portions thereof that exceed such
limit (according to the order in which they were granted) or otherwise do not comply with such rules will be treated as Nonstatutory
Stock Options, notwithstanding any contrary provision of the applicable Option Agreement(s).

 

(g)
Investment Assurances. The Company may require a Participant, as a condition of exercising or acquiring Common Stock under any Stock
Award, (i) to give written assurances satisfactory to the Company as to the Participant’s knowledge and experience in financial
and business matters and/or to employ a purchaser representative reasonably satisfactory to the Company who is knowledgeable and experienced
in financial and business matters and that he or she is capable of evaluating, alone or together with the purchaser representative, the
merits and risks of exercising the Stock Award; and (ii) to give written assurances satisfactory to the Company stating that the Participant
is acquiring Common Stock subject to the Stock Award for the Participant’s own account and not with any present intention of selling
or otherwise distributing the Common Stock. The foregoing requirements, and any assurances given pursuant to such requirements, will
be inoperative if (A) the issuance of the shares upon the exercise or acquisition of Common Stock under the Stock Award has been registered
under a then currently effective registration statement under the Securities Act, or (B) as to any particular requirement, a determination
is made by counsel for the Company that such requirement need not be met in the circumstances under the then applicable securities laws.
The Company may, upon advice of counsel to the Company, place legends on stock certificates issued under the Plan as such counsel deems
necessary or appropriate in order to comply with applicable securities laws, including, but not limited to, legends restricting the transfer
of the Common Stock.

 

(h)
Withholding Obligations. Unless prohibited by the terms of a Stock Award Agreement, the Company may, in its sole discretion, satisfy
any federal, state or local tax withholding obligation relating to a Stock Award by any of the following means or by a combination of
such means: (i) causing the Participant to tender a cash payment; (ii) withholding shares of Common Stock from the shares of Common Stock
issued or otherwise issuable to the Participant in connection with the Stock Award; provided, however, that no shares of Common
Stock are withheld with a value exceeding the minimum amount of tax required to be withheld by law (or such lesser amount as may be necessary
to avoid classification of the Stock Award as a liability for financial accounting purposes); (iii) withholding cash from a Stock Award
settled in cash; (iv) withholding payment from any amounts otherwise payable to the Participant; or (v) by such other method as may be
set forth in the Stock Award Agreement.

 

    	 

     

    

 

(i)
Electronic Delivery. Any reference herein to a “written” agreement or document will include any agreement or document
delivered electronically or posted on the Company’s intranet (or other shared electronic medium controlled by the Company to which
the Participant has access).

 

(j)
Deferrals. To the extent permitted by applicable law, the Board, in its sole discretion, may determine that the delivery of Common
Stock or the payment of cash, upon the exercise, vesting or settlement of all or a portion of any Stock Award may be deferred and may
establish programs and procedures for deferral elections to be made by Participants. Deferrals by Participants will be made in accordance
with Section 409A of the Code. Consistent with Section 409A of the Code, the Board may provide for distributions while a Participant
is still an employee or otherwise providing services to the Company. The Board is authorized to make deferrals of Stock Awards and determine
when, and in what annual percentages, Participants may receive payments, including lump sum payments, following the Participant’s
termination of Continuous Service, and implement such other terms and conditions consistent with the provisions of the Plan and in accordance
with applicable law.

 

(k)
Compliance with Section 409A of the Code. To the extent that the Board determines that any Stock Award granted hereunder is subject
to Section 409A of the Code, the Stock Award Agreement evidencing such Stock Award shall incorporate the terms and conditions necessary
to avoid the consequences specified in Section 409A(a)(1) of the Code. To the extent applicable, the Plan and Stock Award Agreements
shall be interpreted in accordance with Section 409A of the Code.

 

(l)
Compliance with Exemption Provided by Rule 12h-1(f). If at the end of the Company’s most recently completed fiscal year: (i)
the aggregate of the number of persons who hold outstanding compensatory employee stock options to purchase shares of Common Stock granted
pursuant to the Plan or otherwise (such persons, “Holders of Options”) equals or exceeds five hundred (500),
and (ii) the Company’s assets exceed $10 million, then the following restrictions will apply during any period during which the
Company does not have a class of its securities registered under Section 12 of the Exchange Act and is not required to file reports under
Section 15(d) of the Exchange Act: (A) the Options and, prior to exercise, the shares of Common Stock to be issued on exercise of the
Options may not be transferred until the Company is no longer relying on the exemption provided by Rule 12h-1(f) promulgated under the
Exchange Act (“Rule 12h-1(f)”), except: (1) as permitted by Rule 701(c) promulgated under the Securities Act,
(2) to a guardian upon the disability of the Holder of Options, or (3) to an executor upon the death of the Holder of Options (collectively,
the “Permitted Transferees”); provided, however, the following transfers are permitted: (i) transfers by Holders
of Options to the Company, and (ii) transfers in connection with a change of control or other acquisition involving the Company, if following
such transaction, the Options no longer remain outstanding and the Company is no longer relying on the exemption provided by Rule 12h-1(f);
provided further, that any Permitted Transferees may not further transfer the Options; (B) except as otherwise provided in (A) above,
the Options and shares of Common Stock issuable on exercise of the Options are restricted as to any pledge, hypothecation, or other transfer,
including any short position, any “put equivalent position” as defined by Rule 16a-1(h) promulgated under the Exchange Act,
or any “call equivalent position” as defined by Rule 16a-1(b) promulgated under the Exchange Act by Holders of Options prior
to exercise of an Option until the Company is no longer relying on the exemption provided by Rule 12h-1(f); and (C) at any time that
the Company is relying on the exemption provided by Rule 12h-1(f), the Company will deliver to Holders of Options (whether by physical
or electronic delivery or written notice of the availability of the information on an internet site) the information required by Rule
701(e)(3), (4), and (5) promulgated under the Securities Act every six (6) months, including financial statements that are not more than
one hundred eighty (180) days old; provided, however, that the Company may condition the delivery of such information upon the Holder
of Options’ agreement to maintain its confidentiality.

