626 Financial LLC

Item 5 – Fees and Compensation

The following paragraphs detail the fee structure and compensation methodology for services provided by the
Advisor. Each Client engaging the Advisor for services described herein shall be required to enter into one or
more written agreements with the Advisor.

A. Fees for Advisory Services
Wealth Management Services
Wealth management fees are paid quarterly, in advance of each calendar quarter, pursuant to the terms of the
wealth management agreement. Wealth management fees are based on the market value of assets under
management at the end of the prior quarter. Wealth management fees range from 0.60% to 1.25% annually based
on several factors, including the level of assets to be managed, the complexity of the services provided, and the
overall relationship with the Advisor. Clients may be offered a fixed annual rate or a tiered fee schedule within this
range.

Use of Independent Managers
As noted in Item 4, the Advisor may implement all or a portion of a Client’s investment portfolio utilizing one or more
Independent Managers. To eliminate any conflict of interest, the Advisor does not earn any compensation from an
Independent Manager. The Advisor will only earn its investment advisory fee as described above. Independent
Managers typically do not offer any fee discounts but may have a breakpoint schedule that will reduce the fee with
an increased level of assets placed under management with an Independent Manager. The terms of such fee
arrangements are included in the Independent Manager’s disclosure brochure and applicable contract[s] with the
Independent Manager. The total blended fee, including the Advisor’s fee and the Independent Manager’s fee, will
not exceed 2.15% annually.

Held-Away Accounts
For Client accounts, held-away from the Custodian, wealth management fees are paid quarterly, at the end of each
quarter, pursuant to the terms of the wealth management agreement. Wealth Management fees are based on the
average daily balance of assets under management during the quarter. Wealth management fees range up to 1.25%
annually based on several factors, including the level of assets to be managed, the complexity of the services
provided, and the overall relationship with the Advisor.

The wealth management fee in the first quarter of service is prorated from the inception date of the account[s] to the
end of the first quarter. Fees may be negotiable at the sole discretion of the Advisor. The Client’s fee will take into
consideration the aggregate assets under management with the Advisor. All securities held in accounts managed
by 626 Financial will be independently valued by the Custodian. 626 Financial will conduct periodic reviews of the
Custodian’s valuations to ensure accurate billing.

Clients may make additions to and withdrawals from their account[s] at any time, subject to 626 Financial’s right to
terminate an account. Additions may be in cash or securities provided that 626 Financial reserves the right to liquidate
any transferred securities or decline to accept particular securities into a Client’s account[s]. Clients may withdraw
account assets with notice to 626 Financial, subject to the usual and customary securities settlement procedures.
However, 626 Financial designs its portfolios as long-term investments, and the withdrawal of assets may impair the
achievement of a Client’s investment objectives. 626 Financial may consult with its Clients about the options and
ramifications of transferring securities. However, Clients are advised that when transferred securities are liquidated,
they are subject to transaction fees, fees assessed at the mutual fund level (i.e., contingent deferred sales charge),
and/or tax ramifications. The Advisor’s fee is exclusive of and in addition to any applicable securities transaction and
custody fees and other related costs and expenses described in Item 5.C. below, which may be incurred by the
Client. However, the Advisor shall not receive any portion of these commissions, fees, and costs.
                                                   626 Financial, LLC
                                    7950 Moorsbridge Road, Suite 104, Portage, MI 49024
 Page 7                                Phone: (269) 321-5040 | Fax: (269) 585-6059
                                                 www.626financial.com

Retirement Plan Advisory Services
Retirement plan advisory fees are paid quarterly, generally in advance of each calendar quarter, pursuant to the
terms of the retirement plan advisory agreement. Fees are based on the market value of assets in the Plan at the
end of the prior calendar quarter. Fees range up to 1.00% annually and may be negotiable depending on the size
and complexity of the Plan.

B. Fee Billing
Wealth Management Services
Wealth management fees will be calculated by the Custodian and deducted from the Client’s account[s] at the
Custodian in advance of each quarter. The amount due is calculated by applying the following formula: ([Prior
quarter-ending valuation of total assets under management with 626 Financial x Annual Rate] / 360 x 90 Days).
Clients will be provided with a statement, at least quarterly, from the Custodian reflecting the deduction of the wealth
management fee. Clients provide written authorization permitting advisory fees to be deducted by the Custodian to
be paid directly from their account[s] as part of the wealth management agreement and separate account forms
provided by the Custodian.

Use of Independent Managers
For Client accounts implemented through an Independent Manager, the Client’s overall fees will include 626
Financial’s investment advisory fee (as noted above) plus investment management fees and/or platform fees
charged by the Independent Manager. The Independent Manager will assume the responsibility for calculating
the Client’s fees and deducting all fees from the Client’s account[s].

Held-Away Accounts
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Item 7 – Types of Clients

626 Financial offers wealth management services to individuals, high-net-worth individuals, trusts, estates,
businesses, and retirement plans. 626 Financial generally does not impose a minimum relationship size.

                                                   626 Financial, LLC
                                    7950 Moorsbridge Road, Suite 104, Portage, MI 49024
 Page 9                                Phone: (269) 321-5040 | Fax: (269) 585-6059
                                                 www.626financial.com