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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Registration
        No.&#160;&#160;333-&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
</strong></font>
        <div>
          <hr style="COLOR: black" align="left" noshade size="2" width="100%">
        </div>
      </div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 12pt; FONT-FAMILY: Times New Roman;"><strong>UNITED
      STATES</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 12pt; FONT-FAMILY: Times New Roman;"><strong>SECURITIES
      AND EXCHANGE COMMISSION</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>WASHINGTON,
      D.C. 20549</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 12pt; FONT-FAMILY: Times New Roman;"><strong>FORM
      S-8</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>REGISTRATION
      STATEMENT</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>UNDER</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>THE
      SECURITIES ACT OF 1933</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 12pt; FONT-FAMILY: Times New Roman;"><strong>ACCELERIZE
      NEW MEDIA, INC.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(Exact
      name of registrant as specified in its charter)</font></div>
    <div><br></div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="40%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Delaware</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">(State
                or other jurisdiction of</font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">incorporation
                or organization)</font></div>
            </td>
            <td valign="top" width="40%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>20-3858769</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">(I.R.S.
                Employer Identification No.)</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>12121
      WILSHIRE BLVD.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>SUITE
      322</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>LOS
      ANGELES, CALIFORNIA 90025</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>(310)
      903 4001</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(Address
      of Principal Executive Offices)</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>ACCELERIZE
      NEW MEDIA, INC. STOCK OPTION PLAN</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(Full
      title of the plan)</font></div>
    <div><br></div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="80%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>MR.
                BRIAN ROSS</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>ACCELERIZE
                NEW MEDIA, INC.</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>12121
                WILSHIRE BLVD.</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>SUITE
                322</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>LOS
                ANGELES, CALIFORNIA 90025</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>(310)
                903 4001</strong></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(Name,
      Address and Telephone Number of Agent For Service)</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">COPIES
      TO:</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>J.
      TRUMAN BIDWELL, JR.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>SULLIVAN
      &amp; WORCESTER LLP</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>1290
      AVENUE OF THE AMERICAS</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>NEW
      YORK, NY 10104</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Telephone:
      (212) 660-3032</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Telecopier:
      (212) 660-3031</strong></font></div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>CALCULATION
      OF REGISTRATION FEE</strong></font></div>
    <div align="left">
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="bottom" width="21%" style="BORDER-BOTTOM: black 2px solid"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="bottom" width="16%" style="BORDER-BOTTOM: black 2px solid"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="bottom" width="16%" style="BORDER-BOTTOM: black 2px solid"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="bottom" width="16%" style="BORDER-BOTTOM: black 2px solid"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="bottom" width="21%" style="BORDER-BOTTOM: black 2px solid">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>Title
                of Securities to</strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>be
                Registered</strong></font></div>
            </td>
            <td valign="bottom" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>Amount
                to be </strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>registered
                (1)</strong></font></div>
            </td>
            <td valign="bottom" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>Proposed
                maximum </strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>offering
                price </strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>per
                share</strong></font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>Proposed
                maximum </strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>aggregate
                offering </strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>price</strong></font></div>
            </td>
            <td valign="bottom" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>Amount
                of </strong></font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;"><strong>registration
                fee</strong></font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="21%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">Common
                Stock, $.001 par value per share</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">7,212,500
                (2)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$0.15(3)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$1,081,875
                (3)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$33.22</font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="21%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">Common
                Stock, $.001 par value per share</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">70,000
                (2)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$0.35(4)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$24,500
                (4)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$0.76</font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="21%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">Common
                Stock, $.001 par value per share</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">2,717,500</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$0.35(5)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$951,125
                (5)</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$29.20</font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="21%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">Total</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">10,000,000</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">--</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$2,057,500</font></div>
            </td>
            <td valign="top" width="16%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">$63.18</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(1)</font></div>
