Paid, Inc. Executes $2.5 Million Revolving Debt Financing for Growth

Paid, Inc., (OTCBB:PAYD) today announced it has closed on a $2.5 million credit agreement with New York-based Lewis Asset Management. The $2.5 million revolving line of credit is not convertible into Paid, Inc. equity and there are no prepayment penalties. The $2.5 million revolving line of credit is secured by one half of 1% of Paid’s patent portfolio. Paid Inc.’s celebrity services business will use the credit facility to make advance payments to musical artists and celebrities in order to secure contracts for VIP ticketing, retail licensing, tour and general merchandising, and other services by Paid, Inc. "We believe that the major changes taking place in the music industry are providing a great opportunity for Paid to execute its business model. Paid provides a complete solution to celebrities in the music, television, sports and other entertainment areas,” said Austin Lewis, portfolio manager for Lewis Asset Management. "We see tremendous potential for Paid’s business model as it leverages the New Media space to provide integrated branding and management of celebrities’ online presence, including merchandising, VIP ticketing and licensing.” "We’re extremely pleased to secure this credit facility from Lewis Asset Management,” said Greg Rotman, CEO of Paid, Inc. "We believe this financing serves as a validation of our celebrity services business model and the massive potential of this segment of the entertainment industry.” "This financing will help us build our celebrity services business without being dilutive to our existing shareholder base,” Rotman noted. "This capital will help us in securing contracts with major celebrities who require advance payments. This facility provides us with the financial flexibility to pursue opportunities and achieve revenue growth. Several celebrity contracts valued at $20-30 million were pending the closing of this financing and we expect to complete them within weeks.” About Paid, Inc.: Paid, Inc. operates a diversified set of businesses, including its celebrity services and AuctionInc ecommerce technology businesses. Paid, Inc.’s celebrity services provides celebrities and organizations with official Web sites and fan club services that include e-commerce storefronts, ticketing and fan experience packages and web site content to attract tens of thousands of visitors daily. Using proprietary patented technology, Paid's innovative AuctionInc brand shipping calculation and auction management software and services are utilized to streamline online auctions, ecommerce and web site development and hosting. The Company also sponsors autograph signing events and other sports marketing services for sports clientele. The Company's common stock is traded on the OTC Bulletin Board under the symbol PAYD. For further information, visit http://www.paid.com. Forward Looking Statements: This Press Release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that are based upon current expectations or beliefs, as well as a number of assumptions about future events, including matters related to the Company's operations, profitability, business development efforts, and expectations about celebrity programs and fan club activities, technologies, and services. Although the Company believes that the expectations reflected in the forward-looking statements and the assumptions upon which they are based are reasonable, it can give no assurance that such expectations and assumptions will prove to have been correct. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties. In addition, other factors that could cause actual results to differ materially are discussed in the Company's most recent filings, including Form 10-KSB with the Securities and Exchange Commission.