Document:

THE WARRANT REPRESENTED BY THIS CERTIFICATE
AND THE SECURITIES TO BE ISSUED UPON ITS EXERCISE HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933 (THE
"SECURITIES ACT") OR APPLICABLE STATE SECURITIES LAWS (THE "STATE ACTS") AND SHALL NOT BE SOLD OR TRANSFERRED
UNLESS SUCH SALE OR TRANSFER HAS BEEN REGISTERED UNDER THE SECURITIES ACT AND STATE ACTS, OR AN EXEMPTION FROM THE REGISTRATION
REQUIREMENTS IS AVAILABLE, THE AVAILABILITY OF WHICH MUST BE ESTABLISHED TO THE SATISFACTION OF THE COMPANY.

 

COMMON STOCK PURCHASE WARRANT

 

	Warrant No. 2013-  ___	Number of Shares:  ______                          

  

 SMARTMETRIC, INC. 

COMMON STOCK, PAR VALUE $.001 PER
SHARE

VOID AFTER 5:00 P.M. EASTERN STANDARD
TIME

ON APRIL 22, 2015 

 

This Warrant is issued
to _____________________ ("Holder") by SmartMetric, Inc., a Nevada corporation (hereinafter with its successors called
the "Company").

 

For value received
and subject to the terms and conditions hereinafter set out, Holder is entitled to purchase from the Company at an initial purchase
price of $0.50 per share, ____________ (_______) fully paid and nonassessable shares of common stock, par value $0.001
per share ("Common Shares") of the Company. Such purchase price per Common Share, adjusted from time to time as provided
herein, is referred to as the "Purchase Price." Any purchase of the Offering of Units by SmartMetric, Inc., shall be
entitled to receive the same number of Warrants, as evidenced hereby. For each Unit purchase for $12,000, Holders shall receive
75,000 shares of the Company’s Common Stock, and warrants to purchase 75,000 shares of the Company’s Common Stock at
an exercise price of $0.50 per share.

 

1.                 The Holder may
exercise this Warrant, in whole or in part, upon surrender of this Warrant, with the exercise form annexed hereto duly executed,
at the office of the Company, or such other office as the Company shall notify the Holder in writing, together with a certified
or bank cashier's check payable to the order of the Company in the amount of the Purchase Price times the number of Common Shares
being purchased.

 

2.                 
The person or persons in whose name or names any certificate representing Common Shares is issued hereunder shall be deemed
to have become the holder of record of the Common Shares represented thereby as of the close of business on the date on which this
Warrant is exercised with respect to such shares, whether or not the transfer books of the Company shall be closed. Until such
time as this Warrant is exercised or terminates, the Purchase Price payable and the number and character of securities issuable
upon exercise of this Warrant are subject to adjustment as hereinafter provided.

 

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3.                 
Unless previously exercised, this Warrant shall expire at 5:00 p.m. Eastern Standard Time, on April 22, 2015, which shall
be deemed to be the date of this Warrant, and shall be void thereafter or can be extended at the Company’s discretion
(“Expiration Date”).

 

4.                 
Cashless Exercise:  The Holder, at its option, in the event the Market Price (defined below) of
the Company’s Common Stock is greater than the Exercise Price, may exercise this Warrant in one or more cashless exercise
transactions any time after the expiration of six (6) months from the Initial Exercise Date then in effect covering the resale
of the Warrant Shares issuable upon such exercise, subject to the following sentence.  In order to effect a Cashless
Exercise, the Holder shall surrender this Warrant as directed by the Company together with notice of cashless election,
in which event the Company shall issue Holder the number of shares of Common Stock computed using the following formula (a “Cashless
Exercise”), assuming that the Exercise Price is less than the Market Price (as defined below):

 

X = Y (A-B)/A

X = the number of shares of Common
Stock to be issued to Holder.

 

Y = the number of shares of Common
Stock for which this Warrant is being exercised.

 

A = the Market Price of one (1)
share of Common Stock (for purposes of this Section 2(c)(iv), where “Market Price,” as of any date, means the
average of the  Closing Prices of the Company’s Common Stock during the five (5) consecutive Trading Day period
immediately preceding the date of Exercise, or other applicable date)

 

B = the Exercise Price.

 

As used herein, the term “Closing
Price” for any security as of any date means the last sales price of the security as reported by, or based upon data reported
by, Bloomberg L.P. or an equivalent, reliable reporting service mutually acceptable to and hereafter designated by holders of a
majority in interest of the Warrants and the Company (“Bloomberg”). If the Closing Price cannot be calculated
for such security on such date in the manner provided above or if the Company’s Common Stock is not publicly-traded, the
Closing Price shall be the fair market value as mutually determined by the Company and the holders of a majority in interest of
the Warrants being. “Trading Day” shall mean any day on which the Common Stock is traded for any period on a
principal securities exchange or other securities market on which the Common Stock is then being traded.

 

For purposes of Rule 144 thereof, it is intended, understood
and acknowledged that the Common Stock issuable upon exercise of this Warrant in a Cashless Exercise transaction shall be deemed
to have been acquired at the time this Warrant was issued.  Moreover, it is intended, understood and acknowledged that
the holding period for the Common Stock issuable upon exercise of this Warrant in a Cashless Exercise transaction shall be deemed
to have commenced on the date this Warrant was issued.

 

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5.Subject to any
stockholder approval required to increase the number of Common Shares authorized under the Company’s Articles of Incorporation,
the Company covenants that it will at all times reserve and keep available a number of its authorized Common Shares, free from
all preemptive rights, which will be sufficient to permit the exercise of this Warrant. The Company further covenants that such
shares as may be issued pursuant to the exercise of this Warrant will, upon issuance, be duly and validly issued, fully paid and
nonassessable and free from all taxes, liens, and charges.

 

6.If the Company
subdivides its outstanding Common Shares, by split-up or otherwise, or combines its outstanding Common Shares, the Purchase Price
then applicable to shares covered by this Warrant shall forthwith be proportionately decreased in the case of a subdivision, or
proportionately increased in the case of a combination.

 

7.If (a) the Company
reorganizes its capital, reclassifies its capital stock, consolidates or merges with or into another corporation (but only if the
Company is not the surviving corporation and no longer has more than a single shareholder) or sells, transfers or otherwise
disposes of all or substantially all its property, assets, or business to another corporation, and (b) pursuant to the terms of
such reorganization, reclassification, merger, consolidation, or disposition of assets, shares of common stock of the successor
or acquiring corporation, or any cash, shares of stock, or other securities or property of any nature whatsoever (including warrants
or other subscription or purchase rights) in addition to or in lieu of common stock of the successor or acquiring corporation (“Other
Property”), are to be received by or distributed to the holders of Common Shares, then (c) Holder shall have the right thereafter
to receive, upon exercise of this Warrant, the same number of shares of common stock of the successor or acquiring corporation
and Other Property receivable upon such reorganization, reclassification, merger, consolidation, or disposition of assets as a
holder of the number of Common Shares for which this Warrant is exercisable immediately prior to such event. At the time of such
reorganization, reclassification, merger, consolidation or disposition of assets, the successor or acquiring corporation shall
expressly assume the due and punctual observance and performance of each and every covenant and condition of this Warrant to be
performed and observed by the Company and all the obligations and liabilities hereunder, subject to such modifications as may be
deemed appropriate (as determined by resolution of the Board of Directors of the Company) in order to adjust the number of shares
of the common stock of the successor or acquiring corporation for which this Warrant is exercisable. For purposes of this section,
"common stock of the successor or acquiring corporation" shall include stock of such corporation of any class which is
not preferred as to dividends or assets over any other class of stock of such corporation and which is not subject to redemption
and shall also include any evidences of indebtedness, shares of stock, or other securities which are convertible into or exchangeable
for any such stock, either immediately or upon the arrival of a specified date or the happening of a specified event and any warrants
or other rights to subscribe for or purchase any such stock. The foregoing provisions of this section shall similarly apply to
successive reorganizations, reclassifications, mergers, consolidations, or disposition of assets.