            </td>
            <td>
              <div align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">In
                accordance with Rule&#160;416 under the Securities Act of 1933, as amended
                (the &#8220;Securities Act&#8221;), this registration statement shall be deemed to
                cover any additional securities that may from time to time be offered
                or
                issued to prevent dilution resulting from stock splits, stock dividends
                or
                similar transactions.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(2)</font></div>
            </td>
            <td>
              <div align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Represents
                shares reserved for issuance upon the exercise of stock options that
                were
                granted under the Accelerize New Media, Inc. Stock Option
                Plan.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(3)</font></div>
            </td>
            <td>
              <div align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Such
                shares are issuable upon exercise of outstanding options with a fixed
                exercise price of $0.15 per share. Pursuant to Rule 457(h) under
                the
                Securities Act, the aggregate offering price and the fee have been
                computed upon the basis of the price at which the options may be
                exercised.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(4)</font></div>
            </td>
            <td>
              <div align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Such
                shares are issuable upon exercise of outstanding options with a fixed
                exercise price of $0.35 per share. Pursuant to Rule 457(h) under
                the
                Securities Act, the aggregate offering price and the fee have been
                computed upon the basis of the price at which the options may be
                exercised.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(5)</font></div>
            </td>
            <td>
              <div align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">With
                respect to the 2,717,500 shares remaining available for issuance
                under the
                Accelerize New Media, Inc. Stock Option Plan, pursuant to Rule 457(h)
                under the Securities Act, the proposed maximum offering price per
                share,
                the aggregate offering price and the fee have been computed upon
                the basis
                of the book value of the common shares as of September 30,
                2007.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>EXPLANATORY
      NOTE</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>This
      Registration Statement contains
      two parts. The first part contains a &#8220;Reoffer Prospectus&#8221; prepared in accordance
      with the requirements of General Instruction C to Form S-8 and Part I of Form
      S-3. The Reoffer Prospectus permits the resale of up to 3,230,000 shares
      referred to above that constitute &#8220;restricted securities&#8221; or &#8220;control
      securities,&#8221; within the meaning of Form S-8, by certain of the Company&#8217;s
      stockholders, as more fully set forth therein. The second part contains
      information required to be set forth in the registration statement pursuant
      to
      Part&#160;II of Form S-8.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Pursuant
      to the Note to Part&#160;I of
      Form S-8, the plan information specified by Part&#160;I of Form S-8 is not
      required to be filed with the Securities and Exchange Commission, or the
      Commission. Such documents are not being filed with the Commission but
      constitute (along with the documents incorporated by reference into this
      Registration Statement pursuant to Item 3 of Part II hereof) a prospectus that
      meets the requirements of Section 10(a) of the Securities Act.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>We
      will provide, without charge, to
      each person to whom a copy of the Section 10(a) prospectus is delivered, upon
      written or oral request, a copy of any or all of the documents incorporated
      by
      reference in Item 3 of Part II of this Registration Statement (which documents
      are incorporated by reference in the Section 10(a)) and a copy of any other
      document required to be delivered to employees pursuant to Rule 428(b). If
      you
      would like a copy of any of this information, please submit your request to
      Accelerize New Media, Inc., 12121 Wilshire Blvd., Suite 322, Los Angeles, CA
      90025, Attn: Mr. Brian Ross.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>REOFFER
      PROSPECTUS</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>ACCELERIZE
      NEW MEDIA, INC.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>UP
      TO </strong><font style="DISPLAY: inline; FONT-SIZE: 10pt;"><strong>3,230,000</strong></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">&#160;</font><strong>S</strong><strong>HARES
      OF COMMON STOCK</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">This
      prospectus relates to the sale of up to <font style="DISPLAY: inline; FONT-SIZE: 10pt;">3,230,000 </font>shares of common stock
      $.001 par value per share of Accelerize New Media, Inc. that will be issued
      by
      us to the individuals named in this prospectus under the heading &#8220;SELLING
      STOCKHOLDERS&#8221; upon the exercise of options granted to such selling stockholders
      under the Accelerize New Media, Inc. Stock Option Plan, or the Stock Option
      Plan.&#160;&#160;The selling stockholders may sell the <font style="DISPLAY: inline; FONT-SIZE: 10pt;">3,230,000 </font>shares of common stock
      offered under this prospectus in the open market at prevailing market prices
      or
      in private transactions at negotiated prices.&#160;&#160;They may sell the
      shares directly or indirectly through underwriters, brokers or
      dealers.&#160;&#160;The selling stockholders and any underwriters, brokers or
      dealers who may participate in a sale of the shares may be deemed to be
      statutory underwriters within the meaning of the Securities Act of 1933, as
      amended, or the Securities Act, and the commissions paid or discounts or
      concessions allowed to any such underwriter, broker or dealer by any person
      may
      be deemed to be underwriting discounts or commissions under the Securities
      Act.&#160;&#160;All discounts, commissions or fees incurred in connection with
      the sale of the shares, except the expenses of registering the shares and
      preparing and filing this prospectus with the Securities and Exchange
      Commission, or the SEC, will be paid by the selling stockholders or by the
      purchasers of the shares.&#160;&#160;We will pay the expenses of registering the
      shares and preparing and filing this prospectus with the SEC.&#160;&#160;For
      additional information on the methods of sale, you should refer to the section
      entitled &#8220;PLAN OF DISTRIBUTION.&#8221;&#160;&#160;We will not receive any of the
      proceeds from the sale of the shares by the selling stockholders.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      shares of common stock are being offered for sale by the selling stockholders
      at
      an initial price of $0.15 per share. There are no minimum purchase requirements.
