Document:

Exhibit 4.1

THIS  WARRANT  AND THE COMMON SHARES ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE
NOT  BEEN  REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. THIS WARRANT
AND  THE  COMMON  SHARES ISSUABLE UPON EXERCISE OF THIS WARRANT MAY NOT BE SOLD,
OFFERED  FOR  SALE,  PLEDGED  OR  HYPOTHECATED  IN  THE  ABSENCE OF AN EFFECTIVE
REGISTRATION STATEMENT AS TO THIS WARRANT UNDER SAID ACT OR ANY APPLICABLE STATE
SECURITIES  LAW  OR  AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO FTS GROUP,
INC.  THAT  SUCH  REGISTRATION  IS  NOT  REQUIRED.

                     Right to Purchase __________ shares of
                         Common Stock of FTS GROUP, Inc.
                   (subject to adjustment as provided herein)

                 FORM OF COMMON STOCK PURCHASE WARRANT, CLASS A

No.  ___     Issue  Date:  __________

     FTS  GROUP,  INC.,  a  corporation organized under the laws of the State of
Nevada  (the  "Company"), hereby certifies that, for value received, __________,
or  its  assigns  (the  "Holder"),  is  entitled, subject to the terms set forth
below,  to purchase from the Company at any time after the Issue Date until 5:00
p.m.,  E.S.T.  on  the  third  anniversary  of  the  Issue Date (the "Expiration
Date"), up to __________ fully paid and nonassessable shares of the common stock
of  the  Company  (the  "Common  Stock"),  no par value per share at a per share
purchase  price  of  $0.12.  The  aforedescribed  purchase  price  per share, as
adjusted  from  time  to  time  as herein provided, is referred to herein as the
"Purchase  Price."  The  number and character of such shares of Common Stock and
the  Purchase  Price  are subject to adjustment as provided herein.  The Company
may  reduce  the  Purchase  Price without the consent of the Holder. Capitalized
terms used and not otherwise defined herein shall have the meanings set forth in
that  certain  Subscription  Agreement  (the  "Subscription  Agreement"),  dated
__________,  entered  into  by  the  Company  and  the  Holder.

     As  used herein the following terms, unless the context otherwise requires,
have  the  following  respective  meanings:

     (a)  The  term  "Company" shall include FTS GROUP, Inc. and any corporation
which  shall  succeed  or  assume  the obligations of FTS GROUP, Inc. hereunder.

     (b)  The term "Common Stock" includes (a) the Company's Common Stock, $.001
par  value  per  share, as authorized on the date of the Subscription Agreement,
and  (b)  any  other  securities  into  which or for which any of the securities
described  in  (a)  may  be  converted  or  exchanged  pursuant  to  a  plan  of
recapitalization,  reorganization,  merger,  sale  of  assets  or  otherwise.

     (c)  The  term  "Other  Securities"  refers to any stock (other than Common
Stock)  and  other  securities  of the Company or any other person (corporate or
otherwise)  which  the  holder  of  the Warrant at any time shall be entitled to
receive,  or  shall have received, on the exercise of the Warrant, in lieu of or
in  addition  to  Common  Stock, or which at any time shall be issuable or shall
have  been  issued  in  exchange  for or in replacement of Common Stock or Other
Securities  pursuant  to  Section  4  or  otherwise.

     1.  Exercise  of  Warrant.

     1.1. Number of Shares Issuable upon Exercise. From and after the Issue Date
through  and  including the Expiration Date, the Holder hereof shall be entitled
to  receive, upon exercise of this Warrant in whole in accordance with the terms
of  subsection  1.2  or upon exercise of this Warrant in part in accordance with
subsection  1.3,  shares  of  Common Stock of the Company, subject to adjustment
pursuant  to  Section  4.

     1.2.  Full  Exercise.  This  Warrant may be exercised in full by the Holder
hereof  by delivery of an original or facsimile copy of the form of subscription
attached  as  Exhibit  A  hereto (the "Subscription Form") duly executed by such
Holder  and surrender of the original Warrant within seven (7) days of exercise,
to the Company at its principal office or at the office of its Warrant Agent (as
provided  hereinafter),  accompanied  by  payment,  in cash, wire transfer or by
certified  or  official  bank  check payable to the order of the Company, in the
amount  obtained  by  multiplying the number of shares of Common Stock for which
this  Warrant  is  then  exercisable  by  the  Purchase  Price  then  in effect.

     1.3. Partial Exercise. This Warrant may be exercised in part (but not for a
fractional  share)  by  surrender of this Warrant in the manner and at the place
provided  in subsection 1.2 except that the amount payable by the Holder on such
partial  exercise  shall be the amount obtained by multiplying (a) the number of
whole  shares  of Common Stock designated by the Holder in the Subscription Form
by  (b)  the  Purchase  Price  then in effect. On any such partial exercise, the
Company,  at  its expense, will forthwith issue and deliver to or upon the order
of  the  Holder  hereof  a  new Warrant of like tenor, in the name of the Holder
hereof or as such Holder (upon payment by such Holder of any applicable transfer
taxes)  may  request,  the whole number of shares of Common Stock for which such
Warrant  may  still  be  exercised.

     1.4.  Fair Market Value. Fair Market Value of a share of Common Stock as of
a  particular  date  (the  "Determination  Date")  shall  mean:

     (a) If the Company's Common Stock is traded on the New York Stock Exchange,
the  American  Stock Exchange or any other national exchange or is quoted on the
National Association of Securities Dealers, Inc. Automated Quotation ("NASDAQ"),
National  Market  System or the NASDAQ SmallCap Market, then the closing or last
sale  price,  respectively,  reported  for  the  last  business  day immediately
preceding  the  Determination  Date;

     (b)  If  the  Company's  Common  Stock  is not traded on the New York Stock
Exchange,  the American Stock Exchange or any other national exchange and is not
quoted  on  the NASDAQ National Market System or the NASDAQ SmallCap Market, but
is  traded  in  the Over-the-Counter market, then the average of the closing bid
and  ask  prices  reported  for  the last business day immediately preceding the
Determination  Date;

     (c)  Except  as provided in clause (d) below, if the Company's Common Stock
is  not  publicly  traded,  then  as the Holder and the Company agree, or in the
absence  of  such an agreement, by arbitration in accordance with the rules then
standing  of the American Arbitration Association, before a single arbitrator to
be chosen from a panel of persons qualified by education and training to pass on
the  matter  to  be  decided;  or

     (d)  If the Determination Date is the date of a liquidation, dissolution or
winding  up,  or any event deemed to be a liquidation, dissolution or winding up
pursuant  to  the Company's charter, then all amounts to be payable per share to
holders  of  the  Common  Stock  pursuant  to  the  charter in the event of such
liquidation, dissolution or winding up, plus all other amounts to be payable per
share  in respect of the Common Stock in liquidation under the charter, assuming
for  the purposes of this clause (d) that all of the shares of Common Stock then
issuable  upon  exercise  of  all  of  the  Warrants  are  outstanding  at  the
Determination  Date.

     1.5.  Company Acknowledgment. The Company will, at the time of the exercise
of the Warrant, upon the request of the Holder hereof acknowledge in writing its
continuing  obligation  to afford to such Holder any rights to which such Holder
shall  continue  to  be  entitled  after  such  exercise  in accordance with the
provisions  of  this Warrant. If the Holder shall fail to make any such request,
such failure shall not affect the continuing obligation of the Company to afford
to  such  Holder  any  such  rights.

     1.6. Trustee for Warrant Holders. In the event that a bank or trust company
shall  have been appointed as trustee for the Holder of the Warrants pursuant to
Subsection  3.2, such bank or trust company shall have all the powers and duties
of  a warrant agent (as hereinafter described) and shall accept, in its own name
for  the  account  of  the  Company  or such successor person as may be entitled
thereto,  all amounts otherwise payable to the Company or such successor, as the
case  may  be,  on  exercise  of  this  Warrant  pursuant  to  this  Section  1.