 

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8.If a voluntary
or involuntary dissolution, liquidation or winding up of the Company (other than in connection with a merger or consolidation of
the Company) is at any time proposed during the term of this Warrant, the Company shall give written notice to the Holder at least
thirty days prior to the record date of the proposed transaction. The notice shall contain: (1) the date on which the transaction
is to take place; (2) the record date (which must be at least thirty days after the giving of the notice) as of which holders of
the Common Shares entitled to receive distributions as a result of the transaction shall be determined; (3) a brief description
of the transaction; (4) a brief description of the distributions, if any, to be made to holders of the Common Shares as a result
of the transaction; and (5) an estimate of the fair market value of the distributions. On the date of the transaction, if it actually
occurs, this Warrant and all rights existing under this Warrant shall terminate.

 

9.In no event shall
any fractional Common Share of the Company be issued upon any exercise of this Warrant. If, upon exercise of this Warrant as an
entirety, the Holder would, except as provided in this Section 8, be entitled to receive a fractional Common Share, then the Company
shall issue the next higher number of full Common Shares, issuing a full share with respect to such fractional share. If this Warrant
is exercised at one time for less than the maximum number of Common Shares purchasable upon the exercise hereof, the Company shall
issue to the Holder a new warrant of like tenor and date representing the number of Common Shares equal to the difference between
the number of shares purchasable upon full exercise of this Warrant and the number of shares that were purchased upon the exercise
of this Warrant.

 

10.No adjustments
in the Purchase Price shall be required unless such adjustment would require an increase or decrease of at least five cents in
such price, provided however, that any adjustments which by reason of this Section 10 are not required to be made shall be carried
forward and taken into account in any subsequent adjustment.

 

11.Whenever the
Purchase Price is adjusted, as herein provided, the Company shall promptly deliver to the Holder a certificate setting forth the
Purchase Price after such adjustment and setting forth a brief statement of the facts requiring such adjustment.

 

12.If at any time
prior to the expiration or exercise of this Warrant, the Company shall pay any dividend or make any distribution upon its Common
Shares or shall make any subdivision or combination of, or other change in its Common Shares, the Company shall cause notice thereof
to be mailed, first class, postage prepaid, to Holder at least thirty full business days prior to the record date set for determining
the holders of Common Shares who shall participate in such dividend, distribution, subdivision, combination or other change. Such
notice shall also specify the record date as of which holders of Common Shares who shall participate in such dividend or distribution
is to be determined. Failure to give such notice, or any defect therein, shall not affect the legality or validity of any dividend
or distribution.

 

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13.The Company
will maintain a register containing the names and addresses of the Holder and any assignees of this Warrant. Holder may change
its address as shown on the warrant register by written notice to the Company requesting such change. Any notice or written communication
required or permitted to be given to the Holder may be delivered by confirmed facsimile or telecopy or by a recognized overnight
courier, addressed to Holder at the address shown on the warrant register.

 

14. This Warrant
has not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or any state securities
laws ("State Acts") or regulations in reliance upon exemptions under the Securities Act, and exemptions under the State
Acts. Subject to compliance with the Securities Act and State Acts, this Warrant and all rights hereunder are transferable in whole
or in part, at the office of the Company at which this Warrant is exercisable, upon surrender of this Warrant together with the
assignment hereof properly endorsed.

 

15. In case this
Warrant shall be mutilated, lost, stolen, or destroyed, the Company may issue a new warrant of like tenor and denomination and
deliver the same (a) in exchange and substitution for and upon surrender and cancellation of any mutilated Warrant, or (b) in lieu
of any Warrant lost, stolen, or destroyed, upon receipt of evidence satisfactory to the Company of the loss, theft or destruction
of such Warrant (including a reasonably detailed affidavit with respect to the circumstances of any loss, theft, or destruction)
and of indemnity with sufficient surety satisfactory to the Company.

 

16.Unless a current
registration statement under the Securities Act, shall be in effect with respect to the securities to be issued upon exercise of
this Warrant, the Holder, by accepting this Warrant, covenants and agrees that, at the time of exercise hereof, and at the time
of any proposed transfer of securities acquired upon exercise hereof, the Company may require Holder to make such representations,
and may place such legends on certificates representing the Common Shares issuable upon exercise of this Warrant, as may be reasonably
required in the opinion of counsel to the Company to permit such Common Shares to be issued without such registration.

 

17. This Warrant
does not entitle Holder to any of the rights of a stockholder of the Company.

 

18.Nothing expressed
in this Agreement and nothing that may be implied from any of the provisions hereof is intended, or shall be construed, to confer
upon, or give to, any person or corporation other than the parties to this Agreement any covenant, condition, stipulation, promise,
or agreement contained herein, and all covenants, conditions, stipulations, promises and agreements contained herein shall be for
the sole and exclusive benefit of the parties hereto and their respective successors and assigns.

 

19.The provisions and terms of
this Warrant shall be construed in accordance with the laws of the State of New York.

 

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IN WITNESS WHEREOF,
this Warrant has been duly executed by the Company as of the __ day of _________ 2013.

 

	 	SMARTMETRIC, INC.
	 	 	 
	 	 	 
	 	By:	 
	 	 	Chaya Coleena. Hendrick
	 	 	Chief Executive Officer

 

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FORM OF EXERCISE

 

 

Date:
____________________

 

To:SmartMetric, Inc.

 

The undersigned hereby
elects to purchase ______________ shares of Warrant Stock of the Company pursuant to the terms of the attached Warrant to Purchase
Common Stock, and tenders herewith payment of the Warrant Price in full, together with all applicable transfer taxes, if any.

 

Payment shall take
the form of (check applicable box):

 

 ̈in
lawful money of the United States; or

 

 ̈if
permitted (by cashless exercise) the cancellation of __________ shares of Warrant Stock in order to exercise this Warrant with
respect to ____________ shares of Warrant Stock (using the closing price of Company’s common stock the previous trading day
of $______ for this calculation), in accordance with the formula and procedure set forth in paragraph 4.

 

 ̈if
permitted, the cancellation of such number of shares of Warrant Stock as is necessary, in accordance with the formula and procedure
set forth in paragraph 4, to exercise this Warrant with respect to the maximum number of shares of Warrant Stock purchasable pursuant
to a cashless exercise. 

 

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

 

  

The shares of Warrant
Stock shall be delivered to the following DWAC Account Number, if permitted, or by physical delivery of a certificate to:

 

  

Accredited Investor.
The undersigned is an “accredited investor” as defined in Regulation D promulgated under the Securities Act of 1933,
as amended.

 

[SIGNATURE OF HOLDER]

 

	Name of Investing Entity: 	 	 
	 	 	 
	Signature of Authorized Signatory of Investing Entity:	 	 
	 	 	 
	Name and Title of Authorized Signatory:	 	 
	 	 	 
	Date:	 	 

 

    	 

    	 

    

  

ASSIGNMENT

 

 

For Value Received,
the undersigned hereby sells, assigns and transfers unto the assignee(s) set forth below the within Warrant certificate, together
with all right, title and interest therein, and hereby irrevocably constitutes and appoints ___________________________________
attorney, to transfer the said Warrant on the books of the within-named Company with respect to the number of Common Shares set
forth below, with full power of substitution in the premises.