 

    	 

     

    

 

(m)
Repurchase Limitation. The terms of any repurchase right will be specified in the Stock Award Agreement. The repurchase price for
vested shares of Common Stock will be the Fair Market Value of the shares of Common Stock on the date of repurchase. The repurchase price
for unvested shares of Common Stock will be the lower of (i) the Fair Market Value of the shares of Common Stock on the date of repurchase
or (ii) their original purchase price. However, the Company will not exercise its repurchase right until at least six (6) months (or
such longer or shorter period of time necessary to avoid classification of the Stock Award as a liability for financial accounting purposes)
have elapsed following delivery of shares of Common Stock subject to the Stock Award, unless otherwise specifically provided by the Board.

 

9.
Adjustments upon Changes in Common Stock; Other Corporate Events.

 

(a)
Capitalization Adjustments. In the event of a Capitalization Adjustment, the Board will appropriately and proportionately adjust:
(i) the class(es) and maximum number of securities subject to the Plan pursuant to Section 3(a), (ii) the class(es) and maximum number
of securities that may be issued pursuant to the exercise of Incentive Stock Options pursuant to Section 3(c), and (iii) the class(es)
and number of securities and price per share of stock subject to outstanding Stock Awards. The Board will make such adjustments, and
its determination will be final, binding and conclusive.

 

(b)
Dissolution or Liquidation. Except as otherwise provided in the Stock Award Agreement, in the event of a dissolution or liquidation
of the Company, all outstanding Stock Awards (other than Stock Awards consisting of vested and outstanding shares of Common Stock not
subject to a forfeiture condition or the Company’s right of repurchase) will terminate immediately prior to the completion of such
dissolution or liquidation, and the shares of Common Stock subject to the Company’s repurchase rights or subject to a forfeiture
condition may be repurchased or reacquired by the Company notwithstanding the fact that the holder of such Stock Award is providing Continuous
Service, provided, however, that the Board may, in its sole discretion, cause some or all Stock Awards to become fully vested,
exercisable and/or no longer subject to repurchase or forfeiture (to the extent such Stock Awards have not previously expired or terminated)
before the dissolution or liquidation is completed but contingent on its completion.

 

(c)
Corporate Transaction. The following provisions will apply to Stock Awards in the event of a Corporate Transaction unless otherwise
provided in the instrument evidencing the Stock Award or any other written agreement between the Company or any Affiliate and the Participant
or unless otherwise expressly provided by the Board at the time of grant of a Stock Award. In the event of a Corporate Transaction, then,
notwithstanding any other provision of the Plan, the Board may take one or more of the following actions with respect to Stock Awards,
contingent upon the closing or completion of the Corporate Transaction:

 

    	 

     

    

 

(i)
arrange for the surviving corporation or acquiring corporation (or the surviving or acquiring corporation’s parent company)
to assume or continue the Stock Award or to substitute a similar stock award for the Stock Award (including, but not limited to, an award
to acquire the same consideration paid to the stockholders of the Company pursuant to the Corporate Transaction);

 

(ii)
arrange for the assignment of any reacquisition or repurchase rights held by the Company in respect of Common Stock issued pursuant
to the Stock Award to the surviving corporation or acquiring corporation (or the surviving or acquiring corporation’s parent company);

 

(iii)
accelerate the vesting, in whole or in part, of the Stock Award (and, if applicable, the time at which the Stock Award may be exercised)
to a date prior to the effective time of such Corporate Transaction as the Board determines (or, if the Board does not determine such
a date, to the date that is five (5) days prior to the effective date of the Corporate Transaction), with such Stock Award terminating
if not exercised (if applicable) at or prior to the effective time of the Corporate Transaction; provided, however, that the Board may
require Participants to complete and deliver to the Company a notice of exercise before the effective date of a Corporate Transaction,
which exercise is contingent upon the effectiveness of such Corporate Transaction;

 

(iv)
arrange for the lapse, in whole or in part, of any reacquisition or repurchase rights held by the Company with respect to the Stock
Award;

 

(v)
cancel or arrange for the cancellation of the Stock Award, to the extent not vested or not exercised prior to the effective time
of the Corporate Transaction, in exchange for such cash consideration, if any, as the Board, in its sole discretion, may consider appropriate;
and

 

(vi)
make a payment, in such form as may be determined by the Board equal to the excess, if any, of (A) the value of the property the
Participant would have received upon the exercise of the Stock Award immediately prior to the effective time of the Corporate Transaction,
over (B) any exercise price payable by such holder in connection with such exercise. For clarity, this payment may be zero ($0) if the
value of the property is equal to or less than the exercise price. Payments under this provision may be delayed to the same extent that
payment of consideration to the holders of the Company’s Common Stock in connection with the Corporate Transaction is delayed as
a result of escrows, earn outs, holdbacks or any other contingencies.

 

The
Board need not take the same action or actions with respect to all Stock Awards or portions thereof or with respect to all Participants.
The Board may take different actions with respect to the vested and unvested portions of a Stock Award.

 

(d)
Change in Control. A Stock Award may be subject to additional acceleration of vesting and exercisability upon or after a Change in
Control as may be provided in the Stock Award Agreement for such Stock Award or as may be provided in any other written agreement between
the Company or any Affiliate and the Participant, but in the absence of such provision, no such acceleration will occur.

