-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, A6q9/LXQxQGn4l1KZEkDyOCWfY71CyfIWmZ1VcePMoIjHpBc5u0eYSXhsDPKEvT7 6HBxwGqbZonqfgNtdqc0rQ== 0001269678-08-000135.txt : 20080501 0001269678-08-000135.hdr.sgml : 20080501 20080501123149 ACCESSION NUMBER: 0001269678-08-000135 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20080425 ITEM INFORMATION: Entry into a Material Definitive Agreement ITEM INFORMATION: Completion of Acquisition or Disposition of Assets ITEM INFORMATION: Unregistered Sales of Equity Securities ITEM INFORMATION: Changes in Control of Registrant ITEM INFORMATION: Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20080501 DATE AS OF CHANGE: 20080501 FILER: COMPANY DATA: COMPANY CONFORMED NAME: COPsync, Inc. CENTRAL INDEX KEY: 0001383154 STANDARD INDUSTRIAL CLASSIFICATION: COMPUTER COMMUNICATIONS EQUIPMENT [3576] IRS NUMBER: 980513637 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 333-140320 FILM NUMBER: 08793446 BUSINESS ADDRESS: STREET 1: 2010 FM 2673 CANYON LAKE CITY: COMAL COUNTY STATE: TX ZIP: 78133 BUSINESS PHONE: 830-964-3838 MAIL ADDRESS: STREET 1: 2010 FM 2673 CANYON LAKE CITY: COMAL COUNTY STATE: TX ZIP: 78133 FORMER COMPANY: FORMER CONFORMED NAME: GLOBAL ADVANCE CORP DATE OF NAME CHANGE: 20061208 8-K 1 copysync8k042908.htm COPsync, Inc. - Form 8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K


CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 1, 2008

COPsync, Inc.
(Name of small business in its charter)

Delaware
333-140320
98-0513637
(State of incorporation)
(Commission File Number)
(IRS Employer Identification No.)


2010 FM 2673 Canyon Lake, Comal County, TX
 
78133
 
(Address of principal executive offices)
(Zip Code)
 


830.964.3838
(Registrant's telephone number, including area code)


Global Advance Corporation
(Former Name, if changed since last report.)


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
   
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
   
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
   
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))





SECTION 1- REGISTRANT'S BUSINESS AND OPERATIONS

Item 1.01 Entry into a Material Definitive Agreement.

  A. Share Exchange Agreement

On April 25, 2008, the Registrant entered into a share exchange agreement and plan of Share Exchange with PostInk Technology LP ("PostInk") (the "Share Exchange Agreement"). A copy of the Share Exchange Agreement is filed as Exhibit 10.1 to this Current Report.

The transaction described in the Share Exchange Agreement is referred to in this Current Report as the "Share Exchange Agreement." A summary of the Share Exchange Transaction, as well as the material terms and conditions of the Share Exchange Agreement, are set forth below, but such summary is qualified in its entirety by the terms and condition of the Share Exchange Agreement, which are incorporated herein by this reference.

              1.    The Parties to the Share Exchange Agreement

Global Advance Corporation, (the "Company") was incorporated in Delaware on October 23, 2006. Our principal offices are located at 2045 FM 2673, Suite 1 Canyon Lake, Comal County, Texas 78133.

We currently own the technology for a two-foot operated mouse and its prototype. The related technology including the entire rights, title and interest in, including a working prototype of, the two-foot operated mouse was acquired by us from IdeaPlus Ltd on November 28, 2006. Subsequently, on December 21, 2006 we applied for a patent for the "two-foot operated mouse" (Patent Application No: 11/614,150. The device is intended to assist those who are unable or prefer to use their feet to operate a computer by replacing a standard hand-controlled mouse device with a two-foot operated mouse which functions in the same way as a standard device, but is controlled by the user's feet.

About PostInk Technology LP

PostInk Technology LP is a Texas limited partnership having their principal offices located at 2010 FM 2673 Canyon Lake, Comal County, TX 78133.

PostInk has developed the first integrated software product COPsync, that provides a real-time, nationwide information sharing network for all law enforcement officers to identify wanted or dangerous persons in all 50 states and internationally while in the field and provides global networking capabilities (See Description of the Business below).

              2.    The Share Exchange Agreement

Pursuant to the Share Exchange Agreement, the Registrant acquired 100% of PostInk Technology LP (See Share Exchange Agreement attached as Exhibit 10.1).

              3.    The Share Exchange Consideration


Under the Share Exchange Agreement, in exchange of surrendering their ownership interest in PostInk, the PostInk Shareholders received a stock consideration and cashless warrants. The stock consideration consisted of 25,000,005 newly issued shares of the Registrant's common stock and 100,000 Series A preferred shares, which were divided among the PostInk Shareholders in accordance with their respective ownership interests in PostInk immediately before the completion Share Exchange Transaction. The cashless warrant consideration consisted of 75,000,000 warrants, again divided proportionally among the PostInk Shareholders in accordance with their respective ownership interests in PostInk immediately before the completion Share Exchange Agreement.





              4.    The Share Exchange Agreement


There was no delay between the signing of the Share Exchange Agreement and the closing of the Share Exchange Agreement, both occurred on April 25, 2008. The Share Exchange Agreement contains customary terms and conditions for a transaction of this type, including representations, warranties and covenants, as well as provisions describing the Share Exchange consideration, the process of exchanging the consideration and the effect of the Share Exchange. The Share Exchange Agreement contains reciprocal indemnification provisions that provide for indemnification in the event of a breach of a representation or warranty. The indemnification provisions survive the closing of the Share Exchange Transaction.

              5.    Material Relationships

There were no material relationships between the Registrant or its affiliates and any of the parties to the Share Exchange Agreement, other than in respect of the Share Exchange Agreement.

SECTION 2- FINANCIAL INFORMATION

Item 2.01 Completion of Acquisition or Disposition of Assets.

              On April 25, 2008, the Registrant entered into the Share Exchange Agreement, pursuant to which the Registrant completed the Share Exchange Transaction and acquired 100% of PostInk Technology LP. The Share Exchange was completed and closing occurred on April 25, 2008.

              In exchange for transferring PostInk to the Registrant, PostInk received stock consideration consisting of 25,000,005 newly issued shares of the Registrants common stock, 100,000 Series A preferred shares and 75,000,000 cashless warrants, which were again divided among the PostInk shareholders in accordance with their respective ownership interests in PostInk immediately before the completion Share Exchange Agreement.

              There were no material relationships between the Registrant or its affiliates and any of the parties to the Share Exchange Agreement, other than in respect of the Share Exchange Agreement.

  A. Description of Business

PostInk has developed the first integrated software product, COPsync, that provides a real-time, nationwide information sharing network for all law enforcement officers to identify wanted or dangerous persons in all 50 states and internationally while in the field and provides global networking capabilities.

COPsync, Inc. is poised and in a unique position to become one of the fastest growing Software Technology Providers to Law Enforcement and Emergency Service professionals. COPsync, Inc. is the only Law Enforcement software provider to have full information sharing networking available to all subscribing agencies. The Law Enforcement officer of the future will be armed, in REAL TIME, with critical information necessary to protect the public and themselves.
   
COPsync, Inc. currently has over 3600+ Police Officers committed to utilize COPsync™ Software Technology on a daily basis in the performance of their duties. Beta testing is complete and COPsync™ is available for general release, as a result the number of committed officers will rapidly grow.





COPsync, Inc. must obtain funding to establish a favorable balance sheet to implement the existing contracts with 71 Law Enforcement agencies currently subscribed to COPsync™.
   
COPsync™ provides an innovative and open architecture software platform. Most software vendors in this space continue to maintain and support closed architecture systems with archaic methodologies related to providing information to the officer on the street and interagency information sharing.
   
Law Enforcement agencies and Associations at the Federal, State and Local levels are pushing information sharing initiatives. Global Justice XML standards were developed and have been published by the US Federal Government since 1997. To date, interoperability between Law Enforcement agencies in the United States fails to exist. This failure is directly related to software vendors that have remained focused on their existing methods of doing business including proprietary development, which does not focus on global information sharing. COPsync, Inc. will fulfill the interoperability role through the deployment of COPsync™. COPsync™ is an overlay product to existing technologies that can be deployed without jeopardizing the existing vendor relationships. COPsync, Inc.'s method of data integration will bring existing vendors into compliance with federal mandates established after 9/11.
   
COPsync, Inc. has successfully been approved to utilize government provided funding and Homeland Security funds for the integration and implementation of its technology in Law Enforcement Agencies. This is a true milestone, being that NO other software vendors in this space have qualified for Information Sharing Grants. These grants currently maintain billions of dollars to be utilized for informational sharing purposes.
   
COPsync, Inc. is poised to rapidly expand in the trillion Dollar Law Enforcement, Emergency Service and Fire District profession. This growth can be quickly realized leveraging Homeland Security grant initiatives. COPsync, Inc. will see this growth through the culmination of technology and strategic partnerships with marquee corporations such as General Dynamics, Dell, Intergraph, NavTec, CDWG, Panasonic, Lockheed Martin, Remington Arms and Tyler Technology.
   
COPsync, Inc. provides the first real-time worldwide information sharing network for Law Enforcement officers to identify criminals, communicate with other officers on a unified system, and access life saving and/or mission critical information at the point of incident via Laptop Computer or Handheld devices.

Risk Factors
Need for ongoing financing.


The Registrant will need additional capital to continue operations and will endeavor to raise funds through the sale of equity shares and revenues from operations. There can be no assurance that the Registrant will generate revenues from operations or obtain sufficient capital on acceptable terms, if at all. Failure to obtain such capital or generate such operating revenues would have an adverse impact on financial position and results of operations and ability to continue as a going concern. Operating and capital requirements during the next fiscal year and thereafter will vary based on a number of factors, including the level of sales and marketing activities for our services and products. There can be no assurance that additional private or public financing, including debt or equity financing, will be available as needed, or, if available, on terms favorable to the Registrant. Any additional equity financing may be dilutive to stockholders and such additional equity securities may have rights, preferences, or privileges that are senior to those of the Registrant's existing common stock.






Furthermore, debt financing, if available, will require payment of interest and may involve restrictive covenants that could impose limitations on operating flexibility. The Registrant's failure to successfully obtain additional future funding may jeopardize the ability to continue our business and operations. If the Registrant can raise additional funds by issuing equity securities, existing stockholders may experience a dilution in their ownership. In addition, as a condition to giving additional funds, future investors may demand, and may be granted, rights superior to those of existing stockholders.

Cautionary factors that may affect future results.


The Registrant provides the following cautionary discussion of risks, uncertainties, and possible inaccurate assumptions relevant to its business and products. These are factors that could cause actual results to differ materially from expected results. Other factors besides those listed here could adversely affect the Registrant.

Potential fluctuations in quarterly operating results.

The Registrant's quarterly operating results may fluctuate significantly in the future as a result of a variety of factors, most of which are outside its control, including the demand for services, seasonal trends in purchasing, the amount and timing of capital expenditures; price competition or pricing changes in the industry; technical difficulties or system downtime; general economic conditions, and economic conditions specific to the industry. The quarterly results may also be significantly impacted by the impact of the accounting treatment of acquisitions, financing transactions or other matters. Due to the foregoing factors, among others, it is likely that the operating results will fall below expectations or those of investors in some future quarter.

Lack of independent Directors.

The Registrant cannot guarantee that its board of Directors will have a majority of independent Directors in the future. In the absence of a majority of independent Directors, the executive officers, could establish policies and enter into transactions without independent review and approval thereof. This could present the potential for a conflict of interest between the Registrant and its stockholders generally and the controlling officers, stockholders or Directors.

Management of potential growth.

The Registrant may experience rapid growth which will place a significant strain on its managerial, operational, and financial systems resources. To accommodate its current size and manage growth, the Registrant must continue to implement and improve its financial strength and operational systems, and expand, train and manage its sales and distribution base. There is no guarantee that the Registrant will be able to effectively manage the expansion of its operations, or that its facilities, systems, procedures, or controls will be adequate to support its expanded operations. The Registrant's inability to effectively manage its future growth would have a material adverse effect.

The Registrant depends heavily on key personnel and loss of the services of one or more of its key executives or a significant portion of any prospective local management personnel could weaken the management team adversely affecting the operations.

The Registrant's success largely depends on the skills, experience and efforts of its senior management, particularly the Chief Executive Officer, Russell Chaney. Operations will also be dependent on the efforts, ability and experience of key members of the prospective local management staff. The loss of services of one or more members of the senior management or of a significant portion of any of local management staff could weaken significantly management expertise and the ability to deliver health care services efficiently. The Registrant does not maintain key man life insurance policies on any of its officers, although it intends to obtain such insurance policies in the future.