 

	 	Social
    Security or	 	 
	 	other
    Identifying	 	 
	Name(s)
    of	Number(s)
    of	 	No.
    of
	Assignee(s)	Assignee(s)	Address	Shares

 

 

 

 

 

Dated: ______________________________

 

 

 

	 	 
	 	Signature
	 	 
	 	NOTICE: THE SIGNATURE TO THIS ASSIGNMENT MUST CORRESPOND WITH THE NAME AS WRITTEN UPON THE FACE OF THE WARRANT IN EVERY PARTICULAR, WITHOUT ALTERATION OR ENLARGEMENT, OR ANY CHANGE WHATSOEVER.
	 	 
	 	 
	 	 
	 	Print Name and TitleTHIS
SUBSCRIPTION AGREEMENT IS EXECUTED IN RELIANCE UPON (1) THE EXEMPTION PROVIDED BY SECTION 4(2) AND REGULATION D, RULE 506 FOR TRANSACTIONS
NOT INVOLVING A PUBLIC OFFERING UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR (2) THE EXEMPTION
TO AN OFFERING OF SECURITIES IN AN OFFSHORE TRANSACTION TO PERSONS WHO ARE NOT U.S. PERSONS (AS DEFINED HEREIN) PURSUANT TO RULE
903 OF REGULATION S (“REGULATION S”) PROMULGATED UNDER THE SECURITIES ACT THIS OFFERING IS BEING MADE TO ACCREDITED
INVESTORS AND/OR TO NON-U.S. PERSONS PURSUANT TO RULE 903 OF REGULATION S PROMULGATED UNDER THE SECURITIES ACT. NONE OF THE SECURITIES
TO WHICH THIS SUBSCRIPTION RELATES HAVE BEEN REGISTERED UNDER THE SECURITIES ACT, OR ANY U.S. STATE SECURITIES LAWS, AND, UNLESS
SO REGISTERED, NONE MAY BE OFFERED OR SOLD, DIRECTLY OR INDIRECTLY, EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF REGULATION D OR
REGULATION S UNDER THE SECURITIES ACT, PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, OR PURSUANT TO
AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN EACH
CASE ONLY IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS. IN ADDITION, HEDGING TRANSACTIONS INVOLVING THE SECURITIES MAY NOT
BE CONDUCTED UNLESS IN ACCORDANCE WITH THE SECURITIES ACT.

 

 

 

SMARTMETRIC, INC.

 

SUBSCRIPTION AGREEMENT

 

SUBSCRIPTION
AGREEMENT (“Subscription Agreement”) made as of this ___ day of ________, 2013 between SmartMetric, Inc., a Nevada
corporation (the “Company”), and the undersigned (the “Subscriber”).

 

WHEREAS,
the Company is conducting a private offering (the “Offering”), consisting of up to a maximum of up to 425 Units (the
“Units”), each Unit consisting of 75,000 shares of the Company’s common stock, par value $0.001 per share (the
“Common Stock”) and a warrant to purchase 75,000 shares of Common Stock on a cashless basis (the “Warrants”
and collectively with the Units and Common Stock, the “Securities”) for aggregate gross proceeds of a up to a maximum
of $5,100,000 (the “Maximum Offering”). Each Unit will be sold at a negotiated price of $12,000 per Unit (the “Unit
Purchase Price”). Each Warrant has an initial exercise price equal to $0.50 per share, subject to adjustment (the “Exercise
Price”) and is exercisable until April 22, 2015. Fractional Units are available upon request. The Securities being subscribed
for pursuant to this Subscription have not been registered under the Securities Act. The offer of the Securities and, if this Subscription
is accepted by the Company, the sale of Securities, is being made in reliance upon Section 4(2) and/or Rule 506 of Regulation D
of the Securities Act or Rule 903 of Regulation S promulgated under the Securities Act; and

 

WHEREAS,
the Subscriber desires to purchase that number of Units set forth set forth opposite such Subscriber’s name on such signature
page hereto on the terms and conditions hereinafter set forth.

 

NOW,
THEREFORE, in consideration of the premises and the mutual representations and covenants hereinafter set forth, the parties hereto
do hereby agree as follows:

 

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		I.	SUBSCRIPTION FOR SECURITIES; COVENANTS OF THE COMPANY

 

1.1Subscription
for Securities. Subject to the terms and conditions hereinafter

set forth and in the
Confidential Offering Memorandum dated April 23, 2013 (such memorandum, together with all amendments thereof and supplements and
exhibits thereto, the “Memorandum”), the Subscriber hereby irrevocably subscribes for and agrees to purchase from the
Company, and the Company agrees to sell to the Subscriber, such number of Units as is set forth on the signature page hereof. The
purchase price is payable by wire transfer to the Company, in accordance with the wire instructions set forth on Exhibit B attached
hereto, and Risks of the Offering are attached herto as Exhibit C.

 

1.2Offering
Period. The Shares will be offered for sale until the earlier of (i) the date upon which subscriptions for the Maximum Offering
offered hereunder have been accepted, (ii) June 30, 2013 (subject to the right of the Company to extend the offering for up to
an additional 90 days without further notice to investors), or (iii) the date upon which the Company elects to terminate the Offering
(the “Termination Date”). The Offering is being conducted on a “best-efforts” basis.

 

1.3Closing.
The Company may hold an initial closing (“Initial Closing”) at any time after the receipt of accepted
subscriptions from qualified investors prior to the Termination Date. After the Initial Closing, subsequent closings with
respect to additional Securities may take place at any time prior to the Termination Date as determined by the Company, with
respect to subscriptions accepted prior to the Termination Date (each such closing, together with the Initial Closing, being
referred to as a “Closing”). The last Closing of the Offering, occurring on or prior to the Termination Date,
shall be referred to as the “Final Closing”. Any subscription documents or funds received after the Final Closing
will be returned, without interest or deduction. In the event that the any Closing does not occur prior to the Termination
Date, all amounts paid by the Subscriber shall be returned to the Subscriber, without interest or deduction.

 

1.4
Subsequent Equity Sales. If at any time during the 6 month period
following the first closing of this Offering the Company sells or issues any Common Stock
entitling any person to acquire shares of Common Stock at an effective price per share that is lower than $0.16 (such lower price,
the “Base Share Price” and such issuances, collectively, a “Dilutive Issuance”), then the Company shall
issue to each Subscriber such number of additional shares of Common Stock equal to the difference between (i) the number of Shares
held by the Subscriber on the date of the Dilutive Issuance multiplied by a fraction, the numerator of which is $0.16 and the denominator
of which is the Base Share Price, and (ii) the number of Shares held by the Subscriber on the date of the Dilutive Issuance.   Notwithstanding
the foregoing, no adjustment will be made under this Section 1.4 in respect of an Exempt Issuance. “Exempt Issuance”
means the issuance of (a) securities of the Company issued pursuant any Approved Stock Plan, (b) securities upon the exercise of
or conversion of any securities issued hereunder and/or other securities exercisable or exchangeable for or convertible into shares
of Common Stock issued and outstanding on the date of this Agreement, provided that such securities have not been amended since
the date of this Agreement to increase the number of such securities or to decrease the exercise or conversion price of any such
securities, (c) securities issued pursuant to acquisitions or strategic transactions, provided that any such issuance shall only
be to a person which is, itself or through its subsidiaries, an operating company in a business synergistic with the business of
the Company and shall provide to the Company additional benefits in addition to the investment of funds, but shall not include
a transaction in which the Company is issuing securities primarily for the purpose of raising capital or to an entity whose primary
business is investing in securities and (d) securities issued in connection with any bona fide commercial loan or debt transaction
with third persons, provided that the primary purpose of such transaction is not to raise equity capital and is approved by the
Company’s Board of Directors in good faith. “Approved Stock Plan" means any employee benefit plan which has been
approved by the Board of Directors of the Company, pursuant to which the Company's securities may be issued to any employee, consultant,
officer or director for services provided to the Company.