     1.7  Delivery  of  Stock Certificates, etc. on Exercise. The Company agrees
that the shares of Common Stock purchased upon exercise of this Warrant shall be
deemed  to  be issued to the Holder hereof as the record owner of such shares as
of  the  close  of  business  on  the date on which this Warrant shall have been
surrendered  and  payment  made  for  such  shares  as  aforesaid.  As  soon  as
practicable  after  the  exercise of this Warrant in full or in part, and in any
event within five (5) days thereafter, the Company at its expense (including the
payment by it of any applicable issue taxes) will cause to be issued in the name
of  and  delivered to the Holder hereof, or as such Holder (upon payment by such
Holder  of  any  applicable  transfer  taxes)  may  direct  in  compliance  with
applicable securities laws, a certificate or certificates for the number of duly
and  validly  issued,  fully  paid  and nonassessable shares of Common Stock (or
Other Securities) to which such Holder shall be entitled on such exercise, plus,
in  lieu  of  any  fractional  share  to  which  such  Holder would otherwise be
entitled,  cash  equal to such fraction multiplied by the then Fair Market Value
of  one  full  share  of  Common  Stock,  together with any other stock or other
securities  and property (including cash, where applicable) to which such Holder
is  entitled  upon  such  exercise  pursuant  to  Section  1  or  otherwise.

   2.  Cashless  Exercise.

     (a)  If  a  Registration Statement as defined in the Subscription Agreement
("Registration  Statement")  is  effective and the Holder may sell its shares of
Common  Stock  upon exercise hereof, this Warrant may be exercisable in whole or
in  part  for  cash only as set forth in Section 1 above. If the Placement Agent
raised  more  than  $500,000  and  no  such Registration Statement is available,
payment  upon  exercise  may  be  made at the option of the Holder either in (i)
cash,  wire transfer or by certified or official bank check payable to the order
of  the  Company  equal  to  the  applicable  aggregate  Purchase Price, (ii) by
delivery  of  Common  Stock issuable upon exercise of the Warrants in accordance
with  Section  (b)  below  or  (iii)  by  a  combination of any of the foregoing
methods,  for  the  number  of shares of Common Stock specified in such form (as
such  exercise  number  shall be adjusted to reflect any adjustment in the total
number  of  shares  of Common Stock issuable to the holder per the terms of this
Warrant)  and  the  holder  shall thereupon be entitled to receive the number of
duly  authorized, validly issued, fully-paid and non-assessable shares of Common
Stock  (or  Other  Securities)  determined  as  provided  herein.

     (b)  Notwithstanding  any  provisions  herein  to the contrary, if the Fair
Market Value of one share of Common Stock is greater than the Purchase Price (at
the  date of calculation as set forth below), in lieu of exercising this Warrant
for  cash,  the  holder  may  elect  to  receive  shares  equal to the value (as
determined  below)  of  this Warrant (or the portion thereof being cancelled) by
surrender  of  this Warrant at the principal office of the Company together with
the  properly  endorsed Subscription Form in which event the Company shall issue
to  the  holder  a number of shares of Common Stock computed using the following
formula:

                 X  =  Y  (A-B)
                       --------
                        A

 Where  X=        the  number  of  shares  of  Common  Stock  to  be
                     issued  to  the  holder

           Y=        the  number  of  shares  of  Common  Stock  purchasable
                     under  the  Warrant  or,  if  only  a  portion  of  the
                     Warrant  is  being  exercised,  the  portion  of  the
                     Warrant  being  exercised  (at  the  date  of  such
                     calculation)

           A=        the  Fair  Market  Value  of  one  share  of  the
                     Company's  Common  Stock  (at  the  date  of  such
                     calculation)

           B=        Purchase  Price  (as  adjusted  to  the  date  of  such
                     calculation)

     (c)  The  Holder  may  employ the cashless exercise feature described above
only  during  the  pendency  of a Non-Registration Event as described in Section
10.4  of  the  Subscription  Agreement.

     (d)  For  purposes  of  Rule  144  promulgated  under  the  1933 Act, it is
intended,  understood  and  acknowledged  that  the  Warrant  Shares issued in a
cashless  exercise  transaction  shall  be  deemed  to have been acquired by the
Holder,  and  the  holding period for the Warrant Shares shall be deemed to have
commenced,  on  the  date  this  Warrant  was  originally issued pursuant to the
Subscription  Agreement.

     3.  Adjustment  for  Reorganization,  Consolidation,  Merger,  etc.

3.1.  Reorganization,  Consolidation,  Merger,  etc. In case at any time or from
time  to  time,  the  Company shall (a) effect a reorganization, (b) consolidate
with  or merge into any other person or (c) transfer all or substantially all of
its  properties  or  assets  to  any  other person under any plan or arrangement
contemplating  the  dissolution  of  the  Company, then, in each such case, as a
condition  to  the  consummation  of  such  a  transaction,  proper and adequate
provision  shall  be  made by the Company whereby the Holder of this Warrant, on
the exercise hereof as provided in Section 1, at any time after the consummation
of  such  reorganization,  consolidation or merger or the effective date of such
dissolution,  as the case may be, shall receive, in lieu of the Common Stock (or
Other  Securities)  issuable on such exercise prior to such consummation or such
effective  date, the stock and other securities and property (including cash) to
which  such  Holder  would  have  been  entitled  upon  such  consummation or in
connection  with  such  dissolution,  as  the case may be, if such Holder had so
exercised  this  Warrant,  immediately  prior  thereto,  all  subject to further
adjustment  thereafter  as  provided  in  Section  4.

     3.2.  Dissolution. In the event of any dissolution of the Company following
the  transfer  of  all  or  substantially  all  of its properties or assets, the
Company,  prior to such dissolution, shall at its expense deliver or cause to be
delivered  the  stock  and  other securities and property (including cash, where
applicable) receivable by the Holder of the Warrants after the effective date of
such  dissolution  pursuant  to  this  Section  3  to a bank or trust company (a
"Trustee")  having  its  principal  office  in  New York, NY, as trustee for the
Holder  of  the  Warrants.

     3.3.  Continuation of Terms. Upon any reorganization, consolidation, merger
or  transfer  (and  any  dissolution following any transfer) referred to in this
Section  3,  this  Warrant shall continue in full force and effect and the terms
hereof  shall  be  applicable to the Other Securities and property receivable on
the  exercise  of  this  Warrant  after the consummation of such reorganization,
consolidation  or merger or the effective date of dissolution following any such
transfer,  as the case may be, and shall be binding upon the issuer of any Other
Securities,  including,  in  the case of any such transfer, the person acquiring
all  or substantially all of the properties or assets of the Company, whether or
not  such  person  shall  have  expressly  assumed  the terms of this Warrant as
provided in Section 4. In the event this Warrant does not continue in full force
and  effect  after the consummation of the transaction described in this Section
3, then only in such event will the Company's securities and property (including
cash, where applicable) receivable by the Holder of the Warrants be delivered to
the  Trustee  as  contemplated  by  Section  3.2.

     4.  Extraordinary  Events  Regarding  Common  Stock.  In the event that the
Company  shall  (a) issue additional shares of the Common Stock as a dividend or
other  distribution  on  outstanding Common Stock, (b) subdivide its outstanding
shares  of  Common  Stock,  or  (c) combine its outstanding shares of the Common
Stock  into  a  smaller number of shares of the Common Stock, then, in each such
event,  the  Purchase  Price  shall,  simultaneously  with the happening of such
event,  be  adjusted  by  multiplying the then Purchase Price by a fraction, the
numerator  of  which  shall  be the number of shares of Common Stock outstanding
immediately prior to such event and the denominator of which shall be the number
of  shares  of  Common  Stock  outstanding immediately after such event, and the
product  so  obtained shall thereafter be the Purchase Price then in effect. The
Purchase  Price, as so adjusted, shall be readjusted in the same manner upon the
happening  of any successive event or events described herein in this Section 4.
The  number  of  shares  of  Common  Stock that the Holder of this Warrant shall
thereafter,  on  the  exercise  hereof  as provided in Section 1, be entitled to
receive  shall  be  adjusted to a number determined by multiplying the number of
shares  of  Common  Stock  that  would otherwise (but for the provisions of this
Section 4) be issuable on such exercise by a fraction of which (a) the numerator
is  the  Purchase  Price  that  would  otherwise (but for the provisions of this
Section 4) be in effect, and (b) the denominator is the Purchase Price in effect
on  the  date  of  such  exercise.