  B. Plan of Operation

              Forward Looking Statements

Much of the discussion in this Item is "forward looking" as that term is used in Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934. Actual operations and results may materially differ from present plans and projections due to changes in economic conditions, new business opportunities, changed business conditions, and other developments. Other factors that could cause results to differ materially are described in our filings with the Securities and Exchange Commission. The information constitutes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.

There are several factors that could cause actual results or events to differ materially from those anticipated, and include, but are not limited to general economic, financial and business conditions, changes in and compliance with governmental laws and regulations, including various state and federal environmental regulations, our ability to obtain additional financing from outside investors and/or bank and mezzanine lenders and the ability to generate sufficient revenues to cover operating losses and position the Registrant to achieve positive cash flow.

Readers are cautioned not to place undue reliance on the forward-looking statements contained herein, which speak only as of the date hereof. We believe the information contained in this Current Report on Form 8-K to be accurate as of the date hereof. Changes may occur after that date. We will not update that information except as required by law in the normal course of our public disclosure practices.

Additionally, the following discussion regarding our financial condition and results of operations should be read in conjunction with the financial statements and related notes contained in our Form 10-KSB for the fiscal year ended December 31, 2007.

The Registrant will need additional capital to continue operations and will endeavor to raise funds through the sale of equity shares and revenues from operations. There can be no assurance that the Registrant will generate revenues from operations or obtain sufficient capital on acceptable terms, if at all. Failure to obtain such capital or generate such operating revenues would have an adverse impact on the Registrant's financial position and results of operations and ability to continue as a going concern. Operating and capital requirements during the next fiscal year and thereafter will vary based on a number of factors, including the level of sales and marketing activities for services and products. There can be no assurance that additional private or public financing, including debt or equity financing, will be available as needed, or, if available, on terms favorable to the Registrant. Any additional equity financing may be dilutive to stockholders and such additional equity securities may have rights, preferences, or privileges that are senior to those of the Registrant's existing common stock.

  C. Description of Property

              The Registrant does not own any real estate properties, instead it leases. The Registrant's executive offices are located at 2010 FM 2673, Canyon Lake, Comal County, Texas 78133.

  D. Security Ownership of Certain Beneficial Owners and Management

At the closing of the Share Exchange, the Registrant issued 25,000,005 shares of its common stock to the PostInk Shareholders. After giving effect to the Share Exchange Agreement and the forward split, there were issued and outstanding 40,986,255 shares of the Registrant's common stock.

The following tables set forth certain information, as of April 25, 2008, concerning shares of common stock of the Registrant, the only class of its securities that are issued and outstanding, held by (1) each shareholder known by the Registrant to own beneficially more than five percent of the common stock, (2) each shareholder known by the Registrant to own beneficially more than five percent of the preferred stock (3) each Director of the Registrant, (4) each executive officer of the Registrant, and (5) all Directors and executive officers of the Registrant as a group:






Common Stock Beneficially Owned
Name and Address of Beneficial Owner
Amount and Nature
of Beneficial Ownership
Percentage of
Common Stock
Russell Chaney (CEO & Chairman)
11,231,188
27.8%
Shane Rapp (President & Director)
3,662,344
9.07%
All Directors and executive officers as a group
(2 persons )
14,893,532
36.87%
All Shareholders as a group
14,893,532
36.87%

There are no arrangements, known to us, including any pledge by any person of our securities, the operation of which may at a subsequent date result in a change in control of the Registrant.

There are no arrangements or understandings among members of both the former and the new control groups and their associates with respect to election of Directors or other matters.

  E. Directors and Executive Officers, Promoters and Control Persons

On April 25, 2008, Russell Chaney was appointed as the Registrant's Chief Executive Officer and Member of the Board of Directors nominee and Shane Rapp was appointed as President and as a Member of the Board of Directors nominee.

There are no family relationships between the Directors, executive officers, or persons nominated or chosen by the Registrant to become Directors or executive officers. During the last two years, there have been no transactions, or proposed transactions, to which the Registrant was or is to be a party, had or is to have a direct or indirect material interest.

Biographies

Russell Chaney - 46- Chief Executive Officer/Chairman of the Board Nominee.


As CEO of PostInk Technology, LP since March 2003, Mr. Chaney has led the company from inception to its current position as the only true nationwide Law Enforcement Information Sharing Technology. His expertise in marketing, combined with his consumer technology experience, has helped PostInk Technology, LP evolve into a leading company that will reshape the Law Enforcement profession around the world through enhanced investigative technologies.

Prior to PostInk Technology, Mr. Chaney worked with eBay, Inc. serving the eBay Motors and CARad.com division, as well as Dean of Education for the eBay Motors University. During his eBay tenure, he worked closely with the Business Development team to eliminate Automobile Dealer turnover. Mr. Chaney was instrumental in the merger of management teams between CARad.com and eBay, Inc.

Before eBay, Mr. Chaney served as CEO and Founder of CARad.com. He was responsible for the development, launch and rise of CARad.com to its status as the first eBay Motors Professional Service Provider. Through Mr. Chaney, CARad.com provided listing assistance technology to eBay Motors. He led CARad.com from inception through its successful acquisition by eBay, Inc.

From 1997 to 2000, Mr. Chaney worked with Collins Industries, Inc serving the company as a Regional Business Development Manager for the Wheeled Coach Ambulance Manufacturing Division. Mr. Chaney began his career in the Automobile Parts Manufacturing profession managing various automotive retail stores in the Houston, Texas market, then moving to the position of Territory Manager with Standard Motor Products, Inc.






Mr. Chaney started his career in Public Safety in 1983 as a volunteer Emergency Medical Technician with the Canyon Lake Volunteer Fire and EMS. After 4-years of active participation it became obvious that the next step to best serve his community would be for him to advance to State Certified Police Officer. Mr. Chaney completed his Law Enforcement training with San Antonio College in 1989 and immediately began serving his County as a Deputy Constable - where he continues to serve currently.

Mr. Chaney received a Bachelor of Science Degree - Criminal Justice - from Southwest Texas State University.

Shane Rapp -32- President & Director Nominee.


As President of PostInk Technology, LP, Mr. Rapp is responsible for the development of the PostInk Technology geared to fit a worldwide user base. He oversees strategic implementation, planning, marketing, operations, product development and business development for PostInk Technology.

Prior to joining PostInk Technology, Mr. Rapp served as Product Manager for CARad.com where he managed CARad's Texas Office and its employees. After CARad.com was acquired by eBay, Inc., he served eBay's Automobile Dealers and Software Developers as an instrumental liaison to implement technologies around the needs of the community.

Mr. Rapp was an instrumental asset to the development of CARad serving the company as Co-Founder and President. He worked directly with eBay to bring CARad and eBay together to implement an API development to seamlessly streamline the end user experience at both CARad and eBay Motors.

Mr. Rapp started his career as a Public Servant in 1996 by attending the San Antonio Police Academy graduating in 1997. He immediately began serving the citizens of Comal County, Texas as a Deputy Constable. He furthered his Law Enforcement education by obtaining a Texas Communications Officers Certification and Texas Communications Officers Supervisors Certification. In 2004 Mr. Rapp made a decision to more closely serve his community by taking the step to run for Public Office as Constable for Precinct #4. He won the election after a fierce battle from three others seeking the same office. Mr. Rapp continues to serve the Constituents of Precinct #4 as their elected constable.

  F. Executive & Director Compensation

Executive Compensation


No officer or Director received any remuneration or compensation from the Company for the fiscal year ended 2007. The Company currently has no stock option, retirement, pension, profit-sharing programs, or similar plans for the benefit of its Directors, officers or other employees.

The Company has no written employment agreements with any of its officers or Directors.

The Company anticipates that it will pay compensation to its officers and Directors in the future although no final determinations have been made as of the date hereof.

  G. Certain Relationships and Related Transactions

              Except as otherwise disclosed herein or incorporated herein by reference, there have not been any transactions, or proposed transactions, during the last two years, to which the Registrant was or is to be a party, in which any Director or executive officer of the Registrant, any nominee for election as a Director, any security holder owning beneficially more than five percent of the common stock of the Registrant, or any member of the immediate family of the aforementioned persons had or is to have a direct or indirect material interest.






  H. Description of Securities

              Common


              As of April 25, 2008, the Company had 40,986,255 common shares issued and outstanding. Each share of common stock entitles the holder thereof to one vote on each matter that may come before a meeting of the shareholders of the Company. As a result of the closing of the Share Exchange Agreement by and between PostInk Technology LP and the Issuer, PostInk shareholders became the owners of approximately 86.6% of the issued and outstanding common stock of the Company on a fully diluted basis.

              Preferred

              On April 6, 2008, the Company amended and restated its Articles of Incorporation to designate a "Series A Preferred Stock" also at $0.0001 par value, of which 100,000 will be designated as "Series A Preferred Stock" which will carry 750 to 1 conversion and voting rights and privileges.

  I. Market Price of and Dividends on the Registrant's Common Equity and Related Stockholder Matters

              We currently have 40,986,255 shares of our common stock and 100,000 Series A preferred shares outstanding. Our shares of common stock are held by approximately 41 stockholders of record. The number of record holders was determined from the records of our transfer agent and does not include beneficial owners of common stock whose shares are held in the names of various security brokers, dealers, and registered clearing agencies.

              The Registrant has no plans to declare cash dividends on its common stock in the future and has not declared any thus far during fiscal year 2007 or during the last two completed fiscal years. There are no restrictions that limit the ability of the Registrant to declare cash dividends on its common stock and the Registrant does not believe that there are any that are likely to do so in the future.

  J. Legal Proceedings

              This Issuer is not aware of any threatened or pending legal proceedings.

  K. Indemnification of Directors and Officers

              The Registrant will indemnify its Directors and officers to the fullest extent permitted by the General Corporation Law of the State of Delaware.


SECTION 3- SECURITIES AND TRADING MARKETS

Item 3.02 Unregistered Sales of Equity Securities.

  A. Issuance Pursuant to the Share Exchange Agreement

              On or about April 25, 2008, the Registrant issued 25,000,005 shares of its common stock and 100,000 Series A preferred shares to the PostInk shareholders. The shares were issued as consideration in the Share Exchange Transaction pursuant to the Share Exchange Agreement, which is described above under Item 1.01 of this Current Report.

  1. Section 4(2) of the Securities Act

The shares were issued to the PostInk Shareholders without registration under Section 5 of the Securities Act of 1933 in reliance on the exemption from registration contained in Section 4(2) of the Securities Act. The requirements to qualify to use this exemption are described above.






The Registrant believes that all of the requirements to qualify to use the exemption from registration contained in Section 4(2) of the Securities Act have been satisfied in connection with the issuance of the shares to the Contributing Shareholders. Specifically, (1) the Registrant has determined that the Contributing Shareholders are knowledgeable and experienced in finance and business matters and thus they are able to evaluate the risks and merits of acquiring the Registrant's securities; (2) the Contributing Shareholders have advised the Registrant that they are able to bear the economic risk of purchasing the Registrant's common stock; (3) the Registrant has provided the Contributing Shareholders with access to the type of information normally provided in a prospectus; (4) pursuant to the Share Exchange Agreement, the Contributing Shareholders have agreed not to resell or distribute the securities to the public; and (5) the Registrant did not use any form of public solicitation or general advertising in connection with the issuance of the shares.

SECTION 5- CORPORATE GOVERNANCE AND MANAGEMENT

Item 5.01 Changes in Control of the Registrant.

Immediately prior to the completion of the Share Exchange, Beau Beau Partnership and Rocky Global Enterprises controlled the Registrant by virtue of their holdings in the Registrant's common stock. With the completion of the Share Exchange Agreement, PostInk shareholders now control the Registrant.

For information about the Merger Transaction connection therewith, please see the information set forth above under Item 1.01 and Item 2.01 of this Current Report, which information is incorporated hereunder by this reference.

Item 5.03 Amendments to Articles of Incorporation or Bylaws: Change in Fiscal Year.

On April 17, 2008, the Registrant amended and restated its Articles of Incorporation to change its name from Global Advance Corp. to COPsync, Inc. The Company is in the process of filing an Information Statement pursuant to Section 14 of the Securities Exchange Act of 1934.

SECTION 9- FINANCIAL STATEMENTS AND EXHIBITS

Item 9.01 Financial Statements and Exhibits.

(a) Financial Statements of Businesses Acquired.


The following financial statements are hereby included as part of this Current Report.