      Our common stock is not yet publicly traded. We have filed an application on
      Form 211 for the public trading of our common stock on the Over-The-Counter
      Bulletin Board or OTC.BB, and we expect that trading in our stock on the OTC.BB
      will commence shortly after the application is approved. Once our common stock
      is traded on the OTC.BB, the selling shareholders may sell the shares at fixed
      or negotiated prices, which may fluctuate based on the demand for the
      shares.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Investing
      in our common stock involves a high degree of risk. See "Risk Factors" beginning
      on page 5 of this prospectus to read about the risks of investing in our common
      stock.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Neither
      the Securities and Exchange Commission nor any state securities commission
      has
      approved or disapproved of these securities or determined if this prospectus
      is
      truthful or complete.&#160;&#160;Any representation to the contrary is a
      criminal offense.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      date
      of this Prospectus is October 18, 2007.</font></div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-1-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>TABLE
      OF CONTENTS</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">
      <div align="left">
        <table cellpadding="0" cellspacing="0" width="100%">

            <tr>
              <td align="left" valign="top" width="80%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Page</strong></font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
              <td align="left" valign="top" width="20%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Accelerize
                  New Media, Inc.</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">3</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Risk
                  Factors</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">4</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Forward-Looking
                  Statements</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">10</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Use
                  of Proceeds</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">10</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Selling
                  Stockholders</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">10</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Plan
                  of Distribution</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">11</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Description
                  of Securities</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">13</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Legal
                  Matters</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">14</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Incorporation
                  of Certain Documents by Reference</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">14</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Indemnification
                  of Directors and Officers</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">15</font></div>
              </td>
            </tr>
            <tr>
              <td align="left" valign="top" width="80%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Additional
                  Information Available to You</font></div>
              </td>
              <td align="left" valign="top" width="20%">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">15</font></div>
              </td>
            </tr>

        </table>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
    <div>&#160;</div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-2-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>ACCELERIZE
      NEW MEDIA, INC.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      offer
      a comprehensive online media solution for clients to reach their target audience
      on the internet. We provide lead generation and customer acquisition solutions
      via our network of financial, news and social networking portals, and also
      through real simple syndication, or RSS feeds, blogs, targeted e-mail, banners,
      search engine optimization, purchase of key words and sale of map
      software.&#160;&#160;We also provide debt settlement referrals. We also intend
      to provide our content to other companies in a variety of formats including
      re-branded portals, investor relations pages, and RSS feeds.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      primarily make money from the following three lines of business: (i) online
      advertising - this is our most important line of business. We charge vendors
      to
      place advertisements that are accessed through our content network. When users
      take specified actions as a result of clicking through these ads, we receive
      a
      fee. We also receive a fee on a cost-per-mille, or CPM basis; (ii) debt
      settlement referrals - we believe that this line of business will become an
      important source of revenue for us. We receive a fee for providing sales and
      marketing support in connection with debt settlement solutions offered by debt
      settlement agencies to consumers in the United States; and (iii) sales of map
      software through our website www.Accelerize.com. The revenue we generate from
      this line of business and its importance to our overall operation is
      minimal.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Accelerize
      New Media, Inc. owns and operates a large network of consumer-based portals,
      microsites and landing pages with an extensive portfolio of domains to drive
      high-end, highly relevant leads to our advertisers. Our web properties are
      the
      primary source for our lead generation and social networking traffic. The
      websites are designed to connect and/or &#8220;point&#8221; to each other with the goal of
      keeping the user within our network. The longer the user stays within the
      network, the more valuable that user becomes to potential advertisers. Some
      of
      our most important portals and blogs are: www.secfilings.com,
      www.executivedisclosure.com, www.secinvestor.com, and
      www.executiveinvestigator.com.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Except
      the contents of www.secinvestor.com, and www.executiveinvestigator.com, which
      are based on publicly available information but are authored by our employees,
      all of the content in our networks is obtained from publicly available
      information that we gather, or provided to us by contractual
      partners.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      were
      incorporated on November 22, 2005 under the laws of the State of Delaware.