     5.  Certificate  as  to  Adjustments.  In  each  case  of any adjustment or
readjustment in the shares of Common Stock (or Other Securities) issuable on the
exercise  of  the  Warrants,  the Company at its expense will promptly cause its
Chief Financial Officer or other appropriate designee to compute such adjustment
or  readjustment  in  accordance  with  the  terms  of the Warrant and prepare a
certificate  setting forth such adjustment or readjustment and showing in detail
the  facts  upon  which  such  adjustment  or readjustment is based, including a
statement of (a) the consideration received or receivable by the Company for any
additional shares of Common Stock (or Other Securities) issued or sold or deemed
to  have been issued or sold, (b) the number of shares of Common Stock (or Other
Securities)  outstanding or deemed to be outstanding, and (c) the Purchase Price
and  the  number  of shares of Common Stock to be received upon exercise of this
Warrant,  in  effect immediately prior to such adjustment or readjustment and as
adjusted  or  readjusted as provided in this Warrant. The Company will forthwith
mail  a  copy  of  each  such  certificate  to the Holder of the Warrant and any
Warrant  Agent  of  the  Company  (appointed  pursuant  to  Section  12 hereof).

     6.  Reservation  of  Stock, etc. Issuable on Exercise of Warrant; Financial
Statements. The Company will at all times reserve and keep available, solely for
issuance  and  delivery  on  the  exercise of the Warrants, all shares of Common
Stock  (or  Other  Securities) from time to time issuable on the exercise of the
Warrant.  This  Warrant  entitles  the  Holder  hereof  to receive copies of all
financial and other information distributed or required to be distributed to the
holders  of  the  Company's  Common  Stock.

     7.  Assignment;  Exchange of Warrant. Subject to compliance with applicable
securities  laws,  this  Warrant,  and  the  rights  evidenced  hereby,  may  be
transferred  by  any registered holder hereof (a "Transferor"). On the surrender
for  exchange  of this Warrant, with the Transferor's endorsement in the form of
Exhibit  B attached hereto (the "Transferor Endorsement Form") and together with
an  opinion  of counsel reasonably satisfactory to the Company that the transfer
of  this  Warrant  will  be  in  compliance with applicable securities laws, the
Company  at  its expense, twice, only, but with payment by the Transferor of any
applicable  transfer  taxes,  will  issue  and deliver to or on the order of the
Transferor  thereof  a new Warrant or Warrants of like tenor, in the name of the
Transferor  and/or  the  transferee(s)  specified in such Transferor Endorsement
Form  (each  a  "Transferee"),  calling  in  the  aggregate on the face or faces
thereof for the number of shares of Common Stock called for on the face or faces
of  the Warrant so surrendered by the Transferor. No such transfers shall result
in  a  public  distribution  of  the  Warrant;  and  the  Company  shall only be
responsible  for  "blue  sky"  compliance  expenses  for  resales  under  any
registration  statement  filed in accordance with Section 10 of the Subscription
Agreement  for two (2) such transfers to two (2) applicable states of the United
States  only.

     8.  Replacement  of Warrant. On receipt of evidence reasonably satisfactory
to  the  Company  of  the loss, theft, destruction or mutilation of this Warrant
and,  in  the  case  of  any such loss, theft or destruction of this Warrant, on
delivery  of  an indemnity agreement or security reasonably satisfactory in form
and  amount  to the Company or, in the case of any such mutilation, on surrender
and  cancellation  of this Warrant, the Company at its expense, twice only, will
execute  and  deliver,  in  lieu  thereof,  a  new  Warrant  of  like  tenor.

     9. Registration Rights. The Holder of this Warrant has been granted certain
registration  rights  by the Company. These registration rights are set forth in
the  Subscription  Agreement.  The  terms  of  the  Subscription  Agreement  are
incorporated herein by this reference. During the pendency of a Non-Registration
Event (as defined in the Subscription Agreement, upon written demand made by the
Holder,  the  Company  will  pay  to  the  Holder  of  this  Warrant, in lieu of
delivering  Common  Stock,  a  sum  equal  to the closing price of the Company's
Common  Stock on the principal market or exchange upon which the Common Stock is
listed  for trading on the trading date immediately preceding the date notice is
given  by  the Holder, or, if the Company's Common Stock is not publicly traded,
then  in  the manner set forth in Paragraph 1.4(c), less the Purchase Price, for
each  share  of  Common  Stock  designated  in  such  notice  from  the  Holder.

     10.  Maximum  Exercise.  The  Holder shall not be entitled to exercise this
Warrant  on  an  exercise  date nor may the Company exercise its right to give a
Call  Notice (as defined in Section 10) in connection with that number of Common
Stock  which  would  be  in  excess of the sum of (i) the number of Common Stock
beneficially  owned by the Holder and its affiliates on an exercise date or Call
Date,  and  (ii)  the  number of Common Stock issuable upon the exercise of this
Warrant with respect to which the determination of this limitation is being made
on  an exercise date or Call Date, which would result in beneficial ownership by
the Holder and its affiliates of more than 4.99% of the outstanding Common Stock
on  such  date.  For  the  purposes  of  the  immediately  preceding  sentence,
beneficial ownership shall be determined in accordance with Section 13(d) of the
Securities  Exchange  Act  of 1934, as amended, and Regulation 13d-3 thereunder.
Subject to the foregoing, the Holder shall not be limited to aggregate exercises
which  would  result  in  the  issuance  of  more  than  4.99%.  The restriction
described in this paragraph may be revoked upon sixty-one (61) days prior notice
from  the Holder to the Company.  The Holder may allocate which of the equity of
the Company deemed beneficially owned by the Subscriber shall be included in the
4.99%  amount  described  above and which shall be allocated to the excess above
4.99%.

     11.  Call.  The  Company  shall  have  the option to "call" the Warrants in
connection  with  up to an aggregate fifty percent (50%) of the amount of Common
Stock  purchasable  hereunder  (the  "Warrant  Call"),  one  or  more  times, in
accordance  with  and  governed  by  the  following:

     (a)  The  Company  shall exercise the Warrant Call by giving to the Warrant
Holder  a  written notice of call (the "Call Notice") during the period in which
the  Warrant  Call may be exercised. The effective date of each Call Notice (the
"Call Date") is the date on which notice is effective under the notice provision
of  Section  14  of  this  Warrant.

     (b)  The Company's right to exercise the Warrant Call shall commence thirty
trading  days  after the effective date of the a registration statement covering
the  resale of the shares of Common Stock underlying this Warrant and end thirty
trading  days  prior  to  the  Expiration  Date.

     (c)  The number of shares of Common Stock to be issued upon exercise of the
Warrant  which are subject to a Call Notice must be registered in a registration
statement  effective  from  twenty-two  trading  days prior to the Call Date and
through  the  Delivery  Date.

     (d)  A  Call  Notice may be given not sooner than thirty trading days after
the  prior  Call  Date.

     (e) A Call Notice may be given by the Company only within five trading days
after  the  Common  Stock  has had a closing price as reported for the Principal
Market  (as  defined in the Subscription Agreement) of not less than two hundred
percent  (200%)  of  the  Purchase  Price  for ten (10) consecutive trading days
("Lookback  Period").

     (f)  The  Common  Stock  must  be  listed  on  the Principal Market for the
Lookback  Period  and  through  the  Delivery  Date.

