Document:

EX-10.27

 Exhibit 10.27 

Partners for Growth 
 Loan and
Security Agreement 
  

			
	Borrower:		Sonic Foundry, Inc., a Maryland corporation
	Address:		222 W. Washington Avenue, Madison, WI 53703
		
	Date:		May 13, 2015

 THIS LOAN AND SECURITY AGREEMENT (“Agreement”) is entered into on the above date (the “Effective
Date”) between PARTNERS FOR GROWTH IV, L.P. (“PFG”), whose address is 150 Pacific Avenue, San Francisco, CA 94111 and Borrower(s) named above (jointly and severally, the “Borrower”), whose chief executive office is located
at the above address (“Borrower’s Address”). The Schedule to this Agreement (the “Schedule”) being signed by the parties concurrently, is an integral part of this Agreement. (Definitions of certain terms used in this
Agreement are set forth in Section 7 below.) 
  

	1.	LOANS. 

 1.1 Loans. PFG will make loans to Borrower (the
“Loan” or “Loans”) in the amount (s) shown on the Schedule subject at all times to, and notwithstanding any other provision of this Agreement, no Default or Event of Default having occurred and being continuing at any time a
Loan is requested or made. 
 1.2 Interest. All Loans and all other monetary Obligations shall bear interest at
the rate shown on the Schedule, except where expressly set forth to the contrary in this Agreement. Interest shall be payable monthly, on the first day of each month for interest accrued during the prior month. 

1.3 Fees. Borrower shall pay PFG the fees shown on the Schedule, which are in addition to all interest Lender Expenses and other
sums payable to PFG and are not refundable. 
 1.4 Loan Requests. To obtain a Loan, Borrower shall make a
Qualifying Request to PFG compliant with Section 8.5. Loan Requests are not deemed made until PFG acknowledges receipt of the same by electronic mail or otherwise in writing. Borrower appoints the Responsible Officer(s) as its authorized agent
to make Loan Requests and any Loan Request made by such Responsible Officer(s) shall be binding on Borrower as if made by its own officers who are duly authorized to bind Borrower in respect of this Agreement. PFG’s obligation to fund a Loan
Request shall be subject to its receipt of such reports, certificates and other information as may be set forth in the Schedule. Loan Requests received after 12:00 Noon Pacific time will not be deemed to have been received by PFG until the next
Business Day. PFG may rely on any Loan Request given by a person whom PFG believes in good faith is a Responsible Officer, and Borrower will indemnify PFG for any loss PFG suffers as a result of that reliance. 

1.5 Late Fee. If any payment of accrued interest for any month is not made within three business days after the later of the
date a bill therefor is sent by PFG or three business days after the due date therefor, or if any payment of principal or any other payment is not made within three Business Days after the date due, then Borrower shall pay PFG a late payment fee
equal to 5% of the amount of each such late payment. The provisions of this paragraph shall not be construed as PFG’s consent to Borrower’s failure to pay any amounts when due, and PFG’s acceptance of any such late payments shall not
restrict PFG’s exercise of any remedies arising out of any such failure. Unless expressly waived in writing by PFG in its sole discretion, interest at the Default Rate shall commence to apply to outstanding monetary Obligations as from the date
the above grace periods expire. 
  

	2.	SECURITY INTEREST. 

 2.1 Grant of Security Interest. To secure the
payment and performance of all of the Obligations when due, Borrower hereby grants to PFG a continuing security interest in, and pledges to PFG, all of the following (collectively, the “Collateral”): all right, title and interest of
Borrower in and to all of the following, whether now owned or hereafter arising or acquired and wherever located: all Accounts; all Inventory; all Equipment; all Deposit Accounts; all General Intangibles (including without limitation all
Intellectual Property); all Investment Property; all Other Property (including all equity interests owned in US domestic Subsidiaries and 65% of all equity interests in all non-U.S. domiciled Subsidiaries); and any and all claims, rights and
interests in any of the above, and all guaranties and security for any of the above, and all substitutions and replacements for, additions, accessions, attachments, accessories, and improvements to, and proceeds (including proceeds of any insurance
policies, proceeds of proceeds and claims against third parties) of, any and all of the above and all Borrower’s books relating to any and all of the above. 

  
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	3.	REPRESENTATIONS, WARRANTIES AND COVENANTS OF BORROWER. 

 In order to induce PFG to
enter into this Agreement and to make Loans, Borrower represents and warrants to PFG as follows, and Borrower covenants that the following representations will continue to be true, except for representations expressly specified to be made as of a
particular date, and that Borrower will at all times comply with all of the following covenants, throughout the term of this Agreement and thereafter until all Obligations (other than inchoate indemnity obligations) have been paid and performed in
full: 
 3.1 Corporate Existence, Authority and Consents. Borrower is and will continue to be, duly organized, validly
existing and in good standing under the laws of the jurisdiction of its formation and has in full force and effect all Governmental Authorizations required for Borrower to lawfully conduct its business as conducted on the Effective Date. Borrower
shall give PFG 30 days’ prior written notice before changing its jurisdiction or form of organization. Borrower is and will continue to be qualified and licensed to do business in all jurisdictions in which any failure to do so could result in
an adverse effect on Borrower or its business or result in a monetary or non-monetary obligation with a value in excess of $100,000. The execution, delivery and performance by Borrower of this Agreement, and all other documents contemplated hereby
(i) have been duly and validly authorized, (ii) are enforceable against Borrower in accordance with their terms (except as enforcement may be limited by equitable principles and by bankruptcy, insolvency, reorganization, moratorium or
similar relating to creditors’ rights generally), and (iii) do not violate Borrower’s Constitutional Documents, or any Legal Requirement or any material agreement or instrument of Borrower or relating to its property, (iv) does
not require any action by, filing, registration or qualification with, or Governmental Authorization from, any Governmental Body (except such Governmental Authorizations which have already been obtained and are in full force and effect), and
(v) do not constitute grounds for acceleration of any material Indebtedness or obligation under any agreement or instrument of Borrower or relating to its property. Without limiting the foregoing: (A) the Board has the authority under
Borrower’s Constitutional Documents to enter into and cause Borrower to perform, or to delegate such authority to a Responsible Officer to enter into and cause Borrower to perform, its Obligations, and (B) no consent is required of any
Person to make the representation set forth in clause (A) absolutely true in all respects. 
 3.2 Name; Trade Names
and Styles. As of the Effective Date, the name of Borrower set forth in the heading to this Agreement is its correct name, as set forth in its Constitutional Documents. Listed in the Representations are all prior names of Borrower and all of
Borrower’s present and prior trade names as of the Effective Date. Borrower shall give PFG 30 days’ prior written notice before changing its name or doing business under any other name. Borrower has complied, and will in the future comply,
in all material respects, with all laws relating to the conduct of business under a fictitious business name, if applicable to Borrower. 

3.3 Place of Business; Location of Collateral. As of the Effective Date, the address set forth in the heading to this Agreement
is Borrower’s chief executive office. In addition, as of the Effective Date, Borrower has places of business and Collateral is located only at the locations set forth in the Representations. Borrower will give PFG at least 30 days prior written
notice before opening any additional place of business, changing its chief executive office, or moving any of the Collateral valued at greater than $100,000 to a location other than Borrower’s Address or one of the locations set forth in the
Representations, except that Borrower may maintain sales offices in the ordinary course of business at which not more than a total of $10,000 fair market value of Equipment is located. 

3.4 Title to Collateral; Perfection; Permitted Liens.  

(a) Borrower is as of the Effective Date, and will at all times in the future be, the sole owner of all the Collateral, except for Collateral
which is leased or licensed to Borrower. The Collateral is as of the Effective Date and will remain free and clear of any and all liens, charges, security interests, encumbrances and adverse claims, except for Permitted Liens. As of the Effective
Date, PFG will have, and will continue to have, a First-Priority perfected and enforceable security interest in all of the Collateral, subject only to Permitted Liens, and Borrower will at all times defend PFG and the Collateral against all claims
of others. 
 (b) Borrower has set forth in the Representations all of Borrower’s Collateral Accounts as of the Effective Date, and
Borrower shall (i) give PFG five Business Days advance written notice before establishing any new Collateral Accounts or (ii) depositing any Cash or Cash Equivalents or Investment Property into any new Collateral Account and
(iii) shall cause the institution where any such new Collateral Account is maintained to execute and deliver to PFG a Control Agreement in form sufficient to perfect PFG’s security interest in the Collateral Account and otherwise
satisfactory to PFG in its good faith business judgment. 

  
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 (c) In the event that Borrower shall at any time after the Effective Date have any commercial
tort claims against others, which it is asserting, and in which the potential recovery exceeds $100,000, Borrower shall promptly notify PFG thereof in writing and provide PFG with such information regarding the same as PFG shall request (unless
providing such information would waive Borrower’s attorney-client privilege). Such notification to PFG shall constitute a grant of a security interest in the commercial tort claim and all proceeds thereof to PFG, and Borrower shall execute and
deliver all such documents and take all such actions as PFG shall request in connection therewith. 
 (d) No Collateral with a value in
excess of $100,000 is affixed to any real property in such a manner or with such intent as to become a fixture, except as disclosed in detail in Exhibit A. From and after the Effective Date, without PFG’s consent in each instance, no
material part of the Collateral will be affixed to any real property in such a manner, or with such intent, as to become a fixture. Borrower is not, except as set forth in Exhibit A, and will not become a lessee under any real property lease
pursuant to which the lessor may obtain any rights in any of the Collateral and no such lease now prohibits, restrains, impairs or will prohibit, restrain or impair Borrower’s right to remove any Collateral from the leased premises. Whenever
any Collateral is located upon premises in which any third party has an interest, Borrower shall, whenever requested by PFG, use commercially reasonable efforts to cause such third party to execute and deliver to PFG, in form acceptable to PFG, such
waivers and subordinations as PFG shall specify in its good faith business judgment. Borrower will keep in full force and effect, and will comply with all material terms of, any lease of real property where any of the Collateral now or in the future
may be located. 
 (e) Except as specified in the Representations, Borrower is not party to, nor is it bound by, any Restricted License.

 3.5 Maintenance of Collateral. Borrower will maintain the Collateral in good working condition (ordinary wear and tear
excepted), and Borrower will not use the Collateral for any unlawful purpose. Borrower will immediately advise PFG in writing of any material loss or damage to the Collateral. 

3.6 Books and Records. Borrower has maintained and will maintain at Borrower’s Address complete and accurate books and
records, comprising an accounting system in accordance with GAAP. 
 3.7 Financial Condition, Statements and
Reports. All Financial Statements now or in the future delivered to PFG have been, and will be, prepared in conformity with GAAP and now and in the future will fairly present the results of operations and financial condition of Borrower in
all material respects, in accordance with GAAP, at the times and for the periods therein stated. Between the last date covered by any such statement provided to PFG and the Effective Date, there has been no Material Adverse Change.

 3.8 Tax Returns and Payments; Pension Contributions. Borrower has timely filed, and will timely file, all required
Tax Returns, and Borrower has timely paid, and will timely pay, all Taxes now or in the future owed by Borrower. Borrower may, however, defer payment of any of the foregoing which are contested by Borrower in good faith, provided that Borrower
(i) contests the same by appropriate proceedings promptly and diligently instituted and conducted, (ii) notifies PFG in writing of the commencement of, and any material development in, the proceedings, and (iii) posts bonds or takes
any other steps required to keep the same from becoming a lien upon any of the Collateral. Borrower is unaware of any claims or adjustments proposed for any of Borrower’s prior tax years which could result in additional Taxes becoming due and
payable by Borrower. Borrower has paid, and shall continue to pay all amounts necessary to fund all present and future pension, profit sharing and deferred compensation plans in accordance with their terms, and Borrower has not and will not withdraw
from participation in, permit partial or complete termination of, or permit the occurrence of any other event with respect to, any such plan which could reasonably be expected to result in any liability of Borrower, including any liability to the
Pension Benefit Guaranty Corporation or its successors or any other Governmental Body.  
 3.9 Compliance with
Law. Borrower has, to the best of its knowledge, complied, and will comply, in all material respects, with all provisions of all Legal Requirements applicable to Borrower, including, but not limited to, those relating to Borrower’s
ownership of real or personal property, the conduct and licensing of Borrower’s business, and all environmental matters. 

3.10 Litigation. There is no claim, suit, litigation, proceeding or investigation pending or (to best of Borrower’s
Knowledge) threatened against or affecting Borrower in any court or before any Governmental Body (or any basis therefor known to Borrower) (i) involving individually or in the aggregate more than $50,000, or (ii) which could reasonably be
expected to result, either separately or in the aggregate, in any Material Adverse Change. Borrower will promptly inform PFG in writing of any claim, proceeding, litigation or investigation in the future threatened or instituted against Borrower
involving any single claim of $50,000 or more, or involving $100,000 or more in the aggregate.  
 3.11 Use of
Proceeds. All proceeds of all Loans shall be used solely for lawful business purposes, including any purposes detailed in the Schedule. Borrower is not purchasing or carrying any “margin stock” (as defined in Regulation U of the
Board of Governors of the Federal Reserve System) and no part of the proceeds of any Loan will be used to purchase or carry any “margin stock” or to extend credit to others for the purpose of purchasing or carrying any “margin
stock.”  

  
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 3.12 No Default. At the Effective Date, no Default or Event of Default has
occurred, and no Default or Event of Default will have occurred after giving effect to any Loans being made concurrently herewith. 

3.13 Protection and Registration of Intellectual Property Rights. Borrower owns or otherwise holds the right to use all
Intellectual Property rights material to Borrower’s business or necessary for the conduct of its business as currently conducted and reflected in any Borrower’s financial plans covering future periods. Borrower shall: (a) protect,
defend and maintain the validity and enforceability of its Intellectual Property, other than Intellectual Property that is not material to Borrower’s business, has a fair value of less than $25,000 and that Borrower has affirmatively determined
not to maintain or to abandon; (b) promptly advise PFG in writing of infringements of its Intellectual Property material to its business; (c) not allow any Intellectual Property material to Borrower’s business to be abandoned,
forfeited or dedicated to the public without PFG’s written consent, (d) provide (i) written notice to PFG at least ten (10) days prior to entering into or becoming bound by any Restricted License (other than over-the-counter
software that is commercially available to the public and licenses or agreements of Borrower with customers in which Borrower is an original equipment manufacturer), and (ii) the consent or waiver of any Person whose consent or waiver is
necessary for (A) any Restricted License to be deemed “Collateral” and for PFG to have a Lien in it that might otherwise be restricted or prohibited by law or by the terms of any such Restricted License, whether now existing or
entered into in the future, and (B) PFG to have the ability in the event of a liquidation of any Collateral to dispose of such Collateral in accordance with PFG’s rights and remedies under this Agreement and the other Loan Documents, and
(e) while any Obligations are Outstanding, shall not Transfer any Intellectual Property without PFG’s consent, which consent shall not be unreasonably withheld if no Default or Event of Default has occurred and is then continuing, the
Transfer of such Intellectual Property would not give rise to such a Default or Event of Default, and if such Intellectual Property meets the three criteria set forth as the exceptions to Borrower’s duties to protect, defend and maintain under
clause (a), above. If, before the Obligations have been paid and/or performed in full, Borrower shall (i) adopt, use, acquire or apply for registration of any trademark, service mark or trade name, (ii) apply for registration of any patent
or obtain any patent or patent application; (iii) create or acquire any published or material unpublished works of authorship material to the business that is or is to be registered with the U.S. Copyright Office or any non-U.S. equivalent; or
(iv) register or acquire any domain name or domain name rights, then the provisions of Section 2.1 shall automatically apply thereto, and Borrower shall use all commercially reasonable efforts to give PFG advance written notice thereof and
in any event shall thereafter give PFG prompt written notice thereof (which for purposes hereof shall be deemed to be not more than five (5) Business Days from the occurrence of each and any of the foregoing). Borrower shall further provide PFG
with all information and details relating to the foregoing and take such further actions as PFG may reasonably request from time to time to enable PFG to perfect or continue the perfection of PFG’s interest in such Collateral. 

3.14 Domain Rights and Related Matters. Borrower (a) is the sole record, legal and beneficial owner of all domain names and
domain name rights used in connection with its business and that of its Subsidiaries, free and clear of any rights or claims of any third party; (b) has set forth in the Representations with respect to domain names and ownership thereof, domain
registry, domain servers, location and administrative contact information, web hosting and related services and facilities (collectively, “Domain Rights”) is true, accurate and complete and Borrower shall promptly notify PFG of any
material changes to such information; (c) shall maintain all Domain Rights that Borrower has not affirmatively determined to abandon in full force and effect so long as any Obligations remain outstanding; (d) shall, upon request of PFG,
notify such third parties (including domain registrars, hosting companies and internet service providers) of PFG’s security interest in Borrower’s Domain Rights; and (e) shall promptly advise PFG in writing of any material disputes or
infringements of its Domain Rights. The obligations of Borrower under this Section shall not be limited by any Borrower obligations under the IP Security Agreement and related Collateral Agreements and Notices executed in connection with this
Agreement. 
 3.15 Dormant Subsidiary. The Dormant Subsidiary (a) does not own assets or property of any
kind (including any assets or property that would constitute Collateral if the Dormant Subsidiary were a Borrower) with an aggregate value among all such assets and property greater than $10,000; (b) does not actively conduct any business;
(c) has no Collateral Accounts in its name; and (d) has no outstanding business obligations to any Person (including any Indebtedness). 
  

	4.	ADDITIONAL DUTIES OF BORROWER. 

 Borrower will at all times comply with all of
the following covenants throughout the term of this Agreement: 
 4.1 Financial and Other Covenants. Borrower shall at all
times comply with the financial and other covenants set forth in the Schedule. 
 4.2. Remittance of Proceeds.
Subject to the rights of the Senior Lender, all proceeds arising from the disposition of any Collateral shall be delivered, in kind, by Borrower to PFG in the original form in which received by Borrower not later than 

  
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the following Business Day after receipt by Borrower, to be applied to the Obligations in such order as PFG shall determine; provided that, if no Default or Event of Default has occurred and is
continuing, Borrower shall not be obligated to remit to PFG (i) the proceeds of Accounts arising in the ordinary course of business, or (ii) the proceeds of the sale of surplus, worn out or obsolete Equipment disposed of by Borrower in
good faith in an arm’s length transaction for an aggregate purchase price of $25,000 or less (for all such transactions in any fiscal year). Borrower agrees that it will not commingle proceeds of Collateral (other than those described in
subclauses (i) and (ii) above) with any of Borrower’s other funds or property, but will hold such proceeds separate and apart from such other funds and property and in an express trust for PFG, except as set forth above, and subject
to the rights of the Senior Lender. PFG may, in its good faith business judgment, require that all proceeds of Collateral be deposited by Borrower into a Lock-Box account, or such other “blocked account” as PFG may specify, pursuant to a
blocked account agreement in such form as PFG may specify in its good faith business judgment. Nothing in this Section limits the restrictions on disposition of Collateral set forth elsewhere in this Agreement. 

