ARCpoint Labs

ARCpoint Labs – 05/26 FDD 15 Required Purchases You must purchase specified products, procure all equipment, inventor y, signage, fixtures, furniture and décor items required for the operation of your Business from our approved suppliers. We will provide you with a list of approved vendors or suppliers for these items. Not all products and services are available in all locations. Currently, we are not an approved or designated vendor or supplier of these required purchases, although we or an affiliate reserve the right to do so in the future, in which case you will pay the then-current price in effect for goo ds or services purchased from us or an affiliate. As of the date of this disclosure document, your required purchases include: (1) you may use only marketing and promotional ma terials that meet our standards. You also must use our approved advertising agency as well as our approved location listings management service, SOCI; (2) you are required to utilize the services from our required or preferred lab testing partners to ensure the quality and efficacy of the lab testing services and to get volume discounted pricing for all Businesses. Currently we use qualified national or regi onal laboratories to perform the analysis of blood, urine, saliva, and buccal swab samples for tests for your customers. Unapproved laboratories or injectables suppliers are not permitted without our prior approv al as reflected in Approval of Suppliers, below; (3) you are required to purchase your outdoor store sign from our approved vendor as part of our agreement to get volume discounted pricing for all Businesses. We will consider your use of another sign vendor if you find a more competitive price whil e still matching the quality of the product and service; (4) you are required to purchase our technolog y platforms for your Business, including computer hardware and software. As of the date of this disclosure document, you are required to purchase a computer system to facilitate day-to-day lab operatio ns. The basic requirements of this system include e- mail access, accounting (which includes point of sale capability), cloud-based customer results portal, record and file keeping capabilities as well as word pr ocessing for letters and other documents. You also are required to use our LEO point of sale, scheduling and results portal, WooCommerce, Constant Contact, Pricing Portal, and Quickbooks Online. We may in the future establish different sales reporting systems and CRM systems as we consider appropriate for th e accurate and expeditious reporting of Gross Revenue and other financial information. In such event, you mu st fully cooperate with us in implementing any such system at each Business and at your expense equip your Business with such sales recording devices as we may require. NDASA Networking Organizations You, your Designated Manager, or, if you are an entity, your Managing Owner, must become members of the National Drug & Alcohol Screening Association (“NDASA”) during the first year after the signing of your Franchise Agreement. We recomm end that you continue your NDASA membership and attend the NDASA conference annually thereafter. You ar e responsible for the costs of the conference, including, but not limited to, lodging, transportation, food, salary, and any course materials. We also strongly recommend you join your local Chamber of Commerce, and any other local business networking organizations that we specify. Insurance You must maintain insurance policies in types and amounts as specified by us periodically in the Manual, including, but not limited to the following:

ARCpoint Labs – 05/26 FDD 27 Franchise Advisory Council We have not established an adver tising council with sole responsibility to advise us on advertising policies, however, as further described in Item 20 we have established an ARCpoint Franchise System National Advisory Council (“NAC”). One role of the NAC is to provide us with input on advertising and promotional activities. Computer System You are required, at your expense, to purchase or lease, and thereafter maintain and upgrade and use, only such computer(s), hardware (including lapt ops), software (including point-of-sale, financial reporting and operational drug testing software), fi rmware, web technologies or applications, required dedicated internet access and power lines, modem(s), pr inter(s), and other related accessories or peripheral equipment, and methods of operation, as we specifies in the Manual or otherwise in writing (collectively the “Computer System”). You must purchase a computer system that consists of the following hardware and software: (a) two business class computers with professional operating systems, at least one of which must be a laptop computer; a compatible web camera capable of online we binar streaming video; inkjet or laser printer; a business class high-speed Internet at your retail busin ess location; and (b) approved operational software; approved financial reporting software; and the latest version of QuickBooks Online, which must be maintained and used for your official set of financ ial records and bookkeeping. We do not require a certain make or model of computer hardware, but it does n eed to be business class hardware and capable of accommodating currently available software. We estimate the cost of purchasing the Computer System will be between $2,550 and $5,500. (See the Manual and Section 12.16 of the Franchise Agreement.) We reserve the right to specify computer hardware or software and to specify other comput er-related standards in the future. You are also required to purchase business soft ware for accounting and bookkeeping, as well as equipment and/or software for point of sale and mercha nt services the cost of which is included in the above estimate. We will use the software to collect daily business reports, cash summaries and a dynamic customer database. The software will be hosted at a facility d esignated by us. Subject to patient privacy laws, we will have independent, unrestricted, access to this in formation for analysis, monthly revenue reports and system metrics. We have the contractual right to po ll the necessary data from your database. (See Section 12.16 of the Franchise Agreement.) You may be required to upgrade your hardware and/or software in order to utilize the computerized system as technological advances require. We are not responsible for any main tenance, repairs, updates and upgrades to your computerized system. You will be responsible for any main tenance, repairs, updates and upgrades as well as the associated costs. You will be responsible for the cost of such upgrades. You will not be required to upgrade your hardware or software more often than once a year. We estimate the cost of the required upgrade will not exceed $1,500 to $2,000 per upgrade. (See Section 12.16 of the Franchise Agreement.) You are solely responsible for protecting your self from viruses, computer hackers, and other communications and computer-related problems, and you may not sue us for any harm caused by such computer-related problems. You must also take reas onable steps to verify that any person or entity upon whom you rely is reasonably protected. This may include establishing firewa lls, access code protection, anti-virus systems, multi factor authentication and use of backup systems. (See Section 12.16 of the Franchise Agreement.)