 

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1.5Stockholder
Approval. The Company shall use its best efforts to file a proxy or information statement with the Securities and Exchange Commission
as soon as practicable and use its best efforts to obtain such approvals of the Company’s stockholders as may be required
to increase the total number of authorized shares of the Company’s Common Stock from 200,000,000 to 300,000,000 and issue
all of the shares of Common Stock and the Warrant Shares (as defined below) in accordance with Nevada law and any applicable rules
or regulations of any national securities exchange and/or over-the-counter trading platform on which the Company’s Common
Stock is traded and/or quoted.

 

		II.	REPRESENTATIONS AND WARRANTIES OF THE SUBSCRIBER

 

The Subscriber represents
and warrants to the Company, with the intent that the Company will rely thereon, that:

 

2.1Accredited
Investor or Non-U.S. Person The Subscriber is either (i) an “accredited investor” as such term is defined in Rule 501
of Regulation D promulgated under the Securities Act, it is able to bear the economic risk of any investment in the Securities
and the information furnished in the accompanying investor questionnaire, which is attached hereto as Exhibit A-1, is accurate
and complete in all material respects or (ii) it is not a U.S. Person (a “Reg S Person”), and the representations contained
in the information furnished in the accompanying investor questionnaire, which is attached hereto as Exhibit A-2, is accurate
and complete in all material respects.

 

2.2Reliance
on Exemptions. The Subscriber acknowledges that the Offering has not been reviewed by the Securities and Exchange Commission (the
“Commission”) or any state agency because it is intended to be an offering exempt from the registration requirements
of the Securities Act and state securities laws. The Subscriber understands that the Company is relying in part upon the truth
and accuracy of, and the Subscriber’s compliance with the representations, warranties, agreements, acknowledgments and understandings
of the Subscriber set forth herein in order to determine the availability of such exemptions and the eligibility of the Subscriber
to acquire the Securities.

 

2.3Investment
Purpose. The Subscriber is purchasing the Securities as principal for its own account, and, in the case of a Non-U.S. Person, not
for the account or benefit of, directly or indirectly, any U.S. Person. The Subscriber is purchasing the Securities for investment
purposes only and not with an intent or view towards further sale or distribution (as such term is used in Section 2(11) of the
Securities Act) thereof, and has not pre-arranged any sale with any other purchaser and has no plans to enter into any such agreement
or arrangement. If the Subscriber is a Non-U.S. Person, such Subscriber has no intention to distribute either directly or indirectly
any of the Units in the United States or to U.S. Persons.

 

2.4Risk
of Investment. The Subscriber recognizes that the purchase of the Securities involves a high degree of risk in that: (a) an investment
in the Company is highly speculative and only investors who can afford the loss of their entire investment should consider investing
in the Company and the Securities; (b) transferability of the Securities is limited; and (c) the Company may require substantial
additional funds to operate its business and subsequent equity financings will dilute the ownership and voting interests of Subscriber.

 

2.5No
Registration. The Securities have not been registered under the Securities Act or any state securities laws and may not be transferred,
sold, assigned, hypothecated or otherwise disposed of unless registered under the Securities Act and applicable state securities
laws or unless an exemption from such registration is available (including, without limitation, under Rule 144 of the Securities
Act, as such rule may be amended, or any similar rule or regulation hereafter adopted by the Commission having substantially the
same effect (“Rule 144”)). The Subscriber represents and warrants and hereby agrees that all offers and sales of the
Units shall be made only pursuant to such registration or to such exemption from registration.

 

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2.6Prior
Investment Experience. The Subscriber is sufficiently experienced in financial and business matters to be capable of evaluating
the merits and risks of its investments, and to make an informed decision relating thereto, and to protect its own interests in
connection with the purchase of the Shares.

 

2.7Information.
The Subscriber acknowledges careful review of this Agreement, the Memorandum, including the Warrant and all other exhibits thereto
(collectively, the “Offering Documents”) as well as the Company’s filings with the Commission, as required pursuant
to the Securities and Exchange Act of 1934, as amended (the “Exchange Act”) which are available on the Internet at
www.sec.gov, all of which the undersigned acknowledges have been provided to the undersigned. The undersigned has been given
the opportunity to ask questions of, and receive answers from, the Company concerning the terms and conditions of this Offering
and the Offering Documents and to obtain such additional information, to the extent the Company possesses such information or can
acquire it without unreasonable effort or expense, necessary to verify the accuracy of same as the undersigned reasonably desires
in order to evaluate the investment. The undersigned understands the Offering Documents, and the undersigned has had the opportunity
to discuss any questions regarding any of the Offering Documents with its counsel or other advisor. Notwithstanding the foregoing,
the only information upon which the undersigned has relied is that set forth in the Offering Documents. The undersigned has received
no representations or warranties from the Company, its employees, agents or attorneys in making this investment decision other
than as set forth in the Offering Documents. The undersigned does not desire to receive any further information.

 

2.8Investment Decision.
In making the decision to invest in the Securities the Subscriber has relied solely upon the information provided by the Company
in the Offering Materials. To the extent necessary, the Subscriber has retained, at its own expense, and relied upon appropriate
professional advice regarding the investment, tax and legal merits and consequences of this Agreement and the purchase of the Securities
hereunder. The Subscriber disclaims reliance on any statements made or information provided by any person or entity in the course
of Subscriber’s consideration of an investment in the Securities other than the Offering Materials.

 

2.9No
Representations. The Subscriber hereby represents that, except as expressly set forth in the Offering Documents, no representations
or warranties have been made to the Subscriber by the Company or any agent, employee or affiliate of the Company, and in entering
into this transaction the Subscriber is not relying on any information other than that contained in the Offering Documents and
the results of independent investigation by the Subscriber.

 

2.10Tax
Consequences. The Subscriber acknowledges that the Offering may involve tax consequences and that the contents of the Offering
Documents do not contain tax advice or information. The Subscriber acknowledges that it must retain its own professional advisors
to evaluate the tax and other consequences of an investment in the Securities.

 

2.11No
Recommendation or Endorsement. The Subscriber understands that no federal, state or other regulatory authority has passed on or
made any recommendation or endorsement of the Units. Furthermore, the foregoing authorities have not confirmed the accuracy or
determined the adequacy of this Agreement or the Memorandum. Any representation to the contrary is a criminal offense.

 

    	4

    	 

    

  

2.12No
General Solicitation. The Subscriber represents that the Subscriber was not induced to invest by any form of general solicitation
or general advertising including, but not limited to, the following: (a) any advertisement, article, notice or other communication
published in any newspaper, magazine or similar media or broadcast over the news or radio; and (b) any seminar or meeting whose
attendees were invited by any general solicitation or advertising.