4.3 Insurance. Borrower shall at all times insure all of the tangible personal property Collateral and carry such other business
insurance, with insurers reasonably acceptable to PFG, in such form and amounts as PFG may reasonably require and as are customary and in accordance with standard practices for Borrower’s industry and locations, and Borrower shall provide
evidence of such insurance to PFG. All such insurance policies shall name PFG as an additional loss payee, and shall contain a lenders loss payee endorsement in form reasonably acceptable to PFG. Upon receipt of the proceeds of any such insurance,
subject to the rights of the Senior Lender, PFG shall apply such proceeds in reduction of the Obligations as PFG shall determine in its good faith business judgment, except that, provided no Default or Event of Default has occurred and is
continuing, PFG shall release to Borrower insurance proceeds with respect to Collateral totaling less than $100,000, which shall be utilized by Borrower for the replacement of the Collateral with respect to which the insurance proceeds were paid.
PFG may require reasonable assurance that the insurance proceeds so released will be so used. If Borrower fails to provide or pay for any insurance, PFG may, but is not obligated to, obtain the same at Borrower’s expense. Borrower shall
promptly deliver to PFG copies of all material reports made to insurance companies. 
 4.4 Reports. Borrower, at
its expense, shall provide PFG with the written reports set forth in the Schedule, and such other written reports with respect to Borrower (including budgets, projections, operating plans and other financial documentation), as PFG shall from time to
time specify in its good faith business judgment. 
 4.5 Access to Collateral, Books and Records; Additional Reporting
and Notices. At reasonable times, and on three (3) Business Days” notice, PFG, or its agents, shall have the right to inspect the Collateral, and the right to audit and copy Borrower’s books and records. The foregoing
inspections and audits shall be at Borrower’s expense and the charge therefor shall be $850 per person per day (or such higher amount as shall represent PFG’s then current standard charge for the same), plus Lender Expenses, provided that
so long as no Default or Event of Default has occurred and is then continuing and no prior inspection or audit has revealed material deficiencies or inaccuracies in Borrower’s books and records, only one such inspection and audit shall be at
Borrower’s expense during any calendar year. Notwithstanding the foregoing, Borrower shall not be required to disclose to PFG any document or information (i) where disclosure is prohibited by applicable law, or (ii) is subject to
attorney-client or similar privilege or constitutes attorney work product. If Borrower is withholding any information under the preceding sentence, it shall so advise PFG in writing, giving PFG a general description of the nature of the information
withheld. Without limiting the scope of reporting under Section 6 of the Schedule, Borrower shall promptly disclose to PFG any efforts to sell Borrower, its business or assets or any material part thereof or to refinance the Loan and shall
disclose the salient details of any offers received from time to time in respect of the foregoing. At any time when a Default or Event of Default has occurred and is continuing (whether or not PFG has agreed to forbear), PFG shall be entitled
(i) to be briefed as to such matters as PFG may require in its business discretion, (ii) to receive advance notice of any and all Board meetings or written consents, and (iii) to observe any such Board meetings, other than any
executive session thereof, whether or not formally constituted as such. 
 4.6 Negative Covenants. Except as may
be permitted in the Schedule, Borrower shall not, without PFG’s prior written consent (which shall be a matter of its good faith business judgment and shall be conditioned on Borrower then being in compliance with the terms of this Agreement),
do any of the following:  
 (i) permit or suffer any Change in Control; 

(ii) acquire any assets, except in the ordinary course of business, or make any Investments other than Permitted Investments; 

(iii) enter into any transaction outside the ordinary course of business with a value in excess of $50,000 (which non-ordinary course
transactions shall include mergers, amalgamations, consolidations in respect of any Borrower or other Group Member), provided that with not less than thirty (30) days’ notice to PFG, one Borrower may merge with another Borrower and a
Non-Borrower Subsidiary may merge with a Borrower or another Non-Borrower Subsidiary; 

  
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 (iii) Transfer any part of its business or property, except for (A) the sale of
finished Inventory in the ordinary course of Borrower’s business, (B) the sale of obsolete or unneeded Equipment in the ordinary course of business and otherwise in compliance with the terms of this Agreement, (C) the making of
Permitted Investments, and (D) the granting of Permitted Liens; and, for the avoidance of any doubt, a Transfer of business or property, as contemplated above, would include (1) Borrower or any Subsidiary making or causing any payment to
be made on Subordinated Debt unless expressly permitted under the terms of the subordination, intercreditor or other agreement to which the Subordinated Debt is subject (and, if permitted in this Agreement, only to the extent permitted), and
(2) other than with the express consent of PFG in its sole business discretion, the amendment or modification of any such subordination, intercreditor or other agreement to provide for earlier or greater principal, interest or other payments
thereon or adversely affect the subordination thereof to Obligations owed to PFG; 
 (iv) store any Inventory or other Collateral with any
warehouseman or other third party with an aggregate value (per location) of $100,000 or greater, unless there is in place a bailee agreement in such form as PFG shall specify in its good faith business judgment between PFG and such warehouseman or
other third party; 
 (v) sell any Inventory on a sale-or-return, guaranteed sale, consignment, or other contingent basis; 

(vi) make any loans of any money or other assets, other than Permitted Investments (which, for the avoidance of doubt, excludes any
Investment in the Dormant Subsidiary); 
 (vi) incur or permit to exist any Indebtedness, other than Permitted Indebtedness; 

(viii) guarantee or otherwise become liable with respect to the obligations of another party or entity; 

(ix) pay or declare any Dividends (except for dividends payable solely in stock of Borrower); 

(x) redeem, retire, purchase or otherwise acquire, directly or indirectly, any of Borrower’s equity, except (A) as required in the
ordinary course of business and consistent with past practice in connection with redeeming or purchasing equity of departing employees, up to a maximum aggregate of $100,000 in any fiscal year, and (B) cashless acquisitions of stock in
connection with exercise of employee stock options in the ordinary course of Borrower’s business consistent with past practice; 

(xi) engage, directly or indirectly, in any business other than the businesses currently engaged in by Borrower or reasonably related
thereto; 
 (xii) after the date hereof cause or permit any Non-Borrower Subsidiary to hold an average monthly balance of Cash and Cash
Equivalents with institutions or otherwise of more than 125% of the amounts held, respectively, on the Effective Date, without providing prompt notice to PFG; 

(xiii) make or permit any payment on any Subordinated Debt, except under the terms of the subordination, intercreditor, or other similar
agreement to which such Subordinated Debt is subject, or (b) amend any provision in any document relating to the Subordinated Debt which would increase the amount thereof, provide for earlier or greater principal, interest, or other payments
thereon, or adversely affect the subordination thereof to Obligations owed to PFG; 
 (xiv) (A) without at least thirty (30) days
prior written notice to PFG: (1) add any new offices or business locations, including warehouses (unless such new offices or business locations contain less than $10,000 in Borrower’s assets or property), (2) change its jurisdiction
of organization, (3) change its organizational structure or type, (4) change its legal name, (5) change any organizational number (if any) assigned by its jurisdiction of organization; or (6) form any new Subsidiaries, and in
each case, subject to (A) Borrower’s and such Subsidiary(ies) compliance with Section 4.9 hereof, (B) such Subsidiary(ies) compliance with Section 4.10, and (C) such Subsidiary(ies) compliance with Section 8(b) of
the Schedule; or (B) fail to provide notice to PFG of any Key Person departing from or ceasing to be actively in the employ of Borrower within the earlier to occur of Knowledge thereof and five (5) days after such Key Person’s
departure from Borrower; 
 (xv) cause or permit all Subsidiary Indebtedness to exceed $700,000 at any time; 

(xvi) liquidate or dissolve, or elect or resolve to liquidate or dissolve; 

(xvii) cause or permit any of the actions or events described in clauses (i), (ii), (iii), (iv), (vi), (viii) (xi) or (xvi) in
respect of its Subsidiaries (on an “as if applied to Subsidiary” basis); or 
 (xviii) the Board shall permit or shall resolve to
or approve, or Borrower shall otherwise take any steps to effect, any of the foregoing actions in clauses (i) through (xvii), inclusive, which are not otherwise expressly permitted herein. 

Transactions permitted by the foregoing provisions of this Section are only permitted if no Default or Event of Default would occur as a result of such
transaction. 

  
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 4.7 Litigation Cooperation. Should any third-party suit or proceeding be
instituted by or instituted or threatened in writing against PFG with respect to any Collateral or relating to Borrower, Borrower shall, without expense to PFG, make available Borrower and its officers, employees and agents and Borrower’s books
and records, to the extent that PFG may deem them reasonably necessary in order to prosecute or defend any such suit or proceeding. 

4.8 Changes. Borrower agrees to promptly notify PFG in writing of any changes in the information set forth in the
Representations. 
 4.9 Further Assurances. Borrower agrees, at its expense, on reasonable request by PFG, to
execute all documents and take all actions, as PFG, may, in its good faith business judgment, deem necessary or useful in order to perfect and maintain PFG’s perfected First-Priority security interest in the Collateral (subject to Permitted
Liens), and in order to fully consummate the transactions contemplated by this Agreement, including without limitation, the joinder of any New Subsidiaries to this Agreement and execution of such other agreements and instruments as PFG reasonably
request, including execution of a cross-corporate continuing guaranty among Borrowers and Non-Borrower Subsidiaries. In addition, Borrower shall Deliver to PFG, within five (5) days after the same are sent or received, copies of all
correspondence, reports, documents and other filings with any Governmental Body regarding compliance with or maintenance of Governmental Authorizations or Legal Requirements or that could reasonably be expected to have a material effect on any of
the Governmental Authorizations or otherwise on the operations of Borrower or any of its Subsidiaries. 
 4.10
Collateral Accounts. Subject to Section 8(b) of the Schedule: (a) At all times thereafter, maintain all of its Collateral Accounts depositary institutions in respect of which a Control Agreement in favor of PFG is at all times in
effect; and (b) provide PFG five (5) days prior written notice before establishing any Collateral Account at or with any bank or financial institution other than the Senior Lender. 

4.11 Authorization to File Security Instruments. By executing and delivering a term sheet in respect of the Loans, Borrower
shall be deemed to have authorized PFG to file Security Instruments on or prior to the Effective Date, without notice to Borrower, with all appropriate jurisdictions to perfect or protect PFG’s interest or rights hereunder, including a notice
that any disposition of the Collateral, by either Borrower or any other Person, shall be deemed to violate the rights of PFG under the Code. Such Security Instruments may indicate the Collateral as “all assets of the Debtor” or words of
similar effect, or as being of an equal or lesser scope, or with greater detail, all in PFG’s discretion. 
 4.12
Full Disclosure. No written representation, warranty or other statement of Borrower in any certificate or written statement given to PFG, as of the date such representation, warranty, or other statement was made, taken together with all such
written certificates and written statements given to PFG, contains any untrue statement of a material fact or omits to state a material fact necessary to make the statements contained in the certificates or statements not misleading (it being
recognized by PFG that the projections and forecasts provided by Borrower in good faith and based upon reasonable assumptions are not viewed as facts and that actual results during the period or periods covered by such projections and forecasts may
differ from the projected or forecasted results). 
  

	5.	TERM. 

 5.1 Maturity Date. This Agreement shall continue in effect
until the maturity date(s) set forth on the Schedule (the “Maturity Date”), subject to Sections 5.2, 5.3 and 5.4, below. 

5.2 Early Termination. This Agreement may be terminated prior to the Maturity Date as follows: (i) if expressly permitted
in the Schedule, by Borrower, effective three Business Days after written notice of termination is given to PFG and payment in full in cash of all Obligations (other than inchoate indemnity obligations); or (ii) by PFG at any time after the
occurrence and during the continuance of an Event of Default, without notice, effective immediately. If a Borrower right to prepay Obligations is provided in the Schedule and the exercise of such right is subject to payment of any consideration to
PFG as a condition to such exercise, a Borrower Default or Event of Default that results in an acceleration of Obligations and/or termination of this Agreement shall not relieve Borrower of the obligation to pay such consideration, which shall be
included in the Obligations required to be paid or performed by Borrower. 
 5.3 Payment of Obligations. On the
Maturity Date or on any earlier effective date of termination, Borrower shall pay and perform in full all Obligations, whether evidenced by installment notes or otherwise, and whether or not all or any part of such Obligations are otherwise then due
and payable. Notwithstanding any termination of this Agreement, (i) all of PFG’s security interests in all of the Collateral and all of the terms and provisions of this Agreement shall continue in full force and effect until all
Obligations have been paid and performed in full, and (ii) no further Loans will be made to Borrower unless PFG otherwise agrees in its sole and absolute discretion. No termination shall in any way affect or impair any right or remedy of PFG,
nor shall any such termination relieve Borrower of any Obligation to PFG, until all of the Obligations have been paid and performed in full. Upon payment and performance in full of all the Obligations and termination of this Agreement, PFG shall
promptly terminate its financing statements with respect to Borrower and deliver to Borrower such other documents as may be required to fully terminate PFG’s security interests. 

5.4 Survival of Certain Obligations. Without limiting the survival of obligations addressed otherwise in this Agreement and
notwithstanding any other provision of this Agreement, all covenants, representations and warranties made in this Agreement continue in full force until this Agreement has terminated pursuant to its terms and all Obligations (other than inchoate
indemnity obligations and any other obligations which, by their terms, are to survive the termination of this Agreement) have been paid in full and satisfied. The obligation of Borrower in Section 8.9 to indemnify PFG shall survive until the
statute of limitations with respect to such claim or cause of action shall have run. 

  
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	6.	EVENTS OF DEFAULT AND REMEDIES. 

 6.1 Events of Default. The
occurrence of any of the following events shall constitute an “Event of Default” under this Agreement regardless of whether notice thereof is given by PFG, and Borrower shall give PFG immediate written notice thereof:  

(a) Any warranty, representation, covenant, statement, report or certificate made or delivered to PFG by Borrower or any of Borrower’s
officers, employees or agents, now or in the future shall be untrue or misleading in any material respect when made or deemed to be made; or 

(b) Borrower shall fail to pay any Loan or any interest thereon or any other monetary Obligation within three Business Days after the date
due, provided that in the case of charges other than principal and interest on Obligations and fees and costs due on the date hereof, at least five Business Days prior notice has been given to Borrower; or 

(c) Borrower (i) shall fail to comply with any of the financial covenants set forth in the Schedule, or (ii) shall breach any of
the provisions of Section 4.6 hereof that by its nature is not reasonably capable of cure or which is not cured within five Business Days, or (iii) shall fail to perform any other non-monetary Obligation which by its nature cannot be
cured, or (iv) shall fail to permit PFG to conduct an inspection or audit as provided in Section 4.5 hereof or shall fail to provide the notices, information, briefing and other rights set forth in Section 4.5, or (v) shall fail
to provide PFG with a Report under Section 6 of the Schedule within three (3) Business Days after the date due; or 
 (d)
Borrower shall fail to perform any other non-monetary Obligation, which failure is not cured within ten (10) Business Days after the date due; provided, however, if such failure results from a Default or an Event of Default for which there is a
shorter cure period set forth in this Section 6.1, then the applicable cure period shall be such shorter period; or 
 (e) any levy,
assessment, attachment or seizure is made on all or any part of the Collateral which is not cured within five (5) Business Days after the occurrence of the same, or any Lien (other than a Permitted Lien) is made on all or any part of the
Collateral which is not cured within ten (10) Business Days after the occurrence of the same; or 
 (f) any default or event of
default occurs under any obligation secured by a Permitted Lien (which for the avoidance of doubt would include the Liens of the Senior Lender), which is not cured within any applicable cure period by the holder of the Permitted Lien; or 

(g) there is, under any agreement to which Borrower or any Guarantor is a party with a third party or parties, (i) any default resulting
in a right by such third party or parties, whether or not exercised, to accelerate the maturity of any Indebtedness in an amount individually or in the aggregate in excess of $100,000; or (ii) any breach or default by Borrower or any Guarantor,
the result of which could result in a Material Adverse Change or have a material adverse effect on Borrower, any Guarantor or its business or prospects; or 

(h) (i) Dissolution, termination of existence, insolvency or business failure of Borrower or any Guarantor; or (ii) appointment of
a receiver, trustee or custodian, for all or any part of the property of, assignment for the benefit of creditors by, or the commencement of any Insolvency Proceeding by, against or in respect of Borrower or any Guarantor under any reorganization,
bankruptcy, insolvency, arrangement, readjustment of debt, dissolution or liquidation law or statute of any jurisdiction, now or in the future in effect, in each above case that is not dismissed or stayed within 45 days (and for the avoidance of
doubt, PFG shall have no obligation to advance any Loan while any of the foregoing conditions or those set forth in clauses (iii) and (iv), below, exist); or (iii) Borrower or any Guarantor shall generally not pay its debts as they become
due; or (iv) Borrower or any Guarantor shall conceal, remove or Transfer any part of its property, with intent to hinder, delay or defraud its creditors, or make or suffer any Transfer of any of its property which may be fraudulent under any
bankruptcy, fraudulent conveyance or similar law; or 
 (i) Borrower, any Guarantor or any Person acting for Borrower makes any
representation, warranty, or other statement now or later in this Agreement, any Loan Document or in any writing delivered to PFG or to induce PFG to enter this Agreement or any Loan Document, and such representation, warranty, or other statement is
incorrect in any material respect when made; or 

  
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 (j) revocation or termination of, or limitation or denial of liability upon, any guaranty of
the Obligations or any attempt to do any of the foregoing, or commencement of proceedings by any guarantor of any of the Obligations under any bankruptcy or insolvency law; or 

(k) revocation or termination of, or limitation or denial of liability upon, any pledge of any certificate of deposit, securities or other
property or asset of any kind pledged by any third party to secure any or all of the Obligations, or any attempt to do any of the foregoing, or commencement of proceedings by or against any such third party under any bankruptcy or insolvency law; or

 (l) Borrower makes any payment on account of any indebtedness or obligation which has been subordinated to the Obligations (other than
as permitted in the applicable subordination agreement), or if any Person who has subordinated such indebtedness or obligations terminates or in any way limits his subordination agreement; or 

(m) Borrower shall (i) enter into any agreement, binding or non-binding, that would result in a Change in Control, or (ii) effect
or suffer a Change in Control; or 
 (n) a default or breach shall occur under any other Loan Document, which default or breach shall be
continuing after the later of cure period expressly specified in such Loan Document or five (5) Business Days; or 
 (o) a Material
Adverse Change shall occur. 
 PFG may cease making any Loans hereunder during any of the cure periods provided above, and thereafter if an Event of Default
has occurred and is continuing. 
 6.2 Remedies. Upon the occurrence and during the continuance of any Event of Default, and
at any time thereafter, PFG, at its option, and without notice or demand of any kind (all of which are hereby expressly waived by Borrower), may do any one or more of the following, subject to the rights of the Senior Lender: (a) Cease making
Loans or otherwise extending credit to Borrower under this Agreement or any other Loan Document; (b) Accelerate and declare all or any part of the Obligations to be immediately due, payable, and performable, notwithstanding any deferred or
installment payments allowed by any instrument evidencing or relating to any Obligation; (c) Take possession of any or all of the Collateral wherever it may be found, and for that purpose Borrower hereby authorizes PFG without judicial process
to enter onto any of Borrower’s premises without interference to search for, take possession of, keep, store, or remove any of the Collateral, and remain on the premises or cause a custodian to remain on the premises in exclusive control
thereof, without charge for so long as PFG deems it necessary, in its good faith business judgment, in order to complete the enforcement of its rights under this Agreement or any other agreement; provided, however, that should PFG seek to take
possession of any of the Collateral by court process, Borrower hereby irrevocably waives: (i) any bond and any surety or security relating thereto required by any statute, court rule or otherwise as an incident to such possession; (ii) any
demand for possession prior to the commencement of any suit or action to recover possession thereof; and (iii) any requirement that PFG retain possession of, and not dispose of, any such Collateral until after trial or final judgment;
(d) Require Borrower to assemble any or all of the Collateral and make it available to PFG at places designated by PFG which are reasonably convenient to PFG and Borrower, and to remove the Collateral to such locations as PFG may deem
advisable; (e) Complete the processing, manufacturing or repair of any Collateral prior to a disposition thereof and, for such purpose and for the purpose of removal, PFG shall have the right to use Borrower’s premises, vehicles, hoists,
lifts, cranes, and other Equipment and all other property without charge; (f) Sell, lease or otherwise dispose of any of the Collateral, in its condition at the time PFG obtains possession of it or after further manufacturing, processing or
repair, at one or more public and/or private sales, in lots or in bulk, for cash, exchange or other property, or on credit, and to adjourn any such sale from time to time without notice other than oral announcement at the time scheduled for sale.
PFG shall have the right to conduct such disposition on Borrower’s premises without charge, for such time or times as PFG deems reasonable, or on PFG’s premises, or elsewhere and the Collateral need not be located at the place of
disposition. PFG may directly or through any affiliated company purchase or lease any Collateral at any such public disposition, and if permissible under applicable law, at any private disposition. Any sale or other disposition of Collateral shall
not relieve Borrower of any liability Borrower may have if any Collateral is defective as to title or physical condition or otherwise at the time of sale; (g) Demand payment of, and collect any Accounts and General Intangibles comprising
Collateral and, in connection therewith, Borrower irrevocably authorizes PFG to endorse or sign Borrower’s name on all collections, receipts, instruments and other documents, to take possession of and open mail addressed to Borrower and remove
therefrom payments made with respect to any item of the Collateral or proceeds thereof, and, in PFG’s good faith business judgment, to grant extensions of time to pay, compromise claims and settle Accounts and the like for less than face value;
(h) Exercise any and all rights under any present or future Control Agreements relating to Deposit Accounts or Investment Property; and (i) Demand and receive possession of any of Borrower’s federal and state income tax returns
and 

  
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the books and records utilized in the preparation thereof or referring thereto. All Lender Expenses, liabilities and obligations incurred by PFG with respect to the foregoing shall be added to
and become part of the Obligations, shall be due on demand, and shall bear interest at a rate equal to the highest interest rate applicable to any of the Obligations. Without limiting any of PFG’s rights and remedies, from and after the
occurrence and during the continuance of any Event of Default, the interest rate applicable to the Obligations shall be the Default Rate. 

