FILED: NASSAU COUNTY CLERK 07/08/2022 11:26 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 608903/2022
`
`RECEIVED NYSCEF: 07/08/2022
`
`REVENUE PURCHASE AGREEMENT
`This Revenue Purchase Agreement and Security Agreement and Guaranty of Performance (“Agreement”)
`May 13, 2022
`dated
` between (cid:48)(cid:71)(cid:89)(cid:69)(cid:81)(cid:3)(cid:37)(cid:67)(cid:82)(cid:75)(cid:86)(cid:67)(cid:78)(cid:3)(cid:41)(cid:84)(cid:81)(cid:87)(cid:82)(cid:3)(cid:46)(cid:46)(cid:37) (“NCG”) the Merchant(s) listed below
`(“Merchant”) and the Individual(s) listed below (“Guarantor”)
`
`MERCHANT INFORMATION
`
`Merchant’s Legal name
`FANUCCI RESTAURANT GROUP, LLC
`
`FANUCCI RESTAURANT GROUP LLC / NICOLAS EATERY MALIBU
`
`Type of Entity
` Corp.
` LLC
`
`✔
`
`D/B/A
`NICOLAS EATERY
`
` Sole Prop
`
` Other
`
`Physical Address
`22333 PACIFIC COAST HWY
`
`State of Incorporation / Organization
`Stat
`orpo
`/ Organiza
`CA
`
`City
`MALIBU
`
`State
`ate
`CA
`
`Zip
`90265
`
`Business Phone
`424-644-0614
`
`Guarantor(s) Name
`NICOLAS DANIEL FANUCCI
`
`Cellphone Number
`Ce
`one
`
`Email Address
`NICOLAS@NICOLASEATERY.COM
`
`Mailing Address
`ddress
`22313 MACFARLANE DR
`
`City
`WOODLAND HILLS
`
`State
`CA
`
`Zip
`91364
`
`Purchase Price
`50,000.00
`
`$
`
`Purchased Percent
`d Percent
`15
`
`%
`
`Purchased Amount
`70,500.00
`
`$
`
`Payment Frequency
`WEEKLY
`
`Remittance
`2,518.00
`
`$
`
`In consideration of payment by NCG to Merchant of the Purchase Price set forth above, Merchant hereby sells, assigns and
`transfers to NCG (making NCG the absolute owner) the Purchased Percentage of all of the Merchant’s payments, receipts,
`settlements and funds paid to or received by or for the account of Merchant from time to time on and after the date hereof in
`payment or settlement of Merchant’s existing and future accounts, payment intangibles, credit, debit and/or stored value card
`transactions, contract rights and other entitlements arising from or relating to the payment of monies from Merchant’s customers’
`(cid:65)(cid:78)(cid:68)(cid:15)(cid:79)(cid:82)(cid:3)(cid:79)(cid:84)(cid:72)(cid:69)(cid:82)(cid:3)(cid:80)(cid:65)(cid:89)(cid:79)(cid:82)(cid:83)(cid:3)(cid:79)(cid:82)(cid:3)(cid:79)(cid:66)(cid:76)(cid:73)(cid:71)(cid:79)(cid:82)(cid:83)(cid:3)(cid:8)(cid:84)(cid:72)(cid:69)(cid:3)(cid:104)(cid:38)(cid:85)(cid:84)(cid:85)(cid:82)(cid:69)(cid:3)(cid:50)(cid:69)(cid:67)(cid:69)(cid:73)(cid:80)(cid:84)(cid:83)(cid:118)(cid:3)(cid:68)(cid:69)(cid:108)(cid:78)(cid:69)(cid:68)(cid:3)(cid:65)(cid:83)(cid:3)(cid:65)(cid:76)(cid:76)(cid:3)(cid:80)(cid:65)(cid:89)(cid:77)(cid:69)(cid:78)(cid:84)(cid:83)(cid:3)(cid:77)(cid:65)(cid:68)(cid:69)(cid:3)(cid:66)(cid:89)(cid:3)(cid:67)(cid:65)(cid:83)(cid:72)(cid:12)(cid:3)(cid:67)(cid:72)(cid:69)(cid:67)(cid:75)(cid:12)(cid:3)(cid:67)(cid:76)(cid:69)(cid:65)(cid:82)(cid:73)(cid:78)(cid:71)(cid:72)(cid:79)(cid:85)(cid:83)(cid:69)(cid:3)(cid:83)(cid:69)(cid:84)(cid:84)(cid:76)(cid:69)(cid:77)(cid:69)(cid:78)(cid:84)(cid:12)(cid:3)
`electronic transfer or other form of monetary payment), for the payments to Merchant as a result of Merchant’s sale of goods and/
`or services (the “Transactions”) until the Purchased Amount has been delivered by or on behalf of Merchant to NCG.