      Prior
      to our incorporation we operated as a sole proprietorship owned by one of the
      members of our current management team, which was doing business as Accelerize
      New Media, and sold two products, EDGAR Index and MapGui.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">Our
      principal executive offices are
      located at: </font>Accelerize New Media, Inc., 12121 Wilshire Blvd., Suite 322,
      Los Angeles, CA 90025.<font style="DISPLAY: inline; FONT-SIZE: 10pt;"> Our
      telephone number at this location is (310) 903 4001. Our corporate website
      is
      www.accelerizenewmedia.com.&#160;&#160;The information which appears on our web
      site is not part of this prospectus.</font></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">When
      used
      in this prospectus, the terms &#8220;Accelerize&#8221;, &#8220;the company&#8221;, &#8220;we&#8221;, &#8220;our&#8221;, and &#8220;us&#8221;
refers to Accelerize New Media, Inc., a Delaware corporation.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">NO
      PERSON
      HAS BEEN AUTHORIZED IN CONNECTION WITH ANY OFFERING MADE HEREBY TO GIVE ANY
      INFORMATION OR TO MAKE ANY REPRESENTATION NOT CONTAINED IN THIS PROSPECTUS,
      AND,
      IF GIVEN OR MADE, SUCH INFORMATION OR REPRESENTATION MUST NOT BE RELIED UPON
      AS
      HAVING BEEN AUTHORIZED BY US OR ANY SELLING STOCKHOLDER.&#160;&#160;THIS
      PROSPECTUS DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER
      TO
      BUY ANY SECURITY OTHER THEN THE SHARES OFFERED BY THIS PROSPECTUS, NOR DOES
      IT
      CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY SHARES
      OF
      COMMON STOCK OFFERED HEREBY TO ANY PERSON IN ANY JURISDICTION WHERE IT IS
      UNLAWFUL TO MAKE SUCH OFFER OR SOLICITATION.&#160;&#160;NEITHER THE DELIVERY OF
      THIS PROSPECTUS NOR ANY SALE HEREUNDER SHALL, UNDER ANY CIRCUMSTANCES, CREATE
      ANY IMPLICATION THAT INFORMATION CONTAINED HEREIN IS CORRECT AS OF ANY TIME
      SUBSEQUENT TO THE DATE HEREOF.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-3-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>RISK
      FACTORS</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><em><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>An
      investment in our shares involves a
      high degree of risk. Before making an investment decision, you should carefully
      consider all of the risks described in this prospectus. Each of the following
      risks could materially adversely affect our business, financial condition and
      results of operations, which could cause the price of our shares to decline
      significantly and you may lose all or a part of your investment. Prospective
      investors should fully understand and evaluate these risks before making an
      investment decision. Our forward-looking statements in this prospectus are
      subject to the following risks and uncertainties. Our actual results could
      differ materially from those anticipated by our forward-looking statements as a
      result of the risk factors below. See &#8220;Forward-Looking
      Statements.&#8221;</em></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>We
      have a limited operating history
      and, therefore, predicting our future performance is
      difficult.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>We
      were incorporated in November 2005.
      Our limited operating history makes it difficult to evaluate our business and
      prospects. We have encountered, and expect to continue to encounter, many of
      the
      difficulties and uncertainties often faced by early stage companies. You should
      consider our business and prospects in light of the risks, uncertainties and
      difficulties frequently encountered by early stage companies, including limited
      capital, delays in product development, marketing and sales obstacles and
      delays, inability to gain customer acceptance of our products and services,
      inability to attract and retain high-quality and talented executives and other
      personnel and significant competition. We cannot be certain that we will
      successfully address these risks. If we are unable to address these risks,
      our
      business may not grow, our stock price may suffer and/or we may be unable to
      stay in business.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>We
      have a history of losses, and we
      expect to continue to operate at a loss and to have negative cash flow from
      operations for the foreseeable future.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>We
      have a history of continuing losses
      and negative cash flow from operations. At June 30, 2007, we had cumulative
      net
      losses of approximately $616,000. Our operations have been financed primarily
      through proceeds from the issuance of equity and borrowings under promissory
      notes. On June 30, 2007, we had approximately $287,000 in cash. We expect that
      our expenses will increase substantially as we continue to develop and market
      our products and services. In addition, we expect that as a public company
      our
      general and administrative expenses will increase significantly. As a result,
      we
      expect to continue to incur losses for the foreseeable future.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Because
      we expect to continue to incur net losses, we may not be able to implement
      our
      business strategy and the price of our stock may decline</strong>.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">While
      we
      are hopeful of becoming profitable by the end of 2008, there is no assurance
      that this objective can be attained. Accordingly, our ability to operate our
      business and implement our business strategy may be hampered by negative cash
      flows in the future, and the value of our stock may decline as a result. Our
      capital requirements may vary materially from those currently planned if, for
      example, we incur unforeseen capital expenditures, unforeseen operating expenses
      or make investments to maintain our competitive position. If this is the case,
      we may have to delay or abandon some or all of our development plans or
      otherwise forego market opportunities. We will need to generate significant
      additional revenues to be profitable in the future and we may not generate
      sufficient revenues to be profitable on either a quarterly or annual basis
      in
      the future.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Our