6.3 Standards for Determining Commercial Reasonableness. Borrower and PFG agree that a sale or other disposition (collectively,
“sale”) of any Collateral which complies with the following standards will conclusively be deemed to be commercially reasonable: (i) Notice of the sale is given to Borrower at least ten days prior to the sale, and, in the case of a
public sale, notice of the sale is published at least five days before the sale in a newspaper of general circulation in the county where the sale is to be conducted; (ii) Notice of the sale describes the collateral in general, non-specific
terms; (iii) The sale is conducted at a place designated by PFG, with or without the Collateral being present; (iv) The sale commences at any time between 8:00 a.m. and 6:00 p.m.; (v) Payment of the purchase price in cash or by
cashier’s check or wire transfer is required; (vi) With respect to any sale of any of the Collateral, PFG may (but is not obligated to) direct any prospective purchaser to ascertain directly from Borrower any and all information concerning
the same. PFG shall be free to employ other methods of noticing and selling the Collateral, in its discretion, if they are commercially reasonable. Without limiting the foregoing, if Exigent Circumstances exist, Borrower and PFG agree that notice
periods may be shorter than as set forth above and such shorter notice periods are commercially reasonable in Exigent Circumstances. Borrower further acknowledges and agrees that if PFG’s or third parties’ access to Collateral is
inhibited, restricted or denied, it shall be commercially reasonable for PFG to conduct a sale of Collateral under such circumstances even though the lack of access to Collateral would likely give rise to a sale price less than if parties had
unfettered access to Collateral for purposes of conducting a sale. 
 6.4 Power of Attorney. Upon the occurrence
and during the continuance of any Event of Default, without limiting PFG’s other rights and remedies, Borrower grants to PFG an irrevocable power of attorney coupled with an interest, authorizing and permitting PFG (acting through any of its
employees, attorneys or agents) at any time, at its option, but without obligation, with or without notice to Borrower, and at Borrower’s expense, to do any or all of the following, in Borrower’s name or otherwise, but PFG agrees that if
it exercises any right hereunder, it will do so in good faith and in a commercially reasonable manner and subject to the rights of the Senior Lender: (a) Execute on behalf of Borrower any documents that PFG may, in its good faith business
judgment, deem advisable in order to perfect and maintain PFG’s security interest in the Collateral, or in order to exercise a right of Borrower or PFG, or in order to fully consummate all the transactions contemplated under this Agreement, and
all other Loan Documents; (b) Execute on behalf of Borrower, any invoices relating to any Account, any draft against any Account Debtor and any notice to any Account Debtor, any proof of claim in bankruptcy, any Notice of Lien, claim of
mechanic’s, materialman’s or other lien, or assignment or satisfaction of mechanic’s, materialman’s or other lien; (c) Take control in any manner of any cash or non-cash items of payment or proceeds of Collateral; endorse
the name of Borrower upon any instruments, or documents, evidence of payment or Collateral that may come into PFG’s possession; (d) Endorse all checks and other forms of remittances received by PFG; (e) Pay, contest or settle any
lien, charge, encumbrance, security interest and adverse claim in or to any of the Collateral, or any judgment based thereon, or otherwise take any action to terminate or discharge the same; (f) Grant extensions of time to pay, compromise
claims and settle Accounts and General Intangibles for less than face value and execute all releases and other documents in connection therewith; (g) Pay any sums required on account of Borrower’s taxes or to secure the release of any
liens therefor, or both; (h) Settle and adjust, and give releases of, any insurance claim that relates to any of the Collateral and obtain payment therefor; (i) Instruct any third party having custody or control of any books or records
belonging to, or relating to, Borrower to give PFG the same rights of access and other rights with respect thereto as PFG has under this Agreement; (j) Execute on behalf of Borrower and file in Borrower’s name such documents and
instruments as may be necessary or appropriate to effect the Transfer of Domain Rights, domain names, domain registry administrative contacts and domain and website hosting services into the name of PFG or its designees, and (k) Take any action
or pay any sum required of Borrower pursuant to this Agreement and any other Loan Documents. Any and all Lender Expenses incurred by PFG with respect to the foregoing shall be added to and become part of the Obligations, shall be payable on demand,
and shall bear interest at a rate equal to the highest interest rate applicable to any of the Obligations. In no event shall PFG’s rights under the foregoing power of attorney or any of PFG’s other rights under this Agreement be deemed to
indicate that PFG is in control of the business, management or properties of Borrower. 
 6.5 Application of
Proceeds. All proceeds realized as the result of any sale of the Collateral shall be applied by PFG first to Lender Expenses incurred in the exercise of its rights under this Agreement, second to the interest due upon any of the Obligations,
and third to the principal of the Obligations, in such order as PFG shall determine in its sole discretion. Any surplus shall be paid to Borrower or other persons legally entitled thereto; Borrower shall remain liable to PFG for any deficiency. If,
PFG, in its good faith business judgment, directly or indirectly enters into a deferred payment or other credit transaction with any purchaser at any sale of Collateral, PFG shall have the option, exercisable at any time, in its good faith business
judgment, of either reducing the Obligations by the principal amount of purchase price or deferring the reduction of the Obligations until the actual receipt by PFG of the cash therefor. 

6.6 Remedies Cumulative. In addition to the rights and remedies set forth in this Agreement, PFG shall have all the other rights
and remedies accorded a secured party under the Code and under all other applicable laws, and under any other instrument or agreement now or in the future entered into between PFG and Borrower, and all of such rights and remedies are cumulative and
none is exclusive. Exercise or partial exercise by PFG of one or more of its rights or remedies shall not be deemed an election, nor bar PFG from subsequent exercise or partial exercise of any other rights or remedies. The failure or delay of PFG to
exercise any rights or remedies shall not operate as a waiver thereof, but all rights and remedies shall continue in full force and effect until all of the Obligations have been fully paid and performed. 

  
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	7.	DEFINITIONS. As used in this Agreement, the following terms have the following meanings: 

“Account Debtor” means the obligor on an Account. 

“Accounts” means all present and future “accounts” as defined in the Code in effect on the Effective Date with such
additions to such term as may hereafter be made, and includes without limitation all accounts receivable, healthcare receivables and other sums owing to Borrower. 

“Affiliate” means, with respect to any Person, a relative, partner, shareholder, director, officer, or employee of such
Person, or any parent or Subsidiary of such Person, or any Person directly or indirectly through any other Person controlling, controlled by or under common control with such Person. 

“Astute Settlement” is a settlement agreement by and among Sonic Foundry, Learners Digest International and Astute
Technology, LLC, dated on or about June 30, 2014. 
 “Board” means the Board of Directors or other governing authority
of Borrower as authorized in its Constitutional Documents (which for the avoidance of doubt, includes a member or manager of a limited liability company). 

“Business Day” means a day on which PFG is open for business. 

“Cash” means unrestricted and unencumbered (except for the Liens of PFG and the Senior Lender) cash or cash equivalents in
Deposit Accounts or other Collateral Accounts for which there is in effect a Control Agreement among Borrower, PFG and the depositary institution in respect of such accounts, unless the requirement for a Control Agreement has been waived by PFG.

 “Cash Equivalents” means (a) marketable direct obligations issued or unconditionally guaranteed by the United
States or any agency or any State thereof having maturities of not more than one (1) year from the date of acquisition; (b) commercial paper maturing no more than one (1) year after its creation and having a rating of at least A-1 or
the equivalent thereof by Standard & Poor’s Ratings Group or a rating of P-1 or the equivalent thereof by Moody’s Investors Service, Inc.; (c) certificates of deposit held with the Senior Lender maturing no more than one
(1) year after issue; and (d) money market funds at least ninety-five percent (95%) of the assets of which constitute Cash Equivalents of the kinds described in clauses (a) through (c) of this definition and
(e) Investments pursuant to Borrower’s Investment Policy, provided that such investment policy (and any such amendment thereto) has been provided by Borrower to PFG and approved in writing by PFG. 

“Change in Control” means any event, transaction, or occurrence as a result of which (a) any “person” (as such
term is defined in Sections 3(a)(9) and 13(d)(3) of the Securities Exchange Act of 1934, as an amended (the “Exchange Act”)), other than a trustee or other fiduciary holding securities under an employee benefit plan of Borrower, is or
becomes a beneficial owner (within the meaning Rule 13d-3 promulgated under the Exchange Act), directly or indirectly, of securities of Borrower, representing thirty-five percent (35%) or more of the combined voting power of Borrower’s
then outstanding securities in a single transaction or a series of related transactions (other than by the sale of Borrower’s equity securities in a public offering or to venture capital or private equity investors so long as Borrower
identifies to PFG the venture capital or private equity investors at least seven (7) Business Days prior to the initial closing of the transaction and provides to PFG a description of the material terms of the transaction and such other
information as PFG may reasonably request); or (b) during any period of twelve consecutive calendar months, individuals who at the beginning of such period constituted the Board of Borrower (together with any new directors whose election by the
Board of Borrower was approved by a vote of at least two-thirds of the directors then still in office who either were directors at the beginning of such period or whose election or nomination for election was previously so approved) cease for any
reason other than death or disability to constitute a majority of the directors then in office (other than as a result of the above-referenced venture capital / private equity exception, subject to the same notice and information requirements as
specified above). 
 “Code” means the Uniform Commercial Code as adopted and in effect in the State of California from time
to time. 

  
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 “Collateral” has the meaning set forth in Section 2 above. 

“Collateral Account” is any Deposit Account, Securities Account, or Commodity Account, each as defined in the Code, and any
other account of any kind or type in respect of Investment Property, including each of Borrower’s primary operating and other deposit accounts and securities accounts, including all cash management, merchant services, and foreign exchange
accounts and facilities. 
 “Compliance Certificate” means Borrower’s certification of its compliance with the terms
and conditions of this Agreement and such other matters as PFG may require to be addressed in such certificate, in the form as initially set forth as Exhibit B hereto, as such form may be amended from time to time upon advance notice from
PFG. 
 “Constitutional Document” means for any Person, such Person’s formation documents, as last certified by the
Secretary of State (or equivalent Governmental Body) of such Person’s jurisdiction of organization, together with, (a) if such Person is a corporation, its bylaws in current form, (b) if such Person is a limited liability company, its
limited liability company agreement (or operating or similar agreement), (c) if such Person is a partnership, its partnership agreement (or similar agreement), and (d) if such Person is a statutory joint venture company or similar entity,
its joint venture (or similar) agreement, each of the foregoing with all current amendments or modifications thereto. 
 “Contingent
Obligation” is, for any Person, any direct or indirect liability, contingent or not, of that Person for (a) any indebtedness, lease, Dividend, letter of credit or other obligation of another such as an obligation, in each case directly
or indirectly guaranteed, endorsed, co made, discounted or sold with recourse by that Person, or for which that Person is directly or indirectly liable; (b) any obligations for undrawn letters of credit for the account of that Person; and
(c) all obligations from any interest rate, currency or commodity swap agreement, interest rate cap or collar agreement, or other agreement or arrangement designated to protect a Person against fluctuation in interest rates, currency exchange
rates or commodity prices; but “Contingent Obligation” does not include endorsements in the ordinary course of business. The amount of a Contingent Obligation is the stated or determined amount of the primary obligation for which the
Contingent Obligation is made or, if not determinable, the maximum reasonably anticipated liability for it determined by the Person in good faith; but the amount may not exceed the maximum of the obligations under any guarantee or other support
arrangement. 
 “continuing” and “during the continuance of” when used with reference to a Default or
Event of Default means that the Default or Event of Default has occurred and has not been either waived in writing by PFG or cured within any applicable cure period. 

“Control Agreement” means a written agreement among PFG, Borrower and a depositary bank or other custodian in respect of
Borrower’s Collateral Accounts by which the depositary bank or other custodian, as appropriate, agrees to comply with instructions given from time to time by PFG directing the disposition of the funds, investments and securities in
Borrower’s Collateral Accounts without further consent of Borrower, which instructions may include not complying with instructions (which term may include the honoring of checks written by Borrower against funds in said accounts) given by
Borrower, and containing other terms acceptable to PFG. 
 “Current Depositary(ies)” means the banking and / or other
financial institutions at which Borrower maintains Collateral Accounts on the Effective Date. 
 “Debt Service” means, for
any period of measurement, all regularly scheduled payments of principal and interest of Indebtedness of Borrower and its Subsidiaries, determined on a consolidated basis due within the trailing twelve (12) month period ended as of such date of
measurement. 
 “Default” means any event which with notice or passage of time or both, would constitute an Event of
Default. 
 “Default Rate” means the lesser of (i) the applicable rate(s) set forth in the Schedule, plus six percent
(6%) per annum, and (ii) the maximum rate of interest that may lawfully be charged to a commercial borrower under applicable usury laws. 

“Deferred Revenue” means all amounts received or invoiced in advance of performance under contracts and not yet recognized as
revenue. 
 “Deposit Accounts” means all present and future “deposit accounts” as defined in the Code in effect
on the Effective Date with such additions to such term as may hereafter be made, and includes without limitation all general and special bank accounts, demand accounts, checking accounts, savings accounts and certificates of deposit, and as used in
this Agreement, the term “Deposit Accounts” shall be construed to also include securities, commodities and other Investment Property accounts. 

  
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 “EBITDA” shall mean (a) Net Income, plus (b) Interest
Expense, plus (c) to the extent deducted in the calculation of Net Income, depreciation expense and amortization expense, plus (d) income tax expense, plus (e) non-cash stock compensation expense, plus
(f) other non-cash and non-recurring expenses acceptable to PFG, in its reasonable discretion. 
 “Dividend” means a
payment or other distribution in respect to equity to an owner thereof, (A) whether or not (i) in respect of net profits or otherwise, (ii) declared by Borrower’s (or other relevant party’s) (iii) Board, previously
paid, or (iv) authorized in its Constitutional Documents or otherwise, and (B) for the avoidance of doubt, includes distributions to members of a limited liability company. 

“Dormant Subsidiary” means Sonic Foundry Media Systems, Inc., a Maryland corporation. 

“Dutch Subsidiary” means Borrower’s Netherlands Subsidiary, Media Mission B.V., a Dutch B.V. 

“Equipment” means all present and future “equipment” as defined in the Code in effect on the Effective Date with
such additions to such term as may hereafter be made, and includes without limitation all machinery, fixtures, goods, vehicles (including motor vehicles and trailers), and any interest in any of the foregoing. 

“Event of Default” means any of the events set forth in Section 6.1 of this Agreement. 

“Exigent Circumstances” means circumstances that substantially inhibit an orderly sale process or that imply urgency due to
rapid erosion of value or opportunity, including Borrower closing its business or “going dark”, inability or refusal (express or implied by non-response) to provide for the security of Collateral. 

“Financial Statements” means consolidated financial statements of Borrower, including a balance sheet, income statement and
cash flow and, in the case of monthly-required financial statements, showing data for the month being reported and a history showing each month from the beginning of the relevant fiscal year. 

“First-Priority” means, in relation to PFG’s Lien in Collateral, a security interest that is prior to any other security
interest, with the exception of the Liens of the Senior Lender and other Permitted Liens, which other Permitted Liens may only have superior priority to PFG’s Lien as expressly specified herein or pursuant to the terms of a subordination
agreement between PFG and the holder of such other Permitted Lien. 
 “Foreign Subsidiaries” means, as of the Effective
Date, the Dutch Subsidiary and the Japanese Subsidiary, and shall include any non-U.S. persons becoming a Subsidiary of Borrower after the Effective Date. 

“GAAP” means generally accepted accounting principles consistently applied. 

“General Intangibles” means all present and future “general intangibles” as defined in the Code in effect on the
Effective Date with such additions to such term as may hereafter be made, and includes without limitation all Intellectual Property, payment intangibles, royalties, contract rights, goodwill, franchise agreements, purchase orders, customer lists,
route lists, telephone numbers, domain names, claims, income tax refunds, security and other deposits, options to purchase or sell real or personal property, rights in all litigation presently or hereafter pending (whether in contract, tort or
otherwise), insurance policies (including without limitation key man, property damage, and business interruption insurance), payments of insurance and rights to payment of any kind. 

“good faith business judgment” means honesty in fact and good faith (as defined in Section 1201 of the Code) in the
exercise of PFG’s business judgment. 
 “Governmental Authorization” means any: (a) permit, license, certificate,
franchise, concession, approval, consent, ratification, permission, clearance, confirmation, endorsement, waiver, certification, designation, rating, registration, qualification or authorization that is, has been issued, granted, given or otherwise
made available by or under the authority of any Governmental Body or pursuant to any Legal Requirement; or (b) right under any Contract with any Governmental Body. 

“Governmental Body” means any: (a) nation, principality, commonwealth, province, territory, county, municipality,
district or other jurisdiction of any nature; (b) local, municipal, foreign or other government; (c) governmental or quasi-governmental authority of any nature (including any governmental division, subdivision, department, agency, bureau,
branch, office, commission, council, board, instrumentality, officer, official, representative, organization, unit, body or entity and any court or other tribunal); (d) multi-national organization or body; or (e) individual, entity or body
exercising, or entitled to exercise, any executive, legislative, judicial, administrative, regulatory, police, military or taxing authority or power of any nature. 

“Group” means Borrower and all direct and indirect Subsidiaries and affiliated Persons under the direct or indirect control
of Borrower, and “Group Member” means any of such foregoing Persons. 
 “Guarantor” means any Person
guaranteeing the Obligations. 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 “including” means including (but not limited to). 

