Common use of TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS Clause in Contracts

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. Tenant shall provide Landlord with:(A) certified financial statements by an authorized officer of Tenant regarding Tenant’s operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that Tenant has the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar month, (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to Landlord, to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. Tenant hereby agrees not to make any distributions to owners/investors of Tenant until such time as Tenant has achieved cash flow sufficient to establish a cash reserve equal to six (6) months of Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once Tenant has established the Working Capital Reserve in Tenant’s bank account (as certified to Landlord monthly), Tenant may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, Tenant covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ officers of Tenant shall be as set forth on the attached Exhibit 4, all of which will be annually certified as such by an authorized officer of Tenant on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of Tenant other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained, and (iii) absolutely no distributions will be made to owners/investors in Tenant unless and until the Working Capital Reserve amount has been achieved and is being maintained in Tenant’s bank account. During the Term hereof, Landlord, shall have full rights to inspect the books and records of Tenant on reasonable notice and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana Code. Landlord and Tenant acknowledge and agree that Landlord is not intended to nor will it actually have any control over Tenant’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a “Controlling Beneficial Owner” or “Passive Beneficial Owner” whatsoever in Tenant as such terms are defined under the Marijuana Code.

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. Tenant shall provide Landlord with:(A) certified financial statements by an authorized officer of Tenant regarding Tenant’s operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that Tenant has the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar month, and (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to Landlord, to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. Tenant hereby agrees not to make any distributions to owners/investors of Tenant until such time as Tenant has achieved cash flow sufficient to establish a cash reserve equal to six (6) months of Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once Tenant has established the Working Capital Reserve in Tenant’s bank account (as certified to Landlord monthly), Tenant may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, Tenant covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ officers of Tenant shall be as set forth on the attached Exhibit 4, all of which will be annually certified as such by an authorized officer of Tenant on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of Tenant other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained, and (iii) absolutely no distributions will be made to owners/investors in Tenant unless and until the Working Capital Reserve amount has been achieved and is being maintained in Tenant’s bank account. During the Term hereof, Landlord, shall have full rights to inspect the books and records of Tenant on reasonable notice and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana Code. Landlord and Tenant acknowledge and agree that Landlord is not intended to nor will it actually have any control over Tenant’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a “Controlling Beneficial Owner” or “Passive Beneficial Owner” whatsoever in Tenant as such terms are defined under the Marijuana Code.

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. On or before 20 days after the end of each month, Tenant shall provide Landlord with:(Awith: (A) certified financial statements by an authorized officer of Tenant regarding Tenant’s operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that Tenant has the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar monthdue, (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to LandlordLandlord (such acceptable accounting firms to include Pikes Peak Financial Group), to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. Tenant hereby agrees not to make any distributions to owners/investors of Tenant until such time as Tenant has achieved cash flow sufficient to establish a cash reserve equal to six (6) months of Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once Tenant has established the Working Capital Reserve in Tenant’s bank account (as certified to Landlord monthly), Tenant may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, Tenant covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ the employees and officers of Tenant shall be as set forth on the attached Exhibit 49.3, all of which will be annually certified as such by an authorized officer of Tenant on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of Tenant other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained9.3, and (iii) absolutely no distributions will be made to owners/investors in Tenant or to the officers and directors of Tenant in the form of stock or bonus unless and until (X) the Working Capital Reserve amount Security Deposit has been achieved funded in full and is being maintained in Tenant’s bank account(Y) the amount of monthly Excess Cash Flow on a stabilized basis exceeds (A) 1.25, multiplied by, (B) the monthly Base Rent (other than distributions to cover tax liabilities. During the Term hereof, Landlord, upon shall have full rights the right to inspect the books and records of Tenant on reasonable notice and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana Code. Landlord and Tenant acknowledge and agree that Landlord is not intended to nor will it actually have any control over Tenant’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a own or possess any “Controlling Beneficial OwnerAffiliated Interest” or “Passive Beneficial OwnerFinancial Interest” whatsoever in Tenant as such terms are term is as defined under the Marijuana CodeMMC or the CAR or other applicable Colorado law.

