Document:

EXHIBIT 10.3

NEITHER THIS WARRANT NOR THE SHARES ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS AND NEITHER THIS WARRANT NOR THE SHARES ISSUABLE UPON EXERCISE OF THIS WARRANT MAY BE SOLD OR TRANSFERRED UNLESS THE REGISTRATION PROVISIONS OF THE SAID ACT AND APPLICABLE STATE SECURITIES LAWS HAVE BEEN COMPLIED WITH OR UNLESS COMPLIANCE WITH SUCH PROVISIONS IS NOT REQUIRED.

September 29, 2006

 

WILSON HOLDINGS, INC

COMMON STOCK PURCHASE WARRANT

Void after September 29, 2016

This Warrant (the “Warrant”) entitles [             ] (including any successors or assigns, the “Holder”), for value received, to purchase from Wilson Holdings, Inc., a Nevada corporation, at any time and from time to time, subject to the terms and conditions set forth herein, during the period starting from 5:00 a.m. on the Initial Exercise Date (as defined in Section 1 below) to 5:00 p.m., Eastern time, on the Expiration Date (as defined in Section 1 below) at which time this Warrant shall expire and become void, all or any portion of the vested Warrant Shares at the Exercise Price (as defined in Section 1 below). This Warrant also is subject to the following terms and conditions:

1.         Definitions. As used in this Warrant, the following terms shall have the respective meanings set forth below or elsewhere in this Warrant as referred to below:

“Affiliate” means any Person that, directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with, a Person, as such terms are used and construed under Rule 144, and any Person (or group of Persons) who share(s) voting or investment power or is (are) deemed a beneficial owner(s), as such terms are used and construed under Rule 13d-3 of the rules and regulations promulgated under the Securities Exchange Act of 1934, as amended, including, without limitation, any Person that serves as a general partner and/or investment adviser or in a similar capacity of a Person.

“Common Stock” means the common stock, $0.001 par value per share, of the Company (including any securities into which or for which such shares may be exchanged for, or converted into, pursuant to any stock dividend, stock split, stock combination, recapitalization, reclassification, reorganization or other similar event).

“Company” means Wilson Holdings, Inc., a Nevada corporation.

“Exercise Price” means $2.00 per share of Common Stock, as applicable and as adjusted from time to time pursuant to the terms of this Warrant.

 

 

 

“Expiration Date” means September 29, 2016.

“Fair Market Value” shall mean (i) if the Common Stock is traded on NASDAQ, then the last reported sale price per share of Common Stock on The NASDAQ Stock Market or any national securities exchange in which such Common Stock is quoted or listed, as the case may be, on the date immediately preceding each date the Warrant is exercised or, if no such sale price is reported on such date, such price on the next preceding business day in which such price was reported, (ii) if the Common Stock is traded over-the-counter with an average weekly trading volume as reported on the Pink Sheets of not less than 250,000 shares for each of the four full trading weeks ending on the trading day immediately preceding the date the Warrant is exercised, then the average of the closing bid and asked prices over the five (5) trading days ended on the
trading day immediately preceding each date the Warrant is exercised or (iii) if such Common Stock is not traded, quoted or listed on The NASDAQ Stock Market or any national securities exchange or the over-the-counter market, then the fair market value of a share of Common Stock, as determined in good faith by the Board of Directors of the Company.

“Holder” has the meaning set forth in the preamble of this Warrant.

“Initial Exercise Date” means the date on which this Warrant first vests in accordance with Section 2.2 hereof.

“Notes” means the 5% Convertible Notes due September 1, 2013 issued pursuant to the Securities Purchase Agreement.

“Person” (whether or not capitalized) means an individual, entity, partnership, limited liability company, corporation, association, trust, joint venture, unincorporated organization, and any government, governmental department or agency or political subdivision thereof.

“SEC” means the Securities and Exchange Commission

“Shares” means the shares of Common Stock issuable upon conversion of the Notes issued pursuant to the Securities Purchase Agreement.

“Securities Purchase Agreement” means that certain Securities Purchase Agreement dated September 29, 2006 by and between the Company and the initial Holders.

“Vesting Date” has the meaning set forth in Section 2.2 hereof.

“Warrant Shares” means an aggregate of [    ] shares of Common Stock, which amount shall be adjusted to give effect to all adjustments thereto provided for herein, including, without limitation, those set forth in Section 4 hereof.

 

	
             
  	
            
2.
 	
            Exercise of Warrant.
 

	
             
  	
            
2.1
 	
            Method of Exercise; Payment.
 

(a)             Cash Exercise.
Subject to all of the terms and conditions hereof (including the vesting
provisions set forth below), this Warrant may be exercised, in whole or in part,
with 

 

2

 

 

respect to any then vested Warrant Shares, at any time and from time to time during the period commencing on the Initial Exercise Date and ending at 5:00 p.m., Eastern Time, on the Expiration Date, by surrender of this Warrant to the Company at its principal office, accompanied by a subscription substantially in the form attached hereto, executed by the  Holder and accompanied by (a) wire transfer of immediately available funds or (b) certified or official bank check payable to the order of the Company, in each case in the amount obtained by multiplying (i)
the number of Warrant Shares for which the Warrant is being exercised, as designated in such subscription, by (ii) the Exercise Price. Thereupon, the Holder shall be entitled to receive the number of duly authorized, validly issued, fully paid and nonassessable Warrant Shares determined as provided for herein.

(b)             Cashless Exercise/Conversion. Subject to all of the terms and conditions hereof (including the vesting provisions set forth below), the Holder shall have the right to convert this Warrant, in whole or in part, with respect to any then vested Warrant Shares, at any time and from time to time during the period commencing on the Initial Exercise Date and ending at 5:00 p.m., Eastern Time, on the Expiration Date, by surrender of this Warrant to the Company at its principal office, accompanied by a conversion notice substantially in the form attached hereto, executed by the Holder. Thereupon, the Holder shall be entitled to receive a number of duly authorized, validly issued, fully paid and nonassessable Warrant Shares equal to:

(i)           (A) (x) the number of Warrant Shares (subject to adjustment as provided in Section 3 hereof) which such Holder would be entitled to receive upon exercise of such Warrant for the number of Warrant Shares designated in such conversion notice (without giving effect to any adjustment thereof pursuant to this subsection), multiplied by (y) the Fair Market Value of each such Warrant Share so receivable upon such exercise

minus

 

(B)   (x) the number of Warrant Shares (subject to adjustment as provided in Section 3 hereof) which such Holder would be entitled to receive upon exercise of such Warrant for the number of Warrant Shares designated in such conversion notice (without giving effect to any adjustment thereof pursuant to this subsection), multiplied by (y) the Exercise Price

divided by

 

	
             
  	
            (ii)
 	
            the Fair Market Value per Warrant Share.
 

2.2             Vesting. This Warrant shall become exercisable with respect to Warrant Shares (“vest”) as follows: (i) with respect to 25% of the Warrant Shares, on November 13, 2006, if a registration statement covering the resale of the Shares shall not have been filed with
the SEC by such date, (ii) with respect to an additional 25% of the Warrant
Shares, on January 27, 2007, if a registration statement covering the resale of
the Shares shall not have been declared effective by the SEC by such date and
remained continuously effective through such date, (iii) with respect to an
additional 25% of the Warrant Shares on February 26, 2007, if a registration
statement covering the resale of the Shares shall not have been declared
effective by the SEC by

 

3

 

 

such date and remained continuously effective through such date, and (iv) with
respect to the remaining 25% of the Warrant Shares, on March 28, 2007, if a registration statement covering the resale of the Shares shall not have been declared effective by the SEC by such date and remained continuously effective through such date; provided, however, that notwithstanding the foregoing, the Warrant Shares shall vest in accordance with clauses (i)-(iv) above only to the extent that, after giving effect to such vesting, such vesting will not result in the Holder (together with its Affiliates) owning, holding or beneficially owning more than 9.99% of the Common Stock (the “Ownership Limit”), and at any time, and from time to time, if the Holder (together with its Affiliates) owns, holds or beneficially owns a percentage less than the Ownership Limit, then this Warrant shall thereafter vest or continue to vest, first with respect to any Warrant Shares that would have vested in accordance with clauses (i)-(iv) above but for the Ownership Limit and second, otherwise in accordance with clauses (i)-(iv) above, but in each case, again, only to the extent that, after giving effect to such vesting, such vesting will not result in
the Holder (together with its Affiliates) owning, holding or beneficially owning more than the Ownership Limit; provided further that if this Warrant does not vest and become exercisable for any Warrant Shares in accordance with this paragraph, then this Warrant shall become null and void.

2.3              Delivery of Stock Certificates on Exercise. As soon as practicable after the exercise of this Warrant, and in any event within three (3) business days thereafter, the Company, at its expense, and in accordance with applicable securities laws, will cause to be issued in the name of and delivered to the Holder, or as the Holder may direct (subject in all cases, to the provisions of Section 8 hereof), a certificate or certificates for the number of Warrant Shares purchased by the Holder on such exercise, plus, in lieu of any fractional share to which the Holder would otherwise be entitled, cash equal to such
fraction multiplied by the Fair Market Value.

2.4              Shares To Be Fully Paid and Nonassessable. All Warrant Shares issued upon the exercise of this Warrant shall be validly issued, fully paid and nonassessable, free of all liens, taxes, charges and other encumbrances or restrictions on sale (other than those set forth herein).