“Indebtedness” means (a) indebtedness for borrowed money or the deferred purchase price of property or services (other
than trade payables arising in the ordinary course of business), (b) obligations evidenced by bonds, notes, debentures or other similar instruments, (c) reimbursement obligations in connection with letters of credit, (d) capital lease
obligations and (e) Contingent Obligations. 
 “Insolvency Proceeding” is any proceeding by or against any Person
under the United States Bankruptcy Code, or any other bankruptcy or insolvency law in any jurisdiction, including assignments for the benefit of creditors, compositions, receiverships, administrations, extensions generally with its creditors, or
proceedings seeking reorganization, arrangement, or other relief. 
 “Intellectual Property” means all present and future:
(a) copyrights, copyright rights, copyright applications, copyright registrations and like protections in each work of authorship and derivative work thereof, whether published or unpublished, (b) trade secret rights, including all rights
to unpatented inventions and know-how, and confidential information; (c) mask work or similar rights available for the protection of semiconductor chips; (d) patents, patent applications and like
protections including without limitation improvements, divisions, continuations, renewals, reissues, extensions and continuations-in-part of the same; (e) trademarks, servicemarks, trade styles, and trade names, whether or not any of the
foregoing are registered, and all applications to register and registrations of the same and like protections, and the entire goodwill of the business of Borrower connected with and symbolized by any such trademarks; (f) Domain Rights as
described in Section 3.14 hereof, (g) computer software and computer software products; (h) designs and design rights; (i) technology; (j) all claims for damages by way of past, present and future infringement of any of the
rights included above; and (k) all licenses or other rights to use any property or rights of a type described above. 

“Interest Expense” means for any fiscal period, interest expense (whether cash or non-cash) determined in accordance with
GAAP for the relevant period ending on such date, including, in any event, interest expense with respect to any Indebtedness of Borrower and its Subsidiaries, including, without limitation or duplication, all commissions, discounts, or related
amortization and other fees and charges with respect to letters of credit and bankers’ acceptance financing and the net costs associated with interest rate swap, cap, and similar arrangements, and the Interest portion of any deferred payment
obligation (including leases of all types). 
 “Inventory” means all present and future “inventory” as defined in
the Code in effect on the Effective Date with such additions to such term as may hereafter be made, and includes without limitation all merchandise, raw materials, parts, supplies, packing and shipping materials, work in process and finished
products, including without limitation such inventory as is temporarily out of Borrower’s custody or possession or in transit and including any returned goods and any documents of title representing any of the above. 

“Investment” means any beneficial ownership interest in any Person (including any stock, partnership interest or other equity
or debt securities issued by any Person), and any loan, advance or capital contribution to any Person. 
 “Investment
Property” means all present and future investment property, securities, stocks, bonds, debentures, debt securities, partnership interests, limited liability company interests, options, security entitlements, securities accounts, commodity
contracts, commodity accounts, and all financial assets held in any securities account or otherwise, and all options and warrants to purchase any of the foregoing, wherever located, and all other securities of every kind, whether certificated or
uncertificated. 
 “Japanese Subsidiary” means Borrower’s Japanese Subsidiary, Mediasite K.K., a Japanese kabushiki
kaisha. 
 “Key Person(s)” means Borrower’s Chief Executive Officer, Chief Technology Officer and Chief Financial
Officer, each as disclosed as of the Effective Date in the Representations. 
 “Knowledge” or “best of
knowledge” and words of similar import mean either (i) the actual knowledge of any of Borrower’s officers, including, any Chief Executive Officer, President, designated legal representative under the Legal Requirements of any
non-U.S. jurisdiction, Chief Information Officer (if any), Chief Technology Officer (or equivalent), Chief Financial Officer and Corporate Controller, or Borrower’s Vice Presidents or General Managers supervising a business unit or division, or
any persons succeeding or performing the responsibilities of such identified positions including Directors with executive authority, or (ii) such knowledge as the persons in such identified positions would have assuming (A) Borrower
policies in accordance with generally-accepted norms of corporate governance and (B) the actual exercise of reasonable diligence and prudence by such persons in accordance with such policies. 

“Legal Requirement” means any written local, municipal, foreign or other law, statute, legislation, constitution, principle
of common law, resolution, ordinance, code, edict, decree, proclamation, treaty, convention, rule, regulation, ruling, directive, pronouncement, requirement, specification, determination, decision, opinion or interpretation that is, has been issued,
enacted, adopted, passed, approved, promulgated, made, implemented or otherwise put into effect by or under the authority of any Governmental Body. 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 “Lender Expenses” means, in each case without limitation as to type and kind:
(a) reasonable Professional Costs, and all filing, recording, search, title insurance, appraisal, audit, and other reasonable costs incurred by PFG, pursuant to, or in connection with, or relating to this Agreement (whether or not a lawsuit is
filed), including, but not limited to, Professional Costs PFG pays or incurs in order to do the following: (i) prepare and negotiate this Agreement and all present and future documents relating to this Agreement; (ii) obtain legal advice
in connection with this Agreement or Borrower; enforce, or seek to enforce, any of its rights or retain the services of consultants to do so; (iii) prosecute actions against, or defend actions by, Account Debtors; (iv) commence, intervene
in, or defend any action or proceeding; (v) initiate any complaint to be relieved of the automatic stay in bankruptcy; (vi) file or prosecute any probate claim, bankruptcy claim, third-party claim, or other claim; (vii) examine,
audit, copy, and inspect any of the Collateral or any of Borrower’s books and records; (viii) protect, obtain possession of, lease, dispose of, or otherwise enforce PFG’s security interest in, the Collateral; and (ix) otherwise
represent PFG in any litigation relating to Borrower; (b) without limiting the generality of the foregoing, all costs and expenses (including Professional Costs). 

“Lien” or “lien” is a security interest, claim, mortgage, deed of trust, levy, charge, pledge or other
encumbrance of any kind, whether voluntarily incurred or arising by operation of law or otherwise against any property. 
 “Loan
Documents” means, collectively, this Agreement, the Representations, and all other present and future documents, instruments and agreements between PFG and Borrower, including, but not limited to those relating to this Agreement, and all
amendments and modifications thereto and replacements therefor. 
 “Loan Request” means any request that may be made by a
Borrower in connection with this Agreement, including a borrowing request, consent request, a waiver request and any other accommodation that may be given by PFG under or relating to the Loan Agreement. 

“Material Adverse Change” means any of the following: (i) a material adverse change in the business, operations, or
financial or other condition of Borrower or any Guarantor, or (ii) a material impairment of the prospect of repayment of any portion of the Obligations; or (iii) a material impairment of the value or priority of PFG’s security
interests in the Collateral, or (iv) PFG’s determination, based upon information available to it and in its reasonable judgment, that there is a reasonable likelihood that Borrower shall fail to comply with one or more of the financial
covenants in Section 5 of the Schedule during the next succeeding financial reporting period. 
 “Maturity” means the
Maturity Date(s) set forth in Section 4 of the Schedule, or such earlier date at which Obligations become due by acceleration or otherwise 

“Maturity Date” means the Maturity Date(s) set forth in Section 4 of the Schedule, or such earlier date as Maturity
occurs. 
 “New Subsidiary(ies)” means any person that becomes a Subsidiary of Borrower after the date hereof. 

“Non-Borrower Subsidiary(ies)” means any direct or indirect Subsidiary of Borrower not joined as a co-Borrower hereunder or
otherwise joined to the Loan Documents. 
 “Non-Overdue Senior Monetary Obligations” means, at any time, the amount of
monetary Obligations other than principal Indebtedness owed by Borrower to the Senior Lender but not then due, such as accrued and unpaid interest not yet due. 

“Obligations” means all present and future Loans, advances, debts, liabilities, obligations, guaranties, covenants, duties
and indebtedness at any time owing by Borrower to PFG, including obligations and covenants intended to survive the termination of this Agreement, whether evidenced by this Agreement or any note or other instrument or document, or otherwise,
including indebtedness under any obligation to purchase equity derivatives (including stock warrants) purchased or otherwise issued to PFG from time to time, whether arising from an extension of credit, opening of a letter of credit, banker’s
acceptance, loan, guaranty, indemnification or otherwise, whether direct or indirect (including, without limitation, those acquired by assignment and any participation by PFG in Borrower’s debts owing to others), absolute or contingent, due or
to become due, including, without limitation, all interest, charges, expenses, fees, attorney’s fees, expert witness fees, audit fees, collateral monitoring fees, closing fees, facility fees, commitment fees, contingent fees, back-end and
performance-based fees, termination fees, minimum interest charges and any other sums chargeable to Borrower under this Agreement or under any other Loan Documents. 

“Ordinary (or “ordinary”) course of business” and derivatives shall apply to an action taken or an action required
to be taken and not taken by or on behalf of a Borrower. An action will not be deemed to have been taken in the “ordinary course of business” unless: (a) such action is consistent with its past practices (if such type of action
has been taken in the past and, if not, such action shall be deemed not in the ordinary course of business) and is similar in nature and magnitude to actions 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 
customarily taken by it; (b) such action is taken in accordance with sound and prudent business practices in its jurisdiction of organization; and (c) such action is not required to be
authorized by its shareholders and does not require any other separate or special authorization of any nature. 
 “Other
Property” means the following as defined in the Code in effect on the Effective Date with such additions to such terms as may hereafter be made, and all rights relating thereto: all present and future “commercial tort claims”
(including without limitation any commercial tort claims identified in the Representations), “documents”, “instruments”, “promissory notes”, “chattel paper”, “letters of credit”,
“letter-of-credit rights”, “fixtures”, “farm products” and “money”; and all other goods and personal property of every kind, tangible and intangible, whether or not governed by the Code. 

“Payment” means all checks, wire transfers and other items of payment received by PFG for credit to Borrower’s
outstanding Obligations. 
 “Permitted Indebtedness” means: 

(i) the Loans and other Obligations; 

(ii) Indebtedness existing on the Effective Date and shown on Exhibit A hereto; 

(iii) Subordinated Debt; 

(iv) Indebtedness owing to Senior Lender not to exceed the Senior Debt Limit specified in the Schedule; 

(v) other Indebtedness secured by Permitted Liens described in clause (i) of that definition; 

(vi) unsecured Indebtedness to trade creditors incurred in the ordinary course of business; 

(vii) Liens of carriers, warehouseman, suppliers, or other Persons that are possessory in nature arising in the ordinary course of business
so long as such Liens attach only to Inventory, securing liabilities in the aggregate amount not to exceed Fifty Thousand Dollars ($50,000) and which are not delinquent or remain payable without penalty or which are being contested in good faith and
by appropriate proceedings which proceedings have the effect of preventing the forfeiture or sale of the property subject thereto; 

(viii) extensions, refinancings, modifications, amendments and restatements of any items of Permitted Indebtedness (i) through
(vii) above, provided that the principal amount thereof is not increased or the terms thereof are not modified to impose materially more burdensome terms upon Borrower; and 

(ix) reimbursement obligations in respect of letters of credit in an aggregate face amount outstanding not to exceed $300,000 at any time
outstanding, which have been reported to PFG in writing, and, in the case of reimbursement obligations to the Senior Lender in respect of letters of credit which do not exceed the Senior Debt Limit (taking into account all other Indebtedness to
Senior Lender). 
 “Permitted Investments” are: 

(i) Investments (if any) shown on Exhibit A and existing on the Effective Date; 

(ii) Investments consisting of Cash Equivalents; 

(iii) Investments consisting of (i) travel advances and employee relocation loans, and other employee loans and advances in the ordinary
course of business, and (ii) loans to employees, officers or directors relating to the purchase of equity securities of Borrower or its Subsidiaries pursuant to employee stock purchase plans or agreements approved by Borrower’s Board of
Directors; and 
 (iii) Investments consisting of the endorsement of negotiable instruments for deposit or collection or similar
transactions in the ordinary course of Borrower; 
 (iv) Investments in Subsidiaries existing on the Effective Date; 

(v) Investments consisting of notes receivable of, or prepaid royalties and other credit extensions, to customers and suppliers that are not
Affiliates, in the ordinary course of business; provided that this clause shall not apply to Investments of Borrower in any Subsidiary; 

(vi) Investments in the Dutch Subsidiary and the Japanese Subsidiary of not more than $200,000 each in any calendar year; provided, however,
with respect to each such Foreign Subsidiary, if its balance of Cash and Cash Equivalents with institutions or otherwise at any time exceeds its six (6) month average balance of such Cash and Cash Equivalents by more than $200,000, then no
further Investments may be made by Borrower in such Foreign Subsidiary for the balance of such calendar year; 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 (vii) Deposit Accounts in which PFG has a perfected security interest; 

(viii) Investments received in connection with the bankruptcy or reorganization of customers or suppliers, and in settlement of delinquent
obligations of, and other disputes with, customers or suppliers arising in the ordinary course of business; and 
 (ix) bank
certificates of deposit issued maturing no more than 1 year after issue. 
 “Permitted Liens” means the following: 

(i) Liens arising from lease transactions and purchase money transactions (including Liens arising under any retention of title, hire
purchase or conditional sales arrangement or arrangements having similar effect) (i) on Equipment acquired or held by Borrower incurred for financing the acquisition of the Equipment securing no more than $700,000 in the aggregate amount
outstanding, or (ii) existing on Equipment when acquired, if the Lien is confined to the property and improvements and the proceeds of the Equipment, subject to the same aggregate dollar cap set forth in clause (i); 

(ii) Liens for Taxes not yet payable or being contested in good faith and for which Borrower maintains adequate reserves on its Books,
provided that no notice of any such lien has been filed or recorded under the Internal Revenue Code of 1986, as amended, and the Treasury Regulations adopted thereunder; 

(iii) additional Liens consented to in writing by PFG, which consent may be withheld in its good faith business judgment. PFG shall have the
right to require, as a condition to its consent under this subparagraph (iii), that the holder of the additional Lien sign a subordination agreement in PFG’s then standard form, acknowledge that its Lien is subordinate to the Lien of PFG, agree
that payment of its underlying obligation is subject to the prior payment of Obligations owing to PFG (subject to any permitted payments specified in such subordination agreement) and agree not to take any action to enforce its subordinate security
interest so long as any Obligations remain outstanding, and that Borrower agrees that any uncured default in any obligation secured by the subordinate security interest shall also constitute an Event of Default under this Agreement; 

(iv) Liens being terminated substantially concurrently with this Agreement; 

(v) Liens of materialmen, mechanics, warehousemen, carriers, or other similar liens arising in the ordinary course of business and
securing obligations which are not delinquent; 
 (vi) Liens to secure payment of workers’ compensation, employment insurance, old-age
pensions, social security and other like obligations incurred in the ordinary course of business (other than Liens imposed by ERISA); 

(vii) Liens incurred in connection with the extension, renewal or refinancing of the indebtedness secured by liens of the type described
above in clauses (i), (ii), (iii) and (ix), provided that any extension, renewal or replacement lien is limited to the property encumbered by the existing lien and the principal amount of the indebtedness being extended, renewed or refinanced
does not increase and other terms are not less favorable to Borrower; 
 (viii) Liens in favor of customs and revenue authorities which
secure payment of customs duties in connection with the importation of goods; 
 (ix) statutory, common law or contractual Liens of
depository institutions or institutions holding securities account (including rights of set-off) securing only customary charges and fees in connection with such accounts; 

(x) other Liens included as Permitted Liens in Exhibit A; 

(xi) non-exclusive licenses of Intellectual Property granted to third parties in the ordinary course of business; 

(xii) Liens arising under Section 6.1(e) cured as provided therein; and 

(xiii) Liens in favor of the Senior Lender securing an amount not in excess of the Senior Debt Limit. 

“Person” means any individual, sole proprietorship, partnership, joint venture, trust, unincorporated organization,
association, corporation, government, or any agency or political division thereof, or any other entity. 
 “Plan” means
Borrower’s financial plan as presented to PFG on for its 2015 fiscal year, as such financial plan is delivered in subsequent years for future periods. 

“Professional Costs” means all reasonable fees and expenses of auditors, accountants, valuation experts, Collateral
disposition service providers, restructuring and other advisory services in connection with restructurings, workouts and Insolvency Proceedings, and fees and costs of attorneys. 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 “Qualifying Request” means a request made by a Responsible Officer of
Borrower under Section 1.4 for (i) a Loan that is within Borrower’s borrowing availability under this Agreement, satisfies the relevant conditions set forth in Section 9 of the Schedule and is accompanied by such certificates,
documents and instruments as may be required under this Agreement or otherwise reasonably required by PFG to confirm Borrower’s compliance with the Loan Documents at the time of such request, or (ii) any other matter for which PFG’s
consent is required under the Loan Documents. 
 “Representations” means the written Representations and Warranties
provided by Borrower to PFG referred to in the Schedule. 
 “Revolving Line” means the revolving line of credit facility of
Borrower with the Senor Lender from time to time in effect and “Revolving Line Availability” means the sum that may be borrowed by Borrower from time to time under the Revolving Line based on the Borrowing Base (as defined in the Senior
Loan Documents). 
 “Responsible Officer(s)” means the Key Persons and any other person authorized to bind Borrower and
notified to PFG in writing by a Responsible Officer as a new Responsible Officer. 
 “Restricted License” means any
material license or other agreement with respect to which Borrower is the licensee (a) that prohibits or otherwise restricts Borrower from granting a security in Borrower’s interest in such license or agreement or any other property, or
(b) for which a default under or termination of could interfere with PFG’s right to sell any Collateral. 

“Revenue” means revenues required to be recognized as such under GAAP. 

“Security Instruments” means financing statements and similar notices filed under the Code or other relevant local law (U.S.
or non-U.S.) in any jurisdiction in which such financing statements may be filed, fixed and floating charges, share charges, mortgage debentures, and any other notices, instruments and filings that reflect the “all assets” security granted
to PFG by Borrower in this Agreement and the other Loan Documents. 
 “Senior Lender” has the meaning set forth in
Section 8 of the Schedule. 
 “Subordinated Debt” means debt incurred by Borrower subordinated to Borrower’s debt
to PFG pursuant to a subordination agreement entered into between PFG, Borrower and the subordinated creditor(s) upon terms acceptable to PFG in its sole business discretion, but which may at PFG’s option include: (i) subordination of
subordinated creditor Lens, (ii) restrictions or prohibition of payments on subordinated debt until all Obligations to PFG are fully repaid and performed, and (iii) a prohibition on the exercise of remedies by a subordinated creditor until
all Obligations to PFG are fully repaid and performed. 
 “Subordination Agreement” means that certain Subordination
Agreement, dated as of the date hereof, by and between PFG and Senior Lender. 
 “Subsidiary” means, with respect to any
Person, (i) any Person of which more than 50% of the voting stock or other equity interests is owned or (ii) a Person controlled, directly or indirectly, by such Person or one or more Affiliates of such Person and which, for the avoidance
of doubt, shall include a “sister” company to a Person under common direct or indirect ownership meeting the above specified percentage for being considered a “Subsidiary”. 

“SVB Term Loan” means the “Term Loan 2015” as defined in the Senior Loan Documents in the original principal amount
of $2,500,000 and any renewal or replacement thereof in future periods. 
 “Tax” means any tax (including any income tax,
franchise tax, capital gains tax, estimated tax, gross receipts tax, value-added tax, surtax, excise tax, ad valorem tax, transfer tax, stamp tax, sales tax, use tax, property tax, business tax, occupation tax, inventory tax, occupancy tax,
withholding tax or payroll tax), levy, assessment, tariff, impost, imposition, toll, duty (including any customs duty), deficiency or fee, and any related charge or amount (including any fine, penalty or interest), that is, has been or may in the
future be (a) imposed, assessed or collected by or under the authority of any Governmental Body, or (b) payable pursuant to any tax-sharing agreement or similar contract. 

“Tax Return” means any return (including any information return), report, statement, declaration, estimate, schedule, notice,
notification, form, election, certificate or other document or information that is, has been or may in the future be filed with or submitted to, or required to be filed with or submitted to, any Governmental Body in connection with the
determination, assessment, collection or payment of any Tax or in connection with the administration, implementation or enforcement of or compliance with any Legal Requirement relating to any Tax. 