 

2.13No
Directed Selling Efforts. If the Subscriber is a non-U.S. Person, the Subscriber has not acquired the Units as a result of, and
will not itself engage in, any “directed selling efforts” (as defined in Regulation S under the Securities Act) in
the United States in respect of the Units which would include any activities undertaken for the purpose of, or that could reasonably
be expected to have the effect of, conditioning the market in the United States for the resale of the Units; provided, however,
that the Subscriber may sell or otherwise dispose of the Units pursuant to registration thereof under the Securities Act and any
applicable state and provincial securities laws or under an exemption from such registration requirements; 

 

2.14No
Plan or Scheme. If the Subscriber is a non-U.S. Person, the Subscriber acknowledges that the statutory and regulatory basis for
the exemption from U.S registration requirements claimed for the offer of the Units, although in technical compliance with Regulation
S, would not be available if the offering is part of a plan or scheme to evade the registration provisions of the Securities Act
or any applicable state or provincial securities laws; 

 

2.15The
Subscriber. The Subscriber (i) if a natural person, represents that the Subscriber has reached the age of 21 and has full power
and authority to execute and deliver this Agreement and all other related agreements or certificates and to carry out the provisions
hereof and thereof; (ii) if a corporation, partnership, or limited liability company or partnership, or association, joint stock
company, trust, unincorporated organization or other entity, represents that such entity was not formed for the specific purpose
of acquiring the Units, such entity is duly organized, validly existing and in good standing under the laws of the state of its
organization, the consummation of the transactions contemplated hereby is authorized by, and will not result in a violation of
state law or its charter or other organizational documents, such entity has full power and authority to execute and deliver this
Subscription and all other related agreements or certificates and to carry out the provisions hereof and thereof and to purchase
and hold the Securities, the execution and delivery of this Subscription has been duly authorized by all necessary action, this
Agreement has been duly executed and delivered on behalf of such entity and is a legal, valid and binding obligation of such entity;
or (iii) if executing this Agreement in a representative or fiduciary capacity, represents that it has full power and authority
to execute and deliver this Subscription in such capacity and on behalf of the subscribing individual, ward, partnership, trust,
estate, corporation, or limited liability company or partnership, or other entity for whom the Subscriber is executing this Agreement,
and such individual, partnership, ward, trust, estate, corporation, or limited liability company or partnership, or other entity
has full right and power to perform pursuant to this Subscription and make an investment in the Company, and represents that this
Subscription constitutes a legal, valid and binding obligation of such entity. The execution and delivery of this Agreement will
not violate or be in conflict with any order, judgment, injunction, agreement or controlling document to which the Subscriber is
a party or by which it is bound;

 

2.16Legends. The
Subscriber consents to the placement of a legend on any certificate or other document evidencing the Securities and, when issued,
the shares of Common Stock issuable upon exercise of the Warrant (the “Warrant Shares”) that such securities have not
been registered under the Securities Act or any state securities or “blue sky” laws and setting forth or referring
to the restrictions on transferability and sale thereof contained in this Agreement. The Subscriber is aware that the Company will
make a notation in its appropriate records with respect to the restrictions on the transferability of such Securities. The legend
to be placed on each certificate shall be in form substantially similar to the following:

 

    	5

    	 

    

  

For
U.S. Persons:

   

THESE
SECURITIES HAVE BEEN ISSUED PURSUANT TO THE EXEMPTION FROM THE REGISTRATION PROVISIONS UNDER THE SECURITIES ACT OF 1933, AS AMENDED
PROVIDED BY RULE 506 OF REGULATION D UNDER SUCH ACT AND/OR SECTION 4(2) OF SUCH ACT. THESE SECURITIES CANNOT BE TRANSFERRED, OFFERED,
OR SOLD UNLESS THE SECURITIES ARE REGISTERED UNDER THE SECURITIES ACT OR AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT IS AVAILABLE.

   

For
Non-U.S. Persons:

 

THESE
SECURITIES WERE ISSUED IN AN OFFSHORE TRANSACTION TO PERSONS WHO ARE NOT U.S. PERSONS (AS DEFINED HEREIN) PURSUANT TO REGULATION
S UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “1933 ACT”). ACCORDINGLY, NONE OF THE SECURITIES
TO WHICH THIS CERTIFICATE RELATES HAVE BEEN REGISTERED UNDER THE 1933 ACT, OR ANY U.S. STATE SECURITIES LAWS, AND, UNLESS SO REGISTERED,
NONE MAY BE OFFERED OR SOLD IN THE UNITED STATES (AS DEFINED HEREIN) OR, DIRECTLY OR INDIRECTLY, TO U.S. PERSONS (AS DEFINED HEREIN)
EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT OR PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE
REGISTRATION REQUIREMENTS OF THE 1933 ACT AND IN EACH CASE ONLY IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS. IN ADDITION,
HEDGING TRANSACTIONS INVOLVING THE SECURITIES MAY NOT BE CONDUCTED UNLESS IN ACCORDANCE WITH THE 1933 ACT. “UNITED STATES"
AND "U.S. PERSON" ARE AS DEFINED BY REGULATION S UNDER THE 1933 ACT.

 

The
legend set forth above shall be removed and the Company shall issue a certificate without such legend to the holder of the Securities
upon which it is stamped, if (a) such Securities are being sold pursuant to a registration statement under the Securities Act,
(b) such holder delivers to the Company an opinion of counsel, in a reasonably acceptable form, to the Company that a disposition
of the Securities is being made pursuant to an exemption from such registration, or (c) such holder provides the Company with reasonable
assurance that a disposition of the Securities may be made pursuant to the Rule 144 under the Securities Act without any restriction
as to the number of securities acquired as of a particular date that can then be immediately sold.

 

2.17Address.
The Subscriber hereby represents that the address of the Subscriber furnished by the Subscriber at the end of this Subscription
Agreement is the undersigned’s principal residence if the Subscriber is an individual or its principal business address if
it is a corporation or other entity.

 

2.18Foreign
Subscriber. If the Subscriber is not a United States person, such Subscriber hereby represents that it has satisfied itself as
to the full observance of the laws of its jurisdiction in connection with any invitation to subscribe for the Securities or any
use of this Subscription Agreement, including: (a) the legal requirements within its jurisdiction for the purchase of the Securities;
(b) any foreign exchange restrictions applicable to such purchase; (c) any governmental or other consents that may need to be obtained;
and (d) the income tax and other tax consequences, if any, that may be relevant to the purchase, holding, redemption, sale or transfer
of the Securities. Such Subscriber’s subscription and payment for, and its continued beneficial ownership of the Securities,
will not violate any applicable securities or other laws of the Subscriber’s jurisdiction.

 

    	6

    	 

    

  

2.19Survival.
The representations and warranties of the Subscriber contained herein will be true at the date of execution of this Agreement by
the Subscriber and as of the Closing Date in all material respects as though such representations and warranties were made as of
such times and shall survive the Closing Date and the delivery of the Units. The Subscriber agrees that it will notify and supply
corrective information to the Company immediately upon the occurrence of any change therein occurring prior to the Company’s
issuance of the Units.

 

		III.	REPRESENTATIONS BY THE COMPANY

 

The
Company represents and warrants to the Subscriber, except as set forth in the disclosure schedules attached hereto:

 

3.1Organization.
The Company is duly organized and validly existing in good standing under the laws of the jurisdiction of its organization. The
Company has full power and authority to own, operate and occupy its properties and to conduct its business as presently conducted,
and is registered or qualified to do business and in good standing in each jurisdiction in which the nature of the business conducted
by it or the location of the properties owned or leased by it requires such qualification and where the failure to be so qualified
would have a material adverse effect upon the Company’s financial condition (a “Material Adverse Effect”), and
no proceeding has been instituted in any such jurisdiction revoking, limiting or curtailing, or seeking to revoke, limit or curtail,
such power and authority or qualification.