PostInk Technology LP:
Audited Financial Statements:

Balance Sheets as of December 31, 2007, and 2006
Statements of Operations for the Years Ended December 31, 2007, and 2006, and Cumulative from Inception through December 31, 2007
Statements of Partners' Capital for the Periods from Inception through December 31, 2007
Statements of Cash Flows for the Years Ended December 31, 2007, and 2006, and Cumulative from Inception through December 31, 2007

(b) Pro Forma Financial Information.

The following unaudited pro forma financial statements are hereby included as part of this Current Report.
COPsync, Inc. (formerly Global Advance Corporation)
Unaudited Pro Forma Condensed Combined Balance Sheet as of December 31, 2007
Unaudited Pro Forma Condensed Combined Statement of Operations for the Year Ended December 31, 2007

(c) Exhibits.

10.1 Share Exchange Agreement dated April 25, 2008 by and between Global Advance Corp. and PostInk Technology LP.





SIGNATURES

Pursuant to the requirement of the Securities Exchange Act of 1934, the Registrant has duly caused this Current Report to be signed on its behalf by the undersigned thereunto duly authorized this 1st day of May, 2008.

COPsync, Inc.


 /s/ Russell Chaney        
Russell Chaney
Chief Executive Officer







PostInk Technology, LP
(A Development Stage Company)

Financial Statements

December 31, 2007 and 2006







C O N T E N T S


Report of Independent Registered Public Accounting Firm 3  
     
Balance Sheets 4  
     
Statements of Operations 6  
     
Statements of Partners' Capital 7  
     
Statements of Cash Flows 8  
     
Notes to the Financial Statements 9  
     
     



2



REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


To the Partners of
PostInk Technology, LP
Canyon Lake, Texas

We have audited the accompanying balance sheets of PostInk Technology, LP as of December 31, 2007, and 2006, and the related statements of operations, partners' capital, and cash flows for each of the two years in the period ended December 31, 2007, and cumulative from inception through December 31, 2007. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the PCAOB (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. The Company is not required to have, nor were we engaged to perform, an audit of its internal controls over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of PostInk Technology, LP as of December 31,2007, and 2006, and the results of its operations and its cash flows for each of the two years in the period ended December 31, 2007, and cumulative from inception through December 31, 2007, in conformity with accounting principles generally accepted in the United States of America.

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 3 to the financial statements, the Company has recorded significant losses from operations, and is dependent on financing to continue operations, which together raise substantial doubt about its ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 3. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

/s/ Chisholm, Bierwolf & Nilson, LLC
Bountiful, Utah
February 26, 2008.



3



PostInk Technology, LP
(A Development Stage Company)
Balance Sheets

ASSETS

 
December 31,
 
   
2007
   
2006
 
             
CURRENT ASSETS            
             
         Cash and cash equivalents (Note 2) $
2,772
  $
96,664
 
   
   
 
                  Total Current Assets  
2,772
   
96,664
 
   
   
 
PROPERTY AND EQUIPMENT (Note 2)  
   
 
   
   
 
         Computer hardware  
32,835
   
26,404
 
         Computer software  
5,300
   
3,601
 
         Fleet vehicles  
46,124
   
-
 
         Furniture and fixtures  
43,698
   
45,235
 
   
   
 
                  Total Property and Equipment  
127,957
   
75,240
 
                  Less: Accumulated Depreciation  
(48,991
)  
(28,437
)
   
   
 
                  Net Property and Equipment  
78,966
   
46,803
 
   
   
 
OTHER ASSETS  
   
 
   
   
 
         Software development costs (Note 2)  
1,627,335
   
1,442,601
 
         Lease security deposit  
750
   
750
 
   
   
 
                  Total Other Assets  
1,628,085
   
1,443,351
 
   
   
 
                  TOTAL ASSETS $
1,709,823
  $
1,586,818
 
             


The accompanying notes are an integral part of these financial statements

4



PostInk Technology, LP
(A Development Stage Company)
Balance Sheets (Continued)

LIABILITIES AND PARTNERS' CAPITAL

 
December 31,
 
   
2007
   
2006
 
             
CURRENT LIABILITIES            
             
         Accounts payable and accrued expenses $
47,980
  $
29,760
 
         Note payable - Related party (Note 4)  
33,000
   
-
 
         Notes payable, current portion (Note 5)  
6,864
   
-
 
   
   
 
                  Total Current Liabilities  
87,844
   
29,760
 
   
   
 
LONG-TERM LIABILITIES  
   
 
   
   
 
         Notes payable, less current portion (Note 5)  
32,824
   
-
 
   
   
 
                  Total Long-Term Liabilities  
32,824
   
-
 
   
   
 
                  Total Liabilities  
120,668
   
29,760
 
   
   
 
COMMITMENTS AND CONTINGENCIES (Note 6)  
   
 
   
   
 
PARTNERS' CAPITAL  
   
 
   
   
 
         Partners' contributions  
2,601,628
   
2,002,607
 
         Deficit accumulated during the development stage  
(1,012,473
)  
(445,549
)
   
   
 
                  Total Partners' Capital  
1,589,155
   
1,557,058
 
   
   
 
                  TOTAL LIABILITIES AND PARTNERS' CAPITAL $
1,709,823
  $
1,586,818
 
             


The accompanying notes are an integral part of these financial statements

5



PostInk Technology, LP
(A Development Stage Company)
Statements of Operations

For the Years Ended
December 31,
 
Cumulative
During Devel-
 
   
2007
   
2006
 
opment Stage
 
                   
REVENUES $
-
  $
-
  $
-
 
   
   
   
 
OPERATING EXPENSES  
   
   
 
   
   
   
 
        Depreciation  
20,554
   
15,725
   
48,991
 
        Insurance  
33,572
   
25,733
   
77,371
 
        Office expenses  
2,316
   
1,940
   
8,247
 
        Professional fees  
21,058
   
13,318
   
46,462
 
        Rent  
28,710
   
14,448
   
57,218
 
        Salaries and wages  
397,926
   
158,589
   
684,813
 
        Travel and entertainment  
14,320
   
5,782
   
22,995
 
        Utilities  
6,170
   
5,667
   
16,000
 
        Website hosting  
20,023
   
9,940
   
31,902
 
        Other general and administrative  
22,161
   
10,645
   
42,196
 
   
   
   
 
                Total Operating Expenses  
566,810
   
261,787
   
1,036,195
 
   
   
   
 
(LOSS) BEFORE OTHER INCOME (EXPENSE)  
(566,810
)  
(261,787
)  
(1,036,195
)
   
   
   
 
OTHER INCOME (EXPENSE)  
   
   
 
   
   
   
 
        Interest income  
392
   
6,750
   
16,427
 
        Other income  
-
   
7,801
   
7,801
 
        Interest expense  
(506
)  
-
   
(506
)
   
   
   
 
                Total Other Income (Expense)  
(114
)  
14,551
   
23,722
 
   
   
   
 
NET (LOSS) $
(566,924
) $
(247,236
) $
(1,012,473
)
                   

The accompanying notes are an integral part of these financial statements

6



PostInk Technology, LP
(A Development Stage Company)
Statements of Partners' Capital

 Partners'
Contributions
 
Deficit
Accumulated
During
Development
Stage
 
             
Balance, January 3, 2005 $
-
  $
-
 
   
   
 
Founders' retention  
414,159
   
-
 
Capital contributions  
628,041
   
-
 
In-kind contributions  
338,330
   
-
 
   
   
 
Net loss for the period from inception on January 3, 2005 through December 31, 2005  
- 
   
(198,313
) 
   
   
 
Balance, December 31, 2005  
1,380,529
   
(198,313
)
   
   
 
Founders' retention  
186,623
   
-
 
Capital contributions  
97,125
   
-
 
In-kind contributions  
338,330
   
-
 
   
   
 
Net loss for the year ended December 31, 2006  
- 
   
(247,236 
)
   
   
 
Balance, December 31, 2006  
2,002,607
   
(445,549
)
   
   
 
Founders' retention  
179,706
   
-
 
Capital contributions  
419,315
   
-
 
In-kind contributions  
-
   
-
 
   
   
 
Net loss for the year ended December 31, 2007  
-
   
(566,924
)
   
   
 
Balance, December 31, 2007  
2,601,628
   
(1,012,473
)
             


The accompanying notes are an integral part of these financial statements

7



PostInk Technology, LP
(A Development Stage Company)
Statements of Cash Flows

For the Years Ended
December 31,
 
Cumulative
During Devel-
 
   
2007
   
2006
 
opment Stage
 
                   
CASH FLOWS FROM OPERATING ACTIVITIES                  
                   
        Net (loss) $
(566,924
) $
(247,236
) $
(1,012,473
)
        Adjustments to reconcile net loss to net cash used
           in operating activities:
 
   
   
 
                Depreciation  
20,554
   
15,725
   
48,991
 
        Change in operating assets and liabilities:  
   
   
 
                Lease security deposit  
-
   
-
   
(750
)
                Accounts payable and accrued expenses  
18,220
   
17,779
   
47,980
 
   
   
   
 
                Net Cash Used in Operating Activities  
(528,150
)  
(213,732
)  
(916,252
)
   
   
   
 
CASH FLOWS FROM INVESTING ACTIVITIES  
   
   
 
   
   
   
 
        Software development costs  
(184,734
)  
(303,636
)  
(660,679
)
        Purchases of property and equipment  
(12,717
)  
(17,004
)  
(87,957
)
   
   
   
 
                Net Cash Used in Investing Activities  
(197,451
)  
(320,640
)  
(748,636
)
   
   
   
 
CASH FLOWS FROM FINANCING ACTIVITIES  
   
   
 
   
   
   
 
        Payments on notes payable  
(312
)  
-
   
(312
)
        Partner contributions  
599,021
   
138,750
   
1,634,972
 
        Proceeds from convertible note - related  
33,000
   
-
   
33,000
 
   
   
   
 
                Net Cash Provided by Financing Activities  
631,709
   
138,750
   
1,667,660
 
   
   
   
 
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS  
(93,892
)  
(395,622
)  
2,772
 
   
   
   
 
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD  
96,664
   
492,286
   
-
 
   
   
   
 
CASH AND CASH EQUIVALENTS, END OF PERIOD $
2,772
  $
96,664
  $
2,772
 
                   
SUPPLEMENTAL DISCLOSURES:                  
                   
        Cash paid for interest $
506
  $
-
  $
506
 
        Cash paid for taxes $
-
  $
-
  $
-
 
   
   
   
 
NON-CASH INVESTING AND FINANCING ACTIVITIES:  
   
   
 
   
   
   
 
        Purchase of fleet vehicles financed by notes payable $
40,000
  $
-
  $
40,000
 
        Contribution of services by partners - capitalized to
           software development costs
$
-
  $
483,328
  $
966,656
 


The accompanying notes are an integral part of these financial statements

8



PostInk Technology, LP
(A Development Stage Company)
Notes to Financial Statements
December 31, 2007, and 2006


NOTE 1 - NATURE OF ORGANIZATION

  PostInk Technology, LP ("the Company") was formed on January 3, 2005 under the laws of the State of Texas. The Limited Partnership limits the risk of loss of the individual limited partners.

  The Company operates as a software provider that not only enhances productivity and quality of work, but creates a safer work environment for the public safety community by developing the first real-time, nationwide public safety information sharing network.

NOTE 2 - SUMMARY OF SIGNFICANT ACCOUNTING POLICIES

  a. Accounting Method

  The Company's financial statements are prepared using the accrual method of accounting. The Company has elected a December 31 year-end.

  b. Use of Estimates

  The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

  c. Cash and Cash Equivalents

  The Company considers all highly liquid investments with maturities of three months or less to be cash equivalents.

  d. Income Taxes

  The Company has elected to be taxed as a Limited Partnership. Under that election, the income of the Company is taxed at the partner level on their prorata share of the income and expenses. Therefore, no accrual for income taxes has been recorded in the financial statements at December 31, 2007 or 2006.

  e. Property and Equipment

  Property and equipment is stated at cost. Expenditures that materially increase useful lives are capitalized, while ordinary maintenance and repairs are expensed as incurred. Depreciation is computed using the straight-line method over the estimated useful lives of the respective assets, ranging as follows:

  Computer hardware 3 years
  Computer software 3 years
  Fleet vehicles 5 years
  Furniture and fixtures 5 to 7 years


9



PostInk Technology, LP
(A Development Stage Company)
Notes to Financial Statements
December 31, 2007, and 2006

NOTE 2 - SUMMARY OF SIGNFICANT ACCOUNTING POLICIES (Continued)

  e. Property and Equipment (Continued)

  Depreciation expense on property and equipment was $20,554 and $15,725 for the years ended December 31, 2007 and 2006, respectively.

  f. Software Development Costs

  The Company capitalizes software development costs in accordance with Statement of Financial Accounting Standards No. 86, "Accounting for Costs of Computer Software to be Sold, Leased or Otherwise Marketed," under which certain software development costs incurred subsequent to the establishment of technological feasibility may be capitalized and amortized over the estimated lives of the related products. The Company determines technological feasibility to be established upon completion of (1) product design, (2) detail program design, (3) consistency between product and program design and (4) review of detail program design to ensure that high risk development issues have been resolved. Upon the general release of the product to customers, development costs for that product are amortized over periods not exceeding three years, based on the estimated economic life of the product. Capitalized software development costs amounted to $1,627,335 and $1,442,601 at December 31, 2007 and 2006, respectively. These costs have not yet been amortized because revenue generating activities have not yet commenced. During the year ended December 31, 2006 and during the period from inception on January 3, 2005 through December 31, 2005, various partners contributed services of $483,328, respectively, which were capitalized to software development costs.

  g. Fair Value of Financial Instruments

  The fair value of the Company's assets and liabilities approximate the carrying value based on their effective interest rates compared to current market prices.
   
