CORPORATE FINANCE ADVISORY SERVICES AGREEMENT
XXXXXXXXX
CORPORATE INVESTOR SERVICES LLC (“XXXXXXXXX”) hereby agrees to provide to
Northern Business Acquisition Corp. (the “Company”) corporate finance advisory
services specifically and primarily designed to identify a privately-held merger
or acquisition target with historical and ongoing business operations for the
Company, with the objective of the Company combining with the target and having
its post-transaction shares became publicly-traded in the United
States.
1. |
General
Summary of Advisory
Services
|
XXXXXXXXX
agrees to provide to the Company general advisory services, which shall
include;
[a] |
Identification
of appropriate merger or acquisition candidates with historical and
ongoing business operations
|
[b] |
Assistance
with negotiations with the target company
(the “Target”)
|
2. |
Costs
for Advisory Services
|
2.1 |
Payment
in Shares.
The advisory services to be provided by XXXXXXXXX shall commence
upon the
receipt by XXXXXXXXX of an executed copy of this Advisory Services
Agreement and the issuance by the Company to XXXXXXXXX (or designees
of
XXXXXXXXX) of shares of the common stock of the Company (the “Stock”),
with the understanding that the Stock shall represent no less than
10% of
the Company’s shares outstanding, on a fully diluted basis, after the
acquisition of, or merger with, the
Target.
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2.2 |
Stock
Certificates.
Certificates representing the Stock shall be registered in XXXXXXXXX’x
name [or designees of XXXXXXXXX] [or an appropriate book entry shall
be
made]. Certificates shall be issued to XXXXXXXXX and registered in
the
name of XXXXXXXXX [or designees of
XXXXXXXXX].
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2.3 |
Adjustments
to Stock.
If there is any change, increase or decrease, in the outstanding
shares of
the Company’s common stock which is effected without receipt of additional
consideration by the Company, by reason of a stock dividend, stock
split,
recapitalization, merger, consolidation, combination or exchange
of stock,
or other similar circumstances, or if there is a spin-off or other
distribution of assets to the Company’s stockholders, other than the
acquisition of the Target, the Company shall make an appropriate
adjustment in the aggregate number of shares of Stock. Such adjustment
shall be identical to the adjustment made generally with respect
to
outstanding shares of the Company’s common stack. Any additional
securities or other property issued to XXXXXXXXX as a result of any
of the
foregoing events shall continue to be subject to the terms of this
Agreement to the same extent as the Stock giving rise to the right
to
receive such additional securities or other
property.
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3. |
Disclosure
|
Additionally,
it is acknowledged that XXXXXXXXX, or an affiliate of XXXXXXXXX may enter,
or
has entered into a services agreement with many or all the potential merger
or
acquisition candidates to which XXXXXXXXX will introduce the Company, and that
XXXXXXXXX, or an affiliate of XXXXXXXXX may be receiving cash fees from the
Target.
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4. |
Representation
and Warranties
|
4.1 |
Company.
The Company represents and warrants to XXXXXXXXX as follows:
[i] The
Company has been duly formed; [ii] the execution of this Agreement
has
been duly authorized by the Company and does not require the
consent of or
notice to any party not previously obtained or given, and [iii]
The
Company shall indemnify and save XXXXXXXXX harmless against any
claims,
damages, liabilities and causes of action, including but not
limited to
reasonable attorney fees, which arise by reason of the consulting
services
provided by XXXXXXXXX hereunder, or by reason of an act XXXXXXXXX
may do
on behalf of, or at the request of the Company, providing that
XXXXXXXXX’x
actions and activities in providing consulting services hereunder,
and any
such act undertaken by XXXXXXXXX on behalf of, or at the request
of the
Company, actions or activities are consistent with the provisions
of this
Agreement, are undertaken in good faith, and do not involve gross
negligence or wanton or willful misconduct by
XXXXXXXXX.
|
4.2 |
XXXXXXXXX.
XXXXXXXXX represents and warrants to the Company as follows:
[i] XXXXXXXXX
has been duly formed under the laws of the State of Colorado:
[ii] the
execution of this Agreement and the performance of XXXXXXXXX’X obligations
hereunder does not require the consent of or notice to any party
not
previously obtained or given, and, there is nothing that prohibits
or
restricts the execution by XXXXXXXXX of this Agreement or its
performance
of its obligations
hereunder.
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4.3 |
XXXXXXXXX’x
investment Representations.
XXXXXXXXX acknowledges that the Stock to be issued by the Company
pursuant
to this Agreement has not been registered under the Securities
Act, or any
applicable state securities laws, and is being offered and sold
pursuant
to exemptions from such registration requirements based in part
upon
XXXXXXXXX’x representations and acknowledgments contained in this
Agreement, including the
following:
|
[a] |
XXXXXXXXX
warrants and represents to the Company that XXXXXXXXX is acquiring
the
Stock on XXXXXXXXX’x own account for investment and not with a view to or
for sale in connection with any distribution of the Stock or with
any
present intention of distributing or selling the Stock and Participant
does not presently have reason to anticipate any change in circumstances
or any particular occasion or event which would cause XXXXXXXXX to
sell
the Stock;
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[b] |
XXXXXXXXX
acknowledges that XXXXXXXXX must bear the economic risk of this investment
indefinitely unless the Stock is registered pursuant to the Securities
Act
and applicable state securities laws or an exemption from such
registration is available;
|
[c] |
XXXXXXXXX
understands there is no assurance that any exemption from registration
under the Securities Act and applicable state securities laws
will be
available in the future;
and
|
[d] |
XXXXXXXXX
represents that, by reason of XXXXXXXXX’x relationship with the Company
and XXXXXXXXX’x business and financial expertise, XXXXXXXXX has the
capacity to protect XXXXXXXXX’x own interests in connection with the
transactions contemplated by this
Agreement.