     (g)  The Company shall not have received a notice from the Principal Market
during  the  ninety calendar days prior to the Call Date that the Company or the
Common  Stock does not meet the requirements for continued quotation, listing or
trading  on  the  Principal  Market.

     (h)  The  Company  and  the  Common  Stock  shall meet the requirements for
continued quotation, listing or trading on the Principal Market for the Lookback
Period  and  through  the  Delivery  Date.

     (i) Unless otherwise agreed to by the Holder of this Warrant, a Call Notice
must  be  given  to  all  Warrant  Holders  who receive Warrants similar to this
Warrant  (in  terms  of  exercise  price and other principal terms) issued on or
about  the  same  Issue  Date  as  this Warrant, in proportion to the amounts of
Common  Stock  which  may  be  purchased  by  the  respective Warrant Holders in
accordance  with  the  respective  Warrants  held  by  each.

     (j)  The  Warrant Holder shall exercise his Warrant rights and purchase the
Called  Common  Stock  and  pay  for same within thirty (30) days after the Call
Date.  If  the  Warrant  Holder  fails  to timely pay the amount required by the
Warrant  Call,  the  Company's  sole  remedy  shall be to cancel a corresponding
amount  of  this  Warrant.

     (k)  The  Company may not exercise the right to Call this Warrant after the
occurrence of a default by the Company of a material term of this Warrant or the
Subscription  Agreement,  including but not limited to a Non-Registration Event.

     12.  Warrant Agent. The Company may, by written notice to the Holder of the
Warrant,  appoint an agent (a "Warrant Agent") for the purpose of issuing Common
Stock  (or Other Securities) on the exercise of this Warrant pursuant to Section
1,  exchanging  this  Warrant  pursuant to Section 7, and replacing this Warrant
pursuant  to  Section  8,  or  any  of  the  foregoing,  and thereafter any such
issuance,  exchange  or  replacement,  as the case may be, shall be made at such
office  by  such  Warrant  Agent.

     13.  Transfer  on the Company's Books. Until this Warrant is transferred on
the  books of the Company, the Company may treat the registered holder hereof as
the  absolute  owner  hereof for all purposes, notwithstanding any notice to the
contrary.

     14. Notices. All notices, demands, requests, consents, approvals, and other
communications  required  or permitted hereunder shall be in writing and, unless
otherwise  specified  herein,  shall be (i) personally served, (ii) deposited in
the  mail,  registered  or certified, return receipt requested, postage prepaid,
(iii)  delivered  by reputable air courier service with charges prepaid, or (iv)
transmitted  by  hand  delivery,  telegram, or facsimile, addressed as set forth
below  or to such other address as such party shall have specified most recently
by written notice. Any notice or other communication required or permitted to be
given  hereunder shall be deemed effective (a) upon hand delivery or delivery by
facsimile,  with  accurate  confirmation generated by the transmitting facsimile
machine,  at  the address or number designated below (if delivered on a business
day  during  normal  business hours where such notice is to be received), or the
first  business  day  following  such  delivery  (if  delivered  other than on a
business  day  during normal business hours where such notice is to be received)
or  (b)  on  the  second  business  day following the date of mailing by express
courier  service,  fully  prepaid,  addressed  to  such  address, or upon actual
receipt  of  such  mailing,  whichever shall first occur. The addresses for such
communications  shall  be:  (i)  if  to  the  Company  to:

Attn:  Scott  Gallagher
FTS  Group,  Inc.
1049C  Oxford  Valley  Rd.
Levittown,  PA  19057
215-689-2748/Fax

with  a  copy  by  telecopier  only  to:

Amy  Trombly
Trombly  Business  Law
1163  Walnut  Street,  Suite  7
Newton,  MA  02461
Phone  (617)  243-0060
Fax  (309)  406-1426

     15. Miscellaneous. This Warrant and any term hereof may be changed, waived,
discharged  or  terminated  only by an instrument in writing signed by the party
against  which  enforcement  of such change, waiver, discharge or termination is
sought.  This  Warrant  shall  be  construed and enforced in accordance with and
governed  by the laws of New York. Any dispute relating to this Warrant shall be
adjudicated  in  New  York County in the State of New York. The headings in this
Warrant  are  for  purposes  of reference only, and shall not limit or otherwise
affect  any  of  the  terms  hereof.  The  invalidity or unenforceability of any
provision  hereof  shall  in no way affect the validity or enforceability of any
other  provision.

     IN  WITNESS  WHEREOF,  the  Company  has  executed  this  Warrant  as  of
the  date  first  written  above.

                                       FTS  GROUP,  INC.

                                       ------------------------------
                                       By:
                                       Name:  Scott  Gallagher
                                       Title:  CEO

                                                                       Exhibit A

                              FORM OF SUBSCRIPTION
                   (to be signed only on exercise of Warrant)

TO:  FTS  GROUP,  INC.

The  undersigned,  pursuant  to the provisions set forth in the attached Warrant
(No.____),  hereby  irrevocably  elects  to  purchase  (check  applicable  box):

___  ________  shares  of  the  Common  Stock  covered  by  such  Warrant;  or

___  the  maximum  number  of  shares  of  Common  Stock covered by such Warrant
pursuant  to  the  cashless  exercise  procedure  set  forth  in  Section  2.

The  undersigned  herewith  makes  payment  of  the full purchase price for such
shares  at  the  price  per  share  provided  for  in  such  Warrant,  which  is
$___________.  Such  payment  takes the form of (check applicable box or boxes):

___  $__________  in  lawful  money  of  the  United  States;  and/or

___  the  cancellation of such portion of the attached Warrant as is exercisable
for  a  total  of  _______  shares of Common Stock (using a Fair Market Value of
$_______  per  share  for  purposes  of  this  calculation);  and/or

___  the  cancellation of such number of shares of Common Stock as is necessary,
in  accordance with the formula set forth in Section 2, to exercise this Warrant
with  respect  to  the  maximum  number  of  shares  of Common Stock purchasable
pursuant  to  the  cashless  exercise  procedure  set  forth  in  Section  2.

The  undersigned requests that the certificates for such shares be issued in the
name  of,  and  delivered  to
_____________________________________________________  whose  address  is
_________________________________________________

The  undersigned  represents  and  warrants  that  all  offers  and sales by the
undersigned of the securities issuable upon exercise of the within Warrant shall
be made pursuant to registration of the Common Stock under the Securities Act of
1933,  as  amended  (the  "Securities  Act"),  or  pursuant to an exemption from
registration  under  the  Securities  Act.

Dated:                           By:
      ---------------------            -----------------------------------------
                                       (Signature  must  conform  to  name  of
                                        holder  as specified on the face of the
                                        Warrant)

                                       -----------------------------------------
                                       (Address)

                                                                       Exhibit B

                         FORM OF TRANSFEROR ENDORSEMENT
                   (To be signed only on transfer of Warrant)

     For  value  received,  the undersigned hereby sells, assigns, and transfers
unto  the  person(s)  named  below  under  the  heading  "Transferees" the right
represented  by  the  within  Warrant  to  purchase the percentage and number of
shares  of  Common  Stock of FTS GROUP, INC. to which the within Warrant relates
specified  under the headings "Percentage Transferred" and "Number Transferred,"
respectively,  opposite  the  name(s)  of  such person(s) and appoints each such
person Attorney to transfer its respective right on the books of FTS GROUP, INC.
with  full  power  of  substitution  in  the  premises.

Transferees           Percentage  Transferred        Number  Transferred

Dated:  ______________

(Name)                                            (address)
(Signature  must  conform  to  name  of
holder  as  specified  on  the  face  of
the  warrant)

Signed  in  the  presence  of:

(Name)                                            (address)

ACCEPTED  AND  AGREED:
[TRANSFEREE]

(Name)                                            (address)Exhibit 4.2

THIS  WARRANT  AND THE COMMON SHARES ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE
NOT  BEEN  REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. THIS WARRANT
AND  THE  COMMON  SHARES ISSUABLE UPON EXERCISE OF THIS WARRANT MAY NOT BE SOLD,
OFFERED  FOR  SALE,  PLEDGED  OR  HYPOTHECATED  IN  THE  ABSENCE OF AN EFFECTIVE
REGISTRATION STATEMENT AS TO THIS WARRANT UNDER SAID ACT OR ANY APPLICABLE STATE
SECURITIES  LAW  OR  AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO FTS GROUP,
INC.  THAT  SUCH  REGISTRATION  IS  NOT  REQUIRED.