NOTE 3 - GOING CONCERN
   
  As shown in the accompanying financial statements, the Company's current liabilities exceed its current assets by $78,663 at December 31, 2007. Additionally, the Company has incurred net operating losses of $616,922 and $247,236 for the years ended December 31, 2007 and 2006, respectively. These factors, as well as the uncertain conditions that the Company faces relative to capital raising activities, create substantial doubt as to the Company's ability to continue as a going concern. The Company is seeking to raise additional capital through public and/or private placement offerings, targeting strategic partners in an effort to generate revenues, and create revenues through strategic acquisitions. The ability of the Company to continue as a going concern is dependent upon the success of capital offerings or alternative financing arrangements and expansion of its operations. The financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern.


10



PostInk Technology, LP
(A Development Stage Company)
Notes to Financial Statements
December 31, 2007, and 2006

NOTE 3 - GOING CONCERN (Continued)

  The Company will require additional funding during the next twelve months to finance the growth of its current operations and achieve its strategic objectives. Management is actively pursuing additional sources of financing sufficient to generate enough cash flow to fund its operations through 2008 and 2009. However, management cannot make any assurances that such financing will be secured.

NOTE 4 - RELATED PARTY TRANSACTIONS

  Note Payable - Related Party

During December 2007, the Company received $33,000 pursuant to a promissory note from a partner. The amount is due on demand, non-interest bearing and unsecured. Interest will be imputed at a rate of 8% per annum and recorded as a contribution of said partner.

Lease Agreement - Related Party

The Company has lease agreements for office space with both the Company's President and CEO. See Note 6 for details.

NOTE 5 - NOTES PAYABLE

  Notes payable as of December 31, 2007 and 2006 consisted of the following:

 
December 31,
 
     
2007
   
2006
 
  Notes payable to a financing company,
  interest at 8.25% per annum, payable in
  monthly installments of $818, matures in
  October 2012, secured by two vehicles.
$
39,688
  $
-
 
     
   
 
  Less: current portion  
(6,864
)  
-
 
     
   
 
  Long-term portion of notes payable $
32,824
  $
-
 
               
             
  Future principal payments on long-term debt:            

 
For the Years Ending
December 31,
           
               
 
2008
      $
6,864
 
 
2009
       
7,453
 
 
2010
       
8,091
 
 
2011
       
8,785
 
 
2012
       
8,495
 
 
2013 and thereafter
       
-
 
 
           
 
Total
      $
39,688
 
               


11



PostInk Technology, LP
(A Development Stage Company)
Notes to Financial Statements
December 31, 2007, and 2006

NOTE 6 - COMMITMENTS AND CONTINGENCIES

  Property Leases

On August 1, 2006 the Company entered into a lease agreement for its corporate office located in Canyon Lake, Texas. The term of the lease is for three (3) years with an option to extend the lease for an additional two (2) years. The monthly lease payment is $1,200.

The future minimum lease payments are as follows:

 
For the Years Ending
December 31,
           
               
 
2008
      $
14,400
 
 
2009
       
9,600
 
 
2010 and thereafter
       
-
 
 
 
       
 
 
 
Total future minimum lease payments
  $
24,000
 
 
       
 
 

  The Company recorded an expense of $28,710 and $14,448 for the years ended December 31, 2007 and 2006, respectively, related to this property lease and another property lease that ended during December 2007.

NOTE 7 - SUBSEQUENT EVENTS

  Employment Agreements

Chief Executive Officer (CEO)


Effective January 1, 2008, the Company entered into an employment agreement with a partner of the Company to be its Chief Executive Officer (CEO). Effective June 16, 2007, the employee's base salary is $120,000 per annum. Staring April 1, 2008, the employee's base salary shall be not less than $160,000 per annum.

Pursuant to the Company's Stock and Long-Term Incentive Plan, the Company shall also grant the employee a nonqualified stock option to purchase up to 500,000 shares of the Company's common stock upon completion of an anticipated "Initial Public Offering." The exercise price of such option shall be $0.10 or the closing price of the Company's common stock, less 15%, on the date of the option exercise, whichever is less, subject to certain criteria.

Pursuant to the Company's Stock and Long-Term Incentive Plan, the Company shall also grant the employee 200,000 shares of the Company's common stock upon completion of an anticipated "Initial Public Offering," subject to certain criteria.


12



PostInk Technology, LP
(A Development Stage Company)
Notes to Financial Statements
December 31, 2007, and 2006

NOTE 7 - SUBSEQUENT EVENTS (Continued)

  Employment Agreements (Continued)

Chief Executive Officer (CEO) (Continued)

The employee is also entitled to a 100% match of the employee's semi-monthly contribution to the Company's 401K program or comparable personal retirement program, effective immediately upon the 4th anniversary of the employment agreement. The Company will also purchase and maintain at its expense term life insurance on the life of the employee in the face amount of $350,000 payable to the beneficiary or beneficiaries designated by the employee, contingent upon the employee's insurability at no more than 150% of standard risk costs from a high quality insurance carrier.

The employee has agreed to forego the salary increase and obligation of Company's 401K matching, as noted above, until such time that the Company is profitable or sufficient funding is raised to sustain company as a viable ongoing concern.

President

Effective January 1, 2008, the Company entered into an employment agreement with a partner of the Company to be its President, continuing until January 1, 2015. Effective June 16, 2007, the employee's base salary is $70,000 per annum. Starting April 1, 2008, the employee's base salary shall be not less than $95,000 per annum. Starting January 1, 2009, the employee's base salary shall not be less than $115,000 per annum. Starting April 1, 2010, the employee's base salary shall be not less than $130,000 per annum.

Pursuant to the Company's Stock and Long-Term Incentive Plan, the Company shall also grant the employee a nonqualified stock option to purchase up to 300,000 shares of the Company's common stock upon completion of an anticipated "Initial Public Offering." The exercise price of such option shall be $0.10 or the closing price of the Company's common stock, less 15%, on the date of the option exercise, whichever is less, subject to certain criteria.

Pursuant to the Company's Stock and Long-Term Incentive Plan, the Company shall also grant the employee 175,000 shares of the Company's common stock upon completion of an anticipated "Initial Public Offering," subject to certain criteria.

The employee is also entitled to a 100% match of the employee's semi-monthly contribution to the Company's 401K program or comparable personal retirement program, effective immediately upon the 4th anniversary of the employment agreement. The Company will also purchase and maintain at its expense term life insurance on the life of the employee in the face amount of $350,000 payable to the beneficiary or beneficiaries designated by the employee, contingent upon the employee's insurability at no more than 150% of standard risk costs from a high quality insurance carrier.

The employee has agreed to forego the salary increase and obligation of Company's 401K matching, as noted above, until such time that the Company is profitable or sufficient funding is raised to sustain company as a viable ongoing concern.



13


Pro Forma Financial Information:
COPsync, Inc.
Pro Forma Condensed
Consolidated Balance Sheets
As of December 31, 2007
(Unaudited)

 
Global
Advance Corp.
 
PostInk
Technology, LP
 
Adjustments
   
Pro Forma
 
ASSETS:                          
Cash and cash equivalents $
-
  $
2,772
  $
-
    $
2,772
 
Property and equipment, net  
-
   
78,966
   
-
     
78,966
 
Other Assets:  
   
   
     
 
      Software development costs  
-
   
1,627,335
   
-
     
1,627,335
 
      Patent Pending  
15,560
   
-
   
-
     
15,560
 
      Lease security deposit-  
-
   
750
   
-
     
750
 
TOTAL ASSETS $
15,560
  $
1,709,823
  $
-
    $
1,725,383
 
                           
LIABILITIES AND STOCKHOLDERS' EQUITY LIABILITIES:                
Accounts payable and accrued liabilities $
10,035
  $
47,980
  $
-
    $
58,015
 
Note payable - Related party  
-
   
33,000
   
-
     
33,000
 
Notes payable  
-
   
39,688
   
-
     
39,688
 
Total Liabilities  
10,035
   
120,668
   
 
     
130,703
 
   
   
   
     
 
STOCKHOLDERS' EQUITY:  
   
   
     
 
Preferred Stock  
-
   
-
   
10
  (1)  
10
 
Common Stock  
302
   
-
   
2,500
  (1)  
2,802
 
Additional paid-in capital  
68,648
   
-
   
2,535,693
  (1)  
2,604,341
 
Partners' contributions  
-
   
2,601,628
   
(2,601,628
) (2)  
-
 
(Deficit) accumulated during the development stage  
(63,425
)  
(1,012,473
)  
63,425
  (2)  
(1,012,473
)
Total Stockholders' Equity  
5,525
   
1,589,155
   
 
     
1,594,670
 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $
15,560
  $
1,709,823
  $
-
    $
1,725,373
 
                           
                           



14



COPsync, Inc.
Pro Forma Condensed
Consolidated Statements of Operations
For the Year Ended December 31, 2007
(Unaudited)

 
Global
Advance Corp.
 
PostInk
Technology, LP
 
Adjustments
   
Pro Forma
 
REVENUES $
-
  $
-
  $
-
    $
-
 
EXPENSES:  
   
   
     
 
      Depreciation  
-
   
20,554
   
-
     
20,554
 
      Insurance  
-
   
33,572
   
-
     
33,572
 
      Office expenses  
-
   
2,316
   
-
     
2,316
 
      Professional fees  
47,666
   
21,058
   
-
     
68,724
 
      Rent  
-
   
28,710
   
-
     
28,710
 
      Salaries and wages  
-
   
397,926
   
-
     
397,926
 
      Travel and entertainment  
-
   
14,320
   
-
     
14,320
 
      Utilities  
-
   
6,170
   
-
     
6,170
 
      Website hosting  
-
   
20,023
   
-
     
20,023
 
      Other general and administrative  
9,771
   
22,161
   
-
     
31,932
 
            Total operating expenses  
57,437
   
566,810
   
     
624,247
 
(LOSS) FROM OPERATIONS  
(57,437
)  
(566,810
)  
     
(624,247
)
OTHER INCOME (EXPENSE):  
-
   
(114
)  
-
     
(114
)
PROVISION FOR INCOME TAXES  
-
   
-
   
-
     
-
 
NET (LOSS) $
(57,437
) $
(566,924
) $
-
    $
(624,361
)
                           
BASIC AND DILUTED (LOSS) PER SHARE $
(0.02
) $
-
          $
(0.02
)
                           
WEIGHTED AVERAGE SHARES OUTSTANDING  
2,518,151
   
-
   
25,000,005
  (1)  
27,518,156
 
                           


15



COPsync, Inc.
Notes to Pro Forma Condensed
Financial Statements
(Unaudited)



Note (A) The pro forma adjustments to the condensed balance sheet and statements of operations as of December 31, 2007, and for the year then ended are as follows:

(1) Reflects the issuance of the 25,000,005 shares of the Company's common stock, and 100,000 shares of the Company's Series A preferred stock in exchange for 100% of the partner's capital of PostInk Technology, LP.

(2) Reflects the allocation the equity for the merger transaction.






16

EX-10.1 2 copysync8k042908ex101.htm SHARE EXCHANGE AGREEMENT COPsync, Inc. - Exhibit 10.1

 
 
 
 
ACQUISITION AGREEMENT

BY AND AMONG

GLOBAL ADVANCE CORP.

AND

POSTINK TECHNOLOGY, LP.

AND

RSIV, LLC
 
 
 
 
 





ACQUISITION AGREEMENT

            Agreement dated as of the 5th day of February, 2008 by and among Global Advance Corp., a Delaware corporation, with an address at 24955 Pacific Coast Highway, Malibu, CA 90265 ("GADV"), and PostInk Technology, LP., a Texas limited partnership, with an address at 2045 FM 2673, Suite 1 Canyon Lake, Comal County, Texas 78133, and RSIV, LLC (general partner of PostInk Technology, LP), (hereinafter referred to collectively as "POST").

