Document:

Exhibit 10.7

 

FIRST AMENDMENT TO CREDIT
AGREEMENT

 

This First Amendment to Credit
Agreement (“Amendment”), dated as of December 17, 2021 (the “Effective Date”), is
entered into by and between Direct Digital Holdings, LLC, a Texas limited liability company (“Direct Digital”),
Colossus Media, LLC, a Delaware limited liability company (“Colossus”), Huddled Masses LLC, a Delaware limited
liability company (“HM”), Orange142, LLC, a Delaware limited liability company (“Orange”)
and Universal Standards for Digital Marketing, LLC, a Delaware limited liability company (“USDM” and together
with Direct Digital, Colossus, HM, and Orange, “Borrowers” and each individually a “Borrower”),
and East West Bank, a California state bank (“Lender”).

 

RECITALS:

 

WHEREAS, Borrowers
and Lender entered into that certain Credit Agreement dated as of September 30, 2020 (as amended, supplemented, or otherwise modified
up to the date hereof, the “Existing Credit Agreement”; the Credit Agreement as may be further amended, supplemented
or otherwise modified from time to time, including by this Amendment, the “Credit Agreement”);

 

WHEREAS, Each Borrower and Lender agree to amend
the Existing Credit Agreement as set forth

 

herein;

 

WHEREAS, Lender is
willing to amend the Existing Credit Agreement under the terms and conditions set forth herein;

 

NOW, THEREFORE, in
consideration of the premises and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged,
Borrowers and Lender hereby agree as follows:

 

1.             Same
Terms. The terms used in this Amendment shall have the same meanings as provided therefor in the Credit Agreement, unless the context
hereof otherwise requires or provides.

 

	2.	Amendments to Existing Credit Agreement.

 

		(a)	Exhibit B to
                                            the Credit Agreement is amended to read in its entirety as set forth on Exhibit B attached
                                            hereto as Annex I.

 

		(b)	Exhibit C to
                                            the Credit Agreement is amended to read in its entirety as set forth on Exhibit C attached
                                            hereto as Annex II.

 

(c)           Effective
as of the Effective Date, the Existing Credit Agreement is hereby amended by deleting the stricken text (indicated textually in the same
manner as the following example: stricken text) and by adding the double-underlined
text (indicated textually in the same manner as the following example: double-underlined
text) as set forth in Annex III hereto.

 

3.             Ratification.
Except as expressly provided herein, each Borrower hereby (a) ratifies the Obligations and each of the Loan Documents to which it is
a party, and agrees and acknowledges that the Credit Agreement and each of the other Loan Documents to which it is a party shall continue
in full force and effect after giving effect to this Amendment; (b) ratifies and confirms that the security instruments executed by each
Borrower, as amended hereby, are not released, diminished, impaired, reduced, or otherwise adversely affected by the Credit Agreement
and continue to secure the full payment and performance of the Obligations pursuant to their terms; (c) acknowledges the continuing existence
and priority of the Liens granted, conveyed, and assigned to Lender, under the security instruments; and (d) agrees that the Obligations
include, without limitation, the Obligations (as amended by this Amendment). Except as expressly provided herein, nothing in this Amendment
extinguishes, novates or releases any right, claim, Lien, security interest or entitlement of Lender created by or contained in any of
such documents nor is any Borrower released from any covenant, warranty or obligation created by or contained therein.

 

     

     

    

 

4.             Representations
and Warranties. Each Borrower hereby represents and warrants to Lender that (a) this Amendment has been duly authorized, executed,
and delivered by each Borrower; (b) no action of, or filing with, any Governmental Authority is required to authorize, or is otherwise
required in connection with, the execution, delivery, and performance by each Borrower of this Amendment; (c) the Loan Documents, as
amended by this Amendment, are valid and binding upon each Borrower and are enforceable against each such Borrower, in accordance with
their respective terms, except as limited by Debtor Relief Laws; (d) the execution, delivery, and performance by each Borrower of this
Amendment does not require the consent of any other Person and do not and will not constitute a violation of any laws, agreements, or
understandings to which each such Borrower is a party or by which each such Borrower is bound; (e) all representations and warranties
in the Loan Documents are true and correct in all material respects except (i) to the extent that such representations and warranties
specifically refer to an earlier date, in which case they shall be true and correct in all material respect as of such earlier date or
(ii) the facts on which any of them were based have been changed by transactions contemplated or permitted by the Credit Agreement; and
(f) no Event of Default exists.

 

5.             Other
Agreements. Each Borrower (a) agrees to perform such acts and duly authorize, execute, acknowledge, deliver, file, and record such
additional pledges, and other agreements, documents, instruments, and certificates as Lender may reasonably deem necessary or appropriate
in order to preserve and protect the Collateral granted by such Borrower pursuant to the security instruments executed by such Borrower;
and (b) represents and warrants to Lender that such liability and obligation may reasonably be expected to directly or indirectly benefit
each Borrower.

 

6.             Conditions
to Effectiveness. The transactions contemplated by this Amendment shall be deemed to be effective as of the Effective Date, when
the following have been satisfied in a manner satisfactory to Lender:

 

(a)        all
representations and warranties set forth in this Amendment are true and correct in all material respects as set forth in Section
4 above;

 

(b)        Lender
receives a fully executed copy of this Amendment;

 

(c)        Lender
receives a Revolving Credit Note in the aggregate principal amount of $5,000,000;

 

(d)        Lender
receives a copy of authorizing resolutions of the applicable governing body of each Borrower which authorize the execution, delivery,
and performance of this Amendment, including, without limitation, the increase in the Commitment;

 

(e)        Keith
Smith and Mark Walker will enter into subordination agreements in form and substance reasonably acceptable to the Lender with respect
to the management fees payable under and pursuant to the Board Services and Consulting Agreements each dated as of September 30, 2020,
by and between Direct Digital, on the one hand, and Keith Smith and Mark Walker on the other hand;

 

(f)        Lender
receives payment of (i) a non-refundable amendment fee in an amount equal to $50,000, and (ii) the reasonable and documented out-of-pocket
fees and expenses of Lender’s counsel incurred in connection with this Amendment in immediately available funds to the extent invoiced
on or prior to the date hereof; and

 

(g)        after
giving effect to this Amendment, no Default or Event of Default exists under the Credit Agreement.

 

    2

     

    

 

7.             Counterparts.
For the convenience of the parties, this Amendment may be executed in multiple counterparts, each of which for all purposes shall be
deemed to be an original, and all such counterparts shall together constitute but one and the same agreement. Delivery of an executed
counterpart of a signature page of this Amendment by telecopy, e-mail, facsimile transmission, electronic mail in “portable
document format” (“.pdf”) form or other electronic means intended to preserve the original graphic
and pictorial appearance of the item being sent shall be effective as a delivery of a manually executed counterpart of this Amendment.

 

8.             References
to the Credit Agreement. Upon the effectiveness of this Amendment, (a) each reference in the Credit Agreement to “this Agreement”,
 “hereunder”, “hereof”, “herein”, or words of like import shall mean and be a
reference to the Existing Credit Agreement as amended hereby, and (b) each reference to the Credit Agreement in any other document, instrument
or agreement executed and/or delivered in connection with the Credit Agreement shall mean and be a reference to the Existing Credit Agreement
as amended hereby.

 

9.             Effect.
This Amendment is one of the Loan Documents. The modifications set forth herein are limited precisely as written and shall not be deemed
(a) to be a consent under or a waiver of or an amendment to any other term or condition in the Credit Agreement, or (b) to prejudice
any right or rights which the Lender now has or may have in the future under or in connection with the Credit Agreement, as amended hereby,
or any of the other documents referred to herein or therein.

 

10.           ENTIRE
AGREEMENT. THIS AMENDMENT CONSTITUTES THE ENTIRE AGREEMENT BETWEEN THE PARTIES HERETO WITH RESPECT TO THE SUBJECT HEREOF. FURTHERMORE,
IN THIS REGARD, THIS AMENDMENT AND THE OTHER WRITTEN LOAN DOCUMENTS REPRESENT, COLLECTIVELY, THE FINAL AGREEMENT AMONG THE PARTIES THERETO
AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF SUCH PARTIES.

 

THERE ARE NO UNWRITTEN ORAL
AGREEMENTS AMONG SUCH PARTIES

 

[REMAINDER OF PAGE
INTENTIONALLY LEFT BLANK]

 

    3

     

    

 

IN
WITNESS WHEREOF, this Amendment is deemed executed effective as of the date first above written.

 

	 	BORROWERS:
	 	 
	 	DIRECT
    DIGITAL HOLDINGS, LLC
	 	 
	 	By:
    	/s/
    Keith W. Smith
	 	 	Name:
    	Keith
    W. Smith
	 	 	Title:
    	President

 

	 	COLOSSUS
    MEDIA, LLC
	 	 
	 	By:	/s/
    Keith W. Smith
	 	 	Name:
    	Keith
    W. Smith
	 	 	Title:	President
	 	 
	 	HUDDLED
    MASSES LLC
	 	 
	 	By:	/s/
    Keith W. Smith
	 	 	Name:	Keith
    W. Smith
	 	 	Title:
    	President
	 	 
	 	ORANGE142,
    LLC
	 	 
	 	By:
    	/s/
    Keith W. Smith
	 	 	Name:
    	Keith
    W. Smith
	 	 	Title:
    	President

 

Signature Page to 

First Amendment to Credit
Agreement

 

     

     

    

 

	 	UNIVERSAL
    STANDARDS FOR DIGITAL MARKETING, LLC
	 	 
	 	By:	/s/
    Keith W. Smith
	 	 	Name:	Keith
    W. Smith
	 	 	Title:	President

 

Signature Page to 

First Amendment to Credit
Agreement

 

     

     

    

 

	 	EAST
    WEST BANK,
	 	a
    California state bank
	 	 
	 	By:	/s/
    Hamilton LaRoe
	 	 	Hamilton
    LaRoe
	 	 	First
    Vice President

 

Signature Page to 

First Amendment to Credit
Agreement

 

     

     

    

 

ANNEX I

 

EXHIBIT B

 

(See attached)

 

     

     

    

 

 

  EXHIBIT
B

  

COMPLIANCE
CERTIFICATE

 

FOR
QUARTER ENDED ____________________ (THE “SUBJECT QUARTER”)

	BANK:	EAST WEST BANK
	BORROWERS:	Direct  Digital  Holdings,  LLC,  a  Texas  limited  liability  company  (“Direct Digital”),  Colossus  Media,  LLC,  a  Delaware  limited
    liability company (“Colossus”),  Huddled  Masses  LLC,  a  Delaware  limited
    liability company (“HM”), Orange142, LLC, a Delaware limited liability company (“Orange”)
    and Universal Standards for Digital Marketing, LLC, a Delaware limited liability company  (“USDM”  and  together  with  Direct  Digital,  Colossus,  HM,  and
    Orange, “Borrowers” and each individually a “Borrower”)

 

This
Certificate is delivered under the Credit Agreement (the “Agreement”) dated as of September 30, 2020, by and
among Borrowers and Bank as such may have been amended, supplemented or replaced. Capitalized terms used in this Certificate shall, unless
otherwise indicated, have the meanings set forth in the Agreement. On behalf of Borrowers, the undersigned certifies to Bank on the date
hereof that (a) no Default or Event of Default has occurred and is continuing, (b) all representations and warranties of Borrowers contained
in the Agreement and in the other Loan Documents are true and correct in all material respects, and (c) the information set forth below
hereto is true and correct as of the last day of the Subject Quarter:

 

DESCRIPTION
OF COVENANT

 

	(1)
	Fixed Charge Coverage Ratio of
not less than 1.25 to 1.0 (Section 9.01 of Agreement) 	 	to 1.0
	 	 
	(2)	Total Leverage Ratio of not greater than (Section 9.02 of Agreement):
 	 	to 1.0

 

	 	 	 	 
	 	December
    31, 2020	3.00:1.00	 
	 	March
    31, 2021	3.00:1.00	 
	 	June
    30, 2021	2.75:1:00	 
	 	September
    30, 2021	2.75:1:00	 
	 	December
    31, 2021	2.50:1:00	 
	 	and
    thereafter	3.75:1:00	 
	 	March
    31, 2022	2.50:1:00	 
	 	June
    30, 2022	2.25:1:00	 
	 	September
    30, 2022	2.25:1:00	 
	 	and
    thereafter	 	 

 

	(3)
  	Liquid
  Assets plus Revolving Credit Availability in the minimum amount of:	 

 

	 	September
    30, 2020 – June 29, 2021	$1,000,000	 
	 	June
    30, 2021 – December 30, 2021	$1,100,000	 
	 	December
    31, 2021 – June 29, 2022	$1,250,000	 
	 	June
    30, 2022 and thereafter	$1,350,000	 

 

	4834-9142-1879 v.10	Exhibit A

    

     

    

 

	(Section 9.03 of the Agreement)	$__________________

  

    
	4834- 9142- 1879 v.10	A-6	 

     

    

 

	 	BORROWERS:
	 	 
	 	DIRECT DIGITAL HOLDINGS, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	COLOSSUS MEDIA, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	HUDDLED MASSES LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	ORANGE142, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	UNIVERSAL STANDARDS FOR DIGITAL MARKETING, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

    Exhibit A

     

    

 

ANNEX II

 

EXHIBIT C

 

(See attached)

 

    

     

    

 

Anything herein to the contrary notwithstanding,
the Liens and security interests securing the obligations evidenced by this revolving credit note, the exercise of any right or remedy
with respect hereto and certain of the rights of the holder hereof are subject to the provisions of the Intercreditor Agreement, dated
as of December 3, 2021 (as amended, restated, supplemented, substituted, replaced or otherwise modified from time to time, the "Intercreditor
Agreement"), by and between Lafayette Square Loan Servicing, LLC (in its capacity as agent for the LS Facility Lenders
and together with its successors and assigns, the "LS Facility Agent"), for and on behalf of the LS Facility
Creditors and each other LS Facility Claimholder (each as defined in the Intercreditor Agreement) from time to time, and East West Bank
(“EWB”), acting on behalf of each A/R Facility Claimholder (as defined in the Intercreditor Agreement). In
the event of any conflict between the terms of the Intercreditor Agreement and this revolving credit note, the terms of the Intercreditor
Agreement shall govern and control.

 

REVOLVING CREDIT NOTE

 

	$5,000,000	December 17, 2021

 

FOR VALUE RECEIVED, Direct
Digital Holdings, LLC, a Texas limited liability company (“Direct Digital”), Colossus Media, LLC, a Delaware
limited liability company (“Colossus”), Huddled Masses LLC, a Delaware limited liability company (“HM”),
Orange142, LLC, a Delaware limited liability company (“Orange”) and Universal Standards for Digital Marketing,
LLC, a Delaware limited liability company (“USDM” and together with Direct Digital, Colossus, HM, and Orange,
collectively, “Borrower”), hereby unconditionally, jointly and severally, promise to pay to the order of EAST
WEST BANK, a California state bank (“Lender”), in accordance with the provisions of the Credit Agreement
(as hereinafter defined), the principal sum of Five Million Dollars ($5,000,000), or such other amount as may from time to time be advanced
by Lender as Revolving Credit Advance to or for the benefit or account of Borrower pursuant to the terms of that certain Credit Agreement,
dated as of the date hereof (as amended, restated, extended, supplemented or otherwise modified in writing from time to time, the “Credit
Agreement;” the terms defined therein being used herein as therein defined), between Borrower and Lender.

 

Borrower promises to pay
interest on the unpaid principal amount of this Note from the date hereof until the Revolving Credit Advances made by Lender are paid
in full, at such interest rates and at such times as provided in the Credit Agreement. All payments of principal and interest shall be
made to Lender in Dollars in immediately available funds at Lender’s Principal Office. If any amount is not paid in full when due
hereunder, then such unpaid amount shall bear interest, to be paid upon demand, from the due date thereof until the date of actual payment
(and before as well as after judgment) computed at the per annum rate set forth in the Credit Agreement.

 

This Note is the Revolving
Credit Note referred to in the Credit Agreement, is entitled to the benefits thereof and may be prepaid in whole or in part subject to
the terms and conditions provided therein. This Note is also entitled to the benefits of the Guaranty. Upon the occurrence and continuation
of one or more of the Events of Default specified in the Credit Agreement, all amounts then remaining unpaid on this Note shall become,
or may be declared to be, immediately due and payable all as provided in the Credit Agreement. Lender may also attach schedules to this
Note and endorse thereon the date, amount and maturity of its Revolving Credit Advances and payments with respect thereto.

 

Borrower, for itself, its
successors and assigns, hereby waives diligence, presentment, protest and demand and notice of protest, demand, dishonor and non-payment
of this Note.

 

    Exhibit B

     

    

 

THIS NOTE, AND ANY CLAIM,
CONTROVERSY, OR DISPUTE ARISING OUT OF OR IN CONNECTION WITH THIS NOTE, SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS
OF THE STATE OF TEXAS.

 

[Remainder of Page
Intentionally Left Blank; 

Signature Page Follows.]

 

    Exhibit B

     

    

 

IN WITNESS WHEREOF, Borrower, intending
to be legally bound hereby, has duly executed this Note as of the day and year first written above.

 

	 	BORROWER:
	 	 
	 	DIRECT DIGITAL HOLDINGS, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	COLOSSUS MEDIA, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	HUDDLED MASSES LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	ORANGE142, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

	 	UNIVERSAL STANDARDS FOR DIGITAL MARKETING, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

    Exhibit B

     

    

 

ANNEX III

 

CONFORMED CREDIT AGREEMENT

 

(See attached)

 

    Exhibit B

     

    

 

Conformed
Copy

 

 

CREDIT
AGREEMENT

 

by and among

 

DIRECT
DIGITAL HOLDINGS, LLC

 

COLOSSUS
MEDIA, LLC

 

HUDDLED
MASSES LLC

 

ORANGE142,
LLC

 

UNIVERSAL
STANDARDS FOR DIGITAL MARKETING, LLC

 

and

 

EAST
WEST BANK

 

 

Dated as
of September 30, 2020

 

(as
amended through the First Amendment to Credit Agreement dated as of December 17, 2021)

 

    

     

    

 

 

	TABLE OF CONTENTS
	 	 	Page
	 	 	 
	ARTICLE I. DEFINITIONS	1
	1.01	Definitions	22
	1.02	Accounting Matters	23
	1.03	Other
    Definitional Provisions	23
	ARTICLE II. ADVANCES	23
	2.01	Advances	23
	2.02	General Provisions Regarding
    Interest, Etc.	24
	2.03	Unused Facility Fee	25
	2.04	Use of Proceeds	26
	2.05	Late Charges	27
	2.06	Funding
    Loss	27
	ARTICLE III. PAYMENTS	27
	3.01	Method of Payment	27
	3.02	Prepayments	27
	ARTICLE IV. SECURITY	28
	4.01	Collateral	28
	4.02	Setoff	28
	ARTICLE V. CONDITIONS PRECEDENT	28
	5.01	Initial Extension of Credit	28
	5.02	All
    Extensions of Credit	30
	ARTICLE VI. REPRESENTATIONS AND WARRANTIES	31
	6.01	Corporate Existence	31
	6.02	Financial Statements, Etc.	31
	6.03	Action; No Breach	31
	6.04	Operation of Business	31
	6.05	Litigation and Judgments	32
	6.06	Rights in Properties; Liens	32
	6.07	Enforceability	32
	6.08	Approvals	32
	6.09	Taxes	32
	6.10	Use of Proceeds; Margin
    Securities	32
	6.11	ERISA	32
	6.12	Disclosure	33
	6.13	Subsidiaries, Ventures,
    Etc.	33
	6.14	Agreements	33
	6.15	Compliance with Laws	33
	6.16	Regulated Entities	33
	6.17	Environmental Matters	33
	6.18	Intellectual Property	34
	6.19	Foreign Assets Control
    Regulations and Anti-Money Laundering	35
	6.20	Patriot Act	35
	6.21	Solvency	35
	6.22	Anti-Corruption Laws	35
	6.23	Beneficial Ownership Regulation	35

 

    i 

     

    

 

	ARTICLE VII. AFFIRMATIVE COVENANTS	36
	7.01	Reporting Requirements	36
	7.02	Maintenance of Existence;
    Conduct of Business	37
	7.03	Maintenance of Properties	37
	7.04	Taxes and Claims	37
	7.05	Insurance	38
	7.06	Inspection Rights	38
	7.07	Keeping Books and Records	38
	7.08	Compliance with Laws	39
	7.09	Compliance with Agreements	39
	7.10	Further Assurances	39
	7.11	ERISA	39
	7.12	Depository Relationship	39
	7.13	Subsidiaries	39
	7.14	Keepwell	39
	ARTICLE VIII. NEGATIVE COVENANTS	40
	8.01	Debt	40
	8.02	Limitation on Liens	40
	8.03	Mergers, Etc	40
	8.04	Restricted Payments	41
	8.05	Loans and Investments	41
	8.06	Limitation on Issuance
    of Equity	41
	8.07	Transactions with Affiliates	41
	8.08	Disposition of Assets	42
	8.09	Sale and Leaseback	42
	8.10	Nature of Business	42
	8.11	Environmental Protection	42
	8.12	Accounting	42
	8.13	No Negative Pledge	42
	8.14	Subsidiaries	42
	8.15	Hedge Agreements	42
	8.16	OFAC	43
	8.17	Payments under Term Loan
    Agreement	43
	8.18	Payments
    on Preferred Equity	43
	ARTICLE IX. FINANCIAL COVENANTS	43
	9.01	Fixed Charge Coverage Ratio	43
	9.02	Total Leverage Ratio	43
	9.03		43
	9.04	Liquid
    Assets	44
	ARTICLE X. DEFAULT	44
	10.01	Events of Default	44
	10.02	Remedies Upon Default	46
	10.03	Performance by Lender	46
	10.04	Equity
    Cure	46

    ii 

     

    

 

	ARTICLE XI. MISCELLANEOUS	47
	11.01	Expenses	47
	11.02	INDEMNIFICATION	47
	11.03	Limitation of Liability	48
	11.04	No Duty	48
	11.05	Lender Not Fiduciary	48
	11.06	Equitable Relief	48
	11.07	No Waiver; Cumulative Remedies	48
	11.08	Successors and Assigns	48
	11.09	Survival	48
	11.10	ENTIRE AGREEMENT; AMENDMENT	49
	11.11	Notices	49
	11.12	Governing Law; Venue; Service
    of Process	49
	11.13	Counterparts	50
	11.14	Severability	50
	11.15	Headings	50
	11.16	Participations, Etc.	50
	11.17	Construction	50
	11.18	Independence of Covenants	50
	11.19	WAIVER OF JURY TRIAL	50
	11.20	Additional Interest Provision	51
	11.21	Ceiling Election	52
	11.22	USA Patriot Act Notice	52
	11.01	Intercreditor Legend	52

 

	SCHEDULES
	 
	6.13	Subsidiaries, Ventures, Etc.
	6.18	Intellectual Property
	8.01	Existing Debt
	8.02	Existing Liens
	8.05	Existing Investments

 

	EXHIBITS	 	 
	 	 	 
	A.	Borrowing Base Report	1.01
	B.	Compliance Certificate	1.01
	C.	Revolving Credit Note	2.01

 

    iii 

     

    

 

CREDIT
AGREEMENT

 

THIS
CREDIT AGREEMENT (this “Agreement”), dated as of September 30, 2020 is by and among Direct Digital Holdings,
LLC, a Texas limited liability company (“Direct Digital”), Colossus Media, LLC, a Delaware limited liability
company (“Colossus”), Huddled Masses LLC, a Delaware limited liability company (“HM”),
Orange142, LLC, a Delaware limited liability company (“Orange”) and Universal Standards for Digital Marketing,
LLC, a Delaware limited liability company (“USDM” and together with Direct Digital, Colossus, HM, and Orange,
 “Borrowers” and each individually a “Borrower”), and East West Bank, a California
state bank (“Lender”).

 

RECITALS:

 

Borrowers
have requested that Lender extend credit to Borrowers as described in this Agreement. Lender is willing to make such credit available
to Borrowers upon and subject to the provisions, terms and conditions hereinafter set forth.

 

NOW
THEREFORE, in consideration of the premises and the mutual covenants herein contained, the parties hereto agree as follows:

 

ARTICLE I.  

DEFINITIONS

 

1.01 Definitions.
As used in this Agreement, all exhibits, appendices and schedules hereto and in any note, certificate, report or other Loan Documents
made or delivered pursuant to this Agreement, the following terms will have the meanings given such terms in this Article I
or in the provision, section or recital referred to below:

 

“Acquisition”
means the acquisition by any Person of (a) a majority of the Equity Interests of another Person, (b) all or substantially all of the
assets of another Person or (c) all or substantially all of a business unit or line of business of another Person, in each case (i) whether
or not involving a merger or consolidation with such other Person and (ii) whether in one transaction or a series of related transactions.

 

“Advance” means
an advance by Lender to Borrowers pursuant to Article II.

 

“Advance
Request Form” means a certificate, in a form approved by Lender, properly completed and signed by Borrowers requesting
a Revolving Credit Advance.

 

“Affiliate”
means, as to any Person, any other Person (a) that directly or indirectly, through one or more intermediaries, controls or is controlled
by, or is under common control with, such Person; (b) that directly or indirectly beneficially owns or holds five percent (5%) or more
of any class of voting stock of such Person; or (c) five percent (5%) or more of the voting stock of which is directly or indirectly
beneficially owned or held by the Person in question. The term “control” means the possession, directly or
indirectly, of the power to direct or cause direction of the management and policies of a Person, whether through the ownership of voting
securities, by contract, or otherwise; provided, however, in no event shall Lender be deemed an Affiliate of Borrowers or any of their
Affiliates or the Subsidiaries.

 

“Agreement”
has the meaning set forth in the Introductory Paragraph hereto, as the same may, from time to time, be amended, modified, restated, renewed,
waived, supplemented, or otherwise changed, and includes all schedules, exhibits and appendices attached or otherwise identified therewith.

 

     

     

    

 

“Available
Tenor” means,
as of any date of determination and with respect to the then-current Benchmark, as applicable, (x) if the then-current Benchmark is a
term rate, any tenor for such Benchmark that is or may be used for determining the length of an Interest Period or (y) otherwise, any
payment period for interest calculated with reference to such Benchmark, as applicable, pursuant to this Agreement as of such date.

 

“Benchmark”
means, initially,
USD LIBOR; provided that if a replacement of the Benchmark has occurred pursuant to this Section titled “Benchmark Replacement
Setting”, then “Benchmark” means the applicable Benchmark Replacement to the extent that such Benchmark Replacement
has replaced such prior benchmark rate. Any reference to “Benchmark” shall include, as applicable, the published component
used in the calculation thereof.

 

“Benchmark
Replacement” means, for any Available Tenor:

 

(a)               
For purposes of clause (a) of this Section, the first alternative set forth below that can be determined by the Lender: 

 

(i)                
the sum of: (i) Term SOFR and (ii) 0.11448% (11.448 basis points) for an Available Tenor of one-month’s duration, 0.26161%
(26.161 basis points) for an Available Tenor of three-months’ duration, 0.42826% (42.826 basis points) for an Available Tenor of
six-months’ duration, and 0.71513% (71.513 basis points) for an Available Tenor of 12-month’s duration; or 

 

(ii)              
the sum of: (i) SOFR Average and (ii) 0.11448% (11.448 basis points).

 

(b)               
For purposes of clause (b) of this Section, the sum of (a) the alternate benchmark rate and (b) an adjustment (which may be a
positive or negative value or zero), in each case, that has been selected by the Lender as the replacement for such Available Tenor of
such Benchmark giving due consideration to any evolving or then-prevailing market convention, including any applicable recommendations
made by the Relevant Governmental Body, for U.S. dollar-denominated syndicated or bilateral credit facilities at such time; 

 

provided
that, (i) notwithstanding (a)(i) and (b) above, if the Borrower has a Hedge Agreement in place on the USD LIBOR Transition Date with
the Lender for the purposes of hedging the Loan, the Benchmark Replacement will be the sum of: (i) Daily Simple SOFR and (ii) the spread
adjustment selected or recommended by the Relevant Governmental Body for the replacement of the tenor of USD LIBOR with a SOFR-based
rate having approximately the same length as the interest payment period specified in clause (a) of this Section; and (ii) if the Benchmark
Replacement would be less than the Floor, the Benchmark Replacement will be deemed to be the Floor for the purposes of this Agreement
and the other Loan Documents.