`
`1
`
`Initial
`
`NEWCO CAPITAL GROUP - REVENUE PURCHASE AGREEMENT
`
`DocuSign Envelope ID: FAC79D70-B77F-4B1B-8EFB-299293DDBB50
`
`7073631874
`
`

`

`FILED: NASSAU COUNTY CLERK 07/08/2022 11:26 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 608903/2022
`
`RECEIVED NYSCEF: 07/08/2022
`
`Merchant is selling a portion of a future revenue stream to NCG at a discount, and is not borrowing money from NCG, therefore
`there is no interest rate or payment schedule and no time period during which the Purchased Amount must be collected by
`NCG. The Remittance is a good faith estimate of NCG’s share of the future revenue stream. Merchant going bankrupt or going
`out of business, or experiencing a slowdown in business, or a delay in collecting its receivables, in and of itself, does not constitute
`a breach of this Agreement. NCG is entering this Agreement knowing the risks that Merchant’s business may not perform as
`expected or fail, and NCG assumes these risks based on Merchant’s representations, warranties and covenants in this Agreement,
`(cid:87)(cid:72)(cid:73)(cid:67)(cid:72)(cid:3)(cid:65)(cid:82)(cid:69)(cid:3)(cid:68)(cid:69)(cid:83)(cid:73)(cid:71)(cid:78)(cid:69)(cid:68)(cid:3)(cid:84)(cid:79)(cid:3)(cid:71)(cid:73)(cid:86)(cid:69)(cid:3)(cid:46)(cid:35)(cid:39)(cid:3)(cid:65)(cid:3)(cid:82)(cid:69)(cid:65)(cid:83)(cid:79)(cid:78)(cid:65)(cid:66)(cid:76)(cid:69)(cid:3)(cid:65)(cid:78)(cid:68)(cid:3)(cid:70)(cid:65)(cid:73)(cid:82)(cid:3)(cid:79)(cid:80)(cid:80)(cid:79)(cid:82)(cid:84)(cid:85)(cid:78)(cid:73)(cid:84)(cid:89)(cid:3)(cid:84)(cid:79)(cid:3)(cid:82)(cid:69)(cid:67)(cid:69)(cid:73)(cid:86)(cid:69)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:66)(cid:69)(cid:78)(cid:69)(cid:108)(cid:84)(cid:3)(cid:79)(cid:70)(cid:3)(cid:73)(cid:84)(cid:83)(cid:3)(cid:66)(cid:65)(cid:82)(cid:71)(cid:65)(cid:73)(cid:78)(cid:14)(cid:3)(cid:46)(cid:35)(cid:39)(cid:3)(cid:65)(cid:67)(cid:75)(cid:78)(cid:79)(cid:87)(cid:76)(cid:69)(cid:68)(cid:71)(cid:69)(cid:83)(cid:3)
`(cid:84)(cid:72)(cid:65)(cid:84)(cid:3)(cid:73)(cid:84)(cid:3)(cid:77)(cid:65)(cid:89)(cid:3)(cid:78)(cid:69)(cid:86)(cid:69)(cid:82)(cid:3)(cid:82)(cid:69)(cid:67)(cid:69)(cid:73)(cid:86)(cid:69)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:48)(cid:85)(cid:82)(cid:67)(cid:72)(cid:65)(cid:83)(cid:69)(cid:68)(cid:3)(cid:33)(cid:77)(cid:79)(cid:85)(cid:78)(cid:84)(cid:3)(cid:73)(cid:78)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:69)(cid:86)(cid:69)(cid:78)(cid:84)(cid:3)(cid:84)(cid:72)(cid:65)(cid:84)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:45)(cid:69)(cid:82)(cid:67)(cid:72)(cid:65)(cid:78)(cid:84)(cid:3)(cid:68)(cid:79)(cid:69)(cid:83)(cid:3)(cid:78)(cid:79)(cid:84)(cid:3)(cid:71)(cid:69)(cid:78)(cid:69)(cid:82)(cid:65)(cid:84)(cid:69)(cid:3)(cid:83)(cid:85)(cid:70)(cid:108)(cid:67)(cid:73)(cid:69)(cid:78)(cid:84)(cid:3)(cid:82)(cid:69)(cid:86)(cid:69)(cid:78)(cid:85)(cid:69)(cid:14)(cid:3)(cid:45)(cid:69)(cid:82)(cid:67)(cid:72)(cid:65)(cid:78)(cid:84)(cid:3)
`and Guarantor(s)(s) are only guaranteeing their performance of the terms of this Revenue Purchase Agreement, and are not
`guaranteeing the payment of the Purchased Amount. The initial Remittance shall be as described above. The Remittance is
`subject to adjustment as set forth in Paragraph 1.4 and Paragraph1.5.
`
`NCG will debit the Remittance each business day from only one depositing bank account, which account must be acceptable to,
`and pre-approved by, NCG (the “Account”) into which Merchant and Merchant’s customers shall remit the Receipts from each
`Transaction, until such time as NCG receives payment in full of the Purchased Amount. Merchant hereby authorizes NCG to ACH
`debit the agreed Remittance from the Account on the agreed upon Payment Frequency; a daily basis means any day that is not
`ncy; a daily b
`a United States banking holiday. Merchant agrees not to make or cause debits to the Account (other than in favor of NCG) at any
`e Account (other t
`(cid:84)(cid:73)(cid:77)(cid:69)(cid:3)(cid:84)(cid:72)(cid:65)(cid:84)(cid:3)(cid:87)(cid:79)(cid:85)(cid:76)(cid:68)(cid:3)(cid:67)(cid:65)(cid:85)(cid:83)(cid:69)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:66)(cid:65)(cid:76)(cid:65)(cid:78)(cid:67)(cid:69)(cid:3)(cid:84)(cid:72)(cid:69)(cid:82)(cid:69)(cid:73)(cid:78)(cid:3)(cid:79)(cid:78)(cid:3)(cid:65)(cid:78)(cid:89)(cid:3)(cid:66)(cid:85)(cid:83)(cid:73)(cid:78)(cid:69)(cid:83)(cid:83)(cid:3)(cid:68)(cid:65)(cid:89)(cid:3)(cid:84)(cid:79)(cid:3)(cid:66)(cid:69)(cid:3)(cid:73)(cid:78)(cid:83)(cid:85)(cid:70)(cid:108)(cid:67)(cid:73)(cid:69)(cid:78)(cid:84)(cid:3)(cid:84)(cid:79)(cid:3)(cid:70)(cid:85)(cid:78)(cid:68)(cid:3)(cid:80)(cid:65)(cid:89)(cid:77)(cid:69)(cid:78)(cid:84)(cid:3)(cid:73)(cid:78)(cid:3)(cid:70)(cid:85)(cid:76)(cid:76)(cid:3)(cid:79)(cid:70)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:65)(cid:71)(cid:82)(cid:69)(cid:69)(cid:68)(cid:3)(cid:50)(cid:69)(cid:77)(cid:73)(cid:84)(cid:84)(cid:65)(cid:78)(cid:67)(cid:69)(cid:14)(cid:3)
`
`(cid:70)(cid:85)(cid:78)(cid:68)(cid:3)(cid:80)(cid:65)(cid:89)(cid:77)(cid:69)(cid:78)(cid:84)(cid:3)(cid:73)(cid:78)(cid:3)(cid:70)(cid:85)(cid:76)(cid:76)(cid:3)(cid:79)(cid:70)(cid:3)(cid:84)(cid:72)(cid:69)
`The Account may not be used for any personal, family or household purposes. Merchant will provide NCG with all required
`
`Merchant will provide NC
`access codes and monthly bank statements regarding the Account so that NCG may monitor the Account. NCG payment of the
`so that NC
`may monitor the Acco
`Purchase Price shall be deemed the acceptance and performance by NCG of this Agreement. Merchant understands that it is
`ance by NCG
`is Agreement. Merc
`nde
`responsible for ensuring that the agreed Remittance to be debited by NCG remains in the Account and will be held responsible for
`ited b
`n the Account and
`be h
`any fees incurred by NCG resulting from a rejected ACH attempt or an Event of Default. NCG is not responsible for any overdrafts
`mpt
`t. NCG is not
`onsi
`r any o
`or rejected transactions that may result from NCG’s ACH debiting the agreed Remittance under the terms of this Agreement.