WITNESSETH

            WHEREAS, GADV desires to acquire 100% of POST;

            WHEREAS, the POST partners desire to exchange all of their interest in POST for shares of GADV;

            WHEREAS, the parties would not enter into this Agreement unless they agreed to make the representations and warranties set forth in Articles "6" and "7" of this Agreement;

            WHEREAS, the parties agree to make the representations and warranties set forth in Article "6" and "7" of this Agreement;

            WHEREAS, the POST partners and the Board of Directors of GADV deem it advisable and in the best interests of each company and their respective shareholders/partners that GADV acquire 100% interest of POST from the POST partners in order to advance the long?term business interests of POST and GADV;

            WHEREAS, the Boards of Directors/Managing Partners of each of POST and GADV have adopted, approved and authorized the execution and delivery of this Agreement to implement the acquisition of 100% interest of POST by GADV from the POST partners in compliance with the provisions of the Texas General Corporation Law and the Delaware Revised Statutes with the result that GADV shall issue shares of GADV to the POST partners in exchange for one hundred (100%) percent of the interest of POST, and POST shall thereby become a wholly-owned subsidiary of GADV;

            WHEREAS, POST and GADV intend that the acquisition of all of 100% interest of POST by GADV from the POST partners will qualify as a tax-free reorganization pursuant to Section 368(a) of the Internal Revenue Code of 1986, as amended;

            WHEREAS, the Boards of Directors/Managing Partners of POST and GADV intend to, and shall, have this Agreement and the transactions with respect to this Agreement approved by the partners of POST and the shareholders of GADV in accordance with the applicable provisions of the Texas General Corporation Law and Delaware Corporation Law; the parties shall approve of this Agreement in its entirety, including, but not limited to, Articles "6" and "7" of this Agreement; and

            WHEREAS, on the Closing Date, the following shall be done simultaneously, which will hereinafter be referred to as the "Exchange": (1) GADV shall issue twenty-five million five (25,000,005) shares of GADV Common Stock and 100,000 Series A Preferred Shares ("Exchange Shares") to POST in exchange for 100% of POST; (2) GADV shall declare a 15 for 1 forward-split of the common stock; and (3) GADV shall cancel 29,388,750 common shares of the original control block. After the Exchange GADV shall have approximately forty million nine hundred eighty six thousand two hundred fifty-five (40,986,255) common shares issued and outstanding, fully paid and non-assessable,


1



GADV shall own one hundred (100%) percent of POST, and POST shall thereby become a wholly-owned subsidiary of GADV; and

            WHEREAS, GADV and POST hereby agree to assume the responsibility of repaying a current loan outstanding with GADV for $750,000.00, evidenced by the loan agreement referenced herein as "Exhibit A" (the "Loan Agreement"). Pursuant to the Loan Agreement, if the Exchange takes place between GADV and POST, the loan will become repayable by the issuance of the Warrant to Purchase Common Stock attached hereto as Exhibit "B", which is convertible into fifteen million (15,000,000) shares of common stock of GADV on a post split basis at a conversion rate of $0.05 per share; and

            WHEREAS, Pursuant to individual "Lockup Agreements" with the original shareholders of GADV referenced herein as "Exhibit "C", approximately 5,650,000 common shares will not be publicly sold for a period of 90 (Ninety) days from the date of this Agreement; and

            WHEREAS, GADV and POST hereby agree to issue cashless warrants exercisable at $0.01 per share to POST Shareholders for 75,000,000 shares of common stock of GADV on a post split basis. Copies of such warrants in the form of the Warrant to Purchase Common Stock are attached hereto as Exhibit "D".

            NOW, THEREFORE, in consideration of the mutual covenants of the parties hereinafter set forth, and for good and valuable consideration, receipt of which is hereby acknowledged,

            IT IS AGREED:

            1.           Recitals. The parties hereby adopt as part of this Agreement each of the recitals which is set forth above in the WHEREAS clauses, and agree that such recitals shall be binding upon the parties hereto by way of contract and not merely by way of recital or inducement and such WHEREAS clauses are hereby confirmed and ratified as being accurate by each party as to itself and himself.

            2.           Authorized Shares. GADV agrees to adjust its number of authorized shares prior to the Closing Date, so that there shall be five hundred million (500,000,000) authorized shares of GADV Common Stock of which three million twenty five thousand (3,025,000) are issued and outstanding prior to the Closing. Pursuant to the Share Exchange Agreement, GADV has authorized one million (1,000,000) of Series A Preferred Stock with a par value of $0.0001 per share. The Series A Preferred Stock has a 750-1 conversion and voting ratio so that each Series A Preferred share has a voting and conversion ratio into 750 common shares.

            3.           Closing Transactions.

                          A.         On the Closing Date, subject to, and consistent with, the provisions of this Agreement, the following shall be done simultaneously: (1) GADV shall issue twenty-five million five (25,000,005) shares of GADV Common Stock and 100,000 Series A Preferred Shares ("Exchange Shares") to POST in exchange for 100% of POST; (2) GADV shall declare a 15 for 1 forward-split of the common stock; and (3) GADV shall cancel 29,388,750 common shares of the original control block. After the Exchange GADV shall have approximately forty million nine hundred eighty six thousand two hundred fifty-five (40,986,255) common shares issued and outstanding, fully paid and non-assessable, GADV shall own one hundred (100%) percent of POST, and POST shall thereby become a wholly-owned subsidiary of GADV (referenced herein as "Exhibit E").

                          B.         Subject to, and consistent with, the provisions of this Agreement, and in accordance with the relevant provisions of the Delaware Corporation Law, POST shall become a wholly-owned



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subsidiary of GADV through the Exchange set forth in Paragraph "A" of this Article "3" of this Agreement.

            4.           Directors and Officers.


                          A.         The expected corporate structure of the combined entities is that of a publicly traded company. The Management of the company is to be that of Russell Chaney as CEO/Chairman and Shane Rapp as President/Secretary/Treasurer. Russell Chaney and Shane Rapp shall be members of the board of directors of GADV. This Board of Directors and the Officers shall have full control of the Company.

            5.           Closing Date. The closing of this transaction (the "Closing") shall take place at the offices of Applbaum & Zouvas, LLP, 925 Hotel Circle South, San Diego, CA. 92108 at 10:00 AM Pacific Standard Time ("PST") on April 25, 2008 (the "Closing Date").

            6.           POST's Representations, Warranties and Covenants. POST represents, warrants and covenants to GADV as follows:

                          A.         Corporate Status.

                                 i.          POST is a limited partnership duly organized pursuant to the laws of the State of Texas, with all requisite power and authority to carry on its business as presently conducted in all jurisdictions where presently conducted, to enter into this Agreement and to consummate the transactions set forth in this Agreement; and

                                 ii.         Copies of (a) the Certificate of Partnership of POST, and all amendments thereto, certified by the Secretary of State of Texas, (b) the Partnership Agreement of POST, as amended, certified by the Secretary of POST, and (c) a good standing certificate for POST issued by the Secretary of State of Texas as of a date not more than thirty (30) days prior to the date of this Agreement, are annexed to, and made a part of, this Agreement as Exhibits "F" (Article "6Aii"), "G" (Article "6Aii"), and "H" (Article "6Aii"), respectively, and are complete and correct as of the date of this Agreement.

                          B.         Authority of POST. POST has the full partnership power and authority to execute, deliver and perform this Agreement and has taken all corporate action required by law and its organizational documents to authorize the execution and delivery of this Agreement and the consummation of the transactions set forth in this Agreement, and no other corporate action on its part is necessary to authorize and approve this Agreement or to consummate the transactions contemplated hereby. This Agreement and the consummation by POST of the transactions set forth in this Agreement have been duly and validly authorized, executed and delivered by POST, and (assuming the valid authorization, execution and delivery of this Agreement by GADV) this Agreement is valid and binding upon POST and enforceable against POST in accordance with its terms (except as the enforceability thereof may be limited by bankruptcy, insolvency, bank moratorium or similar laws affecting creditors' rights generally and laws restricting the availability of equitable remedies, and may be subject to general principles of equity whether or not such enforceability is considered in a proceeding at law or in equity). A certified resolution by the partners of POST and a consent of a majority of the POST partners POST's entry into this Agreement and consummation of the transactions set forth in this Agreement are annexed to, and made a part of, this Agreement as Exhibits "I" (Article "6B") and "J" (Article "6B").

                          C.         Ownership. Annexed hereto and made a part hereof as Exhibit "K" (Article "6C"), is a schedule of all POST partners and their respective ownership of POST.



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                          D.         Compliance with the Law and Other Instruments. Except as otherwise provided in this Agreement and in the Exhibits annexed to, and made a part of, this Agreement, the business and operations of POST have been and are being conducted in all material respects in accordance with all applicable laws, rules and regulations of all authorities which affect POST or its properties, assets, businesses or prospects.

                          E.         Absence of Conflicts. The execution and delivery of this Agreement, and the consummation by POST of the transactions set forth in this Agreement: (i) do not and shall not conflict with or result in a breach of any provision of POST's partnership agreement, (ii) do not and shall not result in any breach of, or constitute a default or cause an acceleration under any arrangement, agreement or other instrument to which POST is a party to or by which any of its assets are bound, (iii) do not and shall not cause POST to violate or contravene any provision of law or any governmental rule or regulation, and (iv) will not and shall not result in the imposition of any lien, or encumbrance upon, any property of POST. POST has performed in all material respects all of its obligations which are, as of the date of this Agreement, required to be performed, pursuant to the terms of any such agreement, contract or commitment.

                          F.         Environmental Compliance. POST is in compliance with all applicable environmental laws.

                          G.         OSHA Compliance. POST is in compliance with all applicable federal, state and local laws, rules, regulations, codes, plans, injunctions, judgments, orders, decrees, rulings, and charges thereunder and other governmental requirements relating to occupational health and safety including, but not limited to, the Occupational Safety and Health Act of 1970, as amended, and the rules and regulations promulgated thereunder.

                          H.         Taxes. POST has timely filed all required federal tax returns for income, franchise, social security, withholding, sales, excise, unemployment insurance, real estate and other taxes, and has paid or made adequate provisions for the payment of all such taxes shown to be due on said returns.

                          I.         Litigation. There are no legal, administrative, arbitration or other proceedings or governmental investigations adversely affecting POST or its properties, assets or businesses, or with respect to any matter arising out of the conduct of POST's business pending or to its knowledge threatened, by or against, any officer or director of POST in connection with its affairs, whether or not covered by insurance. Neither POST nor its officers or directors are subject to any order, writ, injunction or decree of any court, department, agency or instrumentality affecting POST. POST is not presently engaged in any legal action.

                          J.         Contracts. Except as set forth on the POST Disclosure Schedule, POST is not a party to any material contracts.

                          K.         No Approvals. No approval of any governmental authority is required of POST in connection with the consummation of the transactions set forth in this Agreement.

                          L.         Complete Disclosure. No representation or warranty of POST which is contained in this Agreement, or in a writing furnished or to be furnished pursuant to this Agreement, to POST's knowledge contains or shall contain any untrue statement of a material fact, or omits or shall omit to state any fact which is required to make the statements which are contained herein or therein, in light of the circumstances under which they were made, not materially misleading. There is no fact relating to



4



the business, affairs, operations, conditions (financial or otherwise) or prospects of POST which would materially adversely affect same which has not been disclosed to GADV in this Agreement.

                          M.         No Defense. It shall not be a defense to a suit for damages for any misrepresentation or breach of covenant or warranty that GADV knew or had reason to know that any covenant, representation or warranty of POST in this Agreement or furnished or to be furnished to GADV contained untrue statements.

            7.           GADV's Representations, Warranties and Covenants. GADV represents, warrants and covenants to POST as follows:

                          A.         Corporate Status.

                                 i.          GADV is a corporation duly organized, validly existing and in good standing pursuant to the laws of the State of Delaware, with all requisite power and authority to carry on its business as presently conducted in all jurisdictions where presently conducted, to enter into this Agreement and to consummate the transactions set forth in this Agreement; and

                                 ii.         copies of (a) the Certificate of Incorporation of GADV, and all amendments thereto, certified by the Secretary of State of the State of Delaware, (b) the By-Laws of GADV, as amended, certified by the Secretary of GADV, and (c) a good standing certificate for GADV issued by the Secretary of State of the State of Delaware as of a date not more than thirty (30) days prior to the date of this Agreement, are annexed to, and made a part of, this Agreement as Exhibits "L" (Article "7Aii"), "M" (Article "7Aii") and "N" (Article "7Aii") respectively, and are complete and correct as of the date of this Agreement.