 

“Benchmark
Replacement Conforming Changes” means,
with respect to any Benchmark Replacement, any technical, administrative or operational changes (including changes to the definition
of “ABR,” the definition of “Business Day,” the definition of “Interest Period,” timing and frequency
of determining rates and making payments of interest, timing of borrowing requests or prepayment, conversion or continuation notices,
the applicability and length of lookback periods, the applicability of breakage provisions, and other technical, administrative or operational
matters) that the Lender decides may be appropriate to reflect the adoption and implementation of such Benchmark Replacement and to permit
the administration thereof by the Lender in a manner substantially consistent with market practice (or, if the Lender decides that adoption
of any portion of such market practice is not administratively feasible or if the Lender determines that no market practice for the administration
of such Benchmark Replacement exists, in such other manner of administration as the Lender decides is reasonably necessary in connection
with the administration of this Agreement and the other Loan Documents).

 

    2 

     

    

 

“Benchmark
Transition Event” means,
with respect to any then-current Benchmark other than USD LIBOR, the occurrence of a public statement or publication of information by
or on behalf of the administrator of the then-current Benchmark, the regulatory supervisor for the administrator of such Benchmark, the
Board of Governors of the Federal Reserve System, the Federal Reserve Bank of New York, an insolvency official with jurisdiction over
the administrator for such Benchmark, a resolution authority with jurisdiction over the administrator for such Benchmark or a court or
an entity with similar insolvency or resolution authority over the administrator for such Benchmark, announcing or stating that (a) such
administrator has ceased or will cease on a specified date to provide all Available Tenors of such Benchmark, permanently or indefinitely,
provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide any Available
Tenor of such Benchmark or (b) all Available Tenors of such Benchmark are or will no longer be representative of the underlying market
and economic reality that such Benchmark is intended to measure and that representativeness will not be restored.

 

“Beneficial
Ownership Certification” means a certification regarding beneficial ownership required by the Beneficial Ownership Regulation,
which certification shall be substantially in form and substance satisfactory to Lender.

 

“Beneficial Ownership Regulation”
means 31 C.F.R. §1010.230.

 

“Borrowers”
means the Persons identified as such in the Introductory Paragraph hereof, and their successors and assigns, and “Borrower”
means any one of the Borrowers.

 

“Borrowing
Base” means, at any time, an amount equal to the lesser of (a) $1,000,0002,500,000
(the “Initial Borrowing Cap”) or (b) the sum of fifty percent (50%) of the value of Eligible Accounts. Notwithstanding
the foregoing, if the Lender and the Term Loan Lender expressly consent in writing, the Initial
Borrowing Cap may be removed.

 

“Borrowing
Base Report” means, as of any date of preparation, a certificate setting forth the Borrowing Base (in a form acceptable
to Lender in substantially the form of Exhibit A attached hereto) prepared by and certified by a Responsible Officer of
Borrower.

 

“Business
Day” means any day other than a Saturday or a Sunday or any day on which commercial banks in Los Angeles, California, are
authorized or required to close, and, if the applicable Business Day relates to a LIBOR Amount, such day also must be a day on which
U.S. Dollar deposits are traded by and between banks in the London interbank Eurodollar market.

 

“Capital
Expenditure” shall mean any expenditure by a Person for (a) an asset which will be used in a year or years subsequent to
the year in which the expenditure is made and which asset is properly classified in relevant financial statements of such Person as equipment,
real property, a fixed asset or a similar type of capitalized asset in accordance with GAAP or (b) an asset relating to or acquired in
connection with an acquired business, and any and all acquisition costs related to (a) or (b) above.

 

“Capitalized
Lease Obligation” shall mean the amount of Debt under a lease of Property by a Person that would be shown as a liability
on a balance sheet of such Person prepared for financial reporting purposes in accordance with GAAP.

 

    3 

     

    

 

“Cash
and Cash Equivalents” shall mean, with respect to any Person, an unrestricted or unencumbered (A) cash and (B) any of the
following: (x) marketable direct obligations issued or unconditionally guaranteed by the United States Government or issued by an agency
thereof and backed by the full faith and credit of the United States; (y) marketable direct obligations issued by any state of the United
States of America or any political subdivision of any such state or any public instrumentality thereof which, at the time of acquisition,
has one of the two highest ratings obtainable from any two of S&P Global Ratings, Moody’s Investors Service, Inc. or Fitch
Investors (or, if at any time no two of the foregoing shall be rating such obligations, then from such other nationally recognized rating
services as may be acceptable to Lender) and is not listed for possible down-grade in any publication of any of the foregoing rating
services; (z) domestic certificates of deposit or domestic time deposits or repurchase agreements issued by any commercial bank organized
under the laws of the United States of America or any state thereof or the District of Columbia having combined capital and surplus of
not less than $500,000,000.00, which commercial bank has a rating of at least either “AA” or such comparable rating from
S&P Global Ratings or Moody’s Investors Service, Inc., respectively; (aa) money market funds having assets under management
in excess of $1,000,000,000.00; (bb) any unrestricted stock, shares, certificates, bonds, debentures, notes or other instrument which
constitutes a “security” under the Security Act of 1993, which are freely tradable on any nationally recognized securities
exchange and are not otherwise encumbered by such transferee; (cc) lines of credit; (dd) unfunded, but unconditionally committed and
unencumbered capital commitments of the direct or indirect members or limited partners of such Person (or, to the extent encumbered by
a subscription facility (or the like), such capital commitments, less any amounts drawn and outstanding under a subscription facility
(or the like)) or such other assets or properties as Lender may (in its sole discretion) deem acceptable as evidenced by Lender’s
written confirmation, excluding any and all retirement accounts and deferred profit-sharing accounts. To constitute “Cash and
Cash Equivalents” the foregoing items described in (A) and (B) above must be: (i) owned solely
in the name of such Person or its wholly owned direct or indirect subsidiaries, as set forth on such Person’s balance sheet (and
not jointly with any other person or entity) in a non-margin account identified as being owned by solely in the name of such Person or
its wholly owned direct or indirect subsidiaries, as set forth on such Person’s balance sheet; and (ii) free and clear of any lien,
security interest, assignment, right of setoff or other encumbrance of any kind except Permitted Liens hereof. For any purpose of determination
hereunder, the amount of “Cash and Cash Equivalents” shall be reduced by outstanding unsecured debt (under revolving
lines of credit or otherwise) of any one or more of the person/trusts which comprise such Person.

 

“Cash
Flow Available for Debt Service” means, for Borrowers and the Subsidiaries, on a consolidated
basisConsolidated
Basis, for any period, (a) EBITDA, minus (b) cash taxes paid or payable or Permitted Tax
Distributions made during such period, minus (c) all Capital Expenditures not financed with Debt permitted hereunder during such
period, minus (d) distributions.

 

“Change in Control”
meansshall
mean:

 

(a)
                 at any
reorganization, recapitalization, consolidation or merger (or similar transaction or series of
related transactions) of any Borrower, any sale or exchange of outstanding sharestime
prior to the consummation of a Qualified IPO, (i) the occurrence of any event (whether in one or more transactions) which results in
a transfer of control of Direct Digital or any
other Equity Interests (or similar transaction or series
of related transactions) of any Borrower or any other transaction or series ofBorrower
to a Person other than the Permitted Holders, or (ii) the occurrence of any event (whether in one or more transactions,
as a result of)
which (iresults
in (A) Mark Walker andor
Keith Smith (together with members ofor
their immediate families) collectively do not own a majority
of the common equity interest in and more than 50% of the voting power of, and control, the surviving entity of such transaction or series
of related transactions (or the parent of such surviving entity if such surviving entity is wholly owned by such parent), in each case
without regard to whether a Borrower is the surviving entity, and own and controlrespective
Related Parties failing to own, directly or indirectly a
majority,
legally and beneficially (free and clear of all Liens), at least 75% of the Equity Interests
in and more than 50% of the voting power of, and control, each Borrower, or (ii) any other Person
or group acquires, directly or indirectly, more than 50% of the voting power, or control, of any Borrower,
it being understood that any change in composition of the Board of Direct Digital as contemplated by
the Operating Agreement of Direct Digital as in effect as of the date hereof shall not constitute a Change in Control(on
a fully diluted basis) of Direct Digital or (B) Direct Digital failing to own legally and beneficially (free and clear of Liens), 100%
of the Equity Interests (on a fully diluted basis) of each other Borrower;

 

    4 

     

    

 

(b)               
at any time after the consummation of a Qualified IPO, (i) any “person” or “group” (as such terms are
used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended, but excluding any Permitted Holder) becomes the
 “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Securities Exchange Act of 1934, as amended, except that
a person or group shall be deemed to have “beneficial ownership” of all securities that such person or group has the right
to acquire, whether such right is exercisable immediately or only after the passage of time (such right, an “option right”)),
directly or indirectly, of 40% or more of the voting power of the total outstanding Equity Interests of DDH Holdings entitled to vote
for members of the board of directors or equivalent governing body of DDH Holdings on a fully-diluted basis (and taking into account
all such Equity Interests that such “person” or “group” has the right to acquire pursuant to any option right);
or (ii) the occurrence of any event (whether in one or more transactions) which results in Direct Digital failing to own legally and
beneficially (free and clear of Liens), 100% of the Equity Interests (on a fully diluted basis) of each other Borrower; or 

 

(c)               
at any time after the consummation of a Qualified IPO, during any period of 12 consecutive months, a majority of the members of
the board of directors or other equivalent governing body of DDH Holdings cease to be composed of individuals (i) who were members of
that board or equivalent governing body on the first day of such period, (ii) whose election or nomination to that board or equivalent
governing body was approved by individuals referred to in clause (i) above constituting at the time of such election or nomination at
least a majority of that board or equivalent governing body or (iii)  
whose election or nomination to that board or other equivalent governing body was approved by individuals referred to in clauses
(i) and (ii) above constituting at the time of such election or nomination at least a majority of that board or equivalent governing
body, in each case with respect to clauses (i), (ii) and (iii), as a result of hostile proxy contest.

 

“Code”
means the Internal Revenue Code of 1986, as amended, and the regulations promulgated and rulings issued thereunder.

 

“Collateral”
means all property and assets granted as collateral security for the Obligations, whether real or personal property, whether granted
directly or indirectly, whether granted now or in the future, and whether granted in the form of a security interest, mortgage, collateral
mortgage, deed of trust, assignment, pledge, crop pledge, chattel mortgage, collateral chattel mortgage, chattel trust, factor's lien,
equipment trust, conditional sale, trust receipt, lien, charge, lien or title retention contract, lease or consignment intended as a
security device, or any other security or lien interest or Hedge Agreement whatsoever, whether created by law, contract, or otherwise.

 

    5 

     

    

 

  

“Commitment”
means the obligation of Lender to make Revolving Credit Advances pursuant to Section 2.01 in an aggregate principal amount
up to but not exceeding FourFive
Million Five Hundred Thousand Dollars
($4,500,0005,000,000),
subject to termination pursuant to Section 10.02.

 

“Commitment Fee”
means Forty-Five Thousand and No/100 Dollars ($45,000).

 

“Commodity
Exchange Act” means the Commodity Exchange Act (7 U.S.C. §1 et seq.), and any successor statute.

 

“Common
Units Redemption” shall mean the contemplated redemption of all of the common units held in Direct Digital by USDM Holdings
pursuant to the Redemption Agreement.

 

“Compliance
Certificate” means a certificate, substantially in the form of Exhibit B attached hereto, prepared by and
executed by an officer of Borrowers.

 

“Consolidated
Basis” shall mean, (a) prior to a Qualified IPO, with respect to Direct Digital and its Subsidiaries, as the context may
require, the consolidation in accordance with GAAP of the accounts and other items of Direct Digital and its Subsidiaries, and (b) subsequent
to a Qualified IPO, with respect to DDH Holdings and its Subsidiaries as the context may require, the consolidation in accordance with
GAAP of the accounts and other items of DDH Holdings and its Subsidiaries,
it being understood that any reference
to Borrowers and their Subsidiaries in any financial definitions or calculations herein shall be deemed to refer to DDH Holdings and
its Subsidiaries.

 

“Constituent
Documents” means (i) in the case of a corporation, its articles or certificate of incorporation and bylaws; (ii) in the
case of a general partnership, its partnership agreement and certificate of formation or other instrument filed in connection with its
formation; (iii) in the case of a limited partnership, its certificate of limited partnership and partnership agreement; (iv) in the
case of a trust, its trust agreement; (v) in the case of a joint venture, its joint venture agreement; (vi) in the case of a limited
liability company, its articles of organization and operating agreement or regulations; and (vii) in the case of any other entity, its
organizational and governance documents and agreements.

 

“Control”
means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of a Person,
whether through the ability to exercise voting power, by contract or otherwise. “Controlling” and “Controlled”
have meanings correlative thereto.

 

“Daily
Simple SOFR” means, for any day, SOFR, with the conventions for this rate (which may include a lookback) being established
by the Lender in accordance with the conventions for this rate recommended by the Relevant Governmental Body for determining “Daily
Simple SOFR” for bilateral business loans; provided, that if the Lender decides that any such convention is not administratively
feasible for the Lender, then the Lender may establish another convention in its reasonable discretion.

 

“DDH
Holdings” means Direct Digital Holdings,
Inc., a Delaware corporation, which
entity has been incorporated to enter into a Qualified IPO, and shall, upon consummation of the Qualified IPO, be the managing member
of Direct Digital at all times while the umbrella partnership corporation structure (“Up-C Structure”) is in
effect.

 

    6

     

    

  

“Debt”
means as to any Person at any time (without duplication): (a) all obligations of such Person for borrowed money, (b) all obligations
of such Person evidenced by bonds, notes, debentures, or other similar instruments, (c) all obligations of such Person to pay the deferred
purchase price of property or services, except trade accounts payable of such Person arising in the ordinary course of business that
are not past due by more than ninety (90) days, (d) all Capitalized Lease Obligations of such Person, (e) all
Debt or other obligations of others Guaranteed by such Person, (f) all obligations secured by a Lien existing on property owned by such
Person, whether or not the obligations secured thereby have been assumed by such Person or are non-recourse to the credit of such Person,
(g) any other obligation for borrowed money or other financial accommodations which in accordance with GAAP would be shown as a liability
on the balance sheet of such Person, (h) any repurchase obligation or liability of a Person with respect to accounts, chattel paper or
notes receivable sold by such Person, (i) any liability under a sale and leaseback transaction that is not a Capitalized Lease Obligation,
(j) any obligation under any so-called “synthetic leases”, (k) any obligation arising with respect to any other transaction
that is the functional equivalent of borrowing but which does not constitute a liability on the balance sheets of a Person, (l) all reimbursement
obligations of such Person (whether contingent or otherwise) in respect of letters of credit, bankers’ acceptances, surety or other
bonds and similar instruments, and (m) all liabilities of such Person in respect of unfunded vested benefits under any Plan. The
term “Debt” shall exclude obligations under an operating lease and Preferred Equity.

 

“Debt
Service” means, for any Person as of any date of determination, the sum of (a) the current portion of long-term Debt of
such Person and (b) all regularly scheduled interest payments that are paid in cash with respect of all Debt of such Person for the trailing
twelve-month period ending on the date of determination.

 

“Default”
means an Event of Default or the occurrence of an event or condition which with notice or lapse of time or both would become an Event
of Default.

 

“Default
Interest Rate” means a rate per annum equal to the Loan Rate plus five percent (5%), but in no event in excess of
the Maximum Lawful Rate.

 

“Delaware
LLC” means any limited liability company organized or formed under the laws of the State of Delaware.

 

“Delaware
LLC Division” means the statutory division of any Delaware LLC into two or more Delaware LLCs pursuant to Section 18-217
of the Delaware Limited Liability Company Act.

 

“Designated
Jurisdiction” means any country or territory to the extent that such country or territory itself is the subject of any
Sanction.

 

“Direct
Digital Management” means Direct Digital Management,
LLC, a Delaware limited liability company.

 

“Dollars” and
 “$” mean lawful money of the United States of America.

 

“Domestic
Subsidiary” means any Subsidiary that is organized under the laws of any political subdivision of the United States of
America.

 

“Early
Opt-in Effective Date” means, with respect to any Early Opt-in Election, the sixth (6th) Business Day after the
date notice of such Early Opt-in Election is provided to the Borrower so long as the Lender has not received, by 5:00 p.m. (New York
City time) on the fifth (5th) Business Day after the date notice of such Early Opt-in Election is provided to the Borrower, written notice
of objection to such Early Opt-in Election from the Borrower.

 

“Early
Opt-in Election” means the occurrence of the election by the Lender to trigger a fallback from USD LIBOR and the
provision by the Lender of written notice of such election to the Borrower.

  

    7

     

    

 

“EBITDA”
means, for Borrowers and their Subsidiaries on a consolidated basisConsolidated
Basis for any period in question, the sum of (a) Net Income for such period plus (b) to
the extent deducted in determining such Net Income, the sum, without duplication, of (i) Interest Expense during such period, (ii) all
federal, state, local and/or foreign income taxes payable by Borrowers and their Subsidiaries during such period, (iii) depreciation
expenses of Borrowers and their Subsidiaries during such period, (iv) amortization expenses of Borrowers and their Subsidiaries during
such period, (v) for
any portion of the applicable measurement period, occurring prior to a Qualified IPO, management
fees payable under and pursuant to the Board Services and Consulting Agreements each dated as of September 30, 2020, by and between DDHDirect
Digital, on the one hand, and Keith Smith and Mark Walker, respectively, on the other hand (not
to exceed in aggregate amount $900,000 per annum or $225,000 per quarter for purposes of this definition), and
(vi) transaction
fees and expenses incurred in connection with a Qualified IPO after the First Amendment Effective Date, paid in cash within 30 days of
the consummation of such Qualified IPO not to exceed $2,500,000 (or such greater amount approved by Lender) in the aggregate over the
life of this Agreement, and (vii) without duplication, non-recurring legal, consulting expenses
in an amount up to $250,000500,000
during any 12 month period,
and minus (c) any extraordinary, non-recurring and/or non-cash gains or income during
such period as reported in the monthly and annual financials of Borrowers and their Subsidiaries, all determined on a consolidated
basisConsolidated
Basis.

 

“Eligible
Accounts” means, at any time, all accounts receivable of Borrowers and their Subsidiaries that are Guarantors created in
the ordinary course of business that are acceptable to Lender in its Permitted Discretion and satisfy the following conditions:

 

(a)               
The account complies with all applicable laws, rules, and regulations, including, without limitation, usury laws, the Federal
Truth in Lending Act, and Regulation Z of the Board of Governors of the Federal Reserve System;

 

(b)              
The account has not been outstanding for more than ninety (90) days past the original date of invoice;

 

(c)               
The account does not represent a commission and the account was created in connection with (i) the sale of goods by a Borrower
or a Subsidiary in the ordinary course of business and such sale has been consummated and such goods have been shipped and delivered
and received by the account debtor, or (ii) the performance of services by a Borrower or a Subsidiary in the ordinary course of business
and such services have been completed and accepted by the account debtor;

 

(d)              
The account arises from an enforceable contract, the performance of which has been completed by a Borrower or a Subsidiary;

 

(e)              
The account does not arise from the sale of any good that is on a bill-and-hold, guaranteed sale, sale-or-return, sale on approval,
consignment, or any other repurchase or return basis;

 

(f)               
A Borrower or a Subsidiary has good and indefeasible title to the account and the account is not subject to any Lien except Liens
in favor of Lender and Term Loan Lender;

 

(g)              
The account does not arise out of a contract with or order from, an account debtor that, by its terms, prohibits or makes void
or unenforceable the grant of a security interest by a Borrower or a Subsidiary to Lender in and to such account;

  

    8

     

    

 

(h)               
 The account is not subject to any setoff, counterclaim, defense, dispute, recoupment, or adjustment other than normal discounts
for prompt payment;

 

(i)                
The account debtor is not insolvent or the subject of any bankruptcy or insolvency proceeding and has not made an assignment for
the benefit of creditors, suspended normal business operations, dissolved, liquidated, terminated its existence, ceased to pay its debts
as they become due, or suffered a receiver or trustee to be appointed for any of its assets or affairs;

 

(j)                
The account is not evidenced by chattel paper or an instrument;

 

(k)               
No default exists under the account by any party thereto beyond any applicable notice and cure period;

 

(l)                
The account debtor has not returned or refused to retain, or otherwise notified a Borrower or a Subsidiary of any dispute concerning,
or claimed nonconformity of, any of the goods from the sale of which the account arose;

 

(m)             
The account is not owed by an Affiliate, employee, officer, director or shareholder of any Borrower or a Subsidiary;

 

(n)               
The account is payable in Dollars by the account debtor;

 

(o)               
The account is not owed by an account debtor whose accounts Lender in its Permitted Discretion has chosen to exclude from Eligible
Accounts;

 

(p)               
The account shall be ineligible if the account debtor is domiciled in any country other than the United States of America and/or
Canada;

 

(q)               
The account shall be ineligible if more than twenty-five percent (25%) of the aggregate balances then outstanding on accounts
owed by such account debtor and its Affiliates to any Borrower or a Subsidiary are more than ninety (90) days past the dates of their
original invoices;

 

(r)                
The account shall be ineligible if the account debtor is the United States of America or any department, agency, or instrumentality
thereof, and the Federal Assignment of Claims Act of 1940, as amended, shall not have been complied with;

 

(s)                
The account shall be ineligible to the extent the aggregate of all accounts owed by the account debtor and its Affiliates to which
the account relates exceeds twenty-five percent (25%) of all accounts owed by all of Borrower’s and its Subsidiaries’ account
debtors; and

 

(t)                
The Account is otherwise acceptable in the Permitted Discretion of Lender; provided that Lender shall have the right to create
and adjust eligibility standards and related reserves from time to time in its Permitted Discretion.

 

The amount of the Eligible
Accounts owed by an account debtor to Borrower or a Subsidiary shall be reduced by the amount of all “contra accounts”
and other obligations owed by Borrower or a Subsidiary to such account debtor.

 

“Environmental
Laws” means any and all federal, state, and local laws, regulations, judicial decisions, orders, decrees, plans, rules,
permits, licenses, and other governmental restrictions and requirements pertaining to health, safety, or the environment, including,
without limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 U.S.C. §9601 et seq.,
the Resource Conservation and Recovery Act of 1976, 42 U.S.C. §6901 et seq., the Occupational Safety and Health Act, 29 U.S.C.
 §651 et seq., the Clean Air Act, 42 U.S.C. §7401 et seq., the Clean Water Act, 33 U.S.C. §1251 et seq.,
and the Toxic Substances Control Act, 15 U.S.C. §2601 et seq., as the same may be amended or supplemented from time to time.

 

    9

     

    

 

“Environmental
Liabilities” means, as to any Person, all liabilities, obligations, responsibilities, Remedial Actions, losses, damages,
punitive damages, consequential damages, treble damages, costs, and expenses, (including, without limitation, all reasonable fees, disbursements
and expenses of counsel, expert and consulting fees and costs of investigation and feasibility studies), fines, penalties, sanctions,
and interest incurred as a result of any claim or demand, by any Person, whether based in contract, tort, implied or express warranty,
strict liability, criminal or civil statute, including any Environmental Law, permit, order or agreement with any Governmental Authority
or other Person, arising from environmental, health or safety conditions or the Release or threatened Release of a Hazardous Material
into the environment, resulting from the past, present, or future operations of such Person or its Affiliates.

 

“
Equity Cure” means the cash contributions made to Direct Digital in immediately available funds by one or more holders
of Equity Interests therein as additional common equity contributions to Direct Digital and which are designated an “Equity Cure”
by Direct Digital under Section 10.04 at the time contributed.

 

“Equity
Interests” means, with respect to any Person, all of the shares of capital stock of (or other ownership or profit interests
in) such Person, all of the warrants, options or other rights for the purchase or acquisition from such Person of shares of capital stock
of (or other ownership or profit interests in) such Person, all of the securities convertible into or exchangeable for shares of capital
stock of (or other ownership or profit interests in) such Person or warrants, rights or options for the purchase or acquisition from
such Person of such shares (or such other interests), and all of the other ownership or profit interests in such Person (including partnership,
member or trust interests therein), whether voting or nonvoting, and whether or not such shares, warrants, options, rights or other interests
are outstanding on any date of determination.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended from time to time, and the regulations and published interpretations
thereunder.

 

“ERISA
Affiliate” means any corporation or trade or business which is a member of the same controlled group of corporations (within
the meaning of Section 414(b) of the Code) as any Borrower or is under common control (within the meaning of Section 414(c)
of the Code) with any Borrower.

 

“Event of Default”
has the meaning specified in Section 10.01.

 

“Excluded
Account” means any deposit account (including, for the avoidance of doubt, any cash, cash equivalents or other property
contained therein): (i) solely to the extent, and for so long as, such deposit account is pledged to secure performance of obligations
arising under clause (vi) of the defined term “Permitted Liens”, and whether such pledge is by escrow or otherwise, in all
cases with a balance no greater than such obligations under clause (vi) of the defined term “Permitted Liens”; (ii) used
exclusively for payroll, payroll taxes and other employee wage and benefit payments with a balance no greater than such payroll, payroll
taxes and other employee wage and benefit payments obligations that are to be paid within any two-week period; (iii) constituting a “zero
balance” deposit account; or (iv) consisting of a disbursement account established with a payment processor to process vendor payments
so long as the average monthly balance in such account does not exceed $250,000 at any one time.

 

    10

     

    

 

“Excluded
Hedge Obligation” means, with respect to any Obligated Party, any Hedge Obligations if, and to the extent that, all or
a portion of such Obligated Party’s Guarantee of (whether such Guarantee arises pursuant to a Guaranty, by such Obligated Party’s
being jointly and severally liable for such Hedge Obligations, or otherwise (any such Guarantee, an “Applicable Guarantee”)),
or the grant by such Obligated Party of a security interest to secure, such Hedge Obligations (or any Applicable Guarantee thereof) is
or becomes illegal or unlawful under the Commodity Exchange Act or any rule, regulation or order of the Commodity Futures Trading Commission
(or the application or official interpretation of any thereof) by virtue of such Obligated Party’s failure for any reason not to
constitute an Eligible Contract Participant (as defined in the Commodity Exchange Act), and any and all Guarantees of such Obligated
Parties’ Hedge Obligations by other Obligated Parties at the time the Applicable Guarantee of such Obligated Party or the grant
of such security interest becomes effective with respect to such related Hedge Obligations. If any Hedge Obligations arise under a Master
Agreement governing more than one Hedge Agreement, then such exclusion shall apply only to the portion of such Hedge Obligations that
is attributable to Hedge Agreements for which such Applicable Guarantee or security interest is or becomes illegal.

 

“Excluded
Taxes” means (a) backup withholding taxes, (b) franchise taxes, (c) taxes imposed on or measured by net income (however
denominated), in each case, (i) imposed on (or measured by) Lender’s net income by the jurisdiction under the laws of which Lender
is organized or in which its principal office is located or in which its applicable lending office is located or (ii) that are taxes
imposed as a result of a present or former connection between Lender and the jurisdiction imposing such tax (other than connections arising
from Lender having executed, delivered, become a party to, performed its obligations under, received payments under, received or perfected
a security interest under, or engaged in any other transaction pursuant to or enforced any Loan Document or sold or assigned an interest
in any Advance, and (d) taxes attributable to Lender’s failure to provide Borrowers with any forms or other documentation required
by applicable law or reasonably requested by Borrowers in order for Borrowers to determine whether or not payments pursuant to any Loan
Document are subject to withholding or information reporting requirements.

 

“Family”
means with respect to any Person (a) such Person’s spouse, (b) any immediate family member of such Persons, and (c) any other natural
person who has been adopted by such Person.

 

“First
Amendment Effective Date” means December 17, 2021.

 

“Fixed
Charge Coverage Ratio” means the ratio of (a) Cash Flow Available for Debt Service for the trailing twelve-month period
ending on the date of determination, to (b) Debt Service, in each case for Borrowers and the Subsidiaries on a consolidated
basisConsolidated
Basis.

 

“Floor”
means the benchmark rate floor, if any, provided in this Agreement initially (as of the execution of this Agreement, the
modification, amendment or renewal of this Agreement or otherwise) with respect to USD LIBOR.

 

“Funding
Loss” means the amount (which shall be payable on demand by Lender) necessary to promptly compensate Lender for, and hold
it harmless from, any loss, cost or expense incurred by Lender as a result of:

 

(a)      
any payment or prepayment of any LIBOR Amount on a day other than the last day of the relevant LIBOR Interest Period (whether voluntary,
mandatory, automatic, by reason of acceleration, or otherwise); or

  

    11

     

    

 

(b)      
any failure by Borrowers to borrow a LIBOR Amount bearing or selected to bear interest based upon LIBOR on the date or in the amount
selected by Borrowers;

 

including any loss of
anticipated profits and any loss or expense arising from the liquidation or reemployment of funds obtained by it to maintain such LIBOR
Amount or from fees payable to terminate the deposits from which such funds were obtained. Borrowers shall also pay any customary administrative
fees charged by Lender in connection with the foregoing. For purposes of calculating amounts payable by Borrowers to Lender hereunder,
Lender shall be deemed to have funded the LIBOR Amount based upon the LIBOR Rate by a matching deposit or other borrowing in the London
inter-bank market for a comparable amount and for a comparable period, whether or not such LIBOR Amount was in fact so funded.