3.2Due Authorization
and Valid Issuance. The Company has all requisite power and authority to execute, deliver and perform its obligations under the
Offering Documents, and when executed and delivered by the Company will constitute legal, valid and binding agreements of the Company
enforceable against the Company in accordance with their terms, except as rights to indemnity and contribution may be limited by
state or federal securities laws or the public policy underlying such laws, and except as enforceability may be limited by applicable
bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ and contracting parties’ rights
generally, and except as enforceability may be subject to general principles of equity (regardless of whether such enforceability
is considered in a proceeding in equity or at law).

 

3.3Noncontravention.
The execution and delivery of the Offering Documents, the issuance and sale of the Securities under the Offering Documents, the
fulfillment of the terms of the Offering Documents, and the consummation of the transactions contemplated thereby will not (i) conflict
with or constitute a violation of, or default (with the passage of time or otherwise) under (1) any material bond, debenture, note
or other evidence of indebtedness, lease, contract, indenture, mortgage, deed of trust, loan agreement, joint venture or other
agreement or instrument to which the Company is a party or by which it or any of its properties are bound, (2) the charter, bylaws
or other organizational documents of the Company or any subsidiary or (3) any law, administrative regulation, ordinance or order
of any court or governmental agency, arbitration panel or authority applicable to the Company or its properties, except for any
such conflicts, violations or defaults that are not reasonably likely to have a Material Adverse Effect, or (ii) result in the
creation or imposition of any lien, encumbrance, claim, security interest or restriction whatsoever upon any of the material properties
or assets of the Company or an acceleration of indebtedness pursuant to any obligation, agreement or condition contained in any
material bond, debenture, note or any other evidence of indebtedness, indenture, mortgage, deed of trust or any other agreement
or instrument to which the Company is a party or by which it is bound or to which any of the material property or assets of the
Company is subject. No consent, approval, authorization or other order of, or registration, qualification or filing with, any regulatory
body, administrative agency, or other governmental body in the United States or any other person is required for the execution
and delivery of the Offering Documents and the valid issuance and sale of the Securities to be sold pursuant to the Offering Documents,
other than such as have been made or obtained, and except for any post-closing securities filings or notifications required to
be made under federal or state securities laws.

 

    	7

    	 

    

  

3.4No Violation.
The Company is not (a) in violation of its charter, bylaws or other organizational document; (b) in violation of any law,

 

 

		IV.	INDEMNIFICATION

 

4.1The
Subscriber agrees to indemnify and hold harmless the Company, Placement Agent and all Selected Dealers and Finders against and
in respect of any and all loss, liability, claim, damage, deficiency, and all actions, suits, proceedings, demands, assessments,
judgments, costs and expenses whatsoever (including, but not limited to, attorneys' fees reasonably incurred in investigating,
preparing, or defending against any litigation commenced or threatened or any claim whatsoever through all appeals) arising out
of or based upon any false representation or warranty or breach or failure by the Subscriber to comply with any covenant, representation
or other provision made by it herein or in any other document furnished by it in connection with this Agreement, provided, however,
that such indemnity, shall in no event exceed the net proceeds received by the Company from the Subscriber as a result of the sale
of Units to the Subscriber.

 

4.2The
Company agrees to indemnify and hold harmless the Subscriber against and in respect of any and all loss, liability, claim, damage,
deficiency, and all actions, suits, proceedings, demands, assessments, judgments, costs and expenses whatsoever (including, but
not limited to, attorneys' fees reasonably incurred in investigating, preparing, or defending against any litigation commenced
or threatened or any claim whatsoever through all appeals) arising out of or based upon any false representation or warranty or
breach or failure by the Company to comply with any covenant, representation or other provision made by it herein or in any other
document furnished by it in connection with this Agreement.

 

		V.	MISCELLANEOUS

 

5.1Notice.
Any notices, consents, waivers or other communications required or permitted to be given under the terms of this Subscription Agreement
must be in writing and will be deemed to have been delivered: (a) upon receipt, when delivered personally, (b) upon receipt, when
sent by facsimile (provided confirmation of transmission is mechanically or electronically generated and kept on file by the sending
party), or (c) one (1) business day after deposit with an overnight courier service, in each case properly addressed to the party
to receive the same. The addresses and facsimile numbers for such communications shall be:

 

To
the Company:

 

SmartMetric,
Inc.

101
Convention Center Drive

Las
Vegas, Nevada 89101

Attention:
C. Hendrick

(786)
664-0642

 

    	8

    	 

    

    

With
a copy to (which shall not constitute notice):

 

Sichenzia
Ross Friedman Ference LLP

61
Broadway, 32nd Floor

New
York, New York 10006

Attention:
Andrea Cataneo

Facsimile:
(212) 930-9725

 

  

If
to the Subscriber, to its address and facsimile number set forth at the end of this Subscription Agreement, or to such other address
and/or facsimile number and/or to the attention of such other person as specified by written notice given to the Company five (5)
days prior to the effectiveness of such change. Written confirmation of receipt (a) given by the recipient of such notice, consent,
waiver or other communication, (b) mechanically or electronically generated by the sender’s facsimile machine containing
the time, date, recipient facsimile number and an image of the first page of such transmission, or (c) provided by an overnight
courier service shall be rebuttable evidence of personal service, receipt by facsimile or receipt from an overnight courier service
in accordance with clause (a), (b) or (c) above, respectively.

 

5.2Entire
Agreement; Amendment; Waiver. This Agreement supersedes all other prior oral or written agreements between the Subscriber, the
Company, their affiliates and persons acting on their behalf with respect to the matters discussed herein, and this Agreement and
the instruments referenced herein contain the entire understanding of the parties with respect to the matters covered herein and
therein and, except as specifically set forth herein or therein, neither the Company nor the Subscriber makes any representation,
warranty, covenant or undertaking with respect to such matters. No provision of this Agreement may be amended or waived other than
by an instrument in writing signed by the Company and the holders of at least a majority of the Securities then outstanding (determined
on an as exercised to common stock basis) (or if prior to the closing, the Subscribers purchasing at least a majority of the Securities
to be purchased at the closing). No such amendment shall be effective to the extent that it applies to less than all of the holders
of the Securities then outstanding.

 

5.3Severability.
If any provision of this Subscription Agreement shall be invalid or unenforceable in any jurisdiction, such invalidity or unenforceability
shall not affect the validity or enforceability of the remainder of this Subscription Agreement in that jurisdiction or the validity
or enforceability of any provision of this Subscription Agreement in any other jurisdiction.

 

5.4Governing
Law; Jurisdiction; Waiver of Jury Trial. All questions concerning the construction, validity, enforcement and interpretation of
this Subscription Agreement shall be governed by the internal laws of the State of New York, without giving effect to any choice
of law or conflict of law provision or rule (whether of the State of New York or any other jurisdictions) that would cause the
application of the laws of any jurisdictions other than the State of New York. Each party hereby irrevocably submits to the non-exclusive
jurisdiction of the state and federal courts sitting in New York County, New York for the adjudication of any dispute hereunder
or in connection herewith or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees
not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court,
that such suit, action or proceeding is brought in an inconvenient forum or that the venue of such suit, action or proceeding is
improper. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit,
action or proceeding by mailing a copy thereof to such party at the address for such notices to it under this Subscription Agreement
and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein
shall be deemed to limit in any way any right to serve process in any manner permitted by law. Each party hereby irrevocably waives
any right it may have, and agrees not to request, a jury trial for the adjudication of any dispute hereunder or in connection with
or arising out of this Subscription Agreement or any transaction contemplated hereby.

 

    	9

    	 

    

 

5.5Headings.
The headings of this Subscription Agreement are for convenience of reference and shall not form part of, or affect the interpretation
of, this Subscription Agreement.