“Transfer” or “transfer” shall include any sale, assignment with or without consideration, encumbrance,
hypothecation, pledge, or other transfer or disposition of any kind, including, but not limited to, transfers to receivers, levying creditors, trustees or receivers in bankruptcy proceedings or general assignees for the benefit of creditors, whether
voluntary or by operation of law, directly or indirectly. 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 Other Terms. All accounting terms used in this Agreement, unless otherwise indicated,
shall have the meanings given to such terms in accordance with GAAP, consistently applied. All other terms contained in this Agreement, unless otherwise indicated, shall have the meanings provided by the Code, to the extent such terms are defined
therein. 
  

	8.	GENERAL PROVISIONS. 

 8.1 Confidentiality. PFG agrees to use
the same degree of care that it exercises with respect to its own proprietary information, to maintain the confidentiality of any and all proprietary, trade secret or confidential information provided to or received by PFG from Borrower, which
indicates that it is confidential, including business plans and forecasts, non-public financial information, confidential or secret processes, formulae, devices and contractual information, customer lists, and employee relation matters, provided
that PFG may disclose such information (i) to its officers, directors, employees, attorneys, accountants, affiliates, advisory boards, participants, prospective participants, assignees and prospective assignees, and such other Persons to whom
PFG shall at any time be required to make such disclosure in accordance with applicable law or legal process, and (ii) in its good faith business judgment in connection with the enforcement of its rights or remedies after an Event of Default,
or in connection with any dispute with Borrower or any other Person relating to Borrower. The confidentiality agreement in this Section supersedes any prior confidentiality agreement of PFG relating to Borrower. 

8.2 Interest Computation. In computing interest on the Obligations, all Payments received after 12:00 Noon, Pacific Time, on any
day shall be deemed received on the next Business Day. 
 8.3 Payments. All Payments may be applied, and
in PFG’s good faith business judgment reversed and re-applied, to the Obligations, in such order and manner as PFG shall determine in its good faith business judgment. 

8.4 Monthly Accountings. PFG may provide Borrower monthly with an account of advances, charges, expenses and payments made
pursuant to this Agreement. Such account shall be deemed correct, accurate and binding on Borrower and an account stated (except for reverses and reapplications of payments made and corrections of errors discovered by PFG), unless Borrower notifies
PFG in writing to the contrary within 60 days after such account is rendered, describing the nature of any alleged errors or omissions. 

8.5 Notices. All notices to be given under this Agreement shall be in writing and shall be given either personally, or by
reputable private delivery service, or by regular first-class mail, or certified mail return receipt requested, or by fax to the most recent fax number a party has for the other party (and if by fax, sent concurrently by one of the other methods
provided herein), or by electronic mail to the most recent electronic mail address for Borrower provided for the chief financial officer or financial controller executing the Representations (and if by electronic mail, with an electronic delivery
and/or read receipt), addressed to PFG or Borrower at the addresses shown in the heading to this Agreement, in the Representations or at any other address designated in writing by one party to the other party. All notices shall be deemed to have
been given upon delivery in the case of notices personally delivered, or at the expiration of one Business Day following delivery to the private delivery service, or two Business Days following the deposit thereof in the United States mail, with
postage prepaid, or on the first business day of receipt during business hours in the case of notices sent by fax or electronic mail, as provided herein.  

8.6 Authorization to Use Borrower Name, Etc. Borrower irrevocably authorizes PFG to: (i) use Borrower’s logo on
PFG’s website and in its marketing materials to denote the lending relationship between PFG and Borrower; (ii) use a “tombstone” to highlight the transaction(s) from time to time between PFG and Borrower; and (iii) to issue
press releases in a form reasonable acceptable to Borrower and PFG highlighting and summarizing the credit facilities extended by PFG to Borrower from time to time under this Agreement, as amended from time to time, all of the above (i) through
(iii), for marketing purposes. 
 8.7 Severability. Should any provision of this Agreement be held by any court of competent
jurisdiction to be void or unenforceable, such defect shall not affect the remainder of this Agreement, which shall continue in full force and effect. 

8.8 Integration. This Agreement and such other written agreements, documents and instruments as may be executed in connection
herewith are the final, entire and complete agreement between Borrower and PFG and supersede all prior and contemporaneous negotiations and oral representations and agreements, all of which are merged and integrated in this Agreement. There are
no oral understandings, representations or agreements between the parties which are not set forth in this Agreement or in other written agreements signed by the parties in connection herewith. 

8.9 Waivers; Indemnity. The failure of PFG at any time or times to require Borrower to strictly comply with any of the
provisions of this Agreement or any other Loan Document shall not waive or diminish any right of PFG later to demand and receive strict compliance therewith. Any waiver of any default shall not waive or affect any other default, whether prior or
subsequent, and whether or not similar. None of the provisions of this Agreement or any other Loan Document shall be deemed to have been waived by any act or knowledge of PFG or its agents or employees, but only by a specific written waiver signed
by an authorized officer of PFG and delivered to Borrower. Borrower waives the benefit of all statutes of  

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 
limitations relating to any of the Obligations or this Agreement or any other Loan Document, and Borrower waives demand, protest, notice of protest and notice of default or dishonor, notice of
payment and nonpayment, release, compromise, settlement, extension or renewal of any commercial paper, instrument, account, General Intangible, document or guaranty at any time held by PFG on which Borrower is or may in any way be liable, and notice
of any action taken by PFG, unless expressly required by this Agreement. Borrower hereby agrees to indemnify PFG and its affiliates, subsidiaries, parent, directors, officers, employees, agents, and attorneys, and to hold them harmless from and
against any and all claims, debts, liabilities, demands, obligations, actions, causes of action, penalties and Lender Expenses of every kind, which they may sustain or incur based upon or arising out of any of the Obligations, or any relationship or
agreement between PFG and Borrower, or any other matter, relating to Borrower or the Obligations; provided that this indemnity shall not extend to damages determined by a court of competent jurisdiction in a final judgment to have been proximately
caused by the indemnitee’s own willful misconduct. Notwithstanding any provision in this Agreement to the contrary, the indemnity agreement set forth in this Section shall survive any termination of this Agreement and shall for all purposes
continue in full force and effect. 
 8.10 No Liability for Ordinary Negligence. Borrower agrees that any and all claims it
may have under this Agreement shall be limited to claims against PFG and not its directors, officers, employees, agents, attorneys or any other Person affiliated with or representing PFG. Neither PFG, nor any of its directors, officers, employees,
agents, attorneys or any other Person affiliated with or representing PFG shall be liable for any claims, demands, losses or damages, of any kind whatsoever, made, claimed, incurred or suffered by Borrower or any other party through the negligence
of PFG, or any of its directors, officers, employees, agents, attorneys or any other Person affiliated with or representing PFG, but nothing herein shall relieve PFG from liability for its own gross negligence or willful misconduct.

 8.11 Amendment; Electronic Execution of Documents. The terms and provisions of this Agreement may not be waived or
amended, except in a writing executed by Borrower and a duly authorized officer of PFG. The words “execution,” “signed,” “signature” and words of like import in any Loan Document shall be deemed to include electronic
signatures or the keeping of records in electronic form, each of which shall be of the same legal effect, validity and enforceability as a manually executed signature or the use of a paper-based recordkeeping systems, as the case may be, to the
extent and as provided for in any applicable law, including, without limitation, any state law based on the Uniform Electronic Transactions Act. 

8.12 Time of Essence. Time is of the essence in the performance by Borrower of each and every obligation under this
Agreement. 
 8.13 Lender Expenses. Borrower shall reimburse PFG for all Lender Expenses. All Lender Expenses to
which PFG may be entitled pursuant to this Paragraph shall immediately become part of Borrower’s Obligations, shall be due on demand, and shall bear interest at a rate equal to the highest interest rate applicable to any of the
Obligations. 
 8.14 Benefit of Agreement. The provisions of this Agreement shall be binding upon and inure to
the benefit of the respective successors, assigns, heirs, beneficiaries and representatives of Borrower and PFG; provided, however, that Borrower may not assign or Transfer any of its rights under this Agreement without the prior written consent of
PFG, and any prohibited assignment shall be void. No consent by PFG to any assignment shall release Borrower from its liability for the Obligations. 

8.15 Joint and Several Liability. If Borrower consists of more than one Person, their liability shall be joint and several, and
the compromise of any claim with, or the release of, any Borrower shall not constitute a compromise with, or a release of, any other Borrower. 

8.16 Limitation of Actions. Any claim or cause of action by Borrower against PFG, its directors, officers, employees, agents,
accountants or attorneys, based upon, arising from, or relating to this Loan Agreement, or any other Loan Document, or any other transaction contemplated hereby or thereby or relating hereto or thereto, or any other matter, cause or thing
whatsoever, incurred, done, omitted or suffered to be done by PFG, its directors, officers, employees, agents, accountants or attorneys, shall be barred unless asserted by Borrower by the commencement of an action or proceeding in a court of
competent jurisdiction by (a) the filing of a complaint within one year after the earlier to occur of (i) the first act, occurrence or omission upon which such claim or cause of action, or any part thereof, is based, or (ii) the date
this Agreement is terminated, and (b) the service of a summons and complaint on an officer of PFG, or on any other person authorized to accept service on behalf of PFG, within thirty (30) days thereafter. Borrower agrees that such one-year
period is a reasonable and sufficient time for Borrower to investigate and act upon any such claim or cause of action. The one-year period provided herein shall not be waived, tolled, or extended except by the written consent of PFG in its sole
discretion. This provision shall survive any termination of this Loan Agreement or any other Loan Document. 
 8.17 Loan
Monitoring. At reasonable times and upon reasonable advance notice to Borrower, PFG shall have the right to 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 
visit personally with Borrower up to two times per calendar year at its principal place of business or such other location as the parties may mutually agree, for the purpose of meeting with
Borrower’s management in order to remain as up-to-date with Borrower’s business as is practicable and to maintain best practices in terms of lender loan monitoring and diligence. Lender Expenses incurred for reasonable travel, lodging and
similar expenses for up to three PFG staff for such visits shall be at Borrower’s expense and reimbursed in the same manner as other PFG expenses under this Agreement. 

8.18 Paragraph Headings; Construction; Counterparts. Paragraph headings are only used in this Agreement for convenience.
Borrower and PFG acknowledge that the headings may not describe completely the subject matter of the applicable paragraph, and the headings shall not be used in any manner to construe, limit, define or interpret any term or provision of this
Agreement. This Agreement has been fully reviewed and negotiated between the parties with the benefit of independent counsel and no uncertainty or ambiguity in any term or provision of this Agreement shall be construed strictly against PFG or
Borrower under any rule of construction or otherwise. References to “Borrower” are construed to mean “each Borrower”, unless otherwise expressly specified. Amounts set off in brackets or parentheses are negative. The word
“shall” is mandatory, the word “may” is permissive, and the word “or” is not exclusive. The term “Agreement” includes the Schedule. Obligations of a similar nature addressed in different sections of this
Agreement shall be deemed supplemental to one another and not exclusive unless expressly set forth as such. This Agreement may be executed in any number of counterparts and by different parties on separate counterparts, each of which, when executed
and delivered, is an original, and all taken together, constitute one Agreement. 
 8.19 Correction of Loan
Documents. PFG may correct patent errors and fill in any blanks in the Loan Documents consistent with the agreement of the parties so long as PFG provides Borrowers with written notice of such correction and allows Borrower at least ten
(10) days to object to such correction. In the event of such objection, such correction shall not be made except by an amendment signed by both PFG and Borrower. 

8.20 Governing Law; Jurisdiction; Venue. This Agreement and all acts and transactions hereunder and all rights and obligations
of PFG and Borrower shall be governed by the laws of the State of California. As a material part of the consideration to PFG to enter into this Agreement, Borrower (i) agrees that all actions and proceedings relating directly or indirectly to
this Agreement shall be litigated in courts located within California and that the exclusive venue therefor shall, at PFG’s option, be Santa Clara County; (ii) consents to the jurisdiction and venue of any such court and consents to
service of process in any such action or proceeding by personal delivery or by internationally-recognized commercial courier or overnight delivery service or by certified mail, return receipt requested, to the last known address for Borrower; and
(iii) waives any and all rights Borrower may have to object to the jurisdiction of any such court, or to transfer or change the venue of any such action or proceeding. Notwithstanding the foregoing, PFG, in pursuit of collection and Collateral
or rights therein, may pursue remedies in any jurisdiction in which Borrower or any Collateral resides or is deemed to reside. 
 8.21
Withholding. Payments received by PFG from Borrower under this Agreement will be made free and clear of and without deduction for any and all present or future taxes, levies, imposts, duties, deductions, withholdings, assessments, fees or
other charges imposed by any Governmental Body (including any interest, additions to tax or penalties applicable thereto). Specifically, however, if at any time any Governmental Body, applicable law, regulation or international agreement requires
Borrower to make any withholding or deduction from any such payment or other sum payable hereunder to PFG, Borrower hereby covenants and agrees that the amount due from Borrower with respect to such payment or other sum payable hereunder will be
increased to the extent necessary to ensure that, after the making of such required withholding or deduction, PFG receives a net sum equal to the sum which it would have received had no withholding or deduction been required, and Borrower shall pay
the full amount withheld or deducted to the relevant Governmental Body. Borrower will, upon request, furnish PFG with proof reasonably satisfactory to PFG indicating that Borrower has made such withholding payment; provided, however, that Borrower
need not make any withholding payment if the amount or validity of such withholding payment is contested in good faith by appropriate and timely proceedings and as to which payment in full is bonded or reserved against by Borrower. The agreements
and obligations of Borrower contained in this Section 8.21 shall survive the termination of this Agreement. 
 8.22
Multiple Borrowers; Suretyship Waivers. If at any time there is more than one Borrower: 
 (a) Borrowers’ Agent. Each
Borrower hereby irrevocably appoints Sonic Foundry, Inc. as the agent, attorney-in-fact and legal representative of all Borrowers for all purposes, including requesting disbursement of the Loan and receiving account statements and other notices and
communications to Borrowers (or any of them) from PFG. PFG may rely, and shall be fully protected in relying, on any request for a Loan, disbursement instruction, report, information or any other notice or communication made or given by any
Borrower, whether in its own name, as Borrowers’ agent, or on behalf of one or more Borrowers, and PFG shall not have any obligation to make any inquiry or request any confirmation from or on behalf of any other Borrower as to the binding
effect on it of any such request, instruction, report, information, other notice or communication, nor shall the joint and several character of Borrowers’ obligations hereunder be affected thereby. 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 (b) Waivers. Each Borrower hereby waives: (i) any right to require PFG to
institute suit against, or to exhaust its rights and remedies against, any other Borrower or any other Person, or to proceed against any property of any kind which secures all or any part of the Obligations, or to exercise any right of offset or
other right with respect to any reserves, credits or deposit accounts held by or maintained with PFG or any indebtedness of PFG to any other Borrower, or to exercise any other right or power, or pursue any other remedy PFG may have; (ii) any
defense arising by reason of any disability or other defense of any other Borrower or any guarantor or any endorser, co-maker or other Person, or by reason of the cessation from any cause whatsoever of any liability of any other Borrower or any
guarantor or any endorser, co-maker or other Person, with respect to all or any part of the Obligations, or by reason of any act or omission of PFG or others which directly or indirectly results in the discharge or release of any other Borrower or
any guarantor or any other Person or any Obligations or any security therefor, whether by operation of law or otherwise; (iii) any defense arising by reason of any failure of PFG to obtain, perfect, maintain or keep in force any Lien on, any
property of any Borrower or any other Person; (iv) any defense based upon or arising out of any Insolvency Proceeding, liquidation or dissolution proceeding commenced by or against or in respect of any Borrower or any guarantor or any endorser,
co-maker or other Person, including without limitation any discharge of, or bar against collecting, any of the Obligations (including without limitation any interest thereon), in or as a result of any such proceeding. Until all of the Obligations
have been paid, performed, and discharged in full, nothing shall discharge or satisfy the liability of Borrower hereunder except the full performance and payment of all of the Obligations. If any claim is ever made upon PFG for repayment or recovery
of any amount or amounts received by PFG in payment of or on account of any of the Obligations, because of any claim that any such payment constituted a preferential Transfer or fraudulent conveyance, or for any other reason whatsoever, and PFG
repays all or part of said amount by reason of any judgment, decree or order of any court or administrative body having jurisdiction over PFG or any of its property, or by reason of any settlement or compromise of any such claim effected by PFG with
any such claimant (including without limitation the any other Borrower), then and in any such event, Borrower agrees that any such judgment, decree, order, settlement and compromise shall be binding upon Borrower, notwithstanding any revocation or
release of this Agreement or the cancellation of any note or other instrument evidencing any of the Obligations, or any release of any of the Obligations, and Borrower shall be and remain liable to PFG under this Agreement for the amount so repaid
or recovered, to the same extent as if such amount had never originally been received by PFG, and the provisions of this sentence shall survive, and continue in effect, notwithstanding any revocation or release of this Agreement. Each Borrower
hereby expressly and unconditionally waives all rights of subrogation, reimbursement and indemnity of every kind against any other Borrower, and all rights of recourse to any assets or property of any other Borrower, and all rights to any collateral
or security held for the payment and performance of any Obligations, including (but not limited to) any of the foregoing rights which Borrower may have under any present or future document or agreement with any other Borrower or other Person, and
including (but not limited to) any of the foregoing rights which Borrower may have under any equitable doctrine of subrogation, implied contract, or unjust enrichment, or any other equitable or legal doctrine. Each Borrower further hereby waives any
other rights and defenses that are or may become available to Borrower by reason of California Civil Code Sections 2787 to 2855 (inclusive), 2899, and 3433, as now in effect or hereafter amended, and under all other similar statutes and rules now or
hereafter in effect. 
 (c) Consents. Each Borrower hereby consents and agrees that, without notice to or by Borrower and without
affecting or impairing in any way the obligations or liability of Borrower hereunder, PFG may, from time to time before or after revocation of this Agreement, do any one or more of the following in PFG’s sole and absolute discretion:
(i) accept partial payments of, compromise or settle, renew, extend the time for the payment, discharge, or performance of, refuse to enforce, and release all or any parties to, any or all of the Obligations; (ii) grant any other
indulgence to any Borrower or any other Person in respect of any or all of the Obligations or any other matter; (iii) accept, release, waive, surrender, enforce, exchange, modify, impair, or extend the time for the performance, discharge, or
payment of, any and all property of any kind securing any or all of the Obligations or any guaranty of any or all of the Obligations, or on which PFG at any time may have a Lien, or refuse to enforce its rights or make any compromise or settlement
or agreement therefor in respect of any or all of such property; (iv) substitute or add, or take any action or omit to take any action which results in the release of, any one or more other Borrowers or any endorsers or guarantors of all or any
part of the Obligations, including, without limitation one or more parties to this Agreement, regardless of any destruction or impairment of any right of contribution or other right of Borrower; (v) apply any sums received from any other
Borrower, any guarantor, endorser, or co-signer, or from the disposition of any Collateral or security, to any indebtedness whatsoever owing from such Person or secured by such Collateral or security, in such manner and order as PFG determines in
its sole discretion, and regardless of whether such indebtedness is part of the Obligations, is secured, or is due and payable. Borrower consents and agrees that PFG shall be under no obligation to marshal any assets in favor of Borrower, or against
or in payment of any or all of the Obligations. Borrower further consents and agrees that PFG shall have no duties or responsibilities whatsoever with respect to any 

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 
property securing any or all of the Obligations. Without limiting the generality of the foregoing, PFG shall have no obligation to monitor, verify, audit, examine, or obtain or maintain any
insurance with respect to, any property securing any or all of the Obligations. 
 (d) Foreclosure of Trust Deeds. Each Borrower
waives all rights and defenses that Borrower may have because any other Borrower’s Obligations are secured by real property. This means, among other things: (1) PFG may collect from Borrower without first foreclosing on any real or
personal property collateral pledged by the other Borrower; and (2) If PFG forecloses on any real property collateral pledged by another Borrower: (A) The amount of the Obligations may be reduced only by the price for which that collateral
is sold at the foreclosure sale, even if the collateral is worth more than the sale price; and (B) PFG may collect from Borrower even if PFG, by foreclosing on the real property collateral, has destroyed any right Borrower may have to collect
from the other Borrower. This is an unconditional and irrevocable waiver of any rights and defenses Borrower may have because any other Borrower’s Obligations are secured by real property. These rights and defenses include, but are not limited
to, any rights or defenses based upon Section 580a, 580b, 580d, or 726 of the California Code of Civil Procedure. Each Borrower waives all rights and defenses arising out of an election of remedies by PFG, even though that election of remedies,
such as a nonjudicial foreclosure with respect to security for a guaranteed obligation, has destroyed Borrower’s rights of subrogation and reimbursement against another Borrower or any other Person by the operation of Section 580d of the
California Code of Civil Procedure or otherwise. 
 (e) Independent Liability. Each Borrower hereby agrees that one or more
successive or concurrent actions may be brought hereon against Borrower, in the same action in which any other Borrower may be sued or in separate actions, as often as deemed advisable by PFG. Each Borrower is fully aware of the financial condition
of each other Borrower and is executing and delivering this Agreement based solely upon its own independent investigation of all matters pertinent hereto, and Borrower is not relying in any manner upon any representation or statement of PFG with
respect thereto. Each Borrower represents and warrants that it is in a position to obtain, and each Borrower hereby assumes full responsibility for obtaining, any additional information concerning any other Borrower’s financial condition and
any other matter pertinent hereto as Borrower may desire, and Borrower is not relying upon or expecting PFG to furnish to it any information now or hereafter in PFG’s possession concerning the same or any other matter. 