 

    	 

     

    

 

10.
Plan Term; Earlier Termination or Suspension of the Plan.

 

(a)
Plan Term. The Board may suspend or terminate the Plan at any time. Unless terminated sooner by the Board, the Plan will automatically
terminate on the day before the tenth (10th) anniversary of the earlier of (i) the date the Plan is adopted by the Board, or (ii) the
date the Plan is approved by the stockholders of the Company. No Stock Awards may be granted under the Plan while the Plan is suspended
or after it is terminated.

 

(b)
No Impairment of Rights. Suspension or termination of the Plan will not impair rights and obligations under any Stock Award granted
while the Plan is in effect except with the written consent of the affected Participant or as otherwise permitted in the Plan.

 

11.
Effective Date of Plan.

 

This
Plan will become effective on the Effective Date.

 

12.
Choice of Law.

 

The
laws of the State of Nevada will govern all questions concerning the construction, validity and interpretation of this Plan, without
regard to that state’s conflict of laws rules.

 

13.
Definitions. As used in the Plan, the following definitions will apply to the capitalized
terms indicated below:

 

(a)
“Affiliate” means, at the time of determination, any “parent” or “majority-owned subsidiary”
of the Company, as such terms are defined in Rule 405. The Board will have the authority to determine the time or times at which “parent”
or “majority-owned subsidiary” status is determined within the foregoing definition.

 

(b)
“Board” means the Board of Directors of the Company.

 

(c)
“Capitalization Adjustment” means any change that is made in, or other events that occur with respect to,
the Common Stock subject to the Plan or subject to any Stock Award after the Effective Date without the receipt of consideration by the
Company through merger, consolidation, reorganization, recapitalization, reincorporation, stock dividend, dividend in property other
than cash, large nonrecurring cash dividend, stock split, reverse stock split, liquidating dividend, combination of shares, exchange
of shares, change in corporate structure, or any similar equity restructuring transaction, as that term is used in Statement of Financial
Accounting Standards Board Accounting Standards Codification Topic 718 (or any successor thereto). Notwithstanding the foregoing, the
conversion of any convertible securities of the Company will not be treated as a Capitalization Adjustment.

 

    	 

     

    

 

(d)
 “Cause” will have the meaning ascribed to such term in any written agreement between the Participant and
the Company defining such term and, in the absence of such agreement, such term means, with respect to a Participant, the occurrence
of any of the following events: (i) such Participant’s commission of any felony or any crime involving fraud, dishonesty or moral
turpitude under the laws of the United States or any state thereof; (ii) such Participant’s attempted commission of, or participation
in, a fraud or act of dishonesty against the Company; (iii) such Participant’s intentional, material violation of any contract
or agreement between the Participant and the Company or of any statutory duty owed to the Company; (iv) such Participant’s unauthorized
use or disclosure of the Company’s confidential information or trade secrets; or (v) such Participant’s gross misconduct.
The determination that a termination of the Participant’s Continuous Service is either for Cause or without Cause will be made
by the Company, in its sole discretion. Any determination by the Company that the Continuous Service of a Participant was terminated
with or without Cause for the purposes of outstanding Stock Awards held by such Participant will have no effect upon any determination
of the rights or obligations of the Company or such Participant for any other purpose.

 

(e)
 “Change in Control” means the occurrence, in a single transaction or in a series of related transactions,
of any one or more of the following events:

 

(i)
any Exchange Act Person becomes the Owner, directly or indirectly, of securities of the Company representing more than fifty percent
(50%) of the combined voting power of the Company’s then outstanding securities other than by virtue of a merger, consolidation
or similar transaction. Notwithstanding the foregoing, a Change in Control will not be deemed to occur (A) on account of the acquisition
of securities of the Company directly from the Company, (B) on account of the acquisition of securities of the Company by an investor,
any affiliate thereof or any other Exchange Act Person that acquires the Company’s securities in a transaction or series of related
transactions the primary purpose of which is to obtain financing for the Company through the issuance of equity securities or (C) solely
because the level of Ownership held by any Exchange Act Person (the “Subject Person”) exceeds the designated
percentage threshold of the outstanding voting securities as a result of a repurchase or other acquisition of voting securities by the
Company reducing the number of shares outstanding, provided that if a Change in Control would occur (but for the operation of this sentence)
as a result of the acquisition of voting securities by the Company, and after such share acquisition, the Subject Person becomes the
Owner of any additional voting securities that, assuming the repurchase or other acquisition had not occurred, increases the percentage
of the then outstanding voting securities Owned by the Subject Person over the designated percentage threshold, then a Change in Control
will be deemed to occur;

 

(ii)
there is consummated a merger, consolidation or similar transaction involving (directly or indirectly) the Company and, immediately
after the consummation of such merger, consolidation or similar transaction, the stockholders of the Company immediately prior thereto
do not Own, directly or indirectly, either (A) outstanding voting securities representing more than fifty percent (50%) of the combined
outstanding voting power of the surviving Entity in such merger, consolidation or similar transaction or (B) more than fifty percent
(50%) of the combined outstanding voting power of the parent of the surviving Entity in such merger, consolidation or similar transaction,
in each case in substantially the same proportions as their Ownership of the outstanding voting securities of the Company immediately
prior to such transaction;

 

(iii)
the stockholders of the Company approve or the Board approves a plan of complete dissolution or liquidation of the Company, or a
complete dissolution or liquidation of the Company will otherwise occur, except for a liquidation into a parent corporation;

 

    	 

     

    

 

(iv)
there is consummated a sale, lease, exclusive license or other disposition of all or substantially all of the consolidated assets
of the Company and its Subsidiaries, other than a sale, lease, license or other disposition of all or substantially all of the consolidated
assets of the Company and its Subsidiaries to an Entity, more than fifty percent (50%) of the combined voting power of the voting securities
of which are Owned by stockholders of the Company in substantially the same proportions as their Ownership of the outstanding voting
securities of the Company immediately prior to such sale, lease, license or other disposition; or

 

(v)
individuals who, on the date the Plan is adopted by the Board, are members of the Board (the “Incumbent Board”)
cease for any reason to constitute at least a majority of the members of the Board; provided, however, that if the appointment
or election (or nomination for election) of any new Board member was approved or recommended by a majority vote of the members of the
Incumbent Board then still in office, such new member will, for purposes of this Plan, be considered as a member of the Incumbent Board.