`debiting the agreed Remitt
`e te
`this Ag
`Notwithstanding anything to the contrary in this Agreement or any other agreement between NCG and Merchant, upon the
`t or any other agreement
`CG
`Me
`ant,
`occurrence of an Event of Default of the MERCHANT AGREEMENT TERMS AND CONDITIONS the Purchased Percentage shall equal
`MENT TERMS AND CONDITIO
`urch
`Percenta
`sh
`100%. A list of all fees applicable under this Agreement is contained in Appendix A.
`tain
`
`
`THE MERCHANT AGREEMENT “TERMS AND CONDITIONS”, THE “SECURITY AGREEMENT AND AND COND ONS” THE ECU GREEME
`
`
`
`
`GUARANTY” AND THE “ADMINISTRATIVE FORM HEREOF, ARE ALL HEREBY INCORPORATED IN AND VE FORM HE LL H BY INCORPO
`
`
`
`MADE A PART OF THIS MERCHANT AGREEMENT.
`REEMENT.
`
`FOR THE MERCHANT (#1) By:
`NICOLAS DANIEL FANUCCI
`Print Name and Title
`Pr
`e and Title
`
`
`
`FOR THE MERCHANT (#2) By:FO CHANT (#2
`
`
`
`Print Name and Title
`
`Signature
`
`Signature
`
`BY GUARANTOR(S) (#1) By:
`NICOLAS DANIEL FANUCCI
`Print Name and Title
`d T
`
`BY GUARANTOR(S) (#2) By:
`
`Print Name and Title
`
`Signature
`
`Signature
`
`2
`
`Initial
`
`NEWCO CAPITAL GROUP - REVENUE PURCHASE AGREEMENT
`
`DocuSign Envelope ID: FAC79D70-B77F-4B1B-8EFB-299293DDBB50
`
`

`

`FILED: NASSAU COUNTY CLERK 07/08/2022 11:26 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 608903/2022
`
`RECEIVED NYSCEF: 07/08/2022
`
`MERCCHANT AAGGREEMENNT TERMSS AND CONNNDITIIONS
`
`1
`
`TERMS OF ENROLLMENT IN PROGRAM
`
`1.1 Merchant Deposit Agreement and Processor. Merchant shall (A)
`execute an agreement acceptable to NCG with a Bank acceptable to
`NCG to obtain electronic fund transfer services for the Account, and (B)
`if applicable, execute an agreement acceptable to NCG with a credit
`and debit card processor (the “Processor”) instructing the Processor
`to deposit all Receipts into the Account. Merchant shall provide NCG
`and/or its authorized agent(s) with all of the information, authorizations
`and passwords necessary for verifying Merchant’s receivables, receipts,
`deposits and withdrawals into and from the Account. Merchant hereby
`authorizes NCG and/or its agent(s) to withdraw from the Account via
`(cid:33)(cid:35)(cid:40)(cid:3)(cid:68)(cid:69)(cid:66)(cid:73)(cid:84)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:65)(cid:77)(cid:79)(cid:85)(cid:78)(cid:84)(cid:83)(cid:3)(cid:79)(cid:87)(cid:69)(cid:68)(cid:3)(cid:84)(cid:79)(cid:3)(cid:46)(cid:35)(cid:39)(cid:3)(cid:70)(cid:79)(cid:82)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:82)(cid:69)(cid:67)(cid:69)(cid:73)(cid:80)(cid:84)(cid:83)(cid:3)(cid:65)(cid:83)(cid:3)(cid:83)(cid:80)(cid:69)(cid:67)(cid:73)(cid:108)(cid:69)(cid:68)(cid:3)(cid:72)(cid:69)(cid:82)(cid:69)(cid:73)(cid:78)(cid:3)
`and to pay such amounts to NCG. These authorizations apply not only to
`the approved Account but also to any subsequent or alternate account
`used by the Merchant for these deposits, whether pre-approved by NCG
`or not. This additional authorization is not a waiver of NCG’s entitlement
`to declare this Agreement breached by Merchant as a result of its usage
`(cid:79)(cid:70)(cid:3) (cid:65)(cid:78)(cid:3) (cid:65)(cid:67)(cid:67)(cid:79)(cid:85)(cid:78)(cid:84)(cid:3) (cid:87)(cid:72)(cid:73)(cid:67)(cid:72)(cid:3) (cid:46)(cid:35)(cid:39)(cid:3) (cid:68)(cid:73)(cid:68)(cid:3) (cid:78)(cid:79)(cid:84)(cid:3) (cid:108)(cid:82)(cid:83)(cid:84)(cid:3) (cid:80)(cid:82)(cid:69)(cid:13)(cid:65)(cid:80)(cid:80)(cid:82)(cid:79)(cid:86)(cid:69)(cid:3) (cid:73)(cid:78)(cid:3) (cid:87)(cid:82)(cid:73)(cid:84)(cid:73)(cid:78)(cid:71)(cid:3) (cid:80)(cid:82)(cid:73)(cid:79)(cid:82)(cid:3) (cid:84)(cid:79)(cid:3)
`Merchant’s usage thereof. The aforementioned authorizations shall be
`irrevocable without the written consent of NCG.