(f) Subordination. All indebtedness of a Borrower now or hereafter arising held by another Borrower is subordinated to the Obligations
and Borrower holding the indebtedness shall take all actions reasonably requested by PFG to effect, to enforce and to give notice of such subordination. 

8.23 Electronic Execution of Documents. The words “execution,” “signed,” “signature” and words of
like import in any Loan Document shall be deemed to include electronic signatures or the keeping of records in electronic form, each of which shall be of the same legal effect, validity and enforceability as a manually executed signature or the use
of a paper-based recordkeeping systems, as the case may be, to the extent and as provided for in any applicable law, including, without limitation, any state law based on the Uniform Electronic Transactions Act. 

8.24 Relationship. The relationship of the parties to this Agreement is determined solely by the provisions of this Agreement.
The parties do not intend to create any agency, partnership, joint venture, trust, fiduciary or other relationship with duties or incidents different from those of parties to an arm’s-length contract. 

8.25 Third Parties. Nothing in this Agreement, whether express or implied, is intended to: (a) confer any benefits, rights
or remedies under or by reason of this Agreement on any persons other than the express parties to it and their respective permitted successors and assigns; (b) relieve or discharge the obligation or liability of any person not an express party
to this Agreement; or (c) give any person not an express party to this Agreement any right of subrogation or action against any party to this Agreement. 

8.26 Mutual Waiver of Jury Trial. BORROWER AND PFG EACH HEREBY WAIVE THE RIGHT TO TRIAL BY JURY IN ANY ACTION OR PROCEEDING
BASED UPON, ARISING OUT OF, OR IN ANY WAY RELATING TO, THIS AGREEMENT OR ANY OTHER PRESENT OR FUTURE INSTRUMENT OR AGREEMENT BETWEEN PFG AND BORROWER, OR ANY CONDUCT, ACTS OR OMISSIONS OF PFG OR BORROWER OR ANY OF THEIR DIRECTORS, OFFICERS,
EMPLOYEES, AGENTS, ATTORNEYS OR ANY OTHER PERSONS AFFILIATED WITH PFG OR BORROWER, IN ALL OF THE FOREGOING CASES, WHETHER SOUNDING IN CONTRACT OR TORT OR OTHERWISE. WITHOUT INTENDING IN ANY WAY TO LIMIT THE PARTIES’ AGREEMENT TO WAIVE THEIR
RESPECTIVE RIGHT TO A TRIAL BY JURY, if the above waiver of the right to a trial by jury is not enforceable, the parties hereto agree that any and all disputes or controversies of any nature between them arising at any time shall be decided by a
reference to a private judge, mutually selected by the parties (or, if they cannot agree, by the Presiding Judge of the Santa Clara County, California Superior Court) appointed in accordance with Code of

  
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			Partners for Growth		Loan and Security Agreement        
		 	  

  

 
Civil Procedure Section 638 (or pursuant to comparable provisions of federal law if the dispute falls within the exclusive jurisdiction of the federal courts), sitting without a jury, in
Santa Clara County, California; and the parties hereby submit to the jurisdiction of such court. The reference proceedings shall be conducted pursuant to and in accordance with the provisions of Code of Civil Procedure §§ 638 through
645.1, inclusive. The private judge shall have the power, among others, to grant provisional relief, including without limitation, entering temporary restraining orders, issuing preliminary and permanent injunctions and appointing receivers. All
such proceedings shall be closed to the public and confidential and all records relating thereto shall be permanently sealed. If during the course of any dispute, PFG desires to seek provisional relief, but a judge has not been appointed at that
point pursuant to the judicial reference procedures, then PFG may apply to the Santa Clara County, California Superior Court for such relief. The proceeding before the private judge shall be conducted in the same manner as it would be before a court
under the rules of evidence applicable to judicial proceedings. The parties shall be entitled to discovery which shall be conducted in the same manner as it would be before a court under the rules of discovery applicable to judicial proceedings. The
private judge shall oversee discovery and may enforce all discovery rules and order applicable to judicial proceedings in the same manner as a trial court judge. The parties agree that the selected or appointed private judge shall have the power to
decide all issues in the action or proceeding, whether of fact or of law, and shall report a statement of decision thereon pursuant to the Code of Civil Procedure § 644(a). Nothing in this paragraph shall limit the right of PFG at any time to
exercise self-help remedies, foreclose against Collateral, or obtain provisional remedies. The private judge shall also determine all issues relating to the applicability, interpretation, and enforceability of this paragraph. 

[SIGNATURE PAGE FOLLOWS] 

  
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	Borrower:				PFG:
				
			SONIC FOUNDRY, INC.				PARTNERS FOR GROWTH IV, L.P.
						
			By		 /s/ Gary Weis
				By		 /s/ Lorraine Nield

					President or Vice President						
						
			By		 /s/ Ken Minor
				Name:		 Lorraine Nield

					Secretary or Ass’t Secretary						
									Title:		Manager, Partners for Growth IV, LLC
											Its General Partner

  
 - Signature Page Loan
and Security Agreement - 

					
					
		 	  

  

 Partners For Growth 

Schedule to 
 Loan and
Security Agreement 
  

			
	Borrower:		Sonic Foundry, Inc., a Maryland corporation
	Address:		222 West Washington Avenue, Madison, WI 53703
		
	Date:		May 13, 2015

 This Schedule forms an integral part of the Loan and Security Agreement between PARTNERS FOR GROWTH IV, L.P. and the
above-borrower of even date. 
  
  

 

					
	1.		LOAN (Section 1.1):		
			
			The Loan:		The Loan shall consist of a term Loans in the maximum aggregate amount of $2,000,000, which shall be disbursed in two (2) Tranches as follows:
			
					Tranche 1: $1,500,000, which shall be disbursed within one (1) Business Day following satisfaction (or in PFG’s discretion, waiver) of the conditions set forth in Section 9 of this Schedule; and
			
					Tranche 2: $500,000, which shall be disbursed within (1) Business Day following Borrower’s Qualifying Request at any time between the Effective Date and 5:00 p.m. Pacific Time on December 31, 2015, for the Tranche 2
Loan, so long as at the time of such Qualifying Request, no Default or Event of Default shall have occurred and be continuing.
			
			Repayment:		Tranche 1: Borrower shall pay interest only on the Tranche 1 Loan from the Effective Date to the date that is six (6) months from the end of the first full month after the Effective Date. Thereafter, commencing with a
principal payment due December 1, 2015 (the “Tranche 1 Principal Repayment Commencement Date”) the principal amount of the Loan Tranche 1 Loan shall be repaid equal monthly principal payments of $50,000 each, plus interest accrued on
principal during the prior month, and continuing on the same day of each month thereafter until the earlier of (i) the date on which the unpaid principal balance of all Loans and any and all accrued and unpaid interest and other monetary Obligations
thereon has been paid and (ii) the Maturity Date.

  
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			            Partners for Growth		Schedule to Loan and Security Agreement        
		 	  

  

					
			
					Tranche 2: Borrower shall pay interest only on the Tranche 2 Loan from the date the Tranche 2 Loan is disbursed to Borrower to the date that is six (6) months from the end of the first full month after the Effective Date (the
same date the interest-only period in respect of Tranche 1 ends). Thereafter, commencing with a principal payment due on the Tranche 1 Principal Repayment Commencement Date, the principal amount of the Loan Tranche 2 Loan shall be repaid equal
monthly principal payments of $16,666,67 each, plus interest accrued on principal during the prior month, and continuing on the same day of each month thereafter until the until the earlier of (i) the date on which the unpaid principal balance of
all Loans and any and all accrued and unpaid interest and other monetary Obligations thereon has been paid and (ii) the Maturity Date. For the avoidance of doubt, if Borrower were to draw the Tranche 2 Loan on December 31, 2015, the first
principal payment on Tranche 2 would be due on February 1, 2016, the monthly principal amount would be the principal amount of Tranche 2 divided by the number of months to the stated Maturity Date and all principal and interest under Tranche 2
would be due coterminous with Tranche 1 Obligations, on the stated Maturity Date.
			
			Prepayment:		The principal of the Loans may be prepaid at any time, in whole or in part, provided that, concurrently with the prepayment, Borrower pays to PFG a prepayment fee equal to 1% of the principal amount prepaid in the first year from
the Effective Date.

  
  

 

					
	2.		INTEREST.		
			
			    Interest Rate (Section 1.2):		
			
					The Loan shall bear interest at a per annum rate equal to 10.75%, fixed.
			
					Interest shall be calculated on the basis of a 360-day year and a year of twelve months of 30 days each for the actual number of days elapsed. Accrued interest for each month shall be payable monthly, on the first day of each month
for interest accrued during the prior month.

  
  

 

					
	3.		FEES (Section 1.3):		
			
			    Loan Commitment Fee:		$30,000, fully earned and payable concurrently herewith, and $10,000 upon Borrower drawing Tranche 2.

  
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		 	            Partners for Growth	  	Schedule to Loan and Security Agreement        
		 	  

  

  
  

					
	4.		MATURITY DATE
			(Section 5.1):		 May 13, 2018

  
  

 

							
	5.		FINANCIAL COVENANTS
			(Section 4.1):		Borrower shall comply with each of the following covenants. Compliance shall be determined as of the end of each month, except as otherwise specifically provided below:
			
	(a)		Debt Service		
			Coverage (“DSC”) Ratio:		Commencing with the quarterly compliance period ended June 30, 2015 and thereafter, measured as of the last day of each fiscal quarter, on a trailing twelve (12) month basis ending as of the date of measurement, maintain
a ratio of (x) (i) EBITDA plus (ii) the net change in Deferred Revenue during such measurement period; divided (y) Debt Service, of at least the following for the quarterly periods indicated below:
				
	 	 	 	 	 Quarterly Periods Ending
	 	 Minimum Debt Service Coverage Ratio

		 		 	 June 30, 2015
	 	1.00:1.00
		 		 	 September 30, 2015
	 	1.25:1.00
		 		 	 December 31, 2015
	 	1.50:1.00
		 		 	 Each quarterly period thereafter
	 	1.50:1.00
			
		 		 	Definition. For purposes of the DSC Ratio, the term “EBITDA” means (a) Net Income, plus (b) Interest Expense, plus (c) to the extent deducted in the calculation of Net Income, depreciation
expense and amortization expense, plus (d) income tax expense, plus (e) non-cash stock compensation expense, plus (f) up to $28,000 in settlement expenses under the Astute Settlement, plus, (g) up to $150,000 in severance
compensation in connection with a departing employee, plus, (h) such other non-cash and non-recurring expenses acceptable to PFG, in its reasonable discretion.
			
		 		 	DSC Default Cure. Borrower shall not be deemed to be in default of the DSC Ratio if at any relevant time of measurement (i.e., a DSC Default) Borrower is able to reserve all term debt then outstanding to the
Senior Lender under the SVB Term Loan within Borrower’s Revolving Line Availability.
			
	 (b)
	 	Minimum Liquidity:	 	Commencing with the monthly period ending May 31, 2015, Borrower shall maintain a minimum Liquidity Ratio of at least: (i) 1.35:1.00 for each month-end that is not the last day of a fiscal quarter; and (ii) 1.50:1.00 for
each month-end that is the last day of any fiscal quarter.

  
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			            Partners for Growth		Schedule to Loan and Security Agreement        
		 	  

  

							
			
					For purposes of the Minimum Liquidity covenant, the term “Liquidity Ratio” means the (A) the sum of (i) Borrower’s unrestricted Cash and Cash Equivalents deposited with the Senior Lender, plus (ii)
Borrower’s net billed accounts receivable as reported to the Senior Lender, divided by (B) all monetary obligations owing to the Senior Lender as at any date of measurement.
			
	(c)		Japanese Subsidiary Debt:		At all times the Japanese Subsidiary shall have less than $500,000 outstanding under its revolving credit facility.
			
	(d)		Future Periods:		For periods prior to the Maturity Date not addressed by the covenant thresholds set forth above, PFG will set thresholds substantially consistently with the Senior Lender. If at any time there is no Senior Lender or a
senior lender other than Silicon Valley Bank, PFG shall set thresholds of like tenor based on Borrower’s Plan for periods for which covenant thresholds have not then been set.

  
  

 

									
	6.		REPORTING.						
			(Section 4.4):						
			
					Borrower shall provide PFG with the following:
				
					(a)		Monthly accounts payable, accounts receivable and deferred Revenue schedules, aged by invoice date, and outstanding or held check registers, if any, within 30 days after the end of each month.
				
					(b)		Monthly unaudited consolidated Financial Statements, as soon as available, and in any event within 30 days after the end of each month.
				
					(c)		Monthly Compliance Certificates within 30 days after the end of each month and at each Loan request, signed by the Chief Financial Officer of Borrower, certifying that as of the end of such month or as at such date of
Loan request Borrower was in full compliance with all of the terms and conditions of this Agreement and setting forth calculations showing compliance with the financial covenants set forth in this Schedule and such other information as PFG shall
reasonably request.
				
					(d)		Updates to the Representations, as and when required to render the information therein true, correct, accurate and complete in all material respects and no less frequently than quarterly.
				
					(e)		Annual Borrower Board-approved Budgets and Forecasts, within the earlier of 30 days of approval by Borrower’s Board or when available.

  
 -4- 

					
			            Partners for Growth		Schedule to Loan and Security Agreement        
		 	  

  

									
				
					(f)		Annual consolidated and consolidating Financial Statements, as soon as available, and in any event within 120 days following the end of Borrower’s fiscal year, certified by, and with an unqualified opinion of,
independent certified public accountants acceptable to PFG. Borrowers current independent certified public accountants, Baker Tilly Virchow Krause is acceptable to PFG. If Borrower is required to file and is current in its filings of Form 10-K with
the Securities and Exchange Commission and the same is available within said period through EDGAR, this requirement will be deemed satisfied.
				
					(g)		Upon PFG request, copies of all reports and statements provided by Borrower to the Senior Lender.

  
  

 

							
	7.		BORROWER INFORMATION:
			
					Borrower represents and warrants that the information set forth in the Representations and Warranties of Borrower dated April 17, 2015, previously submitted to PFG (the “Representations”) is true and correct as
of the Effective Date.

  
  

 

									
	8.		ADDITIONAL PROVISIONS		
				
					(a)		Senior Lender.
					
							 (1)
		Senior Lender. As used herein, “Senior Lender” means Silicon Valley Bank, and “Senior Loan Documents” means all present and future documents instruments and agreements entered into between Borrower and
Senior Lender or by third parties relating to Borrower and Senior Lender.
					
							(2)		Senior Debt Limit. Borrower shall not permit the total Indebtedness of Borrower to Senior Lender, other than Non-Overdue Senior Monetary Obligations and up to $200,000 in Bank Services (as defined in the Senior Loan
Documents), at any time to exceed the sum of (A) $4,000,000 under the Revolving Line, plus (B) the outstanding principal balance at any time under the SVB Term Loan (the “Senior Debt Limit”), including, but not limited to, monies
borrowed by Borrower, interest on loans due from Borrower, Lender Expenses for which Borrower is obligated, sums due from Borrower in connection with issuance of commercial letters of credit, issuance of forward contracts for

  
 -5- 

					
			            Partners for Growth		Schedule to Loan and Security Agreement        
		 	  

  

									
									foreign exchange reserve, and any other direct or indirect financial accommodation Senior Lender may provide to Borrower. Principal under the SVB Term Loan may not be reborrowed by Borrower without PFG’s consent, in its
business discretion.
					
							(3)		Senior Loan Documents. Borrower represents and warrants that it has provided PFG with true and complete copies of all existing Senior Loan Documents, and Borrower covenants that it will, in the future, provide PFG with true
and complete copies of any future Senior Loan Documents, including without limitation any amendments to any existing Senior Loan Documents.
				
					(b)		Collateral Accounts. Concurrently, Borrower shall cause the banks and other institutions where its Collateral Accounts are maintained to enter into Control Agreements with PFG, in form and substance legally
sufficient and otherwise satisfactory to PFG in its good faith business judgment and sufficient to perfect PFG’s security interest in said Collateral Accounts, subject to the security interest of the Senior Lender. Said Control Agreements shall
permit PFG, upon a Default, to exercise exclusive control over said Collateral Accounts and proceeds thereof (subject to the rights of the Senior Lender). As a continuing obligation, all primary operating accounts and excess Cash of Borrower shall
be maintained with the Senior Lender and its affiliates.
				
					(c)		Subordination of Inside Debt. All present and future indebtedness of Borrower to its officers, directors and shareholders (“Inside Debt”) shall, at all times, be subordinated to the Lien of PFG in
respect of and prior payment of Obligations. Borrower represents and warrants that there is no Inside Debt presently outstanding, except as set forth in Exhibit A. Prior to incurring any Inside Debt in the future, Borrower shall cause the
person to whom such Inside Debt will be owed to execute and deliver to PFG a subordination agreement on PFG’s standard form.

