Network 1 Financial Group, Inc. (OTCPK:NTFL) announced a private placement of common shares and convertible debt for gross proceeds of $400,500 on October 31, 2012. The company will advise itself on the transaction and will receive a sales commission of $20,025. The securities will be issued pursuant to Regulation D.

As of November 12, 2012, the company has raised $150,000 from one investor.

On December 14, 2012, Network 1 Financial Group, Inc. closed the transaction. The company issued 2 Year, secured promissory note for gross proceeds of $400,000 and 5,000,000 common shares at a price of $0.001 per share for gross proceeds of $500. The note carries an interest rate of 7% one-time interest charge on the principal sum payable to holder semi-annually. The company will pay to broker for itself and other selling agents a commission in the form of cash which equals in value to 5% of the gross proceeds from the sale of the common shares under the subscription agreement, as well as 10% in common shares. The transaction saw participation from a private investor which is an accredited investor.