Document:

Unassociated Document

    THIS
      WARRANT HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
      OR
      ANY APPLICABLE STATE SECURITIES LAWS. THUS, NOTWITHSTANDING ANY OTHER PROVISIONS
      CONTAINED HEREIN, NO TRANSFER, HYPOTHECATION OR OTHER DISPOSITION OF THIS
      WARRANT IN FAVOR OF ANY PERSON OTHER THAN THE HOLDER HEREOF SHALL BE VALID
      OR
      EFFECTIVE UNLESS AN OPINION OF COUNSEL, SATISFACTORY IN FORM AND SUBSTANCE
      TO
      THE CORPORATION, IS OBTAINED TO THE EFFECT THAT REGISTRATION UNDER THE
      SECURITIES ACT OF 1933 OR THAT AN EXEMPTION FROM SUCH REGISTRATION IS AVAILABLE.
      FURTHER, SUCH TRANSFER IS SUBJECT TO THE CONDITIONS SPECIFIED IN SECTION 3
      HEREOF.

     

      Number:
        _________ 

     

    

     

    WARRANT

     

      Date:
        ______________ Shares: 300,000 

     

    VALUERICH,
      INC.

     

    Incorporated
      Under the Laws of the State of Delaware

     

      THIS
        CERTIFIES THAT, for
        value
        received, Lane Capital Markets, LLC (whose address is 263 Queens Grant Road,
        Fairfield, CT 06824 and whose fax number is (203) 254-1184 or its assigns
        is
        entitled to subscribe for and purchase, during the Subscription Period as
        defined below in this Warrant, Three Hundred Thousand (300,000) fully paid
        and
        non-assessable shares (subject to adjustment as hereinafter provided) of
        the
        common stock, par value $0.01 per share (the "Common
        Stock"),
        of
        ValueRich, Inc., a Delaware corporation (the "Corporation"),
        at a
        per share price equal to $5.60 (160% of the initial offering price of the
        Company’s Common Stock pursuant to a Registration Statement on Form SB-2 (File
        No.: 333-13551) (the “Registration
        Statement”)
        declared effective by the Securities and Exchange Commission (the “SEC”)
        under
        the Securities Act of 1933, as amended (the “Securities
        Act”))
        (the
        "Warrant
        Price");
        subject,
        however,
        to the
        provisions and upon the terms, conditions and adjustments hereinafter set
        forth.

     

    1.
       Exercise
      Period and Duration.
      The
      right to exercise this Warrant and subscribe for and purchase shares of Common
      Stock represented hereby ("Warrant
      Shares")
      shall
      be five years, commencing on _______ ___, 2007 (the first anniversary date
      of
      the date that the SEC declares the Registration Statement effective under the
      Securities Act (the “Effective
      Date”)
      and
      expiring at 5:00 P.M., New York time, on _______ ___, 2012 (the sixth
      anniversary date of the Effective Date) (the "Expiration
      Date").
      The
      period between the date hereof and the Expiration Date shall be the
“Subscription
      Period.”

     

    2.
       Method
      of Exercise; Payment; Issuance of New Warrant.
      The
      holder hereof may exercise this Warrant, in whole or in part, by the surrender
      of this Warrant (with the subscription form attached hereto duly executed)
      at
      the principal office of the Corporation, and by the payment to the Corporation
      of the then applicable Warrant Price for the shares being purchased upon such
      exercise at any time during the Subscription Period. 

     

    
      
        
        

      

      
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    This
      Warrant is not redeemable or otherwise callable by the Corporation at any time
      during the Subscription Period. 

     

    Payment
      of the Warrant Price may be made at the option of the holder by: (i) certified
      check or bank check payable to the order of the Company, (ii) wire transfer
      to
      the account of the Corporation or (iii) a “cashless exercise”, meaning the surrender and cancellation of a
      portion of shares of Common Stock then held by the Holder or issuable upon
      such
      exercise of this Warrant, which shall be valued and credited toward the total
      Warrant Price due the Corporation for the exercise of the Warrant based upon
      the
      Current Market Price (as defined below) of the Common Stock. All shares of
      Common Stock issuable upon the exercise of this Warrant pursuant to the terms
      hereof shall be validly issued and, upon payment of the Warrant Price, shall
      be
      fully paid and nonassessable and not subject to any preemptive
      rights.