 

“GAAP”
means generally accepted accounting principles, applied on a consistent basis, as set forth in Opinions of the Accounting Principles
Board of the American Institute of Certified Public Accountants and/or in statements of the Financial Accounting Standards Board and/or
their respective successors and which are applicable in the circumstances as of the date in question. Accounting principles are applied
on a “consistent basis” when the accounting principles applied in a current period are comparable in all material respects
to those accounting principles applied in a preceding period.

 

“Governmental
Authority” means any nation or government, any state or political subdivision thereof and any entity exercising executive,
legislative, judicial, regulatory, or administrative functions of or pertaining to government.

 

“Guarantee”
by any Person means any obligation, contingent or otherwise, of such Person directly or indirectly guaranteeing any Debt or other obligation
of any other Person as well as any obligation or liability, direct or indirect, contingent or otherwise, of such Person (a) to purchase
or pay (or advance or supply funds for the purchase or payment of) such Debt or other obligation or liability (whether arising by virtue
of partnership arrangements, by agreement to keep-well, to purchase assets, goods, securities or services, to operate Property, to take-or-pay,
or to maintain net worth or working capital or other financial statement conditions or otherwise) or (b) entered into for the purpose
of indemnifying or assuring in any other manner the obligee of such Debt or other obligation or liability of the payment thereof or to
protect the obligee against loss in respect thereof (in whole or in part), provided that the term Guarantee shall not include endorsements
for collection or deposit in the ordinary course of business. The term “Guarantee” used as a verb has a corresponding
meaning.

 

“Guarantor”
means any Person who from time to time guarantees all or any part of the Obligations, including, the Subsidiary Guarantors.

 

“Guaranty”
means a written guaranty of each Guarantor in favor of Lender, in form and substance satisfactory to Lender, as the same may be amended,
modified, restated, renewed, replaced, extended, supplemented or otherwise changed from time to time.

 

“Hazardous
Material” means any substance, product, waste, pollutant, material, chemical, contaminant, constituent, or other material
which is or becomes listed, regulated, or addressed under any Environmental Law, including, without limitation, asbestos, petroleum,
and polychlorinated biphenyls.

 

    12

     

    

  

“Hedge
Agreement” means (a) any and all interest rate swap transactions, basis swaps, credit derivative transactions, forward
rate transactions, commodity swaps, commodity options, forward commodity contracts, equity or equity index swaps or options, bond or
bond price or bond index swaps or options or forward bond or forward bond price or forward bond index transactions, interest rate options,
forward foreign exchange transactions, cap transactions, floor transactions, collar transactions, currency swap transactions, cross-currency
rate swap transactions, currency options, spot contracts, or any other similar transactions or any combination of any of the foregoing
(including any options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to any master
agreement, (b) any and all transactions of any kind, and the related confirmations, which are subject to the terms and conditions of,
or governed by, any form of master agreement published by the International Swaps and Derivatives Association, Inc., any International
Foreign Exchange Master Agreement, or any other master agreement (any such master agreement, together with any related schedules and
annexes, a “Master Agreement”) and (c) any and all Master Agreements and any and all related confirmations.

 

“Hedge
Bank” means any Person that, at the time it enters into an interest rate Hedge Agreement permitted under this Agreement,
is Lender or an Affiliate of Lender, in its capacity as a party to such Hedge Agreement.

 

“Hedge
Obligations” means, for any Person, any and all obligations (whether absolute or contingent and howsoever and whensoever
created) of such Person to pay or perform under any agreement, contract or transaction that constitutes a “swap” within
the meaning of Section 1a(47) of the Commodity Exchange Act arising, evidenced or acquired under (a) any and all Hedging Agreements,
(b) any and all cancellations, buy backs, reversals, terminations or assignments of any Hedging Agreements, and (c) any and all renewals,
extensions and modifications of any Hedging Agreements and any and all substitutions of any Hedging Agreements.

 

“Huddled
Masses Notes” means, collectively (i) that certain Promissory Note dated June 21, 2018, by and between HMC Operations,
LLC, a Texas limited liability company and Cantu Holdings,
LLC, a Delaware limited liability, in the amount of $250,000.00, with an outstanding
balance of $87,500 as of the date hereof, (ii) that certain Promissory Note dated June 21, 2018, by and between HMC Operations, LLC,
a Texas limited liability company, Charles Cantu, a New York resident, Kristie MacDonald, Amy Harris, Laura Ottaviano, Lisa Grisanti,
Joseph Riggio, in the amount of $141,203.69, (iii) that certain Promissory Note dated June 21, 2018, by and between HMC Operations, LLC,
a Texas limited liability company, and Devon White, a New York resident, in the amount of $21,990.74, and (iv) that certain Promissory
Note dated June 21, 2018, by and between HMC Operations, LLC, a Texas limited liability company, and MediaMath,
Inc., a Delaware corporation, in the amount of $64,814.81.

 

“Intercreditor
Agreement” means that certain Intercreditor Agreement of even date herewith, by and among Term Loan Lender and Lender,
as amended, restated, supplemented or otherwise modified from time to time.

 

“Interest
Expense” means, for any period, the interest expense of Borrowers and their Subsidiaries for the period in question, determined
on a consolidated basisConsolidated
Basis and consistent with practices as of the date hereof or otherwise in accordance with GAAP.

 

“Interest
Payment Date” means (a) with respect to any principal amount bearing interest based upon the Prime Rate, the first day
of each and every calendar month during the term of the Notes and (b) with respect to each LIBOR Amount, the last day of each LIBOR Interest
Period applicable to such LIBOR Amount.

 

“Investment”
means any beneficial ownership (including stock, partnership or limited liability company interests) of or in any Person, or any loan,
advance or capital contribution to any Person or the acquisition of any material assets of another Person, other than equipment purchases
made by the Borrower as part of the operation of its business.

 

 

    13

     

    

 

“Liabilities”
means, at any particular time, all amounts which, in conformity with GAAP, would be included as liabilities on a balance sheet of a Person.

 

“LIBOR
Amount” means each principal amount for which the LIBOR Rate applies for any specified LIBOR Interest Period.

 

“LIBOR
Interest Period” means, for any LIBOR Amount, a period of one month; provided, however, that: (i)
the first day of a LIBOR Interest Period must be a Business Day; (ii) no LIBOR Interest Period shall extend beyond the Maturity Date
of the Loan under which the LIBOR Amount was made; (iii) no LIBOR Interest Period shall extend beyond the scheduled payment date of any
principal payment required by the Loan under which the LIBOR Amount was made; (iv) any LIBOR Interest Period that would otherwise expire
on a day that is not a Business Day shall be extended to the next succeeding Business Day, unless the result of such extension would
be to extend such LIBOR Interest Period into another calendar month, in which event the LIBOR Interest Period shall end on the immediately
preceding Business Day; and (v) any LIBOR Interest Period that begins on the last Business Day of a calendar month (or on a day for which
there is no numerically corresponding day in the calendar month at the end of such LIBOR Interest Period) shall end on the last Business
Day of a calendar month.

 

“LIBOR
Rate” means, an interest rate equivalent to Lender’s LIBOR Rate which is that rate determined by Lender’s Treasury
Desk to be the Interbank lending rate for a period equal to the applicable LIBOR Interest Period which appears on the Bloomberg Screen
B TMM Page under the heading “LIBOR Fix” as of 11:00 am (London Time) on the second Business Day prior to the first day of
such period (adjusted for any and all assessments, surcharges and reserve requirements). Notwithstanding anything in this definition
to the contrary, if LIBOR Rate shall be less than zero, then such rate shall be deemed to be zero for purposes of this Agreement.

 

“Lien”
means any lien, mortgage, security interest, tax lien, pledge, charge, hypothecation, assignment, preference, priority, or other encumbrance
of any kind or nature whatsoever (including, without limitation, any conditional sale or title retention agreement), whether arising
by contract, operation of law, or otherwise.

 

“Liquid
Assets” shall mean, with respect to any Person, (a) unencumbered Cash and Cash Equivalents (as defined below) and (b) marketable
securities, each valued in accordance with GAAP, consistently applied (or other principles acceptable to Lender), as reasonably determined
by such Person and reasonably approved by Lender.

 

“Loan
Documents” means this Agreement, the Intercreditor Agreement, the Preferred Equity Subordination Agreement, and all promissory
notes, security agreements, pledge agreements, deeds of trust, assignments, letters of credit, guaranties, Hedge Agreements and other
instruments, documents, and agreements executed and delivered pursuant to or in connection with this Agreement, as such instruments,
documents, and agreements may be amended, modified, renewed, restated, extended, supplemented, replaced, consolidated, substituted, or
otherwise changed from time to time.

 

“Loan
Rate” means the LIBOR Rate plus 3.50% per annum; provided, that, in no event shall the Loan Rate be
less than 0.50% of the Loan Rate effective on the date of this Agreement.

 

“Management
Fee Subordination Agreement” means each Management Fee Subordination Agreement dated as of December 17, 2021, with respect
to the management fees payable under and pursuant to the Board
Services and Consulting Agreements each dated as of September 30, 2020, by and between Direct Digital, on the one hand, and Keith Smith
and Mark Walker on the other hand,
as the same may be amended, restated, supplemented, modified, or changed from time to time.

 

 

    14

     

    

 

 

“Master Agreement”
has the meaning set forth in the definition of “Hedge Agreement.”

 

“Material
Adverse Event” means any act, event, condition, or circumstance which could materially and adversely affect: (a) the operations,
business, properties, liabilities (actual or contingent), or condition (financial or otherwise) of Borrowers or Borrowers and the Subsidiaries,
taken as a whole; (b) the ability of any Obligated Party to perform its obligations under any Loan Document to which it is a party; or
(c) the legality, validity, binding effect or enforceability against any Obligated Party of any Loan Document to which it is a party.

 

“Maturity
Date” means 3:00 P.M. Dallas, Texas time on September 30, 2022, or such earlier date on which the Commitment terminates
as provided in this Agreement.

 

“Maximum
Lawful Rate” means, at any time, the maximum rate of interest which may be charged, contracted for, taken, received or
reserved by Lender in accordance with applicable Texas law (or applicable United States federal law to the extent that such law permits
Lender to charge, contract for, receive or reserve a greater amount of interest than under Texas law). The Maximum Lawful Rate shall
be calculated in a manner that takes into account any and all fees, payments, and other charges in respect of the Loan Documents that
constitute interest under applicable law. Each change in any interest rate provided for herein based upon the Maximum Lawful Rate resulting
from a change in the Maximum Lawful Rate shall take effect without notice to Borrowers at the time of such change in the Maximum Lawful
Rate.

 

“Multiemployer
Plan” means a multiemployer plan defined as such in Section 3(37) of ERISA to which contributions have been made
by any Borrower or any ERISA Affiliate and which is covered by Title IV of ERISA.

 

“Net
Income” means the net income (or loss) of Borrowers and their Subsidiaries for the period in question, determined on a
consolidated basisConsolidated
Basis and consistent with practices as of the date hereof or otherwise in accordance with GAAP.

 

“
Notes” means, collectively, all promissory notes (and “Note” means any of such Notes) executed
at any time by Borrowers and payable to the order of Lender, as amended, renewed, replaced, extended, supplemented, consolidated, restated,
modified, otherwise changed and/or increased from time to time.

 

“
Obligated Party” means each Borrower, each Guarantor and any other Person who is or becomes party to any agreement
that guarantees or secures payment and performance of the Obligations or any part thereof.

 

“Obligations”
means all obligations, indebtedness, and liabilities of Borrowers, each Guarantor and any other Obligated Party to Lender or any Affiliate
of Lender, or both, now existing or hereafter arising, whether direct, indirect, related, unrelated, fixed, contingent, liquidated, unliquidated,
joint, several, or joint and several, including, without limitation, the obligations, indebtedness, and liabilities under this Agreement,
all Hedge Obligations under any Secured Hedge Agreements, the other Loan Documents, any cash management or treasury services agreements
and all interest accruing thereon (whether a claim for post-filing or post-petition interest is allowed in any bankruptcy, insolvency,
reorganization or similar proceeding) and all attorneys’ fees and other expenses incurred in the enforcement or collection thereof;
provided, however, that any other term or provision of this Agreement or any other Loan Document to the contrary notwithstanding,
the “Obligations” of any Obligated Party shall exclude, as to such Obligated Party, Excluded Hedge Obligations
of such Obligated Party.

 

    15 

     

    

 

“Operating
Agreement of
Direct Digital” means (a)
prior to the Reorganization Transactions, the Amended and Restated Limited Liability Company Agreement
of Direct Digital dated September 30, 2020 and
(b) concurrently with and following the Reorganization Transactions, the amended and restated limited liability company agreement of
Direct Digital executed in connection therewith.

 

“Orange
142 Acquisition” means the acquisition by Direct Digital of all or substantially all of the issued and outstanding membership
interests of Orange, via sale, transfer, conveyance, assignment, and/or contribution of such interests.

 

“Priority
Collateral” means the Collateral in which the Lender has a first priority security interest under the Security Agreement,
subject to the Intercreditor Agreement.

 

“Patriot
Act” means the USA PATRIOT Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)).

 

“PBGC”
means the Pension Benefit Guaranty Corporation or any entity succeeding to all or any of its functions under ERISA.

 

“Permitted
Discretion” means a determination in good faith and in the exercise of reasonable (from the perspective of a secured asset-based
lender) business judgment.

 

“Permitted
Holders” shall mean Keith Smith, Mark Walker, Leah Woolford and/or their respective Related Persons.

 

“Permitted
Indebtedness” means: (i) Debt to Lender arising under this Agreement or any other Loan Document; (ii) Term Loan Debt in
accordance with the Intercreditor Agreement; (iii) Debt existing on the date hereof which is disclosed in Schedule 8.01;
(iv) Debt of up to $200,000 outstanding at any time secured by a Lien described in clause (viii) of the defined term “Permitted
Liens,” provided such Debt does not exceed the cost of the equipment or intellectual property financed with such Debt; (v) amounts
billed to a Borrower by its suppliers for goods delivered to or services performed for such Borrower in the ordinary course of business;
(vi) reimbursement obligations in connection with trade letters of credit entered into in the ordinary course of business and, to the
extent not subject to an Excluded Account, cash management services (including credit cards, debit cards and other similar instruments)
that are secured by cash and issued on behalf of any Borrower or a Subsidiary thereof in an amount not to exceed $200,000 at any time
outstanding; (vii) Debt secured by a Lien described in clause (xi) of the defined term “Permitted Liens”; (viii) Debt; extensions,
refinancings and renewals of any items of Permitted Indebtedness; provided that the principal amount is not increased or the terms
modified to impose materially more burdensome terms upon any Borrower or its Subsidiary, as the case may be; and
(ix) other unsecured Debt in an amount not to exceed $200,000 in the aggregate;
and (x) the Huddled Masses Notes as in effect as of the date hereof.

 

    16 

     

    

 

“Permitted
Investment” means: (i) Investments existing as of the date hereof which are disclosed on Schedule 8.05; (ii)
(a) marketable direct obligations issued or unconditionally guaranteed by the United States of America or any agency or any State thereof
maturing within one year from the date of acquisition thereof currently having a rating of at least A-2 or P-2 from either Standard &
Poor’s Corporation or Moody’s Investors Services, (b) commercial paper maturing no more than one year from the date of creation
thereof and currently having a rating of at least A-2 or P-2 from either Standard & Poor’s Corporation or Moody’s Investors
Service, (c) certificates of deposit issued by any bank with assets of at least $250,000,000 maturing no more than one year from the
date of investment therein, and (d) money market accounts; (iii) repurchases of stock from current or former employees, directors, or
consultants of the Borrower under the terms of applicable repurchase agreements at the original issuance price of such securities in
an aggregate amount not to exceed $250,000 in any fiscal year; provided that no Event of Default has occurred, is continuing or
could exist after giving effect to the repurchases; (iv) Investments (including debt obligations) 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 Borrowers’ business; (v) Investments consisting of notes receivable of, or prepaid royalties
and other credit extensions to, customers and suppliers who are not Affiliates, in the ordinary course of business; provided that
this subparagraph (vi) shall not apply to Investments of any Borrower in any Subsidiary; (vi) Investments consisting of loans not
involving the net transfer on a substantially contemporaneous basis of cash proceeds to employees, officers or directors relating to
the purchase of capital stock or other Equity Interests of a Borrower pursuant to employee stock purchase plans or other similar agreements
approved by such Borrower’s Board of Directors (or, if not a corporation, its equivalent authorizing body); (vii) Investments consisting
of travel advances in the ordinary course of business; (viii) Investments in newly-formed Subsidiaries; provided that any such Subsidiary
that is or is expected to become an After-Acquired Subsidiary complies with Section 7.13 hereof; and (ix) additional Investments
that do not exceed $200,000 in the aggregate in any fiscal year if, at the time of such Investment and after giving effect thereto, the
Borrower is in compliance with the Financial Covenants in Article IX (or, for any period prior to December 31, 2020, would be in compliance
if the requirement thereunder were in effect as of the date of such Investment).

 

“Permitted
Liens” means any and all of the following: (i) Liens in favor of the Lender; (ii) Liens in favor of the Term Loan Lender
securing the Debt under the Term Loan Documents, subject to the Intercreditor Agreement; (iii) Liens existing as of the date hereof which
are disclosed in Schedule 8.02 hereto; (iv) Liens for taxes, fees, assessments or other governmental charges or levies,
either not delinquent or being contested in good faith by appropriate proceedings; provided that Borrowers maintain adequate reserves
therefor in accordance with GAAP; (v) Liens securing claims or demands of materialmen, artisans, mechanics, carriers, warehousemen, landlords
and other like Persons arising in the ordinary course of any Borrower’s business and imposed without action of such parties; (vi)
Liens arising from judgments, decrees or attachments in circumstances which do not constitute an Event of Default hereunder; (vii) Liens
on deposits held in an Excluded Account; (viii) Liens on equipment or software or other intellectual property constituting purchase money
Liens and Liens in connection with capital leases securing Indebtedness permitted in clause (iv) of “Permitted Indebtedness”;
(ix) Liens incurred in connection with Subordinated Debt; (x) leasehold interests in leases or subleases and licenses granted in the
ordinary course of business and not interfering in any material respect with the business of the licensor; (xi) Liens in favor of customs
and revenue authorities arising as a matter of law to secure payment of custom duties that are promptly paid on or before the date they
become due; (xii) Liens on insurance proceeds securing the payment of financed insurance premiums that are promptly paid on or before
the date they become due (provided that such Liens extend only to such insurance proceeds and not to any other property or assets); (xiii)
statutory and common law rights of set-off and other similar rights as to deposits of cash and securities in favor of banks, other depository
institutions and brokerage firms; (xiv) easements, zoning restrictions, rights-of-way and similar encumbrances on real property imposed
by law or arising in the ordinary course of business so long as they do not materially impair the value or marketability of the related
property; (xv) (A) Liens on cash securing obligations permitted under clause (vi) of the definition of Permitted Indebtedness and (B)
security deposits in connection with real property leases, the combination of (A) and (B) in an aggregate amount not to exceed $300,000
at any time; (xvi) sales, transfers or other dispositions of assets permitted by Section 8.08 and, in connection therewith,
customary rights and restrictions contained in agreements relating to such transactions pending the completion thereof or during the
term thereof, and any option or other agreement to sell, transfer, license, sublicense, lease, sublease or dispose of an asset permitted
by Section 8.08, in each case, such terms being agreed to and such transactions entered into in the ordinary course of
business; and (xvii) Liens incurred in connection with the extension, renewal or refinancing of the Debt secured by Liens of the type
described in clauses (i) through (xvi) above; provided that any extension, renewal or replacement Lien shall be limited to the
property encumbered by the existing Lien and the principal amount of the Debt being extended, renewed or refinanced (as may have been
reduced by any payment thereon) does not increase.

 

    17 

     

    

 

“Permitted
Tax Distributions” means, quarterly tax distributions by Direct Digital to its direct
or indirect constituent members in the amount necessary to satisfy the
U.S. federal, state and local income tax obligations allocated
toof
such members based on the taxable income of Direct
Digital and its Subsidiaries on a consolidated basisConsolidated
Basis for such taxable year, in an aggregate amount determined in accordance with the terms of
the organizational documents of Direct Digital. Direct Digital may make such distributions after the end of the taxable year, or make
such distributions on a quarterly basis during the taxable year to reflect estimated tax obligations of the members and their direct
or indirect equityholders. For the avoidance of doubt, Permitted Tax Distributions based on estimates shall be made on a “rolling
basis” and will be trued-up at least annually.

 

“Person”
means any individual, corporation, limited liability company, business trust, association, company, partnership, joint venture, Governmental
Authority, or other entity, and shall include such Person’s heirs, administrators, personal representatives, executors, successors
and assigns.

 

“Plan”
means any employee benefit or other plan established or maintained by any Borrower or any ERISA Affiliate and which is covered by Title
IV of ERISA.

 

“Preferred
A Redemption” means
the redemption of the preferred A units held in Direct Digital pursuant to the Redemption Agreement.

 

“Preferred
B Redemption” means
the contemplated redemption of the preferred B units held in Direct Digital pursuant to the Redemption Agreement.

 

“Preferred
Equity” means the Equity Interests issued to USDM Holdings, Inc., a Texas corporation,
and other “Preferred Unit Holders” pursuant to the Operating Agreement of Direct
Digital.

 

“Preferred
Equity Subordination Agreement” means that certain Preferred Equity Subordination Agreement of even date herewith, by and
among Direct Digital, the holder(s) of the Preferred Equity and Lender, as amended, restated, supplemented or otherwise modified from
time to time.

 

“Prime
Rate” means, for any day, the rate of interest announced from time to time by Lender as its “base” or
 “prime” rate of interest, which Borrowers hereby acknowledge and agree may not be the lowest interest rate charged
by Lender and is set by Lender in its sole discretion, changing when and as said prime rate changes.

 

“Principal
Office” means the principal office of Lender, presently located at 5001 Spring Valley Road, Suite 825W, Dallas, Texas 75224.

 

“Priority
Collateral” means the Collateral in which the Lender has a first priority security interest under the Security Agreement,
subject to the Intercreditor Agreement.

 

“Prohibited
Transaction” means any non-exempt transaction set forth in Section 406 of ERISA or Section 4975 of the Code.

 

    18 

     

    

 

“Property”
of a Person means any and all property, whether real, personal, tangible, intangible or mixed, of such Person, or any other assets owned,
operated or leased by such Person.

 

“Public
Company Costs” shall
mean actual documented costs relating to compliance with the Sarbanes-Oxley Act of 2002, as amended, and other actual documented expenses
arising out of or incidental to DDH Holdings’ status as a reporting company, including actual documented costs, fees and expenses
(including reasonable legal, accounting and other professional fees) relating to compliance with provisions of the Securities Act of
1933, as amended, and the Securities Exchange Act of 1934, as amended, registration and reporting obligations, the rules of securities
exchange companies with listed equity securities, directors’ compensation, fees and expense reimbursement, shareholder meetings
and reports to shareholders, indemnification and reimbursement of directors, officers and employees in respect of liabilities relating
to their serving in any such capacity, directors’ and officers’ insurance and other executive costs, legal and other professional
fees, and listing fees.

 

“Qualified
IPO” shall
mean the issuance of Equity Interests by Direct Digital or DDH Holdings in an underwritten primary public offering (other than a public
offering pursuant to a registration statement on Form S-8) on or prior to June 30, 2022 pursuant to an effective registration statement
filed with the Securities and Exchange Commission in accordance with the Securities Act of 1933, as amended, (whether alone or in connection
with a secondary public offering) that generates gross cash proceeds of not less than $34,500,000 (after giving effect to the greenshoe),
and (y) net cash proceeds actually received by Borrowers of not less than $15,000,000 and pursuant to which the Reorganization Transactions
shall occur.

 

“Redemption
Agreement” means
that certain redemption agreement dated as of November 14, 2021 by and between Direct Digital and USDM Holdings.

 

“Redemption/Exchange
Transactions” means
at any time following the consummation of a Qualified IPO, the transactions pursuant to which Direct Digital redeems Class A Common Units
for either (A)(1) a stock exchange payment or (2) a cash exchange payment, in each case in accordance with the Operating Agreement of
Direct Digital or (B) the direct purchase by DDH Holdings of vested Class A Common Units and paired voting stock pursuant to any call
right, in accordance with the Operating Agreement of Direct Digital.

 

“Related Indebtedness”
has the meaning set forth in Section 11.20 of this Agreement.

 

“Related
Person” means,
with respect to a particular Person: (a) each other member of such Person’s Family; (b) any Person that is directly or indirectly
Controlled by such Person and/or any one or more members of such Person’s Family; (c) any Person with respect to which such Person
and/or one or more members of such Person’s Family constitute all of the executors or trustees thereof (or in a similar capacity);
and (d) any estate planning trust or limited partnership formed or organized for the benefit of such Person or such Person’s Family
so long as during his/her lifetime, such Person remains in Control of the voting rights with respect to any actions to be taken by such
trust or limited partnership.

 

“Release”
means, as to any Person, any release, spill, emission, leaking, pumping, injection, deposit, disposal, disbursement, leaching, or migration
of Hazardous Materials into the indoor or outdoor environment or into or out of property owned by such Person, including, without limitation,
the movement of Hazardous Materials through or in the air, soil, surface water, ground water, or property.

 

“Relevant
Governmental Body” means
the Board of Governors of the Federal Reserve System or the Federal Reserve Bank of New York, or a committee officially endorsed or convened
by the Board of Governors of the Federal Reserve System or the Federal Reserve Bank of New York, or any successor thereto.

 

    19 

     

    

 

“Remedial
Action” means all actions required to (a) clean up, remove, treat, or otherwise address Hazardous Materials in the indoor
or outdoor environment, (b) prevent the Release or threat of Release or minimize the further Release of Hazardous Materials so that they
do not migrate or endanger or threaten to endanger public health or welfare or the indoor or outdoor environment, or (c) perform pre-remedial
studies and investigations and post-remedial monitoring and care.

 

“Reorganization
Transactions” means
the transactions contemplated pursuant to which Direct Digital will effect an initial public offering, including, (i) the preferred equity
units held in Direct Digital will be redeemed, including pursuant to the Preferred A Redemption and the Preferred B Redemption, (ii)
the Common Units Redemption shall be consummated with proceeds from a Qualified IPO, (iii) the Equity Interests held in Direct Digital
will be reclassified into two classes of units, (iv) the holders of Class A common units will contribute all their Class A common units
to DDH Holdings in exchange for Class A common stock, (v) immediately after which the holders of Class B voting units will contribute
all of their Class B voting units to DDH Holdings in exchange for Class B common stock, (vi) immediately following such exchanges, DDH
Holdings will be designated as the managing member of Direct Digital, (vii) DDH Holdings shall use the net proceeds received from an
initial public offering to purchase Class A common units from Direct Digital, and (viii) the amendment and restatement of the Direct
Digital limited liability company agreement to effect the foregoing.

 

“Reportable
Event” means any of the events set forth in Section 4043 of ERISA that requires the Borrower or Subsidiary to notify
the PBGC of such event, and the reporting of which is not otherwise waived.

 

Responsible
Officer” means (a) for any Borrower, the chief executive officer, president, chief financial officer, or treasurer of such
Borrower or any Person designated by a Responsible Officer to act on behalf of a Responsible Officer; provided that such designated
Person may not designate any other Person to be a Responsible Officer. Any document delivered hereunder that is signed by a Responsible
Officer of Borrowers shall be conclusively presumed to have been authorized by all necessary corporate, partnership and/or other action
on the part of Borrowers and such Responsible Officer shall be conclusively presumed to have acted on behalf of Borrowers and (b) for
each other Person, (i) in the case of a corporation, its chief executive officer, president, chief financial officer, treasurer, assistant
treasurer or controller, and a secretary or assistant secretary for the purposes of delivering incumbency certificates, or as a second
Responsible Officer in any case where two Responsible Officers are acting on behalf of such corporation; (ii) in the case of a limited
partnership, the Responsible Officer of the general partner, acting on behalf of such general partner in its capacity as general partner;
or (iii) in the case of a limited liability company, the Responsible Officer of the managing member, acting on behalf of such managing
member in its capacity as managing member.

 

“Revolving
Credit Advance” means any Advance made by Lender to Borrowers pursuant to Section 2.01(a) of this Agreement.

 

“Revolving
Credit Availability” means on any date of determination the Commitment minus the aggregate amount of all outstanding
Revolving Credit Advances.

 

“Revolving
Credit Note” means the promissory note of Borrowers payable to the order of Lender, in substantially the form of Exhibit
C hereto, and all amendments, extensions, renewals, replacements, and modifications thereof.