2.5             Fractional Shares. No fractional shares of Common Stock or scrip representing fractional shares of Common Stock shall be issued upon the exercise of this Warrant. With respect to any fraction of a share of Common Stock called for upon any exercise hereof, the Company shall make a cash payment to the Holder as set forth in Section 2.3 hereof.

2.6             Issuance of New Warrants; Company Acknowledgment. Upon any partial exercise of this Warrant, the Company, at its expense, will forthwith and, in any event within three (3) business days, issue and deliver to the Holder a new warrant or warrants of like tenor, registered in the name of the Holder, exercisable, in the aggregate, for the balance of the Warrant Shares. Moreover, the Company shall, at the time of any exercise of this Warrant, upon the request of the Holder, acknowledge in writing its continuing obligation to afford to the Holder any rights to which the Holder shall continue to be entitled after such exercise in accordance with the provisions of this Warrant; provided, however, that if the Holder shall fail to make any such request, such f
ailure shall not affect the continuing obligation of the Company to afford to the Holder any such rights.

 

4

 

 

2.7             Payment of Taxes and Expenses. The Company shall pay any recording, filing, stamp or similar tax which may be payable in respect of any transfer involved in the issuance of, and the preparation and delivery of certificates (if applicable) representing, (i) any Warrant Shares purchased upon exercise of this Warrant and/or (ii) new or replacement warrants in the Holder’s name or the name of any transferee of all or any portion of this Warrant.

3.             Payment of Exercise Price. The Exercise Price for the Warrant Shares being purchased may be paid (i) in cash, by certified check or by wire transfer to an account designated in writing by the Company, (ii) by the Holder surrendering a number of Warrant Shares having a Fair Market Value on the date of exercise equal to, greater than (but only if by a fractional share) or less than the required aggregate Exercise Price, in which case the Holder shall receive the number of Warrant Shares to which it would otherwise be entitled upon such exercise, less the surrendered shares, or (iii) any combination of the methods described in the foregoing clauses (i) and (ii).

4.            Adjustment of Exercise Price. The Exercise Price shall be subject to adjustment from time to time upon the happening of certain events as follows:

4.1              Subdivision or Combination of Stock. If at any time or from time to time after the date hereof, the Company shall subdivide (by way of stock dividend, stock split or otherwise) its outstanding shares of Common Stock, the Exercise Price in effect immediately prior to such subdivision shall be reduced proportionately and the number of Warrant Shares (calculated to the nearest whole share) shall be increased proportionately such that the number of Warrant Shares after such subdivision shall constitute the same percentage of Common Stock (calculated on a fully diluted basis) as the Warrant Shares had represented immediately preceding the subdivision, and conversely, in the event the outstanding shares
of Common Stock shall be combined (whether by stock combination, reverse stock split or otherwise) into a smaller number of shares, the Exercise Price in effect immediately prior to such combination shall be increased proportionately and the number of Warrant Shares (calculated to the nearest whole share) shall be reduced proportionately such that the number of Warrant Shares after such combination shall constitute the same percentage of Common Stock (calculated on a fully diluted basis) as the Warrant shares had represented immediately preceding the combination. The Exercise Price and the number of Warrant Shares, as so adjusted, shall be readjusted in the same manner upon the happening of any successive event or events described in this Section 4.1.

4.2             Adjustment for Stock Dividends. If at any time after the date hereof, the Company shall declare a dividend or make any other distribution upon any class or series of stock of the Company payable in shares of Common Stock or securities convertible into shares of Common Stock, the Exercise Price and the number of Warrant Shares to be obtained upon exercise of this Warrant shall be adjusted proportionately to reflect the issuance of any shares of Common Stock or convertible securities, as the case may be, issuable in payment of such dividend or distribution. The Exercise Price and the number of Warrant Shares, as so adjusted, shall be readjusted in the same manner upon the happening of any successive event or events described in this
 Section 4.2.

 

 

5

 

 

4.3             Adjustments for Reclassifications. If the Common Stock issuable
upon the conversion of this Warrant shall be changed into the same or a
different number of shares of any class(es) or series of stock, whether by reclassification or otherwise (other than an adjustment under Sections 4.1 and 4.2 or a merger, consolidation, or sale of assets provided for under Section 4.4), then and in each such event, the Holder hereof shall have the right thereafter to convert each Warrant Share into the kind and amount of shares of stock and other securities and property receivable upon such reclassification, or other change by holders of the number of shares of Common Stock into which such Warrant Shares would have
been convertible immediately prior to such reclassification or change, all subject to successive adjustments thereafter from time to time pursuant to and in accordance with, the provisions of this Section 4.

4.4             Adjustments for Merger or Consolidation. In the event that, at any time or from time to time after the date hereof, the Company shall (a) effect a reorganization, (b) consolidate with or merge into any other Person, (c) sell or transfer all or substantially all of its properties or assets, or (d) sell or transfer more than 50% of the voting capital stock of the Company (whether issued and outstanding, newly issued, from treasury, or any combination thereof) to any other person under any plan or arrangement contemplating the consolidation or merger, sale or transfer, or dissolution of the Company, then, in each such case, the Holder, upon the exercise of this Warrant as provided in Section 2.1 hereof at
any time or from time to time after the consummation of such reorganization, consolidation, merger or sale or the effective date of such dissolution, as the case may be, shall receive, in lieu of the Warrant Shares issuable on such exercise immediately prior to such consummation or such effective date, as the case may be, the stock and property (including cash) to which the Holder would have been entitled upon the consummation of such consolidation or merger, or sale or transfer, or in connection with such dissolution, as the case may be, if the Holder had so exercised this Warrant immediately prior thereto (assuming the payment by the Holder of the Exercise Price therefor as required hereby in a form permitted hereby, which payment shall be included in the assets of the Company for the purposes of determining the amount available for distribution), all subject to successive adjustments thereafter from time to time pursuant to, and in accordance with, the provisions of this Section
4.

4.5             Continuation of Terms. Upon any reorganization, consolidation, merger or transfer (and any dissolution following any such transfer) referred to in this Section 4, this Warrant shall continue in full force and effect and the terms hereof shall be applicable to the shares of Common Stock and other securities and property receivable upon the exercise of this Warrant after the consummation of such reorganization, consolidation or merger or the effective date of dissolution following any such transfer, as the case may be, and shall be binding upon the issuer of any such Common Stock or other securities, including, in the case of any such transfer, the Person acquiring all or substantially all of the
properties or assets or more than 50% of the voting capital stock of the Company (whether issued and outstanding, newly issued or from treasury or any combination thereof), whether or not such Person shall have expressly assumed the terms of this Warrant.

4.6             Certificate as to Adjustments. 
Upon the occurrence of each adjustment or readjustment of the Exercise Price and
number of Warrant Shares pursuant to this Section 4, this Warrant shall, without
any action on the part of the Holder, be adjusted in accordance with this
Section 4, and the Company, at its expense, promptly shall compute such
adjustment or readjustment in accordance with the terms hereof and prepare and
furnish to the Holder a certificate setting forth such adjustment or
readjustment, showing in detail

 

6

 

 

the facts upon which such adjustment or readjustment is based. The Company will forthwith send a copy of each such certificate to the Holder in accordance with Section 10.4 below.

5.              Registration Rights. The Warrant Shares shall be entitled to registration rights and all other rights as applicable to such shares in accordance with that certain Registration Rights Agreement, dated as of the date hereof, as amended, by and among the Company and the Investors named therein.

6.              Notices of Record Date. Upon (a) any establishment by the Company of a record date of the holders of any class of securities for the purpose of determining the holders thereof who are entitled to receive any dividend or other distribution, or right or option to acquire securities of the Company, or any other right, or (b) any capital reorganization, reclassification, recapitalization, merger or consolidation of the Company with or into any other corporation, any transfer of all or substantially all the assets of the Company, or any voluntary or involuntary dissolution, liquidation or winding up of the Company, or the sale, in a single transaction, of a majority of the Company’s
voting stock (whether newly issued, or from treasury, or previously issued and then outstanding, or any combination thereof), the Company shall mail to the Holder at least ten (10) business days, or such longer period as may be required by law, prior to the record date specified therein, a notice specifying (i) the date established as the record date for the purpose of such dividend, distribution, option or right and a description of such dividend, distribution, option or right, (ii) the date on which any such reorganization, reclassification, transfer, consolidation, merger, dissolution, liquidation or winding up, or sale is expected to become effective and (iii) the date, if any, 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.

7.             Exchange of Warrant. Subject to the provisions of Section 8 hereof (if and to the extent applicable), this Warrant shall be exchangeable, upon the surrender hereof by the Holder at the principal office of the Company, for new warrants of like tenor, each registered in the name of the Holder or in the name of such other persons as the Holder may direct (upon payment by the Holder of any applicable transfer taxes). Each of such new warrants shall be exercisable for such number of Warrant Shares as the Holder shall direct, provided that all of such new warrants shall represent, in the aggregate, the right to purchase the same number of Warrant Shares and
cash, securities or other property, if any, which may be purchased by the Holder upon exercise of this Warrant at the time of its surrender.

	
             
  	
            
8.
 	
            Transfer Provisions, etc.  
 