      quarterly financial results will fluctuate, making it difficult to forecast
      our
      results of operation.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      expect
      our revenues and operating results may vary significantly from quarter to
      quarter due to a number of factors, many of which are beyond our control,
      including:</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Variability
                in demand and usage for our products and
                services;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Market
                acceptance of new and existing services offered by us, our competitors
                and
                potential competitors; and</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Governmental
                regulations affecting the use of the Internet, including regulations
                concerning intellectual property rights and security
                features.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-4-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      limited operating history and unproven business model further contribute to
      the
      difficulty of making meaningful quarterly comparisons. Our current and future
      levels of expenditures are based primarily on our growth plans and estimates
      of
      expected future revenues. If our operating results fall below the expectation
      of
      investors, our stock price will likely decline significantly.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>We
      face intense competition from other
      providers of business and financial information.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>We
      compete with many providers of
      business and financial information, including other Internet companies, for
      consumers' and advertisers' attention and spending. Our primary competitors
      are
      Edgar Online, Inc. and The Street.com, Inc., both of which provide services
      similar to ours and each of which has a well-established market presence. These
      and other competitors have substantially greater capital, longer operating
      histories, greater brand recognition, larger customer bases and significantly
      greater financial, technical and marketing resources than we do. These
      competitors may also engage in more extensive development of their technologies,
      adopt more comprehensive marketing and advertising campaigns than we can. Our
      competitors may develop products and service offerings that we do not offer
      or
      that are more sophisticated or more cost effective than our own. For these
      and
      other reasons, our competitors' products and services may achieve greater
      acceptance in the marketplace than our own, limiting our ability to gain market
      share and customer loyalty and to generate sufficient revenues to achieve a
      profitable level of operations. Our failure to adequately address any of the
      above factors could harm our business and operating results.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">In
      addition, as the barriers to entry in our market segment are not substantial,
      an
      unlimited number of new competitors could emerge, thereby making our goal of
      establishing a market presence even more difficult. Because our management
      expects competition in our market segment to continue to intensify, there can
      be
      no assurances we will ever establish a competitive position in our market
      segment.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>We
      may not be successful in increasing our brand awareness.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      future success will depend, in part, on our ability to increase brand awareness
      of our websites. In order to build brand awareness, we must succeed in our
      marketing efforts, provide high quality services and increase traffic to our
      websites. There is no assurance that we will be able to achieve these
      goals.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>We
      may not be successful in improving our existing products or in developing new
      products.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      have
      not yet completed development and testing of certain proposed new products
      and
      proposed enhancements to our systems, some of which are still in the planning
      stage or in relatively early stages of development. Our success will depend
      in
      part upon our ability to timely introduce new products into the marketplace.
      We
      must commit considerable time, effort and resources to complete development
      of
      our proposed products, service tools and product enhancements. Our product
      development efforts are subject to all of the risks inherent in the development
      of new products and technology, including unanticipated delays, expenses and
      difficulties, as well as the possible insufficiency of funding to complete
      development.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      product development efforts may not be successfully completed. In addition,
      proposed products may not satisfactorily perform the functions for which they
      are designed, they may not meet applicable price or performance objectives
      and
      unanticipated technical or other problems may occur which result in increased
      costs or material delays in development. Despite testing by Accelerize and
      potential end users, problems may be found in new products, tools and services
      after the commencement of commercial delivery, resulting in loss of, or delay
      in, market acceptance and other potential damages.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
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      may not be successful in developing new and enhanced services and features
      for
      our websites.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      market is characterized by rapidly changing technologies, evolving industry
      standards, frequent new product and service introductions and changing customer
      demands. To be successful, we must adapt to the rapidly changing market by
      continually enhancing our existing services and adding new services to address
      customers' changing demands. We could incur substantial costs if we need to
      modify our services or infrastructure to adapt to these changes. Our business
      could be adversely affected if we were to incur significant costs without
      generating related revenues or if we cannot adapt rapidly to these changes.