 

    20 

     

    

 

“RICO” means the
Racketeer Influenced and Corrupt Organization Act of 1970.

 

“Sanction(s)”
means any sanction administered or enforced by the United States Government (including without limitation, OFAC), the United Nations
Security Council, the European Union, Her Majesty’s Treasury (“HMT”) or other relevant sanctions authority.

 

“Secured
Hedge Agreement” means any Hedge Agreement permitted under this Agreement entered into by and between any Obligated Party
and any Hedge Bank.

 

“Security
Agreement” means the Security Agreement dated of even date herewith of Borrowers and the other Obligated Parties party
thereto in favor of Lender, in form and substance satisfactory to Lender, as the same may be amended, restated, supplemented, modified,
or changed from time to time.

 

“Security
Documents” means the Security Agreement, each Guaranty, and each and every other security agreement, pledge agreement,
mortgage or other collateral security agreement required by or delivered to Lender from time to time to secure the Obligations or any
portion thereof.

 

“SOFR”
means
a rate per annum equal to the secured overnight financing rate for such Business Day published by the Federal Reserve Bank of New York
(or a successor administrator of the secured overnight financing rate) on the website of the Federal Reserve Bank of New York, currently
at http://www.newyorkfed.org (or any successor source for the secured overnight financing rate identified as such by the administrator
of the secured overnight financing rate from time to time).

 

“SOFR
Average” means
the compounded average of SOFR over a rolling calendar day period of thirty (30) days as published by the Federal Reserve Bank of New
York (or a successor administrator of the SOFR Average).

 

“Specified Financial Covenants”
has the meaning set forth in Section 10.04.

 

“Specified
Obligated Party” means any Obligated Party that is not an Eligible Contract Participant (determined prior to giving effect
to Section 7.14 hereof or any other “keepwell, support or other agreement” (as defined in the Commodity
Exchange Act), or any similar provision contained in any Guaranty).

 

“Subordinated
Debt” means any Debt of Borrowers (other than the Obligations) that has been subordinated to the Obligations by written
agreement, in form and content satisfactory to Lender, including without limitation, any payment obligations on the Preferred Equity.

 

“Subsidiary”
means (a) any corporation of which at least a majority of the outstanding shares of stock having by the terms thereof ordinary voting
power to elect a majority of the board of directors of such corporation (irrespective of whether or not at the time stock of any other
class or classes of such corporation shall have or might have voting power by reason of the happening of any contingency) is at the time
directly or indirectly owned or controlled by any Borrower or one or more of the Subsidiaries or by any Borrower and one or more of the
Subsidiaries; and (b) any other entity (i) of which at least a majority of the ownership, equity or voting interest is at the time directly
or indirectly owned or controlled by one or more of Borrowers and the Subsidiaries and (ii) which is treated as a subsidiary in accordance
with GAAP.

 

“Subsidiary
Guarantors” means each Domestic Subsidiary of each Borrower formed or acquired after the date hereof who from time to time
guarantees all or any part of the Obligations, and “Subsidiary Guarantor” means any one of the Subsidiary Guarantors.

 

    21 

     

    

 

“Tax
Receivable Agreement” means
that certain tax receivable agreement to be entered into by and among DDH Holdings, Direct Digital and Direct Digital Management.

 

“Term
Loan Debt” means the secured indebtedness of Borrowers under the Term Loan Agreement in a principal amount not to exceed
TwelveThirty-Two
Million Eight Hundred Twenty-Five Thousand Dollars
($12,825,00032,000,000).

 

“Term
Loan Documents” means the Term Loan Agreement and the other LoanOther
Documents (as defined in the Term Loan Agreement) executed in connection therewith, in each case,
as amended, restated or modified from time to time as permitted by the terms of the Intercreditor Agreement.

 

“Term
Loan Agreement” means that certain Term
Loan and Security Agreement dated as of the date hereofDecember
3, 2021, by and between Term Loan Lender and Borrowers as amended, restated or modified from
time to time as permitted by the terms of the Intercreditor Agreement.

 

“
Term Loan Lender” means Silverpeak Credit Partners, LPLafayette
Square Loan Servicing, LLC and the other lenders and financial institutions from time to time party to the Term Loan Agreement and
itstheir
successors and permitted assigns.

 

“Term Loan Priority Collateral”
means all Collateral that is not Priority Collateral.

 

“Term
SOFR” means,
for the applicable corresponding tenor, the forward-looking term rate based on SOFR that has been selected or recommended by the Relevant
Governmental Body.

 

“Total Debt” means
all Debt of Borrowers and the Subsidiaries at such time.

 

“Total
Leverage Ratio” means the ratio of (a) Total Debt of Borrowers and the Subsidiaries, on a consolidated
basisConsolidated
Basis, as of such date, to (b) EBITDA for Borrowers and the Subsidiaries, on a consolidated
basisConsolidated
Basis, for the four (4) fiscal quarters ending on such date.

 

“
UCC” means the Chapters 1 through 11 of the Texas Business and Commerce Code, as amended from time to time.

 

“Up-C
Structure” has
the meaning given in the definition of DDH Holdings.

 

“Unfunded
Pension Liability” means the excess, if any, of (a) the funding target as defined under Section 430(d) of the Code
without regard to the special at risk rules of Section 430(i) of the Code, over (b) the value of plan assets as defined under
Section 430(g)(3)(A) of the Code determined as of the last day of each calendar year, without regard to the averaging which may
be allowed under Section 310(g)(3)(B) of the Code and reduced for any prefunding balance or funding standard carryover balance
as defined and provided for in Section 430(f) of the Code.

 

“USD
LIBOR” means
the London interbank offered rate for U.S. dollars.

 

“USDM
Holdings” means USDM Holdings, Inc.,
a Texas corporation.

 

1.02         Accounting
Matters. Any accounting term used in this Agreement or the other Loan Documents shall have, unless otherwise specifically provided
therein, the meaning customarily given such term in accordance with GAAP, and all financial computations thereunder shall be computed,
unless otherwise specifically provided therein, in accordance with GAAP consistently applied; provided, that all financial covenants
and calculations in the Loan Documents shall be made in accordance with GAAP as in effect on the date of this Agreement unless Borrowers
and Lender shall otherwise specifically agree in writing. That certain items or computations are explicitly modified by the phrase “in
accordance with GAAP” shall in no way be construed to limit the foregoing.

 

    22 

     

    

 

1.03        Other
Definitional Provisions. All definitions contained in this Agreement are equally applicable to the singular and plural forms of the
terms defined. The words “hereof”, “herein”, and “hereunder” and words of similar
import referring to this Agreement refer to this Agreement as a whole and not to any particular provision of this Agreement. Unless otherwise
specified, all Article and Section references pertain to this Agreement. Terms used herein that are defined in the UCC, unless otherwise
defined herein, shall have the meanings specified in the UCC.

 

ARTICLE II. 

ADVANCES

 

2.01          
Advances.

 

(a)          
Revolving Credit Advances. Subject to the terms and conditions of this Agreement, Lender agrees to make one or more Revolving
Credit Advances to Borrowers from time to time from the date hereof to and including the Maturity Date in an aggregate principal amount
at any time outstanding up to but not exceeding the amount of the Commitment, provided that the aggregate amount of all Revolving Credit
Advances at any time outstanding shall not exceed the lesser of (i) the amount of the Commitment or (ii) the Borrowing Base. Subject
to the foregoing limitations, and the other terms and provisions of this Agreement, Borrowers may borrow, repay, and reborrow hereunder.

 

(i)                
The Revolving Credit Note. The obligation of Borrowers to repay the Revolving Credit Advances and interest thereon shall
be evidenced by the Revolving Credit Note executed by Borrowers payable to the order of Lender, in the principal amount of the Commitment
as originally in effect and dated the date hereof.

 

(ii)              
Payments on Revolving Credit Advances. All accrued but unpaid interest on the Revolving Credit Advances outstanding from
time to time shall be payable in monthly installments on each Interest Payment Date until the Maturity Date when the then outstanding
principal balance of the Revolving Credit Note and all accrued but unpaid interest thereon shall be due and payable. Borrowers may from
time to time during the term of this Agreement borrow, partially or wholly repay its outstanding borrowings, and reborrow, subject to
all of the limitations, terms and conditions of this Agreement and of the Loan Documents; provided, however, that the unpaid
principal of the Revolving Credit Note shall not at any time exceed the principal amount stated above.

 

(iii)              
Borrowing Procedure. Borrowers shall give Lender notice of each Revolving Credit Advance by means of an Advance Request
Form containing the information required therein and delivered (by hand or by mechanically confirmed facsimile) to Lender no later than
1:00 p.m. (Texas time) on the day on which the Revolving Credit Advance is desired to be funded. Advances shall be in a minimum amount
of $10,000. Lender at its option may accept telephonic requests for such Advances, provided that such acceptance shall not constitute
a waiver of Lender’s right to require delivery of an Advance Request Form in connection with subsequent Advances. Any telephonic
request for a Revolving Credit Advance by Borrowers shall be promptly confirmed by submission of a properly completed Advance Request
Form to Lender, but failure to deliver an Advance Request Form shall not be a defense to payment of the Advance. Lender shall have no
liability to Borrowers for any loss or damage suffered by Borrowers as a result of Lender’s honoring of any requests, execution
of any instructions, authorizations or agreements or reliance on any reports communicated to it telephonically, by facsimile or electronically
and purporting to have been sent to Lender by Borrowers and Lender shall have no duty to verify the origin of any such communication
or the identity or authority of the Person sending it. Subject to the terms and conditions of this Agreement, each Revolving Credit Advance
shall be made available to Borrowers by depositing the same, in immediately available funds, in an account of Borrowers designated by
Borrowers maintained with Lender at the Principal Office. At no time shall there be more than five (5) LIBOR Amounts outstanding under
this Agreement.

 

    23 

     

    

 

 

2.02              
General Provisions Regarding Interest, Etc.

 

(a)           Repayment
of Advances. Borrowers shall repay the unpaid principal amount of all Advances on the Maturity Date, unless sooner due by reason
of acceleration by Lender as provided in this Agreement.

 

(b)           Interest
Rate. The unpaid principal balance of the Notes shall bear interest from the date hereof through the Maturity Date at a per annum
rate which shall be, except as otherwise provided in this Agreement, the lesser of (A) the Loan Rate in effect from day to day, or (B)
the Maximum Lawful Rate. The determination by Lender of the Loan Rate shall, in the absence of manifest error, be conclusive and binding
in all respects. Notwithstanding anything herein to the contrary, in the event that (i) LIBOR is permanently or indefinitely unavailable
or unascertainable, or ceases to be published by the LIBOR administrator or its successor, (ii) the LIBOR administrator or its successor
invokes its insufficient admissions policy, (iii) LIBOR is determined to be no longer representative by the regulatory supervisor of
the administrator of LIBOR, (iv) LIBOR can no longer be lawfully relied upon in contracts of this nature by one or both of the parties,
or (v) LIBOR does not accurately and fairly reflect the cost of making or maintaining the type of loans or advances under this Agreement
and in any such case, such circumstances are unlikely to be temporary, then all references to the Loan Rate herein will instead be to
a replacement rate determined by Lender in its reasonable judgment, including any adjustment to the replacement rate to reflect a different
credit spread, term or other mathematical adjustment deemed necessary by the Lender in its reasonable judgment. Lender will provide reasonable
notice to Borrowers of such replacement rate, which will be effective on the date of the earliest event set forth in clauses (i)-(v)
of this paragraph. If there is any ambiguity as to the date of occurrence of any such event, Lender’s judgment will be dispositive.

 

(c)            Default
Interest Rate. Any outstanding principal of any Advance and (to the fullest extent permitted by law) any other amount payable by
Borrowers under this Agreement or any other Loan Document that is not paid in full when due (whether at stated maturity, by acceleration,
or otherwise) shall bear interest at the Default Interest Rate for the period from and including the due date thereof to but excluding
the date the same is paid in full. Additionally, upon the occurrence and during the continuance of an Event of Default all outstanding
and unpaid principal amounts of all of the Obligations shall, to the extent permitted by law, bear interest at the Default Interest Rate
until such time as Lender shall waive in writing the application of the Default Interest Rate to such Event of Default situation. Interest
payable at the Default Interest Rate shall be payable from time to time on demand.

 

    24

     

    

  

(d)           Computation
of Interest. Interest on the Advances and all other amounts payable by Borrowers hereunder is computed on a 365/360 basis; that is,
by applying the ratio of the interest rate over a year of 360 days, multiplied by the outstanding principal balance, multiplied by the
actual number of days the principal balance is outstanding.

 

(e)           Application
of Payments. Except as expressly provided this Agreement to the contrary, all payments on the Notes shall be applied in the following
order of priority: (a) the payment or reimbursement of any Funding Loss, expenses, costs or obligations (other than the outstanding principal
balance hereof and interest hereon) for which Borrowers shall be obligated or Lender shall be entitled pursuant to the provisions of
this Agreement or the other Loan Documents; (b) the payment of accrued but unpaid interest hereon; and (c) the payment of all or any
portion of the principal balance of the Advances then outstanding hereunder. If an Event of Default exists, then Lender may, at the sole
option of Lender, apply any such payments, at any time and from time to time, to any of the items specified in clauses (a),
(b) or (c) above without regard to the order of priority otherwise specified in this Section 2.02(e)
and any application to the outstanding principal balance hereof may be made in either direct or inverse order of maturity. Payments
by check or draft shall not constitute payment in immediately available funds until the required amount is actually received by Lender.
Payments in immediately available funds received by Lender in the place designated for payment on a Business Day prior to 3:00 p.m. Dallas,
Texas time at said place of payment shall be credited prior to the close of business on the Business Day received, while payments received
by Lender on a day other than a Business Day or after 3:00 p.m. Dallas, Texas time on a Business Day shall not be credited until the
next succeeding Business Day. If any payment of principal or interest on the Notes shall become due and payable on a day other than a
Business Day, such payment shall be made on the next succeeding Business Day. Acceptance by Lender of any payment in an amount less than
the full amount then due shall be deemed an acceptance on account only, and the failure to pay the entire amount then due may become
an Event of Default. Borrowers agree that all payments of any Obligation due hereunder shall be final, and if any such payment is recovered
in any bankruptcy, insolvency or similar proceedings instituted by or against Borrowers, all obligations due hereunder shall be automatically
reinstated in respect of the obligation as to which payment is so recovered.

 

2.03
        Benchmark
Replacement Setting. Notwithstanding
anything to the contrary herein or in any other Loan Document (and any Hedge Agreement shall be deemed not to be a “Loan Document”
for purposes of this Section):

 

(a)              
Replacing USD LIBOR.
On March 5, 2021 the Financial Conduct Authority (“FCA”), the regulatory supervisor of USD LIBOR’s administrator (“IBA”),
announced in a public statement the future cessation or loss of representativeness of overnight/Spot Next, 1-month, 3-month, 6-month
and 12-month USD LIBOR tenor settings. On the earlier of (i) the date that all Available Tenors of USD LIBOR have either permanently
or indefinitely ceased to be provided by IBA or have been announced by the FCA pursuant to public statement or publication of information
to be no longer representative and (ii) the Early Opt-in Effective Date (the “USD LIBOR Transition Date”),
if the then-current Benchmark is USD LIBOR, the Benchmark Replacement will replace such Benchmark for all purposes hereunder and under
any Loan Document in respect of any setting of such Benchmark on such day and all subsequent settings without any amendment to, or further
action or consent of any other party to this Agreement or any other Loan Document. If the Benchmark Replacement is Daily Simple SOFR,
all interest payments will be payable on a monthly basis.

 

    25

     

    

 

(b)           
Replacing Future Benchmarks.
Upon the occurrence of a Benchmark Transition Event, the Benchmark Replacement will replace the then-current Benchmark for all purposes
hereunder and under any Loan Document in respect of any Benchmark setting at or after 5:00 p.m. on the fifth (5th) Business Day after
the date notice of such Benchmark Replacement is provided to the Borrower without any amendment to this Agreement or any other Loan Document,
or further action or consent of the Borrower. At any time that the administrator of the then-current Benchmark has permanently or indefinitely
ceased to provide such Benchmark or such Benchmark has been announced by the regulatory supervisor for the administrator of such Benchmark
pursuant to public statement or publication of information to be no longer representative of the underlying market and economic reality
that such Benchmark is intended to measure and that representativeness will not be restored, the Borrower may revoke any request for
a borrowing of, conversion to or continuation of Loans to be made, converted or continued that would bear interest by reference to such
Benchmark until the Borrower’s receipt of notice from the Lender that a Benchmark Replacement has replaced such Benchmark, and,
failing that, the Borrower will be deemed to have converted any such request into a request for a borrowing of or conversion to ABR Loans.
During the period referenced in the foregoing sentence, the component of ABR based upon the Benchmark will not be used in any determination
of ABR.

  

(c)            Benchmark
Replacement Conforming Changes.
In connection with the implementation and administration of a Benchmark Replacement, the Lender will have the right to make Benchmark
Replacement Conforming Changes from time to time and, notwithstanding anything to the contrary herein or in any other Loan Document,
any amendments implementing such Benchmark Replacement Conforming Changes will become effective without any further action or consent
of any other party to this Agreement. 

 

(d)           Notices;
Standards for Decisions and Determinations.
The Lender will promptly notify the Borrower of (i) the implementation of any Benchmark Replacement and (ii) the effectiveness of any
Benchmark Replacement Conforming Changes. Any determination, decision or election that may be made by the Lender pursuant to this Section,
including any determination with respect to a tenor, rate or adjustment or of the occurrence or non-occurrence of an event, circumstance
or date and any decision to take or refrain from taking any action, will be conclusive and binding absent manifest error and may be made
in its sole discretion and without consent from any other party hereto, except, in each case, as expressly required pursuant to this
Section. 

 

(e)          Unavailability
of Tenor of Benchmark.
At any time (including in connection with the implementation of a Benchmark Replacement), (i) if the then-current Benchmark is a term
rate (including Term SOFR or USD LIBOR), then the Lender may remove any tenor of such Benchmark that is unavailable or non-representative
for Benchmark (including Benchmark Replacement) settings and (ii) the Lender may reinstate any such previously removed tenor for Benchmark
(including Benchmark Replacement) settings. 

 

2.04
       2.03 Unused Facility Fee.
Borrowers agree to pay to Lender an unused facility fee on the daily unused amount of the Commitment for the period from and including
the date of this Agreement to and including the Maturity Date, at the rate of 0.50% per annum based on a 360-day year and the actual
number of days elapsed. For the purpose of calculating the unused facility fee hereunder, the Commitment shall be deemed utilized by
the amount of all outstanding Revolving Credit Advances. Accrued unused facility fees shall be payable quarterly in arrears on the first
(1st) Business Day of each April, July, October, and January during the term of this Agreement and on the Maturity Date.

 

    26

     

    

 

2.05
       2.04 Use of Proceeds. The
proceeds of the Revolving Credit Advances shall be used by Borrowers to repay Debt, for working capital in the ordinary course of business
and other general corporate purposes.

 

2.06
       2.05 Late Charges. If a payment
required by this Agreement is more than ten (10) days late, Borrowers
will be charged 6.000% of the unpaid portion of the regularly scheduled payment or $5.00,
whichever is greater.

 

2.07
       2.06 Funding Loss. Borrowers
shall pay to Lender any amounts required to compensate Lender for any Funding Loss.

 

ARTICLE III. 

PAYMENTS

 

3.01        Method
of Payment. All payments of principal, interest, and other amounts to be made by Borrowers under this Agreement and the other Loan
Documents shall be made in immediately available funds in Dollars at the Principal Office (or at such other place as Lender, in Lender’s
sole discretion, may have established by delivery of written notice thereof to Borrowers from time to time), without offset, in lawful
money of the United States of America, which shall at the time of payment be legal tender in payment of all debts and dues, public and
private. Payments by check or draft shall not constitute payment in immediately available funds until the required amount is actually
received by Lender in full. Payments in immediately available funds received by Lender in the place designated for payment on a Business
Day prior to 11:00 a.m. (Dallas, Texas time) at such place of payment shall be credited prior to the close of business on the Business
Day received, while payments received by Lender on a day other than a Business Day or after 11:00 a.m. (Dallas, Texas time) on a Business
Day shall not be credited until the next succeeding Business Day. If any payment of principal or interest on the Notes shall become due
and payable on a day other than a Business Day, then such payment shall be made on the next succeeding Business Day. Any such extension
of time for payment shall be included in computing interest which has accrued and shall be payable in connection with such payment.

 

		3.02	Prepayments.

 

(a)            Voluntary
Prepayments. Borrowers may prepay all or any portion of the Notes at any time without fee, premium or penalty, all or any portion
of the outstanding principal balance hereof; provided, that, (i) such prepayment shall also include any and all accrued
but unpaid interest on the amount of principal being so prepaid through and including the date of prepayment, plus any other sums which
have become due to Lender under the other Loan Documents on or before the date of prepayment, but which have not been fully paid and
(ii) such prepayment shall also include any Funding Loss. Prepayments shall be in a minimum of $10,000. Notwithstanding the provisions
of this paragraph, Borrowers must consult with Lender prior to making any prepayments when a Hedge Agreement has been executed between
Borrowers and Lender in connection with the Notes. Borrowers acknowledge that partial prepayments of the Notes may require the Hedge
Agreement to be amended, and full prepayment will terminate the Hedge Agreement. Full and partial prepayments will trigger an early termination
valuation under the Hedge Agreement. Thus, an early termination fee may occur under the Hedge Agreement upon partial and full prepayment
of the Notes. Notwithstanding the provisions of this paragraph, Borrowers shall remain obligated to pay any fee due and owing under the
Hedge Agreement, including but not limited to any fee owed upon early termination of the Hedge Agreement.

 

    27

     

    

 

(b)            Mandatory
Prepayment of Revolving Credit Advances. Borrowers must pay on DEMAND the amount by which at any time the unpaid principal balance
of the Revolving Credit Note exceeds the Borrowing Base.

 

ARTICLE IV. 

SECURITY

 

4.01       
Collateral. To secure full and complete payment and performance of the Obligations, Borrowers and each Guarantor shall execute
and deliver or cause to be executed and delivered all of the Security Documents required by Lender covering the Property and Collateral
described in such Security Documents. Each Obligated Party shall execute and cause to be executed such further documents and instruments,
including without limitation, Uniform Commercial Code financing statements, as Lender, in its sole discretion, deems necessary or desirable
to create, evidence, preserve, and perfect its liens and security interests in the Collateral.

 

4.02       
Setoff. If an Event of Default shall have occurred and be continuing, Lender shall have the right to set off and apply against
the Obligations in such manner as Lender may determine, at any time and without notice to Borrowers, any and all deposits (general or
special, time or demand, provisional or final) or other sums at any time credited by or owing from Lender to Borrowers whether or not
the Obligations are then due. As further security for the Obligations, Borrowers hereby grant to Lender a security interest in all money,
instruments, and other property of Borrowers now or hereafter held by Lender, including, without limitation, property held in safekeeping.
In addition to Lender’s right of setoff and as further security for the Obligations, Borrowers hereby grant to Lender a security
interest in all deposits (general or special, time or demand, provisional or final) and other accounts of Borrowers now or hereafter
on deposit with or held by Lender and all other sums at any time credited by or owing from Lender to Borrowers. The rights and remedies
of Lender hereunder are in addition to other rights and remedies (including, without limitation, other rights of setoff) which Lender
may have.

 

ARTICLE V. 

CONDITIONS PRECEDENT

 

5.01       
Initial Extension of Credit. The obligation of Lender to make the initial Advance under any Note is subject to the condition precedent
that Lender shall have received on or before the day of such Advance all of the following, each dated (unless otherwise indicated) the
date hereof, in form and substance satisfactory to Lender:

 

(a)          
Resolutions. Resolutions of the applicable governing body of each Borrower and each other Obligated Party which
authorize the execution, delivery, and performance by such Person of this Agreement and the other Loan Documents to which such Person
is or is to be a party;

 

(b)          
Incumbency Certificate. A certificate of incumbency certified by a Responsible Officer certifying the names of the
individuals or other Persons authorized to sign this Agreement and each of the other Loan Documents to which each Borrower and each other
Obligated Party is or is to be a party (including the certificates contemplated herein) on behalf of such Person together with specimen
signatures of such individual Persons;

 

(c)          
Constituent Documents. The Constituent Documents for each Borrower and each other Obligated Party certified as of
a date acceptable to Lender by the appropriate government officials of the state of incorporation or organization of each such party;

 

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(d)           Governmental
Certificates. Certificates of the appropriate government officials of the state of incorporation or organization of each Borrower,
each other Obligated Party and each Pledgor as to the existence and good standing of each such party, each dated within fifteen (15)
days (or such longer period acceptable to Lender) prior to the date of the initial Advance;

 

(e)
           Notes. The Notes executed by Borrowers;

 

(f)
           Intercreditor Agreement. A fully executed copy of the
Intercreditor Agreement;

 

(g)           Term
Loan Documents. Executed copies of the Term Loan Documents in form reasonably acceptable to Lender;

 

(h)           Preferred
Equity Subordination Agreement. A fully executed copy of the Preferred Equity Subordination Agreement;

 

(i)            Security
Documents. The Security Documents executed by Borrowers, the other Obligated Parties and the Pledgors;

 

(j)            Financing
Statements. UCC financing statements reflecting each of the Obligated Parties, as debtors, and Lender, as secured party, which are
required to grant a Lien which secures the Obligations and covering such Collateral as Lender may request;

 

(k)          
Insurance Matters. Copies of insurance certificates describing all insurance policies required by Section
7.05 together with loss payable and lender endorsements in favor of Lender with respect to all insurance policies covering Collateral;

 

(l)            UCC
Search. The results of a Uniform Commercial Code search showing all financing statements and other documents or instruments on file
against each Borrower, and each other Obligated Party in the appropriate filing offices, such search to be as of a date no more than
fifteen (15) days (or such longer period acceptable to Lender) prior to the date of the initial Advance;

 

(m)           Attorneys’
Fees and Expenses. Evidence that the costs and expenses (including reasonable attorneys’ fees) referred to in Section
11.01, to the extent incurred, shall have been paid in full by Borrowers;

 

(n)            
KYC Information.

 

(i)                
Upon the reasonable request of Lender made at least five (5) days prior to the date hereof, Borrowers shall have provided to Lender,
and Lender shall be reasonably satisfied with, the documentation and other information so requested in connection with applicable “know
your customer” and anti-money-laundering rules and regulations, including, without limitation, the Patriot Act; and

 

(ii)              
At least five (5) days prior to the date hereof, if any Borrower qualifies as a “legal entity customer” under the
Beneficial Ownership Regulation, such Borrower shall deliver, to Lender, a Beneficial Ownership Certification in relation to such Borrower;

 

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(o)           Existing
Debt of Obligated Parties. All of the existing Debt of each Obligated Party (other than Debt permitted to exist pursuant to
Section 8.01) will be repaid in full and all security interests related thereto shall be terminated on or prior to the
date hereof;

 

(p)          
Opinions of Counsel. Customary opinions of legal counsel to Borrowers, each Obligated Party and each Pledgor as
to such other matters as Lender may reasonably request;

 

(q)           
Closing Fees. Evidence that the Commitment Fee and any other fees due at closing have been paid;

 

(r)             Quality
of Earnings. Receipt, review and approval of a quality of earnings report on Borrowers, evidencing a minimum EBITDA of not less than
$6,000,000 for the trailing twelve-month period ending June 30, 2020, in form and substance acceptable to Lender; and

 

(s)            
Orange 142 Acquisition. Copies of all fully executed material documents evidencing the Orange 142 Acquisition and
evidence that the Orange 142 Acquisition has been consummated in accordance with the terms thereof and the requirements of any Governmental
Authority.

 

(t)                
Huddled Masses Notes. An executed copy of the Huddled Masses Notes executed by the parties thereto. 

 

5.02             All
Extensions of Credit. The obligation of Lender to make any Advance or issue any Letter of Credit (including the initial Advance and
the initial Letter of Credit) is subject to the following additional conditions precedent:

 

(a)           Request
for Advance or Letter of Credit. Lender shall have received in accordance with this Agreement, as the case may be, an Advance Request
Form or Letter of Credit Request Form pursuant to Lender’s requirements dated the date of such Advance or Letter of Credit and
executed by a Responsible Officer of Borrowers;

 

(b)           No
Default. No Event of Default shall have occurred and be continuing, or would result from or after giving effect to such Advance or
Letter of Credit as evidenced by a Compliance Certificate;

 

(c)           No
Material Adverse Event. No Material Adverse Event has occurred, and no circumstance exists that could be a Material Adverse Event;

 

(d)           Representations
and Warranties. All of the representations and warranties contained in Article VI hereof and in the other Loan Documents
shall be true and correct in all material respects on and as of the date of such Advance with the same force and effect as if such representations
and warranties had been made on and as of such date, except that for purposes of this Section 5.02(d), the representations
and warranties contained in Section 6.02 shall be deemed to refer to (i) Borrowers and the Subsidiaries and (ii) the most
recent financial statements furnished pursuant to clauses (a) and (b) of Section 7.01 and any
representations and warranties made as of an earlier date shall be true and correct in all material respects as of such earlier date;
and

 

(e)           Additional
Documentation. Lender shall have received such additional approvals, or documents as Lender or its legal counsel may reasonably request
consistent with the transaction contemplated in this Agreement.