8.1             Legends. Each certificate representing any Warrant Shares issued upon exercise of this Warrant, and of any shares of Common Stock into which such Warrant Shares may be converted, shall bear the following legend:

“THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE OFFERED OR SOLD IN THE
ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT UNDER SAID
ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, REGISTRATION UNDER SAID ACT.” 

7

 

 

	
             
  	
            
8.2
 	
            Mechanics of Transfer.
 

(a)             Any transfer of all or any portion of this Warrant (and the Warrant Shares), or of any interest herein or therein, that is otherwise in compliance with applicable law shall be effected by surrendering this Warrant to the Company at its principal office, together with a duly executed form of assignment, in the form attached hereto. In the event of any such transfer of this Warrant, the Company shall issue a new warrant or warrants of like tenor to the transferee(s), representing, in the aggregate, the right to purchase the same number of Warrant Shares and cash, securities or other property, if any, which may be purchased by the Holder upon exercise of this Warrant at the time of its surrender. 

(b)             In the event of any transfer of all or any portion of this Warrant in accordance with Section 8.2(a) above, the Company shall issue (i) a new warrant of like tenor to the transferee, representing the right to purchase the number of Warrant Shares, and cash, securities or other property, if any, which were purchasable by the Holder of the transferred portion of this Warrant, and (ii) a new warrant of like tenor to the Holder, representing the right to purchase the number of Warrant Shares, and cash, securities or other property, if any, purchasable by the Holder of the un-transferred portion of this Warrant. Until this Warrant or any portion thereof is transferred on the books of the Company, the Company may treat the Holder as the absolute holder of this Warrant
and all right, title and interest therein for all purposes, notwithstanding any notice to the contrary.

8.3              No Restrictions on Transfer. Subject to compliance with applicable securities laws, this Warrant and any portion hereof, the Warrant Shares and the rights hereunder may be transferred by the Holder in its sole discretion at any time and to any Person or Persons, including without limitation Affiliates and affiliated groups of such Holder, without the consent of the Company.

8.4             Warrant Register. The Company shall keep at its principal office a register for the registration, and registration of transfers, of the Warrants. The name and address of each Holder of one or more of the Warrants, each transfer thereof and the name and address of each transferee of one or more of the Warrants shall be registered in such register. The Company shall give to any Holder of a Warrant promptly upon request therefor, a complete and correct copy of the names and addresses of all registered Holders of the Warrants.

9.             Lost, Stolen or Destroyed Warrant. Upon receipt by the Company of evidence satisfactory to it of loss, theft, destruction or mutilation of this Warrant and, in the case of loss, theft or destruction, on delivery of a customary affidavit of the Holder and indemnity agreement, or, in the case of mutilation, upon surrender of this Warrant, the Company at its expense will execute and deliver, or will instruct its transfer agent to execute and deliver, a new Warrant of like tenor and date, and any such lost, stolen or destroyed Warrant thereupon shall become void.

8

 

 

	
             
  	
            
10.
 	
            General.
 

10.1             Authorized Shares, Reservation of Shares for Issuance. At all times while this Warrant is outstanding, the Company shall maintain its corporate authority to issue, and shall have authorized and reserved for issuance upon exercise of this Warrant, such number of shares of Common Stock, any other capital stock or other securities as shall be sufficient to perform its obligations under this Warrant (after giving effect to any and all adjustments to the number and kind of Warrant Shares purchasable upon exercise of this Warrant).

10.2              No Impairment. The Company will not, by amendment of its Certificate of Incorporation or through any reorganization, transfer of assets, consolidation, merger, dissolution, issuance or sale of securities, sale or other transfer of any of its assets or properties, 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 carry out all such terms and take such action as may be necessary or appropriate in order to protect the rights of the Holder hereunder against impairment. Without limiting the generality of the foregoing, the Company (a) will not increase the par value of any shares of Common Stock
receivable upon the exercise of this Warrant above the amount payable therefor on such exercise, and (b) will take all action that may be necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable shares of Common Stock upon the exercise of this Warrant.

10.3              No Rights as Stockholder. The Holder shall not be entitled to vote or to receive dividends or to be deemed the holder of Common Stock that may at any time be issuable upon exercise of this Warrant for any purpose whatsoever, nor shall anything contained herein be construed to confer upon the Holder any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or to give or withhold consent to any corporate action (whether upon any recapitalization, issuance or reclassification of stock, change of par value or change of stock to no par value, consolidation, merger or conveyance or otherwise),
or to receive notice of meetings (except to the extent otherwise provided in this Warrant), or to receive dividends or subscription rights, until the Holder shall have exercised this Warrant and been issued Warrant Shares in accordance with the provisions hereof.

10.4              Notices. All notices, requests, consents and other communications hereunder shall be in writing and shall be deemed to have been given if personally delivered or delivered by overnight courier or mailed by first-class registered or certified mail, postage prepaid, return receipt requested, or sent by fax machine, addressed as follows:

	
             
  	
            
(a)
 	
            if to the Company at:
 

Wilson Holdings, Inc.

2700 Via Fortuna, Suite 400

Austin, Texas 78746

Attention:  Chief Financial Officer

Fax: (512) 732-0959

 

9

 

 

with copies to:

Andrews Kurth LLP

111 Congress Avenue, Suite 1700

Austin, Texas 78701

Attention: Carmelo Gordian

Fax: (512) 320-9292

 

(b)             if to the Holder, at the Holder’s address appearing in the books maintained by the Company.

11.             Amendment and Waiver. No failure or delay of the Holder in exercising any power or right hereunder shall operate as a waiver thereof, nor shall any single or partial exercise of any such right or power, or any abandonment or discontinuance of steps to enforce such a right or power, preclude any other or further exercise thereof or the exercise of any other right or power. The rights and remedies of the Holder are cumulative and not exclusive of any rights or remedies which it would otherwise have. The terms of this Warrant may be amended, modified or waived only with the written consent of the Company and the Holder.

12.             Governing Law. This Warrant shall be governed by and construed in accordance with the laws of the State of New York, as such laws are applied to contracts entered into and wholly to be performed within the State of New York and without giving effect to any principles of conflicts or choice of law that would result in the application of the laws of any other jurisdiction.

13.             Covenants To Bind Successor and Assigns. All covenants, stipulations, promises and agreements in this Warrant contained by or on behalf of the Company shall bind its successors and assigns, whether so expressed or not.

14.              Severability. In case any one or more of the provisions contained in this Warrant shall be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereby. The parties shall endeavor in good faith negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions.

15.             Construction. The definitions of this Warrant shall apply equally to both the singular and the plural forms of the terms defined. Wherever the context may require, any pronoun shall include the corresponding masculine, feminine and neuter forms. The section and paragraph headings used herein are for convenience of reference only, are not part of this Warrant and are not to affect the construction of or be taken into consideration in interpreting this Warrant.

16.              Remedies.
The Holder, in addition to being entitled to exercise all rights granted by law,
including recovery of damages, will be entitled to specific performance of its
rights under this Warrant. The Company agrees that monetary damages would not be
adequate compensation for any loss incurred by reason 

 

10

 

 

of a breach by it of the provisions of this Warrant and hereby agrees to waive
the defense in any action for specific performance that a remedy at law would be adequate. In any action or proceeding brought to enforce any provision of this Warrant or where any provision hereof is validly asserted as a defense, the successful party to such action or proceeding shall be entitled to recover reasonable
attorneys’ fees in addition to any other available remedy.

 

[SIGNATURE PAGE FOLLOWS]

 

 

 

 

 

 

 

 

 

 

 

11

 

 

IN WITNESS WHEREOF, the Company has executed this Common Stock Purchase Warrant as of the date first set forth above.

 

COMPANY:

 

WILSON HOLDINGS, INC.

 

	
             
 	
            By:
 	
             
	
             	
             	
            Clark Wilson,  
	
             	
             	
            President and Chief Executive Officer

 

 

 

 

 

 

 

 

 

 

 

 

 

[SIGNATURE PAGE TO COMMON STOCK PURCHASE WARRANT]

 

 

 

NOTICE AND

SUBSCRIPTION

 

	
            To:
 	
            WILSON HOLDINGS, INC.
 	
            Date:
 	
             

	
             
 	
            2700 Via Fortuna, Suite 400
 

	
             
 	
            Austin, TX 78746
 

 

 

The undersigned hereby irrevocably elects to exercise the right of purchase represented by the attached Warrant for, and to exercise thereunder, __________ shares of Common Stock, of WILSON HOLDINGS, INC., a Nevada corporation, and tenders herewith payment of $__________, representing the aggregate purchase price for such shares based on the price per share provided for in such Warrant. Such payment is being made in accordance with Section 2.1(a) of the attached Warrant.

Please issue a certificate or certificates for such shares of Common Stock in the following name or names and denominations and deliver such certificate or certificates to the person or persons listed below at their respective addresses set forth below:

 

                                          
                                          
         

                                          
                                          
         

                                          
                                          
         

                                          
                                          
         

 

If said number of shares of Common Stock shall not be all the shares of Common Stock issuable upon exercise of the attached Warrant, a new Warrant is to be issued in the name of the undersigned for the balance remaining of such shares of Common Stock less any fraction of a share of Common Stock paid in cash.