    

    In
      the
      event of any exercise of this Warrant, the Corporation shall deliver to the
      holder hereof, (i) stock certificates for the shares of Common Stock so
      purchased, and (ii) a new Warrant representing the number of shares, if any,
      with respect to which this Warrant shall not then have been exercised effective
      for the duration of the Subscription Period and through the Expiration Date.
      Stock certificates for the shares of Common Stock so purchased shall be dated,
      and the holder hereof shall be deemed for all purposes to be the holder of
      the
      shares of Common Stock so purchased as of, the date of such exercise. Such
      stock
      certificates and new Warrant (as applicable) shall be delivered to the holder
      hereof within a reasonable time, not exceeding ten business days, after the
      rights represented by this Warrant shall have been so exercised. Each stock
      certificate so delivered shall be in such denominations as may be requested
      by
      the holder hereof and shall be registered in the name of said holder or such
      other name (upon compliance with the transfer requirements hereinafter set
      forth) as shall be designated by said holder. The Corporation shall pay any
      taxes and other expenses and charges payable in connection with the preparation,
      execution and delivery of stock certificates and new Warrants except that,
      in
      case such stock certificates shall be registered in a name or names other than
      the holder of this Warrant, funds sufficient to pay all stock transfer taxes
      which shall be payable in connection with the execution and delivery of such
      stock certificates shall be paid by the holder hereof to the Corporation at
      the
      time of the delivery of such stock certificates by the Corporation as mentioned
      above.

     

      
      

      3.
        Transferability. 

     

      This
        Warrant may not be sold, transferred, assigned or hypothecated before the
        one
        year anniversary date of the Effective Date, except to officers or partners
        of
        the Lane Capital Markets, LLC and members of the selling group participating
        in
        the Company’s initial public offering and/or their officers or partners.

    

      This
        Warrant may be transferred, in whole or in part, commencing on the first
        anniversary date of the Effective Date, on the books of the Corporation by
        the
        holder hereof in person or by duly authorized attorney, upon surrender of
        the
        Warrant at the principal office of the Corporation, properly endorsed and
        upon
        payment of any necessary transfer tax or other governmental charge imposed
        upon
        such transfer. This Warrant is exchangeable at the principal office of the
        Corporation for (i) Warrants for the purchase of the same aggregate number
        of
        shares of Common Stock, each new Warrant to represent the right to purchase
        such
        number of shares of Common Stock as the holder hereof shall designate at
        the
        time of such exchange, or (ii) the same number of Warrant Shares, as
        appropriate. All Warrants issued on transfers or exchanges shall be dated
        the
        date hereof and shall be identical with this Warrant except as to the number
        of
        shares of Common Stock issuable pursuant hereto.

    

    
      
        
        

      

      
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          11

        
          

        

      

      
        
        

      

       

    

    4.
       Certain
      Adjustments. The
      following adjustments shall take effect to the extent that such adjustments
      do
      not result in a Warrant Price lower than the then applicable par value of the
      Common Stock:

     

    (a) Adjustment
      for Stock Splits and Combinations.
      If the
      Corporation at any time or from time to time after the date hereof effects
      a
      subdivision of its outstanding shares of Common Stock, the Warrant Price then
      in
      effect immediately before the subdivision shall be proportionately decreased,
      and conversely, if the Corporation at any time or from time to time after the
      date hereof combines the outstanding shares of Common Stock into a smaller
      number of shares, the Warrant Price then in effect immediately before the
      combination shall be proportionately increased. Any adjustment under this
      subsection 4(a) shall become effective at the close of business on the date
      the
      subdivision or combination becomes effective.

     

    (b) Adjustment
      for Certain Dividends and Distributions.
      If the
      Corporation at any time or from time to time after the date hereof makes or
      issues, or fixes a record date for the determination of holders of Common Stock
      entitled to receive, a dividend or other distribution payable in additional
      shares of Common Stock, then and in each such event the Warrant Price then
      in
      effect shall be decreased as of the time of such issuance or, in the event
      such
      record date is fixed, as of the close of business on such record date, by
      multiplying the Warrant Price then in effect by a fraction (i) the numerator
      of
      which is the total number of shares of Common Stock issued and outstanding
      immediately prior to the time of such issuance or the close of business on
      such
      record date, and (ii) the denominator of which shall be the total number of
      shares of Common Stock issued and outstanding immediately prior to the time
      of
      such issuance or the close of business on such record date plus the number
      of
      shares of Common Stock issuable in payment of such dividend or distribution;
      provided, however, that if such record date is fixed and such dividend is not
      fully paid or if such distribution is not fully made on the date fixed therefor,
      the Warrant Price shall be recomputed accordingly as of the close of business
      on
      such record date and thereafter the Warrant Price shall be adjusted pursuant
      to
      this subsection 4(b) as of the time of actual payment of such dividends or
      distributions.