 

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ARTICLE VI. 

REPRESENTATIONS AND WARRANTIES

 

To induce Lender
to enter into this Agreement, and except as set forth on the Schedules, Borrowers represents and warrants to Lender that:

 

6.01        Corporate
Existence. Each Borrower and each Subsidiary (a) is duly incorporated or organized, as the case may be, validly existing, and in
good standing under the laws of the jurisdiction of its incorporation or organization; (b) has all requisite power and authority to own
its assets and carry on its business as now being or as proposed to be conducted; and (c) is qualified to do business in all jurisdictions
in which the nature of its business makes such qualification necessary and where failure to so qualify could result in a Material Adverse
Event. Each Borrower and each of the other Obligated Parties has the power and authority to execute, deliver, and perform its obligations
under this Agreement and the other Loan Documents to which it is or may become a party.

 

6.02        Financial
Statements, Etc. Borrowers have delivered to Lender audited financial statements of Borrowers as at and for the fiscal year ended
December 31, 2019 and unaudited financial statements of Borrowers as of July 31, 2020. Such financial statements are true and correct,
have been prepared in accordance with GAAP, and fairly and accurately present, on a consolidated basisConsolidated
Basis, the financial condition of Borrowers as of the respective dates indicated therein and the results of operations for
the respective periods indicated therein. No Borrower nor any Subsidiary nor any other Obligated Party has any material contingent liabilities,
liabilities for taxes, unusual forward or long-term commitments, or unrealized or anticipated losses from any unfavorable commitments
except as referred to or reflected in such financial statements. No Material Adverse Event has occurred since the effective date of the
financial statements referred to in this Section 6.02. All projections delivered by Borrowers to Lender have been prepared
in good faith, with care and diligence and use assumptions that are reasonable under the circumstances at the time such projections were
prepared and delivered to Lender and all such assumptions are disclosed in the projections (it being understood for purposes that such
projections are subject to significant uncertainties and contingencies, many of which are beyond the control of the Borrowers, that no
assurance is given that any particular projections will be realized, and that actual results may differ from the projected results).
No Borrower nor any Subsidiary has any material Guarantees, contingent liabilities, liabilities for taxes, or any long-term leases or
unusual forward or long-term commitments, or any Hedge Agreement or other transaction or obligation in respect of derivatives, that are
not reflected in the most-recent financial statements referred to in this Section 6.02. Other than the Debt listed on Schedule
8.01, Debt reflected on the financial statements delivered pursuant to Sections 5.01(j), 7.01(a)
and 7.01(b), and Debt otherwise permitted by Section 8.01, each Borrower and each Subsidiary has no Debt.

 

6.03       
Action; No Breach. The execution, delivery, and performance by each Borrower and each other Obligated Party of this Agreement
and the other Loan Documents to which such Person is or may become a party and compliance with the terms and provisions hereof and thereof
have been duly authorized by all requisite action on the part of such Person and do not and will not (a) violate or conflict with, or
result in a breach of, or require any consent under (i) the Constituent Documents of such Person, (ii)  
any applicable law, rule, or regulation or any order, writ, injunction, or decree of any Governmental Authority or arbitrator,
or (iii) any agreement or instrument to which such Person is a party or by which it or any of its Properties is bound or subject, or
(b) constitute a default under any such agreement or instrument, or result in the creation or imposition of any Lien upon any of the
revenues or assets of such Person.

 

6.04       
Operation of Business. Borrowers and each of the Subsidiaries possess all licenses, permits, franchises, patents, copyrights,
trademarks, and tradenames, or rights thereto, necessary to conduct their respective businesses substantially as now conducted and as
presently proposed to be conducted, and Borrowers and each of the Subsidiaries are not in violation of any valid rights of others with
respect to any of the foregoing.

 

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6.05       
Litigation and Judgments. There is no action, suit, investigation, or proceeding before or by any Governmental Authority or arbitrator
pending, or to the knowledge of Borrowers, threatened against or affecting any Borrower or any of the Subsidiaries, that would, if adversely
determined, would constitute a Material Adverse Event on the business, condition (financial or otherwise), operations, or properties
of any Borrower or any of the Subsidiaries or the ability of any Borrower to pay and perform the Obligations. There are no outstanding
judgments against any Borrower or any Subsidiary.

 

6.06       
Rights in Properties; Liens. Borrowers and each of the Subsidiaries have good and indefeasible title to or valid leasehold interests
in their respective Properties, including the Properties reflected in the financial statements described in Section 6.02,
and none of the Properties of Borrowers or any Subsidiary is subject to any Lien, except Permitted Liens.

 

6.07       
Enforceability. This Agreement constitutes, and the other Loan Documents to which Borrowers or any other Obligated Party is a
party, when delivered, shall constitute legal, valid, and binding obligations of such Person, enforceable against such Person in accordance
with their respective terms, except as limited by bankruptcy, insolvency, or other laws of general application relating to the enforcement
of creditors’ rights.

 

6.08       
Approvals. No authorization, approval, or consent of, and no filing or registration with, any Governmental Authority or third
party is or will be necessary for the execution, delivery, or performance by Borrowers of this Agreement and the other Loan Documents
to which each Borrower is or may become a party or the validity or enforceability thereof.

 

6.09        
Taxes. Each Borrower and each Subsidiary have filed all tax returns (federal, state, and local) required to be filed, including
all income, franchise, employment, Property, and sales tax returns, and have paid all of their respective liabilities for taxes, assessments,
governmental charges, and other levies that are due and payable, except where the failure to file such tax returns or to pay such taxes
would not reasonably be expected to result in a Material Adverse Event. No Borrower knows of any pending investigation of any Borrower
or any of the Subsidiaries by any taxing authority or of any pending but unassessed tax liability of Borrowers or any of the Subsidiaries.

 

6.10      
Use of Proceeds; Margin Securities. No Borrower nor any Subsidiary is engaged principally, or as one of its important activities,
in the business of extending credit for the purpose of purchasing or carrying margin stock (within the meaning of Regulations G, T, U,
or X of the Board of Governors of the Federal Reserve System), and no part of the proceeds of any Advance will be used to purchase or
carry any margin stock or to extend credit to others for the purpose of purchasing or carrying margin stock.

 

6.11       
ERISA. Each Plan that is intended to qualify under Section 401(a) of the Code has received a favorable determination
letter from the IRS or an application for such a letter is currently being processed by the IRS with respect thereto and, to the knowledge
of Borrowers, nothing has occurred which would prevent, or cause the loss of, such qualification. No application for a funding waiver
or an extension of any amortization period pursuant to Section 412 of the Code has been made with respect to any Plan. There are
no pending or, to the knowledge of Borrowers, threatened claims, actions or lawsuits, or action by any Governmental Authority, with respect
to any Plan. There has been no Prohibited Transaction or violation of the fiduciary responsibility rules with respect to any Plan. No
ERISA Event has occurred or is reasonably expected to occur. No Plan has any Unfunded Pension Liability. No Obligated Party or ERISA
Affiliate has incurred, or reasonably expects to incur, any liability under Title IV of ERISA with respect to any Plan (other than premiums
due and not delinquent under Section 4007 of ERISA). No Obligated Party or ERISA Affiliate has incurred, or reasonably expects
to incur, any liability (and no event has occurred which, with the giving of notice under Section 4219 of ERISA, would result
in such liability) under Section 4201 or 4243 of ERISA with respect to a Multiemployer Plan. No Obligated Party or ERISA
Affiliate has engaged in a transaction that could be subject to Section 4069 or 4212(c) of ERISA.

 

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6.12       
Disclosure. No written statement, information, report, representation, or warranty made by any Borrower or any other Obligated
Party in this Agreement or in any other Loan Document or furnished to Lender in connection with this Agreement or any of the transactions
contemplated hereby contains any untrue statement of a material fact or omits to state any material fact necessary to make the statements
herein or therein not misleading. There is no fact known to any Borrower which is a Material Adverse Event, or which might in the future
be a Material Adverse Event that has not been disclosed in writing to Lender.

 

6.13       
Subsidiaries, Ventures, Etc. Borrowers have no Subsidiaries, or joint ventures or partnerships other than those listed
on Schedule 6.13 and Schedule 6.13 sets forth the jurisdiction of incorporation or organization of each such
Person and the percentage of Borrowers’ ownership interest in such Person. All of the outstanding capital stock or other ownership
interest of each Person described in Schedule 6.13 has been validly issued, is fully paid, and is non-assessable (except
with respect to limited liability company interests). There are no outstanding subscriptions, options, warrants, calls, rights
or other agreements or commitments (other than stock or similar options granted to employees or directors and directors’ qualifying
shares) of any nature relating to any Equity Interests of Borrowers or any Subsidiary, except as created by the Loan Documents. Each
Subsidiary of Borrowers is a Subsidiary Guarantor (other than Orange 142 Advertising Canada, Inc.).

 

6.14       
Agreements. No Borrower nor any Subsidiary is a party to any indenture, loan, or credit agreement, or to any lease or other
agreement or instrument, or subject to any charter or corporate or other organizational restriction which could create or cause a Material
Adverse Event on the business, condition (financial or otherwise), operations, or properties of Borrowers or any Subsidiary, or the ability
of Borrowers to pay and perform its obligations under the Loan Documents to which it is a party. No Borrower nor any Subsidiary is in
default in any material respect in the performance, observance, or fulfillment of any of the obligations, covenants, or conditions contained
in any agreement or instrument material to its business to which it is a party.

 

6.15       
Compliance with Laws. No Borrower nor any Subsidiary is in violation in any material respect of any law, rule, regulation,
order, or decree of any Governmental Authority or arbitrator.

 

6.16       
Regulated Entities. No Borrower nor any Subsidiary is (a) an “investment company” or a company “controlled”
by an “investment company” within the meaning of the Investment Company Act of 1940, as amended, or (b) subject to
regulation under the Federal Power Act, the Interstate Commerce Act, any state public utilities code, or any other federal or state statute,
rule or regulation limiting its ability to incur Debt, pledge its assets or perform its obligations under the Loan Documents.

 

		6.17	Environmental Matters.

 

(a)           Each
Borrower, each Subsidiary, and all of their respective properties, assets, and operations are in compliance in all material respects
with all Environmental Laws. No Borrower is aware of, nor has Borrower received notice of, any past, present, or future conditions, events,
activities, practices, or incidents which may interfere with or prevent the compliance or continued compliance of Borrowers and the Subsidiaries
with all Environmental Laws;

 

    33

     

    

 

 

(b)               
Each Borrower and each Subsidiary have obtained all permits, licenses, and authorizations that are required under applicable Environmental
Laws, and all such permits are in good standing and each Borrower and the Subsidiaries are in compliance with all of the terms and conditions
of such permits except to the extent that it would not cause a Material Adverse Event;

  

(c)               
No Hazardous Materials exist on, about, or within or have been used, generated, stored, transported, disposed of on, or Released
from any of the properties or assets of any Borrower or any Subsidiary except in accordance with Environmental Laws. The use which Borrowers
and the Subsidiaries make and intend to make of their respective properties and assets will not result in the use, generation, storage,
transportation, accumulation, disposal, or Release of any Hazardous Material on, in, or from any of their properties or assets except
in accordance with Environmental Laws;

 

(d)               
No Borrower nor any Subsidiary nor any of their respective currently or previously owned or, to any Borrower’s knowledge,
leased properties or operations is subject to any outstanding or threatened order from or agreement with any Governmental Authority or
other Person or subject to any judicial or docketed administrative proceeding with respect to (i) failure to comply with Environmental
Laws, (ii) Remedial Action, or (iii) any Environmental Liabilities arising from a Release or threatened Release;

 

(e)               
There are no conditions or circumstances associated with the currently or previously owned or, to any Borrower’s knowledge,
leased properties or operations of any Borrower or any Subsidiary that could reasonably be expected to give rise to any Environmental
Liabilities;

 

(f)                
No Borrower nor any of the Subsidiaries is a treatment, storage, or disposal facility requiring a permit under the Resource Conservation
and Recovery Act, 42 U.S.C. §6901 et seq., regulations thereunder or any comparable provision of state law. Borrowers and
the Subsidiaries are in compliance in all material respects with all applicable financial responsibility requirements of all Environmental
Laws;

 

(g)               
No Borrower nor any Subsidiary has filed or failed to file any notice required under applicable Environmental Law reporting a
Release except to the extent that it would not cause a Material Adverse Event; and

 

(h)               
No Lien arising under any Environmental Law has attached to any property or revenues of any Borrower or the Subsidiaries except
to the extent that it would not cause a Material Adverse Event.

 

6.18        Intellectual
Property. All material copyrights, trademarks and patents owned or used by Borrowers and the Subsidiaries is listed, together with
application or registration numbers, where applicable, in Schedule 6.18. Each Person identified on Schedule 6.18
owns, or is licensed to use, all intellectual property necessary to conduct its business as currently conducted except for such
Intellectual Property the failure of which to own or license could be a Material Adverse Event. Each Person identified on Schedule
6.18 will maintain the patenting and registration of all copyrights, trademarks and patents with the United States Patent and
Trademark Office, the United States Copyright Office, or other appropriate Governmental Authority, and each Person identified on Schedule
6.18 will promptly patent or register, as the case may be, all new copyrights, trademarks and patents and notify Lender in writing
five (5) Business Days prior to filing any such new patent or registration.

 

    34  

     

    

 

6.19        Foreign
Assets Control Regulations and Anti-Money Laundering. Each Obligated Party and each Subsidiary of each Obligated Party is and will
remain in compliance in all material respects with all United States economic sanctions laws, Executive Orders and implementing regulations
as promulgated by the United States Treasury Department’s Office of Foreign Assets Control (“OFAC”),
and all applicable anti-money laundering and counter-terrorism financing provisions of the Bank Secrecy Act and all regulations issued
pursuant to it. No Obligated Party and no Subsidiary, and to Borrowers’ knowledge, no Affiliate, or any director, officer, employee,
agent, affiliate or representative of any Obligated Party, is an individual or entity that is, or is owned or controlled by any individual
or entity that is (a) currently the subject or target of any Sanctions, (b) a Person designated by the United States government on the
list of the Specially Designated Nationals and Blocked Persons (the “SDN List”) with which a United States
Person cannot deal with or otherwise engage in business transactions, or included on HMT’s Consolidated List of Financial Sanctions
Targets and the Investment Ban List or any similar list enforced by any other relevant sanctions authority, (c) a Person who is otherwise
the target of United States economic sanction laws such that a United States Person cannot deal or otherwise engage in business transactions
with such Person, or (d) located, organized or resident in a Designated Jurisdiction.

 

6.20        Patriot
Act. The Obligated Parties, each of their Subsidiaries, and, to Borrowers’ knowledge, each of their Affiliates are in compliance
with (a) the Trading with the Enemy Act, and each of the foreign assets control regulations of the United States Treasury Department
(31 CFR, Subtitle B Chapter V, as amended), and all other enabling legislation or executive order relating thereto, (b) the Patriot Act,
and (c) all other federal or state laws relating to “know your customer” and anti-money laundering rules and regulations.
No part of the proceeds of any Revolving Loan will be used directly or indirectly for any payments to any government official or employee,
political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order
to obtain, retain or direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt Practices Act
of 1977.

 

6.21        Solvency.
Direct Digital and its Subsidiaries, on a consolidated basisConsolidated
Basis, are solvent and have not entered into any transaction with the intent to hinder, delay or defraud a creditor.

 

6.22        Anti-Corruption
Laws. Each Obligated Party and each Subsidiary of each Obligated Party has conducted their businesses in compliance with the United
States Foreign Corrupt Practices Act of 1977, the UK Bribery Act 2010, and other similar anti-corruption legislation in other jurisdictions,
and has instituted and maintained policies and procedures designed to promote and achieve compliance with such laws.

 

6.23        Beneficial
Ownership Regulation. The information included in the Beneficial Ownership Certification is true and correct in all respects.

 

    35  

     

    

 

ARTICLE VII. 

AFFIRMATIVE COVENANTS

 

Each Borrower covenants
and agrees that, as long as the Obligations or any part thereof are outstanding, or Lender has any Commitment hereunder, such Borrower
will perform and observe the following positive covenants, unless Lender shall otherwise consent in writing:

 

		7.01	Reporting Requirements. Borrowers
                                            will furnish to Lender:

 

(a)               
Annual Financial Statements. As soon as available, and in any event (i)
prior to a Qualified IPO,within one hundred twenty (120) days after the fiscal year of Borrowers, and
(ii) following a Qualified IPO, within ninety (90) days after the fiscal year of Borrowers, a copy of the annual audit report
of Borrowers and the Subsidiaries for such fiscal year containing, on a consolidatedConsolidated
and consolidating basisConsolidating
Basis, balance sheets and statements of income, retained earnings, and cash flow as at the end of such fiscal year and for
the twelve-month period then ended, in each case setting forth in comparative form the figures for the preceding fiscal year, all in
reasonable detail and audited and certified by independent certified public accountants of recognized standing acceptable to Lender,
to the effect that such report has been prepared in accordance with GAAP and containing no material qualifications or limitations on
scope;

 

(b)               
Monthly Financial Statements;
Quarterly Financial Statements. As soon as available, and in any event (i)
prior to a Qualified IPO, within thirty (30) days after the end of each calendar month, and
(ii) following a Qualified IPO, within forty-five (45) days after the fiscal quarters of Borrowers, a copy of an unaudited
financial report of Borrowers and the Subsidiaries as of the end of such monthperiod
and for the portion of the fiscal year then ended, containing, on a consolidatedConsolidated
and consolidatingConsolidating
basis, balance sheets and statements of income, retained earnings, and cash flow, all in reasonable detail certified by a
Responsible Officer of Borrowers to have been prepared in accordance with GAAP and to fairly and accurately present (subject to year-end
audit adjustments) the financial condition and results of operations of Borrowers and the Subsidiaries, on a consolidated and consolidating
basis, at the date and for the periods indicated therein;

 

(c)               
Borrowing Base Report. As soon as available, and in any event within thirty (30) days after the end of each calendar month,
a Borrowing Base Report, in substantially the form of Exhibit A attached hereto, certified by a Responsible Officer of
Borrowers;

 

(d)               
Compliance Certificate. As soon as available, and in any event within thirty (30) days after the end of each fiscal quarter
of Borrowers thereafter, and together with the delivery of the financial statements required pursuant to Section 7.01(a)
above, a Compliance Certificate executed by a Responsible Officer of Borrowers;

 

(e)               
Management Letters. Promptly upon receipt thereof, a copy of any management letter or written report submitted to Borrowers
or any Subsidiary by independent certified public accountants with respect to the business, condition (financial or otherwise), operations,
or properties of Borrowers or any Subsidiary; provided,
that the foregoing shall not apply with respect to any such letters or reports relating solely to procedural or filing requirements with
respect to a Qualified IPO; 

 

(f)                
Notice of Litigation. Promptly after the commencement thereof, notice of all actions, suits, and proceedings before any
Governmental Authority or arbitrator affecting any Borrower or any Subsidiary which, if determined adversely to such Borrower or such
Subsidiary, could cause or create a Material Adverse Event on the business, condition (financial or otherwise), operations, or properties
of such Borrower or such Subsidiary;

 

    36  

     

    

 

(g)               
 Notice of Material Adverse Event. As soon as possible and in any event within five (5) Business Days after the occurrence
thereof, written notice of any event or circumstance that could reasonably be expected to result in a Material Adverse Event;

 

(h)               
ERISA Reports. Promptly after the filing or receipt thereof, copies of all reports, including annual reports, and notices
which any Borrower or any Subsidiary files with or receives from the PBGC or the U.S. Department of Labor under ERISA; and as soon as
possible and in any event within ten (10) days after any Borrower or any Subsidiary knows or has reason to know that any Reportable Event
or Prohibited Transaction has occurred with respect to any Plan or that the PBGC or any Borrower or any Subsidiary has instituted or
will institute proceedings under Title IV of ERISA to terminate any Plan, a certificate of a Responsible Officer of such Borrower setting
forth the details as to such Reportable Event or Prohibited Transaction or Plan termination and the action that such Borrower proposes
to take with respect thereto;

 

(i)                
Annual Projections. As soon as available, but in any event not more than forty-five (45) days after the end of each fiscal
year of Borrowers, forecasts prepared by management of Borrowers and
approved by the members of Borrowers, in form and substance reasonably satisfactory to Lender,
of financial projections of Borrowers and the Subsidiaries on a monthly basis for the current fiscal
year; provided,
that following a Qualified IPO, to the extent the foregoing constitutes material non-public information, no Borrower shall be required
to deliver any such financial projections until such time as Lender delivers to the Borrowers a non-disclosure agreement that is in form
and substance satisfactory to the Borrowers in their reasonable discretion containing, among other things, standstill provisions preventing
transactions in the stock of DDH Holdings and Borrowers; 

 

(j)                
KYC. Promptly following any request therefor, Borrowers shall provide information and documentation reasonably requested
by Lender for purposes of compliance with applicable “know your customer” requirements under the Patriot Act, the Beneficial
Ownership Regulation or other applicable anti-money laundering laws, including but not limited to a Beneficial Ownership Certification
form acceptable to Lender; and

 

(k)               
General Information. Promptly, such other information concerning Borrowers, or any Subsidiary or Obligated Party as Lender
may from time to time reasonably request.

 

7.02          Maintenance
of Existence; Conduct of Business. Borrowers will preserve and maintain, and will cause each Subsidiary to preserve and maintain,
its existence and all of its leases, privileges, licenses, permits, franchises, qualifications, and rights the failure of which to maintain
would result in a Material Adverse Event. Borrowers will conduct, and will cause each Subsidiary to conduct, its business in an orderly
and efficient manner in accordance with good business practices. Without limitation, Borrowers will not make (and will not permit any
of the Subsidiaries to make) any material change in its credit collection policies if such change would materially impair the collectability
of any account, nor will it rescind, cancel or modify any account except in the ordinary course of business.

 

7.03        Maintenance
of Properties. Borrowers will maintain, keep, and preserve, and cause each Subsidiary to maintain, keep, and preserve, all of its
Properties (tangible and intangible) necessary or useful in the proper conduct of its business in good working order and condition.

 

7.04       Taxes
and Claims. Borrowers will pay or discharge, and will cause each Subsidiary to pay or discharge, at or before maturity or before
becoming delinquent (a) all taxes, levies, assessments, and governmental charges imposed on it or its income or profits or any of its
property, and (b) all lawful claims for labor, material, and supplies, which, if unpaid, might become a Lien upon any of its property;
provided, however, that no Borrower nor any Subsidiary shall be required to pay or discharge (i) any tax, levy, assessment, or governmental
charge or (ii) such Lien for labor, material or supplies, which is (y) being contested in good faith by appropriate proceedings diligently
pursued, and for which adequate reserves have been established or (z) where such failure to pay or discharge would not reasonably be
expected to result in a Material Adverse Event.

 

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7.05          Insurance.

 

(a)               
Borrowers shall, and shall cause each of the Subsidiaries to, maintain insurance with financially sound and reputable insurance
companies in such amounts and covering such risks as is usually carried by corporations engaged in similar businesses and owning similar
Properties in the same general areas in which Borrowers and the Subsidiaries operate, provided that in any event Borrowers will
maintain and cause each of the Subsidiaries to maintain workmen’s compensation insurance, property insurance, comprehensive general
liability insurance, reasonably satisfactory to Lender. Each insurance policy covering Collateral shall name Lender as loss payee and
each insurance policy covering liabilities shall name Lender as additional insured, and each such insurance policy shall provide that
such policy will not be cancelled or reduced without thirty (30) days prior written notice to Lender.

 

(b)               
During the continuance of an Event of Default, all proceeds of insurance shall be paid over to Lender for application to the Obligations.
So long as no Event of Default is continuing, subject to Section 7.05(c), all proceeds of insurance in excess of $50,000
shall be paid over to Lender for application to the Obligations.

 

(c)               
Borrowers may apply the net proceeds of a casualty or condemnation (each a “Loss”) to the repair, restoration,
or replacement of the assets suffering such Loss, so long as (i) such repair, restoration, or replacement is completed within two hundred
seventy (270) days after the date of such Loss (or such longer period of time agreed to in writing by Lender), (ii) while such repair,
restoration, or replacement is underway, all of such net proceeds are on deposit with Lender in a separate deposit account over which
Lender has exclusive control, and (iii) such Loss did not cause an Event of Default. If an Event of Default occurs pursuant to which
Lender exercises its rights to accelerate the Obligations as provided in Section 10.02 or such repair, restoration, or
replacement is not completed within two hundred seventy (270) days of the date of such Loss (or such longer period of time agreed to
in writing by Lender), then Lender may immediately and without notice to any Person apply all of such net proceeds to the Obligations,
regardless of any other prior agreement regarding the disposition of such net proceeds.

 

7.06        Inspection
Rights. Upon reasonable prior notice to Borrowers from Lender, and at any reasonable time and from time to time, Borrowers shall,
and shall cause each of the Subsidiaries to, (a) permit representatives of Lender to examine, inspect, review, evaluate and make physical
verifications and appraisals of the inventory and other Collateral in any manner and through any medium that Lender considers advisable,
(b) to examine, copy, and make extracts from its books and records, (c) to visit and inspect its Properties, and (d) to discuss its business,
operations, and financial condition with its officers, employees, and independent certified public accountants, in each instance, at
Borrowers’ expense; provided, that so long as no Default or Event of Default has occurred and is continuing such inspection rights
shall be limited to no more than twice per calendar year.

 

7.07        Keeping
Books and Records. Borrowers will maintain, and will cause each Subsidiary to maintain, proper books of record and account in which
full, true, and correct entries in conformity with GAAP shall be made of all dealings and transactions in relation to its business and
activities.

 

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7.08        Compliance
with Laws. Borrowers will comply, and will cause each Subsidiary to comply, in all material respects with all applicable laws, rules,
regulations, orders, and decrees of any Governmental Authority or arbitrator.

 

7.09          Compliance
with Agreements. Borrowers will comply, and will cause each Subsidiary to comply, in all material respects with all agreements, contracts,
and instruments binding on it or affecting its properties or business.

 

7.10        Further
Assurances. Borrowers will, and will cause each Subsidiary to, execute and deliver such further agreements and instruments and take
such further action (including promptly completing any registration or stamping of documents as may be applicable) as may be requested
by Lender to carry out the provisions and purposes of this Agreement and the other Loan Documents and to create, preserve, and perfect
the Liens of Lender in the Collateral.

 

7.11        ERISA.
Borrowers will comply, and will cause each Subsidiary to comply, with all minimum funding requirements, and all other material requirements,
of ERISA, if applicable, so as not to give rise to any liability thereunder.

 

7.12        Depository
Relationship. To induce Lender to establish the interest rates provided for in the Notes, Borrowers shall, and shall cause each of
the Subsidiaries to, within ninety (90) days after the date of this Agreement, use Lender as its principal depository bank and Borrowers
shall, and shall cause each of the Subsidiaries to, maintain Lender as its principal depository bank, including for the maintenance of
business, cash management, operating and administrative deposit accounts.

 

7.13        Subsidiaries.
Concurrently upon the formation or acquisition of any Subsidiary after the date hereof (an “After-Acquired Subsidiary”),
Borrowers shall cause the After-Acquired Subsidiary to deliver all of its Constituent Documents to Lender and (a) if such Subsidiary
is a Domestic Subsidiary, execute a Guaranty in favor of Lender and such Loan Documents as shall be required by Lender to create first
priority Liens in the Priority Collateral and second priority Liens in the Term Loan Priority Collateral (in each case, subject to Liens
permitted under Section 8.02) in favor of Lender in such After-Acquired Subsidiary’s assets and such other documents
as Lender deems reasonably necessary in connection with such actions and execute any other amendment to this Agreement as deemed necessary
by Lender and (b) execute and deliver or cause to be delivered to Lender all Security Documents, stock certificates,
stock powers and other agreements and instruments as may be requested by Lender to ensure that Lender has a perfected Lien on all Priority
Collateral held by Borrowers or any other Obligated Party with respect to such Subsidiary.