                          B.         Authority of GADV. GADV has the full corporate power and authority to execute, deliver and perform this Agreement and has taken all corporate action required by law and its organizational documents to authorize the execution and delivery of this Agreement and the consummation of the transactions set forth in this Agreement, and no other corporate action on its part is necessary to authorize and approve this Agreement or to consummate the transactions contemplated hereby. This Agreement and the consummation by GADV of the transactions set forth in this Agreement have been duly and validly authorized, executed, and delivered by the Board of Directors of GADV, and (assuming the valid authorization by the partners of POST, and the execution and delivery of this Agreement by POST) this Agreement is valid and binding upon GADV and enforceable against GADV in accordance with its terms (except as the enforceability thereof may be limited by bankruptcy, insolvency, bank moratorium or similar laws affecting creditors' rights generally and laws restricting the availability of equitable remedies and may be subject to general principles of equity whether or not such enforceability is considered in a proceeding at law or in equity). A certified resolution of the Board of Directors of GADV and a consent of the shareholders holding a majority of the votes of GADV approving GADV's entry into this Agreement and consummation of the transactions set forth in this Agreement are annexed to, and made a part of, this Agreement as Exhibits "O" (Article "7C") and "P" (Article "7B").

                          C.         Ownership. The individuals and/or entities set forth on Exhibit "Q" (Article "7C") which is annexed to, and made a part of, this Agreement, are the shareholders of record of GADV.

                          D.         Compliance with the Law and Other Instruments. The business and operations of GADV have been and are being conducted in all material respects in accordance with all applicable laws, rules and regulations of all authorities which affect GADV or its properties, assets, businesses or prospects.



5



                          E.         Absence of Conflicts. The execution and delivery of this Agreement and the issuance of the securities of GADV, and the consummation by GADV of the transactions set forth in this Agreement: (i) do not and shall not conflict with or result in a breach of any provision of GADV's Certificate of Incorporation or By-Laws, (ii) do not and shall not result in any breach of, or constitute a default or cause an acceleration under any arrangement, agreement or other instrument to which GADV is a party to or by which any of its assets are bound, (iii) do not and shall not cause GADV to violate or contravene any provision of law or any governmental rule or regulation, and (iv) will not and shall not result in the imposition of any lien, or encumbrance upon, any property of GADV. GADV has performed in all material respects all of its obligations which are, as of the date of this Agreement, required to be performed, pursuant to the terms of any such agreement, contract or commitment.

                          F.         Environmental Compliance. GADV is in compliance with all applicable environmental laws.

                          G.         OSHA Compliance. GADV is in compliance with all applicable federal, state and local laws, rules, regulations, codes, plans, injunctions, judgments, orders, decrees, rulings, and charges thereunder and other governmental requirements relating to occupational health and safety including, but not limited to, the Occupational Safety and Health Act of 1970, as amended, and the rules and regulations promulgated thereunder.

                          H.         Securities laws compliance. GADV is in compliance with all applicable securities laws through the present date and in connection with the transactions contained in this Agreement.

                          I.         Taxes. GADV has timely filed all required federal, state, city and local tax returns for income, franchise, social security, withholding, sales, excise, unemployment insurance, real estate and other taxes, and has paid or made adequate provisions for the payment of all such taxes shown to be due on said returns. The acquisition of all of 100% interest of POST by GADV from the POST partners will qualify as a tax-free reorganization pursuant to Section 368(a) of the Internal Revenue Code of 1986, as amended.

                          J.         Litigation. There are no legal, administrative, arbitration, or other proceedings or governmental investigations adversely affecting GADV or its properties, assets or businesses, or with respect to any matter arising out of the conduct of GADV's business pending, or to its knowledge threatened, by or against, any officer or director of GADV in connection with its affairs, whether or not covered by insurance. Neither GADV nor its officers or directors are subject to any order, writ, injunction, or decree of any court, department, agency, or instrumentality, affecting GADV. GADV is not presently engaged in any legal action.

                          K        . Contracts. Except as set forth on the GADV Disclosure Schedule, GADV is not a party to any material contracts.

                          L.         No Approvals. No approval of any governmental authority is required of GADV in connection with the consummation of the transactions set forth in this Agreement.

                          M.         Complete Disclosure. No representation or warranty of GADV which is contained in this Agreement, or in a writing furnished or to be furnished pursuant to this Agreement, to GADV's knowledge contains or shall contain any untrue statement of a material fact, or omits or shall omit to state any fact which is required to make the statements which are contained herein or therein, in light of



6



the circumstances under which they were made, not materially misleading. There is no fact relating to the business, affairs, operations, conditions (financial or otherwise) or prospects of GADV which would materially adversely affect same which has not been disclosed to POST in this Agreement.

                          N.         No Defense. It shall not be a defense to a suit for damages for any misrepresentation or breach of covenant or warranty that POST knew or had reason to know that any covenant, representation or warranty of GADV in this Agreement or furnished or to be furnished to POST contained untrue statements.

            8.           Mutual Covenants of All of the Parties Hereto.

                          A.         Best Efforts. Each of the parties hereto shall use its best efforts to perform or satisfy each covenant or condition to be performed or satisfied by each of them before and after the Closing Date.

                          B.         Notice of Developments and Updates. Each of the parties hereto shall give prompt written notice pursuant to Paragraph "C" of Article "20" of this Agreement to the other parties hereto of any act, event or occurrence which may cause or constitute a breach of any of its own representations and warranties in Articles "6" or "7" of this Agreement, as the case may be.

                          C.         No Public Announcement. None of the parties hereto shall, without the prior written approval of POST and GADV, make any press release or other public announcement or communicate with any customer, competitor, or supplier of, or others having business dealings with, either of POST or GADV concerning the transactions contemplated by this Agreement, except as and to the extent that such party shall determine such disclosure is required by law (which determination shall be made by such party based upon the advice of its counsel), in which event the other parties hereto shall be advised and the parties shall use their best efforts to cause a mutually agreeable release or announcement to be issued.

                          D.         Exclusivity. Neither POST nor GADV shall, without the prior written approval of (i) in the case of GADV, POST or (ii) in the case of POST, GADV, (i) enter into, or (ii) solicit, initiate or encourage any inquiries or proposals that constitute, or could reasonably be expected to lead to, a proposal or offer for, a merger, consolidation, business combination, sale of substantial assets, sale of shares of capital stock (including, but not limited to, by way of a tender offer) or similar transaction involving such party, other than the transactions contemplated by this Agreement.

            9.           Conduct of GADV's Business Prior to the Closing Date. Between the date of this Agreement and the Closing Date, GADV shall carry on its business in the ordinary course and in the same manner as heretofore conducted and shall preserve intact the existing business organization of GADV, and use its best efforts to preserve GADV's relationships, if any, with customers, suppliers and others having business dealings with GADV, to the end that its goodwill and ongoing business shall not be materially impaired on the Closing Date. Without the prior written consent of POST, GADV shall not:

                          A.         make any change in its Certificate of Incorporation or By-Laws;

                          B.         authorize or issue any capital stock or any rights, warrants, options or convertible securities to acquire such stock, except pursuant to the terms and conditions of this Agreement;

                          C.         take any action or omit to do any act which would cause the representations or warranties of GADV contained herein to be untrue or incorrect in any material respect;


7



                          D.         declare or make any payment or distribution to its shareholders (other than payment of compensation for services rendered, if applicable) or purchase or redeem any shares of capital stock, except pursuant to the terms and conditions of this Agreement;

                          E.         commit any act or omit to do any act which would cause a material breach of any agreement, contract or commitment which is listed in an Exhibit annexed to this Agreement;

                          F.         wind down or transfer its business; or

                          G.         engage in any business activities whatsoever.

            10.        Conduct of POST Business Prior to the Closing Date. Between the date of this Agreement and the Closing Date, POST shall carry on its business in the ordinary course and in the same manner as heretofore conducted and shall preserve intact the existing business organization of POST, and use its best efforts to (i) keep available to POST the services of POST's present officers and employees, (ii) preserve POST's relationships, if any, with customers, suppliers and others having business dealings with POST, to the end that its goodwill and ongoing business shall not be materially impaired on the Closing Date. Without the prior written consent of GADV, POST shall not:

                          A.         make any change in the Certificate of Partnership or partnership agreement of POST;

                          B.         conduct the business of POST in any manner other than in the ordinary course;

                          C.         declare or make any payment or distribution to its partners (other than payment of compensation for services rendered, if applicable) or purchase or redeem any shares of capital stock, except pursuant to the terms and conditions of this Agreement;

                          D.         take any action or omit to do any act which would cause the representations or warranties of POST contained herein to be untrue or incorrect in any material respect;

                          E.         commit any act or omit to do any act which would cause a material breach of any agreement, contract or commitment which is listed in an Exhibit annexed to this Agreement; or

                          F.         commit any other act or omit to do any other act which would have a material adverse effect upon the business, financial condition or earnings of POST.

            11.        Nondisclosure of Confidential Information/Non-Circumvent.

                          A.         As used in this Agreement, "Confidential Information" shall mean oral or written information which is directly or indirectly presented to a party, its past, present or future subsidiaries, parents, officers, consultants, directors, shareholders, affiliates, attorneys, employees, agents and its and their respective Immediate Families (as defined below; all of the foregoing are hereinafter collectively referred to as "Agents") by another party or its Agents, including, but not limited to, information which is developed, conceived or created by the party, or disclosed to the other party or its Agents or known by or conceived or created by the other party or its Agents during, or after the termination of, this Agreement if disclosed to the other party or its Agents or known by or conceived or created by the other party or its Agents as a result of this Agreement, with respect to the party, its business or any of said



8



party's products, processes, and other services relating thereto relating to the past or present business or any plans with respect to future business of the party, or relating to the past or present business of a third party or plans with respect to future business of a third party which are disclosed to the party. Confidential Information includes, but is not limited to, all documentation, hardware and software relating thereto, and information and data in written, graphic and/or machine readable form, products, processes and services, whether or not patentable, trademarkable or copyrightable or otherwise protectable, including, but not limited to, information with respect to discoveries; know-how; ideas; computer programs, source codes and object codes; designs; algorithms; processes and structures; product information; marketing information; price lists; cost information; product contents and formulae; manufacturing and production techniques and methods; research and development information; lists of customers and vendors and other information relating thereto; financial data and information; business plans and processes; documentation with respect to any of the foregoing; and any other information of the party that the party informs the other party or its Agents or the other party or its Agents should know, by virtue of said party's position or the circumstances in which said party learned such other information, is to be kept confidential including, but not limited to, any information acquired by the other party or its Agents from any sources prior to the commencement of this Agreement. Confidential Information also includes similar information obtained by the party in confidence from its vendors, licensors, licensees, customers and/or clients. Confidential Information may or may not be labeled as confidential.

                          B.         Except as required in the performance of a party's or its Agents' obligations pursuant to this Agreement, neither said party nor its Agents shall, during, or after the termination of, this Agreement, directly or indirectly, use any Confidential Information or disseminate or disclose any Confidential Information to any person, firm, corporation, association or other entity. Said Party or its Agents shall take all reasonable measures to protect Confidential Information from any accidental, unauthorized or premature use, disclosure or destruction. The foregoing prohibition shall not apply to any Confidential Information which: (i) was generally available to the public prior to such disclosure; (ii) becomes publicly available through no act or omission of said party or its Agents (iii) is disclosed as reasonably required in a proceeding to enforce said party's rights under this Agreement or (iv) is disclosed as required by court order or applicable law; provided, however, that if said party and/or its Agents are legally requested or required by court order or applicable law, including, but not limited to, by oral question, interrogatories, request for information or documents, subpoenas, civil investigative demand or similar process to disclose any Confidential Information, said party and/or its Agents, as the case may be, shall promptly notify the party of such request or requirement so that the party may seek an appropriate protective order; provided further, however; that if such protective order is not obtained, said party and/or its Agents, as the case may be, agree to furnish only that portion of the Confidential Information which they are advised by their respective counsel is legally required.

                          C.         Upon termination of this Agreement for any reason or at any time upon request of a party, the other party and its Agents agree to deliver to the requesting party all materials of any nature which are in the other party's or its Agents' possession or control and which are or contain Confidential Information, or which are otherwise the property of the requesting party or any vendor, licensor, licensee, customer or client of the party, including, but not limited to writings, designs, documents, records, data, memoranda, tapes and disks containing software, computer source code listings, routines, file layouts, record layouts, system design information, models, manuals, documentation and notes. The other party and its Agents shall destroy all written documentation prepared by them for internal purposes based in whole or in part on any Confidential Information and such destruction shall be confirmed to the requesting party in writing by the other party and/or its Agents.