`1.2 Term of Agreement. This Agreement shall remain in full force and
`effect until the entire Purchased Amount and any other amounts due are
`re
`received by NCG as he terms of this Agreement.
`1.3 Reconciliation. As long as an Event of Default, or breach of this
`this
`agreement, has not occurred, Merchant may request a retroactive
`tive
`reconciliation of the total Remittance Amount. All requests hereunder must
`must
`be in writing to Reconciliations@NewCoCapitalGroup.com Said request
`est
`
`must include copies of all of Merchant’s bank account statements, credit s, cr dit
`
`
`card processing statements, and accounts receivable report outstanding andi
`
`if applicable, from the date of this Agreement through and including the ng th
`onal
`date the request is made. NCG retains the right the request additional
`nk login or access
`reasonable documentation including without limitation bank login or access
`and Merchant’s
`to view Merchant’s accounts using third party software, and Merchant’s
`ment and NCG
`refusal to provide access shall be a breach of this Agreement and NCG
`shall have no obligation to reconcile. Such reconciliation, if applicable,
`onciliation, if applicable,
`shall be performed by NCG within two (2) Business Days following its receipt
`ss Days following its receipt
`of Merchant’s request for reconciliation by either crediting or debiting the
`editing or debitin
`difference back to, or from, Merchants Bank Account so that the total
`Bank Acco
`so that the
`(cid:65)(cid:77)(cid:79)(cid:85)(cid:78)(cid:84)(cid:3)(cid:68)(cid:69)(cid:66)(cid:73)(cid:84)(cid:69)(cid:68)(cid:3)(cid:66)(cid:89)(cid:3)(cid:46)(cid:35)(cid:39)(cid:3)(cid:83)(cid:72)(cid:65)(cid:76)(cid:76)(cid:3)(cid:69)(cid:81)(cid:85)(cid:65)(cid:76)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:51)(cid:80)(cid:69)(cid:67)(cid:73)(cid:108)(cid:67)(cid:3)(cid:48)(cid:69)(cid:82)(cid:67)(cid:69)(cid:78)(cid:84)(cid:65)(cid:71)(cid:69)(cid:3)(cid:79)(cid:70)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:38)(cid:85)(cid:84)(cid:85)(cid:82)(cid:69)(cid:3)
`(cid:72)(cid:69)(cid:3)(cid:51)(cid:80)(cid:69)(cid:67)(cid:73)(cid:108)(cid:67)(cid:3)(cid:48)(cid:69)(cid:82)(cid:67)(cid:69)(cid:78)
`(cid:79)(cid:70)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:38)(cid:85)(cid:84)
`Receipts that Merchant collected during the requested month. Nothing
`during the requeste
`oth
`set forth in this section shall be deemed to provide Merchant with the right
`med to provide Mercha
`to interfere with NCG’s right and ability to debit Merchant’s Account while
`G’s rig
`bility to debit Merchant’s
`e
`the request is pending or to unilaterally modify the Remittance Amount, in
`g or to
`erally modify the Remittan
`nt, in
`any method other than the ones listed in this Agreement.
`the on
`ted in this Agreement.
`1.4 Adjustments to the Remittance. As long an Event of Default, or
`Remitt
`ce. As long an Even
`efau
`breach of this agreement, has not occurred, Merchant may give notice
`as not
`ccurred, Merchant
`give
`to NCG to request a decrease in the Remittance, should they experience
`G to request a decrease in the
`mittance, sh
`ey e
`nce
`a decrease in its Future Receipts. All requests hereunder must be in writing
`rease in its Future Receipts. All requ
`must
`writing
`
`
`to Reconciliations@NewCoCapitalGroup.com and must include copies nciliations@NewCoCapitalGroup.cp p
`
`ust
`es
`of all of Merchant’s bank account statements, credit card processing
`Merchant’s bank account statem
`redi
`roce
`
`statements, and accounts receivable report outstanding from the date and ac rep tstan e da
`
`
`
`
`of this Agreement through and including the date the request is made. ent thro dat equest ade.
`
`
`
`NCG retains the right the request additional reasonable documentation ght the al re docum
`
`
`
`including without limitation bank login or 3rd party software access to view
`d p
`tation b
`acce
`Merchant’s accounts, refusal to provide access shall be a breach of this
`efusal
`e a
`hall b
`each
`Agreement and NCG shall have no obligation to reconcile. The Remittance
`hav
`bliga
`oncile. The
`(cid:83)(cid:72)(cid:65)(cid:76)(cid:76)(cid:3)(cid:66)(cid:69)(cid:3)(cid:77)(cid:79)(cid:68)(cid:73)(cid:108)(cid:69)(cid:68)(cid:3)(cid:84)(cid:79)(cid:3)(cid:77)(cid:79)(cid:82)(cid:69)(cid:3)(cid:67)(cid:76)(cid:79)(cid:83)(cid:69)(cid:76)(cid:89)(cid:3)(cid:82)(cid:69)(cid:109)(cid:69)(cid:67)(cid:84)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:45)(cid:69)(cid:82)(cid:67)(cid:72)(cid:65)(cid:78)(cid:84)(cid:7)(cid:83)(cid:3)(cid:65)(cid:67)(cid:84)(cid:85)(cid:65)(cid:76)(cid:3)(cid:82)(cid:69)(cid:67)(cid:69)(cid:73)(cid:80)(cid:84)(cid:83)(cid:3)(cid:66)(cid:89)(cid:3)
`(cid:69)(cid:109)(cid:69)
`(cid:78)(cid:84)(cid:7)(cid:83)(cid:3)(cid:65)(cid:67)(cid:84)(cid:85)(cid:65)(cid:76)(cid:3)
`multiplying the Merchant’s actual receipts by the Purchased Percentage
`al r
`s by th
`ch
`divided by the number of business days in the previous (2) calendar weeks.