 

7.14        Keepwell.
Borrowers hereby absolutely, unconditionally and irrevocably undertake to provide such funds or other support to each Specified Obligated
Party with respect to such Hedge Obligations as may be needed by such Specified Obligated Party from time to time to honor all of its
obligations under its Guaranty and the other Loan Documents in respect of such Hedge Obligations and to cause such Specified Obligated
Party to be an Eligible Contract Participant (as defined in the Commodity Exchange Act) with respect to all Hedge Obligations (but, in
each case, only up to the maximum amount of such liability that can be hereby incurred without rendering Borrowers’ obligations
and undertakings under this Section 7.14 voidable under applicable law relating to fraudulent conveyance or fraudulent
transfer, and not for any greater amount). The obligations and undertakings of Borrowers under this Section 7.14 shall
remain in full force and effect until the Obligations have been indefeasibly paid and performed in full. Borrowers intend this Section
7.14 to constitute, and this Section 7.14 shall be deemed to constitute, a Guarantee of the obligations of, and
a “keepwell, support, or other agreement” (as defined in the Commodity Exchange Act) for the benefit of, each Specified
Obligated Party for all purposes of the Commodity Exchange Act.

 

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7.15        Deposit
Account Control Agreements. No Borrower shall maintain any deposit accounts, except with respect to which the Lender has notice,
setting forth the information included for Accounts on Schedule 3.10 to the Security Agreement. Each deposit account maintained by any
Borrower shall be subject to an account control agreement satisfactory in form and substance satisfactory to the Lender, provided that
no account control agreement shall be required during the first 30 days after the date hereof with respect to deposit accounts identified
on Schedule 3.10 to the Security Agreement with Silicon Valley Bank, Investar Bank or JPMorgan Chase (the “Transition Deposit
Accounts”). Within 30 days after the date hereof, the applicable Borrower maintaining any Transition Deposit Account shall
either (i) transfer all funds in such Transition Deposit Account to another deposit account then subject to an account control agreement
satisfactory in form and substance to the Lender and close such Transition Deposit Account or (ii) enter into an account control agreement
satisfactory in form and substance to the Lender with respect to such Transition Deposit Account.

 

7.16
Management Fee Subordination Agreement Within fifteen (15) days of the date hereof, Direct Digital, Keith Smith and Mark Walker
will enter into subordination agreements in form and substance reasonably acceptable
to the Lender with respect to the management fees payable under and pursuant to the Board
Services and Consulting Agreements each dated as of September 30, 2020, by and between Direct Digital, on the one hand, and Keith Smith
and Mark Walker on the other hand.

 

ARTICLE VIII. 

NEGATIVE COVENANTS

 

Each Borrower covenants
and agrees that, as long as the Obligations or any part thereof are outstanding, or Lender has any Commitment hereunder, Borrower will
perform and observe the following negative covenants, unless Lender shall otherwise consent in writing:

 

8.01       Debt.
No Borrower will incur, create, assume, or permit to exist, and will not permit any Subsidiary to incur, create, assume, or permit to
exist, any Debt (other than Permitted Indebtedness), unless

 

		(a)	There is not then an Event of Default or
                                            Default that has occurred and is continuing;

 

		(b)	Such Debt constitutes Subordinated Debt
                                            and matures after the Maturity Date; and

 

(c)               
After giving effect to such additional Debt, such Borrower’s Debt is less than 2.5 times its EBITDA over the preceding 12
month period as reported in its most recent quarterly or annual financial statements.

 

8.02          Limitation
on Liens. No Borrower will incur, create, assume, or permit to exist, and will not permit any Subsidiary to incur, create, assume,
or permit to exist, any Lien upon any of its property, assets, or revenues, whether now owned or hereafter acquired, other than Permitted
Liens.

 

8.03       Mergers,
Etc. No Borrower will, nor will it permit any Subsidiary to, become a party to a merger or consolidation, or any Acquisition, or
wind-up, dissolve, or liquidate, including, in each case, pursuant to a Delaware LLC Division, other than (i)the
Orange 142 Acquisition,
(ii) or a Qualified IPO, (iii)
in order to effect the Reorganization Transactions, or (iv) in order to effect the Redemption/Exchange Transactions.

 

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8.04         Restricted
Payments. No Borrower shall, and nor shall it allow any Subsidiary to, (a) repurchase or redeem any class of stock or other Equity
Interest other than (i) pursuant to employee, director or consultant repurchase plans or other similar agreements; provided, however,
in each case (other than any such repurchase or redemption in the ordinary course of business in connection with an employee incentive
plan or other transaction
permitted by Section 8.07) the repurchase or redemption price does not exceed the original consideration paid
for such stock or Equity Interest, (ii) the conversion of any of its convertible securities into other securities of such Borrower pursuant
to the terms of such convertible securities or,
(iii) the payment of cash in lieu of fractional shares upon the conversion of any such convertible securities, not to exceed
$500,000 in the aggregate,
or (iv) pursuant to the Reorganization Transactions, a Qualified IPO or the Redemption/Exchange Transactions; (b) declare
or pay any cash dividend or make a cash distribution on any class of stock or other Equity Interest, except (i)  
that a Subsidiary may pay dividends or make distributions to any Borrower and such Borrower may make Permitted Tax Distributions
to its direct and indirect equity holders and,
(ii) as expressly permitted under the terms of the Preferred Equity Subordination Agreement and Section 8.18
hereof,
(iii) subsequent to a Qualified IPO and to the extent made with cash proceeds of a Qualified IPO, cash payments to any holders of Direct
Digital’s preferred Equity Interests, and (iv) with respect to the payment of Public Company Costs to the extent reasonably
acceptable to Lender;
(c) lend money to any employees, officers or directors or guarantee the payment of any such loans granted by a third party in excess
of $250,000 in the aggregate at any one time outstanding; (d) waive, release or forgive any Indebtedness owed by any employees, officers
or directors in excess of $250,000 in the aggregate, or (e) make any payments on Subordinated Debt (collectively, “Restricted
Payments”) unless:

 

(a)               There
shall not than be an Event of Default or Default that has occurred and is continuing, and

 

(b)               Both
before and after giving effect to such Restricted Payment, (i) each of the Financial Covenants in Article IX shall be satisfied and (ii)
the Borrowers’ Total Debt shall be less than 2.5 times their EBITDA over the preceding 12 month period reported in its most recent
quarterly or annual financial statements.

 

8.05          Loans
and Investments. No Borrower will make, and will not permit any Subsidiary to make, any advance, loan, extension of credit, or capital
contribution to or investment in, or purchase, or permit any Subsidiary to purchase, any stock, bonds, notes, debentures, or other securities
of, any Person, other than (i)
Permitted Investments,
(ii) pursuant to the Reorganization Transactions and a Qualified IPO, or (iii) Investments required to finance the buyout of the SSP
licensing agreement by a Borrower in an amount not to exceed $750,000 in the aggregate; provided that no Event of Default has occurred
and is continuing or would occur after giving effect to such Investments.

 

8.06        Limitation
on Issuance of Equity. Except as permitted by Sections 8.07,
8.08 and 8.18,
or pursuant to the Reorganization Transactions, the Redemption/Exchange Transactions or a Qualified IPO, no Borrower will,
nor will it permit any Subsidiary to, at any time issue, sell, assign, or otherwise dispose of (a) any of its Equity Interests, (b) any
securities exchangeable for or convertible into or carrying any rights to acquire any of its Equity Interests, or (c) any option, warrant,
or other right to acquire any of its Equity Interests.

 

8.07        Transactions
with Affiliates. No Borrower will enter into, nor will it permit any Subsidiary to enter into, any transaction, including, without
limitation, the purchase, sale, or exchange of property or the rendering of any service, with any Affiliate of such Borrower or such
Subsidiary, except (a)
in the ordinary course of and pursuant to the reasonable requirements of such Borrower’s or such Subsidiary’s
business and upon fair and reasonable terms no less favorable to such Borrower or such Subsidiary than would be obtained in a comparable
arm’s-length transaction with a Person not an Affiliate of Borrowers or such Subsidiary,
(b) the payment of management fees as permitted pursuant to Section 8.19, (c) compensation and employee benefit, incentive
and severance arrangements paid to, and indemnities provided for the benefit of, directors, officers or employees any Borrower or their
respective Subsidiaries in the ordinary course of business, (d) any issuances of securities or other payments, awards or grants in cash,
securities or otherwise pursuant to, or the funding of, employment agreements, stock options and stock ownership plans approved by the
governing body of Direct Digital or DDH Holdings, as applicable, (e) transactions pursuant to the Tax Receivable Agreement, and (f) transactions
pursuant to the Redemption/Exchange Transactions.

 

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8.08        Disposition
of Assets. No Borrower will sell, lease, assign, transfer, or otherwise dispose of any of its assets, or permit any Subsidiary to
do so with any of its assets, except (a) dispositions of inventory in the ordinary course of business or,
(b) dispositions, for fair value, of worn-out and obsolete equipment not necessary or useful to the conduct of business,
or (c) pursuant to the Reorganization Transactions, the Redemption/Exchange Transactions or a Qualified IPO.

 

8.09          Sale
and Leaseback. No Borrower will enter into, nor will it permit any Subsidiary to enter into, any arrangement with any Person pursuant
to which it leases from such Person real or personal property that has been or is to be sold or transferred, directly or indirectly,
by it to such Person.

 

8.10        Nature
of Business. No Borrower will, nor will it permit any Subsidiary to, engage in any business other than the businesses in which they
are engaged as of the date hereof and businesses reasonably related thereto and logical extensions thereof.

 

8.11        Environmental
Protection. No Borrower will, nor will it permit any Subsidiary to, (a) use (or permit any tenant to use) any of their respective
properties or assets for the handling, processing, storage, transportation, or disposal of any Hazardous Material, (b) generate any Hazardous
Material, (c) conduct any activity that is likely to cause a Release or threatened Release of any Hazardous Material, or (d) 
otherwise conduct any activity or use any of their respective properties or assets in any manner that is likely to violate any
Environmental Law or create any Environmental Liabilities for which Borrowers or any Subsidiary would be responsible.

 

8.12        Accounting.
No Borrower will, nor will it permit any Subsidiary to, change its fiscal year or make any change (a) in accounting treatment or reporting
practices, except as required by GAAP and disclosed to Lender, or (b) in tax reporting treatment, except as required by law and disclosed
to Lender.

 

8.13        No
Negative Pledge. No Borrower will, nor will it permit any Subsidiary to, enter into or permit to exist any arrangement or agreement,
other than pursuant to this Agreement, any Loan Document, or the Term Loan Documents, which directly or indirectly prohibits any Borrower
or any Subsidiary from creating or incurring a Lien on any of its assets.

 

8.14        Subsidiaries.
No Borrower will, directly or indirectly, form or acquire any Subsidiary unless such Subsidiary complies with the requirements of Section
7.13.

 

8.15        Hedge
Agreements. No Borrower will, nor shall it permit any Subsidiary to, enter into any Hedge Agreement, except (a) Hedge Agreements
entered into to hedge or mitigate risks to which Borrowers or any Subsidiary have actual exposure (other than those in respect of Equity
Interests or any Term Loan Debt) which have terms and conditions reasonably acceptable to Lender, and (b) other Hedge Agreements entered
into in order to effectively cap, collar or exchange interest rates (from fixed to floating rates, from one floating rate to another
floating rate or otherwise) with respect to any Debt of Borrowers or any Subsidiary which have terms and conditions reasonably acceptable
to Lender.

 

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8.16        OFAC.
No Borrower will, nor shall it permit any Subsidiary to, fail to comply with the laws, regulations and executive orders referred to in
Sections 6.19 and 6.20. No Borrower shall, directly or indirectly, use the proceeds of any Loan, or lend,
contribute or otherwise make available such proceeds to any Subsidiary, joint venture partner or other individual or entity, to fund
any activities of or business with any individual or entity, or in any Designated Jurisdiction, that, at the time of such funding, is
the subject of Sanctions, or in any other manner that will result in a violation by any individual or entity of Sanctions.

 

8.17        Payments
under Term Loan Agreement. No Borrower will, nor will it permit any Subsidiary to, directly or indirectly, make any optional or voluntary
payment, prepayment, repurchase or redemption of any Term Loan Debt not otherwise permitted under the terms of the Intercreditor Agreement.

 

8.18        Payments
on Preferred Equity. No Borrower will, nor will it permit any Subsidiary to, directly or indirectly, make any optional or voluntary
payment, prepayment, repurchase or redemption on any Preferred Equity not otherwise permitted under the terms of the Preferred Equity
Subordination Agreement,
other than in connection with the Reorganization Transactions and a Qualified IPO.

 

8.19       
Payment of Management Fees. Prior to a Qualified IPO, no Borrower will, nor will it permit any Subsidiary to, directly or indirectly,
make any payment of management fees, provided that, so long as no Default exists or would result therefrom and the Borrower and
its Subsidiaries are in compliance with the covenants set forth in Article IX before and after giving pro forma effect
thereto, a Borrower may pay the fees described in the Board Services and Consulting Agreements each dated as of September 30, 2020, by
and between Direct Digital, on the one hand, and Keith Smith and Mark Walker on the other hand to the extent permitted under the terms
of the Management Fee Subordination Agreement.

 

ARTICLE IX. 

FINANCIAL COVENANTS

 

Each Borrower covenants
and agrees that, as long as the Obligations or any part thereof are outstanding, or Lender has any Commitment hereunder, such Borrower
will, at all times, observe and perform the following financial covenants, unless Lender shall otherwise consent in writing.

 

9.01        Fixed
Charge Coverage Ratio. Borrowers will maintain a Fixed Charge Coverage Ratio of not less than 1.25 to 1.0, beginning with the fiscal
quarter of Borrowers ending September 30, 2020.
Beginning with the fiscal quarter of Borrowers ending December 31, 2021 and thereafter, Borrowers will maintain a Fixed Charge Coverage
Ratio of not less than 1.50 to 1.00. This ratio shall be calculated at the end of each fiscal quarter of Borrowers using the
results of the twelve-month period ending with such fiscal quarter end.

 

9.02
       Total Leverage Ratio. Borrowers will maintain a
Total Leverage Ratio not to exceed the ratio set forth in the following table:    

 

	December 31, 2020	3.00:1.00
	March
    31, 2021	3.00:1.00
	June
    30, 2021	2.75:1:00
	September
    30, 2021	2.75:1:00
	December
    31, 2021	2.50:1:00
	and
    thereafter	3.75:1:00
	March
    31, 2022	2.50:1:00
	June
    30, 2022	2.25:1:00
	September
    30, 2022	2.25:1:00
	and
    thereafter	 

 

    43  

     

    

 

This ratio shall be calculated at the
end of each fiscal quarter of Borrowers using the results of the twelve-month period ending with such fiscal quarter end.

 

9.04        Liquid
Assets. Borrowers and the Subsidiaries, on a consolidated basisConsolidated
Basis, shall maintain minimum Liquid Assets at all times, in one or more accounts held with Lender plus Revolving Credit
Availability in the amounts set forth in the following table:amount
of $1,250,000.

 

	September
    30, 2020 – June 29, 2021	$1,000,000
	June
    30, 2021 – December 30, 2021	$1,100,000
	December
    31, 2021 – June 29, 2022	$1,250,000
	June
    30, 2022 and thereafter	$1,350,000

 

ARTICLE X. 

DEFAULT

 

10.01         Events
of Default. Each of the following shall be deemed an “Event of Default”:

 

(a)               
Borrowers shall fail to pay the Obligations, or any part thereof shall not be paid when due or declared due and, other than with
respect to payments of principal, such failure shall continue unremedied for three (3) days after such payment became due.

 

(b)               
Borrowers shall breach any provision of Section 7.01, Article VIII or Article IX of
this Agreement.

 

(c)               
Any representation or warranty made or deemed made by any Borrower, any other Obligated Party or any Pledgor (or any of their
respective officers) in any Loan Document or in any certificate, report, notice, or financial statement furnished at any time in connection
with this Agreement shall be false, misleading, or erroneous in any material respect (without duplication of any materiality qualifier
contained therein) when made or deemed to have been made.

 

(d)               
Any Borrower or any Obligated Party shall fail to perform, observe, or comply with any covenant, agreement, or term contained
in this Agreement or any other Loan Document (other than as covered by Section 10.01(a) and (b) above), and
such failure continues for more than thirty (30) days following the date such failure first began.

 

(e)               
Any Borrower, any Subsidiary, any Obligated Party or any Pledgor shall commence a voluntary proceeding seeking liquidation, reorganization,
or other relief with respect to itself or its debts under any bankruptcy, insolvency, or other similar law now or hereafter in effect
or seeking the appointment of a trustee, receiver, liquidator, custodian, or other similar official of it or a substantial part of its
property or shall consent to any such relief or to the appointment of or taking possession by any such official in an involuntary case
or other proceeding commenced against it or shall make a general assignment for the benefit of creditors or shall generally fail to pay
its debts as they become due or shall take any corporate action to authorize any of the foregoing.

 

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(f)                
Any Borrower, any Subsidiary, or any Obligated Party shall fail to pay when due any principal of or interest on any Debt in excess
of $250,000 (other than the Obligations), or the maturity of any such Debt shall have been accelerated, or any such Debt shall have been
required to be prepaid prior to the stated maturity thereof, or any event shall have occurred that permits (or, with the giving of notice
or lapse of time or both, would permit) any holder or holders of such Debt or any Person acting on behalf of such holder or holders to
accelerate the maturity thereof or require any such prepayment.

 

(g)               
This Agreement or any other Loan Document shall cease to be in full force and effect or shall be declared null and void or the
validity or enforceability thereof shall be contested or challenged by Borrowers, any Subsidiary, any Obligated Party, any Pledgor or
any of their respective shareholders, or Borrowers, any Obligated Party or any Pledgor shall deny that it has any further liability or
obligation under any of the Loan Documents, or any lien or security interest created by the Loan Documents shall for any reason cease
to be a valid, first priority perfected security interest in and lien upon any Priority Collateral or a valid, a second priority perfected
security interest in and lien upon the Term Loan Priority Collateral or any other Collateral purported to be covered thereby; provided
that, Borrowers shall have fifteen (15) days to have this Agreement or any other Loan Document reinstated, or to have any such security
interest perfected.

 

(h)               
Any of the following events shall occur or exist with respect to Borrowers: (i) any Prohibited Transaction involving any Plan;
(ii) any Reportable Event with respect to any Plan; (iii) the filing under Section 4041 of ERISA of a notice of intent to terminate
any Plan or the termination of any Plan; (iv) any event or circumstance that might constitute grounds entitling the PBGC to institute
proceedings under Section 4042 of ERISA for the termination of, or for the appointment of a trustee to administer, any Plan, or
the institution by the PBGC of any such proceedings; or (v) complete or partial withdrawal under Section 4201 or 4204 of
ERISA from a Multiemployer Plan or the reorganization, insolvency, or termination of any Multiemployer Plan; and in each case above,
such event or condition, together with all other events or conditions, if any, have subjected or could in the reasonable opinion of Lender
subject Borrowers to any tax, penalty, or other liability to a Plan, a Multiemployer Plan, the PBGC, or otherwise (or any combination
thereof) which in the aggregate could reasonably be expected to result in a Material Adverse Event.

 

(i)                
If a Guarantor or any other Obligated Party is a corporation, partnership or other entity, such Person shall be the subject of
a bankruptcy or receivership proceeding or shall have dissolved, liquidated or otherwise ceased doing business.

 

(j)                
Any Borrower, any of the Subsidiaries, or any Obligated Party, or any of their material properties, revenues, or assets, shall
become subject to an order of forfeiture, seizure, or divestiture (whether under RICO or otherwise) and the same shall not have been
discharged within sixty (60) days from the date of entry thereof.

 

(k)               
A Change in Control shall occur.

 

    45 

     

    

 

(l)                
 An involuntary proceeding shall be commenced against any Borrower, any Subsidiary, any Obligated Party or any Pledgor seeking
liquidation, reorganization, or other relief with respect to it or its debts under any bankruptcy, insolvency, or other similar law now
or hereafter in effect or seeking the appointment of a trustee, receiver, liquidator, custodian, or other similar official for it or
a substantial part of its property, and such involuntary proceeding shall remain undismissed and unstayed for a period of sixty (60)
days.

 

(m)             
Any Borrower, any Subsidiary or any Obligated Party shall fail to discharge within a period of thirty (30) days after the commencement
thereof any attachment, sequestration, or similar proceeding or proceedings involving an aggregate amount in excess of Two Hundred Fifty
Thousand Dollars ($250,000) against any of its assets or properties.

 

(n)               
A final judgment or judgments for the payment of money in excess of Two Hundred Fifty Thousand Dollars ($250,000) in the aggregate
shall be rendered by a court or courts against any Borrower, any of the Subsidiaries, or any Obligated Party and the same shall not be
discharged (or provision shall not be made for such discharge), or a stay of execution thereof shall not be procured, within thirty (30)
days from the date of entry thereof and such Borrower or the relevant Subsidiary or Obligated Party shall not, within said period of
thirty (30) days, or such longer period during which execution of the same shall have been stayed, appeal therefrom and cause the execution
thereof to be stayed during such appeal.

 

(o)               
An Event of Default (as defined in the Term Loan Agreement) under the Term Loan Documents shall occur and be continuing.

 

10.02        
Remedies Upon Default. If any Event of Default shall occur and be continuing, Lender may without notice terminate the Commitment
and declare the Obligations or any part thereof to be immediately due and payable, and the same shall thereupon become immediately due
and payable, without notice, demand, presentment, notice of dishonor, notice of acceleration, notice of intent to accelerate, notice
of intent to demand, protest, or other formalities of any kind, all of which are, to the maximum extent permitted by law, hereby expressly
waived by Borrowers; provided, however, that upon the occurrence of an Event of Default under Section 10.01(e) or Section
10.01(l), and so long as continuing, the Commitment shall automatically terminate, and the Obligations shall become immediately
due and payable without notice, demand, presentment, notice of dishonor, notice of acceleration, notice of intent to accelerate, notice
of intent to demand, protest, or other formalities of any kind, all of which are, to the maximum extent permitted by law, hereby expressly
waived by Borrowers. If any Event of Default shall occur and be continuing, Lender may exercise all rights and remedies available to
it in law or in equity, under the Loan Documents, or otherwise.

 

10.03      Performance
by Lender. If Borrowers shall fail to perform any covenant or agreement contained in any of the Loan Documents, Lender may perform
or attempt to perform such covenant or agreement on behalf of Borrowers. In such event, Borrowers shall, at the request of Lender, promptly
pay any amount reasonably expended by Lender in connection with such performance or attempted performance to Lender, together with interest
thereon at the Default Interest Rate from and including the date of such expenditure to but excluding the date such expenditure is paid
in full. Notwithstanding the foregoing, it is expressly agreed that Lender shall not have any liability or responsibility for the performance
of any obligation of Borrowers under this Agreement or any other Loan Document.

 

10.04      Equity
Cure. Notwithstanding the foregoing, and subject to the last sentence of this Section 10.04, the Borrowers may cure (and shall be
deemed to have cured) (any such cure, an “Equity Cure”) an Event of Default arising out of a breach of any
of the financial covenants set forth in Sections 9.01, 9.02 or 9.03 (the “Specified Financial Covenants”) if
(i) the Borrowers receive, within 10 Business Days after the date on which the Specified Financial Covenants are first required to be
tested pursuant to the terms hereof, cash proceeds in an amount which, if treated as income for the preceding fiscal quarter, would result
in compliance with such Specified Financial Covenants, and (ii) Lender receives written notice from the Borrowers that such payment has
been made and that it is to be deemed an Equity Cure hereunder. Upon any Equity Cure of a Specified Financial Covenant, any Event of
Default that occurred and is continuing from a breach of such Specified Financial Covenant shall be deemed cured with no further action
required by Lender. An Equity Cure may not be used to cure an Event of Default more than twice in any calendar year (or be in an aggregate
amount of such cash proceeds in any calendar year of more than $2,000,000), or more than four times during the term of this Agreement
(including any extension thereof), or be in an amount greater than necessary to cure the Specified Financial Covenants.

 

    46 

     

    

 

ARTICLE XI. 

MISCELLANEOUS

 

11.01        
Expenses. Each Borrower hereby agrees, jointly and severally, to pay on demand: (a) all reasonable and documented costs
and out-of-pocket expenses of Lender in connection with the preparation, negotiation, execution, and delivery of this Agreement and the
other Loan Documents and any and all amendments, modifications, renewals, extensions, and supplements thereof and thereto, including,
without limitation, the reasonable fees and expenses of outside legal counsel, advisors, consultants, and auditors for Lender; (b) all
costs and expenses of Lender in connection with any Default and the enforcement of this Agreement or any other Loan Document, including,
without limitation, the reasonable and documented fees and out-of-pocket expenses of legal counsel, advisors, consultants, and auditors
for Lender; (c) all transfer, stamp, documentary, or other similar taxes, assessments, or charges levied by any Governmental Authority
in respect of this Agreement or any of the other Loan Documents; (d)  all reasonable and documented
costs, expenses, assessments, and other charges incurred in connection with any filing, registration, recording, or perfection of any
Lien contemplated by this Agreement or any other Loan Document; and (e) all other reasonable and documented costs and expenses incurred
by Lender in connection with (i) this Agreement or any other Loan Document, (ii) the servicing and administration of the Obligations,
(iii) any litigation, dispute, suit, proceeding or action arising from or related to the Obligations or any Loan Document, or (iv) the
enforcement of its rights and remedies, and the protection of its interests in bankruptcy, insolvency or other legal proceedings, including,
without limitation, all costs, expenses, and other charges incurred in connection with evaluating, observing, collecting, examining,
auditing, appraising, selling, liquidating, or otherwise disposing of the Collateral or other assets of Borrowers. Each Borrower authorizes
Lender, at its sole option, to (i) cause a Revolving Credit Advance on or after the date of this Agreement, (ii) debit any other Borrower
account with Lender, or (iii) make demand upon Borrowers, for payment of all reasonable attorneys’ fees and out-of-pocket expenses
incurred by Lender in connection with the negotiation and documentation of this Agreement and the other Loan Documents by counsel retained
by Lender, which attorney’s fees and expenses become due through the date of this Agreement and/or after the date of this Agreement.

 

11.02       
INDEMNIFICATION. EACH BORROWER SHALL INDEMNIFY LENDER AND EACH AFFILIATE THEREOF AND THEIR RESPECTIVE OFFICERS, DIRECTORS,
EMPLOYEES, ATTORNEYS, AND AGENTS (COLLECTIVELY, THE “INDEMNIFIED PARTIES” AND INDIVIDUALLY AN “INDEMNIFIED
PARTY”) FROM, AND HOLD EACH OF THEM HARMLESS AGAINST, ANY AND ALL LOSSES, LIABILITIES, CLAIMS, DAMAGES, PENALTIES, JUDGMENTS,
DISBURSEMENTS, COSTS, AND EXPENSES (INCLUDING ATTORNEYS’ FEES) TO WHICH ANY OF THEM MAY BECOME SUBJECT WHICH DIRECTLY OR INDIRECTLY
ARISE FROM OR RELATE TO (a) ANY OF THE LOAN DOCUMENTS INCLUDING THE NEGOTIATION, EXECUTION, DELIVERY, PERFORMANCE, ADMINISTRATION, OR
ENFORCEMENT OF ANY OF THE LOAN DOCUMENTS, (b) ANY OF THE TRANSACTIONS CONTEMPLATED BY THE LOAN DOCUMENTS, (c) ANY BREACH BY ANY BORROWER
OF ANY REPRESENTATION, WARRANTY, COVENANT, OR OTHER AGREEMENT CONTAINED IN ANY OF THE LOAN DOCUMENTS, (d) ANY ACTION TAKEN OR NOT TAKEN
BY LENDER (OR ANY TRUSTEE UNDER ANY SECURITY INSTRUMENT) THAT IS ALLOWED OR PERMITTED UNDER ANY OF THE LOAN DOCUMENTS, INCLUDING THE
PROTECTION OR ENFORCEMENT OF ANY LIEN, SECURITY INTEREST, OR OTHER RIGHT, REMEDY, OR RECOURSE CREATED OR AFFORDED BY THE LOAN DOCUMENTS
OR AT LAW OR IN EQUITY, (e) ANY DISPUTE AMONG OR BETWEEN ANY OF THE OBLIGATED PARTIES OR BETWEEN OR AMONG ANY PARTNERS, VENTURERS, EMPLOYEES,
OFFICERS, DIRECTORS, SHAREHOLDERS, MEMBERS, MANAGERS, TRUSTEES, OR OTHER RESPONSIBLE PARTIES OF BORROWERS, (f) THE PRESENCE, RELEASE,
THREATENED RELEASE, DISPOSAL, REMOVAL, OR CLEANUP OF ANY HAZARDOUS MATERIAL LOCATED ON, ABOUT, WITHIN, OR AFFECTING ANY OF THE PROPERTIES
OR ASSETS OF BORROWERS OR ANY OF THE SUBSIDIARIES OR ANY OTHER OBLIGATED PARTY, (g) THE USE OR PROPOSED USE OF ANY LETTER OF CREDIT,
(h) ANY AND ALL TAXES (OTHER THAN EXCLUDED TAXES), LEVIES, DEDUCTIONS, OR CHARGES IMPOSED ON LENDER OR ANY OF LENDER’S CORRESPONDENTS
IN RESPECT OF ANY LETTER OF CREDIT, OR (i) ANY INVESTIGATION, LITIGATION, OR OTHER PROCEEDING, INCLUDING, WITHOUT LIMITATION, ANY THREATENED
INVESTIGATION, LITIGATION, OR OTHER PROCEEDING, RELATING TO ANY OF THE FOREGOING INCLUDING THOSE BROUGHT OR INITIATED BY. WITHOUT LIMITING
ANY PROVISION OF THIS AGREEMENT OR OF ANY OTHER LOAN DOCUMENT, IT IS THE EXPRESS INTENTION OF THE PARTIES HERETO THAT THE INDEMNIFIED
PARTIES BE INDEMNIFIED FROM AND HELD HARMLESS AGAINST ANY AND ALL LOSSES, LIABILITIES, CLAIMS, DAMAGES, PENALTIES, JUDGMENTS, DISBURSEMENTS,
COSTS, AND EXPENSES (INCLUDING REASONABLE ATTORNEYS’ FEES) ARISING OUT OF OR RESULTING FROM THE STRICT LIABILITY, SOLE CONTRIBUTORY
OR ORDINARY NEGLIGENCE OF ANY OF THE INDEMNIFIED PARTIES; PROVIDED, HOWEVER, THAT THE INDEMNITY SET FORTH IN THIS SECTION 11.02
WILL NOT APPLY TO CLAIMS CAUSED BY THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF LENDER OR ANY OF ITS OFFICERS, EMPLOYEES, AGENTS,
ADVISORS, OR REPRESENTATIVES, AS DETERMINED BY A COURT OF COMPETENT JURISDICTION IN FINAL AND NON APPEALABLE JUDGMENT.