9



                          D.         Upon the consummation of the transaction set forth in this Agreement, all of the Confidential Information shall be deemed to be the property of GADV.

            12.        Survival of Representations, Warranties and Covenants.
All covenants, agreements, representations and warranties made in or in connection with this Agreement shall survive the Closing Date hereof, and shall continue in full force and effect, it being understood and agreed that each of such covenants, agreements, representations and warranties is of the essence of this Agreement and the same shall be binding upon and shall inure to the benefit of the parties hereto, and their successors and assigns.

            13.        Conditions of Closing.

                          A. Conditions to POST's Obligation to Close. The obligation of POST to close the transactions set forth in this Agreement shall be subject to the following conditions:

                                 i.          Representations and Warranties of GADV to be True. To GADV's knowledge, the representations and warranties of GADV set forth in this Agreement shall be true in all material respects on the Closing Date with the same effect as though made at such time, except to the extent waived or affected by the transactions set forth in this Agreement;

                                 ii.         Performance of Obligations of GADV. GADV shall have performed all obligations and complied with all covenants set forth in this Agreement to be performed or complied with in all material respects by it prior to the Closing Date;

                                 iii.        No Adverse Change. There shall not have occurred any material adverse change since the date of this Agreement and through the date of the Closing Date in the business, properties, results of operations or business or financial condition of GADV;

                                 iv.       Statutory Requirements. Any statutory requirement for the valid consummation by GADV of the transactions set forth in this Agreement shall have been fulfilled; any authorizations, consents and approvals of all federal, state and local governmental agencies and authorities required to be obtained, in order to permit consummation by GADV of the transactions set forth in this Agreement and to permit the business presently carried on by GADV to continue unimpaired following the Closing Date, shall have been obtained;

                                 v.        No Governmental Proceedings. No action or proceeding shall have been instituted before a court or other governmental body by any governmental agency or public authority to restrain or prohibit the transactions set forth in this Agreement;

                                 vi.       Consents Under Agreements. GADV shall have obtained the consent or approval of each person whose consent or approval shall be required in connection with the transactions set forth in this Agreement;

                                 vii.      Good Standing Certificate. On the Closing Date, GADV shall provide POST with a good standing certificate for GADV issued by the Secretary of State of the State of Delaware, which certificate is complete and correct as of a date within thirty (30) days prior to the Closing Date;

                                 viii.     Shareholder Approval. The shareholders of GADV shall have approved this Agreement and its related transactions in accordance with the applicable provisions of the Delaware Corporations Code, and GADV shall have delivered to POST a consent of the shareholders of GADV in the form annexed to, and made a part of, this Agreement as Exhibit "P" (Article "7B"); and



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                                 ix.       Directors and Officers. The Board of Directors of GADV shall have appointed Russell Chaney as the CEO/Chairman, Shane Rapp as President/Secretary/Treasurer and both Russell Chaney and Shane Rapp as members of the board of directors of GADV pursuant to Paragraph "A" of Article "4" of this Agreement, and the directors and officers of GADV serving immediately prior to the Closing Date shall have resigned pursuant to Paragraphs "A" and "B" of Article "4" of this Agreement, respectively.

                                 x         No Liabilities. GADV shall have no liabilities, contractual or other obligations, or business activities, all of which shall have been satisfied, resolved or transferred prior to the Closing without any recourse or liability to GADV.

                                 xi.      Legal Opinion. GADV shall provide POST with a legal opinion certifying that GADV does not have any outstanding indebtedness or other liabilities or obligations of any nature (whether absolute, accrued, contingent or otherwise, and whether due or to become due), including, but not limited to, tax liabilities, debts, liens, encumbrances, or pending or threatened lawsuits.

                          B.         Conditions to GADV's Obligation to Close. The obligation of GADV to close the transactions set forth in this Agreement shall be subject to the following conditions:

                                 i.        Representations and Warranties of POST to be True. To POST's, the representations and warranties of POST set forth in this Agreement shall be true in all material respects on the Closing Date with the same effect as though made at such time, except to the extent waived or affected by the transactions set forth in this Agreement;

                                 ii.       Performance of Obligations of POST. POST shall have performed all obligations and complied with all covenants set forth in this Agreement to be performed or complied with in all material respects by him or it prior to the Closing Date;

                                 iii.       No Adverse Change. There shall not have occurred any material adverse change through the date of the Closing Date in the business, properties, results of operations or business or financial condition of POST;

                                 iv.       Statutory Requirements. Any statutory requirement for the valid consummation by POST of the transactions set forth in this Agreement shall have been fulfilled; any authorizations, consents and approvals of all federal, state and local governmental agencies and authorities required to be obtained, in order to permit consummation by POST of the transactions set forth in this Agreement and to permit the business presently carried on by POST to continue unimpaired following the Closing Date, shall have been obtained;

                                 v.        No Governmental Proceedings. No action or proceeding shall have been instituted before a court or other governmental body by any governmental agency or public authority to restrain or prohibit the transactions set forth in this Agreement;

                                 vi.       Consents Under Agreements. POST shall have obtained the consent or approval of each person whose consent or approval shall be required in connection with the transactions set forth in this Agreement; and

                                 vii.      Partner Approval. The POST partners shall have approved this Agreement and its related transactions pursuant to the applicable provisions of the Texas General Corporations Law, and



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POST shall have delivered to GADV consent of a majority of the POST partners in the form annexed to, and made a part of, this Agreement as Exhibit "J" (Article "6B").

                                 viii.      Good Standing Certificate. On the Closing Date, POST shall provide GADV with a good standing certificate for POST issued by the Secretary of State of the State of Texas, which certificate is complete and correct as of a date within thirty (30) days prior to the Closing Date, if applicable;

            14.        Documents, Certificates, etc. to be Delivered at Closing.

                          A.         At the Closing, GADV shall deliver the following items to POST:

                                 i.         stock certificates evidencing the Exchange Shares, as defined in the ninth "WHEREAS" clause of this Agreement;

                                 ii.        a good standing certificate of GADV, dated within thirty (30) days prior to the Closing Date;

                                 iii.       a consent of the shareholders of GADV, in the form annexed to, and made a part of, this Agreement as Exhibit "P" (Article "7B"); and

                                 iv.       the legal opinion set forth in Subparagraph "xi" of Paragraph "A" of Article "13" of this Agreement.

                          B.         At the Closing, POST shall deliver the following items to GADV:

                                 i.         stock certificates evidencing all of the issued and outstanding shares of POST Common Stock; and

                                 ii.        a consent of the POST partners, in the form annexed to, and made a part of, this Agreement as Exhibit "J" (Article "6B").

                                 iii.       a good standing certificate of POST, dated within thirty (30) days prior to the Closing Date.

            15.        Equitable Relief.

                          A.         GADV acknowledges that POST shall be irreparably damaged if this Agreement is not consummated. Therefore, in the event of any breach by GADV of this Agreement, POST shall have the right to obtain equitable relief including, but not limited to, an order for specific performance of this Agreement or an injunction, without the need to: (i) post a bond or other security, (ii) to prove any actual damage or (iii) to prove that money damages would not provide an adequate remedy. Resort to such equitable relief, however, shall not be construed to be a waiver of any other rights or remedies which POST may have for damages or otherwise.

                          B.         POST acknowledges that GADV shall be irreparably damaged if this Agreement is not consummated. Therefore, in the event of any breach by POST of this Agreement, GADV shall have the right, at its election, to obtain equitable relief including, but not limited to, an order for specific performance of this Agreement or an injunction, without the need to: (i) post a bond or other security,



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(ii) to prove any actual damage or (iii) to prove that money damages would not provide an adequate remedy. Resort to such equitable relief, however, shall not be construed to be a waiver of any other rights or remedies which GADV may have for damages or otherwise.

            16.        Method of Termination. This Agreement may be terminated prior to the Closing Date, by any of the following methods:

                          A.         by mutual written consent of GADV and POST, authorized by the Boards of Directors of GADV and the managing partner of POST;

                          B.         by written notice from (i) GADV to POST, or (ii) POST to GADV, if within ten (10) business days after receipt of such written notice that the Closing Date has passed, the Closing has not occurred; provided, however, that if the Closing shall not have occurred on, or prior to, the Closing Date as a result of any action taken, or failure to act, by any governmental or regulatory authority including, but not limited to, the withholding of, or a delay in, any approval in connection with any aspect of the transactions contemplated hereby, then the Closing Date shall automatically be extended until a date which is a reasonable time subsequent to the date upon which such governmental or regulatory action is resolved which will allow the parties to complete the procedures required to consummate the transactions contemplated hereby; provided, further, however, that the right to terminate this Agreement pursuant to this Paragraph "B" of this Article "16" of this Agreement shall not be available to any party whose failure to fulfill any obligation pursuant to this Agreement has been the cause of or resulted in the failure of the Closing to occur on or before such date;

                          C.         by GADV if there is a material breach of any representation or warranty set forth in Article "6" of this Agreement or by POST in Article "8" of this Agreement or any covenant or agreement to be complied with or performed by POST pursuant to the terms of this Agreement, including, but not limited to, the covenants set forth in Article "10" of this Agreement, or the failure of a condition set forth in Paragraph "B" of Article "13" of this Agreement to be satisfied (and such condition is not waived in writing by GADV) on or prior to the Closing Date, or the occurrence of any event which results in the failure of a condition set forth in Paragraph "B" of Article "13" of this Agreement to be satisfied on or prior to the Closing Date; provided however, that, GADV may not terminate this Agreement prior to the Closing Date if POST has not had an adequate opportunity to cure such failure, pursuant to Article "18" of this Agreement; or

                          D.         by POST if there is a material breach of any representation or warranty set forth in Article "7" of this Agreement or by GADV in Article "8" of this Agreement or any covenant or agreement to be complied with or performed by GADV pursuant to the terms of this Agreement, including, but not limited to, the covenants set forth in Article "9" of this Agreement, or the failure of a condition set forth in Paragraph "A" of Article "13" of this Agreement to be satisfied (and such condition is not waived in writing by POST) on or prior to the Closing Date, or the occurrence of any event which results in the failure of a condition set forth in Paragraph "A" of Article "13" of this Agreement to be satisfied on or prior to the Closing Date; provided however, that, the POST may not terminate this Agreement prior to the Closing Date if GADV has not had an adequate opportunity to cure such failure pursuant to Article "18" of this Agreement.

            17.        Effect of Termination. If this Agreement is terminated pursuant to the provisions set forth in Article "16" of this Agreement, this Agreement shall become null and void and shall have no further effect.



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            18.        Cooperation; Notice; Cure. Subject to compliance with applicable law, from the date of this Agreement until the Closing Date, each of the parties shall confer on a regular and frequent basis with one or more representatives of the other parties to report on the general status of ongoing operations. POST shall promptly provide GADV or its counsel with copies of any filings any of them made with any governmental entity in connection with this Agreement and the transactions contemplated hereby and thereby. Each of the parties shall notify the others of, and will use all commercially reasonable efforts to cure before the Closing Date, any event, transaction or circumstance, as soon as practical after it becomes known to such party, that causes or will cause any covenant or agreement of the parties pursuant to this Agreement to be breached or that renders or will render untrue any representation or warranty of the parties contained in this Agreement. Each of the parties shall also notify the others in writing of, and will use all commercially reasonable efforts to cure, before the Closing Date, any violation or breach, as soon as practical after it becomes known to such party, of any representation, warranty, covenant or agreement made by the parties. No notice given pursuant to this paragraph shall have any effect on the representations, warranties, covenants or agreements contained in this Agreement for purposes of determining satisfaction of any condition contained herein.

            19.        Indemnification.

                          A.         Indemnification by GADV. In order to induce POST to enter into and perform this Agreement, GADV does hereby indemnify, protect, defend and save and hold harmless POST and each of its Agents (the "Indemnified Parties"), from and against any loss resulting to any of them from any material loss, liability, cost, damage, or expense which the Indemnified Parties may suffer, sustain or incur arising out of or due to a breach by GADV of the representations, warranties and covenants set forth in Article "7" of this Agreement or in any documents delivered pursuant hereto or of a breach by GADV of any of its obligations pursuant to this Agreement or in any documents delivered pursuant hereto.

                          B.         Indemnification by POST. In order to induce GADV to enter into and perform this Agreement, POST indemnifies, protects, defends and saves and holds harmless GADV and each of its Agents (the "Indemnified Parties"), from and against any loss resulting to any of them from any material loss, liability, cost, damage, or expense which the Indemnified Parties may suffer, sustain or incur arising out of or due to a breach by POST of the representations, warranties and covenants set forth in Article "6" of this Agreement or in any documents delivered pursuant hereto or of a breach by POST of its obligations pursuant to this Agreement or in any documents delivered pursuant hereto.