     

    (c) Adjustments
      for Other Dividends and Distributions.
      In the
      event the Corporation at any time or from time to time after the date hereof
      makes or issues, or fixes a record date for the determination of holders of
      Common Stock entitled to receive, a dividend or other distribution payable
      in
      securities of the Corporation other than shares of Common Stock, then and in
      each such event provision shall be made so that the holder of this Warrant
      shall
      receive, in addition to the number of shares of Warrant Shares receivable
      thereupon, the amount of securities of the Corporation which such holder would
      have received had this Warrant been exercised for shares of Warrant Shares
      on
      the date of such event and had such holder thereafter, during the period from
      the date of such event to and including the exercise date, retained such
      securities receivable by such holder as aforesaid during such period, subject
      to
      all other adjustments called for during such period under this Section 4 with
      respect to the rights of the holder of this Warrant.

     

    
      
        
        

      

      
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    (d) Adjustment
      for Reclassification, Exchange and Substitution.
      In the
      event that at any time or from time to time after the date hereof, the Common
      Stock issuable upon the exercise of this Warrant is changed into the same or
      a
      different number of shares of any class or classes of stock, whether by
      recapitalization, reclassification or otherwise (other than a subdivision or
      combination of shares or stock dividend or a reorganization, merger,
      consolidation or sale of assets, provided for elsewhere in this Section 4),
      then
      and in any such event the holder of this Warrant shall have the right thereafter
      to exercise this Warrant for the kind and amount of stock and other securities
      and property receivable upon such recapitalization, reclassification or other
      change, by holders of the maximum number of shares of Common Stock into which
      this Warrant could have been exercised immediately prior to such
      recapitalization, reclassification or change, all subject to further adjustment
      as provided herein.

     

    (e) Reorganizations,
      Mergers, Consolidations or Sales of Assets.
      If at
      any time or from time to time after the date hereof there is a capital
      reorganization of the Common Stock (other than a recapitalization, subdivision,
      combination, reclassification or exchange of shares provided for elsewhere
      in
      this Section 4) or a merger or consolidation of the Corporation with or into
      another corporation, or the sale of all or substantially all of the
      Corporation's properties and assets to any other person or entity, then, as
      a
      part of such reorganization, merger, consolidation or sale, provision shall
      be
      made so that the holder of this Warrant shall thereafter be entitled to receive
      upon exercise of this Warrant the number of shares of stock or other securities
      or property of the Corporation, or of the successor corporation resulting from
      such merger or consolidation or sale, for which a holder of the number of shares
      of Common Stock deliverable upon exercise would have been entitled on such
      capital reorganization, merger, consolidation, or sale. In any such case,
      appropriate adjustment shall be made in the application of the provisions of
      this Section 4 with respect to the rights of the holder of this Warrant after
      the reorganization, merger, consolidation or sale to the end that the provisions
      of this Section 4 (including adjustment of the Warrant Price then in effect
      and
      the number of shares purchasable upon exercise of this Warrant) shall be
      applicable after that event and be as nearly equivalent as may be
      practicable.

    

    5.  Procedural
      Items.

    

    (a) Record
      Date.
      In the
      event of (i) the Corporation setting a record date for the purpose of any
      dividend or other distribution, or (ii) any capital reorganization of the
      Corporation, any reclassification or recapitalization of the capital stock
      of
      the Corporation, any merger or consolidation of the Corporation with or into
      any
      other corporation, or any transfer of all or substantially all of the assets
      of
      the Corporation to any other person or entity or any voluntary or involuntary
      dissolution, liquidation or winding up of the Corporation, the Corporation
      shall
      mail to the holder hereof at least ten (10) days prior to the record date
      specified therein, a notice specifying (1) the record date for purposes of
      such
      dividend or distribution and a description of such dividend or distribution,
      (2)
      the date on which any such reorganization, reclassification, transfer,
      consolidation, merger, dissolution, liquidation or winding up is expected to
      become effective, and (3) the date, if any, that is to be fixed, as to when
      the
      holders of record of Common Stock shall be entitled to exchange their shares
      of
      Common Stock for securities or other property deliverable upon such
      reorganization, reclassification, transfer, consolidation, merger, dissolution,
      liquidation or winding up.