                     Right to Purchase __________ shares of
                         Common Stock of FTS GROUP, Inc.
                   (subject to adjustment as provided herein)

                 FORM OF COMMON STOCK PURCHASE WARRANT, CLASS B

No.  ___                                                Issue  Date:  __________

     FTS  GROUP,  INC.,  a  corporation organized under the laws of the State of
Nevada  (the  "Company"), hereby certifies that, for value received, __________,
or  its  assigns  (the  "Holder"),  is  entitled, subject to the terms set forth
below,  to purchase from the Company at any time after the Issue Date until 5:00
p.m.,  E.S.T.  on  the one hundred and eightieth (180th) day after the effective
date  of  the  Registration Statement (as defined in the Subscription Agreement)
(the "Expiration Date"), up to __________ fully paid and nonassessable shares of
the  common stock of the Company (the "Common Stock"), no par value per share at
a  per  share  purchase  price  of $0.08.  The aforedescribed purchase price per
share,  as  adjusted from time to time as herein provided, is referred to herein
as  the  "Purchase  Price."  The  number  and character of such shares of Common
Stock  and the Purchase Price are subject to adjustment as provided herein.  The
Company  may  reduce  the  Purchase  Price  without  the  consent of the Holder.
Capitalized  terms used and not otherwise defined herein shall have the meanings
set forth in that certain Subscription Agreement (the "Subscription Agreement"),
dated  __________,  entered  into  by  the  Company  and  the  Holder.

     As  used herein the following terms, unless the context otherwise requires,
have  the  following  respective  meanings:

     (a)  The  term  "Company"  shall  include  FTS  GROUP,  Inc.  and  any
corporation  which  shall  succeed  or assume the obligations of FTS GROUP, Inc.
hereunder.

     (b)  The  term  "Common  Stock"  includes  (a)  the Company's Common Stock,
$.001  par  value  per  share,  as  authorized  on  the date of the Subscription
Agreement,  and  (b)  any  other  securities  into which or for which any of the
securities  described in (a) may be converted or exchanged pursuant to a plan of
recapitalization,  reorganization,  merger,  sale  of  assets  or  otherwise.

     (c)  The  term  "Other  Securities"  refers to any stock (other than Common
Stock)  and  other  securities  of the Company or any other person (corporate or
otherwise)  which  the  holder  of  the Warrant at any time shall be entitled to
receive,  or  shall have received, on the exercise of the Warrant, in lieu of or
in  addition  to  Common  Stock, or which at any time shall be issuable or shall
have  been  issued  in  exchange  for or in replacement of Common Stock or Other
Securities  pursuant  to  Section  4  or  otherwise.

     1.  Exercise  of  Warrant.

        1.1.  Number  of  Shares  Issuable  upon  Exercise.  From  and after the
Issue Date through and including the Expiration Date, the Holder hereof shall be
entitled  to  receive, upon exercise of this Warrant in whole in accordance with
the  terms  of  subsection  1.2  or  upon  exercise  of  this Warrant in part in
accordance  with  subsection 1.3, shares of Common Stock of the Company, subject
to  adjustment  pursuant  to  Section  4.

        1.2.  Full  Exercise.  This  Warrant  may  be  exercised  in full by the
Holder  hereof  by  delivery  of  an  original  or facsimile copy of the form of
subscription  attached  as  Exhibit  A  hereto  (the  "Subscription  Form") duly
executed  by  such Holder and surrender of the original Warrant within seven (7)
days of exercise, to the Company at its principal office or at the office of its
Warrant  Agent  (as provided hereinafter), accompanied by payment, in cash, wire
transfer  or  by  certified  or  official bank check payable to the order of the
Company,  in  the  amount obtained by multiplying the number of shares of Common
Stock  for  which this Warrant is then exercisable by the Purchase Price then in
effect.

        1.3.  Partial  Exercise.  This  Warrant  may  be  exercised in part (but
not  for  a  fractional share) by surrender of this Warrant in the manner and at
the  place  provided  in  subsection  1.2  except that the amount payable by the
Holder  on such partial exercise shall be the amount obtained by multiplying (a)
the  number  of  whole  shares  of  Common Stock designated by the Holder in the
Subscription  Form by (b) the Purchase Price then in effect. On any such partial
exercise,  the  Company,  at its expense, will forthwith issue and deliver to or
upon  the order of the Holder hereof a new Warrant of like tenor, in the name of
the  Holder  hereof  or  as  such  Holder  (upon  payment  by such Holder of any
applicable  transfer  taxes)  may  request, the whole number of shares of Common
Stock  for  which  such  Warrant  may  still  be  exercised.

        1.4.  Fair  Market  Value.  Fair  Market  Value  of  a  share  of Common
Stock  as  of  a  particular  date  (the  "Determination  Date")  shall  mean:

          (a)  If  the  Company's  Common  Stock is traded on the New York Stock
Exchange,  the  American  Stock  Exchange  or  any other national exchange or is
quoted  on  the  National  Association  of  Securities  Dealers,  Inc. Automated
Quotation  ("NASDAQ"),  National  Market  System, or the NASDAQ SmallCap Market,
then  the  closing  or  last  sale  price,  respectively,  reported for the last
business  day  immediately  preceding  the  Determination  Date;

          (b)  If the Company's Common Stock is not traded on the New York Stock
Exchange,  the American Stock Exchange or any other national exchange and is not
quoted  on  the NASDAQ National Market System or the NASDAQ SmallCap Market, but
is  traded  in  the Over-the-Counter market, then the average of the closing bid
and  ask  prices  reported  for  the last business day immediately preceding the
Determination  Date;

          (c)  Except  as  provided in clause (d) below, if the Company's Common
Stock  is  not  publicly traded, then as the Holder and the Company agree, or in
the  absence  of  such an agreement, by arbitration in accordance with the rules
then  standing  of  the  American  Arbitration  Association,  before  a  single
arbitrator  to  be  chosen  from  a  panel of persons qualified by education and
training  to  pass  on  the  matter  to  be  decided;  or

          (d)  If  the  Determination  Date  is  the  date  of  a  liquidation,
dissolution  or winding up, or any event deemed to be a liquidation, dissolution
or  winding up pursuant to the Company's charter, then all amounts to be payable
per share to holders of the Common Stock pursuant to the charter in the event of
such  liquidation,  dissolution  or  winding  up,  plus  all other amounts to be
payable  per  share  in  respect  of  the  Common Stock in liquidation under the
charter,  assuming for the purposes of this clause (d) that all of the shares of
Common  Stock then issuable upon exercise of all of the Warrants are outstanding
at  the  Determination  Date.

        1.5.  Company  Acknowledgment.  The  Company  will,  at  the time of the
exercise  of  the  Warrant, upon the request of the Holder hereof acknowledge in
writing  its  continuing obligation to afford to such Holder any rights to which
such Holder shall continue to be entitled after such exercise in accordance with
the  provisions  of  this  Warrant.  If  the  Holder shall fail to make any such
request,  such failure shall not affect the continuing obligation of the Company
to  afford  to  such  Holder  any  such  rights.

        1.6.  Trustee  for  Warrant  Holders.  In  the  event  that  a  bank  or
trust  company  shall  have  been  appointed  as  trustee  for the Holder of the
Warrants  pursuant  to Subsection 3.2, such bank or trust company shall have all
the  powers  and  duties of a Warrant Agent (as hereinafter described) and shall
accept,  in its own name for the account of the Company or such successor person
as may be entitled thereto, all amounts otherwise payable to the Company or such
successor,  as  the  case  may  be, on exercise of this Warrant pursuant to this
Section  1.