	
            
Dated:  ___________, ____
 	
             
	
             	
            Signature

 

The undersigned Wilson Holdings, Inc. hereby acknowledges receipt of this Notice and Subscription and authorizes issuance of the shares of Common Stock described above.

Wilson Holdings, Inc.

 

	
            By:
 	
             

	
            Title:
 	
             
	
            Date:	
             

 

 

 

 

 FORM OF ASSIGNMENT

 

(To be executed upon assignment of Warrant)

 

For value received, __________________________________ hereby sells, assigns and transfers unto __________________ the attached Warrant [__% of the attached Warrant], together with all right, title and interest therein, and does hereby irrevocably constitute and appoint ____________________ attorney to transfer said Warrant [said percentage of said Warrant] on the books of WILSON HOLDINGS, INC., a Nevada corporation, with full power of substitution in the premises.

If not all of the attached Warrant is to be so transferred, a new Warrant is to be issued in the name of the undersigned for the balance of said Warrant.

The undersigned hereby agrees that it will not sell, assign, or transfer the right, title and interest in and to the Warrant unless applicable federal and state securities laws have been complied with.

 

 

	
            
Dated:  ___________, ____
 	
             
	
             	
            Signature

 

 

 

 

FORM OF CONVERSION NOTICE

 

	
            To:
 	
            WILSON HOLDINGS, INC.
 	
            Date:
 	
             

	
             
 	
            2700 Via Fortuna, Suite 400
 

	
             
 	
            Austin, TX 78746
 

 

The undersigned registered holder of the attached Warrant hereby irrevocably converts such Warrants with respect to ________ 1Warrant Shares which such holder would be entitled to receive upon the exercise hereof, and requests that the certificates for such shares be issued in the name of, and delivered to _________________, whose address is as follows:

 

                                          
                                          
         

                                          
                                          
         

                                          
                                          
         

                                          
                                          
         

 

Such conversion is being made in accordance with Section 2.1(b) of the attached Warrant. The undersigned hereby represents and warrants as follows: 

(a)           the undersigned is acquiring such shares of Common Stock for its own account for investment and not for resale or with a view to distribution thereof in violation of the Securities Act; and

(b)           the undersigned is an “accredited investor” as defined in Rule 501 of Regulation D promulgated under the Securities Act and was not organized for the purpose of acquiring the Warrant or such shares of Common Stock. The undersigned’s financial condition is such that it is able to bear the risk of holding such securities for an indefinite period of time and the risk of loss of its entire investment. The undersigned has sufficient knowledge and experience in investing in companies similar to the Company so as to be able to evaluate the risks and merits of its investment in the Company.

	
            Dated:
 	
             

	 	 
	 	(Signature must conform in all respects to name of holder as specified on the face of Warrant)
	 	 
	 	(Street Address)
	 	 
	 	(City)	(State)	(Zip Code)

 

The undersigned Wilson Holdings, Inc. hereby acknowledges receipt of this Conversion Notice and authorizes issuance of the shares of Common Stock described above.

Wilson Holdings, Inc.

 

 

	
            By:
 	
             

	
            Title:
 	
             
	
            Date:	
             

 

	
             

1 Insert here the number of Warrant Shares into which the Warrant is convertible (or, in the case of a partial conversion, the number of Warrant Shares as to which the Warrants evidenced by this Warrant Certificate are then being converted). In the case of a partial conversion, a new Warrant Certificate will be issued and delivered, representing the unconverted portion of the Warrants, to the holder surrendering this Warrant Certificate.EXHIBIT 10.1

Securities  Purchase  Agreement

     SECURITIES  PURCHASE  AGREEMENT

     This  Securities  Purchase Agreement (the "Agreement"), dated as of the 1st
day  of  October,  2006  by  and  between  AVENTURA  HOLDINGS,  INC.,  a Florida
corporation  ("AVENTURA"),  and OHIO FUNDING GROUP, INC., a Michigan corporation
("OHIO  FUNDING"),  together with its controlling shareholder, HORVATH HOLDINGS,
LLC,  a  Michigan limited liability company ("HORVATH"), and made with reference
to  the  following:

A.          AVENTURA  is a publicly held corporation organized under the laws of
the  State  of  Florida;

B.          HORVATH  is  a  privately  held  limited liability company organized
under  the  laws  of the State of Michigan and a controlling shareholder of OHIO
FUNDING;

C.          OHIO  FUNDING  is  a  privately held corporation organized under the
laws of the State of Michigan and has authorized capital stock of Fifty Thousand
(50,000)  common shares,  no par value, of which One Thousand (1,000) shares are
issued  and  outstanding;

D.          The  Managers  of  HORVATH  have deemed it advisable and in the best
interests  of  HORVATH  to  partially exercise the Class A Common Stock Purchase
Warrant  issued  to  HORVATH  on  May  16,  2006  by  AVENTURA  ("Warrant"); and

E.          Pursuant  to  the  terms  of the Warrant, AVENTURA, HORVATH and OHIO
FUNDING  propose  to enter into this Agreement which provides among other things
that  Two  Hundred  Million  (200,000,000) shares of common stock of AVENTURA be
acquired  by HORVATH in exchange for HORVATH'S assignment to AVENTURA  of Thirty
Percent  (30%) of the outstanding shares of OHIO FUNDING with an agreed value of
One  Hundred  Thousand  Dollars ($100,000) (being the "Purchase Price"), as more
fully  described  in  the  Agreement.

     NOW,  THEREFORE,  in  consideration of the mutual promises contained herein
and  other good and valuable consideration, receipt and sufficiency of which are
hereby  acknowledged,  the  parties  hereto  agree  as  follows:

                                    ARTICLE 1
                                 THE ACQUISITION

1.1     PURCHASE AND SALE OF SHARES.  At the "Closing" (as hereinafter defined),
AVENTURA  shall  assign  and  sell  to  HORVATH  and HORVATH shall purchase from
AVENTURA  Two  Hundred  Million  (200,000,000)  shares  its  duly authorized but
unregistered  (and  exempt from registration) shares of common stock of AVENTURA
(the  "Aventura  Shares")  in  exchange  for payment of the "Purchase Price" (as
hereinafter  defined).

<PAGE>

1.2     PURCHASE  PRICE.  Pursuant  to  the  terms  of the Warrant, the Purchase
Price shall equal HORVATH'S assignment to AVENTURA of Three Hundred (300) common
shares,  which represents Thirty Percent (30%) of the outstanding shares of OHIO
FUNDING,  with  an agreed value of one hundred thousand dollars ($100,000)  (the
"Ohio  Funding  Shares").  AVENTURA shall deliver the Aventura Shares to HORVATH
for  the  Purchase  Price  and  HORVATH shall deliver the Ohio Funding Shares to
AVENTURA.

1.3     Following  the  Closing,  there  will  be a total of Three Billion Forty
Three  Million  Four  Hundred  and  Forty Three Thousand Five Hundred and Twenty
Seven  (3,043,443,527)  common  shares,  $.0001  par value per share, issued and
outstanding  in  AVENTURA.

1.4     At  Closing,  HORVATH shall execute and deliver to AVENTURA that certain
Investment  Representation  Statement,  the  form of which is attached hereto as
Exhibit  A.

                                    ARTICLE 2
                                   THE CLOSING

2.1     The consummation of the transactions contemplated by this Agreement (the
"Closing")  shall  take  place  at  the  offices of Dickinson Wright PLLC in Ann
Arbor,  Michigan,  or  another  location  to be mutually determined, on or about
October 1, 2006 (the "Closing Date"), or at such other place or date and time as
may  be  agreed  to  by the parties hereto.  The parties may exchange documents,
execution  copies,  schedules  and/or  any  other  closing  items via electronic
exchange,  email,  facsimile  or  otherwise to facilitate a Closing in the event
that  all  parties  are  not  in  the  same  location  on  the  Closing  Date.

2.2     The  following  conditions  are  a  part  of  this Agreement and must be
completed  on the Closing Date, or such other date specified by the parties: all
schedules  to  this  Agreement  shall  have been completed and submitted to both
parties  except  that either party may indicate, by execution of a waiver on the
page  indicted  for  each such schedule that such schedule may be delivered as a
post-closing  item.

                                    ARTICLE 3
                   REPRESENTATIONS AND WARRANTIES OF AVENTURA

3.1     AVENTURA  hereby  represents  and  warrants  to OHIO FUNDING as follows:

(a)     ORGANIZATION,  STANDING  AND  POWER.  AVENTURA  is  a  corporation  duly
organized,  validly existing and in good standing under the laws of the State of
Florida  with  all  requisite corporate power to own or lease its properties and
carry  on  its  businesses  as  are  now  being  conducted.

(b)     QUALIFICATION.  AVENTURA  is duly qualified and is licensed as a foreign
corporation  authorized  to do business in each jurisdiction wherein it conducts
its  business operations where in each jurisdiction the failure to qualify would
have  a  material  adverse  effect  on AVENTURA or its business operations. Such
jurisdictions,  which  are  the  only  jurisdictions  in  which AVENTURA is duly
qualified  and  licensed  as  a  foreign  corporation,  are shown in Schedule A.