    

    
      
        
        

      

      
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    (b) Fractional
      Shares.
      No
      fractional shares of Common Stock shall be issued upon exercise of this Warrant.
      In lieu of any fractional share to which the holder would otherwise be entitled,
      the Corporation shall pay cash equal to the product of such fraction multiplied
      by the fair market value of one share of Common Stock on the date of exercise,
      as reasonably determined in good faith by the Board.

    

    (c) Reservation
      of Shares.
      The
      Corporation shall at all times reserve and keep available out of its authorized
      but unissued shares of Common Stock, solely for the purpose of effecting the
      exercise of this Warrant into the Common Stock issuable hereunder, such number
      of its shares of Common Stock as shall be sufficient to effect the full exercise
      of this Warrant; and if at any time the number of authorized but unissued shares
      of Common Stock shall not be sufficient to effect the full exercise of this
      Warrant, the Corporation will take such corporate action as may, in the opinion
      of its counsel, be necessary to increase its authorized but unissued shares
      of
      Common Stock to such number of shares as shall be sufficient for such
      purposes.

    

    6.
       No
      Dilution or Impairment.
      The
      Corporation will not, by amendment of its certificate of incorporation or
      through any reorganization, transfer of assets, consolidation, merger,
      dissolution, issue or sale of securities or any other voluntary action, avoid
      or
      seek to avoid the observance or performance of any of the terms of this Warrant,
      but will at all times in good faith assist in the carrying out of all such
      terms
      and in the taking of all such actions as may be necessary or appropriate in
      order to protect the rights of the holders of this Warrant against dilution
      or
      impairment. Without limiting the generality of the foregoing, the Corporation
      (a) will not increase the par value of the shares of Common Stock above the
      amount payable therefor on such exercise, (b) will take all such action as
      may
      be necessary or appropriate in order that the Corporation may validly and
      legally issue fully paid and nonassessable shares of Common Stock on the
      exercise of this Warrant and (c) will not transfer all or substantially all
      of
      its properties and assets to any other person (corporate or otherwise), or
      consolidate with or merge into any other person or permit any such person to
      consolidate with or merge into the Corporation (if the Corporation is not the
      surviving person), unless such other person shall expressly assume in writing
      and become bound by all the terms of this Warrant.

     

    7.
       Shares
      to be Fully Paid; Reservation of Shares.
      The
      Corporation covenants and agrees that all Common Stock issued upon exercise
      of
      this Warrant will, upon issuance, be fully paid and nonassessable and free
      from
      preemptive rights and all taxes, liens and charges with respect to the issuance
      thereof. Furthermore, and without limiting the generality of the foregoing,
      the
      Corporation covenants and agrees that it will from time to time take all such
      action as may be required to assure that the par value per share of Common
      Stock
      is at all times equal to or less than the effective Warrant Price. 

     

    8.
       Notices.
      All
      notices and other communications hereunder shall be in writing or by telex,
      telegram or telecopy, and shall be deemed to have been duly made when delivered
      in person or sent by telex, telegram, telecopy, same day or overnight courier,
      or 72 hours after having been deposited in the United States first class or
      registered or certified mail return receipt requested, postage prepaid. Notices
      shall be sent:

    

    
      
        
        

      

      
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    If
      to the
      holder of the Warrant:

    

    to
      the
      name, address and fax number

    set
      forth
      on the first page of this warrant

    

    If
      to the
      Corporation:

    

    ValueRich,
      Inc.

    1804
      North Dixie Highway, Suite A

    West
      Palm
      Beach, FL 33407

    Fax:
      (____)_______________

    Attn: Treasurer

     

    9.
       Governing
      Law.
      This
      Warrant shall be construed in accordance with and governed by the laws of the
      State of Delaware without regard to the principles of conflicts of
      laws.