 

Notwithstanding
the foregoing definition or any other provision of this Plan, (A) the term Change in Control will not include a sale of assets, merger
or other transaction effected exclusively for the purpose of changing the domicile of the Company, and (B) the definition of Change in
Control (or any analogous term) in an individual written agreement between the Company or any Affiliate and the Participant will supersede
the foregoing definition with respect to Stock Awards subject to such agreement; provided, however, that if no definition of Change
in Control or any analogous term is set forth in such an individual written agreement, the foregoing definition will apply.

 

(f)
“Code” means the Internal Revenue Code of 1986, as amended, including any applicable regulations and guidance
thereunder.

 

(g)
“Committee” means a committee of one or more Directors to whom authority has been delegated by the Board
in accordance with Section 2(c).

 

(h)
 “Common Stock” means the common stock of the Company.

 

(i)
“Company” means Franchise Holdings International, Inc., a Nevada corporation.

 

(j)
“Consultant” means any person, including an advisor, who is (i) engaged by the Company or an Affiliate
to render consulting or advisory services and is compensated for such services, or (ii) serving as a member of the board of directors
of an Affiliate and is compensated for such services. However, service solely as a Director, or payment of a fee for such service, will
not cause a Director to be considered a “Consultant” for purposes of the Plan.

 

    	 

     

    

 

(k)
“Continuous Service” means that the Participant’s service with the Company or an Affiliate, whether
as an Employee, Director or Consultant, is not interrupted or terminated. A change in the capacity in which the Participant renders service
to the Company or an Affiliate as an Employee, Director or Consultant or a change in the Entity for which the Participant renders such
service, provided that there is no interruption or termination of the Participant’s service with the Company or an Affiliate, will
not terminate a Participant’s Continuous Service; provided, however, that if the Entity for which a Participant is rendering
services ceases to qualify as an Affiliate, as determined by the Board in its sole discretion, such Participant’s Continuous Service
will be considered to have terminated on the date such Entity ceases to qualify as an Affiliate. For example, a change in status from
an Employee of the Company to a Consultant of an Affiliate or to a Director will not constitute an interruption of Continuous Service.
To the extent permitted by law, the Board or the chief executive officer of the Company, in that party’s sole discretion, may determine
whether Continuous Service will be considered interrupted in the case of (i) any leave of absence approved by the Board or chief executive
officer, including sick leave, military leave or any other personal leave, or (ii) transfers between the Company, an Affiliate, or their
successors. Notwithstanding the foregoing, a leave of absence will be treated as Continuous Service for purposes of vesting in a Stock
Award only to such extent as may be provided in the Company’s leave of absence policy, in the written terms of any leave of absence
agreement or policy applicable to the Participant, or as otherwise required by law.

 

(l)
“Corporate Transaction” means the consummation, in a single transaction or in a series of related transactions,
of any one or more of the following events:

 

(i)
a sale or other disposition of all or substantially all, as determined by the Board in its sole discretion, of the consolidated assets
of the Company and its Subsidiaries;

 

(ii)
a sale or other disposition of at least ninety percent (90%) of the outstanding securities of the Company;

 

(iii)
a merger, consolidation or similar transaction following which the Company is not the surviving corporation; or

 

(iv)
a merger, consolidation or similar transaction following which the Company is the surviving corporation but the shares of Common
Stock outstanding immediately preceding the merger, consolidation or similar transaction are converted or exchanged by virtue of the
merger, consolidation or similar transaction into other property, whether in the form of securities, cash or otherwise.

 

(m)
“Director” means a member of the Board.

 

(n)
“Disability” means, with respect to a Participant, the inability of such Participant to engage in any substantial
gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or that
has lasted or can be expected to last for a continuous period of not less than twelve (12) months as provided in Sections 22(e)(3) and
409A(a)(2)(c)(i) of the Code, and will be determined by the Board on the basis of such medical evidence as the Board deems warranted
under the circumstances.

 

(o)
“Effective Date” means the effective date of this Plan, which is the date this Plan is adopted by the Board.

 

(p)
“Employee” means any person employed by the Company or an Affiliate. However, service solely as a Director,
or payment of a fee for such services, will not cause a Director to be considered an “Employee” for purposes of the Plan.

 

(q)
“Entity” means a corporation, partnership, limited liability company or other entity.

 

    	 

     

    

 

(r)
“Exchange Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated
thereunder.

 

(s)
“Exchange Act Person” means any natural person, Entity or “group” (within the meaning of Section
13(d) or 14(d) of the Exchange Act), except that “Exchange Act Person” will not include (i) the Company or any Subsidiary
of the Company, (ii) any employee benefit plan of the Company or any Subsidiary of the Company or any trustee or other fiduciary holding
securities under an employee benefit plan of the Company or any Subsidiary of the Company, (iii) an underwriter temporarily holding securities
pursuant to an offering of such securities, (iv) an Entity Owned, directly or indirectly, by the stockholders of the Company in substantially
the same proportions as their Ownership of stock of the Company; or (v) any natural person, Entity or “group” (within the
meaning of Section 13(d) or 14(d) of the Exchange Act) that, as of the Effective Date, is the Owner, directly or indirectly, of securities
of the Company representing more than fifty percent (50%) of the combined voting power of the Company’s then outstanding securities.

 

(t)
“Fair Market Value” means, as of any date, the value of the Common Stock determined by the Board in compliance
with Section 409A of the Code or, in the case of an Incentive Stock Option, in compliance with Section 422 of the Code.