 

    47 

     

    

 

LENDER
MAY EMPLOY AN ATTORNEY OR ATTORNEYS OF ITS OWN CHOOSING TO PROTECT OR ENFORCE ITS RIGHTS, REMEDIES, AND RECOURSES, AND TO ADVISE AND
DEFEND THE INDEMNIFIED PARTIES WITH RESPECT TO THOSE ACTIONS AND OTHER MATTERS. EACH BORROWER SHALL REIMBURSE LENDER FOR THE ATTORNEYS’
REASONABLE FEES AND OUT-OF-POCKET EXPENSES (INCLUDING EXPENSES AND COSTS FOR EXPERTS AND/OR CONSULTANTS) OF THE INDEMNIFIED PARTIES IMMEDIATELY
ON RECEIPT OF WRITTEN DEMAND FROM LENDER, WHETHER ON A MONTHLY OR OTHER TIME INTERVAL, AND WHETHER OR NOT AN ACTION IS ACTUALLY COMMENCED
OR CONCLUDED. ALL OTHER REIMBURSEMENT AND INDEMNITY OBLIGATIONS UNDER THIS AGREEMENT SHALL BECOME DUE AND PAYABLE WHEN ACTUALLY INCURRED
BY LENDER OR ANY OF THE OTHER THE INDEMNIFIED PARTIES. ANY PAYMENTS NOT MADE WITHIN TEN (10) DAYS AFTER WRITTEN DEMAND FROM LENDER SHALL
BEAR INTEREST AT THE DEFAULT INTEREST RATE FROM THE DATE OF THAT DEMAND UNTIL FULLY PAID. THE PROVISIONS OF THIS SECTION 11.02
SHALL SURVIVE REPAYMENT AND PERFORMANCE OF THE OBLIGATIONS, THE RELEASE OF ANY LIENS SECURING THE OBLIGATIONS, ANY FORECLOSURE
(OR ACTION IN LIEU OF FORECLOSURE), THE TRANSFER BY ANY BORROWER OF ANY OF ITS RIGHTS, TITLE, AND INTERESTS IN OR TO ANY COLLATERAL SECURING
THE OBLIGATIONS, AND THE EXERCISE BY LENDER OF ANY OR ALL REMEDIES SET FORTH IN ANY LOAN DOCUMENT. NOTWITHSTANDING THE FOREGOING THIS
SECTION 11.02 SHALL NOT APPLY WITH RESPECT TO EXCLUDED TAXES OR TO ANY OTHER TAXES (OTHER THAN ANY TAXES THAT REPRESENT LOSSES, CLAIMS,
DAMAGES, ETC. ARISING FROM ANY NON-TAX CLAIM.

 

11.03       Limitation
of Liability. Neither Lender nor any Affiliate, officer, director, employee, attorney, or agent of Lender shall have any liability
with respect to, and, to the maximum extent permitted by law, each Borrower hereby waives, releases, and agrees not to sue any of them
upon, any claim for any special, indirect, incidental, or consequential damages suffered or incurred by such Borrower in connection with,
arising out of, or in any way related to, this Agreement or any of the other Loan Documents, or any of the transactions contemplated
by this Agreement or any of the other Loan Documents. To the maximum extent permitted by law, each Borrower hereby waives, releases,
and agrees not to sue Lender or any of Lender’s Affiliates, officers, directors, employees, attorneys, or agents for punitive damages
in respect of any claim in connection with, arising out of, or in any way related to, this Agreement or any of the other Loan Documents,
or any of the transactions contemplated by this Agreement or any of the other Loan Documents.

 

11.04      No
Duty. All attorneys, accountants, appraisers, and other professional Persons and consultants retained by Lender shall have the right
to act exclusively in the interest of Lender and shall have no duty of disclosure, duty of loyalty, duty of care, or other duty or obligation
of any type or nature whatsoever to Borrowers or any of Borrowers’ shareholders or any other Person.

 

11.05      Lender
Not Fiduciary. The relationship between Borrowers and Lender is solely that of debtor and creditor, and Lender has no fiduciary or
other special relationship with Borrowers, and no term or condition of any of the Loan Documents shall be construed so as to deem the
relationship between Borrowers and Lender to be other than that of debtor and creditor.

 

11.06      Equitable
Relief. Borrowers recognizes that in the event Borrowers fail to pay, perform, observe, or discharge any or all of the Obligations,
any remedy at law may prove to be inadequate relief to Lender. Borrowers therefore agree that Lender, if Lender so requests, shall be
entitled to temporary and permanent injunctive relief in any such case without the necessity of proving actual damages.

 

11.07      No
Waiver; Cumulative Remedies. No failure on the part of Lender to exercise and no delay in exercising, and no course of dealing with
respect to, any right, power, or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise
of any right, power, or privilege under this Agreement preclude any other or further exercise thereof or the exercise of any other right,
power, or privilege. The rights and remedies provided for in this Agreement and the other Loan Documents are cumulative and not exclusive
of any rights and remedies provided by law.

 

11.08      Successors
and Assigns. This Agreement is binding upon and shall inure to the benefit of Lender and Borrowers and their respective successors
and assigns, except that Borrowers may not assign or transfer any of its rights or obligations under this Agreement without the prior
written consent of Lender.

 

11.09      Survival.
All representations and warranties made in this Agreement or any other Loan Document or in any document, statement, or certificate furnished
in connection with this Agreement shall survive the execution and delivery of this Agreement and the other Loan Documents, and no investigation
by Lender or any closing shall affect the representations and warranties or the right of Lender to rely upon them. Without prejudice
to the survival of any other obligation of Borrowers hereunder, the obligations of Borrowers under Sections 11.01 and 11.02
shall survive repayment of the Notes and termination of the Commitment.

 

    48 

     

    

 

11.10     
 ENTIRE AGREEMENT; AMENDMENT. THIS AGREEMENT, THE NOTES, AND THE OTHER LOAN DOCUMENTS REFERRED TO HEREIN EMBODY THE FINAL,
ENTIRE AGREEMENT AMONG THE PARTIES HERETO AND SUPERSEDE ANY AND ALL PRIOR COMMITMENTS, AGREEMENTS, REPRESENTATIONS, AND UNDERSTANDINGS,
WHETHER WRITTEN OR ORAL, RELATING TO THE SUBJECT MATTER HEREOF AND MAY NOT BE CONTRADICTED OR VARIED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS,
OR SUBSEQUENT ORAL AGREEMENTS OR DISCUSSIONS OF THE PARTIES HERETO. THERE ARE NO ORAL AGREEMENTS AMONG THE PARTIES HERETO. The provisions
of this Agreement and the other Loan Documents to which Borrowers are parties may be amended or waived only by an instrument in writing
signed by the parties hereto.

 

11.11     
Notices. Unless otherwise expressly provided herein, all notices and other communications provided for hereunder shall
be in writing (including by facsimile transmission) and mailed, faxed or delivered, to the address, facsimile number or subject to the
last sentence hereof electronic mail address specified for notices below the signatures hereon or to such other address as shall be designated
by such party in a notice to the other parties. All such other notices and other communications shall be deemed to have been given or
made upon the earliest to occur of (i) actual receipt by the intended recipient or (ii) (A) if delivered by hand or courier, when signed
for by the designated recipient; (B) if delivered by mail, four (4) Business Days after deposit in the mail, postage prepaid; (C) if
delivered by facsimile when sent and receipt has been confirmed by telephone; and (D) if delivered by electronic mail (which form of
delivery is subject to the provisions of the last sentence below) when delivered; provided, however, that notices and other communications
pursuant to Article II shall not be effective until actually received by Lender. Electronic mail and intranet websites
may be used only to distribute only routine communications, such as financial statements and other information, and to distribute Loan
Documents for execution by the parties thereto and may not be used for any other purpose.

 

11.12     
Governing Law; Venue; Service of Process. THIS AGREEMENT AND ANY CONTROVERSY, DISPUTE, CLAIM OR CAUSE OF ACTION ARISING
OUT OF OR RELATING TO THIS AGREEMENT, THE OTHER LOAN DOCUMENTS, ANY BREACH THEREOF, THE TRANSACTIONS CONTEMPLATED THEREBY, OR ANY OTHER
DISPUTE BETWEEN OR AMONG LENDER AND ANY OF THE OBLIGATED PARTIES (WHETHER IN CONTRACT, TORT OR OTHERWISE) SHALL BE GOVERNED BY AND CONSTRUED
IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS; PROVIDED THAT LENDER SHALL RETAIN ALL RIGHTS UNDER FEDERAL LAW. IF, FOR ANY
REASON, A COURT OF COMPETENT JURISDICTION DETERMINES THAT TEXAS LAW SHOULD NOT APPLY TO THE PROVISIONS OF THE LOAN DOCUMENTS PERTAINING
TO THE CREATION, PERFECTION, ENFORCEMENT, OR VALIDITY OF THE LIENS AND SECURITY INTERESTS CREATED PURSUANT TO THE APPLICABLE LOAN DOCUMENTS,
THEN SUCH PROVISIONS (BUT ONLY THOSE PROVISIONS) SHALL BE GOVERNED BY, CONSTRUED, AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE
STATE WHERE THE APPLICABLE COLLATERAL IS LOCATED. THIS AGREEMENT HAS BEEN ENTERED INTO IN DALLAS COUNTY, TEXAS, AND IS PERFORMABLE FOR
ALL PURPOSES IN DALLAS COUNTY, TEXAS. THE PARTIES HEREBY AGREE THAT ANY LAWSUIT, ACTION, OR PROCEEDING THAT IS BROUGHT (WHETHER IN CONTRACT,
TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO ANY OF THE LOAN DOCUMENTS, THE TRANSACTIONS CONTEMPLATED THEREBY, OR THE ACTS, CONDUCT,
OR OMISSIONS OF LENDER OR ANY OF ITS AGENTS, SUCCESSORS OR ASSIGNS OR OF ANY OF THE OBLIGATED PARTIES IN THE NEGOTIATION, ADMINISTRATION
OR ENFORCEMENT OF ANY OF THE LOAN DOCUMENTS SHALL BE BROUGHT IN A STATE OR FEDERAL COURT OF COMPETENT JURISDICTION LOCATED IN DALLAS
COUNTY, TEXAS. EACH BORROWER HEREBY IRREVOCABLY AND UNCONDITIONALLY (A) SUBMITS TO THE EXCLUSIVE JURISDICTION OF SUCH COURTS, (B)
WAIVES ANY OBJECTION IT MAY NOW OR HEREAFTER HAVE AS TO THE VENUE OF ANY SUCH LAWSUIT, ACTION, OR PROCEEDING BROUGHT IN ANY SUCH COURT,
AND (C) FURTHER WAIVES ANY CLAIM THAT IT MAY NOW OR HEREAFTER HAVE THAT ANY SUCH COURT IS AN INCONVENIENT FORUM. EACH OF THE PARTIES
HERETO AGREE THAT SERVICE OF PROCESS UPON IT MAY BE MADE BY CERTIFIED OR REGISTERED MAIL, RETURN RECEIPT REQUESTED AT THE ADDRESS FOR
NOTICES REFERENCED IN SECTION 11.11 HEREOF.

 

    49 

     

    

 

11.13      
Counterparts. This Agreement may be executed in any number of counterparts and by different parties on separate counterparts,
each of which, when executed and delivered, shall be deemed to be an original, and all of which, when taken together, shall constitute
but one and the same agreement. Delivery of an executed signature page of this Agreement and all other documents executed in connection
with the Loan by facsimile or other electronic mail transmission shall be effective as delivery of a manually executed counterpart hereof.

 

11.14      
Severability. Any provision of this Agreement held by a court of competent jurisdiction to be invalid or unenforceable
shall not impair or invalidate the remainder of this Agreement and the effect thereof shall be confined to the provision held to be invalid
or illegal.

 

11.15      
Headings. The headings, captions, and arrangements used in this Agreement are for convenience only and shall not affect
the interpretation of this Agreement.

 

11.16      
Participations, Etc. Lender shall have the right at any time and from time to time to grant participations in, and sell
and transfer, the Obligations and any Loan Documents; provided, that so long as no Default or Event of Default has occurred and is continuing,
the Borrowers shall have the right to consent to any such sale or transfer of the Obligations. Each actual or proposed participant or
assignee, as the case may be, shall be entitled to receive all information received by Lender regarding Borrowers and the Subsidiaries,
including, without limitation, information required to be disclosed to a participant or assignee pursuant to Banking Circular 181 (Rev.,
August 2, 1984), issued by the Comptroller of the Currency (whether the actual or proposed participant or assignee is subject to the
circular or not).

 

11.17      
Construction. Borrowers and Lender acknowledge that each of them has had the benefit of legal counsel of its own choice
and has been afforded an opportunity to review this Agreement and the other Loan Documents with its legal counsel and that this Agreement
and the other Loan Documents shall be construed as if jointly drafted by Borrowers and Lender.

 

11.18      
Independence of Covenants. All covenants hereunder shall be given independent effect so that if a particular action or
condition is not permitted by any of such covenants, the fact that it would be permitted by an exception to, or be otherwise within the
limitations of, another covenant shall not avoid the occurrence of a Default if such action is taken or such condition exists.

 

11.19     
WAIVER OF JURY TRIAL. TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, EACH BORROWER HEREBY IRREVOCABLY AND EXPRESSLY
WAIVES ALL RIGHT TO A TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR COUNTERCLAIM (WHETHER BASED UPON CONTRACT, TORT, OR OTHERWISE) ARISING
OUT OF OR RELATING TO ANY OF THE LOAN DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED THEREBY OR THE ACTIONS OF LENDER IN THE NEGOTIATION,
ADMINISTRATION, OR ENFORCEMENT THEREOF. EACH PARTY HERETO (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PERSON
HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PERSON WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING
WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT AND THE OTHER LOAN DOCUMENTS
BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 11.19.

 

    50 

     

    

 

11.20       Additional
Interest Provision. It is expressly stipulated and agreed to be the intent of Borrowers and Lender at all times to comply strictly
with the applicable Texas law governing the maximum rate or amount of interest payable on the indebtedness evidenced by any Note, any
Loan Document, and the Related Indebtedness (or applicable United States federal law to the extent that it permits Lender to contract
for, charge, take, reserve or receive a greater amount of interest than under Texas law). If the applicable law is ever judicially interpreted
so as to render usurious any amount (i) contracted for, charged, taken, reserved or received pursuant to any Note, any of the other Loan
Documents or any other communication or writing by or between Borrowers and Lender related to the transaction or transactions that are
the subject matter of the Loan Documents, (ii) contracted for, charged, taken, reserved or received by reason of Lender’s exercise
of the option to accelerate the maturity of any Note and/or any and all indebtedness paid or payable by Borrowers to Lender pursuant
to any Loan Document other than any Note (such other indebtedness being referred to in this Section as the “Related
Indebtedness”), or (iii) Borrowers will have paid or Lender will have received by reason of any voluntary prepayment by
Borrowers of any Note and/or the Related Indebtedness, then it is Borrowers’ and Lender’s express intent that all amounts
charged in excess of the Maximum Lawful Rate shall be automatically canceled, ab initio, and all amounts in excess of the Maximum
Lawful Rate theretofore collected by Lender shall be credited on the principal balance of any Note and/or the Related Indebtedness (or,
if any Note and all Related Indebtedness have been or would thereby be paid in full, refunded to Borrowers), and the provisions of any
Note and the other Loan Documents shall immediately be deemed reformed and the amounts thereafter collectible hereunder and thereunder
reduced, without the necessity of the execution of any new document, so as to comply with the applicable law, but so as to permit the
recovery of the fullest amount otherwise called for hereunder and thereunder; provided, however, if any Note has been paid in full before
the end of the stated term of any such Note, then Borrowers and Lender agree that Lender shall, with reasonable promptness after Lender
discovers or is advised by Borrowers that interest was received in an amount in excess of the Maximum Lawful Rate, either refund such
excess interest to Borrowers and/or credit such excess interest against such Note and/or any Related Indebtedness then owing by Borrowers
to Lender. Borrowers hereby agree that as a condition precedent to any claim seeking usury penalties against Lender, Borrowers will provide
written notice to Lender, advising Lender in reasonable detail of the nature and amount of the violation, and Lender shall have sixty
(60) days after receipt of such notice in which to correct such usury violation, if any, by either refunding such excess interest to
Borrowers or crediting such excess interest against the Note to which the alleged violation relates and/or the Related Indebtedness then
owing by Borrowers to Lender. All sums contracted for, charged, taken, reserved or received by Lender for the use, forbearance or detention
of any debt evidenced by any Note and/or the Related Indebtedness shall, to the extent permitted by applicable law, be amortized or spread,
using the actuarial method, throughout the stated term of such Note and/or the Related Indebtedness (including any and all renewal and
extension periods) until payment in full so that the rate or amount of interest on account of any Note and/or the Related Indebtedness
does not exceed the Maximum Lawful Rate from time to time in effect and applicable to such Note and/or the Related Indebtedness for so
long as debt is outstanding. In no event shall the provisions of Chapter 346 of the Texas Finance Code (which regulates certain revolving
credit loan accounts and revolving triparty accounts) apply to this Note and/or any of the Related Indebtedness. Notwithstanding anything
to the contrary contained herein or in any of the other Loan Documents, it is not the intention of Lender to accelerate the maturity
of any interest that has not accrued at the time of such acceleration or to collect unearned interest at the time of such acceleration.

 

    51 

     

    

 

 

11.21       
 Ceiling Election. To the extent that Lender is relying on Chapter 303 of the Texas Finance Code to determine the Maximum
Lawful Rate payable on any such Note and/or any other portion of the Obligations, Lender will utilize the weekly ceiling from time to
time in effect as provided in such Chapter 303, as amended. To the extent United States federal law permits Lender to contract for, charge,
take, receive or reserve a greater amount of interest than under Texas law, Lender will rely on United States federal law instead of
such Chapter 303 for the purpose of determining the Maximum Lawful Rate. Additionally, to the extent permitted by applicable law now
or hereafter in effect, Lender may, at its option and from time to time, utilize any other method of establishing the Maximum Lawful
Rate under such Chapter 303 or under other applicable law by giving notice, if required, to Borrowers as provided by applicable law now
or hereafter in effect.

 

11.22       
USA Patriot Act Notice. Lender hereby notifies Borrowers that pursuant to the requirements of the Patriot Act, it is required
to obtain, verify and record information that identifies Borrowers, which information includes the names and addresses of Borrowers and
other information that will allow Lender to identify Borrowers in accordance with the Patriot Act. Borrowers shall, promptly following
a request by Lender, provide all documentation and other information that Lender requests in order to comply with its ongoing obligations
under applicable “know your customer” and anti-money laundering rules and regulations, including the Patriot Act. Lender
will require the legal entity to provide identifying information about each beneficial owner and/or individuals who have significant
responsibility to control, manage or direct the legal entity.

 

11.23
Confidentiality. LENDER ACKNOWLEDGES THAT INFORMATION RECEIVED FROM ANY BORROWER RELATING TO SUCH BORROWER OR ANY SUBSIDIARY OR
THEIR BUSINESSES OR THE COLLATERAL FURNISHED TO SUCH PERSON PURSUANT TO THIS AGREEMENT MAY INCLUDE MATERIAL NON-PUBLIC INFORMATION CONCERNING
SUCH BORROWER, ITS SUBSIDIARIES AND ITS OTHER AFFILIATES AND THEIR RESPECTIVE SECURITIES, AND CONFIRMS THAT IT HAS DEVELOPED COMPLIANCE
PROCEDURES REGARDING THE USE OF MATERIAL NON-PUBLIC INFORMATION AND THAT IT WILL HANDLE SUCH MATERIAL NON-PUBLIC INFORMATION IN ACCORDANCE
WITH THOSE PROCEDURES AND APPLICABLE LAW, INCLUDING FEDERAL AND STATE SECURITIES LAWS. ALL INFORMATION, INCLUDING REQUESTS FOR WAIVERS
AND AMENDMENTS, FURNISHED BY ANY BORROWER PURSUANT TO, OR IN THE COURSE OF ADMINISTERING, THIS AGREEMENT MAY CONTAIN MATERIAL NON-PUBLIC
INFORMATION CONCERNING THE BORROWERS, THEIR SUBSIDIARIES AND THEIR OTHER AFFILIATES AND THEIR RESPECTIVE SECURITIES. ACCORDINGLY, LENDER
REPRESENTS TO THE BORROWER THAT SUCH PERSON HAS IDENTIFIED A CREDIT CONTACT WHO MAY RECEIVE INFORMATION THAT MAY CONTAIN SUCH MATERIAL
NON-PUBLIC INFORMATION IN ACCORDANCE WITH ITS COMPLIANCE PROCEDURES AND APPLICABLE LAW, INCLUDING FEDERAL AND STATE SECURITIES LAWS.

 

11.24
11.01 Intercreditor Legend.11.02
Anything herein to the contrary notwithstanding, the Liens and security interests securing the obligations evidenced by this agreement,
the exercise of any right or remedy with respect hereto and certain of the rights of the holder hereof are subject to the provisions
of the Intercreditor Agreement, dated as of the date hereofDecember
3, 2021 (as amended, restated, supplemented, substituted, replaced or otherwise modified from time to time, the "Intercreditor
Agreement"), by and between Silverpeak Credit PartnersLafayette
Square Loan Servicing, LPLLC
(in its capacity as agent for the SilverpeakLS
Facility Lenders and together with its successors and assigns, the "SilverpeakLS
Facility Agent"), for and on behalf of the SilverpeakLS
Facility Creditors and each other SilverpeakLS
Facility Claimholder (each as defined in the Intercreditor Agreement) from time to time, and East West Bank, acting on behalf
of each A/R Facility Claimholder (each as defined in the Intercreditor Agreement). In the event of any conflict between the terms of
the Intercreditor Agreement and this agreement, the terms of the Intercreditor Agreement shall govern and control."

 

[Remainder
of Page Intentionally Left Blank;

Signature
Page Follows.]

 

    52

     

    

  

IN WITNESS WHEREOF, the parties hereto have duly executed
this Agreement as of the day and year first above written.

 

	 	BORROWERS:
	 	 
	 	DIRECT DIGITAL HOLDINGS, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 
	 	COLOSSUS MEDIA, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 
	 	HUDDLED MASSES LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 
	 	ORANGE142, LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

Signature Page to

Credit Agreement

 

     

     

    

 

 

	 	UNIVERSAL STANDARDS FOR DIGITAL MARKETING,
    LLC
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 
	 	Address for Notices:
	 	 
	 	c/o Direct Digital Holdings, LLC 

    1233 West Loop South
	 	Suite 1170
	 	Houston, Texas 77027   
	 	Email:	 
	 	Phone:	 

 

Signature Page to

Credit Agreement

 

     

     

    

 

	 	LENDER:
	 	 
	 	EAST WEST BANK, 

    a California state bank
	 	 
	 	 
	 	By:	 
	 	 	Hamilton LaRoe
	 	 	First Vice President
	 	 
	 	Address for Notices:
	 	 
	 	5001 Spring Valley Road; Suite 825W
	 	Dallas, Texas 75244
	 	Attention: Hamilton LaRoe
	 	Email: Hamilton.LaRoe@EastWestBank.com

 

Signature Page to

Credit AgreementExhibit 10.14

Execution Version

 

REDEMPTION AGREEMENT

 

THIS
REDEMPTION AGREEMENT (“Agreement”) is made and entered into as of November 14, 2021 (the “Effective
Date”) by and between Direct Digital Holdings, LLC, a Delaware limited liability company (the “Company”),
and USDM Holdings, Inc., a Texas corporation (“Seller”). The Company and Seller are referred to herein each as
a “Party” and collectively as the “Parties.” Capitalized terms used but not defined herein shall
have the meanings assigned to such terms in the Amended and Restated Limited Liability Company Agreement of the Company, dated as of September 30,
2020 (as amended, the “LLC Agreement”).

 

WITNESSETH:

 

WHEREAS,
as of the Effective Date, Seller owns 3,500 Class A Units (the “Class A Redemption Units”), 7,046 Class B
Preferred Units (the “Class B Redemption Units”), and 5,637 Common Units (the “Common Redemption Units”
and collectively with the Class A Redemption Units and the Class B Redemption Units, the “Redemption Units”);
and

 

WHEREAS,
the Company is (a) restructuring its senior indebtedness (the “Refinancing”), and (b) in the process of undergoing
a proposed initial public offering (the “IPO”) using a holding company, Direct Digital Holdings, Inc., a Delaware
corporation; and

 

WHEREAS,
the Parties desire that (a) at the Initial Closing (as defined below), the Company shall redeem all of the Class A Redemption
Units in consideration of the Class A Redemption Price (as defined below), and (b) at the Second Closing (as defined below),
the Company shall redeem all of the Class B Redemption Units in consideration of the Class B Redemption Price (as defined below)
and shall redeem all of the Common Redemption Units in consideration of the Common Units Redemption Price (as defined below); and

 

WHEREAS,
after giving effect to all such redemptions as described in the immediately preceding recital, including the payment of all of the consideration
therefor as described in this Agreement, Seller shall immediately cease to hold any Redemption Units or other interests in the Company;

 

NOW
THEREFORE, in consideration of the mutual covenants and agreements herein contained, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto agree as follows:

 

Section 1. Redemption
by the Company.

 

(a)           Class A
Redemption. Effective as of the Initial Closing, Seller shall sell to the Company, and the Company shall redeem from Seller, all of
the Class A Redemption Units, in each case free and clear of all liens and encumbrances of any kind. In exchange for the Class A
Redemption Units, the Company shall pay Seller a total purchase price equal to Three Million Five Hundred Thousand Dollars ($3,500,000.00),
plus the Preferred Return Distribution Deficits in respect of the Class A Preferred Units calculated in accordance with Section 4(a)(iii),
in immediately available funds (the “Class A Redemption Price”). Seller agrees that as of the Initial Closing,
Seller shall not have any further rights with respect to the Class A Redemption Units. For the avoidance of doubt, Seller shall have
all rights entitled to it under the LLC Agreement as an owner of Class B Preferred Units, including but not limited to the right
to elect and appoint a Manager of the Company (and Leah Woolford shall continue to serve as such Manager), until the redemption of the
Class B Preferred Units pursuant to this Agreement, or if this Agreement is terminated, the LLC Agreement.