        1.7  Delivery  of  Stock  Certificates,  etc.  on  Exercise. The Company
agrees  that  the shares of Common Stock purchased upon exercise of this Warrant
shall  be  deemed  to be issued to the Holder hereof as the record owner of such
shares  as of the close of business on the date on which this Warrant shall have
been  surrendered  and  payment  made  for  such shares as aforesaid. As soon as
practicable  after  the  exercise of this Warrant in full or in part, and in any
event within five (5) days thereafter, the Company at its expense (including the
payment by it of any applicable issue taxes) will cause to be issued in the name
of  and  delivered to the Holder hereof, or as such Holder (upon payment by such
Holder  of  any  applicable  transfer  taxes)  may  direct  in  compliance  with
applicable securities laws, a certificate or certificates for the number of duly
and  validly  issued,  fully  paid  and nonassessable shares of Common Stock (or
Other Securities) to which such Holder shall be entitled on such exercise, plus,
in  lieu  of  any  fractional  share  to  which  such  Holder would otherwise be
entitled,  cash  equal to such fraction multiplied by the then Fair Market Value
of  one  full  share  of  Common  Stock,  together with any other stock or other
securities  and property (including cash, where applicable) to which such Holder
is  entitled  upon  such  exercise  pursuant  to  Section  1  or  otherwise.

     2.  Cashless  Exercise.

          (a)  If  a  Registration  Statement  as  defined  in  the Subscription
Agreement  ("Registration  Statement")  is effective and the Holder may sell its
shares  of Common Stock upon exercise hereof, this Warrant may be exercisable in
whole  or in part for cash only as set forth in Section 1 above. If the Placment
Agent  raised at least $500,000 and no such Registration Statement is available,
payment  upon  exercise  may  be  made at the option of the Holder either in (i)
cash,  wire transfer or by certified or official bank check payable to the order
of  the  Company  equal  to  the  applicable  aggregate  Purchase Price, (ii) by
delivery  of  Common  Stock issuable upon exercise of the Warrants in accordance
with  Section  (b)  below  or  (iii)  by  a  combination of any of the foregoing
methods,  for  the number shares of Common Stock specified in such form (as such
exercise  number shall be adjusted to reflect any adjustment in the total number
of  shares of Common Stock issuable to the holder per the terms of this Warrant)
and  the  holder  shall  thereupon  be  entitled  to  receive the number of duly
authorized, validly issued, fully-paid and non-assessable shares of Common Stock
(or  Other  Securities)  determined  as  provided  herein.

          (b)  Notwithstanding  any  provisions  herein  to the contrary, if the
Fair  Market  Value  of  one  share of Common Stock is greater than the Purchase
Price  (at  the  date  of calculation as set forth below), in lieu of exercising
this Warrant for cash, the holder may elect to receive shares equal to the value
(as  determined  below) of this Warrant (or the portion thereof being cancelled)
by  surrender  of  this  Warrant at the principal office of the Company together
with  the  properly  endorsed Subscription Form in which event the Company shall
issue  to  the  holder  a  number  of  shares of Common Stock computed using the
following  formula:

                 X  =  Y  (A-B)
                       --------
                        A

          Where  X=     the  number  of  shares  of  Common  Stock  to  be
                       issued  to  the  holder

                Y=     the  number  of  shares  of  Common  Stock  purchasable
                       under  the  Warrant  or,  if  only  a  portion  of  the
                       Warrant  is  being  exercised,  the  portion  of  the
                       Warrant  being  exercised  (at  the  date  of  such
                       calculation)

                A=     the  Fair  Market  Value  of  one  share  of  the
                       Company's  Common  Stock  (at  the  date  of  such
                       calculation)

                B=     Purchase  Price  (as  adjusted  to  the  date  of  such
                       calculation)

          (c)  The  Holder  may  employ  the cashless exercise feature described
above  only  during  the  pendency  of  a Non-Registration Event as described in
Section  10.4  of  the  Subscription  Agreement.

          (d)  For  purposes  of  Rule  144  promulgated  under  the  1933  Act,
it  is intended, understood and acknowledged that the Warrant Shares issued in a
cashless  exercise  transaction  shall  be  deemed  to have been acquired by the
Holder,  and  the  holding period for the Warrant Shares shall be deemed to have
commenced,  on  the  date  this  Warrant  was  originally issued pursuant to the
Subscription  Agreement.

     3.  Adjustment  for  Reorganization,  Consolidation,  Merger,  etc.

        3.1.  Reorganization,  Consolidation,  Merger,  etc. In case at any time
or  from  time  to  time,  the  Company  shall  (a) effect a reorganization, (b)
consolidate  with  or  merge  into  any  other  person  or  (c)  transfer all or
substantially all of its properties or assets to any other person under any plan
or  arrangement contemplating the dissolution of the Company, then, in each such
case,  as  a  condition  to  the  consummation of such a transaction, proper and
adequate  provision  shall  be  made  by  the Company whereby the Holder of this
Warrant,  on the exercise hereof as provided in Section 1, at any time after the
consummation  of  such  reorganization, consolidation or merger or the effective
date  of  such  dissolution,  as  the case may be, shall receive, in lieu of the
Common  Stock  (or  Other  Securities)  issuable  on such exercise prior to such
consummation or such effective date, the stock and other securities and property
(including  cash)  to  which  such  Holder  would  have  been entitled upon such
consummation or in connection with such dissolution, as the case may be, if such
Holder  had so exercised this Warrant, immediately prior thereto, all subject to
further  adjustment  thereafter  as  provided  in  Section  4.

        3.2.  Dissolution.  In  the  event  of  any  dissolution  of the Company
following  the transfer of all or substantially all of its properties or assets,
the Company, prior to such dissolution, shall at its expense deliver or cause to
be  delivered the stock and other securities and property (including cash, where
applicable) receivable by the Holder of the Warrants after the effective date of
such  dissolution  pursuant  to  this  Section  3  to a bank or trust company (a
"Trustee")  having  its  principal  office  in  New York, NY, as trustee for the
Holder  of  the  Warrants.

        3.3.  Continuation  of  Terms.  Upon  any reorganization, consolidation,
merger  or  transfer (and any dissolution following any transfer) referred to in
this  Section  3,  this  Warrant shall continue in full force and effect and the
terms hereof shall be applicable to the Other Securities and property receivable
on  the  exercise of this Warrant after the consummation of such reorganization,
consolidation  or merger or the effective date of dissolution following any such
transfer,  as the case may be, and shall be binding upon the issuer of any Other
Securities,  including,  in  the case of any such transfer, the person acquiring
all  or substantially all of the properties or assets of the Company, whether or
not  such  person  shall  have  expressly  assumed  the terms of this Warrant as
provided in Section 4. In the event this Warrant does not continue in full force
and  effect  after the consummation of the transaction described in this Section
3, then only in such event will the Company's securities and property (including
cash, where applicable) receivable by the Holder of the Warrants be delivered to
the  Trustee  as  contemplated  by  Section  3.2.

     4.  Extraordinary  Events  Regarding  Common  Stock.  In the event that the
Company  shall  (a) issue additional shares of the Common Stock as a dividend or
other  distribution  on  outstanding Common Stock, (b) subdivide its outstanding
shares  of  Common  Stock,  or  (c) combine its outstanding shares of the Common
Stock  into  a  smaller number of shares of the Common Stock, then, in each such
event,  the  Purchase  Price  shall,  simultaneously  with the happening of such
event,  be  adjusted  by  multiplying the then Purchase Price by a fraction, the
numerator  of  which  shall  be the number of shares of Common Stock outstanding
immediately prior to such event and the denominator of which shall be the number
of  shares  of  Common  Stock  outstanding immediately after such event, and the
product  so  obtained shall thereafter be the Purchase Price then in effect. The
Purchase  Price, as so adjusted, shall be readjusted in the same manner upon the
happening  of any successive event or events described herein in this Section 4.
The  number  of  shares  of  Common  Stock that the Holder of this Warrant shall
thereafter,  on  the  exercise  hereof  as provided in Section 1, be entitled to
receive  shall  be  adjusted to a number determined by multiplying the number of
shares  of  Common  Stock  that  would otherwise (but for the provisions of this
Section 4) be issuable on such exercise by a fraction of which (a) the numerator
is  the  Purchase  Price  that  would  otherwise (but for the provisions of this
Section 4) be in effect, and (b) the denominator is the Purchase Price in effect
on  the  date  of  such  exercise.