 

(u)
“Incentive Stock Option” means an option granted pursuant to Section 5 of the Plan that is intended to
be, and that qualifies as, an “incentive stock option” within the meaning of Section 422 of the Code.

 

(v)
“Nonstatutory Stock Option” means any option granted pursuant to Section 5 of the Plan that does not qualify
as an Incentive Stock Option.

 

(w)
“Officer” means any person designated by the Company as an officer.

 

(x)
“Option” means an Incentive Stock Option or a Nonstatutory Stock Option to purchase shares of Common Stock
granted pursuant to the Plan.

 

(y)
“Option Agreement” means a written agreement between the Company and an Optionholder evidencing the terms
and conditions of an Option grant. Each Option Agreement will be subject to the terms and conditions of the Plan.

 

(z)
“Optionholder” means a person to whom an Option is granted pursuant to the Plan or, if applicable, such
other person who holds an outstanding Option.

 

(aa)
“Other Stock Award” means an award based in whole or in part by reference to the Common Stock which is
granted pursuant to the terms and conditions of Section 6(c).

 

(bb)
“Other Stock Award Agreement” means a written agreement between the Company and a holder of an Other Stock
Award evidencing the terms and conditions of an Other Stock Award grant. Each Other Stock Award Agreement will be subject to the terms
and conditions of the Plan.

 

    	 

     

    

 

(cc)
“Own,” “Owned,” “Owner,” “Ownership”
A person or Entity will be deemed to “Own,” to have “Owned,” to be the “Owner” of, or to have acquired
“Ownership” of securities if such person or Entity, directly or indirectly, through any contract, arrangement, understanding,
relationship or otherwise, has or shares voting power, which includes the power to vote or to direct the voting, with respect to such
securities.

 

(dd)
“Participant” means a person to whom a Stock Award is granted pursuant to the Plan or, if applicable, such
other person who holds an outstanding Stock Award.

 

(ee)
“Plan” means this Franchise Holdings International, Inc. 2015 Equity Incentive Plan.

 

(ff)
“Restricted Stock Award” means an award of shares of Common Stock which is granted pursuant to the terms
and conditions of Section 6(a).

 

(gg)
“Restricted Stock Award Agreement” means a written agreement between the Company and a holder of a Restricted
Stock Award evidencing the terms and conditions of a Restricted Stock Award grant. Each Restricted Stock Award Agreement will be subject
to the terms and conditions of the Plan.

 

(hh)
“Restricted Stock Unit Award” means a right to receive shares of Common Stock which is granted pursuant
to the terms and conditions of Section 6(b).

 

(ii)
“Restricted Stock Unit Award Agreement” means a written agreement between the Company and a holder of a
Restricted Stock Unit Award evidencing the terms and conditions of a Restricted Stock Unit Award grant. Each Restricted Stock Unit Award
Agreement will be subject to the terms and conditions of the Plan.

 

(jj)
“Rule 405” means Rule 405 promulgated under the Securities Act.

 

(kk)
“Rule 701” means Rule 701 promulgated under the Securities Act.

 

(ll)
“Securities Act” means the Securities Act of 1933, as amended.

 

(mm)
“Stock Appreciation Right” or “SAR” means a right to receive the appreciation
on Common Stock that is granted pursuant to the terms and conditions of Section 5.

 

(nn)
“Stock Appreciation Right Agreement” means a written agreement between the Company and a holder of a Stock
Appreciation Right evidencing the terms and conditions of a Stock Appreciation Right grant. Each Stock Appreciation Right Agreement will
be subject to the terms and conditions of the Plan.

 

(oo)
“Stock Award” means any right to receive Common Stock granted under the Plan, including an Incentive Stock
Option, a Nonstatutory Stock Option, a Restricted Stock Award, a Restricted Stock Unit Award, a Stock Appreciation Right or any Other
Stock Award.

 

(pp)
“Stock Award Agreement” means a written agreement between the Company and a Participant evidencing the
terms and conditions of a Stock Award grant. Each Stock Award Agreement will be subject to the terms and conditions of the Plan.

 

(qq)
“Subsidiary” means, with respect to the Company, (i) any corporation of which more than fifty percent (50%)
of the outstanding capital stock having ordinary voting power to elect a majority of the board of directors of such corporation (irrespective
of whether, at the time, stock of any other class or classes of such corporation will have or might have voting power by reason of the
happening of any contingency) is at the time, directly or indirectly, Owned by the Company, and (ii) any partnership, limited liability
company or other entity in which the Company has a direct or indirect interest (whether in the form of voting or participation in profits
or capital contribution) of more than fifty percent (50%) .

 

(rr)
“Ten Percent Stockholder” means a person who Owns (or is deemed to Own pursuant to Section 424(d) of the
Code) stock possessing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or any Affiliate.Byrna Technologies, Inc. 8-K

Exhibit 10.1

FIRST
OMNIBUS LOAN MODIFICATION AGREEMENT

 

This
FIRST OMNIBUS LOAN MODIFICATION AGREEMENT (this “Agreement”) is dated and made effective as of the 6th
day of July, 2021 (the “Effective Date”), by and between BYRNA TECHNOLOGIES, INC., a Delaware corporation with
its principal place of business located at 100 Burtt Road, Suite 115, Andover, Massachusetts 01810 (“Borrower”) and
NEEDHAM BANK, a Massachusetts co-operative bank with its principal place of business located at 1063 Great Plain Avenue, Needham,
Massachusetts 02492 (“Lender”).