<PAGE>

(c)     AUTHORITY.  The  execution  and  delivery  of  this  Agreement  and
consummation  of  the transactions contemplated herein have been duly authorized
by  all  necessary  corporate  actions,  including  but  not limited to duly and
validly  authorized  action  and approval by the Board of Directors of AVENTURA.
This  Agreement  constitutes  the  valid  and  binding  obligation  of  AVENTURA
enforceable  against  it in accordance with its terms, subject to the principles
of  equity applicable to the availability of the remedy of specific performance.
This Agreement has been duly executed by AVENTURA and the execution and delivery
of  this Agreement and the consummation of the transactions contemplated by this
Agreement  shall  not  result  in  any  breach  of  any  terms  or provisions of
AVENTURA's  Articles  of  Incorporation  or  Bylaws  or  any document or charter
governing  its investments or purchases of securities or of any other agreement,
court  order  or  instrument  to  which  AVENTURA  is  a  party  or  bound  by.

(d)     ABSENCE  OF  UNDISCLOSED  LIABILITIES.  AVENTURA  has  no  material
liabilities of any nature, whether fixed, absolute, contingent or accrued, which
were  not  reflected  on  the  financial  statements  set forth in Schedule A or
otherwise  disclosed  in  this  Agreement  or  any  of the Schedules or Exhibits
attached  hereto.

(e)     TAX  MATTERS.  All taxes and other assessments and levies which AVENTURA
is  required  by  law  to  withhold  or  to  collect have been duly withheld and
collected,  and  have been paid over to the proper government authorities or are
held  by  AVENTURA in separate bank accounts for such payment or are represented
by  depository receipts, and all such withholdings and collections and all other
payments  due in connection therewith (including, without limitation, employment
taxes,  both  the  employee's  and  employer's share) have been paid over to the
government or placed in a separate and segregated bank account for such purpose.
There are no known deficiencies in income taxes for any periods and further, the
representations  and  warranties  as  to  absence  of  undisclosed  liabilities
contained  in  Section 3.1(d) includes any and all tax liabilities of whatsoever
kind  or  nature  (including,  without limitation, all federal, state, local and
foreign  income,  profit,  franchise,  sales,  use and property taxes) due or to
become  due,  incurred  in respect of or measured by AVENTURA income or business
prior  to  the  Closing  Date.

(f)     OPTIONS,  WARRANTS,  ETC.  Except  as  otherwise provided in the Warrant
and/or  as  described in Schedule A, there are no outstanding options, warrants,
calls,  commitments  or  agreements  of  any  character to which AVENTURA or its
shareholders  are a party or by which AVENTURA or its shareholders are bound, or
are  a party, calling for the issuance of shares of capital stock of AVENTURA or
any  securities representing the right to purchase or otherwise receive any such
capital  stock  of  AVENTURA.

<PAGE>

(g)     TITLE  TO ASSETS.  Except for liens set forth in Schedule A, AVENTURA is
the  sole and unconditional owner of, with good and marketable title to, all the
assets  and  patents  listed  in  the  schedules  as owned by them and all other
property and assets are free and clear of all mortgages, liens, pledges, charges
or  encumbrances  of  any  nature  whatsoever.

(h)     AGREEMENTS IN FORCE AND EFFECT.  Except as set forth in Schedule  A, all
material  contracts,  agreements,  plans,  promissory  notes, mortgages, leases,
policies,  licenses,  franchises  or  similar instruments to which AVENTURA is a
party  are  valid  and in full force and effect on the date hereof, and AVENTURA
has  not  breached  any  material  provision  of,  and  is not in default in any
material  respect  under  the  terms  of,  any  such  contract, agreement, plan,
promissory  note,  mortgage,  lease,  policy,  license,  franchise  or  similar
instrument which breach or default would have a material adverse effect upon the
business,  operations  or  financial  condition  of  AVENTURA.

(i)     LEGAL  PROCEEDINGS,  ETC.  There are no civil, criminal, administrative,
arbitration  or  other  such  proceedings  or  investigations  pending or to the
knowledge  of  AVENTURA, threatened, in which, individually or in the aggregate,
an  adverse  determination  would  materially  and  adversely affect the assets,
properties,  business or income of AVENTURA. AVENTURA has substantially complied
with, and is not in default in any material respect under, any laws, ordinances,
requirements,  regulations  or  orders  applicable  to  its  businesses.

(j)     GOVERNMENTAL REGULATION.  To the knowledge of AVENTURA and except as set
forth  in Schedule A, AVENTURA is not in violation of or in default with respect
to  any applicable law or any applicable rule, regulation, order, writ or decree
of  any  court  or  any  governmental  commission,  board,  bureau,  agency  or
instrumentality,  or  delinquent with respect to any report required to be filed
with any governmental commission, board, bureau, agency or instrumentality which
violation  or  default  could  have a material adverse effect upon the business,
operations  or  financial  condition  of  AVENTURA.

(k)     BROKERS  AND  FINDERS.  AVENTURA shall be solely responsible for payment
to any broker or finder retained by AVENTURA for any brokerage fees, commissions
or  finders'  fees  in  connection  with  the  transactions contemplated herein.
AVENTURA  has  not  agreed  to  pay  any  fees  or  commissions  to  any  party.

(l)     ACCURACY  OF  INFORMATION.  No  representation  or  warranty by AVENTURA
contained  in  this  Agreement and no statement contained in any public filings,
certificate or other instrument delivered or to be delivered to HORVATH pursuant
hereto  or  in  connection  with the transactions contemplated hereby (including
without  limitation  all Schedules and exhibits hereto) contains or will contain
any  untrue  statement  of  material  fact  or  omits  or will omit to state any
material  fact  necessary  in  order  to make the statements contained herein or
therein  not  misleading.

<PAGE>

(m)     CONSENTS.  Except as listed in Schedule A, no consent or approval of, or
registration,  qualification or filing with, any governmental authority or other
person is required to be obtained or accomplished by AVENTURA or any shareholder
thereof  in  connection  with  the consummation of the transactions contemplated
hereby.

(n)     IMPROPER PAYMENTS.  Neither AVENTURA, nor any person acting on behalf of
AVENTURA  has  made  any  payment  or  otherwise  transmitted anything of value,
directly  or  indirectly,  to  (a)  any  official or any government or agency or
political  subdivision  thereof  for  the  purpose  of  influencing any decision
affecting  the business of AVENTURA, (b) any customer, supplier or competitor of
AVENTURA  or  employee of such customer, supplier or competitor, for the purpose
of obtaining, retaining or directing business for AVENTURA, or (c) any political
party  or  any candidate for elective political office nor has any fund or other
asset  of AVENTURA been maintained that was not fully and accurately recorded on
the  books  of  account  of  AVENTURA.

(o)     COPIES  OF  DOCUMENTS.  AVENTURA  has  made available for inspection and
copying by HORVATH and its duly authorized representatives, and will continue to
do  so at all times, true and correct copies of all documents which it has filed
with  the Securities and Exchange Commission and all other governmental agencies
which  are  material  to  the  terms and conditions contained in this Agreement.
Furthermore,  to  the  best knowledge of the Board of Directors of AVENTURA, all
filings  by AVENTURA, with the Securities and Exchange Commission, and all other
governmental  agencies,  including  but  not  limited  to  the  Internal Revenue
Service,  have  contained information which is true and correct, in all material
respects  and  do not contain any untrue statement of a material fact or omit to
state  any  material  fact  necessary  to  make  the statements made therein not
misleading  or  which  could have any material adverse effect upon the financial
condition  or  operations  of  AVENTURA.

(p)     INVESTMENT  INTENT OF SHAREHOLDERS.  AVENTURA represents and warrants to
HORVATH and OHIO FUNDING that the Ohio Funding Shares being acquired pursuant to
this Agreement are being acquired for its own account and for investment and not
with  a  view  to  the  public resale or distribution of such shares and further
acknowledges  that  the  shares  being issued have not been registered under the
Securities  Act  and are "restricted securities" as that term is defined in Rule
144  promulgated  under  the Securities Act and must be held indefinitely unless
they  are  subsequently registered under the Securities Act or an exemption from
such  registration  is  available.

<PAGE>

                                    ARTICLE 4
           REPRESENTATIONS AND WARRANTIES OF HORVATH AND OHIO FUNDING

4.1     HORVATH  and  OHIO  FUNDING  hereby represent and warrant to AVENTURA as
follows:

(a)     ORGANIZATION,  STANDING  AND  POWER.  OHIO FUNDING is a corporation duly
organized,  validly existing and in good standing under the laws of the State of
Michigan  with  all requisite corporate power to own or lease its properties and
carry  on  its  business  as  is  now  being  conducted.

(b)     QUALIFICATION.  OHIO FUNDING is duly qualified and licensed as a foreign
corporation  authorized  to do business in each jurisdiction wherein it conducts
business operations where in each jurisdiction the failure to qualify would have
a  material  adverse  effect  on  OHIO FUNDING or its business operations.  Such
jurisdictions,  which  are  the only jurisdictions in which OHIO FUNDING is duly
qualified  and  licensed  as  a  foreign  corporation,  is  shown in Schedule B.

(c)     CAPITALIZATION  OF  OHIO  FUNDING.  The authorized capital stock of OHIO
FUNDING consists of 50,000 common shares of Common Stock, no par value, of which
One  Thousand  (1,000) shares are issued and outstanding, which shares were duly
authorized,  validly  issued  and  fully  paid  and nonassessable.  There are no
shares  of  preferred  stock  authorized.   There  are no preemptive rights with
respect  to  the  OHIO  FUNDING  stock.