      Our
      business could also be adversely affected if we experience difficulties in
      introducing new or enhanced services or if these services are not favorably
      received by users. We may experience technical or other difficulties that could
      delay or prevent us from introducing new or enhanced services.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Our
      operations depend on third parties and our systems are susceptible to delays,
      failures and errors, which could adversely impact our operations and financial
      results.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      operations depend on receipt of timely feeds from our content providers, and
      any
      failure or delay in the transmission or receipt of such feeds could disrupt
      our
      operations. We also depend on Web browsers, ISPs and online service providers
      to
      provide access over the Internet to our product and service offerings. Many
      of
      these providers have experienced significant outages or interruptions in the
      past, and could experience outages, delays and other difficulties due to system
      failures unrelated to our systems. These types of interruptions could continue
      or increase in the future.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      digital distribution activities are managed by sophisticated software and
      computer systems. We must continually develop and update these systems over
      time
      as our business and business needs grow and change, and these systems may not
      adequately reflect the current needs of our business. We may encounter delays
      in
      developing these systems, and the systems may contain undetected errors that
      could cause system failures. Any system error or failure that causes
      interruption in availability of products or content or an increase in response
      time could result in a loss of potential or existing business services
      customers, users, advertisers or content providers. If we suffer sustained
      or
      repeated interruptions, our products, services and Web sites could be less
      attractive to such entities or individuals and our business could be
      harmed.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Our
      servers are hosted in San Antonio,
      Texas.&#160; Rackspace Managed Hosting, of Dallas Texas, handles the failover
      process we have put in place.&#160;We intend to notify Rackspace immediately of
      any outage and upon such notice they are supposed to immediately implement
      our
      failover strategy. We may not have adequate business interruption insurance
      to
      compensate us for losses that may occur from a system outage. Despite our
      efforts, our network infrastructure and systems could be subject to service
      interruptions or damage and any resulting interruption of services could harm
      our business, operating results and reputation.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Our
      future performance and success
      depend on our ability to retain our key personnel.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Our
      future performance and success is
      heavily dependent upon the continued active participation of our current senior
      management team, including, our President and Chief Executive Officer, Brian
      Ross, and our Chief Technology Officer, Chris Meredith, our General Counsel
      Damon Stein and our Chief Marketing Officer Dan Goldberg. The loss of any of
      their services could have a material adverse effect on our business development
      and our ability to execute our growth strategy, resulting in loss of sales
      and a
      slower rate of growth. We do not maintain any "key person" life insurance for
      any of our employees. We have written employment agreements with all of our
      executive employees.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>We
      may be subject to infringement claims on proprietary rights of third parties
      for
      software and other content that we distribute or make available to our
      customers.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      may be
      liable or alleged to be liable to third parties for software and other content
      that we distribute or make available to our customers:</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
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      </div>
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    </div>
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      <table cellpadding="0" cellspacing="0" width="100%">

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            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">If
                the content or the performance of our services violates third party
                copyright, trademark, or other intellectual property rights;
                or</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">If
                our customers violate the intellectual property rights of others
                by
                providing content through our
                services.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Any
      alleged liability could harm our business by damaging our reputation, requiring
      us to incur legal expenses in defense, exposing us to awards of damages and
      costs including treble damages for willful infringement and diverting
      management's attention which could have an adverse effect on our business,
      results of operations and financial condition.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      cannot
      assure you that third parties will not claim infringement by us with respect
      to
      past, current, or future technologies. We expect that participants in our
      markets will be increasingly subject to infringement claims as the number of
      services and competitors in our industry segment grows. In addition, these
      risks
      are difficult to quantify in light of the continuously evolving nature of laws
      and regulations governing the Internet. Any claim relating to proprietary
      rights, whether meritorious or not, could be time-consuming, result in costly
      litigation, cause service upgrade delays or require us to enter into royalty
      or
      licensing agreements, and we can not assure you that we will have adequate
      insurance coverage or that royalty or licensing agreements will be available
      on
      terms acceptable to us or at all. Further, we plan to offer our services and
      applications to customers worldwide including customers in foreign countries
      that may offer less protection for our intellectual property than the United
      States. Our failure to protect against misappropriation of our intellectual
      property, or claims that we are infringing the intellectual property of third
      parties could have a negative effect on our business, revenues, financial
      condition and results of operations.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Dilutive
      securities may adversely
      impact our stock price.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">As
      of
      September 30, 2007, the following securities issuable, convertible or
      exercisable into shares of our common stock were outstanding:</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">5,400,000
                shares of common stock issuable upon the possible conversion of
                outstanding 10% Series A Convertible Preferred Stock dated August
                2006 and
                October 2006;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><font style="DISPLAY: inline; COLOR: #000000;">11,887,500
                shares</font> of common
                stock issuable upon the possible conversion of outstanding 8% Series
                B
                Convertible Preferred Stock dated June
                2007;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Payment
                in kind dividends, which may be issuable in the
                future;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">warrants
                to purchase up to a total of 6,849,375 shares of our common stock
                at a
                price ranging from $0.15 to $0.35 per share;
                and</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">up
                to 10,000,000 shares of common stock issuable under our stock option
                plan.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">These
      securities represent approximately 62% of our common stock on a fully diluted
      as
      converted basis. The exercise of these warrants and the conversion of the stock,
      both of which have fixed prices, may materially adversely affect the market
      price of our common stock and will have a dilutive effect on our existing
      stockholders.<strong>&#160;</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Acquisitions
      of businesses and our failure to successfully integrate these businesses can
      disrupt our business, dilute your holdings in us and harm our financial