 

RECITALS

 

WHEREAS,
on January 19, 2021, Lender made available to Borrower the following credit facilities: (i) a certain revolving line of credit facility
in the maximum principal amount of Five Million and 00/100 Dollars ($5,000,000.00) (the “Revolving Loan”) and (ii)
a certain non-revolving equipment line of credit facility in the maximum principal amount of One Million Five Hundred Thousand 00/100
Dollars ($1,500,000.00) (the “Equipment Loan,” and together with the Revolving Loan sometimes collectively referred
to herein as the “Loans” and each individually as the context may require, a “Loan”); and

 

WHEREAS,
the Loans were made pursuant to, inter alia, that certain Commercial Loan and Security Agreement dated as of January 19, 2021
entered into by and between Borrower and Lender (the “Loan Agreement”) and that certain Secured Revolving Line of
Credit Note dated as of January 19, 2021 in the principal face amount of $5,000,000.00 made
and delivered by Borrower and payable to the order of Lender (the “Revolving Note”); and

 

WHEREAS,
pursuant to the terms of the Loan Agreement, Borrower’s obligations and liabilities owing to Lender in connection with the Loans
are secured by a first priority security interest granted by Borrower in favor of Lender with respect to all assets and properties of
Borrower as more particularly evidenced and perfected by that certain UCC-1 financing statement previously filed with the Office of the
Secretary of State for the State of Delaware on January 15, 2021 with an Initial Filing No. of 2021 0398330; and

 

WHEREAS,
prior to the Effective Date hereof, the relationship between Lender and Borrower has been governed by and all proceeds of the Loans previously
funded and advanced to Borrower by Lender prior to the Effective Date hereof have been made pursuant to the terms of the Loan Agreement,
the Revolving Note and the other Loan Documents (as that term is defined in the Loan Agreement); and

 

WHEREAS,
Borrower has recently informed Lender that Borrower has contracted with Raymond James Financial to serve as the underwriter in connection
with Borrower’s proposed equity financing in an aggregate amount up to Fifty Million and 00/100 Dollars ($50,000,000.00) (the “Additional
Equity Raise”); and

 

WHEREAS,
Borrower anticipates completing the Additional Equity Raise within the next one hundred fifty (150) calendar days from the Effective
Date of this Agreement (such 150-day period commencing on the Effective Date of this Agreement is referred to herein as the “Equity
Financing Period”); and

 

    	 

    	 

    

WHEREAS,
Borrower has requested and applied to Lender to (i) temporarily increase the maximum principal amount of the Revolving Loan from Five
Million and 00/100 Dollars ($5,000,000.00) to Seven Million Five Hundred Thousand and 00/100 Dollars ($7,500,000.00) for the duration
of the Equity Financing Period to provide for the working capital needs of Borrower, and (ii) to forbear the application of the requirements
and limitations of the Borrowing Base (as defined and more particularly described in the Loan Agreement) in connection with any advance
under the Revolving Loan requested by Borrower during the duration of the Equity Financing Period (collectively, the “Modification”);
and

 

WHEREAS,
Lender has agreed to the Modification requested by Borrower, but only upon the terms and conditions contained in this Agreement; and

 

WHEREAS,
in light of the foregoing, Borrower and Lender desire to enter into this Agreement in order to amend certain provisions of the Loan Documents.

 

NOW,
THEREFORE, in consideration of the foregoing recitals and for other good and valuable consideration the receipt and sufficiency of which
are hereby acknowledged, the parties hereto hereby covenant and agree as follows intended to be effective as of the Effective Date (and
not prior unless expressly reflected as being effective prior to such date):

 

1.                 
Incorporation. The Recitals set forth at the beginning of this Agreement are hereby incorporated in and made a part of this Agreement
by this reference. Capitalized terms used in this Agreement and not otherwise defined herein shall have the meanings ascribed to them
in the Loan Agreement.

 

2.                 
Acknowledgment of Outstanding Principal Balances. Borrower and Lender each agree that as of the Effective Date, the outstanding
principal balance under each of the Loans is as follows:

 

		(a)	Revolving
                                            Loan:$1,500,000.00; and

		(b)	Equipment
                                            Loan:$0.00.

 

3.                 
Conditions Precedent. The effectiveness of this Agreement and the Modification is subject to the full satisfaction of each of
the following conditions:

 

		(a)	No
                                            Event of Default under any of the Loan Documents shall have occurred; and

 

(b)              
Borrower shall have taken, or caused to be taken, such
other actions and executed and delivered such other documentation as may be reasonably requested by Lender or its legal counsel in order
to give effect to this Agreement and the Modification and to perform, preserve and protect the continued priority and effectiveness of
the Loan Documents, as hereby amended; and

(c)               
Contemporaneously with the execution of this Agreement
and consummation of the Modification, Lender shall be deemed to have earned a one-time non-refundable modification fee due and payable
by Borrower to Lender in the amount of Eighteen Thousand Seven Hundred Fifty and 00/100 Dollars ($18,750.00); provided, however,
that one-half (50%) of the aforesaid modification fee (e.g., $9,375.00) shall be paid by Borrower to Lender contemporaneously with the
execution of this Agreement and the consummation of the Modification and the remaining

    	 

    	 

    

second
half (or $9,375.00) of the aforesaid modification fee shall become automatically due and payable in full by Borrower to Lender if and
when Borrower requests a first advance of the proceeds of the Temporary Increase (as defined below), and by its execution and delivery
of this Agreement, Borrower acknowledges and agrees that such $9,375.00 remaining balance of the modification fee shall be paid to Lender
out of the proceeds of such first advance of the Temporary Increase. As a point of further clarification to the foregoing, Lender and
Borrower each acknowledge and agree that the second remaining half of the aforementioned $9,375.00 modification fee shall not be charged
to Borrower or become due and payable from Borrower to Lender unless and until the aggregate outstanding principal balance of all advances
made under the Revolving Loan exceeds Five Million and 00/100 Dollars ($5,000,000.00); and

 

(d)              
Borrower shall have (i) filed with the Office of the
Secretary of State for the State of Delaware and the Office of the Secretary of State for the Commonwealth of Massachusetts, as applicable,
all outstanding and past due annual reports of Borrower which are required to be filed with each such Secretary of State office as of
the Effective Date, and (ii) filed an amendment with the Office of the Secretary of State for the Commonwealth of Massachusetts pursuant
to which Borrower’s principal office location shall be updated to reflect Borrower’s current principal office located at
100 Burtt Road, Suite 115, Andover, Massachusetts 01810; and

 

(e)               
Borrower shall have paid in full all fees, costs, and
expenses incurred by Lender in connection with the Modification as evidenced by this Agreement, including, without limitation, reasonable
legal fees and expenses.