     

    10.
       Remedies.
      The
      Corporation stipulates that the remedies at law of the holder of this Warrant
      in
      the event of any default by the Corporation in the performance of or compliance
      with any of the terms of this Warrant are not and will not be adequate, and
      that
      such terms may be specifically enforced by a decree for the specific performance
      of any agreement contained herein or by an injunction against a violation of
      any
      of the terms hereof or otherwise.

     

    11.
       Registration.
      The
      warrants in the Series shall be numbered and shall be registered in a warrant
      register as they are issued. The Corporation shall be entitled to treat the
      registered holder of any warrant in the Series on the warrant register as the
      owner in fact thereof for all purposes and shall not be bound to recognize
      any
      equitable or other claim to or interest in such warrant on the part of any
      other
      person, and shall not be liable for any registration or transfer of warrants
      which are registered or to be registered in the name of a fiduciary or the
      nominee of a fiduciary unless made with the actual knowledge that a fiduciary
      or
      nominee is committing a breach of trust in requesting such registration of
      transfer, or with knowledge of such facts that its participation therein amounts
      to bad faith.

     

    12.
       Miscellaneous.

     

    (a)
       Amendments.
      This
      Warrant and any provision hereof may be amended only by an instrument in writing
      signed by the holder of this Warrant and the Corporation, except the Corporation
      may waive any of its rights for the benefit of the holder by notice in writing
      to the holder of this Warrant, including, without limitation, extension of
      the
      date of termination or lowering of the exercise price.

    

    
      
        
        

      

      
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    (b)
       Descriptive
      Headings.
      The
      descriptive headings of the several Sections of this Warrant are inserted for
      purposes of reference only, and shall not affect the meaning or construction
      of
      any of the provisions hereof.

     

    13.
      Definitions.
      For the
      purposes of this Warrant the following terms have the following
      meanings:

    

    "Affiliate"
      shall
      mean any entity controlling, controlled by or under common control with another
      entity. For the purposes of this definition, "control"
      shall
      have the meaning presently specified for that word in Rule 405 promulgated
      by
      the SEC under the Securities Act. With respect to any Person who is a limited
      partnership, “Affiliate”
shall
      also mean any general or limited partner of such limited partnership, or any
      Person which is a general partner in a general or limited partnership which
      is a
      general partner of such limited partnership.

     

    “Current
      Market Price”
shall
      mean, in respect of any share of Common Stock on any date herein specified,
      

     

    (1) if
      there
      shall not then be a public market for the Common Stock, the higher of

     

    (a)
      the
      book value per share of Common Stock at such date, and 

     

    (b)
      the
      price per share of Common Stock in the most recent closing of a private
      placement of Common Stock to unrelated third parties purchasing at least
      $200,000 in such private placement, or

     

    
      	 	
              (2)

            	
              if
                there shall then be a public market for the Common Stock, the higher
                of
                (x) the book value per share of Common Stock at such date, and (y)
                the
                average of the daily market prices for the five (5) consecutive trading
                days immediately before such date. The daily market price for each
                such
                trading day shall be (i) the closing bid price on such day on the
                principal stock exchange (including Nasdaq) on which such Common
                Stock is
                then listed or admitted to trading, or quoted, as applicable, (ii)
                if no
                sale takes place on such day on any such exchange, the last reported
                closing bid price on such day as officially quoted on any such exchange
                (including Nasdaq), (iii) if the Common Stock is not then listed
                or
                admitted to trading on any stock exchange, the last reported closing
                bid
                price on such day in the over-the-counter market, as furnished by
                the
                National Association of Securities Dealers Automatic Quotation System
                or
                the National Quotation Bureau, Inc., (iv) if neither such corporation
                at
                the time is engaged in the business of reporting such prices, as
                furnished
                by any similar firm then engaged in such business, or (v) if there
                is no
                such firm, as furnished by any member of the NASD selected mutually
                by the
                holder of this Warrant and the Company or, if they cannot agree upon
                such
                selection, as selected by two such members of the NASD, one of which
                shall
                be selected by holder of this Warrant and one of which shall be selected
                by the Company. 

            

    

     

    
      
        
        

      

      
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    "Person"
      shall
      mean an individual, a corporation, a partnership, a limited liability company,
      a
      trust, an unincorporated organization or a government organization or an agency
      or political subdivision thereof.