  
  

 

									
	9.		CONDITIONS						
			
					In addition to any other conditions to the Loan set out in this Agreement, PFG will not make any Loan until PFG shall have received from Borrower, in form and substance satisfactory to PFG, such documents, and completion
of such other matters, as PFG may reasonably deem necessary or appropriate, including that there shall be

  
 -6- 

					
			            Partners for Growth		Schedule to Loan and Security Agreement        
		 	  

  

									
					no discovery of any facts or circumstances which would, as determined by PFG in its sole discretion, negatively affect or be reasonably expected to negatively affect the collectability of the Obligations, PFG’s
security interest in Borrower’s Collateral or the value thereof. Notwithstanding the foregoing, Borrower agrees to deliver to PFG each item required to be delivered to PFG under this Agreement as a condition precedent to any Loan. Borrower
expressly agrees that a Loan made prior to the receipt by PFG of any such item shall not constitute a waiver by PFG of Borrower’s obligation to deliver such item, and the making of any Loan in the absence of a required item shall be in
PFG’s sole discretion. Without limiting the foregoing, as a condition to the Loan, Borrower shall provide:
			
					(i) duly executed original signatures of Borrower to the Loan Documents to which Borrower is a party, including without limitation, this Agreement, the Intellectual Property Security Agreement and related Collateral
Agreements and Notices, landlord consents and bailee waivers, and subordination agreements among PFG, Borrower and holders of Subordinated Debt;
			
					(ii) Borrower’s Constitutional Documents and, where applicable, a good standing certificate of Borrower certified by the Secretary of State or other Governmental Body of the jurisdiction of formation of Borrower, as
of a date no earlier than thirty (30) days prior to the date hereof;
			
					(iii) A Certificate of Incumbency and a Secretary’s Certificate certifying the Constitutional Documents of Borrower and resolutions of the Board of Borrower authorizing the execution, delivery and performance of the
Loan Documents to which such Borrower is a party, including in the case of Parent, the Warrant;
			
					(iv) Control Agreements as required by Section 8(b) of this Schedule, duly executed by Borrower and each relevant depositary institution in favor of PFG, including from Silicon Valley Bank;
			
					(v) certified copies, dated as of a recent date, of Security Instrument searches, as PFG shall request, accompanied by written evidence (including any UCC termination statements) that the Liens indicated in any such
Security Instruments either constitute Permitted Liens or have been or, in connection with the Loan, will be terminated or released;
			
					(vi) the Representations, duly executed by Borrower,
			
					(vii) landlord consents executed in favor of PFG by Borrower’s principal office lessor in respect of its premises in Madison, Wisconsin and, if required by PFG, each other premises where Borrower holds Collateral
with a fair value in excess of $10,000, and

  
 -7- 

					
			            Partners for Growth		Schedule to Loan and Security Agreement        
		 	  

  

									
					warehouseman’s/bailee waivers in respect of third party premises where Collateral with a fair value in excess of $10,000 is stored or housed, including Borrower’s facilities at Embedtek (Hartland, WI), 5Nines
(Madison, WI) and TDS (Madison, WI);
			
					(viii) duly executed Warrants in favor of PFG and its designees (the “PFG Warrant”) to purchase up to 50,000 Common Shares of Borrower, in agreed form;
			
					(ix) the insurance policies and/or endorsements required pursuant to Section 4.3;
			
					(x) payment of the Fees specified in Section 3 of this Schedule and Lender Expenses incurred in connection with the Loan;
			
					(xi) any third party consents required in order for Borrower to enter into and perform the Loan Documents;
			
					(xii) execution and delivery of a subordination agreement between PFG and the Senior Lender in respect of obligations under this Agreement;
			
					(xiii) PFG shall have received true, correct and current copies of the Senior Loan Documents; and
			
					(xiv) to the extent that the conditions to this Agreement have not been completed as of the Effective Date, a post-closing obligations letter in PFG’s customary form by which PFG waives or defers performance of such
conditions as PFG is willing to defer in its sole business discretion.

 [Signature Page Follows] 

  
 -8- 

					
					
		 	  

  

											
	Borrower:				PFG:
				
			SONIC FOUNDRY, INC.				PARTNERS FOR GROWTH IV, L.P.
						
			By		  
				By		  

					President or Vice President						
						
			By		  
				Name:		  

					Secretary or Ass’t Secretary						
									Title:		Manager, Partners for Growth IV, LLC
						
											Its General Partner

  
 - Signature Page to
Schedule to Loan and Security Agreement - 

 Exhibit A to Loan and Security Agreement 

Section 7 – “Permitted Indebtedness” – Other Existing Permitted Indebtedness: 

Section 8 – “Permitted Investments” – Other Existing Permitted Investments: 

Section 8 – “Permitted Liens” – Other Permitted Liens: 

“Inside Debt”: 

 Exhibit B to Loan and Security Agreement – Compliance CertificateEX-10.28

 Exhibit 10.28 

WARRANT 
 THIS WARRANT
(“WARRANT”) TO PURCHASE SHARES IN THE CAPITAL OF SONIC FOUNDRY, INC., A MARYLAND CORPORATION (THE “COMPANY”) IS ISSUED ON THE ISSUE DATE PURSUANT TO THE TERMS OF THAT CERTAIN LOAN AND SECURITY AGREEMENT BETWEEN THE COMPANY AND
PARTNERS FOR GROWTH IV, L.P. (THE “LOAN AGREEMENT”). THIS WARRANT IS SOLD IN A PRIVATE TRANSACTION, WITHOUT REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, AND REGULATIONS PROMULGATED THEREUNDER (THE “SECURITIES ACT”)
OR THE SECURITIES LAWS OF ANY STATE, AND MAY BE OFFERED OR SOLD ONLY IF REGISTERED UNDER THE SECURITIES ACT AND SUCH LAWS OR IF AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT AND SUCH LAWS IS AVAILABLE. 

 

			
	Company:		Sonic Foundry, Inc., a Maryland corporation
	Warrant Stock:		Common Stock, par value $0.01 per share
	Number of Shares:		Up to 30,000, subject to adjustment
	Exchange Price:		$9.66 per Share, subject to adjustment
	Issue Date:		May 14, 2015
	Expiration Date:		May 14, 2020

 The term “Holder” shall initially refer to Partners for Growth IV, L.P., a Delaware limited
partnership, which is the initial holder of this Warrant and shall further refer to any subsequent permitted holder of this Warrant from time to time. 

The Company does hereby certify and agree that in consideration of Holder’s payment of $3,138 for this Warrant on the Issue Date (such
dollar amount, exclusive of the Exchange Price payable or creditable upon Exercise or Exchange of this Warrant, the “Purchase Price”), Holder, or its permitted successors and assigns, hereby is entitled, subject to Sections 1.8 and 1.9
hereof, to Exchange or Exercise this Warrant in the Company for up to Thirty Thousand (30,000) shares of the Company’s Common Stock, par value $0.01 per share (the “Warrant Stock”). This Warrant is subject to adjustment as set
forth in this Warrant. Capitalized terms used but not defined in this Warrant have their meanings as set forth in the Loan Agreement defined in the heading between the Company and Partners for Growth IV, L.P. (“PFG”). When the term
“convert” or “conversion” in relation to the Warrant is used herein, it includes an Exchange and an Exercise, each as defined in Section 1.3(a), below, as applicable. 

Section 1. Term, Price and Exchange of Warrant. 

1.1 Term of Warrant. This Warrant shall be convertible for a period of five (5) years after the Issue Date (hereinafter referred
to as the “Expiration Date”). 

 1.2 Exchange Price. The price per Share at which the shares of Warrant Stock are issuable
upon conversion of this Warrant shall be $9.66 per Warrant Share (the “Exchange Price”). 
 1.3 Conversion of
Warrant. 
 (a) This Warrant may be exercised, in whole or in part, upon surrender of this Warrant to the Company, together with the
Election to Exchange or Exercise attached hereto as Exhibit A (the “Election”) duly completed and executed with “Exercise” selected as the mode of conversion, and upon payment to the Company of the Exercise Price for the
number of shares of Warrant Stock in respect of which this Warrant is then being exercised (an “Exercise”). In whole or in part in lieu of an Exercise, Holder may convert this Warrant on a cashless basis by so indicating in the Election
and proceeding in accordance with the remainder of this Section 1.3 (an “Exchange”). In each above case, Holder shall surrender this Warrant to the Company at its then principal offices, together with the Election duly completed and
executed. 
 (b) Upon an Exchange, the Holder shall receive shares of Warrant Stock such that, without the payment of any funds, the Holder
shall surrender this Warrant in exchange for the number of shares of Warrant Stock equal to “X” (as defined below), computed using the following formula: 
  

													
											Y * (A-B)		
							X  =		  
		
							
											A		
							
	Where												
				
			X		=		the number of shares of Warrant Stock to be issued to Holder
				
			Y		=		the number of shares of Warrant Stock to be converted under this Warrant
				
			A		=		the Fair Market Value of one Warrant Share
				
			B		=		the Exchange Price (as adjusted to the date of such calculations)
				
			*		=		multiplied by

 (c) For purposes of this Warrant, the “Fair Market Value” of one Warrant Share shall be (i) if
the Company’s securities become listed on a national or international stock exchange, the average closing sale price reported on such exchange for such listed securities during the 90-trading day period immediately prior to the date Holder
delivers its Election to the Company, or (ii) if the Company’s securities are traded over-the-counter, the average of bid and ask price for such securities over the 90-trading day period immediately prior to the day Holder delivers its
Election to the Company, in each case of (i) and (ii), above, if the shares of Warrant Stock are convertible into such listed or over-the-counter traded securities other than on a one-to-one basis, multiplied by the ratio at which one Warrant
Share converts into such other security. If the Company’s securities are not listed or traded as contemplated in clauses (i) or (ii), above, the Fair Market Value of the Warrant Stock shall be the price per Warrant Share which the

  
 2 

 
Company could obtain from a willing buyer of shares of Warrant Stock sold by the Company from its authorized but unissued Shares, initially as the Board of Directors of the Company
(“Board”) shall determine in its reasonable good faith judgment, subject to Holder’s valuation rights below, but in no event less than the price to which a holder of Warrant Stock would be entitled based on a valuation of the Company
as a going concern and the application of the rights, preferences and privileges of the Company’s outstanding securities as set forth in the Company’s Constitutional Documents, without discount for minority, control or lack of
marketability. If the Warrant is to be converted in connection with an Acquisition, the Fair Market Value of a Warrant Share shall be based on the enterprise value specified or implied in such Acquisition and shall be the greater of (A) the
value attributable to the Warrant Stock and (B) the value attributable to the Company securities into which the shares of Warrant Stock are (or may be) convertible (but subject to Holder’s conversion directly into such other Company
securities). 
 (b) In the event that Holder converts this Warrant in connection with a transaction in which shares of the same class and
series as the Warrant Stock are converted into another security, Holder may effect a conversion directly into such other security. 
 (c)
Subject to Section 2 hereof, upon delivery of the duly completed and executed Election, the Company shall issue and deliver within four (4) business days to Holder or such other person as Holder may designate in writing a certificate or
certificates or other legal evidence of Holder’s ownership of the number of shares of Warrant Stock so acquired upon the conversion of this Warrant. Such certificate(s) or other legal evidence shall be deemed to have been issued and any person
so designated to be named therein shall be deemed to have become a stockholder of the Company and a holder of record of such shares of Warrant Stock as of the date the Election is delivered to the Company, provided, however, Holder’s admission
as a stockholder shall be subject to Holder’s execution and delivery of such agreements as may be required of all stockholders or of an accession or similar agreement by which Holder agrees to be bound by such agreements. If this Warrant is
converted in part, a new warrant substantially identical to this Warrant for the number of Shares not converted shall be promptly executed and delivered to Holder by the Company. 

1.4 Fractional Interests. The Company shall not be required to issue fractions of shares of Warrant Stock upon the conversion of this
Warrant. If any fraction of a Warrant Share would be issuable upon the conversion of this Warrant (or any portion thereof), the Company shall purchase such fraction for an amount in cash equal to the fair market value of a Warrant Share as
determined by the Board in its reasonable judgment. 
 1.5 Certain Definitions. For purposes of this Warrant: 

“Acquisition” means, in any single transaction or series of related transactions: (i) any sale or other disposition
(including exclusive license) of all or substantially all of the assets of the Company in whatever form and however consummated, or (ii) any reorganization, consolidation, merger or acquisition of the Company or a Controlling interest in the
Company. 

  
 3 

 An “Affiliate” of, or person “affiliated” with, a specified Person,
is a Person that directly, or indirectly through one or more intermediaries, beneficially owns or is beneficially owned, controls or is controlled by, or is under common control with, the Person specified, and any person or entity that owns or
controls directly or indirectly ten percent (10%) or more of the Shares of Company shall be deemed to be an Affiliate of the Company. 

“Constitutional Documents” means the Company’s Certificate of Incorporation (as amended and restated, as applicable),
Bylaws and agreements between or among the Company and holders of any class or series of its stock. 
 “Control”
(including the terms “controlling”, “controlled by” and “under common control with”) means the possession, direct or indirect through one or more Affiliates, of the power to direct or cause the direction of the
management and policies of a person, whether through the ownership or voting of voting securities, by contract, or otherwise. 

“Person” or “person” means any individual, sole proprietorship, partnership, joint venture, trust,
unincorporated organization, association, corporation, government, or any agency or political division thereof, or any other entity of any kind. 

1.6 Automatic Conversion upon Expiration. Upon the Expiration Date, this Warrant shall automatically be deemed on and as of such date
to be Exchanged for the cash sum set forth in Section 1.8 as to all shares of Warrant Stock (or such other securities) for which this Warrant has become convertible and for which it shall not previously have been converted for Warrant Stock (or
if not then outstanding, into such other class and series of securities into which the Warrant Stock is then convertible). 
 1.7
Treatment of Warrant Upon Acquisition of Company. Upon the closing of any Acquisition, without limiting or prejudicing Holder’s right to convert this Warrant under Section 1.3 or exercise its “put” rights under
Section 1.8 (in each case with respect to the Warrant Stock that may then be converted or put) the surviving entity shall, as a condition to the Acquisition, either (i) assume the obligations under this Warrant, then this Warrant shall be
convertible into the same securities as would be payable for the shares of Warrant Stock issuable upon conversion of the unconverted portion of this Warrant as if such shares of Warrant Stock were outstanding on the record date for the Acquisition
(and the Exchange Price and/or number of shares of Warrant Stock shall be adjusted accordingly); or (ii) the Company or other surviving entity in such Acquisition shall, upon initial closing of such Acquisition purchase this Warrant at its
“Fair Value” (the “Purchase Price”). For purposes hereof, “Fair Value” means that value determined by the parties using a Black-Scholes Option-Pricing Model (the “Black-Scholes Calculation”) with the following
assumptions: (A) a risk-free interest rate equal to the risk-free interest rate at the time of the closing of the Acquisition (or as close thereto as practicable), (B) a contractual life of the Warrant equal to the remaining term of this

  
 4 

 
Warrant as of the date of the announcement of the Acquisition, (C) an annual dividend yield equal to dividends payable or declared on the underlying shares of Warrant Stock (including
securities into which the shares of Warrant Stock may be convertible) during the term of this Warrant (calculated on an annual basis), and (D) a volatility factor of the expected market price of the Company’s Shares comprised of:
(1) if the Company is publicly traded on a national securities exchange, its volatility over the one year period ending on the day prior to the announcement of the Acquisition, (2) if the Shares are traded over-the-counter, its volatility
over the one year period ending on the day prior to the announcement of the Acquisition, or (3) if the Company is a non-public company, the volatility, over the one year period prior to the Acquisition, of an average of publicly-traded
companies in the same or similar industry to the Company with such companies having similar revenues. The Purchase Price determined in accordance with the above shall be paid upon the initial closing of the Acquisition and shall not be subject to
any post-Acquisition closing contingencies or adjustments; provided, however, the parties may take such post-Acquisition closing contingencies or adjustments into account in determining the Purchase Price, and if the parties take any
post-Acquisition closing contingencies or adjustments into account, then upon the partial or complete removal of those post-Acquisition closing contingencies or adjustments, a new Black-Scholes Calculation would be made using all of the same inputs
except for the value of the Company’s Shares (as determined under subclause (D)), and any increase in Fair Value (and, correspondingly, Purchase Price), including, without limitation, as a result of any earn-out or escrowed consideration, would
be paid in full to Holder immediately after those post-Acquisition closing contingencies or adjustments can be determined or achieved. 

1.8 Warrant Put. Notwithstanding anything to the contrary set forth in this Warrant, in the event of (i) any Acquisition of the
Company, (ii) any liquidation of the Company, (iii) any liquidation or deemed liquidation of the Company under its Constitutional Documents, or (iv) the expiry of this Warrant, Holder shall have the right (but not the obligation) to
exchange this Warrant (the “Put Right”) for the cash sum of $120,000 (the “Exchange Put Price”); provided, however, if the Company does not draw Tranche 2 under the Loan Agreement, the Exchange Put Price shall be
$90,000. The Exchange Put Price shall be adjusted on a relative percentage basis to the extent that Holder has converted any part of this Warrant and later exercises its Put Right. Except as to a put effected under Section 1.6, Holder shall
exercise such Put Right by written notice as provided in this Warrant and, upon receipt by the Company of such notice, the Expiration Date of this Warrant shall be deemed extended until such time as the Company has paid the Exchange Put Price to
Holder. The Company shall promptly (and in no event later than (five) 5 business days of Holder’s notice to the Company) pay the Exchange Put Price to Holder. Notwithstanding the foregoing, however, if the Warrant Stock (i) is publicly
traded at a price that is greater than 300% of the Exchange Price for at least twenty (20) consecutive trading days, (ii) the Warrant Stock is freely tradable by Holder and (iii) there is sufficient trading volume to enable Holder to
sell its Warrant Stock over a ten (10) consecutive trading day period without materially and adversely impacting the trading price of the Company’s Common Stock, then Holder’s right to “put” the Warrant Stock under this
Section 1.8 shall terminate. Whether the conditions set forth in clauses (i) through (iii) have been satisfied shall be a matter of Holder’s reasonable good faith business judgment, the basis therefor shall notified to the
Company and binding on the parties. 

  
 5 

 1.9 Reduction in Number of Shares. The parties acknowledge that the loans under the Loan
Agreement are to be disbursed in two tranches (“Tranche 1” and “Tranche 2” as defined in the Loan Agreement). 22,500 shares of Warrant Stock are immediately convertible on the Issue Date. 7,500 shares of Warrant Stock
automatically become convertible if and when the Company draws Tranche 2 under the Loan Agreement. 
 Section 2. Exchange and Transfer of Warrant.

 (a) This Warrant may be transferred, in whole or in part, without restriction, subject only to (i) Holder’s compliance with
applicable securities laws (which, in the case of Affiliates, shall be deemed satisfied by Holder (and transferee) certification of Affiliate status), and (ii) the transferee holder of the new Warrant assuming the obligations of Holder set
forth in this Warrant. A transfer may be registered with the Company by submission to it of the annexed Assignment Form attached hereto as Exhibit B duly completed and executed. After the Company’s registration of a transfer of this
Warrant, the Company will issue and deliver to the transferee a new warrant (representing the portion of this Warrant so transferred) upon the same terms and conditions as this Warrant and in substantially identical form, which the Company will
register in the new holder’s name. In the event of registration of a partial transfer of this Warrant, the Company shall concurrently issue and deliver to the transferring holder a new warrant that entitles the transferring holder to the
balance of this Warrant not so transferred and that otherwise is upon the same terms and conditions as this Warrant. Upon the delivery of this Warrant for transfer, the transferee holder shall for all purposes become the holder of the new warrant
issued for the portion of this Warrant so transferred, irrespective of the date of actual delivery of the new warrant representing the portion of this Warrant so transferred. 

(b) In the event of the loss, theft or destruction of this Warrant, the Company shall execute and deliver an identical new warrant to Holder
in substitution therefor upon the Company’s receipt of (i) evidence reasonably satisfactory to the Company of such event, and (ii) if requested by the Company, an indemnity agreement in reasonable and customary form. 

(c) The Company shall pay its own and all Holder’s reasonable costs and expenses incurred in connection with the conversion, transfer or
replacement of this Warrant, including, without limitation, securities compliance, the costs of preparation, execution and delivery of a new warrant and of certificates or other legal evidence of all Warrant Stock. 