 

4.                 
Temporary Amendments to the Revolving Note. Effective as of the Effective Date of this Agreement (and not prior), the Revolving
Note is hereby temporarily (and not permanently) amended as follows:

 

(a)               
For the duration of the Equity Financing Period only,
the principal face amount of the Revolving Note is temporarily increased from Five Million
and 00/100 Dollars ($5,000,000.00) to Seven Million Five Hundred Thousand and 00/100 Dollars ($7,500,000.00). Accordingly, for the duration
of the Equity Financing Period only, all references contained in the Revolving Note to “Five Million and 00/100 Dollars ($5,000,000.00)”
and/or “$5,000,000.00” are hereby replaced by “Seven Million Five Hundred Thousand and 00/100 Dollars ($7,500,000.00)”
and/or “$7,500,000.00”, respectively. Notwithstanding the foregoing, upon the expiration of the Equity Financing Period
(e.g., as of 12:00 a.m. (EST) on December 6, 2021), the foregoing temporary amendments shall automatically terminate, the principal face
amount of the Revolving Note shall be reduced back to Five Million and 00/100 Dollars ($5,000,000.00) and all original references contained
in the Revolving Note to “Five Million and 00/100 Dollars ($5,000,000.00)” and/or “$5,000,000.00”
shall be automatically re-instated and effective; and

 

    	 

    	 

    

(b)              
 All other terms and conditions of the Revolving Note
not amended hereby remain in full force and effect.

 

5.                 
Temporary Amendments to the Loan Agreement. Effective as of the Effective Date of this Agreement (and not prior), the Loan Agreement
is hereby temporarily (and not permanently) amended as follows:

 

(a)               
For the duration of the Equity Financing Period only,
the term “Credit Limit” (as defined in Section 1.1.1(a) of the Loan Agreement)
is temporarily increased from Five Million and 00/100 Dollars ($5,000,000.00) to Seven Million Five Hundred Thousand and 00/100 Dollars
($7,500,000.00); provided, however, that upon the expiration of the Equity Financing Period, the original definition of
Credit Limit (e.g., Five Million and 00/100 Dollars ($5,000,000.00)) shall be automatically re-instated and effective. The foregoing
$2,500,000.00 temporary increase of the Credit Limit for the duration of the Equity Financing Period is referred to in this Agreement
as the “Temporary Increase”;

 

(b)                
For the duration of the Equity Financing Period only,
the application of the requirements and limitations of the Borrowing Base (as that term is defined in Section 1.1.1(b) of the Loan Agreement)
with respect to any request made by Borrower for an advance under the Revolving Loan shall be temporarily suspended for the term of the
Equity Financing Period. Accordingly, for the duration of the Equity Financing Period only, so long as no Event of Default (as that term
is defined in the Loan Agreement) then exists and is continuing, Borrower may request advances under the Revolving Loan, without application
of the requirements and limitations of the Borrowing Base, up to a maximum aggregate outstanding principal balance of Seven Million Five
Hundred Thousand and 00/100 Dollars ($7,500,000.00); provided, however, that except as expressly set forth in this Agreement,
all other terms and conditions of the Loan Agreement concerning advances under the Revolving Loan shall remain in full force and effect
during the Equity Financing Period. Notwithstanding the foregoing, the application of the requirements and limitations of the Borrowing
Base with respect to any request for an advance under the Revolving Loan shall be automatically re-instated and effective upon the expiration
of the Equity Financing Period (e.g., as of 12:00 a.m. (EST) on December 6, 2021) and each request for
an advance under the Revolving Loan made by Borrower following the expiration of the Equity Financing Period shall be subject
to the application of the requirements and limitations of the Borrowing Base; and

 

(c)               
For the duration of the Equity Financing Period only,
(i) Borrower shall not be required to furnish to Lender a Borrowing Base Certificate (as that term is defined in the Loan Agreement)
in connection with any request made by Borrower for an advance under the Revolving Loan, and (ii) Borrower shall be temporarily
relieved from the requirement to furnish to Lender bi-monthly Borrowing Base Certificates as more particularly set forth in Section 5.4.6
of the Loan Agreement; provided, however, that following the expiration of the Equity Financing Period, Borrower shall
thereafter be required to furnish to Lender a Borrowing Base Certificate in connection with each request for an advance under the Revolving
Loan and Borrower shall be required to comply with and satisfy the reporting requirements of Section 5.4.6 of the Loan Agreement; and

 

    	 

    	 

    

(d)              
 All other terms and conditions of the Loan Agreement
not amended hereby remain in full force and effect.