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. The Tenant Parties shall provide Landlord with:(A) certified financial statements by an authorized officer of each Tenant Party regarding Tenant’s the Tenant Parties’ operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that the Tenant has Parties have the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar month, (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to Landlord, to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. The Tenant Parties that are entities hereby agrees agree not to make any distributions to owners/investors of the Tenant Parties until such time as the Tenant has Parties have achieved cash flow sufficient to establish a cash reserve equal to six (6) months of the Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once the Tenant has Parties have established the Working Capital Reserve in Tenant’s the Tenant Parties’ bank account (as certified to Landlord monthly), the Tenant Parties may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, the Tenant Parties covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ owners/officers of the Tenant Parties shall be as set forth on the attached Exhibit 4, all of which will be annually certified as such by an authorized officer of each Tenant Party on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of any Tenant Party other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained, and (iii) absolutely no distributions will be made to owners/investors in a Tenant Party unless and until the Working Capital Reserve amount has been achieved and is being maintained in Tenant’s bank account. During the Term hereof, Landlord, shall have full rights to inspect the books and records of each Tenant Party on reasonable notice notice, subject to Tenant’s Access Requirements if such books and records are kept on the Premises, and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana CodeAct. Landlord and Tenant acknowledge and agree that Landlord is not intended to nor will it actually have any control over Tenant’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a “Controlling Beneficial Owner” or “Passive Beneficial Owner” whatsoever in Tenant as such terms are defined under the Marijuana CodeAct.

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. Tenant shall provide Landlord with:(Awith: (A) certified financial statements by an authorized officer of Tenant regarding Tenant’s operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that Tenant has the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar month, (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to Landlord, to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. Tenant hereby agrees not to make any distributions to owners/investors of Tenant until such time as Tenant has achieved cash flow sufficient to establish a cash reserve equal to six (6) months of Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once Tenant has established the Working Capital Reserve in Tenant’s bank account (as certified to Landlord monthly), Tenant may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, Tenant covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ the employees and officers of Tenant shall be as set forth on the attached Exhibit 49.3, all of which will be annually certified as such by an authorized officer of Tenant on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of Tenant other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained9.3, and (iii) absolutely no distributions will be made to owners/investors in Tenant unless and until the Working Capital Reserve amount has been achieved and is being maintained in Tenant’s bank account. During the Term hereof, Landlord, shall have full rights the right to inspect the books and records of Tenant on reasonable notice and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana Code. Landlord and Tenant acknowledge and agree that Landlord is not intended to nor will it actually have any control over Tenant’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a “Controlling Beneficial Owner” or “Passive Beneficial Owner” whatsoever in Tenant as such terms are defined under the Marijuana Code.

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. Tenant shall provide Landlord with:(A) certified with:(A)certified financial statements by an authorized officer of Tenant regarding Tenant’s operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that Tenant has the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar month, (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to Landlord, to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. Tenant hereby agrees not to make any distributions to owners/investors of Tenant until such time as Tenant has achieved cash flow sufficient to establish a cash reserve equal to six (6) months of Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once Tenant has established the Working Capital Reserve in Tenant’s bank account (as certified to Landlord monthly), Tenant may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, Tenant covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ the employees and officers of Tenant shall be as set forth on the attached Exhibit 4, all of which will be annually certified as such by an authorized officer of Tenant on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of Tenant other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained4, and (iii) absolutely no distributions will be made to owners/investors in Tenant unless and until the Working Capital Reserve amount has been achieved and is being maintained in Tenant’s bank account. During the Term hereof, Landlord, shall have full rights the right to inspect the books and records of Tenant on reasonable notice and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana Code. Landlord and Tenant acknowledge and agree that Landlord is not intended to nor will it actually have any control over Tenant’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a “Controlling Beneficial Owner” or “Passive Beneficial Owner” whatsoever in Tenant as such terms are defined under the Marijuana Code.

