Flitways Technology, Inc. (OTCPK:FTWS) announced that it has entered into equity purchase agreements with L2 Capital, LLC and Kodiak Capital Group, LLC, for up to $1,000,000, each for an equity line for gross proceeds of up to $2,000,000 on August 11, 2017. The company may require the purchaser to purchase shares of common stock from time to time by delivering a put notice to such purchaser specifying the total number of shares to be purchased such number of shares multiplied by the purchase price described below, the investment amount; provided there must be a minimum of ten trading days between delivery of each put notice. The company may determine the investment amount provided that such amount may not be lower than $25,000. The company will receive the funding in tranches by July 31, 2019. The issue price of the shares will be equal to 80% of the market price, which is defined as the lowest volume weighted average price on the principal trading platform for the common stock, as reported by Bloomberg Finance L.P., during the five consecutive trading days including and immediately prior to the settlement date of the sale. Each purchaser’s obligation to purchase shares is subject to customary closing conditions, including without limitation a requirement that a registration statement remain effective registering the resale by such purchaser of the shares to be issued. The agreement is not transferable and any benefits attached thereto may not be assigned. The company has issued convertible bonds with principal amount of $57,500, each and 5,000,000 warrants, each to L2 Capital, LLC and Kodiak Capital Group, LLC as commitment fee. The notes carry a coupon of 8% per annum and will mature in six months from the issuance. The warrants will be exercisable at a price of $0.10 per share for a period of five years. The principal amount and accrued interest under each note are convertible at the option of the holder into shares at a variable conversion price of 70% of the lowest trading price during the thirty trading day period prior to the conversion date. The conversion of the notes and exercise of warrants are subject to the beneficial ownership limitation.. The company may prepay any amount outstanding under the note, at any time, by making a payment to the investor of an amount in cash equal to 150% multiplied the amount that the company is prepaying by providing a notice to the Holder 5 business days prior to such respective prepayment date, and the investor must receive such prepayment within 12 business days of the investors’ receipt of the respective prepayment notice. The investor may convert the note in whole or in part at any time during the prepayment period. The securities offered and sold in the transaction are pursuant to an exemption from the registration requirements under Section 4(a)(2) of the Securities Act and Rule 506 of Regulation D. On September 26, 2017, the company signed a cancellation agreement with Kodiak Capital Group, LLC. Now, the company will receive gross proceeds of $2,000,000 from L2 Capital, LLC.