 

6.                 
Repayment of Outstanding Advances of Temporary Increase Proceeds. Notwithstanding anything to the contrary contained herein, if
applicable, on or prior to the expiration of the Equity Financing Period (e.g., on or prior
to 12:00 a.m. (EST) on December 6, 2021), Borrower is required to use the proceeds of the
Additional Equity Raise to make one or more principal payment(s) under the Revolving Loan, in an aggregate amount sufficient such that
after the application of such principal payment(s), the following conditions are satisfied: (i) the aggregate principal balance of all
outstanding advances under the Revolving Loan as of the expiration of the Equity Financing Period is equal to, or less than, Five Million
and 00/100 Dollars ($5,000,000.00), and (ii) the aggregate principal balance of all outstanding advances under the Revolving Loan
as of the expiration of the Equity Financing Period is in compliance with all requirements and limitations of the Borrowing Base (which,
as a point of clarification, may require that the aggregate principal balance of all outstanding
advances under the Revolving Loan be less than Five Million and 00/100 Dollars ($5,000,000.00)
depending upon the calculation of the Borrowing Base as of the expiration of the Equity Financing Period). Borrower’s failure
to comply with the foregoing requirements of this Section 6 (without the benefit of any
cure or grace period or the requirement of any prior notice from Lender) shall constitute an Event of Default under the Loan Agreement.
In addition to the foregoing, Borrower may, but is not required to do so, without penalty or premium, make one or more principal payments
under the Revolving Loan prior to the expiration of the Equity Financing Period.

 

7.                 
Release of Lender Parties. As a material inducement to Lender to agree to the Modification and enter into this Agreement, Borrower
hereby unconditionally releases and irrevocably discharges Lender and all assignees, directors, officers, shareholders, employees, attorneys
and agents of Lender and all lenders and participants in the Loan (collectively, the “Released Parties”) of and from
any and all claims, actions, causes of action, demands and suits which Borrower may now have against the Released Parties as of the Effective
Date, whether or not known to Borrower, arising or existing at any time from the beginning of time up to and including the Effective
Date hereof.

 

8.                 
No Defenses, Counterclaims or Rights of Offset. As a material inducement to Lender to agree to the Modification and enter into
this Agreement, Borrower hereby acknowledges, admits, and agrees that, as of the date of the Effective Date hereof, there exist no rights
of set-off, defense, counterclaims, claims, or objections in favor of Borrower against Lender or any of the Released Parties with respect
to any of the Loan Documents, or alternatively, that any and all such rights of offset, defenses, counterclaim, claim, or objection which
are hereby expressly and irrevocably waived and released.

 

9.                 
No Other Changes or Modifications. Nothing contained in this Agreement shall (a) be deemed to cancel, extinguish, release, discharge
or constitute payment or satisfaction of the Revolving Note or to affect the obligations represented by the Loan Agreement and the Revolving
Note, or (b) be deemed to impair in any manner the validity, enforceability or priority of any lien, security interest or encumbrance
in favor of Lender arising under any of the Loan Documents.

 

    	 

    	 

    

10.             
 Confirmation and Reaffirmation. All of the terms, covenants, conditions, waivers and consents contained in the Loan Documents,
as the same may have been hereby amended, are and shall remain in full force and effect. The Loan Agreement and the Revolving Note as
amended herein, the indebtedness evidenced and secured thereby, and the security provided thereby are hereby ratified and confirmed by
Borrower, and each and every grant, provision, covenant, condition, obligation, right and power contained therein or existing with respect
thereto shall continue in full force and effect. Borrower hereby acknowledges and agrees that all of the Loan Documents, as amended,
including, without limitation, the Loan Agreement and the Revolving Note, as amended herein, are enforceable against Borrower in accordance
with their terms.

 

11.             
Further Assurances. Upon request of Lender, Borrower shall make, execute, and deliver (or shall cause to be made, executed, and
delivered) to Lender or Lender’s designee any and all such other documents and instruments that Lender may consider reasonably
necessary to correct any errors in or omissions from this Agreement, or to effectuate or
continue Borrower’s obligations thereunder or any of the liens, security interests, grants, rights, or other interests of or in
favor of Lender thereunder. Borrower shall take all such actions that Lender may reasonably request from time to time in order to accomplish
and satisfy the provisions of this Agreement.

 

		12.	Miscellaneous.

 

(a)               
The caption and section headings in this Agreement are
for convenience only and are not intended to define, alter, limit or enlarge in any way the scope of the meaning of this Agreement or
any term or provisions set forth in this Agreement.

 

(b)              
This Agreement may be executed in any number of identical
counterparts, each of which shall be deemed to be an original, and all of which shall collectively constitute a single agreement, fully
binding and enforceable against the parties hereto.

 

(c)               
This Agreement shall bind and inure to the benefit of
the parties hereto and their respective heirs, executors, administrators, legal representatives, successors and assigns. This Agreement
and obligations of such parties hereunder are and at all times shall be deemed to be for the exclusive benefit of such parties and their
respective heirs, executors, administrators, legal representatives, successors and assigns, and nothing set forth herein shall be deemed
to be for the benefit of any other person.

 

(d)              
This Agreement shall be governed and construed in accordance
with the laws of the Commonwealth of Massachusetts, without regard to principles of conflicts of law.

 

 

[Remainder
of Page Intentionally Left Blank.]

 

    	 

    	 

    

 

       IN
WITNESS WHEREOF, this First Omnibus Loan Modification Agreement has been duly executed and delivered UNDER SEAL as of the Effective Date.

 

 

	WITNESSED
                                            BY:

                                                                          

                                                                          

                                                                          

                                                                          

                                                                          

                                                                         

    ________________________________________________________________

    Print
    Witness Name:

     

     

    
	BORROWER:

     

    BYRNA
    TECHNOLOGIES, INC.,

    a
    Delaware corporation

     

     

    By:
________________________________________________________    

    Name:
    Bryan Ganz

    Title:
    President

     

	WITNESSED
                                            BY:

     

     

     

     

     

    

    ________________________________________________________________

    Print
    Witness Name:
	LENDER:

     

    NEEDHAM
    BANK,

    a
    Massachusetts chartered trust company

     

     

    By:
______________________________________________________    

    Name:
    James Daley

    Title:
    Senior Vice President

     

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

[Signature
page to First Omnibus Loan Modification Agreement]

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