Quantum Financial Advisors Inc

Item 5           Fees and Compensation

   A. The client can determine to engage the Registrant to provide discretionary or non-
      discretionary investment advisory services in accordance with the descriptions and
      discussions of fees below.

                                   INVESTMENT ADVISORY SERVICES
         If a client determines to engage the Registrant to provide discretionary or non-discretionary
         investment advisory services, the Registrant’s annual investment advisory fee shall be
         based upon a percentage of the market value placed under the Registrant’s management,
         generally as follows:

                      Market Value of Portfolio             % of Assets
                        $100,000 to $250,000                 2.00%
                        $250,001 to $500,000                 1.75%
                        $500,001 to $750,000                 1.50%
                        $750,001 to $1,000,000               1.25%
                        $1,000,001 to $5,000,000             1.00%
                        $5,000,001 to $10,000,000            0.75%
                        $10,000,001 plus                     0.60%

         Registrant's annual investment advisory fee shall include investment advisory services,
         and, to the extent specifically requested by the client, financial planning and consulting
         services. In the event that the client requires extraordinary planning and/or consultation
         services (to be determined in the sole discretion of the Registrant), the Registrant may
         determine to charge for such additional services, the dollar amount of which shall be
         separately agreed to in a separate Financial Planning Agreement executed by and between
         the Registrant and the client.

         The investment advisory fee is negotiable at Registrant’s discretion, depending upon
         objective and subjective factors including but not limited to the amount of assets to be
         managed; portfolio composition; the scope and complexity of the engagement; the
         anticipated number of meetings and servicing needs; related accounts; future earning
         capacity; anticipated future additional assets; the professionals rendering service; and
         negotiations with the client. Similarly situated clients could pay different fees, the services
         to be provided by the Registrant to any particular client could be available from other
         advisers at lower fees, and certain clients may have fees different than those specifically
         set forth above.

    Sub-Advisory Relationships
    The Registrant may provide sub-advisory services to other investment advisers. In those
    cases, the Registrant’s investment advisory fee is generally based upon a percentage of the
    market value placed under the Registrant’s management between 0.10% and 0.75%, and is
    subject to negotiation between the parties.

           FINANCIAL PLANNING AND CONSULTING SERVICES (STAND-ALONE)
    Registrant’s planning and consulting fees are negotiable, but generally are performed are
    performed at an annual rate between $1,000 and $5,000 or from $250 to $500 on an hourly
    rate basis. Such fees may be reduced or increased, in the Registrant’s sole discretion,
    depending upon the level and scope of the service(s) required and the professional(s)
    rendering the service(s). Generally, fees shall be greater the more time a relationship is
    expected to take and more complex a client’s situation. A client with many descendants
    and trusts will likely incur a higher fee for estate and financial planning services. In
    addition, a client with more assets, real estate, IRAs and 401ks may incur higher fees. The
    Registrant will discuss fees with the client in advance of the relationship. In the event the
    Registrant expects the fee to vary materially from the work performed for a client prior to
    the services being rendered in each successive year, the Registrant will notify the client,
    and may request an amendment to the contract or a new contract be entered. Fees for
    financial planning services are generally billed at the time they are performed and payment
    is due within thirty days of receipt of an invoice.

                                  RETIREMENT CONSULTING
    As described above in Item 4, the Registrant provides non-discretionary retirement plan
    consulting services. The Registrant’s annual fee is generally based on a percentage of the
    market value of the plan that the Registrant provides consulting services to and typically
    ranges from 0.25% to 1.00% depending on negotiations with the plan sponsor. The
    Registrant's retirement consulting fee is prorated and generally paid quarterly, in arrears,
    based on the value of the assets on the last business day of the prior quarter.

B. Clients may elect to have the Registrant’s advisory fees deducted from their custodial
   account. Both Registrant's Investment Advisory Agreement and the custodial/ clearing
   agreement may authorize the custodian to debit the account for the amount of the
   Registrant's investment advisory fee and to directly remit that management fee to the
   Registrant in compliance with regulatory procedures. In the limited event that the
   Registrant bills the client directly, payment is due upon receipt of the Registrant’s invoice.
   The Registrant shall deduct fees and/or bill clients quarterly in arrears, based upon the
   market value of the assets on the last business day of the previous quarter.

C. As discussed below, unless the client directs otherwise or an individual client’s
   circumstances require, the Registrant shall generally recommend that Charles Schwab and
   Co., Inc. (“Schwab”) serve as the broker-dealer/custodian for client investment
   management assets.

    Broker-dealers such as Schwab charge brokerage commissions, transaction, and/or other
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Item 7           Types of Clients

         The Registrant’s clients shall generally include individuals, business entities, pensions and
         profit sharing plans, trusts, estates, charitable organizations, and other investment advisers.
         Please see Item 5 for a complete disclosure on our account minimums and fees.