`n th
`(2)
`Merchant shall provide NCG with viewing access to their bank account as
`g access to
`well as all information reasonably requested by NCG to properly calculate
`ted by NCG
`the Merchant’s Remittance. At the end of the two (2) calendar weeks the
`f the two
`Merchant may request another adjustment pursuant to this paragraph or it
`is agreed that the Merchant’s Remittance shall return to the Remittance as
`agreed upon on Page 1 of this Agreement.
`1.5 Financial Condition. Merchant and Guarantor(s)(s) (as hereinafter
`(cid:68)(cid:69)(cid:108)(cid:78)(cid:69)(cid:68)(cid:3) (cid:65)(cid:78)(cid:68)(cid:3) (cid:76)(cid:73)(cid:77)(cid:73)(cid:84)(cid:69)(cid:68)(cid:9)(cid:3) (cid:65)(cid:85)(cid:84)(cid:72)(cid:79)(cid:82)(cid:73)(cid:90)(cid:69)(cid:3) (cid:46)(cid:35)(cid:39)(cid:3) (cid:65)(cid:78)(cid:68)(cid:3) (cid:73)(cid:84)(cid:83)(cid:3) (cid:65)(cid:71)(cid:69)(cid:78)(cid:84)(cid:83)(cid:3) (cid:84)(cid:79)(cid:3) (cid:73)(cid:78)(cid:86)(cid:69)(cid:83)(cid:84)(cid:73)(cid:71)(cid:65)(cid:84)(cid:69)(cid:3)
`(cid:84)(cid:72)(cid:69)(cid:73)(cid:82)(cid:3) (cid:108)(cid:78)(cid:65)(cid:78)(cid:67)(cid:73)(cid:65)(cid:76)(cid:3) (cid:82)(cid:69)(cid:83)(cid:80)(cid:79)(cid:78)(cid:83)(cid:73)(cid:66)(cid:73)(cid:76)(cid:73)(cid:84)(cid:89)(cid:3) (cid:65)(cid:78)(cid:68)(cid:3) (cid:72)(cid:73)(cid:83)(cid:84)(cid:79)(cid:82)(cid:89)(cid:12)(cid:3) (cid:65)(cid:78)(cid:68)(cid:3) (cid:87)(cid:73)(cid:76)(cid:76)(cid:3) (cid:80)(cid:82)(cid:79)(cid:86)(cid:73)(cid:68)(cid:69)(cid:3) (cid:84)(cid:79)(cid:3) (cid:46)(cid:35)(cid:39)(cid:3) (cid:65)(cid:78)(cid:89)(cid:3)
`(cid:65)(cid:85)(cid:84)(cid:72)(cid:79)(cid:82)(cid:73)(cid:90)(cid:65)(cid:84)(cid:73)(cid:79)(cid:78)(cid:83)(cid:12)(cid:3) (cid:66)(cid:65)(cid:78)(cid:75)(cid:3) (cid:79)(cid:82)(cid:3) (cid:108)(cid:78)(cid:65)(cid:78)(cid:67)(cid:73)(cid:65)(cid:76)(cid:3) (cid:83)(cid:84)(cid:65)(cid:84)(cid:69)(cid:77)(cid:69)(cid:78)(cid:84)(cid:83)(cid:12)(cid:3) (cid:84)(cid:65)(cid:88)(cid:3) (cid:82)(cid:69)(cid:84)(cid:85)(cid:82)(cid:78)(cid:83)(cid:12)(cid:3) (cid:69)(cid:84)(cid:67)(cid:14)(cid:12)(cid:3) (cid:65)(cid:83)(cid:3) (cid:46)(cid:35)(cid:39)(cid:3)
`requests in its sole and absolute discretion prior to or at any time after
`execution of this Agreement. A photocopy of this authorization will be
`(cid:68)(cid:69)(cid:69)(cid:77)(cid:69)(cid:68)(cid:3) (cid:65)(cid:83)(cid:3) (cid:65)(cid:67)(cid:67)(cid:69)(cid:80)(cid:84)(cid:65)(cid:66)(cid:76)(cid:69)(cid:3) (cid:65)(cid:83)(cid:3) (cid:65)(cid:78)(cid:3) (cid:65)(cid:85)(cid:84)(cid:72)(cid:79)(cid:82)(cid:73)(cid:90)(cid:65)(cid:84)(cid:73)(cid:79)(cid:78)(cid:3) (cid:70)(cid:79)(cid:82)(cid:3) (cid:82)(cid:69)(cid:76)(cid:69)(cid:65)(cid:83)(cid:69)(cid:3) (cid:79)(cid:70)(cid:3) (cid:108)(cid:78)(cid:65)(cid:78)(cid:67)(cid:73)(cid:65)(cid:76)(cid:3) (cid:65)(cid:78)(cid:68)(cid:3)
`credit information. NCG is authorized to update such information and