 

5.6Successors
And Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their respective successors and assigns.
The Company shall not assign this Subscription Agreement or any rights or obligations hereunder without the prior written consent
of the holders of at least a majority the Securities then outstanding, except by merger or consolidation. The Subscriber shall
not assign its rights hereunder without the consent of the Company, which consent shall not be unreasonably withheld.

 

5.7No
Third Party Beneficiaries. This Subscription Agreement is intended for the benefit of the parties hereto and their respective permitted
successors and assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other person.

 

5.8Further
Assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall execute
and deliver all such other agreements, certificates, instruments and documents, as the other party may reasonably request in order
to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated hereby.

 

5.9Legal
Effect. The Subscriber acknowledges that: (a) it has read this Agreement and the exhibits hereto; and (b) it understands the terms
and consequences of this Agreement and is fully aware of its legal and binding effect.

 

5.10No
Strict Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to express their
mutual intent, and no rules of strict construction will be applied against any party.

 

5.11Independent
Legal Advice. The parties hereto acknowledge that they have each received independent legal advice with respect to the terms of
this Agreement and the transactions contemplated herein or have knowingly and willingly elected not to do so

 

5.12Counterparts.
This Agreement may be executed in two or more counterparts each of which shall be deemed an original, but all of which shall together
constitute one and the same instrument. In the event that any signature is delivered by facsimile transmission or by e-mail delivery
of a “.pdf” format data file, such signature shall create a valid and binding obligation of the party executing (or
on whose behalf such signature is executed) with the same force and effect as if such facsimile or “.pdf” signature
page were an original thereof.

 

  

[Signature
page follows.]

 

    	10

    	 

    

 

NUMBER
OF UNITS _________ X $12,000 = $_________ (the “Purchase Price”)

 

	___________________________	 	____________________________
	Signature	      	Signature (if purchasing jointly)
	 	 	 
	___________________________	 	____________________________
	Name Typed or Printed	 	Name Typed or Printed
	 	 	 
	___________________________	 	____________________________
	Title (if Subscriber is an Entity)	 	Title (if Subscriber is an Entity)
	 	 	 
	___________________________	 	____________________________
	Entity Name (if applicable	 	Entity Name (if applicable)
	 	 	 
	___________________________	 	____________________________
	Address	 	Address
	 	 	 
	___________________________	 	____________________________
	City, State and Zip Code	 	City, State and Zip Code
	 	 	 
	___________________________	 	____________________________
	Telephone-Business	 	Telephone-Business
	 	 	 
	___________________________	 	____________________________
	Telephone-Residence	 	Telephone-Residence
	 	 	 
	___________________________	 	____________________________
	Facsimile-Business	 	Facsimile-Business
	 	 	 
	___________________________	 	____________________________
	Facsimile-Residence	 	Facsimile-Residence
	 	 	 
	Tax
ID # or Social Security #	 	Tax ID # or Social
Security # 
	Name
in which securities should be issued:	 	____________________________

 

Dated:___________________, 2013

 

This
Subscription Agreement is agreed to and accepted as of ________________, 2013.

 

SmartMetric,
Inc.

 

By:____________________________________

Name:
C. Hendrick

Title:President
and Chief Executive Officer

 

    	11

    	 

    

  

CERTIFICATE
OF SIGNATORY

 

(To
be completed if Shares are

being
subscribed for by an entity)

 

 

I,
____________________________, am the ____________________________ of 

__________________________________________
(the “Entity”).

 

I
certify that I am empowered and duly authorized by the Entity to execute and carry out the terms of the Subscription Agreement
and to purchase and hold the Securities (including the Warrant Shares), and certify further that the Subscription Agreement has
been duly and validly executed on behalf of the Entity and constitutes a legal and binding obligation of the Entity.

 

IN
WITNESS WHEREOF, I have set my hand this ________ day of _________________, 2013

 

 

	 	 
	 	(Signature)

 

    	12

    	 

    

  

EXHIBIT A-1 - ACCREDITED
INVESTOR PAGE FOR U.S. SUBSCRIBERS ONLY

 

The
undersigned Subscriber is an “accredited investor” as that term is defined in Regulation D promulgated under the Securities
Act and amended by the Dodd-Frank Wall Street Reform and Consumer Protection Act by virtue of
being (initial all applicable responses):

 

______A
small business investment company licensed by the U.S. Small Business Administration under the Small Business Investment Company
Act of 1958,

 

______A business development company as defined in the Investment Company Act of 1940,

 

______A national or state-chartered commercial bank, whether acting in an  individual or fiduciary capacity,

 

____An insurance company as defined in Section 2(13) of the Securities Act,

 

____An investment company registered under the Investment Company Act of 1940,

 

_____An employee benefit plan within the meaning of Title I of the Employee Retirement Income Security Act of 1974, where the investment decision is made by a plan fiduciary, as defined in Section 3(21) of such Act, which is either a bank, insurance company, or registered investment advisor, or an employee benefit plan which has total assets in excess of $5,000,000,

 

_____A private business development company as defined in Section 202(a)(22) of the Investment Advisors Act of 1940,

 

_____An organization described in Section 501(c)(3) of the Internal Revenue Code, a corporation or a partnership with total assets in excess of $5,000,000,

 

_____A natural person whose individual net worth, or joint net worth with that person's spouse, at the time of purchase exceeds $1,000,000.  For purposes of this Exhibit A-1, “net worth” means the excess of total assets at fair market value over total liabilities. For purposes of calculating net worth under this section, (i) the primary residence shall not be included as an asset, (ii) to the extent that the indebtedness that is secured by the primary residence is in excess of the fair market value of the primary residence, the excess amount shall be included as a liability, and (iii) if the amount of outstanding indebtedness that is secured by the primary residence exceeds the amount outstanding 60 days prior to the execution of this questionnaire, other than as a result of the acquisition of the primary residence, the amount of such excess shall be included as a liability.

 

_____Any trust, with total assets in excess of $5,000,000, not formed for the specific purpose of acquiring the securities offered, whose purchase is directed by a sophisticated person as described in Section 506(b)(2)(ii) of Regulation D,

 

_____A
        natural person who had an individual income in excess of $200,000 in each of the two most recent calendar years, and has a reasonable
        expectation of reaching the same income level in the current calendar year. For purposes of this Exhibit A-1, “income”
        means annual adjusted gross income, as reported for federal income tax purposes, plus (i) the amount of any tax-exempt interest
        income received; (ii) the amount of losses claimed as a limited partner in a limited partnership; (iii) any deduction claimed for
        depletion; (iv) amounts contributed to an IRA or Keogh retirement plan; (v) alimony paid; and (vi) any amount by which income from
        long-term capital gains has been reduced in arriving at adjusted gross income pursuant to the provisions of Section 1202 of the
        Internal Revenue Code of 1986, as amended.

 

_____A corporation, partnership, trust or other legal entity (as opposed to a natural person) and all of such entity's equity owners fall into one or more of the categories enumerated above. (Note: additional documentation may be requested).

 

		 	
	Name of Subscriber (Print)	 	Name of Joint Subscriber (if any) (Print)
	                                                                                       	 	 
		 	
	Signature of Subscriber	 	Signature of Joint Subscriber
(if any)
	 	 	 
		 	
	Capacity of Signatory (for
entities)	    	Date

 

    	13

    	 

    

   

EXHIBIT A-2 - REGULATION
S PAGE FOR NON-U.S. SUBSCRIBERS

 

The
undersigned Subscriber (a “Reg S Person”) is not a U.S. Person as defined in Section 902 of Regulation S promulgated
under the Securities Act, and hereby represents that the representations in paragraphs (1) through (9) are true and correct with
respect to such Reg S Person. 