(d)     AUTHORITY. The execution and delivery of this Agreement and consummation
of  the  transactions  contemplated  herein  have  been  duly  authorized by all
necessary  corporate  action,  including  but  not  limited  to duly and validly
authorized  action and approval by the Board of Managers or Directors of HORVATH
and  OHIO  FUNDING.  This Agreement constitutes the valid and binding obligation
of  HORVATH  and  OHIO  FUNDING,  enforceable  against it in accordance with its
terms, subject to the principles of equity applicable to the availability of the
remedy  of  specific  performance.  This  Agreement  has  been  duly executed by
HORVATH  and  OHIO  FUNDING and the execution and delivery of this Agreement and
the  consummation  of  the transactions contemplated by this Agreement shall not
result  in  any breach of any terms or provisions of HORVATH'S or OHIO FUNDING'S
organizational documents or of any other agreement, court order or instrument to
which  HORVATH  or  OHIO  FUNDING  is  a  party  or  bound.

(e)     ABSENCE  OF  UNDISCLOSED  LIABILITIES.  OHIO  FUNDING  has  no  material
liabilities of any nature, whether fixed, absolute, contingent or accrued, which
were  not  reflected  on  the  financial  statements  set forth in Schedule B or
otherwise  disclosed  in  this  Agreement  or  any  of the Schedules or Exhibits
attached  hereto.

<PAGE>

(f)     ABSENCE  OF  CHANGES.  Since  inception, there has not been any material
adverse  change  in the condition (financial or otherwise), assets, liabilities,
earnings  or  business  of  OHIO  FUNDING,  except  for  changes  resulting from
completion  of  transactions  in  the  ordinary  course  of  business.

(g)     TAX  MATTERS.  All  taxes  and  other  assessments and levies which OHIO
FUNDING is required by law to withhold or to collect have been duly withheld and
collected,  and  have been paid over to the proper government authorities or are
held  by  OHIO  FUNDING  in  separate  bank  accounts  for  such  payment or are
represented  by  depository  receipts, and all such withholdings and collections
and  all  other  payments  due  in  connection  therewith  (including,  without
limitation,  employment  taxes,  both  the employee's and employer's share) have
been  paid  over  to  the government or placed in a separate and segregated bank
account  for  such purpose.  There are no known deficiencies in income taxes for
any  periods  and  further,  the representations and warranties as to absence of
undisclosed  liabilities  contained  in  Section 4.1(e) includes any and all tax
liabilities  of  whatsoever  kind  or nature (including, without limitation, all
federal,  state,  local  and  foreign  income, profit, franchise, sales, use and
property taxes) due or to become due, incurred in respect of or measured by OHIO
FUNDING  income  or  business  prior  to  the  Closing  Date.

(h)     OPTIONS,  WARRANTS,  ETC.  Except  as otherwise described in Schedule B,
there  are no outstanding options, warrants, calls, commitments or agreements of
any  character to which OHIO FUNDING or its shareholders are a party or by which
OHIO  FUNDING  or  its  shareholders  are bound, or are a party, calling for the
issuance  of  shares  of  capital  stock  of  OHIO  FUNDING  or  any  securities
representing  the  right to purchase or otherwise receive any such capital stock
of  OHIO  FUNDING.

(i)     TITLE TO ASSETS.  Except for liens set forth in Schedule B, OHIO FUNDING
is  the  sole and unconditional owner of, with good and marketable title to, all
the  assets  and  patents listed in the schedules as owned by them and all other
property and assets are free and clear of all mortgages, liens, pledges, charges
or  encumbrances  of  any  nature  whatsoever.

(j)     AGREEMENTS IN FORCE AND EFFECT.  Except as set forth in Schedule  B, all
material  contracts,  agreements,  plans,  promissory  notes, mortgages, leases,
policies, licenses, franchises or similar instruments to which OHIO FUNDING is a
party  are  valid  and  in  full  force  and effect on the date hereof, and OHIO
FUNDING has not breached any material provision of, and is not in default in any
material  respect  under  the  terms  of,  any  such  contract, agreement, plan,
promissory  note,  mortgage,  lease,  policy,  license,  franchise  or  similar
instrument which breach or default would have a material adverse effect upon the
business,  operations  or  financial  condition  of  OHIO  FUNDING.

(k)     LEGAL  PROCEEDINGS,  ETC.  There are no civil, criminal, administrative,
arbitration  or  other  such  proceedings  or  investigations  pending or to the
knowledge  of  OHIO  FUNDING,  threatened,  in  which,  individually  or  in the
aggregate,  an  adverse  determination would materially and adversely affect the
assets,  properties,  business  or  income  of  OHIO  FUNDING.  OHIO FUNDING has
substantially  complied  with,  and  is  not  in default in any material respect
under,  any  laws, ordinances, requirements, regulations or orders applicable to
its  businesses.

<PAGE>

(l)     GOVERNMENTAL REGULATION.  To the knowledge of OHIO FUNDING and except as
set  forth in Schedule B, OHIO FUNDING is not in violation of or in default with
respect to any applicable law or any applicable rule, regulation, order, writ or
decree  of  any  court  or any governmental commission, board, bureau, agency or
instrumentality,  or  delinquent with respect to any report required to be filed
with any governmental commission, board, bureau, agency or instrumentality which
violation  or  default  could  have a material adverse effect upon the business,
operations  or  financial  condition  of  OHIO  FUNDING.

(m)     BROKER  AND  FINDERS.  OHIO  FUNDING  shall  be  solely  responsible for
payment to any broker or finder retained by OHIO FUNDING for any brokerage fees,
commissions  or  finders'  fees in connection with the transactions contemplated
herein.  OHIO  FUNDING  has  not  agreed  to  pay any fees or commissions to any
party.

(n)     ACCURACY  OF INFORMATION.  No representation or warranty by OHIO FUNDING
contained  in  this  Agreement  and no statement contained in any certificate or
other  instrument delivered or to be delivered to AVENTURA pursuant hereto or in
connection  with  the  transactions  contemplated  hereby  (including  without
limitation  all  Schedules  and  Exhibits  hereto)  contains or will contain any
untrue  statement of a material fact or omits or will omit to state any material
fact  necessary  in order to make the statements contained herein or therein not
misleading.

(o)     SUBSIDIARIES.  OHIO  FUNDING does not have any other subsidiaries or own
capital  stock  representing  Ten  Percent  (10%)  or  more  of  the  issued and
outstanding  stock  of  any  other  corporation.

(p)     CONSENTS.  Except as listed in Schedule B, no consent or approval of, or
registration,  qualification or filing with, any other governmental authority or
other  person  is required to be obtained or accomplished by OHIO FUNDING or any
shareholder  thereof,  in  connection  with the consummation of the transactions
contemplated  hereby.

(q)     IMPROPER  PAYMENTS.  No person acting on behalf of OHIO FUNDING has made
any  payment or otherwise transmitted anything of value, directly or indirectly,
to (a) any official or any government or agency or political subdivision thereof
for  the  purpose  of  influencing  any  decision affecting the business of OHIO
FUNDING,  or  (b)  any  political  party or any candidate for elective political
office, nor has any fund or other asset of OHIO FUNDING been maintained that was
not  fully  and  accurately  recorded  on  the books of account of OHIO FUNDING.

<PAGE>

(r)     COPIES OF DOCUMENTS.  OHIO FUNDING has made available for inspection and
copying  by  AVENTURA and its duly authorized representatives, and will continue
to  do  so  at  all times, true and correct copies of all documents which it has
filed  with  any  governmental  agencies  which  are  material  to the terms and
conditions  contained  in this Agreement.  Furthermore, to the best knowledge of
the  Board  of  Directors  of  OHIO  FUNDING,  all  filings by OHIO FUNDING with
governmental  agencies,  including  but  not  limited  to  the  Internal Revenue
Service,  have  contained  information which is true and correct in all material
respects  and did not contain any untrue statement of a material fact or omit to
state  any  material  fact  necessary  to  make  the statements made therein not
misleading  or  which  could have any material adverse effect upon the financial
condition  or  operations  of  OHIO  FUNDING.

(s)     VALID  ISSUANCE  OF SECURITIES.  The Ohio Funding Shares, when assigned,
sold  and  delivered  to AVENTURA in accordance with the terms of this Agreement
for  the  consideration expressed herein, will be duly and validly issued, fully
paid and non-assessable, and will be free of restrictions on transfer other than
the restrictions on transfer under this Agreement and under applicable state and
federal  securities  laws.

(t)     RELATED  PARTY  TRANSACTIONS.  Except  as  described  on  Schedule B, no
employee,  officer or director of OHIO FUNDING or member of his or her immediate
family  is  indebted to OHIO FUNDING, nor is OHIO FUNDING indebted (or committed
to make loans or extend or guarantee credit) to any of them and no member of the
immediate  family  of  any  officer  or  director of OHIO FUNDING is directly or
indirectly  interested  in  any  material  contract  with  OHIO  FUNDING.