     

    "Securities
      Act"
      shall
      mean the Securities Act of 1933, as amended, as amended prior to or after the
      date hereof, or any federal statute or statutes which shall be enacted to take
      the place of such Act, together with all rules and regulations promulgated
      thereunder.

     

    "Securities
      and Exchange Commission"
      shall
      mean the United States Securities and Exchange Commission or any successor
      to
      the functions of such agency.

     

    
      
        
        

      

      
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    IN
      WITNESS WHEREOF, the Corporation has caused this Warrant to be executed
      effective as of the date first above written.

     

    
      	 	 	 
	 	
              VALUERICH,
                INC. 

            
	 
 	 
 	 
 
	
            	By:  	 
	 	
              

              Joseph
                Visconti

            
	 	
              President,
                Chief Executive Officer and Chairman of the Board
                

            

    

     

     

    
      
        
        

      

      
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    EXHIBIT
      A

    

    SUBSCRIPTION
      FORM

     

    [To
      be
      executed only upon exercise of Warrant]

     

    ValueRich,
      Inc.

    1804
      North Dixie Highway, Suite A

    West
      Palm
      Beach, FL 33407

    Attn:
      Joseph Visconti, President and Chief Executive Officer 

    Fax:
      (____)_______________

    

    1. The
      undersigned registered owner hereby elects to purchase  
      shares
      of the Common Stock of ValueRich, Inc., a Delaware corporation (the “Company”),
      pursuant to the terms of the attached Warrant, and tenders herewith payment
      of
      the purchase price of such shares in full.

     

    2. The
      undersigned registered owner hereby elects to convert the attached Warrant
      into
      Common Stock of the Company through “cashless exercise” in the manner specified
      in the Warrant. This conversion is exercised with respect to
      _____________________ of the Shares covered by the Warrant.

     

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

     

    

    ___________________________________

    (Name
      of
      Registered Owner)

     

    ___________________________________

    (Signature
      of Registered Owner)

     

    ___________________________________

    (Street
      Address)

     

    ___________________________________

    (City)
      (State) (Zip Code)

     

    and,
      if
      such shares of Common Stock shall not include all of the shares of Common Stock
      issuable as provided in this Warrant, please deliver a new Warrant of like
      tenor
      and date for the balance of the shares of Common Stock issuable hereunder to
      the
      undersigned.

     

    
      
        
        

      

      
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      	NOTICE:  	
              The
                signature on this subscription must correspond with the name as written
                upon the face of the attached Warrant in every particular, without
                alteration or enlargement or any change whatsoever, and if the Warrant
                representing the shares or any Warrant Certificate representing Warrants
                not exercised is to be registered in a name other than that in which
                this
                Warrant is registered, the signature of the holder hereof must be
                guaranteed.

            

    

     

    
      
        
        

      

      
        Page
          11
          of 11LOCK-UP
      AGREEMENT

    

    

    Lane
      Capital Markets, LLC. 

    263
      Queens Grant Road

    Fairfield,
      CT 06824

    Attn:
      John D. Lane, CEO

    

    RE:    
      ValueRich,
      Inc. 

           
      Registration Statement on Form SB-2

       
      File No.: 333-13551

     

    

    Ladies
      and Gentlemen:

    

    The
      undersigned is a shareholder of ValueRich, Inc., a Delaware corporation (the
      “Company”), and wishes to facilitate the initial public offering (the
“Offering”) of up to 2,000,000 shares (the “Shares”) of the Company’s common
      stock, par value $0.01 per share the “Common Stock”). The Company has filed a
      Registration Statement on Form SB-2 (File No.: 333-135511) (the “Registration
      Statement”) with the Securities and Exchange Commission (the “SEC”) to register
      the Shares under the Securities Exchange Act of 1933, as amended (the
“Act”).