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. Tenant shall provide Landlord with:(Awith: (A) certified financial statements by an authorized officer of Tenant regarding Tenant’s operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that Tenant has the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar month, (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to Landlord, to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. Tenant hereby agrees not to make any distributions to owners/investors of Tenant until such time as Tenant has achieved cash flow sufficient to establish a cash reserve equal to six (6) months of Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once Tenant has established the Working Capital Reserve in Tenant’s bank account (as certified to Landlord monthly), Tenant may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, Tenant covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ the employees and officers of Tenant shall be as set forth on the attached Exhibit 49.3, all of which will be annually certified as such by an authorized officer of Tenant on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of Tenant other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained9.3, and (iii) absolutely no distributions will be made to owners/investors in Tenant unless and until the Working Capital Reserve amount has been achieved and is being maintained in Tenant’s bank account. During the Term hereof, Landlord, shall have full rights the right to inspect the books and records of Tenant on reasonable notice and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana Code. Landlord and Tenant Txxxxx acknowledge and agree that Landlord is not intended to nor will it actually have any control over TenantTxxxxx’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a “Controlling Beneficial Owner” or “Passive Beneficial Owner” whatsoever in Tenant as such terms are defined under the Marijuana Code.

TENANT’S FINANCIAL CONDITION AND OTHER OPERATING REPORTS. Tenant shall provide Landlord with:(A) certified financial statements by an authorized officer of Tenant regarding Tenant’s operations at the Premises, including standard profit and loss statements, actual sales vs. projected sales, an income statement and balance sheet, all of which show that Tenant has the financial wherewithal to meet its obligations as they are due within twenty (20) days after the end of each calendar month, (B) certified financials from an authorized officer or by a third party accounting firm reasonably acceptable to Landlord, to be delivered within 90 days of the end of each calendar year during the Term, and (C) a personal tax return for each of the Guarantors within 30 days after April 15th of each Lease Year. Tenant hereby agrees not to make any distributions to owners/investors of Tenant until such time as Tenant has achieved cash flow sufficient to establish a cash reserve equal to six (6) months of Tenant’s operating expenses, including but limited to, Rent (the “Working Capital Reserve”). Once Tenant has established the Working Capital Reserve in Tenant’s bank account (as certified to Landlord monthly), Tenant may distribute excess cash flow earned thereafter to its owners/investors in accordance with its Operating Agreement. In addition to and not by way of limitation of the foregoing, Tenant covenants and agrees that during the Term of this Lease, (i) the salaries for certain owners/ officers of Tenant shall be as set forth on the attached Exhibit 4, all of which will be annually certified as such by an authorized officer of Tenant on or before January 15th of each Lease year during the Term and (ii) absolutely no additional salary shall be paid to the identified owners/officers of Tenant other than as set forth on Exhibit 4 until and after the Working Capital Reserve has been established and so long as it is maintained, and (iii) absolutely no distributions will be made to owners/investors in Tenant unless and until the Working Capital Reserve amount has been achieved and is being maintained in Tenant’s bank account. During the Term hereof, Landlord, shall have full rights to inspect the books and records of Tenant on reasonable notice and during normal business hours and to have an audit of such books and records done at its own expense to confirm the accuracy and completeness thereof; provided, such audit is performed in connection with all Applicable Laws, including but not limited to, the Marijuana Code. Landlord and Tenant acknowledge and agree that Landlord is not intended to nor will it actually have any control over Tenant’s business located at the Premises or elsewhere rather it is intended to support the viability of Tenant and its ability to meet its financial obligations. This Lease is not intended to enable Landlord to become a “Controlling Beneficial Owner” or “Passive Beneficial Owner” whatsoever in Tenant as such terms are defined under the Marijuana Code.