                                    ARTICLE 5
     CONDUCT AND TRANSACTIONS PRIOR TO THE EFFECTIVE TIME OF THE ACQUISITION

5.1     CONDUCT  AND  TRANSACTIONS OF AVENTURA.  During the period from the date
hereof  to  the  date  of  Closing,  AVENTURA  shall:

(a)     Conduct its operations in the ordinary course of business, including but
not  limited  to,  paying  all  obligations  as  they mature, complying with all
applicable  tax laws, filing all tax returns required to be filed and paying all
taxes  due;

(b)     Maintain  its  records  and books of account in a manner that fairly and
correctly  reflects  its  income,  expenses,  assets  and  liabilities.

<PAGE>

(c)     AVENTURA  shall  not,  prior to the Closing, materially waste, diminish,
fail  to  collect  or fail to enforce collection of any and all of its revenues,
including,  but  not limited to, any and all residual income and referral income
all  of  which  are  the  property  of  AVENTURA.

5.2     CONDUCT  AND  TRANSACTIONS OF OHIO FUNDING .  During the period from the
date  hereof  to  the  date  of  Closing,  OHIO  FUNDING  shall:

(a)     Conduct  the  operations  of  OHIO  FUNDING  in  the  ordinary course of
business,  including  but not limited to, incurring debt, paying all obligations
as  they  mature, complying with all applicable tax laws, filing all tax returns
required  to  be  filed  and  paying  all  taxes  due;

(b)     Maintain  its  records  and books of account in a manner that fairly and
correctly  reflects  its  income,  expenses,  assets  and  liabilities.

(c)     OHIO  FUNDING  shall  not,  prior  to  the  Closing,  materially  waste,
diminish,  fail  to  collect or fail to enforce collection of any and all of its
revenues,  including,  but  not  limited  to,  any  and  all residual income and
referral  income  all  of  which  are  the  property  of  OHIO  FUNDING.

                                    ARTICLE 6
                              RIGHTS OF INSPECTION

6.1     During the period from the date of this Agreement to the date of Closing
of the acquisition, AVENTURA and HORVATH agree to use their best efforts to give
the  other  party,  including its representatives and agents, full access to the
premises,  books  and  records  of AVENTURA and OHIO FUNDING, and to furnish the
other  with  such  reasonable financial and operating data and other information
including,  but  not  limited  to, copies of all legal documents and instruments
referred  to on any schedule or exhibit hereto, with respect to the business and
properties  of  AVENTURA or OHIO FUNDING, as the case may be, as the other shall
from  time  to  time  request;  provided,  however,  if  there  are  any  such
investigations:  (1)  they  shall  be  conducted  in  such  manner  as  not  to
unreasonably  interfere  with the operation of the business of the other parties
and  (2)  such right of inspection shall not affect in any way whatsoever any of
the representations or warranties given by the respective parties hereunder.  In
the  event  of  termination  of  this  Agreement, AVENTURA and HORVATH will each
return to the other all documents, work papers and other materials obtained from
the  other  party  in  connection with the transactions contemplated hereby, and
will  take  such  other  steps  necessary to protect the confidentiality of such
material.

<PAGE>

ARTICLE  7
                              CONDITIONS TO CLOSING

7.1     CONDITIONS  TO  OBLIGATIONS  OF  HORVATH.  The  obligation of HORVATH to
perform  this  Agreement  is  subject  to  the  satisfaction  of  the  following
conditions  on  or  before  the  Closing  unless  waived  in writing by HORVATH.

(a)     REPRESENTATIONS AND WARRANTIES.  There shall be no information disclosed
in  the  schedules  delivered  by AVENTURA which in the opinion of HORVATH would
materially  adversely  affect the proposed transaction and intent of the parties
as  set forth in this Agreement.  The representations and warranties of AVENTURA
set forth in Article 3 hereof shall be true and correct in all material respects
as  of the date of this Agreement and as of the Closing as though made on and as
of  the  Closing,  except  as  otherwise  permitted  by  this  Agreement.

(b)     PERFORMANCE  OF  OBLIGATIONS.  AVENTURA  shall  have  in  all  material
respects  performed  all  agreements  required  to be performed by it under this
Agreement  and  shall  have  performed  in  all  material  respects  any actions
contemplated  by  this  Agreement  prior to or on the Closing and AVENTURA shall
have  complied  in  all material respects with the course of conduct required by
this  Agreement.

(c)     CONSENTS.  Any consents necessary for or approval of any party listed on
any  Schedule  delivered  by  AVENTURA  whose  consent  or  approval is required
pursuant  thereto  shall  have  been  obtained.

(d)     STATUTORY  REQUIREMENTS.  All  statutory  requirements  for  the  valid
consummation  by  AVENTURA  of  the  transactions contemplated by this Agreement
shall  have  been  fulfilled.

(e)     GOVERNMENTAL APPROVAL.  All authorizations, consents, approvals, permits
and  orders  of  all  federal  and  state  governmental  agencies required to be
obtained  by  AVENTURA for consummation of the transactions contemplated by this
Agreement  shall  have  been  obtained.

7.2     CONDITIONS  TO  OBLIGATIONS  OF AVENTURA.  The obligation of AVENTURA to
perform  this  Agreement  is  subject  to  the  satisfaction  of  the  following
conditions  on  or  before  the  Closing  unless  waived in writing by AVENTURA.

(a)     REPRESENTATIONS AND WARRANTIES.  There shall be no information disclosed
in  the  schedules delivered by HORVATH or OHIO FUNDING, which in the opinion of
AVENTURA,  would materially adversely affect the proposed transaction and intent
of  the  parties  as  set  forth  in  this  Agreement.  The  representations and
warranties  of  HORVATH  and OHIO FUNDING set forth in Article 4 hereof shall be
true  and  correct in all material respects as of the date of this Agreement and
as  of  the Closing as though made on and as of the Closing, except as otherwise
permitted  by  this  Agreement.

<PAGE>

(b)     PERFORMANCE  OF  OBLIGATIONS.  OHIO  FUNDING  shall have in all material
respects  performed  all  agreements  required  to be performed by it under this
Agreement  and  shall  have  performed  in  all  material  respects  any actions
contemplated by this Agreement prior to or on the Closing and OHIO FUNDING shall
have  complied  in  all  respects  with  the  course of conduct required by this
Agreement.

(c)     CONSENTS.  Any consents necessary for or approval of any party listed on
any  Schedule delivered by HORVATH or OHIO FUNDING, whose consent or approval is
required  pursuant  thereto,  shall  have  been  obtained.

(d)     STATUTORY  REQUIREMENTS.  All  statutory  requirements  for  the  valid
consummation  by OHIO FUNDING of the transactions contemplated by this Agreement
shall  have  been  fulfilled.

(e)     GOVERNMENTAL APPROVAL.  All authorizations, consents, approvals, permits
and  orders  of  all  federal  and  state  governmental  agencies required to be
obtained  by  HORVATH  for consummation of the transactions contemplated by this
Agreement  shall  have  been  obtained.

                                    ARTICLE 8
                          MATTERS SUBSEQUENT TO CLOSING

8.1     COVENANT OF FURTHER ASSURANCE.  The parties covenant and agree that they
shall,  from  time  to  time,  execute  and  deliver or cause to be executed and
delivered  all  such  further  instruments of conveyance, transfer, assignments,
receipts and other instruments, and shall take or cause to be taken such further
or  other actions as the other party or parties to this Agreement may reasonably
deem  necessary in order to carry out the purposes and intent of this Agreement.

8.2     RIGHTS  UNDER  WARRANT  AGREEMENT.  AVENTURA  has issued to HORVATH that
certain  Warrant  with  the  understanding  that  HORVATH,  together  with  its
successors  and assigns, shall have the right to acquire additional common stock
of  AVENTURA  such that HORVATH shall, together with any successors and assigns,
control  a  majority of the outstanding common stock of AVENTURA.  The terms and
conditions  of  the  Warrant  are  incorporated  by  reference  herein.

                                    ARTICLE 9
                           SURVIVAL OF REPRESENTATIONS

9.1     All  representations,  warranties  and  agreements made by a party shall
survive  for  the  period of the applicable statute of limitations and until the
discovery  of  any  claim,  loss,  liability  or other matter based on fraud, if
longer.

<PAGE>

ARTICLE  10
           TERMINATION OF AGREEMENT AND ABANDONMENT OF REORGANIZATION

10.1     TERMINATION.  Anything  herein  to  the  contrary notwithstanding, this
Agreement  and  any agreement executed as required hereunder and the acquisition
contemplated hereby may be terminated at any time before the Closing as follows:

(a)     By  mutual  written  consent  of  the Boards of Directors or Managers of
AVENTURA  and  HORVATH.

(b)     By the Board of Directors of AVENTURA if any of the conditions set forth
in  Section  7.2  shall  not  have  been  satisfied  by  the  Closing  Date.

(c)     By  the  Board of Managers of HORVATH if any of the conditions set forth
in  Section  7.1  shall  not  have  been  satisfied  by  the  Closing  Date.

10.2     TERMINATION  OF  OBLIGATIONS  AND  WAIVER  OF  CONDITIONS;  PAYMENT  OF
EXPENSES.  In  the  event  this Agreement and the acquisition are terminated and
abandoned  pursuant  to this Article 10 hereof, this Agreement shall become void
and of no force and effect and there shall be no liability on the part of any of
the  parties  hereto,  or  their respective directors, officers, shareholders or
controlling  persons  to  each  other.  Each party hereto will pay all costs and
expenses  incident  to its negotiation and preparation of this Agreement and any
of  the  documents  evidencing  the  transactions contemplated hereby, including
fees,  expenses  and  disbursements  of  counsel.