      condition and operating results.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      intend
      to pursue future strategic acquisitions of complementary companies, products
      or
      technologies using our available cash and stock. Such acquisitions could disrupt
      our business. In addition, your holdings in our company would be diluted if
      we
      issue equity securities in connection with any acquisition as we did with our
      acquisition in January 2007 of The Debt Reduction Group, or TDRG, when we issued
      approximately 18% of our outstanding shares of common stock. Acquisitions
      involve numerous other risks, including:</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
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        </div>
      </div>
    </div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">problems
                combining the acquired operations, technologies or
                products;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
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              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">unanticipated
                costs or liabilities;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">diversion
                of management&#8217;s attention;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">adverse
                effects on existing business relationships with suppliers and
                customers;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">risks
                associated with entering markets in which we have no or limited prior
                experience; and</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">potential
                loss of key employees, particularly those of the acquired
                organizations.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Further,
      products that we acquire from third parties often require significant
      expenditures of time and resources to upgrade and integrate with our existing
      product suite. Specifically, if we fail to integrate TDRG&#8217;s or any future
      acquired company&#8217;s applications into our product offering in a timely manner, we
      may be unable to fully realize the expected benefits of the acquisition. We
      may
      not be able to successfully integrate any business, technologies or personnel
      that we have acquired or that we might acquire in the future, and this could
      harm our financial condition and operating results.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">&#160;<strong>We
      may be exposed to potential risks relating to our internal control over
      financial reporting and our ability to have those controls attested to by our
      independent registered public accounting firm.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">As
      directed by Section 404 of the Sarbanes-Oxley Act of 2002, the Securities and
      Exchange Commission adopted rules requiring public companies to include a report
      of management on the company's internal control over financial reporting in
      their annual reports, including Form 10-KSB. In addition, the independent
      registered public accounting firm auditing a company's financial statements
      must
      also attest to and report on management's assessment of the effectiveness of
      the
      company's internal control over financial reporting as well as the operating
      effectiveness of the company's internal controls. We were not yet subject to
      these requirements. We have not yet begun evaluating our internal control
      systems in order to allow our management to report on, and our independent
      registered public accounting firm attest to, our internal controls as a required
      part of our Annual Report on Form 10-KSB beginning with our report for the
      fiscal year ending December 31, 2007 in the case of management&#8217;s report and for
      our fiscal year ending December 31, 2008 in the case of our accounting firm&#8217;s
      attestation.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">While
      we
      expect to expend significant resources over the next few months in developing
      the necessary documentation and testing procedures required by Section 404
      of
      Sarbanes-Oxley Act of 2002, there is a risk that we will not be able to comply
      with all of the requirements imposed by this rule. In the event we identify
      significant deficiencies or material weaknesses in our internal controls that
      we
      cannot remediate in a timely manner or we are unable to receive an unqualified
      attestation from our independent registered public accounting firm with respect
      to our internal controls, investors and others may lose confidence in the
      reliability of our financial statements and our stock price and ability to
      obtain equity or debt financing as needed could suffer.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">In
      addition, in the event that our independent registered public accounting firm
      is
      unable to rely on our internal controls in connection with their audit of our
      financial statements, and in the further event that they are unable to devise
      alternative procedures in order to satisfy themselves as to the material
      accuracy of our financial statements and related disclosures, it is possible
      that we would receive a qualified or an adverse audit opinion on those financial
      statements which could also adversely affect the market price of our common
      stock and our ability to secure additional financing as needed.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
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        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-8-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>We
      have not voluntarily implemented various corporate governance measures, in
      the
      absence of which, stockholders may have more limited protections against
      interested director transactions, conflicts of interest and similar
      matters.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Federal
      legislation, including the Sarbanes-Oxley Act of 2002, has resulted in the
      adoption of various corporate governance measures designed to promote the
      integrity of the corporate management and the securities markets. Some of these
      measures have been adopted in response to legal requirements. Others have been
      adopted by companies in response to the requirements of national securities
      exchanges, such as the New York Stock Exchange or The Nasdaq Stock Market,
      on
      which their securities are listed. Among the corporate governance measures
      that
      are required under the rules of national securities exchanges are those that
      address board of directors' independence, audit committee oversight, and the
      adoption of a code of ethics. We have not yet adopted any of these corporate
      governance measures and, since our securities are not yet listed on a national
      securities exchange, we are not required to do so. We have not adopted corporate
      governance measures such as an audit or other independent committees of our
      board of directors. We intend to expand our board membership to include
      additional independent directors and we may then seek to establish an audit
      and
      other committees of our board of directors. It is possible that if we were
      to
      adopt some or all of these corporate governance measures, stockholders would
      benefit from somewhat greater assurances that internal corporate decisions
      were
      being made by disinterested directors and that policies had been implemented
      to
      define responsible conduct. For example, in the absence of audit, nominating
      and
      compensation committees comprised of at least a majority of independent
      directors, decisions concerning matters such as compensation packages to our
      senior officers and recommendations for director nominees may be made by a
      majority of directors who have an interest in the outcome of the matters being
      decided. Prospective investors should bear in mind our current lack of corporate
      governance measures in formulating their investment decisions.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Government
      regulation could adversely affect our business prospects.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      do not
      know with certainty how existing laws governing issues such as property
      ownership, copyright and other intellectual property issues, taxation, illegal
      or obscene content, retransmission of media, personal privacy and data
      protection will apply to the Internet or to the distribution of multimedia
      and
      other proprietary content over the Internet. Most of these laws were adopted
      before the advent of the Internet and related technologies and therefore do
      not
      address the unique issues associated with the Internet and related technologies.