    

    In
      consideration of the foregoing, and in order to induce you to act as the
      representative of the underwriters in the Offering, the undersigned hereby
      agrees that he, she or it will not, without your prior written consent, for
      a
      period of twelve (12) months following the date the SEC declares the
      Registration Statement to be effective under the Act (the “Effective Date”),
      offer to sell, hypothecate, assign, contract to sell or otherwise sell
      (including without limitation in a short sale) or dispose of, whether or not
      for
      consideration, directly or indirectly, shares of Common Stock, or any options
      or
      warrants to purchase shares of Common Stock, or any other securities convertible
      into or exchangeable for shares of Common Stock, now owned or hereafter acquired
      by the undersigned or with respect to which the undersigned has the power of
      disposition, including securities representing stock dividends, stock splits,
      recapitalizations, and the like, that are granted to, or received by the
      undersigned during the term of this Agreement in connection with or as a result
      of its holdings of shares of Common Stock or pursuant to options, warrants
      or
      agreements as of the date hereof (collectively, the “Restricted Securities”).

    

    The
      undersigned hereby agrees to open an account with you to deposit the Restricted
      Securities owned by the undersigned in such account, except to the extent that
      any Restricted Securities are being held by a third party trustee pursuant
      to
      the requirements of law and as to which the undersigned does not have
      disposition rights (“Trustee Restricted Securities”). Except to the extent that
      Trustee Restricted Securities need not be deposited in an account with you,
      Trustee Restricted Securities shall be subject to all limitations on transfer
      or
      disposition provided for herein with respect to Restricted Securities.

    Notwithstanding
      the foregoing or anything contained herein to the contrary, the undersigned
      may
      transfer any shares or securities subject to this lock-up agreement either
      during his or her lifetime or on death by will or intestacy to an existing
      shareholder, a member of his or her immediate family or the immediate family
      of
      an existing shareholder, or to a trust the beneficiaries of which are
      exclusively the restricted person and/or a member or members of his or her
      immediate family; provided, however, that prior to any such transfer each
      transferee shall execute an agreement, satisfactory to the Lane Capital Markets,
      LLC, pursuant to which each transferee shall agree to receive and hold such
      restricted securities, subject to the provisions of this lock-up agreement,
      and
      there shall be no further transfer except in accordance with the provisions
      of
      this lock-up agreement. The term “immediate family” shall mean the spouse,
      lineal descendant, father, mother, brother or sister, inclusive of such
      relatives by adoption, of the transferor or existing shareholder and the
      immediate family of the spouse of the transferor or existing shareholder. If
      any
      of the Restricted Securities have exercise or conversion rights, the undersigned
      may exercise such rights, but the exercised or converted securities will also
      be
      deemed Restricted Securities and subject to this Agreement. On a case-by-case
      basis, subject to the prior written approval by the Company and at exchange
      values determined by the Company, the undersigned may use Restricted Securities
      in lieu of cash for the exercise or conversion of the rights, in which case
      you
      will release the certificate representing such Restricted Securities to the
      Company in exchange for the certificate representing the exercised or converted
      Securities.

     

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

      Furthermore,
        the undersigned hereby agrees that subsequent to the expiration of the twelve
        (12) month lock-up period, he, she or it will only dispose of or otherwise
        encumber any Restricted Securities when the sale price per share of Common
        Stock, adjusted for any splits, or any material change in capital structure
        via
        merger or business combination, trades above 60% of the initial offering
        price
        of the Shares for 20 consecutive business days; provided, further, that
        commencing twelve (12) months from the Effective Date, should the Common
        Stock
        trade above 60% of the initial offering price of the Shares for a 20 consecutive
        business day period, this Agreement shall automatically terminate. The lock-up
        expires in all cases on the third (3rd)
        anniversary date of the Effective Date.

     

    The
      undersigned understands that the covenants of the undersigned contained herein
      are irrevocable and shall be binding upon the undersigned’s heirs, legal
      representatives, successors and assignees. The undersigned agrees and consents
      to the entry of stock transfer instructions with the Company’s transfer agent
      against the transfer of Restricted Securities held by the undersigned except
      in
      compliance with this Agreement and to the placement of a restrictive legend
      referencing the existence of and restrictions imposed by this Agreement.

    

    This
      Agreement will be governed by the laws of the state of Delaware, without regard
      to its conflict of laws principles.

     

    
      
        	Very
                truly
                yours, 	 	 	 
	 	 	 	 
	Individuals
                Sign Here:	 	 	Entities
                Sign Here:
	
              	 	 	
              
	 	 	 	By: 
	
                
Shareholders’
Signature	 	 	
                
                  

                

                Name:

                Title:

              
	 	 	 	 
	
                

                Name
                  (print)

              	 	 	
              

      

    

     

    
      
        
        

      

      
        2

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