     5.  Certificate  as  to  Adjustments.  In  each  case  of  any  adjustment
or  readjustment in the shares of Common Stock (or Other Securities) issuable on
the exercise of the Warrants, the Company at its expense will promptly cause its
Chief Financial Officer or other appropriate designee to compute such adjustment
or  readjustment  in  accordance  with  the  terms  of the Warrant and prepare a
certificate  setting forth such adjustment or readjustment and showing in detail
the  facts  upon  which  such  adjustment  or readjustment is based, including a
statement of (a) the consideration received or receivable by the Company for any
additional shares of Common Stock (or Other Securities) issued or sold or deemed
to  have been issued or sold, (b) the number of shares of Common Stock (or Other
Securities)  outstanding or deemed to be outstanding, and (c) the Purchase Price
and  the  number  of shares of Common Stock to be received upon exercise of this
Warrant,  in  effect immediately prior to such adjustment or readjustment and as
adjusted  or  readjusted as provided in this Warrant. The Company will forthwith
mail  a  copy  of  each  such  certificate  to the Holder of the Warrant and any
Warrant  Agent  of  the  Company  (appointed  pursuant  to  Section  12 hereof).

     6.  Reservation  of  Stock, etc. Issuable on Exercise of Warrant; Financial
Statements. The Company will at all times reserve and keep available, solely for
issuance  and  delivery  on  the  exercise of the Warrants, all shares of Common
Stock  (or  Other  Securities) from time to time issuable on the exercise of the
Warrant.  This  Warrant  entitles  the  Holder  hereof  to receive copies of all
financial and other information distributed or required to be distributed to the
holders  of  the  Company's  Common  Stock.

     7.  Assignment;  Exchange of Warrant. Subject to compliance with applicable
securities  laws,  this  Warrant,  and  the  rights  evidenced  hereby,  may  be
transferred  by  any registered holder hereof (a "Transferor"). On the surrender
for  exchange  of this Warrant, with the Transferor's endorsement in the form of
Exhibit  B attached hereto (the "Transferor Endorsement Form") and together with
an  opinion  of counsel reasonably satisfactory to the Company that the transfer
of  this  Warrant  will  be  in  compliance with applicable securities laws, the
Company  at  its expense, twice, only, but with payment by the Transferor of any
applicable  transfer  taxes,  will  issue  and deliver to or on the order of the
Transferor  thereof  a new Warrant or Warrants of like tenor, in the name of the
Transferor  and/or  the  transferee(s)  specified in such Transferor Endorsement
Form  (each  a  "Transferee"),  calling  in  the  aggregate on the face or faces
thereof for the number of shares of Common Stock called for on the face or faces
of  the Warrant so surrendered by the Transferor. No such transfers shall result
in  a  public  distribution  of  the  Warrant;  and  the  Company  shall only be
responsible  for  "blue  sky"  compliance  expenses  for  resales  under  any
registration  statement  filed in accordance with Section 10 of the Subscription
Agreement  for two (2) such transfers to two (2) applicable states of the United
States  only.

     8.  Replacement  of Warrant. On receipt of evidence reasonably satisfactory
to  the  Company  of  the loss, theft, destruction or mutilation of this Warrant
and,  in  the  case  of  any such loss, theft or destruction of this Warrant, on
delivery  of  an indemnity agreement or security reasonably satisfactory in form
and  amount  to the Company or, in the case of any such mutilation, on surrender
and  cancellation  of this Warrant, the Company at its expense, twice only, will
execute  and  deliver,  in  lieu  thereof,  a  new  Warrant  of  like  tenor.

     9.  Registration  Rights.  The  Holder  of  this  Warrant  has been granted
certain  registration  rights  by the Company. These registration rights are set
forth in the Subscription Agreement. The terms of the Subscription Agreement are
incorporated herein by this reference. During the pendency of a Non-Registration
Event (as defined in the Subscription Agreement, upon written demand made by the
Holder,  the  Company  will  pay  to  the  Holder  of  this  Warrant, in lieu of
delivering  Common  Stock,  a  sum  equal  to the closing price of the Company's
Common  Stock on the principal market or exchange upon which the Common Stock is
listed  for trading on the trading date immediately preceding the date notice is
given  by  the Holder, or, if the Company's Common Stock is not publicly traded,
then  in  the manner set forth in Paragraph 1.4(c), less the Purchase Price, for
each  share  of  Common  Stock  designated  in  such  notice  from  the  Holder.

     10.  Maximum  Exercise.  The  Holder  shall  not  be  entitled  to exercise
this  Warrant on an exercise date nor may the Company exercise its right to give
a  Call  Notice  (as  defined  in  Section 10) in connection with that number of
Common  Stock  which  would  be in excess of the sum of (i) the number of Common
Stock beneficially owned by the Holder and its affiliates on an exercise date or
Call  Date,  and  (ii)  the number of Common Stock issuable upon the exercise of
this Warrant with respect to which the determination of this limitation is being
made  on  an  exercise  date  or  Call  Date,  which  would result in beneficial
ownership by the Holder and its affiliates of more than 4.99% of the outstanding
Common  Stock  on  such  date.  For  the  purposes  of the immediately preceding
sentence,  beneficial  ownership  shall be determined in accordance with Section
13(d)  of  the Securities Exchange Act of 1934, as amended, and Regulation 13d-3
thereunder.  Subject  to  the  foregoing,  the  Holder  shall  not be limited to
aggregate  exercises  which would result in the issuance of more than 4.99%. The
restriction  described in this paragraph may be revoked upon sixty-one (61) days
prior  notice  from  the Holder to the Company. The Holder may allocate which of
the  equity  of the Company deemed beneficially owned by the Subscriber shall be
included in the 4.99% amount described above and which shall be allocated to the
excess  above  4.99%.

     11.  Call.  The  Company  shall  have  the  option  to  "call" the Warrants
(the  "Warrant Call"), one or more times, in accordance with and governed by the
following:

          (a)  The  Company  shall  exercise  the  Warrant  Call  by  giving  to
the  Warrant  Holder  a  written  notice  of call (the "Call Notice") during the
period  in  which  the Warrant Call may be exercised. The effective date of each
Call Notice (the "Call Date") is the date on which notice is effective under the
notice  provision  of  Section  14  of  this  Warrant.

          (b)  The  Company's  right to exercise the Warrant Call shall commence
thirty  trading  days  after  the effective date of the a registration statement
covering  the  resale  of the shares of Common Stock underlying this Warrant and
end  thirty  trading  days  prior  to  the  Expiration  Date.

          (c)  The  number  of  shares  of  Common  Stock  to  be  issued  upon
exercise of the Warrant which are subject to a Call Notice must be registered in
a  registration  statement  effective  from twenty-two trading days prior to the
Call  Date  and  through  the  Delivery  Date.

          (d)  A  Call  Notice  may  be  given  not  sooner  than thirty trading
days  after  the  prior  Call  Date.

          (e)  A  Call  Notice  may  be  given  by  the Company only within five
trading  days after the Common Stock has had a closing price as reported for the
Principal Market (as defined in the Subscription Agreement) of not less than two
hundred  percent  (200%)  of the Purchase Price for ten (10) consecutive trading
days  ("Lookback  Period").

          (f)  The  amount  of  shares  of Common Stock in connection with which
a  Call  Notice  may  be given shall be for each Call Notice no more than thirty
percent  (30%)  of  the  aggregate  number of shares of Common Stock purchasable
hereunder.