Section 3. Certain Covenants. 
 (a)
The Company shall ensure that any approval of its stockholders required for issuance of this Warrant and of the shares of Warrant Stock issuable upon conversion 

  
 6 

 
hereof (which shall, for the avoidance of doubt, include any securities into which shares of Warrant Stock are or become convertible) remains in full force and effect until the earlier of
conversion or the Expiration Date. 
 (b) The Company will not, by amendment of its Constitutional Documents or through reorganization,
consolidation, merger, amalgamation, sale of assets or otherwise, avoid or seek to avoid the observance or performance of any of the terms of this Warrant. Without limiting the foregoing, the Company will from time to time take all such action as
may be necessary or appropriate in order that the Company may validly and legally issue shares of Warrant Stock upon the conversion of this Warrant. 

(c) So long as Holder or any of its Affiliates holds this Warrant and/or the Warrant Stock, the Company shall deliver to Holder such reports
as it provides to any holders of securities of the same class and series as the Warrant Stock, as and when delivered to such holders. Notwithstanding the foregoing, the Company will provide quarterly and annual financial statements and such other
information as such Holder may reasonably request and that the Company may lawfully provide at such time under applicable securities laws so long as such statements are not publicly available. 

(d) The Company shall not treat the Warrant or the shares of Warrant Stock as being granted or issued as property transferred in connection
with the performance of services or otherwise as compensation for services rendered. 
 (e) The Company shall not characterize the Warrant
as an ownership interest in the Company or Holder as a stockholder of the Company until such time as Holder converts the Warrant for shares of Warrant Stock. 

Section 4. Adjustments to Number of Shares of Warrant Stock, Etc. 

4.1 Adjustments. In order to prevent dilution of the rights granted hereunder, the Number of Shares and Exchange Price shall be
subject to adjustment from time to time in accordance with this Section 4. Upon each adjustment of the Exchange Price pursuant to this Section 4, Holder shall thereafter be entitled to acquire upon conversion, at the Exchange Price
resulting from such adjustment, the number of shares of Warrant Stock obtainable by multiplying the Exchange Price in effect immediately prior to such adjustment by the number of shares of Warrant Stock acquirable immediately prior to such
adjustment and dividing the product thereof by the new Exchange Price resulting from such adjustment. 
 4.2 Subdivisions, Combinations
and Stock Dividends. If the Company shall at any time subdivide by split-up or otherwise, the class and series of Company securities into which the Warrant could then be converted into a greater number of shares, or issue additional securities
as a dividend, bonus issue or otherwise with respect to such securities into which the Warrant could be converted, then the Exchange Price in effect immediately prior to such subdivision or share dividend or bonus issue shall be proportionately
reduced and the number of shares acquirable upon exchange hereunder 

  
 7 

 
shall be proportionately increased. Conversely, if the class and series of Company securities into which the Warrant could then be converted are combined into a smaller number of shares, the
Exchange Price in effect immediately prior to such combination shall be proportionately increased. 
 4.3 Reclassification, Exchange,
Substitutions, Etc. Upon any reclassification, exchange, substitution, or other event that results in a change of the number and/or class of the securities issuable upon exchange or exercise of this Warrant, Holder shall be entitled to receive,
upon conversion of this Warrant, the number and kind of securities and property that Holder would have received for the Warrant Stock if this Warrant had been converted immediately before such reclassification, exchange, substitution, or other
event. Such an event shall include any automatic conversion of the outstanding or issuable securities of the Company of the same class or series as the Warrant Stock to Common Stock pursuant to the Company’s Constitutional Documents upon the
closing of a public offering of the Company’s Common Stock. The Company or its successor shall promptly issue to Holder an amendment to this Warrant setting forth the number and kind of such new securities or other property issuable upon
exchange or exercise of this Warrant as a result of such reclassification, exchange, substitution or other event that results in a change of the number and/or class of securities issuable upon exchange or exercise of this Warrant. The amendment to
this Warrant shall provide for adjustments (as determined in good faith by the Company’s Board of Directors) which shall be as nearly equivalent as may be practicable to the adjustments provided for in this Article 4 including, without
limitation, adjustments to the Warrant Price and to the number of securities or property issuable upon exchange of the new Warrant. The provisions of Sections 4.2 and 4.3 shall similarly apply to successive subdivisions, combinations, Share
dividends, distributions, reclassifications, exchanges, substitutions, and dilutive events. 
 4.4 Notices of Record Date, Etc. In
the event that the Company shall: 
 (1) declare or propose to declare any dividend upon Company securities, whether payable in cash,
property, shares or other securities and whether or not a regular cash dividend, or 
 (2) offer for sale any additional shares of any
class or series of the Company’s stock or securities exchangeable for or convertible into such stock in any transaction that would give rise (regardless of waivers thereof) to pre-emptive rights of any class or series of shareholders, or 

(3) effect or approve any reclassification, exchange, substitution or recapitalization of the capital shares of the Company, including any
subdivision or combination of its outstanding stock, or consolidation or merger of the Company with, or sale of all or substantially all of its assets to, another corporation, or to liquidate, dissolve or wind up (including an assignment for the
benefit of creditors), or 
 (4) offer holders of registration rights the opportunity to participate in registration of the Company’s
securities, or 
 (5) offer stockholders the opportunity to participate in any further public offering of the Company’s securities,

  
 8 

 then, in connection with such event, the Company shall give to Holder: 

(i) at least ten (10) days prior written notice of the date on which the books of the Company shall close or a record shall be taken for
such a distribution or offer in respect of the matters referred to in (1) or (2) above, or for determining rights to vote in respect of the matters referred to in (3) above; and 

(ii) in the case of the matters referred to in (4) and (5) above, the greater of (A) ten (10) days prior written notice of
the date when the same shall take place and (B) the date that notice is or is required to be given to any stockholder. 
 Such notice in accordance
with the foregoing clause (1) shall also specify, in the case of any such distribution, the date on which the holders of Company securities shall be entitled thereto and the terms of such distribution, and such notice in accordance with clause
(2) shall also specify the date on which the holders of Company securities shall be entitled to convert their stock for securities or other property deliverable upon such reorganization, reclassification, exchange, substitution, consolidation,
merger or sale, as the case may be, and the terms of such exchange. Each such written notice shall be given by first class mail, postage prepaid, addressed to the holder of this Warrant at the address of Holder. 

4.6 Adjustment for Capitalization Table Errors. The parties acknowledge their mutual agreement that the initial Number of Shares is
based on the capitalization of the Company being in all material respects as represented to Holder and appended hereto as Exhibit C. If the fully-diluted equity of the Company is not, as of the Issue Date, in fact as represented in Exhibit C, the
Number of Shares and / or Exchange Price shall be equitably adjusted under Section 4.7. 
 4.7 Adjustments by Board. If any
event occurs as to which the provisions of this Section 4 are not strictly applicable or if strictly applicable would not fairly protect the rights of Holder in accordance with the essential intent and principles of such provisions, then the
Board shall make an adjustment in the application of such provisions, in accordance with such essential intent and principles, so as to protect such rights. 

4.8 Officer’s Statement as to Adjustments. Whenever the Number of Shares subject to this Warrant is required to be or is adjusted
as provided in Section 4, the Company shall forthwith file at the office designated for the conversion of this Warrant a statement, signed by the chief financial officer of the Company, showing in reasonable detail the facts requiring such
adjustment and the number of issuable shares of Warrant Stock that will be effective after such adjustment. If such notice relates to an adjustment resulting from an event referred to in Section 4.3, such notice shall be included as part of the
notice required to be mailed or published under the provisions of Section 4.4. 

  
 9 

 4.9 Issue of Securities other than Warrant Stock. In the event that at any time, as a
result of any adjustment made pursuant to Section 4, Holder thereafter shall become entitled to receive any securities of the Company, other than Warrant Stock, thereafter the number of such other securities so receivable upon conversion of
this Warrant shall be subject to adjustment from time to time in a manner and on terms as nearly equivalent as practicable to the provisions with respect to the Warrant Stock contained in Section 4. 

Section 5. Rights of the Warrant Holder. 

This Warrant shall entitle Holder, upon Conversion, to the benefit of all rights as are applicable to any stockholder of the Company holding
shares that are the same class and series as the Warrant Stock. 
 Section 6. Representations, Warranties and Covenants of the Company. The
Company represents and warrants to, and covenants with, Holder that: 
 6.1 Corporate Power; Authorization. The Company has all
requisite corporate power and has taken all requisite corporate action to execute and deliver this Warrant, to issue the Warrant and Warrant Stock and to carry out and perform all of its obligations hereunder. This Warrant has been duly authorized,
executed and delivered on behalf of the Company and constitutes the valid and binding agreement of the Company, enforceable in accordance with its terms, except (i) as limited by applicable bankruptcy, insolvency, reorganization or similar laws
relating to or affecting the enforcement of creditors’ rights generally and (ii) as limited by equitable principles generally. Any person executing this Warrant on behalf of the Company is a duly authorized officer of the Company with all
necessary legal authority to bind the Company generally and with the specific legal authority to cause the Company to execute and deliver this Warrant. 

6.2 Validity of Securities. This Warrant, when sold by the Company against the consideration therefor as provided herein, will be
validly authorized, issued and fully paid. The issuance and delivery of the Warrant is not subject to any consent, approval, preemptive or any similar rights of the shareholders of the Company (which has not been duly secured or waived), including
without limitation any pre-emptive rights, or any liens or encumbrances except for restrictions on transfer provided for herein or under applicable securities laws; and when and if shares of Warrant Stock are issued upon conversion and in accordance
with the terms hereof and this Warrant is converted for such Warrant Stock, such securities will be, at each such issuance, validly issued shares of Warrant Stock in the Company’s capital, in compliance with all applicable securities laws and
free of any liens or encumbrances except for restrictions on transfer provided for herein, in the Constitutional Documents or under such applicable securities laws. 

6.3 A true, correct and current copy of the Company’s current Certificate of Incorporation is appended as Exhibit D hereto. Except
as specified in Exhibit C, there are no other options, warrants, conversion privileges or other contractual rights presently outstanding to purchase or otherwise acquire any authorized but unissued shares of the

  
 10 

 
Company’s capital stock or other securities. Assuming the issuance of all Warrants issuable hereunder, Holder would own as of the Issue Date 0.5075328% of the fully-diluted equity of the
Company. 
 6.4 No Conflict. The execution and delivery of this Warrant do not, and the consummation of the transactions contemplated
hereby and thereby will not, conflict with, or result in any violation of, or default (with or without notice or lapse of time, or both), or give rise to a right of termination, cancellation or acceleration of any obligation or to a loss of a
material benefit, under, any provision of the Company’s Constitutional Documents, as amended, or any mortgage, indenture, lease or other agreement or instrument, permit, concession, franchise, license, judgment, order, decree, statute, law,
ordinance, rule or regulation applicable to the Company, its properties or assets, the effect of which would have a material adverse effect on the Company or materially impair or restrict its power to perform its obligations as contemplated hereby.

 6.5 Governmental and other Consents. As at the Issue Date, no consent, approval, order or authorization of, or registration,
qualification, designation, declaration or filing with, any governmental authority or other person or entity is required on the part of the Company in connection with the issuance, sale and delivery of the Warrant and the Warrant Stock, except such
filings as shall have been made prior to and shall be effective on and as of the date hereof. All Company and stockholder consents required in connection with issuance of the Warrant and Warrant Stock have either been obtained by the Company or no
such consents are required. 
 6.6 Exempt from Registration. As at the Issue Date, assuming the accuracy of the representations and
warranties of Holder in Section 7 hereof, the offer, sale and issuance of the Warrant and the Warrant Stock will be exempt from any registration requirements of the Securities Act, the registration and qualification requirements of
applicable state securities laws. 
 6.7 Delivery of Information; Accuracy. The Company acknowledges its delivery of certain
Representations and Warranties in connection with the Loan Agreement and this Warrant (the “Representation Letter”) to PFG, which Representations and Warranties form the basis for Holder purchasing this Warrant. As at the Issue Date, the
information contained in the Representation Letter and all documents, instruments and other information delivered to Holder in connection therewith are true, correct, accurate and complete in all material respects. 

Section 7. Representations and Warranties of Holder. Holder hereby represents and warrants to the Company as of the Issue Date as follows:

 7.1 Investment Experience. Holder is an “accredited investor” within the meaning of Rule 501 under the Securities
Act, and was not organized for the specific purpose of acquiring the Securities. Holder is aware of the Company’s business affairs and financial condition and has acquired sufficient information about the Company to reach an informed and
knowledgeable decision to acquire the Securities. Holder has such business and financial experience as is required to give it the capacity to protect its own interests in connection with the purchase of the Warrant and the Warrant Stock. 

  
 11 

 7.2 Investment Intent. Holder is purchasing the Warrant 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. Holder understands that the Warrant has not been registered under the Securities Act or registered or
qualified under any state securities law in reliance on specific exemptions therefrom, which exemptions may depend upon, among other things, the bona fide nature of Holder’s investment intent as expressed herein. 

7.3 Authorization. Holder has all requisite power and has taken all requisite action required of it to carry out and perform all of its
obligations hereunder. The execution and delivery of this Warrant has been duly authorized, executed and delivered on behalf of Holder and constitutes the valid and binding agreement of Holder, enforceable in accordance with its terms, except
(i) as limited by applicable bankruptcy, insolvency, reorganization or similar laws relating to or affecting the enforcement of creditors’ rights generally and (ii) as limited by equitable principles generally. The consummation of the
transactions contemplated herein and the fulfillment of the terms herein will not result in a breach of any of the terms or provisions of Holder’s constitutional documents or instruments. Any person executing this Warrant on behalf of Holder is
a duly authorized officer of Holder with all necessary legal authority to bind Holder generally and with the specific legal authority to cause Holder to execute and deliver this Warrant. 

Section 8. Restrictive Securities Legend. 

This Warrant and the Warrant Stock have not been registered under any securities laws. Accordingly, any Share certificates issued pursuant to
the conversion of this Warrant shall (until receipt of an opinion of counsel in customary form that such legend is no longer necessary) bear the following legend: 

THIS WARRANT AND THE WARRANT SHARES ISSUABLE UPON CONVERSION HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE
“ACT”), AND HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT WITH A VIEW TO, OR IN CONNECTION WITH, THE SALE OF DISTRIBUTION THEREOF. NO SUCH SALE OR DISTRIBUTION MAY BE EFFECTED WITHOUT AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN
OPINION OF COUNSEL IN CUSTOMARY FORM THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE ACT. 

  
 12 

 Section 9. Notices. 

All notices to be given under this Warrant shall be in writing and shall be given: (i) personally, or (ii) by reputable private delivery service,
(iii) by regular first-class mail, or certified mail return receipt requested, or (iv) by fax, or (v) by electronic mail. If sent by fax or electronic mail, such notice shall also be sent concurrently by one of the other methods
provided herein. Notices may be sent to the parties in accordance with their contact details specified below or to any other address, fax number or electronic mail address later designated in writing by a party. All notices shall be deemed to have
been given upon delivery in the case of notices personally delivered, or at the expiration of one Business Day following delivery to the private delivery service, or two Business Days following the deposit thereof in the United States mail, with
postage prepaid, or upon receipt during the Business Day where received in the case of notices sent by fax or electronic mail, but subject to reasonably concurrent transmission by another method, as specified above. The addresses for such
communications shall be: 
 if to Holder, at 

Partners for Growth IV, L.P. 

150 Pacific Avenue 
 San
Francisco, California 94111 
 Attention: Chief Financial Officer 

Fax: (415) 781-0510 

Email: Notices@pfgrowth.com 

with a copy (not constituting notice) to 

Greenspan Law Office 
 Attn:
Benjamin Greenspan, Esq. 
 620 Laguna Road 

Mill Valley, CA 94941 
 Fax:
(415) 738-5371 
 Email: ben@greenspan-law.com 

with the original of this Warrant and any replacement, restatement or reissue of this Warrant to be delivered to: 

Robert W. Baird & Co., Inc. 

555 California Street, Suite 4900 

San Francisco, CA 94104 
 ATTN:
John Fitzgibbons 
 Phone # 415-627-3225 

Email: JFitzgibbons@rwbaird.com 

  
 13 

 or 

if to the Company, at 
 Sonic
Foundry, Inc. 
 222 W. Washington Avenue 

Madison, WI 53703 
 Fax:
(608) 443-1609 
 Email: kenm@sonicfoundry.com 

Attn: Ken Minor 
 with a copy (not constituting
notice) to: 
 McBreen and Kopko 

20 North Wacker Dr., Suite 2520 

Chicago, IL 60606 
 Fax: (312)
332-2657 
 Email: jstern@mmklaw.com 
 Each
party hereto may from time to time change its address for notices under this Section 7 by giving at least 10 calendar days’ notice of such changes address to the other party hereto. 

Section 8. Amendments and Waivers. 

This Warrant and any term hereof may be changed, waived, discharged or terminated only by an instrument in writing signed by the party against
which enforcement of such change, waiver, discharge or termination is sought. 
 Section 9. Applicable Law; Severability. 

This Warrant shall be governed by and construed and enforced in accordance with the laws of the State of California. If any one or more of the
provisions contained in this Warrant, or any application of any provision thereof, shall be invalid, illegal, or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein and all other
applications of any provision thereof shall not in any way be affected or impaired thereby. 
 Section 10. Construction. 

Section headings are only used in this Agreement for convenience. The Company and Holder each acknowledge that the headings may not describe
completely the subject matter of the applicable Section, and the headings shall not be used in any manner to construe, limit, define or interpret any term or provision of this Agreement. This Agreement has been fully reviewed and negotiated between
the parties and no uncertainty or ambiguity in any term or provision of this Agreement shall be construed strictly against either party under any rule of construction or otherwise. 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

  
 14 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be duly executed on the day and year
first above written. 
  

									
	COMPANY:				ACKNOWLEDGED AND AGREED:
			
	SONIC FOUNDRY, INC.				HOLDER:
				
							Partners for Growth IV, L.P.
					
	By:		 /s/ Ken Minor
				By:		 /s/ Lorraine Nield

					
	Name:		 Ken Minor
				 Name:
		 Lorraine Nield

					
	Title:		 Chief Financial Officer
				Title:		 Manager of Partners for Growth IV, LLC,

Its General Partner

 PFG – Sonic Foundry Warrant Signature Page 

 Exhibit A 
  

	To:	SONIC FOUNDRY, INC. 

 ELECTION TO EXCHANGE OR EXERCISE 

The undersigned hereby exercises its right to Exchange its Warrant for
                     fully paid, validly issued and nonassessable: 

 ̈ Shares 

The undersigned hereby exercises its right to Exercise its Warrant for
                     fully paid, validly issued and nonassessable: 

 ̈ Shares 

[check one box] 
 covered by the attached Warrant in accordance
with the terms thereof. 
 and requests that certificates or other legal evidence of ownership of such Shares be issued in the name of, and delivered to:

  

					
			  
		
			  
		
			  
		

  

									
	Date:		  
						[Holder]
					
							By		  

									Name:
									Title:

 Exhibit B 

ASSIGNMENT FORM 
  

	To:	SONIC FOUNDRY, INC. 

 The undersigned hereby assigns and transfers this Warrant to 

 

			
	  
		
	(Insert assignee’s social security or tax identification number)		

  

			
	  
		
	(Print or type assignee’s name, address and postal code)		
		
	  
		
		
	  
		

 and irrevocably appoints
                                         to
transfer this Warrant on the books of the Company. 
  

									
	Date:		  
				Partners For Growth IV, L.P.
					
							By		  

							Name:                     , Manager of Partners for Growth IV, LLC, Its General Partner

 Exhibit C - Capitalization Table 

 

					
	 Shares outstanding
		 	4,351,203	  
		
	 Options and warrants
		 	1,559,745	  
		
	 Fully diluted
		 	5,910,948	  
		
	 Warrants issued to PFG and designees
		 	50,000	  

 Exhibit D – Articles of Incorporation

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