The Staffing Group, Ltd. (OTCBB:TSGL) announced a private placement of senior secured revolving convertible promissory note for maximum gross proceeds of $3,000,000 on March 29, 2016. The note will bear a fixed interest rate at 12% per annum and will increase to 18% per annum upon any default. Upon an event of default, the investor shall have the right to convert all or any portion of the note into company's shares.

The notes will be convertible at 85% of the lowest volume weighted average price of the company's stock for the five days preceding the conversion date. The note will mature at the earlier of; six months from April 5, 2016, upon prepayment of the note by the investor, or the occurrence of default and acceleration of the note. The company will pay to the investor an asset monitoring fee in the maximum amount of $2,500, advisory fee equal to 4% of the total proceeds equivalent to $120,000, a due diligence fee of $18,500, a document review and legal fee of $25,000, and other fees.

The company has signed a senior secured revolving credit facility agreement with an accredited investor, TCA Global Credit Master Fund, LP. The company will also pay an advisory fee of $750,000, payable in shares of the company's series B preferred stock.