Solution Financial Inc. — Capital/Financing Update 2021

Feb 19, 2021

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NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

NEWS RELEASE

SOLUTION FINANCIAL PROVIDES UPDATE TO PREVIOUSLY ANNOUNCED UNSECURED CONVERTIBLE DEBENTURE FINANCING

Vancouver, B.C., February 18, 2021– Solution Financial Inc. (TSX-V: SFI) (the “ Company ” ) would like to provide an update to the Company’s previously announced nonbrokered financing (the “ Private Placement ”) of up to $5,000,000 principal amount convertible debentures (“ Debentures ”). The Company has received conditional approval from the TSX Venture Exchange and will be proceeding with the Private Placement.

The Debentures will mature on the second anniversary of the date of issuance and bear interest at a rate of 5.00% per annum, calculated and paid semi-annually. The principal amount may be convertible into Common shares, in whole or in part, at any time following the Issue Date but on or before the Maturity Date at a conversion price of $0.50 per Share. Any accrued and unpaid interest on the Debenture may be convertible into Common shares at the greater of (i) the Conversion Price or (ii) the closing price of the Company’s common shares on the date of conversion.

The Company plans to use the proceeds of the financing to support the Company's expansion plans into Ontario. The Company recently received its license to operate in Ontario from Ontario's Vehicle Sales Regulator.

The offering of the Debentures is subject to the receipt of all necessary approvals, including the final approval of the TSX Venture Exchange.

The Debentures will not be listed or posted for trading on any exchange. The Company will provide a further update on closing of the Private Placement in due course.

About Solution Financial

Solution Financial was incorporated under the provisions of the Business Corporations Act (British Columbia) in 2004 and specializes in sourcing and leasing luxury and exotic vehicles, yachts and other high value assets. Solution works with a select group of automotive and marine dealerships providing lending solutions to clients who cannot obtain leasing terms with traditional Canadian financial institutions. Typical customers include new immigrants, business owners and international students. Solution Financial provides a unique leasing experience whereby it partners with its clients to help them navigate the challenges of acquiring, insuring, maintaining and upgrading vehicles and luxury assets in Canada.

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For further information please contact Sean Hodgins at (778) 318-1514.

ON BEHALF OF THE BOARD

(signed) “ Bryan Pang ” Brian Pang President, CEO and Director

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release does not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The Debentures and the shares which may be issued on exercise thereof have not been and will not be registered under the United States Securities Act of 1933, as amended (the “ U.S. Securities Act ”) and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.