`(cid:108)(cid:78)(cid:65)(cid:78)(cid:67)(cid:73)(cid:65)(cid:76)(cid:3)(cid:65)(cid:78)(cid:68)(cid:3)(cid:67)(cid:82)(cid:69)(cid:68)(cid:73)(cid:84)(cid:3)(cid:80)(cid:82)(cid:79)(cid:108)(cid:76)(cid:69)(cid:83)(cid:3)(cid:70)(cid:82)(cid:79)(cid:77)(cid:3)(cid:84)(cid:73)(cid:77)(cid:69)(cid:3)(cid:84)(cid:79)(cid:3)(cid:84)(cid:73)(cid:77)(cid:69)(cid:3)(cid:65)(cid:83)(cid:3)(cid:73)(cid:84)(cid:3)(cid:68)(cid:69)(cid:69)(cid:77)(cid:83)(cid:3)(cid:65)(cid:80)(cid:80)(cid:82)(cid:79)(cid:80)(cid:82)(cid:73)(cid:65)(cid:84)(cid:69)(cid:14)
`1.6 Transactional History. Merchant authorizes all of its banks, brokers
`and processor to provide NCG with Merchant’s banking, brokerage and/
`
`(cid:79)(cid:82)(cid:3) (cid:80)(cid:82)(cid:79)(cid:67)(cid:69)(cid:83)(cid:83)(cid:73)(cid:78)(cid:71)(cid:3) (cid:72)(cid:73)(cid:83)(cid:84)(cid:79)(cid:82)(cid:89)(cid:3) (cid:84)(cid:79)(cid:3) (cid:68)(cid:69)(cid:84)(cid:69)(cid:82)(cid:77)(cid:73)(cid:78)(cid:69)(cid:3) (cid:81)(cid:85)(cid:65)(cid:76)(cid:73)(cid:108)(cid:67)(cid:65)(cid:84)(cid:73)(cid:79)(cid:78)(cid:3)(cid:79) (cid:82)(cid:3)(cid:67) (cid:79)(cid:78)(cid:84)(cid:73)(cid:78)(cid:85)(cid:65)(cid:84)(cid:73)(cid:79)(cid:78)(cid:3)(cid:73) (cid:78)(cid:3)(cid:84)(cid:72)(cid:73)(cid:83)(cid:3)
`program and for collections purposes. Merchant shall provide NCG with
`copies of any documents related to Merchant’s card processing activity
`(cid:79)(cid:82)(cid:3)(cid:108)(cid:78)(cid:65)(cid:78)(cid:67)(cid:73)(cid:65)(cid:76)(cid:3)(cid:65)(cid:78)(cid:68)(cid:3)(cid:66)(cid:65)(cid:78)(cid:75)(cid:73)(cid:78)(cid:71)(cid:3)(cid:65)(cid:70)(cid:70)(cid:65)(cid:73)(cid:82)(cid:83)(cid:3)(cid:87)(cid:73)(cid:84)(cid:72)(cid:73)(cid:78)(cid:3)(cid:108)(cid:86)(cid:69)(cid:3)(cid:68)(cid:65)(cid:89)(cid:83)(cid:3)(cid:65)(cid:70)(cid:84)(cid:69)(cid:82)(cid:3)(cid:65)(cid:3)(cid:82)(cid:69)(cid:81)(cid:85)(cid:69)(cid:83)(cid:84)(cid:3)(cid:70)(cid:82)(cid:79)(cid:77)(cid:3)(cid:46)(cid:35)(cid:39)(cid:14)
`1.7
`(cid:41)(cid:78)(cid:68)(cid:69)(cid:77)(cid:78)(cid:73)(cid:108)(cid:67)(cid:65)(cid:84)(cid:73)(cid:79)(cid:78). M e rchant and Guarantor(s)(s) hereby jointly and
`severally indemnify and hold harmless NCG and each Processor, their
`(cid:82)(cid:69)(cid:83)(cid:80)(cid:69)(cid:67)(cid:84)(cid:73)(cid:86)(cid:69)(cid:3)(cid:79)(cid:70)(cid:108)(cid:67)(cid:69)(cid:82)(cid:83)(cid:12)(cid:3)(cid:68)(cid:73)(cid:82)(cid:69)(cid:67)(cid:84)(cid:79)(cid:82)(cid:83)(cid:12)(cid:3)(cid:65)(cid:71)(cid:69)(cid:78)(cid:84)(cid:83)(cid:3)(cid:65)(cid:78)(cid:68)(cid:3)(cid:82)(cid:69)(cid:80)(cid:82)(cid:69)(cid:83)(cid:69)(cid:78)(cid:84)(cid:65)(cid:84)(cid:73)(cid:86)(cid:69)(cid:83)(cid:12)(cid:3)(cid:65)(cid:78)(cid:68)(cid:3)(cid:83)(cid:72)(cid:65)(cid:82)(cid:69)(cid:72)(cid:79)(cid:76)(cid:68)(cid:69)(cid:82)(cid:83)(cid:3)
`against all losses, damages, claims, liabilities and expenses (including
`reasonable attorney’s fees) incurred by any such indemnit(cid:89) as a direct
`or indirect result of (a) claims asserted by NCG for monies owed to NCG
`from Merchant and (b) actions taken by indemnit(cid:69)(cid:69) in reliance upon
`any fraudulent, misleading or deceptive information or instructions
`provided by NCG.