                          C.         Reasonable Costs, Etc. The indemnification, which is set forth in this Article "20" of this Agreement shall be deemed to include not only the specific liabilities or obligation with respect to which such indemnity is provided, but also all counsel fees, reasonable costs, expenses and expenses of settlement relating thereto, whether or not any such liability or obligation shall have been reduced to judgment.

                          D.         Third Party Claims. If any demand, claim, action or cause of action, suit, proceeding or investigation (collectively, the "Claim") is brought against an Indemnified Party for which the Indemnified Party intends to seek indemnity from the other party hereto (the "Indemnifying Party"), then the Indemnified Party within twenty-one (21) days after such Indemnified Party's receipt of the Claim, shall notify the Indemnifying Party pursuant to Paragraph "C" of Article "21" of this Agreement which notice shall contain a reasonably thorough description of the nature and amount of the Claim (the "Claim Notice"). The Indemnifying Party shall have the option to undertake, conduct and control the defense of such claim or demand. Such option to undertake, conduct and control the defense of such claim or demand shall be exercised by notifying the Indemnified Party within ten (10) days after receipt of the Claim Notice pursuant to Paragraph "C" of Article "21" of this Agreement (such notice to control



14



the defense is hereinafter referred to as the "Defense Notice"). The failure of the Indemnified Party to notify the Indemnifying Party of the Claim shall not relieve the Indemnifying Party from any liability which the Indemnifying Party may have pursuant to this Article "20" of this Agreement except to the extent that such failure to notify the Indemnifying Party prejudices the Indemnifying Party. The Indemnified Party shall use all reasonable efforts to assist the Indemnifying Party in the vigorous defense of the Claim. All costs and expenses incurred by the Indemnified Party in defending the Claim shall be paid by the Indemnifying Party. If, however, the Indemnified Party desires to participate in any such defense or settlement, it may do so at its sole cost and expense (it being understood that the Indemnifying Party shall be entitled to control the defense). The Indemnified Party shall not settle the Claim. If the Indemnifying Party does not elect to control the defense of the Claim, within the aforesaid ten (10) day period by proper notice pursuant to Paragraph "C" of Article "20" of this Agreement, then the Indemnified Party shall be entitled to undertake, conduct and control the defense of the Claim (a failure by the Indemnifying Party to send the Defense Notice to the Indemnified Party within the aforesaid ten (10) day period by proper notice pursuant to Paragraph "C" of Article "20" of this Agreement shall be deemed to be an election by the Indemnifying Party not to control the defense of the Claim); provided, however, that the Indemnifying Party shall be entitled, if it so desires, to participate therein (it being understood that in such circumstances, the Indemnified Party shall be entitled to control the defense). Regardless of which party has undertaken to defend any claim, the Indemnifying Party may, without the prior written consent of the Indemnified Party, settle, compromise or offer to settle or compromise any such claim or demand; provided however, that if any settlement would result in the imposition of a consent order, injunction or decree which would restrict the future activity or conduct of the Indemnified Party, the consent of the Indemnified Party shall be a condition to any such settlement. Whether the Indemnifying Party shall control and assume the defense of the Claim or only participate in the defense or settlement of the Claim, the Indemnified Party shall give the Indemnifying Party and its counsel access, during normal business hours, to all relevant business records and other documents, and shall permit them to consult with its employees and counsel.

            20.        Miscellaneous.

                          A.         Headings. Headings contained in this Agreement are for reference purposes only and shall not affect in any way the meaning or interpretation of this Agreement.

                          B.         Enforceability. If any provision which is contained in this Agreement, should, for any reason, be held to be invalid or unenforceable in any respect under the laws of any State of the United States, such invalidity or unenforceability shall not affect any other provision of this Agreement and in this Agreement shall be construed as if such invalid or unenforceable provision had not been contained herein.

                          C.         Notices. Any notice or other communication required or permitted hereunder shall be sufficiently given if sent by (i) mail by (a) certified mail, prepaid, return receipt requested and (b) first class mail, (ii) overnight delivery with confirmation of delivery or (iii) facsimile transmission with an original mailed by first class mail, prepaid, addressed as follows:


  If to POST: PostInk Technology, LP
2010 FM 2673 Canyon Lake, Texas 78133
Attention: Russell Chaney, CEO
Facsimile No.:


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  with a copy to: Fuller, Chlouber & Frizzell, L.L.P.
20 East 5th Street, Suite 200
Tulsa, OK 74103
Attention: Brad D. Fuller, Esq.
Facsimile No.: 918-585-9414
     
  If to GADV: Global Advance Corp.
24955 Pacific Coast Highway
Malibu, CA 90265
Attention: Krystal Rocha, President
Facsimile No.: _____________
     
  with a copy to: Applbaum & Zouvas, LLP,
925 Hotel Circle South,
San Diego, CA. 92108
Attention: Luke C. Zouvas, Esq.
Facsimile No.: 619-688-1716

or in each case to such other address and facsimile number as shall have last been furnished by like notice. If all of the methods of notice set forth in this Paragraph "C" of this Article "20" of this Agreement are impossible for any reason, notice shall be in writing and personally delivered to the aforesaid addresses. Each notice or communication shall be deemed to have been given as of the date so mailed or delivered as the case may be; provided, however, that any notice sent by facsimile shall be deemed to have been given as of the date so sent if a copy thereof is also mailed by first class mail on the date sent by facsimile. If the date of mailing is not the same as the date of sending by facsimile, then the date of mailing by first class mail shall be deemed to be the date upon which notice is given; provided further, however, that any notice sent by overnight delivery shall be deemed to have been given as of the date of delivery.

                          D.         Governing Law; Disputes. This Agreement shall in accordance with the Laws of Delaware in all respects be construed, governed, applied and enforced under the internal laws of the State of Delaware without giving effect to the principles of conflicts of laws and be deemed to be an agreement entered into in the State of Delaware and made pursuant to the laws of the State of Delaware. The parties agree that they shall be deemed to have agreed to binding arbitration with respect to the entire subject matter of any and all disputes relating to or arising under this Agreement including, but not limited to, the specific matters or disputes as to which arbitration has been expressly provided for by other provisions of this Agreement and that any such arbitration shall be commenced exclusively in Delaware. Any such arbitration shall be by a panel of three arbitrators and pursuant to the commercial rules then existing of the American Arbitration Association in the State of Delaware. In all arbitrations, judgment upon the arbitration award may be entered in any court having jurisdiction. The parties specifically designate the courts in the State of Delaware as properly having jurisdiction for any proceeding to confirm and enter judgment upon any such arbitration award. The parties hereby consent to and submit to the exclusive jurisdiction of the courts of the State of Delaware in any action or proceeding and submit to personal jurisdiction over each of them by such courts. The parties hereby waive personal service of any and all process and specifically consent that in any such action or proceeding brought in the courts of the State of Delaware, any service of process may be effectuated upon any of them by certified mail, return receipt requested, in accordance with Paragraph "C" of this Article "20" of this Agreement. Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted by law.



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            The parties agree, further, that the prevailing party in any such arbitration as determined by the arbitrators shall be entitled to such costs and attorney's fees, if any, in connection with such arbitration as may be awarded by the arbitrators. In connection with the arbitrators' determination for the purpose of which party, if any, is the prevailing party, they shall take into account all of the factors and circumstances including, without limitation, the relief sought, and by whom, and the relief, if any, awarded, and to whom. In addition, and notwithstanding the foregoing sentence, a party shall not be deemed to be the prevailing party in a claim seeking monetary damages, unless the amount of the arbitration award exceeds the amount offered in a legally binding writing by the other party by fifteen percent (15%) or more. For example, if the party initiating arbitration ("A") seeks an award of $100,000 plus costs and expenses, the other party ("B") has offered A $50,000 in a legally binding written offer prior to the commencement of the arbitration proceeding, and the arbitration panel awards any amount less than $57,500 to A, the panel should determine that B has "prevailed".

            The arbitration panel shall have no power to award non-monetary or equitable relief of any sort. It shall also have no power to award (i) damages inconsistent with any applicable agreement between the parties or (ii) punitive damages or any other damages not measured by the prevailing party's actual damages; and the parties expressly waive their right to obtain such damages in arbitration or in any other forum. In no event, even if any other portion of these provisions is held invalid or unenforceable, shall the arbitration panel have power to make an award or impose a remedy which could not be made or imposed by a court deciding the matter in the same jurisdiction.

            Discovery shall be permitted in connection with the arbitration only to the extent, if any, expressly authorized by the arbitration panel upon a showing of substantial need by the party seeking discovery.

            All aspects of the arbitration shall be treated as confidential. The parties and the arbitration panel may disclose the existence, content or results of the arbitration only as provided in the rules of the American Arbitration Association in Delaware, Delaware. Before making any such disclosure, a party shall give written notice to all other parties and shall afford such parties a reasonable opportunity to protect their interest.

                          E.         Expenses. Each party to this Agreement shall bear and pay its own costs and expenses incurred in connection with the execution and delivery of this Agreement and the transactions set forth in this Agreement. GADV shall bear all legal fees and expenses with respect to the preparation of this Agreement.

                          F.         Construction. Each of the parties hereto hereby further acknowledges and agrees that (i) each has been advised by counsel during the course of negotiations and (ii) each counsel has had significant input in the development of this Agreement and (iii) this Agreement shall not, therefore, be construed more strictly against any party responsible for its drafting regardless of any presumption or rule requiring construction against the party whose attorney drafted this Agreement.

                          G.         Entire Agreement. This Agreement and all documents and instruments referred to herein (a) constitute the entire agreement and supersedes all prior agreements and understandings, both written and oral, among the parties with respect to the subject matter hereof and thereof, and (b) are not intended to confer upon any person other than the parties hereto any rights or remedies hereunder. Each party hereto agrees that, except for the representations and warranties contained in this Agreement, none makes any other representations or warranties, and each hereby disclaims any other representations and warranties made by itself or any of its officers, directors, employees, agents, financial and legal advisors or other representatives, with respect to the execution and delivery of this Agreement or the transactions contemplated hereby, notwithstanding the delivery or disclosure to the other or the other's



17



representatives of any documentation or other information with respect to any one or more of the foregoing.

                          H.         Further Assurances. The parties agree to execute any and all such other further instruments and documents, and to take any and all such further actions which are reasonably required to effectuate this Agreement and the intents and purposes hereof.

                          I.         Binding Agreement. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their heirs, executors, administrators, personal representatives, successors and assigns.

                          J.         Non-Waiver. Except as otherwise expressly provided herein, no waiver of any covenant, condition, or provision of this Agreement shall be deemed to have been made unless expressly in writing and signed by the party against whom such waiver is charged; and (i) the failure of any party to insist in any one or more cases upon the performance of any of the provisions, covenants or conditions of this Agreement or to exercise any option herein contained shall not be construed as a waiver or relinquishment for the future of any such provisions, covenants or conditions, (ii) the acceptance of performance of anything required by this Agreement to be performed with knowledge of the breach or failure of a covenant, condition or provision hereof shall not be deemed a waiver of such breach or failure and (iii) no waiver by any party of one breach by another party shall be construed as a waiver of any other or subsequent breach.

                          K.         Counterparts. This Agreement may be executed simultaneously in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

                          L.         Facsimile Signatures. Any signature which is delivered via facsimile shall be deemed to be an original and have the same force and effect as if such facsimile signature were the original thereof.

                          M.         Modifications. This Agreement may not be changed, modified, extended, terminated or discharged orally, except by a written agreement specifically referring to this Agreement which is signed by all of the parties to this Agreement.

                          N.         Exhibits. All Exhibits annexed or attached to this Agreement are incorporated into this Agreement by reference thereto and constitute an integral part of this Agreement.

                          N.         Severability. The provisions of this Agreement shall be deemed separable. Therefore, if any part of this Agreement is rendered void, invalid or unenforceable, such rendering shall not affect the validity or enforceability of the remainder of this Agreement; provided, however, that if the part or parts which are void, invalid or unenforceable as aforesaid shall substantially impair the value of this whole Agreement to any party, that party may cancel and terminate this Agreement by giving written notice to the other party.


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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first above written.


  POSTINK TECHNOLOGY, LP
     
     
  By: _____________________________
    Name: Russell Chaney
Title: Chairman and CEO
     
     
  RSIV, LLC (General Partner of PostInk Technology, LP)
     
     
  By: _____________________________
    Name: Russell Chaney
Title: Managing Partner
     
     
  GLOBAL ADVANCE CORP.
     
     
  By: _____________________________
    Name: Krystal Rocha
Title: Chairman and CEO
     




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