          (g)  The  Common  Stock  must  be  listed  on the Principal Market for
the  Lookback  Period  and  through  the  Delivery  Date.

          (h)  The  Company  shall not have received   notice from the Principal
Market  during  the ninety calendar days prior to the Call Date that the Company
or  the  Common  Stock  does  not meet the requirements for continued quotation,
listing  or  trading  on  the  Principal  Market.

          (i)  The  Company  and  the  Common  Stock shall meet the requirements
for  continued  quotation,  listing  or  trading on the Principal Market for the
Lookback  Period  and  through  the  Delivery  Date.

          (j)  Unless  otherwise  agreed  to  by  the  Holder  of  this Warrant,
a  Call Notice must be given to all Warrant Holders who receive Warrants similar
to this Warrant (in terms of exercise price and other principal terms) issued on
or  about  the  same Issue Date as this Warrant, in proportion to the amounts of
Common  Stock  which  may  be  purchased  by  the  respective Warrant Holders in
accordance  with  the  respective  Warrants  held  by  each.

          (k)  The  Warrant  Holder  shall  exercise  his  Warrant  rights  and
purchase  the Called Common Stock and pay for same within thirty (30) days after
the  Call Date. If the Warrant Holder fails to timely pay the amount required by
the  Warrant  Call, the Company's sole remedy shall be to cancel a corresponding
amount  of  this  Warrant.

          (l)  The Company may not exercise the right to Call this Warrant after
the occurrence of a default by the Company of a material term of this Warrant or
the  Subscription  Agreement,  including  but  not limited to a Non-Registration
Event.

     12.  Warrant Agent. The Company may, by written notice to the Holder of the
Warrant,  appoint an agent (a "Warrant Agent") for the purpose of issuing Common
Stock  (or Other Securities) on the exercise of this Warrant pursuant to Section
1,  exchanging  this  Warrant  pursuant to Section 7, and replacing this Warrant
pursuant  to  Section  8,  or  any  of  the  foregoing,  and thereafter any such
issuance,  exchange  or  replacement,  as the case may be, shall be made at such
office  by  such  Warrant  Agent.

     13.  Transfer  on the Company's Books. Until this Warrant is transferred on
the  books of the Company, the Company may treat the registered holder hereof as
the  absolute  owner  hereof for all purposes, notwithstanding any notice to the
contrary.

     14. Notices. All notices, demands, requests, consents, approvals, and other
communications  required  or permitted hereunder shall be in writing and, unless
otherwise  specified  herein,  shall be (i) personally served, (ii) deposited in
the  mail,  registered  or certified, return receipt requested, postage prepaid,
(iii)  delivered  by reputable air courier service with charges prepaid, or (iv)
transmitted  by  hand  delivery,  telegram, or facsimile, addressed as set forth
below  or to such other address as such party shall have specified most recently
by written notice. Any notice or other communication required or permitted to be
given  hereunder shall be deemed effective (a) upon hand delivery or delivery by
facsimile,  with  accurate  confirmation generated by the transmitting facsimile
machine,  at  the address or number designated below (if delivered on a business
day  during  normal  business hours where such notice is to be received), or the
first  business  day  following  such  delivery  (if  delivered  other than on a
business  day  during normal business hours where such notice is to be received)
or  (b)  on  the  second  business  day following the date of mailing by express
courier  service,  fully  prepaid,  addressed  to  such  address, or upon actual
receipt  of  such  mailing,  whichever shall first occur. The addresses for such
communications  shall  be:  (i)  if  to  the  Company  to:

FTS  GROUP,  Inc.
1049C  Oxford  Valley  Rd.
Levittown,  PA  19057
Attn:  Scott  Gallagher,  CEO,
telecopier:  (215)  689-2748

with  a  copy  by  telecopier

Amy  Trombly
Trombly  Business  Law
1163  Walnut  Street,  Suite  7
Newton,  MA  02461
Phone  (617)  243-0060
Fax  (309)  406-1426

     15. Miscellaneous. This Warrant and any term hereof may be changed, waived,
discharged  or  terminated  only by an instrument in writing signed by the party
against  which  enforcement  of such change, waiver, discharge or termination is
sought.  This  Warrant  shall  be  construed and enforced in accordance with and
governed  by the laws of New York. Any dispute relating to this Warrant shall be
adjudicated  in  New  York County in the State of New York. The headings in this
Warrant  are  for  purposes  of reference only, and shall not limit or otherwise
affect  any  of  the  terms  hereof.  The  invalidity or unenforceability of any
provision  hereof  shall  in no way affect the validity or enforceability of any
other  provision.

    IN  WITNESS  WHEREOF,  the  Company  has  executed  this  Warrant  as  of
the  date  first  written  above.

                                       FTS  GROUP,  INC.

                                       ------------------------------
                                       By:
                                       Name:  Scott  Gallagher
                                       Title:  CEO

                                                                       Exhibit A

                              FORM OF SUBSCRIPTION
                   (to be signed only on exercise of Warrant)

TO:  FTS  GROUP,  INC.

The  undersigned,  pursuant  to the provisions set forth in the attached Warrant
(No.____),  hereby  irrevocably  elects  to  purchase  (check  applicable  box):

___  ________  shares  of  the  Common  Stock  covered  by  such  Warrant;  or

___  the  maximum  number  of  shares  of  Common  Stock covered by such Warrant
pursuant  to  the  cashless  exercise  procedure  set  forth  in  Section  2.

The  undersigned  herewith  makes  payment  of  the full purchase price for such
shares  at  the  price  per  share  provided  for  in  such  Warrant,  which  is
$___________.  Such  payment  takes the form of (check applicable box or boxes):

___  $__________  in  lawful  money  of  the  United  States;  and/or

___  the  cancellation of such portion of the attached Warrant as is exercisable
for  a  total  of  _______  shares of Common Stock (using a Fair Market Value of
$_______  per  share  for  purposes  of  this  calculation);  and/or

___  the  cancellation of such number of shares of Common Stock as is necessary,
in  accordance with the formula set forth in Section 2, to exercise this Warrant
with  respect  to  the  maximum  number  of  shares  of Common Stock purchasable
pursuant  to  the  cashless  exercise  procedure  set  forth  in  Section  2.

The  undersigned  requests  that  the  certificates  for  such  shares  be
issued  in  the  name  of,  and  delivered  to
_____________________________________________________  whose  address  is
_________________________________________________

The  undersigned  represents  and  warrants  that  all  offers  and sales by the
undersigned of the securities issuable upon exercise of the within Warrant shall
be made pursuant to registration of the Common Stock under the Securities Act of
1933,  as  amended  (the  "Securities  Act"),  or  pursuant to an exemption from
registration  under  the  Securities  Act

Dated:                             By:
      ----------------------            ----------------------------------------
                                        (Signature  must  conform  to  name  of
                                         holder  as specified on the face of the
                                         Warrant)

                                        (Address)
                                        ----------------------------------------

                                                                       Exhibit B

                         FORM OF TRANSFEROR ENDORSEMENT
                   (To be signed only on transfer of Warrant)

     For  value  received,  the undersigned hereby sells, assigns, and transfers
unto  the  person(s)  named  below  under  the  heading  "Transferees" the right
represented  by  the  within  Warrant  to  purchase the percentage and number of
shares  of  Common  Stock of FTS GROUP, INC. to which the within Warrant relates
specified  under the headings "Percentage Transferred" and "Number Transferred,"
respectively,  opposite  the  name(s)  of  such person(s) and appoints each such
person Attorney to transfer its respective right on the books of FTS GROUP, INC.
with  full  power  of  substitution  in  the  premises.

Transferees           Percentage  Transferred        Number  Transferred

Dated:  ______________

(Name)                                            (address)
(Signature  must  conform  to  name  of
holder  as  specified  on  the  face  of
the  warrant)

Signed  in  the  presence  of:

(Name)                                             (address)

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00081-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00081-of-00352.parquet"}]]