Item 3.03 Material Modification to Rights of Security Holders.

On January 31, 2017, the Company filed a Certificate of Designations (the “ Certificate of Designations ”) with the Secretary of State of the State of Delaware, establishing the designation, powers, rights, privileges, preferences and restrictions of the Series G Convertible Preferred Stock, $0.00001 par value per share (the “ Series G Preferred ”).  The Company is authorized to issue up to forty-three thousand two hundred twenty (43,220) shares of Series G Preferred. Each share of Series G Preferred has a stated value equal to $500 (as may be adjusted for any stock dividends, combinations or splits with respect to such shares). The Series G Preferred has no liquidation preference, no dividend rights, no redemption rights, and voting rights on an as converted basis.

The stated value of the Series G Preferred (the “ Conversion Amount ”) will automatically convert into fully paid and non-assessable shares of Common Stock (“ Series G Conversion Shares ”) upon (i) the Company’s receipt of Fifty Million Dollars (US$50,000,000) or more in gross revenue in a single fiscal year, (ii) the sale of the Company via asset purchase, stock sale, merger or other business combination in which the Company and/or its stockholders receive aggregate gross proceeds of Twenty-Five Million Dollars (US$25,000,000) or more, or (iii) the closing of an underwritten offering by the Company pursuant to which the Company receives aggregate gross proceeds of at least Ten Million Dollars (US$10,000,000) in consideration of the purchase of shares of Common Stock and/or which results in the listing of the Common Stock on the Nasdaq National Market, the Nasdaq Capital Market, the New York Stock Exchange, or the NYSE MKT. The number of Series G Conversion Shares issuable upon conversion of the Conversion Amount shall equal the Conversion Amount divided by the Conversion Price then in effect. The “Conversion Price” of the Series G Preferred is $22.50. Upon the trigger of an Automatic Conversion, all of the shares of Series G Preferred will convert into Common Stock at the Conversion Price then in effect.

On January 31, 2017, the Company issued 32,415 and 10,805 shares of the Series G Preferred, respectively, to (i) Tyumen Holdings, LLC, of which Jeffery Peterson, the Company’s Executive Chairman and Chief Executive Officer is the Manager, and (ii) James Dalton (collectively, the “ Series G Holders ”). Also on January 31, 2017, the Company and each of the Series G Holders entered into Lock-Up Agreements (the “ Lock-Up Agreements ”) relating to the Series G Preferred Shares held by each of the Series G Holders. Pursuant to the Lock-Up Agreement, upon the automatic conversion of the Series G Preferred, the Series G Holders cannot offer, sell, contract to sell, hypothecate or otherwise dispose of shares of the Common Stock obtained by conversion of the Series G Preferred until the earlier of (i) the Company’s receipt of $25,000,000 or more in gross revenue in a single fiscal year (but in no event prior to twelve (12) months from the date of the final prospectus with respect to the Qualified Offering (as defined in the Lock-Up Agreements), if any, even if such gross revenue threshold is attained prior to such date), or (ii) eighteen (18) months from the date thereof.

The above description of the Certificate of Designations and the Lock-Up Agreements does not purport to be complete and is qualified in its entirety by the full text of such documents, which are attached as exhibits to this Current Report on Form 8-K and incorporated herein by reference.

The foregoing descriptions of the Certificate of Designations and the Lock-Up Agreements does not purport to be complete and is subject to, and qualified in its entirety by, the Certificate of Designations and the Lock-Up Agreements, copies of which are attached hereto and incorporated herein by reference.