SharpSpring, Inc. (NasdaqCM:SHSP) announced that it has entered into an unsecured convertible note purchase agreement with SHSP Holdings, LLC for a private placement of convertible promissory note at a price of $8,000,000 per note for gross proceeds of $8,000,000 on March 28, 2018. The transaction involved participation from existing investor Evercel Holdings Llc. The investor participated through SHSP Holdings, LLC, an entity managed by Corona Park Investment Partners, an affliate of the investor. The note will carry a coupon of 5% per annum. The note will be convertible into common shares of the company at a price of $7.50 per share. The company has the option to force conversion of the note at a conversion price of 175% of the conversion price, approximately $13.13 per share, and can extend the maturity of the note for up to 18 months, but at an annual PIK interest rate of 10%. The company may redeem the note at maturity for cash or for common stock issued at a 20% discount to the then-market price. Pursuant to the transaction, Daniel Allen from Evercel Holdings Llc has joined the board of directors of the company. The company sold the securities in reliance on the exemption from registration provided by Regulation D.