The process can differ from contractor to contractor and project to project, but the typical arrangement goes like this:

• You execute a Funds Disbursement Services Agreement that states that contract proceeds on the bonded project will be sent directly to SureTec Information Systems, Inc. ("SISCO"), and that job costs and your overhead and fee will be disbursed by that SISCO during the course of the job.

• You will deliver a letter to the project owner or general contractor with whom you are contracting, requesting that they forward all job proceeds to SISCO. The checks continue to be payable to you.

• The funds will be deposited into a special bank account established by SISCO. Checks will be prepared that have your name and address on them. There is nothing on the check that indicates the surety or SISCO’s involvement in your project. The checks will be signed by SISCO personnel, but you may add your signature to any checks if you desire. The checks will be delivered to you for transmittal to your subcontractors and vendors. While we cannot guarantee that your subcontractors and vendor’s will not be aware of our arrangements, the checks paid to them will have all appearances as if they were coming directly from your office.

• Before the first payment is made by the owner or general contractor, you and one of our representative’s will go over your cost estimate, budgets, contract documents, and your draw schedule with the owner to develop a working arrangement for the disbursement of funds that are received by SISCO.

• In general, we will agree on a fixed amount or percentage for anticipated profit and overhead. Each month, SISCO will pay from the funds received, all costs that you have presented to it for payment, plus a percentage or an agreed amount of the agreed overhead and profit based on the amount of project costs compared to total estimated costs. Only incurred costs for the billing period, and the agreed overhead and profit percentages are paid. If there are under billings, you would be expected to make up the shortfall either by depositing funds to the account or being reimbursed less of your own incurred cost for that billing period. If over billings are involved, the over billings remain in the account. At the end of the project, you should have already received reimbursement of all costs and your anticipated profit and overhead. If additional funds remain in the account and all other conditions are satisfied, the remaining funds are returned to you. You will use your own working capital to fund cash requirements from pay request to pay request.

• We will agree, in advance, on issues like the amounts to be funded each month for your own equipment or payments to your affiliated companies.

• You will pay your own payroll and miscellaneous operating costs during the month, and draw reimbursement when draws are received. While you could conceivably pay all bills, including subcontractors, and seek reimbursement, you will typically want the subcontractors and major vendors paid from the SISCO account.

• Each month, you will furnish us the back up information, with a list of the checks you are requesting be paid from the account. The goal is to have that information to us well in advance of the time the funds are received from the owner, so that we can verify the numbers and the furnished information. You will want to have all of that accomplished by the time contract funds are received, so that they can be turned around as quickly as possible.

• Once the funds are received by SISCO, and we can verify that the funds have been collected (usually 3-4 days from receipt), the checks drawn on the SISCO account will be sent overnight to you for distribution to the various payees. You will obtain lien releases with each payment and return those (or your own form of release, if we approve) to us before the next month’s draw is processed.

• You will receive monthly status reports from SISCO on all payments and the status of all funds on deposit.