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5. |
Covenants
|
Each
of
XXXXXXXXX and the Company covenant that it will diligently, skillfully and
in
good faith do and perform the acts and duties required herein.
6. |
Miscellaneous
|
6.1 |
Rights
as a Stockholder.
XXXXXXXXX shall have, with respect to the Stock, all of the rights
of a
stockholder of the Company, including the right to vote the Stock
and the
right to receive any dividends or other distributions with respect
thereto.
|
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6.2 |
Validity
of Share Issuance.
The shares of Stock have been duly authorized by all necessary corporate
action of the Company and are validly issued, fully paid and
non-assessable.
|
6.3 |
Further
Action.
The parties agree to execute such further instruments and to take
such
further action as reasonably may be necessary to carry out the intent
of
this Agreement.
|
6.4 |
Notice.
All notices, requests, demands, directions and other communications
[“Notices”] provided for in this Agreement shall be in writing and shall
be mailed or delivered personally or sent by facsimile to the applicable
Party at the address of such Party set forth below in this Section
6.4.
When mailed, each such Notice shall be sent by first class, certified
mail, return receipt requested, enclosed in a postage prepaid wrapper,
and
shall be effective on the third business day after it has been deposited
in the mail. When delivered personally, each such Notice shall be
effective on the first business day on which or after which it is
delivered to the address for the respective Party set forth in this
Section 6.4. When sent by facsimile, each such Notice shall be effective
on the first business day on which or after which it is sent. Each
such
Notice shall be addressed to the Party to be notified as shown
below:
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THE
COMPANY:
Northern
Business Acquisition Corp.
Attention:
Xxxx Xxxxxx
00
Xxxxx Xxxxxxx
Xxxxxx,
XX 00000
Fax:
(000) 000-0000
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XXXXXXXXX: |
XXXXXXXXX
CORPORATE INVESTOR SERVICES LLC
Attention:
Xxxxxxx X. Xxxxxxxxx, Managing Member
00
Xxxxxx Xxxxxx, Xxxxx 00
Denver,
CD 80206
Fax:0-000-000-0000
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Either
Party may change its respective address for purposes of this Section 6.4 by
giving the other Party Notice of the new address in the manner set forth
above.
6.5 |
Severability.
Whenever possible, each provision of this Agreement shall be
interpreted
in such a manner as to be effective and valid under applicable
law. If any
provision of this Agreement shall be or become prohibited or
invalid in
whole or in part for any reason whatsoever, that provision shall
be
ineffective only to the extent of such prohibition or invalidity
without
invalidating the remaining portion of that provision or the remaining
provisions of this
Agreement.
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6.6 |
Non-Waiver.
The waiver of any Party of a breach or a violation of any provision
of
this Agreement shall not operate or be construed as a waiver
of any
subsequent breach or violation of any provision of this
Agreement.
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6.7 |
Amendment.
No amendment or modification of this Agreement shall be deemed
effective
unless and until it has been executed in writing by the Parties
to this
Agreement. No term or condition of this Agreement shall be deemed
to have
been waived, nor shall there be any estoppel to enforce any provision
of
this Agreement, except by a written instrument that has been
executed by
the Party charged with such waiver or
estoppel.
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6.8 |
Inurement.
This Agreement shall be binding upon all of the Parties, and
it shall
benefit respectively, each of the Parties, and their respective
employees,
agents and successors. Except as expressly provided herein, there
are no
third party beneficiaries to this Agreement, and this Agreement
shall not
be assignable by any
party.
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6.9 |
Headings.
The headings to this Agreement are for convenience only, they
form no part
of this Agreement and shall not affect its
interpretation.
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6.10 |
Counterparts.
This Agreement may be executed in one or more counterparts, all of
which
taken together shall constitute a single
instrument.
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6.11 |
Arbitration.
Any controversy or claim arising out of or relating to this Agreement,
or
the breach thereof, shall be settled in Denver, Colorado by arbitration
[except as provided below], in accordance with the rules then
obtaining,
of the American Arbitration Association [the “Association”]. If the
subject of the arbitration involves an intellectual property,
corporate,
or bankruptcy matter, as determined by the Association, then
the
arbitrator[s] shall have had experience in that subject. The
Association
is authorized to make arrangements for this arbitration, to be
held under
these rules in any locality in the United States agreed upon
by the
parties or as designated by the Association. In addition, in
the event of
a dispute for which the aggrieved party seeks immediate equitable
relief,
including without limitation an injunction, the appropriate action
may be
brought in any court with appropriate jurisdiction, provided
that any such
equitable relief shall be subject to modification by the court
after
completion of arbitration of the dispute. This Agreement shall
be
enforceable, and judgment upon any award rendered by all or a
majority of
the arbitrators may be entered, in any court of any county having
jurisdiction.
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6.12 |
Choice
of Law.
This Agreement shall be construed in accordance with the laws of
the State
of Colorado of the United States without regard to conflicts of laws
principles.
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IN
WITNESS WHEREOF, the Parties have executed this Agreement, as of the date set
forth below.
NORTHERN BUSINESS ACQUISITION CORP. | |||
/s/ Xxxx Xxxxxx | |||
Xxxx Xxxxxx |
|||
Title PRESIDENT | |||
Date 6-17-05 |
XXXXXXXXX CORPORATE INVESTOR SERVICES LLC | |||
By: /s/ Xxxxxxx X. Xxxxxxxxx |
6-17-05
|
||
Xxxxxxx
X. Xxxxxxxxx, Managing Member
|
Date | ||
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