(a) Borrower shall use the proceeds of the Term Loan and all other Advances solely for (i) the payment of all amounts due and owing by Borrower to Allied Affiliated Lending, L.P. (the “ Senior Lender ”) pursuant to the Factoring Agreement, and (ii) payment of settled arrangements up to the amounts set forth on Schedule 1.2 attached hereto, (iii) working capital purposes, and (iv) such other purposes as Lender may in its sole and complete discretion permit.