Start Scientific, Inc. (OTCPK:STSC) announced that it has entered into a note purchase agreement for a private placement of one 10% convertible promissory note due March 6, 2016 with new accredited investor Iconic Holdings, LLC for gross proceeds of $50,000 on March 6, 2015. The note will be issued at its par value. The note will have a fixed interest rate of 10% per annum and will mature on March 6, 2016.

The note will be convertible into common shares of the company at a variable conversion price equal to the lower of $.10 per share or 58% of the lowest trading price of the company's common stock during the 20 previous consecutive trading days. The note may be accelerated by the investor in the event of default and the rate of interest will increase to 20% per annum. In addition, in the event of default, there will be an additional permanent 5% increase to the conversion price discount.

The total amount due then will increase to 150% of the outstanding par value. The company will bear $5,000 for due diligence and legal bills. The note can be prepaid.

Between 1 and 60 days the note may be prepaid at 120% of the par value. Between 61 and 90 days the note may be prepaid at 125% of the par value. Between 91 and 120 days the note may be prepaid at 130% of the par value.

Between 121 and 180 days the note may be prepaid at 135% of the par value. After 180 days from the date of execution until the due date, the note may not be prepaid without written consent from investor. The investor has consulted with an independent legal, tax, investment, and other advisors of its own choosing prior to entering into this agreement.