ARCpoint Labs – 05/26 FDD 15 Required Purchases You must purchase specified products, procure all equipment, inventor y, signage, fixtures, furniture and décor items required for the operation of your Business from our approved suppliers. We will provide you with a list of approved vendors or suppliers for these items. Not all products and services are available in all locations. Currently, we are not an approved or designated vendor or supplier of these required purchases, although we or an affiliate reserve the right to do so in the future, in which case you will pay the then-current price in effect for goo ds or services purchased from us or an affiliate. As of the date of this disclosure document, your required purchases include: (1) you may use only marketing and promotional ma terials that meet our standards. You also must use our approved advertising agency as well as our approved location listings management service, SOCI; (2) you are required to utilize the services from our required or preferred lab testing partners to ensure the quality and efficacy of the lab testing services and to get volume discounted pricing for all Businesses. Currently we use qualified national or regi onal laboratories to perform the analysis of blood, urine, saliva, and buccal swab samples for tests for your customers. Unapproved laboratories or injectables suppliers are not permitted without our prior approv al as reflected in Approval of Suppliers, below; (3) you are required to purchase your outdoor store sign from our approved vendor as part of our agreement to get volume discounted pricing for all Businesses. We will consider your use of another sign vendor if you find a more competitive price whil e still matching the quality of the product and service; (4) you are required to purchase our technolog y platforms for your Business, including computer hardware and software. As of the date of this disclosure document, you are required to purchase a computer system to facilitate day-to-day lab operatio ns. The basic requirements of this system include e- mail access, accounting (which includes point of sale capability), cloud-based customer results portal, record and file keeping capabilities as well as word pr ocessing for letters and other documents. You also are required to use our LEO point of sale, scheduling and results portal, WooCommerce, Constant Contact, Pricing Portal, and Quickbooks Online. We may in the future establish different sales reporting systems and CRM systems as we consider appropriate for th e accurate and expeditious reporting of Gross Revenue and other financial information. In such event, you mu st fully cooperate with us in implementing any such system at each Business and at your expense equip your Business with such sales recording devices as we may require. NDASA Networking Organizations You, your Designated Manager, or, if you are an entity, your Managing Owner, must become members of the National Drug & Alcohol Screening Association (“NDASA”) during the first year after the signing of your Franchise Agreement. We recomm end that you continue your NDASA membership and attend the NDASA conference annually thereafter. You ar e responsible for the costs of the conference, including, but not limited to, lodging, transportation, food, salary, and any course materials. We also strongly recommend you join your local Chamber of Commerce, and any other local business networking organizations that we specify. Insurance You must maintain insurance policies in types and amounts as specified by us periodically in the Manual, including, but not limited to the following:

ARCpoint Labs – 05/26 FDD 30 Restrictions on Marketing and Solicitation As a franchisee, you have the right and the oblig ation to solicit and pursue all potential businesses (“B2B Customers”) physically located within the bounda ries of your Territory. You may not directly or indirectly solicit or market to potential customers lo cated outside of your Territory through any channel, including but not limited to the search engine optimiza tion or Pay-Per-Click programs via the Internet (other than your ARCpoint Labs business website and soci al media and marketing managed by our approved vendors), catalog sales, or telemarking, without prio r written approval from us or the ARCpoint Labs business that owns the applicable territory. You may market to group purchasing organizations and other professional organizations that include members in your Territory and in territories belonging to other ARCpoint Labs businesses, provided that you comply w ith the following requirements: (i) you must notify us and the other ARCpoint Labs businesses with territories that may encompass the organization’s memberships in advance by email and invite the othe r ARCpoint Labs businesses to participate in the marketing activities; and (ii) any accounts or custom ers that are derived from the organization will be serviced as an account or customer of the ARCpoint Labs business within whose territory the account or customer is located, unless we determine otherwise. You may not advertise in any form of media specif ically designed to be seen in a territory other than your own (e.g., advertising in a newspaper whose majority of subscribers live outside of your Territory), without prior written approval from us or th e ARCpoint Labs business that owns the applicable territory. The management of an a pproved website or social media accounts via the Internet does not fall within this category of prohibited advertising. If you establish an account with a B2B Customer wh ich has its headquarters or principal place of business within the Territory, but due to the locatio n of employees or additional locations will require collection services outside of the Territory, you may either: (i) service the account as a TPA using our approved software platform; or (ii) request that we serve as the TPA. If you serv ice the account as a TPA, you must use commercially reasonable efforts to use ARCpoint Labs businesses for collections whenever practicable. However, this shall only apply if the B2 B Customer’s policies and procedures regarding testing and vendor selection are made at the corporate level. We reserve the right to require that we or our affiliate serve as TPA for all TPA Accounts in the future. For any potential state governmental TPA Account , excluding municipal, county, or other government TPA Accounts requiring collections solely w ithin the Territory, you must notify us prior to engaging the client. We may elect to serve as the TP A for such account. For an y such account for which we serve as the TPA, we shall execute a mutually agreed upon revenue sharing arrangement with you. If you receive an unsolicited lead for or a direct request for the performance of services or sale of goods from a potential B2B Customer located within the territory of another ARCpoint Labs business, you may not service the potential account without prior writte n authorization from the ARCpoint Labs business that owns the Territory. You are encouraged, however, to engage the ARCpoint Labs business to discuss a revenue share, commission, or other form of compensation. If you receive an unsolicited lead for or a direct request for the performance of services or sale of goods from a potential B2B Customer account in an unowned territory, you may not service the potential customer without prior written authorization from us, wh ich is in our complete discretion but will not be unreasonably withheld. For further clarification, we will determine whether to approve such a request based on the size and complexity of the account, your experience level, the number and proximity of other ARCpoint Labs businesses near the account, and the poten tial that the other territory may be assigned to a new ARCpoint Labs business. Upon the sale of the unow ned Territory, you may be required to transfer the account to the new ARCpoint Labs business.