`1.8 No Liability. In no event will NCG be liable for any claims asserted
`tor(s)s unde
`by Merchant or Guarantor(s)s under any legal or equitable theory for
`(cid:69)(cid:83)(cid:12) (cid:76) (cid:79)(cid:83)(cid:84)(cid:3)(cid:66) (cid:85)(cid:83)(cid:73)(cid:78)(cid:69)(cid:83)(cid:83)(cid:3)(cid:79)
`(cid:76)(cid:79)(cid:83)(cid:84)(cid:3) (cid:80)(cid:82)(cid:79)(cid:108)(cid:84)(cid:83)(cid:12)(cid:3)(cid:76) (cid:79)(cid:83)(cid:84)(cid:3)(cid:82)(cid:69)(cid:86)(cid:69)(cid:78)(cid:85)(cid:69)(cid:83)(cid:12)(cid:3)(cid:76) (cid:79)(cid:83)(cid:84)(cid:3)(cid:66) (cid:85)(cid:83)(cid:73)(cid:78)(cid:69)(cid:83)(cid:83)(cid:3)(cid:79) (cid:80)(cid:80)(cid:79)(cid:82)(cid:84)(cid:85)(cid:78)(cid:73)(cid:84)(cid:73)(cid:69)(cid:83)(cid:12)(cid:3)(cid:69) (cid:88)(cid:69)(cid:77)(cid:80)(cid:76)(cid:65)(cid:82)(cid:89)(cid:12)(cid:3)(cid:80)(cid:85)(cid:78)(cid:73)(cid:84)(cid:73)(cid:86)(cid:69)(cid:12)(cid:3)
`ndirect or consequen
` d
`special, incidental, indirect or consequential damages, each of which is
`erchant and Guarantor(
`s)(s). I
`waived by both Merchant and Guarantor(s)(s). In the event these claims
`
`ed, Merchant and Guarantor(s
`are nonetheless raised, Merchant and Guarantor(s) s will be jointly liable for
`of NCG s a
`ey’s fees and expenses re
`all of NCG’s attorney’s fees and expenses resulting therefrom.
`1.9 Reliance
`rms.
`1.9 Reliance on Terms. Section 1.1, 1.6, 1.7, 1.8 and 2.5 of this Agreement
`6, 1.7
` 2.5
`(cid:65)(cid:82)(cid:69)
`(cid:66)(cid:69)(cid:78)(cid:69)(cid:108)(cid:84)(cid:3)(cid:79)(cid:70)(cid:3)(cid:45)(cid:69)(cid:82)(cid:67)(cid:72)(cid:65)(cid:78)(cid:84)(cid:12)(cid:3)
`(cid:82)(cid:79)(cid:67)(cid:69)
`(cid:65)(cid:82)(cid:69)(cid:3)(cid:65)(cid:71)(cid:82)(cid:69)(cid:69)(cid:68)(cid:3)(cid:84)(cid:79)(cid:3)(cid:70)(cid:79)(cid:82)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:66)(cid:69)(cid:78)(cid:69)(cid:108)(cid:84)(cid:3)(cid:79)(cid:70)(cid:3)(cid:45)(cid:69)(cid:82)(cid:67)(cid:72)(cid:65)(cid:78)(cid:84)(cid:12)(cid:3)(cid:46)(cid:35)(cid:39)(cid:12)(cid:3)(cid:48)(cid:82)(cid:79)(cid:67)(cid:69)(cid:83)(cid:83)(cid:79)(cid:82)(cid:12)(cid:3)(cid:65)(cid:78)(cid:68)(cid:3)(cid:45)(cid:69)(cid:82)(cid:67)(cid:72)(cid:65)(cid:78)(cid:84)(cid:7)(cid:83)(cid:3)
`ding the fact that
`essor
`he b
`bank and notwithstanding the fact that Processor and the bank is not a
`rocessor an
`bank
`ely upon
`party of this Agreement, Processor and the bank may rely upon their terms
`efe
`n.
`and raise them as a defense in any action.
`. Me
`1.10 Sale of Receipts. Merchant and NCG agree that the Purchase Price
`NCG
`ha
`e Pu
`t is i
`e for
`ed A
`ount
`under this Agreement is in exchange for the Purchased Amount, and that
`is n
`ed t
`r shall it be
`such Purchase Price is not intended to be, nor shall it be construed as a
`Merc
`erch
`at the Purc
`loan from NCG to Merchant. Merchant agrees that the Purchase Price is in
`exchange for the Rec
`ursu
`this Agre
`ent, an
`exchange for the Receipts pursuant to this Agreement, and that it equals
`the fair market value
`h Re
`NCG has pu
`the fair market value of such Receipts. NCG has purchased and shall own all
`e Receipts des
`in th
`ent up to th
`the Receipts described in this Agreement up to the full Purchased Amount
`crea
`nt acknowl
`as the Receipts are created. Merchant acknowledges that NCG’s share
`ted a
`ng held
`Mercha
`of Receipts collected are being held by Merchant in trust and are the sole
`G un
`are
`itt
`property of NCG until they are remitted to NCG. Payments made to NCG
`in
`the
`t of the Rec
`in respect to the full amount of the Receipts shall be conditioned upon
`Me
`s sa
`oduc
`d se
`Merchant’s sale of products and services, and the payment therefore by
`nt’s
`ers. By this
`ee
`Merchant’s customers. By this Agreement, Merchant transfers to NCG full
`com
`nership of the
`and complete ownership of the Purchased Amount and Merchant retains
`lega
`le interest th
`no legal or equitable interest therein. NCG hereby appoints Merchant, and
`Merc
`appointme
`Merchant accepts appointment, as servicer for and on behalf of NCG for
`th
`the purpose of collecting and delivering Receipts to NCG as required by
`gre
`this Agreement until NCG has received the Receipts Purchased Amount,
`erch
`and Merchant agrees that all such Receipts shall be received and held
`(cid:84)(cid:72)(cid:69) (cid:66)(cid:69)(cid:78)