 

    

     

    

 

(b)           Class B
Redemption and Common Units Redemption. Effective as of the Second Closing, Seller shall sell to the Company, and the Company shall
redeem from Seller, all of the Class B Redemption Units and the Common Redemption Units, in each case free and clear of all liens
and encumbrances of any kind. In exchange for the Class B Redemption Units, the Company shall pay Seller a total purchase price equal
to Seven Million Forty-Six Thousand Two Hundred Fifty-One Dollars ($7,046,251.00), plus the Preferred Return Distribution Deficits in
respect of the Class B Preferred Units calculated in accordance with Section 4(b)(iii), in immediately available funds (the
 “Class B Redemption Price”). In exchange for the Common Redemption Units, the Company shall pay Seller a total
purchase price equal to Seven Million Dollars ($7,000,000.00) (the “Common Units Redemption Price” and collectively
with the Class A Redemption Price, and the Class B Redemption Price, the “Redemption Price”). Notwithstanding
the foregoing, if payment of the Class B Redemption Price and the Common Units Redemption Price occurs after December 31, 2021,
the Parties will in good faith recalculate the Common Units Redemption Price using solely the calculation in Section 8.10(b) of
the LLC Agreement, with the “Enterprise Value” factoring in 2020 audited EBITDA, 2021 audited EBITDA and projected 2022 EBITDA
as the Company’s trailing two (2) years of audited EBITDA together with a year of the Company’s projected EBITDA as provided
in the definition of “Enterprise Value”; provided that if 2021 audited financials are not available as of such Second Closing,
the Second Closing will proceed based on estimated information and the Parties will agree to a true-up mechanism for 2021 EBITDA resulting
from the completion of the 2021 audit. As of the Second Closing, Seller shall not have any further rights with respect to the Class B
Redemption Units or the Common Redemption Units.

 

(c)           Prior
to the Second Closing, the LLC Agreement and all rights and responsibilities of the parties thereunder shall remain in full force and
effect. After the Second Closing, all covenants and obligations to which the Parties are subject under the LLC Agreement that are contemplated
to survive the termination of Seller’s ownership of Units shall survive for the periods set forth in the LLC Agreement (collectively,
the “Surviving Covenants and Obligations”).

 

Section 2. Agreement
on Redemption Price. The Parties hereby acknowledge and agree that at the (a) Initial Closing, Seller shall receive the Class A
Redemption Price at the direction of the Company as full payment for the Class A Redemption Units, and (b) Second Closing, Seller
shall receive the Class B Redemption Price and the Common Units Redemption Price at the direction of the Company as full payment
for the Class B Redemption Units and the Common Redemption Units, respectively. Seller hereby acknowledges and agrees that it has
had an opportunity to ask questions of and receive answers from the Company or a person or persons acting on the Company’s behalf,
and all of Seller’s questions have been answered to its full satisfaction. Without limiting the right to recalculate in good faith
the Common Units Redemption Price after December 31, 2021 as set forth in Section 1(b), Seller acknowledges and agrees that
it waives any and all rights to contest the determination of the Redemption Price under the LLC Agreement or otherwise.

 

Section 3. Closings.

 

(a)           Initial
Closing. The closing of the sale and redemption of the Class A Redemption Units under this Agreement (the “Initial Closing”)
shall take place by the electronic or physical exchange of documents and other deliverables and the Class A Redemption Price, on
the date of consummation of the Refinancing. The date upon which the Initial Closing occurs is referred to herein as the “Initial
Closing Date.” The Initial Closing need not be in person. The Company shall cause its new lender involved in the Refinancing
to directly deliver to Seller an amount equal to the Class A Redemption Purchase Price by wire transfer in immediately available
funds from the Refinancing, to an account or accounts designated by Seller to the Company.

 

    -2-

     

    

 

(b)           Second
Closing. The closing of the sale and redemption of the Class B Redemption Units and the Common Redemption Units under this Agreement
(the “Second Closing”) shall take place by the electronic or physical exchange of documents and other deliverables
and the Class B Redemption Price and the Common Units Redemption Price, within (2) business days after the date of consummation
of the IPO. The date upon which the Second Closing occurs is referred to herein as the “Second Closing Date.” The Second
Closing need not be in person. The Company shall cause the Class B Redemption Price and the Common Units Redemption Price to be directly
delivered to Seller via wire transfer in immediately available funds from the IPO, to an account or accounts designated by Seller to the
Company. For the avoidance of doubt, the Class B Redemption Price and the Common Units Redemption Price must be received by Seller
on or before December 31, 2021 to avoid the Parties’ good faith recalculation of the Common Units Redemption Price pursuant
to Section 1(b) of this Agreement.

 

Section 4. Conditions
to the Closings; Closing Deliveries.

 

(a)            Initial
Closing.

 

(i)            The
Company’s obligation to close at the Initial Closing is contingent upon the following: (A) the representations and warranties
of the Seller contained in Section 5 shall be true and correct in all respects as of the Initial Closing Date with the same
effect as though made at and as of the Initial Closing Date; (B) the Seller shall have duly performed and complied in all material
respects with all agreements, covenants, and conditions required by this Agreement to be performed or complied with by it prior to or
on the Initial Closing Date; and (C) the Company shall have received a certificate, dated the Initial Closing Date and signed by
the manager or a duly authorized officer of the Seller, that each of the conditions set forth in Section 4(a)(i)(A) and
Section 4(a)(i)(B) has been satisfied.

 

(ii)           Seller’s
obligation to close at the Initial Closing is contingent upon the following: (A) the representations and warranties of the Company
contained in Section 6 shall be true and correct in all respects as of the Initial Closing Date with the same effect as though
made at and as of the Initial Closing Date; (B) the Company shall have duly performed and complied in all material respects with
all agreements, covenants, and conditions required by this Agreement to be performed or complied with by it prior to or on the Initial
Closing Date; and (iii) Seller shall have received a certificate, dated the Initial Closing Date and signed by the manager or a duly
authorized officer of the Company, that each of the conditions set forth in Section 4(a)(ii)(A) and Section 4(a)(ii)(B) has
been satisfied.

 

(iii)          One
(1) business day prior to the Initial Closing, the Company shall deliver to Seller the calculation of the Class A Redemption
Purchase Price which will include the amount of Preferred Return Distribution Deficits in respect of the Class A Preferred Units.
At the Initial Closing, the Company shall cause its new lender involved in the Refinancing to directly deliver to Seller an amount equal
to the Class A Redemption Purchase Price by wire transfer in immediately available funds from the Refinancing, to an account or accounts
designated by Seller to the Company. For purposes of this Agreement and the Preferred Return Distribution Deficits in respect of the Class A
Preferred Units, the “Preferred Return Distribution Deficits” means the excess of Seller’s Preferred Return (determined
immediately prior to the Initial Closing) over the aggregate amount of the distributions made to Seller by the Company pursuant to Section 3.1(a) of
the LLC Agreement from inception of the Company to the Initial Closing.

 

(iv)          Seller
agrees to execute and deliver such assignment or other instrument of transfer as the Company may reasonably require to effect the transactions
contemplated by this Agreement.

 

    -3-

     

    

 

(b)           Second
Closing.

 

(i)            The
Company’s obligation to close at the Second Closing is contingent upon the following: (A) the representations and warranties
of the Seller contained in Section 5 shall be true and correct in all respects as of the Second Closing Date with the same
effect as though made at and as of the Second Closing Date, modified, mutatis mutandis, to reflect the redemption of the Class A
Redemption Units pursuant to the Initial Closing; (B) the Seller shall have duly performed and complied in all material respects
with all agreements, covenants, and conditions required by this Agreement to be performed or complied with by it prior to or on the Second
Closing Date; and (C) the Company shall have received a certificate, dated the Second Closing Date and signed by the manager or a
duly authorized officer of the Seller, that each of the conditions set forth in Section 4(b)(i)(A) and Section 4(b)(i)(B) has
been satisfied.

 

(ii)           Seller’s
obligation to close at the Second Closing is contingent upon the following: (A) the representations and warranties of the Company
contained in Section 6 shall be true and correct in all respects as of the Second Closing Date with the same effect as though
made at and as of the Second Closing Date, modified, mutatis mutandis, to reflect the redemption of the Class A Redemption
Units pursuant to the Initial Closing; (B) the Company shall have duly performed and complied in all material respects with all agreements,
covenants, and conditions required by this Agreement to be performed or complied with by it prior to or on the Second Closing Date; and
(iii) Seller shall have received a certificate, dated the Second Closing Date and signed by the manager or a duly authorized officer
of the Company, that each of the conditions set forth in Section 4(b)(ii)(A) and Section 4(b)(ii)(B) has
been satisfied.

 

(iii)          One
(1) business day prior to the Second Closing, the Company shall deliver to Seller the calculation of the Class B Redemption
Purchase Price which will include the amount of Preferred Return Distribution Deficits in respect of the Class B Preferred Units.
At the Second Closing, the Company shall cause the Class B Redemption Price and the Common Units Redemption Price to be directly
delivered to Seller via wire transfer in immediately available funds from the IPO, to an account or accounts designated by Seller to the
Company. For purposes of this Agreement and the Preferred Return Distribution Deficits in respect of the Class B Preferred Units,
the “Preferred Return Distribution Deficits” means the excess of Seller’s Preferred Return (determined immediately prior
to the Second Closing) over the aggregate amount of the distributions made to Seller by the Company pursuant to Section 3.1(b) of
the LLC Agreement from inception of the Company to the Second Closing.

 

(iv)          Seller
agrees to execute and deliver such assignment or other instrument of transfer as the Company may reasonably require to effect the transactions
contemplated by this Agreement.

 

Section 5. Seller
Representations and Warranties. Seller hereby represents and warrants to the Company, as of the date of this Agreement and as
of each Closing Date, as follows:

 

(a)           Existence
and Power. Seller is a corporation duly organized, validly existing and in good standing under the Laws of the State of Texas.

 

(b)           Organizational
Authorization. The execution, delivery and performance by Seller of this Agreement and the consummation of the transactions contemplated
hereby are within Seller’s organizational powers as a corporation and have been duly authorized by all necessary actions on the
part of the shareholders and directors of Seller, as applicable. This Agreement constitutes a valid and binding agreement of Seller, enforceable
against Seller in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium and similar laws
affecting creditors’ rights generally, and subject, as to enforceability, to general principles of equity (regardless of whether
enforcement is sought in a proceeding at law or in equity).

 

(c)           Noncontravention.
The execution, delivery and performance by Seller of this Agreement do not and will not (i) violate the certificate of incorporation,
bylaws or other equivalent governing documents of Seller, (ii) violate any law, judgment, injunction, order or decree, or (iii) require
any consent or other action by any person or entity under, result in a breach of, constitute a default under, accelerate any obligation
under, or give rise to a right of termination, cancellation or acceleration of any right or obligation of Seller under any provisions
of any agreement, contract, instrument, permit, authorization, order, writ, judgment, injunction, decree or arbitration award, whether
written or oral, to which Seller is a party.

 

    -4-

     

    

 

(d)           Ownership
of Units. As of the date hereof, Seller is the record and beneficial owner of all of the Redemption Units, free and clear of any liens
and encumbrances of any kind, other than restrictions on transfer under applicable securities laws and under the LLC Agreement, and Seller
does not own any other equity or debt interests in the Company.

 

(e)           Actions
and Proceedings. There are no (i) outstanding judgments, orders, writs, injunctions or decrees of any court, governmental authority
or arbitration tribunal against Seller which have or would reasonably be expected to have an adverse effect on the ability of Seller to
consummate the transactions contemplated hereby or (ii) actions, suits, claims or legal, administrative or arbitration proceedings
pending or, to the knowledge of Seller, threatened against Seller, which have or would reasonably be expected to have an adverse effect
on the ability of Seller to consummate the transactions contemplated hereby.

 

(f)            Reliance.
In making its decision to sell the Redemption Units hereunder, Seller has not relied in any way upon any representation, warranty, statement,
act, or omission of the Company or any of its affiliates, agents, representatives, or other personnel, other than those expressly set
forth in this Agreement.

 

(g)           No
Other Representations and Warranties. EXCEPT FOR THE REPRESENTATIONS AND WARRANTIES CONTAINED IN THIS SECTION 5, SELLER
MAKES NO EXPRESS OR IMPLIED REPRESENTATION OR WARRANTY OF ANY KIND, AND SELLER HEREBY DISCLAIMS ANY SUCH REPRESENTATION OR WARRANTY IN
CONNECTION WITH THE EXECUTION AND DELIVERY OF THIS AGREEMENT AND THE CONSUMMATION OF THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT.

 

Section 6. Company Representations and
Warranties. The Company hereby represents and warrants to Seller, as of the date of this Agreement and as of each Closing Date,
as follows:

 

(a)           Existence
and Power. The Company is a limited liability company duly organized, validly existing and in good standing under the Laws of the
State of Texas.

 

(b)           Organizational
Authorization. The Company has the full right and limited liability company power and authority to enter into this Agreement and to
carry out the transactions contemplated hereby and thereby. The execution and delivery of this Agreement and the performance of the Company’s
obligations hereunder have been duly authorized by all necessary actions on the part of the members and managers of the Company, as applicable.
This Agreement constitutes, or will when executed and delivered constitute, a valid and binding obligation of the Company, enforceable
in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, moratorium and similar laws affecting creditors’
rights generally, and subject, as to enforceability, to general principles of equity (regardless of whether enforcement is sought in a
proceeding at law or in equity).

 

(c)           Noncontravention.
The execution, delivery and performance by the Company of this Agreement and each agreement, document and instrument to be executed and
delivered by it pursuant to or as contemplated by this Agreement and the consummation of the transactions contemplated hereby and thereby
do not and will not (i) violate the certificate of formation, limited liability company agreement or other equivalent governing documents
of the Company, (ii) violate any law, judgment, injunction, order or decree, or (iii) require any consent or other action by
any person or entity under, result in a breach of, constitute a default under, accelerate any obligation under, or give rise to a right
of termination, cancellation or acceleration of any right or obligation of the Company under any provisions of any agreement, contract,
instrument, permit, authorization, order, writ, judgment, injunction, decree or arbitration award, whether written or oral, to which the
Company is a party.

 

    -5-

     

    

 

(d)           Actions
and Proceedings. There are no (i) outstanding judgments, orders, writs, injunctions or decrees of any court, governmental authority
or arbitration tribunal against the Company which have or would reasonably be expected to have an adverse effect on the ability of the
Company to consummate the transactions contemplated hereby or (ii) actions, suits, claims or legal, administrative or arbitration
proceedings pending or, to the knowledge of the Company, threatened against the Company, which have or would reasonably be expected to
have an adverse effect on the ability of the Company to consummate the transactions contemplated hereby.

 

(e)           Reliance.
In making its decision to purchase the Redemption Units hereunder, the Company has not relied in any way upon any representation, warranty,
statement, act, or omission of the Seller or any of its affiliates, agents, representatives, or other personnel, other than those expressly
set forth in this Agreement.

 

(f)            No
Other Representations and Warranties. EXCEPT FOR THE REPRESENTATIONS AND WARRANTIES CONTAINED IN THIS SECTION 6, THE COMPANY
MAKES NO EXPRESS OR IMPLIED REPRESENTATION OR WARRANTY OF ANY KIND, AND THE COMPANY HEREBY DISCLAIMS ANY SUCH REPRESENTATION OR WARRANTY
IN CONNECTION WITH THE EXECUTION AND DELIVERY OF THIS AGREEMENT AND THE CONSUMMATION OF THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT.

 

Section 7. Release
by Seller. Subject to Seller’s rights under this Agreement, effective as of the Second Closing Date, Seller, to the fullest
extent legally possible, hereby completely and forever releases, waives and discharges, and shall be forever precluded from asserting,
any and all claims, obligations (other than contractual, statutory, or other obligations to indemnify Seller, Leah Woolford, Jeff Woolford,
or their respective affiliates, which are not hereby released, waived or discharged), suits, judgments, damages, demands, debts, rights,
causes of action and liabilities, of any kind or nature, whether liquidated or unliquidated, fixed or contingent, matured or unmatured,
known or unknown, foreseen or unforeseen, whether or not hidden or concealed, then existing in law, equity or otherwise, that Seller,
including without limitation derivatively, to the fullest extent legally possible, has, had or may have against the Company or any of
its subsidiaries, if applicable, and its respective present or former managers, officers, employees, predecessors, successors and members
acting in such capacity, that are based in whole or in part on any act, omission, transaction or other occurrence taking place on or prior
to the Second Closing Date, other than any claims, obligations, suits, judgments, damages, demands, debts, rights, causes of action and
liabilities arising from or relating to the Surviving Covenants and Obligations (collectively, “Seller Claims”), and
other than, as applicable, any rights under this Agreement to which Seller is entitled. In making this waiver, Seller acknowledges that
it may hereafter discover facts in addition to or different from those which Seller now believes to be true with respect to the subject
matter released herein, but agree that it has taken that possibility into account in reaching this Agreement and as to which Seller expressly
assumes the risk. THE PROVISIONS IN THIS SECTION 7 SHALL BE ENFORCEABLE REGARDLESS OF WHETHER THE LIABILITY IS BASED UPON
PAST, PRESENT, OR FUTURE ACTS, CLAIMS, OR LAWS (INCLUDING ANY PAST, PRESENT, OR FUTURE ENVIRONMENTAL LAW (INCLUDING, BUT NOT LIMITED TO
CERCLA), OCCUPATIONAL SAFETY AND HEALTH LAW, OR PRODUCTS LIABILITY, SECURITIES, OR OTHER LAW).

 

    -6-

     

    

 

Section 8. Release
by the Company. Subject to the Company’s rights under this Agreement, effective as of the Second Closing Date, the Company,
to the fullest extent legally possible, hereby completely and forever releases, waives and discharges, and shall be forever precluded
from asserting, any and all claims, obligations, suits, judgments, damages, demands, debts, rights, causes of action and liabilities,
of any kind or nature, whether liquidated or unliquidated, fixed or contingent, matured or unmatured, known or unknown, foreseen or unforeseen,
whether or not hidden or concealed, then existing in law, equity or otherwise, that the Company, including without limitation derivatively,
to the fullest extent legally possible, has, had or may have against Seller, and Seller’s respective present or former shareholders,
directors, managers, officers, employees, predecessors, successors and members acting in such capacity, that are based in whole or in
part on any act, omission, transaction or other occurrence taking place on or prior to the Second Closing Date, other than any claims,
obligations, suits, judgments, damages, demands, debts, rights, causes of action and liabilities arising from or relating to the Surviving
Covenants and Obligations (collectively, “Company Claims”), and other than, as applicable, any rights under this Agreement
to which the Company is entitled. In making this waiver, the Company acknowledges that it may hereafter discover facts in addition to
or different from those which the Company now believes to be true with respect to the subject matter released herein, but agree that it
has taken that possibility into account in reaching this Agreement and as to which the Company expressly assumes the risk. THE PROVISIONS
IN THIS SECTION 8 SHALL BE ENFORCEABLE REGARDLESS OF WHETHER THE LIABILITY IS BASED UPON PAST, PRESENT, OR FUTURE ACTS, CLAIMS,
OR LAWS (INCLUDING ANY PAST, PRESENT, OR FUTURE ENVIRONMENTAL LAW (INCLUDING, BUT NOT LIMITED TO CERCLA), OCCUPATIONAL SAFETY AND HEALTH
LAW, OR PRODUCTS LIABILITY, SECURITIES, OR OTHER LAW).

 

Section 9. Confidentiality.
Seller acknowledges that it has or may have access to Confidential Information (as defined below) and that such Confidential Information
does and will constitute valuable, special and unique property of the Company. Seller agrees that, from and after the date hereof, Seller
will not, directly or indirectly, disclose, reveal, divulge or communicate to any person or entity, or use or otherwise exploit for Seller’s
own benefit, or to the Company’s detriment, any Confidential Information. Seller shall not have any obligation to keep confidential
any Confidential Information if and to the extent disclosure thereof is specifically required by law; provided, however, that in
the event disclosure is required by applicable law, Seller shall, to the extent reasonably possible, provide the Company with prompt notice
of such requirement prior to making any disclosure so that the Company may seek an appropriate protective order. For purposes of this
Section 9, “Confidential Information” shall mean any confidential information with respect to the business
of the Company and its subsidiaries, including, without limitation, methods of operation, customers, and customer lists, products, proposed
products, former products, proposed, pending or completed acquisitions of any company, division, product line or other business unit,
prices, fees, costs, plans, designs, technology, inventions, trade secrets, know-how, software, marketing methods, policies, plans, personnel,
suppliers, competitors, markets or other specialized information or proprietary matters. The term “Confidential Information”
does not include, and there shall be no obligation hereunder with respect to, information that (i) is generally available to the
public on the date of this Agreement, or (ii) becomes generally available to the public other than as a result of a disclosure by
Seller not otherwise permissible thereunder. Seller acknowledges that the Company or its parent company may disclose the terms of this
Agreement in order to comply with applicable legal or regulatory requirements, including those imposed by federal securities laws and
regulations.

 

Section 10. Termination.
This Agreement may be terminated and the transactions contemplated hereby may be abandoned at any time prior to the Initial Closing Date
(with respect to the redemption of the Class A Redemption Units) or Second Closing Date (with respect to the redemption of the Class B
Redemption Units and Common Redemption Units), as applicable:

 

(a)           by
mutual written consent of the Company and Seller;

 

    -7-

     

    

 

(b)           by
the Company, if at any time there has been a material misrepresentation, breach of warranty or breach of covenant on the part of Seller
in any of the representations, warranties or covenants under this Agreement which breach is not curable, or, if curable, is not cured
within ten (10) days after written notice of such breach is given to the Company;

 

(c)           by
Seller, if there has been a material misrepresentation, material breach of warranty or material breach of covenant on the part of the
Company in any of the representations, warranties or covenants under this Agreement which breach is not curable, or if curable, is not
cured within ten (10) days after written notice of such breach is given to Seller; or

 

(d)           by
Seller, if the Second Closing does not occur prior to June 30, 2022;

 

provided,
however, that the right of the Company under Section 10(b) and the right of Seller under Section 10(c) shall
not be available to such Party if such Party’s breach of any obligation under this Agreement has been the cause of, or resulted
in, the failure of such transaction to occur on or before such date. The Party desiring to terminate this Agreement pursuant to this Section 10
shall give written notice of such termination to the other Party in accordance with the relevant provisions of this Agreement.

 

Section 11. Miscellaneous.

 

(a)           Entire
Agreement; Amendment. Except as provided below, this Agreement constitutes the entire agreement between the Parties, and contains
all of the agreements and understandings between the Parties, with respect to the subject matter hereof. Notwithstanding anything to the
contrary herein, until the Second Closing this Agreement does not (in any respect) amend, change, modify, or supersede the LLC Agreement,
which remains in full force and effect according to it terms. No change, modification or amendment to this Agreement shall be valid unless
the same be in writing and signed by each of the Parties. No waiver of any provision of this Agreement shall be valid unless in writing
and signed by the Party to be charged. This Agreement and the rights and obligations hereunder shall be binding upon and inure solely
to the benefit of the Parties, their respective successors and permitted assigns, but this Agreement shall not be assignable by either
Party hereto without the express written consent of the other Party, and any attempted assignment without consent shall be void, except
that the Company may (i) assign any or all of its rights and obligations under this Agreement to any affiliate of the Company or
any buyer of all or substantially all of the assets of the Company, and (ii) assign any or all of its rights under this Agreement
to any lender to the Company for indebtedness to any such lender.

 

(b)           Governing
Law and Jurisdiction. This Agreement shall be governed by and construed in accordance with the laws of the State of Texas without
giving effect to conflicts of law principles. Each Party irrevocably agrees that any proceeding against it arising out of or in connection
with this Agreement or the transactions contemplated by this Agreement or disputes relating hereto (whether for breach of contract, tortious
conduct or otherwise) shall be brought exclusively in the state courts of Texas, and hereby irrevocably accepts and submits to the exclusive
jurisdiction and venue of the aforesaid courts in personam with respect to any such proceeding and waives to the fullest extent
permitted by law any objection that it may now or hereafter have that any such proceeding has been brought in an inconvenient forum.

 

(c)           Waiver
of Jury Trial. Each Party hereby waives, to the fullest extent permitted by law, any right it may have to a trial by jury in respect
to any litigation directly or indirectly arising out of, under or in connection with this Agreement or the transactions contemplated hereby
or thereby or disputes relating hereto or thereto. Each Party (a) certifies that no representative, agent or attorney of any other
Party has represented, expressly or otherwise, that such other Party would not, in the event of litigation, seek to enforce the foregoing
waiver and (b) acknowledges that it and the other Party have been induced to enter into this Agreement by, among other things, the
mutual waivers and certifications in this Section 11(c).

 

    -8-

     

    

 

(d)           Specific
Performance. The Parties agree that irreparable damage for which monetary damages, even if available, would not be an adequate remedy,
would occur in the event that the Parties do not perform their obligations under the provisions of this Agreement (including failing to
take such actions as are required of them hereunder to consummate this Agreement) in accordance with its specified terms or otherwise
breach such provisions. The Parties acknowledge and agree that (a) the Parties shall be entitled to an injunction or injunctions,
specific performance or other equitable relief to prevent breaches of this Agreement and to enforce specifically the terms and provisions
hereof in any court of competent jurisdiction without proof of damages or otherwise, this being in addition to any other remedy to which
they are entitled under this Agreement and (b) the right of specific enforcement is an integral part of the transactions contemplated
by this Agreement and without that right, the Parties would not have entered into this Agreement. The Parties agree not to assert that
a remedy of specific enforcement is unenforceable, invalid, contrary to law or inequitable for any reason, and not to assert that a remedy
of monetary damages would provide an adequate remedy or that the Parties otherwise have an adequate remedy at law.

 

(e)           Prevailing
Party. If any litigation or other court action, arbitration, or similar adjudicatory proceeding is commenced by any Party to enforce
its rights under this Agreement against any other Party, all fees, costs, and expenses, including, without limitation, reasonable attorneys’
fees and court costs, incurred by the prevailing party in such litigation, action, arbitration, or proceeding will be reimbursed by the
losing party; provided, that if, a Party to such litigation, action, arbitration, or proceeding prevails in part, and loses
in part, then the court, arbitrator, or other adjudicator presiding over such litigation, action, arbitration, or proceeding will award
a reimbursement of the fees, costs and expenses incurred by such Party on an equitable basis.

 

(f)            Expenses.
All costs and expenses incurred by the Parties in connection with the negotiation, preparation and execution of this Agreement and the
consummation of the transactions contemplated hereby shall be paid by the Party incurring such expenses.

 

(g)            Notices.
Any notice, request, instruction or other communication to be given hereunder by either Party to the other Party shall be in writing and
delivered personally, or sent by postpaid registered or certified mail, or sent by electronic mail, pursuant to the information below:

 

if to Seller, addressed to:

 

5729 Krause Lane, Unit #13

Austin, Texas 78738

Attention: Leah Woolford and Jeff Woolford

Email:    leah@usdmholdings.com

jeff@usdmholdings.com

 

with a copy (not constituting notice) to:

 

Fredrikson & Byron, P.A.

200 South Sixth Street, Suite 4000

Attention: Jessica D. Manivasager

Email: jmanivasager@fredlaw.com

 

    -9-

     

    

 

and, if to the Company, addressed to:

 

c/o Direct Digital Management, LLC

10219 Piping Rock Lane

Houston, TX 77042

Attention: Keith Smith and Mark Walker

Email:     ksmith@directdigitalholdings.com

mwalker@directdigitalholdings.com

 

with a copy (not constituting notice) to:

 

McGuireWoods LLP

2000 McKinney Avenue, Suite 1400

Dallas, Texas 75201

Attention: Phyllis Y. Young

Email: pyoung@mcguirewoods.com

 

or to such other address for either Party as such
Party shall hereafter designate by like notice. Each notice, request, instruction, consent and other communication under this Agreement
shall be deemed to have been given, (i) on the date of delivery, if personally delivered, (ii) on the earlier of the date of
the receipt or three (3) days after deposit in the US mail, if delivered by postpaid registered or certified mail, and (iii) on
the earlier of the date of the electronic email transmission or the date of acknowledged receipt, if sent by email.

 

(h)           Severability.
All agreements and covenants contained herein are severable, and in the event that any of them shall be held to be invalid by any competent
court, this Agreement shall be interpreted as though such invalid agreements were not contained herein.

 

(i)            Counterparts.
This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but together shall constitute one
and the same instrument.

 

(j)            Headings.
The Article and Section headings contained in this Agreement are for reference purposes only and shall not affect in any way
the meaning and interpretation of this Agreement.

 

SIGNATURE PAGE TO FOLLOW

 

    -10-

     

    

 

IN
WITNESS WHEREOF, this Agreement has been executed by the Parties on the date and year first above written.

 

	 	 	COMPANY:
	 	 	 
	 	 	DIRECT
    DIGITAL HOLDINGS, LLC
	 	 	 
	 	 	 
	 	 	By: 	/s/ Mark Walker       
	 	 	Name:
    Mark Walker
	 	 	Title:
    CEO
	 	 	 
	 	 	SELLER:
	 	 	 
	 	 	USDM
    HOLDINGS, INC.
	 	 	 
	 	 	 
	 	 	By: 	/s/ Leah Woolford
	 	 	Name:
    Leah Woolford
	 	 	Title:
    Chairwoman

 

[Signature page to Redemption
Agreement]

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