                                   ARTICLE 11
                      ISSUANCE OF SHARES; FRACTIONAL SHARES

11.1     ISSUANCE  OF  SHARES.  At the Closing, AVENTURA shall issue a letter to
its  transfer  agent  with  a  copy  of the resolution of its Board of Directors
authorizing  and  directing the issuance of the appropriate number of its shares
of  common  stock  as  provided  in  this  Agreement.

11.2     RESTRICTIONS  ON  SHARES  ISSUED  BY  AVENTURA.  Due  to  the fact that
HORVATH  will  receive  shares  of AVENTURA common stock in connection with this
Agreement,  which  have  not been registered under the 1933 Act by virtue of the
exemption  provided  in  Section 4(2) of such Act, those shares will contain the
following  legend:

The  shares  represented  by this certificate have not been registered under the
Securities  Act  of  1933.  The shares have been acquired for investment and may
not  be  sold  or  offered  for sale in the absence of an effective Registration
Statement  for  the  shares  under  the  Securities Act of 1933 or an opinion of
counsel  to  the  Corporation  that  such  registration  is  not  required.

<PAGE>
ARTICLE  12
                                  MISCELLANEOUS

12.1     CONSTRUCTION.  This  Agreement  shall  be  construed  and  enforced  in
accordance  with  the  laws  of  the State of Florida excluding the conflicts of
laws.

12.2     NOTICES.  All  notices  necessary  or  appropriate under this Agreement
shall  be  effective when personally delivered or deposited in the United States
mail,  postage  prepaid,  certified or registered, return receipt requested, and
addressed  to  the  parties  last known address which addresses are currently as
follows:

If  to  "AVENTURA"                        If  to  "HORVATH"  or  "OHIO  FUNDING"

     Craig  A.  Waltzer,  CEO                 Mark  R.  Horvath
     Aventura  Holdings,  Inc.                25221  Dequindre
     2650  Biscayne  Blvd.,  First  Floor     Madison  Heights,  Michigan  48071
     Miami,  Florida  33137

     With  copies  to:

               Michael  T.  Raymond,  Esq.
               Dickinson  Wright  PLLC
               301  E.  Liberty,  Suite  500
               Ann  Arbor,  MI  48104-2266

12.3     AMENDMENT  AND  WAIVER.  The parties hereby may, by mutual agreement in
writing  signed by each party, amend this Agreement in any respect.  Any term or
provision  of  this  Agreement  may be waived in writing signed by an authorized
officer at any time by the party which is entitled to the benefits thereof, such
waiver right shall include, but not be limited to, the right of either party to:

(a)     Extend  the  time  for  the performance of any of the obligations of the
other;

(b)     Waive any inaccuracies in representations by the other contained in this
Agreement  or  in  any  document  delivered  pursuant  hereto;

(c)     Waive  compliance  by  the  other with any of the covenants contained in
this  Agreement,  and  performance  of  any  obligations  by  the  other;  and

(d)     Waive  the  fulfillment  of  any  condition  that  is  precedent  to the
performance  by  the  party  so  waiving  of  any  of its obligations under this
Agreement.

Any  writing  on  the  part  of a party relating to such amendment, extension or
waiver as provided in this Section 12.3 shall be valid if authorized or ratified
by  the  Board  of  Directors  or  Managers  of  such  party.

<PAGE>

12.4     REMEDIES  NOT  EXCLUSIVE.  No  remedy  conferred by any of the specific
provisions  of  this  Agreement is intended to be exclusive of any other remedy,
and  each and every remedy shall be cumulative and shall be in addition to every
other remedy given hereunder or now or hereafter existing at law or in equity or
by  statute or otherwise.  The election of any one or more remedies by AVENTURA,
HORVATH  or  OHIO  FUNDING  shall not constitute a waiver of the right to pursue
other  available  remedies.

12.5     COUNTERPARTS,  FACSIMILE SIGNATURES.  This Agreement may be executed in
one  or more counterparts, each of which shall be deemed an original, but all of
which  together shall constitute one and the same instrument.  Execution of this
Agreement  or  any  counterpart or any schedule or waiver or amendment may be by
delivery  of  a facsimile copy of a signature on behalf of a party authorized to
sign  and  such  facsimile copy shall be binding upon the party delivering same.

12.6     BENEFIT.  This  Agreement  shall  be  binding  upon,  and  inure to the
benefit  of, the respective successors and assigns of AVENTURA, HORVATH and OHIO
FUNDING  and  their  shareholders.

12.7     ENTIRE  AGREEMENT.  This  Agreement  and  the  Schedules  and  Exhibits
attached hereto, represent the entire agreement of the undersigned regarding the
subject  matter  hereof, and supersedes all prior written or oral understandings
or  agreements  between  the  parties.

12.8     CAPTIONS  AND  SECTION  HEADINGS.  Captions  and  section headings used
herein  are  for convenience only and shall not control or affect the meaning or
construction  of  any  provision  of  this  Agreement.

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

AVENTURA  HOLDINGS,  INC.                    HORVATH  HOLDINGS,  LLC

By:     /s/  Craig  A.  Waltzer                    By:     /s/  Mark  R. Horvath
        -----------------------                            ---------------------
        Craig  A.  Waltzer                                 Mark  R.  Horvath

Its:     President                         Its:     Manager
         ---------                                  -------

                                   OHIO  FUNDING  GROUP,  INC.

                                   By:     /s/  Mark  R.  Horvath
                                           ----------------------
                                           Mark  R.  Horvath

                                   Its:     President
                                            ---------

<PAGE>

                                    EXHIBIT A
                       INVESTMENT REPRESENTATION STATEMENT

PURCHASER:     HORVATH  HOLDINGS,  LLC

ISSUER:          AVENTURA  HOLDINGS,  INC. (Referred to herein as the "Company")

SECURITY:          Common  Stock,  par  value  $.0001

QUANTITY:          200,000,000  Shares

In  connection  with the purchase of the above-listed Securities of the Company,
the  undersigned  Purchaser  represents  to  the  Company  the  following:

(1)     Investment.  The  Purchaser  is  aware of the Company's business affairs
        -----------
and  financial  condition.  The  Purchaser  is  purchasing  the  Securities  for
investment  for  its  own  account only and not with a view to, or for resale in
connection with, any "distribution" thereof within the meaning of the Securities
Act  of  1933 (as Amended).  These securities have not been registered under the
Securities  Act  by  reason  of  a specific exemption therefrom, which exemption
depends on, among other things, the bona fide nature of the investment intent as
expressed herein.  In this connection the Purchaser understands that, in view of
the  Securities  and  Exchange  Commission ("SEC"), the statutory basis for such
exemption may be unavailable if this representation was predicated solely upon a
present  intention to hold these Securities for the minimum capital gains period
specified  under  tax statutes, for a deferred sale, for or until an increase or
decrease  in the market price of the Securities or for the period of one year or
any  other  fixed  period  in  the  future.

(2)     Restrictions  on  Transfer  Under Securities Act.  The Purchaser further
        -------------------------------------------------
acknowledges  and  understands  that  the  Securities  must be held indefinitely
unless  they  are  subsequently registered under the Securities Act or unless an
exemption  from  such  registration  is  available.  Moreover,  the  Purchaser
understands  that the Company is under no obligation to register the Securities.
In  addition,  the  Purchaser  understands  that  the certificate evidencing the
Securities  will  be imprinted with a legend which prohibits the transfer of the
Securities  unless they are registered or unless the Company receives an opinion
of  counsel reasonably satisfactory to the Company that such registration is not
required.

(3)     Sales  Under  Rule  144.  The Purchaser is aware of the adoption of Rule
        ------------------------
144  by the SEC promulgated under the Securities Act, which in substance permits
limited  public  resale of securities acquired in a non- public offering subject
to  the  satisfaction  of certain conditions, including: (i) the availability of
certain current public information about the Company, (ii) the resale being made
through  a  broker  in  an unsolicited "broker's transaction" or in transactions
directly  with  a " market maker," and (iv) the amount of securities sold during
any  three-month period not exceeding specified limitations (generally 1% of the
total  shares  outstanding).

<PAGE>

(4)     Limitations  on  Rule  144.  The  Purchaser  further  acknowledges  and
        ---------------------------
understands  that  while the Company does now satisfy the availability of public
information  requirement  of Rule 144, at any time the Purchaser desires to sell
the  Securities,  the  Company  might  not  be  then  compliant with such public
information  requirement  of Rule 144, and, in such case, the Purchaser would be
precluded from selling the Securities under Rule 144 even if the minimum holding
period  had  been  satisfied.

                                   HORVATH  HOLDINGS,  LLC

                                   By:     /s/  Mark  R.  Horvath
                                           ----------------------
                                           Mark  R.  Horvath

                                   Its:     Manager
                                            -------
<PAGE>
                                   SCHEDULE A
                       EXCEPTIONS/DISCLOSURES FOR AVENTURA

<PAGE>

                                   SCHEDULE B
               EXCEPTIONS/DISCLOSURES FOR HORVATH AND OHIO FUNDING

                                     Florida

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00111-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00111-of-00352.parquet"}]]