`(cid:73)(cid:78)(cid:3)(cid:84)(cid:82)(cid:85)(cid:83)(cid:84)(cid:3)(cid:70)(cid:79)(cid:82)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:66)(cid:69)(cid:78)(cid:69)(cid:108)(cid:84)(cid:3)(cid:79)(cid:70)(cid:3)(cid:51)(cid:48)(cid:38)(cid:44)(cid:3)(cid:70)(cid:79)(cid:82)(cid:3)(cid:80)(cid:85)(cid:82)(cid:80)(cid:79)(cid:83)(cid:69)(cid:83)(cid:3)(cid:79)(cid:70)(cid:3)(cid:67)(cid:65)(cid:82)(cid:82)(cid:89)(cid:73)(cid:78)(cid:71)(cid:3)(cid:79)(cid:85)(cid:84)(cid:3)(cid:84)(cid:72)(cid:69)(cid:3)(cid:84)(cid:69)(cid:82)(cid:77)(cid:83)(cid:3)(cid:79)(cid:70)(cid:3)(cid:84)(cid:72)(cid:73)(cid:83)(cid:3)
`Agree
` Merc
`Agreement. Merchant agrees that it will treat the amounts received and the
`Purchased
`Purchased Receipts delivered to NCG under this Agreement in a manner
`onsistent w
`consistent with a sale in its accounting records and tax returns. Merchant
`re
`agrees that NCG is entitled to audit Merchant’s accounting records upon
`so
`reasonable notice in order to verify compliance. Merchant waives any
`(cid:82)(cid:73)(cid:71)
`(cid:82)(cid:73)(cid:71)(cid:72)(cid:84)(cid:83)(cid:3)(cid:79)(cid:70)(cid:3)(cid:80)(cid:82)(cid:73)(cid:86)(cid:65)(cid:67)(cid:89)(cid:12)(cid:3)(cid:67)(cid:79)(cid:78)(cid:108)(cid:68)(cid:69)(cid:78)(cid:84)(cid:73)(cid:65)(cid:76)(cid:73)(cid:84)(cid:89)(cid:3)(cid:79)(cid:82)(cid:3)(cid:84)(cid:65)(cid:88)(cid:80)(cid:65)(cid:89)(cid:69)(cid:82)(cid:3)(cid:80)(cid:82)(cid:73)(cid:86)(cid:73)(cid:76)(cid:69)(cid:71)(cid:69)(cid:3)(cid:73)(cid:78)(cid:3)(cid:65)(cid:78)(cid:89)(cid:3)(cid:83)(cid:85)(cid:67)(cid:72)(cid:3)(cid:76)(cid:73)(cid:84)(cid:73)(cid:71)(cid:65)(cid:84)(cid:73)(cid:79)(cid:78)(cid:3)
`or arbitration in which Merchant asserts that this transaction is anything
`other than a sale of future receipts. In no event shall the aggregate of all
`amounts or any portion thereof be deemed as interest hereunder, and in
`(cid:84)(cid:72)(cid:69)(cid:3) (cid:69)(cid:86)(cid:69)(cid:78)(cid:84)(cid:3) (cid:73)(cid:84)(cid:3) (cid:73)(cid:83)(cid:3) (cid:70)(cid:79)(cid:85)(cid:78)(cid:68)(cid:3) (cid:84)(cid:79)(cid:3) (cid:66)(cid:69)(cid:3) (cid:73)(cid:78)(cid:84)(cid:69)(cid:82)(cid:69)(cid:83)(cid:84)(cid:3) (cid:68)(cid:69)(cid:83)(cid:80)(cid:73)(cid:84)(cid:69)(cid:3) (cid:84)(cid:72)(cid:69)(cid:3) (cid:80)(cid:65)(cid:82)(cid:84)(cid:73)(cid:69)(cid:83)(cid:3) (cid:72)(cid:69)(cid:82)(cid:69)(cid:84)(cid:79)(cid:3) (cid:83)(cid:80)(cid:69)(cid:67)(cid:73)(cid:108)(cid:67)(cid:65)(cid:76)(cid:76)(cid:89)(cid:3)
`representing that it is NOT interest, it shall be found that no sum charged
`or collected hereunder shall exceed the highest rate permissible at law. In
`the event that a court nonetheless determines that NCG has charged or
`received interest hereunder in excess of the highest applicable rate, the
`rate in effect hereunder shall automatically be reduced to the maximum
`rate permitted by applicable law and NCG shall promptly refund to
`Merchant any interest received by NCG in excess of the maximum lawful
`rate, it being intended that Merchant not pay or contract to pay, and that
`NCG not receive or contract to receive, directly or indirectly in any manner
`whatsoever, interest in excess of that which may be paid by Merchant
`under applicable law. As a result thereof, Merchant knowingly and willingly
`waives the defense of Usury in any action or proceeding.
`1.11 Power of Attorney. Merchant irrevocably appoints NCG and its
`agents and representatives, as its agent and attorney-in-fact with full
`authority to take any action or execute any instrument or document to
`settle all obligations due to NCG from Processor, or in the case of a violation
`by Merchant of Section 1or the occurrence of an Event of Default under
`Section 3 hereof, including without limitation (i) to obtain and adjust
`insurance; (ii) to collect monies due or to become due under or in respect
`of any of the Collateral; (iii) to receive, endorse and collect any checks,
`notes, drafts, instruments, documents or chattel paper in connection
`with clause (i) or clause (ii) above; (iv) to sign Merchant’s name on any
`
`3
`
`Initial
`
`NEWCO CAPITAL GROUP - REVENUE PURCHASE AGREEMENT
`
`DocuSign Envelope ID: FAC79D70-B77F-4B1B-8EFB-299293DDBB50
`
`

`

`FILED: NASSAU COUNTY CLERK 07/08/2022 11:26 AM
`NYSCEF DOC. NO. 2
`
`INDEX NO. 608903/2022
`
`RECEIVED NYSCEF: 07/08/2022
`
`Guarantor(s) hereby and each waives to the maximum extent permitted
`(cid:66)(cid:89)(cid:3)(cid:76)(cid:65)(cid:87)(cid:3)(cid:65)(cid:78)(cid:89)(cid:3)(cid:67)(cid:76)(cid:65)(cid:73)(cid:77)(cid:3)(cid:70)(cid:79