 

(1)Such
Reg S Person acknowledges and warrants that (i) the issuance and sale to such Reg S Person of the Securities is intended to be
exempt from the registration requirements of the Securities Act, pursuant to the provisions of Regulation S; (ii) it is not a “U.S.
Person,” as such term is defined in Regulation S and herein, and is not acquiring the Securities for the account or benefit
of any U.S. Person; and (iii) the offer and sale of the Securities has not taken place, and is not taking place, within the United
States of America or its territories or possessions. Such Reg S Person acknowledges that the offer and sale of the Securities has
taken place, and is taking place in an “offshore transaction,” as such term is defined in Regulation S.

 

(2)Such
Reg S Person acknowledges and agrees that, pursuant to the provisions of Regulation S, the Securities cannot be sold, assigned,
transferred, conveyed, pledged or otherwise disposed of to any U.S. Person or within the United States of America or its territories
or possessions for a period of six months from and after the Closing Date, unless such Securities are registered for sale in the
United States pursuant to an effective registration statement under the Securities Act or another exemption from such registration
is available. Such Reg S Person acknowledges that it has not engaged in any hedging transactions with regard to the Securities.

 

(3)Such
Reg S Person consents to the placement of a legend on any certificate, note or other document evidencing the Securities and understands
that the Company shall be required to refuse to register any transfer of Securities not made in accordance with applicable U.S.
securities laws. 

 

(4)Such
Reg S Person is not a “distributor” of securities, as that term is defined in Regulation S, nor a dealer in securities.
Such Reg S Person is purchasing the Securities as principal for its own account, for investment purposes only and not with an intent
or view towards further sale or distribution (as such term is used in Section 2(11) of the Securities Act) thereof, and has not
pre-arranged any sale with any other purchaser and has no plans to enter into any such agreement or arrangement.

 

(5)Such
Reg S Person is not an Affiliate of the Company nor is any Affiliate of such Reg S Person an Affiliate of the Company. An “Affiliate”
is an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability
company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind (each of the foregoing,
a “Person”) that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under
common control with a Person as such terms are used in and construed under Rule 405 under the Securities Act. With respect to a
Reg S Person, any investment fund or managed account that is managed on a discretionary basis by the same investment manager as
such Reg S Person will be deemed to be an Affiliate of such Reg S Person.

 

(6)Such
Reg S Person understands that the Securities have not been registered under the Securities Act or the securities laws of any state
and are subject to substantial restrictions on resale or transfer. The Securities are “restricted securities” within
the meaning of Regulation S and Rule 144, promulgated under the Securities Act.

 

    	14

    	 

    

  

(7)Such
Reg S Person acknowledges that the Securities may only be sold offshore in compliance with Regulation S or pursuant to an effective
registration statement under the Securities Act or another exemption from such registration, if available. In connection with any
resale of the Securities pursuant to Regulation S, the Company will not register a transfer not made in accordance with Regulation
S, pursuant to an effective registration statement under the Securities Act or in accordance with another exemption from the Securities
Act.

 

(8)Such
Reg S Person represents that it has satisfied itself as to the full observance of the laws of its jurisdiction in connection with
the offering of the Securities, including: (a) the legal requirements within its jurisdiction for the purchase of the Securities;
(b) any foreign exchange restrictions applicable to such purchase; (c) any governmental or other consents that may need to be obtained;
and (d) the income tax and other tax consequences, if any, that may be relevant to the purchase, holding, redemption, sale or transfer
of the Securities. Such Reg S person’s subscription and payment for, and its continued beneficial ownership of the Securities,
will not violate any applicable securities or other laws of the jurisdiction of its residence.

 

(9)Such
Reg S Person makes the representations, declarations and warranties as contained in this Exhibit A-2 with the intent that the same
shall be relied upon by the Company in determining its suitability as a purchaser of such Securities.

 

 

 

		 	
	Name of Subscriber (Print)	 	Name of Joint Subscriber (if any) (Print)
	                                                                                       	 	 
		 	
	Signature of Subscriber	 	Signature of Joint Subscriber
(if any)
	 	 	 
		 	
	Capacity of Signatory (for
entities)	    	Date

 

    	15

    	 

    

 

EXHIBIT B - WIRE
INSTRUCTIONS

 

 

 

  

    	16

    	 

    

 

EXHIBIT C- RISK FACTORS

 

There will be
restrictions on resale of the Securities, including any Warrant Shares issued upon exercise of the Warrants, and there is no assurance
of the registration of the Securities, including any Warrant Shares issued upon exercise of the Warrants. Neither
the Securities, nor the Warrant Shares when issued in accordance with the Warrants, may be sold unless, at the time of such intended
sale, there is a current registration statement covering the resale of the Securities or there exists an exemption from registration
under the Securities Act, and such Securities have been registered, qualified, or deemed to be exempt under applicable securities
or “blue sky” laws in the state of residence of the seller or in the state where sales are being effected. Investors
in this Offering have certain registration rights relating to the Common Stock issued as part of the Warrants and the Warrant Shares.
There can be no assurance that any registration statement required to be filed in accordance with the terms of this Offering will
become effective or if it becomes effective that it will remain so. If no registration statement is filed and declared effective
covering the resale of any of the Common Stock or the Warrant Shares, subscribers will be precluded from disposing of such securities
unless such securities may become eligible to be disposed of under the exemptions provided by Rule 144 under the Securities Act
without restriction. If the Securities sold pursuant to this Offering are not registered for resale under the Securities Act, or
exempt therefrom, and registered or qualified under applicable securities or “blue sky” laws, or deemed exempt therefrom,
the value of such Securities will be greatly reduced. 

 

The offering
price for the Units has been determined by the Company. The offering price of the Units was
arbitrarily determined by us. The price of the Units does not necessarily bear any relationship to established valuation criteria
such as earnings, book value or assets. Rather, the price of the Units was derived as a result of our negotiations with the investors
or the Placement Agents based upon various factors including prevailing market conditions, our future prospects and our capital
structure. These prices do not necessarily accurately reflect the actual value of the Units or the price that may be realized upon
disposition of the Common Stock or the Warrant Shares.

 

We have significant
discretion over the net proceeds. The maximum gross proceeds to us from the sale of the Units
will up to a maximum of $5,100,000. A significant portion of the net proceeds of this Offering will be applied to manufacturing,
distribution, marketing and advertising as well as working capital and other general corporate purposes. Accordingly, our management
will have broad discretion as to the application of such proceeds. The proceeds shall be used to carry out the business plan of
the Company, pay salaries to its employees, and satisfy all expenses of the Company, foreseeable and unforeseeable. As is the case
with any business, particularly one without a proven business model, it should be expected that certain expenses unforeseeable
to management at this juncture, will arise in the future. There can be no assurance that management’s use of proceeds generated
through this Offering will prove optimal or translate into revenue or profitability for the Company. Investors are urged to consult
with their attorneys, accountants and personal investment advisors prior to making any decision to invest in the Company.

 

An investment
in the Units is speculative and there can be no assurance of any return on any such investment. An
investment in the Units is speculative and there is no assurance that investors will obtain any return on their investment. Investors
will be subject to substantial risks involved in an investment in the Company, including the risk of losing their entire investment.

 

The Units will
be offered by us on a “best efforts basis,” and we may not raise the Maximum Offering. We
are offering the Units on a “best efforts” basis. In a “best efforts” offering such as the one described
in this Memorandum, there is no assurance that we will sell either the Maximum Offering. Accordingly, we may close upon amounts
less than the Maximum Offering, which may not provide us with sufficient funds to fully implement our business plan.

 

    	17

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