      Depending on how these laws developed and are interpreted by the judicial
      system, they could have the effect of:</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Limiting
                the growth of the Internet;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Creating
                uncertainty in the marketplace that could reduce demand for our products
                and services;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Increasing
                our cost of doing business;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Exposing
                us to significant liabilities associated with content distributed
                or
                accessed through our products or services;
                or</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: symbol, serif;">&#183;</font></div>
            </td>
            <td align="left" valign="top" width="72%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Leading
                to increased product and applications development costs, or otherwise
                harm
                our business.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Because
      of this rapidly evolving and uncertain regulatory environment, both domestically
      and internationally, we cannot predict how existing or proposed laws and
      regulations might affect our business.</font><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-9-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>FORWARD-LOOKING
      STATEMENTS</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Certain
      statements in this prospectus
      or the documents incorporated herein by reference contain or may contain
      forward-looking statements that are subject to known and unknown risks,
      uncertainties and other factors which may cause actual results, performance
      or
      achievements to be materially different from any future results, performance
      or
      achievements expressed or implied by such forward-looking statements. Whenever
      we use words such as &#8220;believe&#8221;, &#8220;expect&#8221;, &#8220;anticipate&#8221;, &#8220;intend&#8221;, &#8220;plan&#8221;,
&#8220;estimate&#8221; or similar expressions, we are making forward-looking statements.
      These forward-looking statements are based on various factors and were derived
      utilizing numerous assumptions and other factors that could cause our actual
      results to differ materially from those in the forward-looking
      statements.&#160;&#160;These factors include, but are not limited to, our
      ability to implement our strategic initiatives, economic, political and market
      conditions and fluctuations, government and industry regulation, interest rate
      risk, U.S. and global competition, and other factors.&#160;&#160;Most of these
      factors are difficult to predict accurately and are generally beyond our
      control. You should consider the areas of risk described in connection with
      any
      forward-looking statements that may be made herein. Readers are cautioned not
      to
      place undue reliance on these forward-looking statements and readers should
      carefully review this prospectus in its entirety, including the risks described
      in &#8220;Risk Factors.&#8221;&#160;&#160;Except for our ongoing obligations to disclose
      material information under the Federal securities laws, we undertake no
      obligation to release publicly any revisions to any forward-looking statements,
      to report events or to report the occurrence of unanticipated
      events.&#160;&#160;These forward-looking statements speak only as of the date of
      this prospectus, and you should not rely on these statements without also
      considering the risks and uncertainties associated with these statements and
      our
      business.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>USE
      OF PROCEEDS</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      shares which may be sold under this Prospectus will be sold for the respective
      accounts of each of the selling stockholders. Accordingly, we will not realize
      any proceeds from the sale of the shares. We will pay for all expenses of the
      registration of the shares. See "Selling Stockholders" and "Plan of
      Distribution."</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>SELLING
      STOCKHOLDERS</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      table
      below sets forth the common stock ownership of the selling stockholders as
      of
      September 30, 2007, including the number of shares of common stock issuable
      upon
      the exercise of options held by such selling stockholders.&#160;&#160;Because
      the selling stockholders may offer from time to time all or some of their shares
      under this prospectus, no assurances can be given as to the actual number of
      shares that will be sold by any selling stockholder or that will be held by
      the
      selling stockholders after completion of the sales.&#160;&#160;&#160;To our
      knowledge, none of the selling stockholders is a broker-dealer or an affiliate
      of a broker-dealer.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Other
      than as set forth in the following table, the selling stockholders have not
      held
      any position or office or had any other material relationship with us or any
      of
      our predecessors or affiliates within the past three years.&#160;&#160;Unless
      otherwise indicated, the address for each selling stockholder is c/o <font style="DISPLAY: inline; FONT-SIZE: 10pt;">Accelerize New Media, Inc.,
      12121
      Wilshire Blvd., Suite 322, Los Angeles, CA 90025</font>.</font></div>
    <div><br></div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="20%"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="bottom" width="19%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Shares
                  Beneficially Owned</strong></font></div>
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Prior
                  to the Offering (1)</strong></font></div>
              </div>
            </td>
            <td valign="top" width="19%"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td colspan="2" valign="bottom" width="24%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Shares
                  Beneficially</strong></font></div>
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Owned</strong></font></div>
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>&#160;After
                  the Offering (3)</strong></font></div>
              </div>
            </td>
          </tr>
          <tr>
            <td valign="bottom" width="20%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Name</strong></font></div>
              </div>
            </td>
            <td valign="bottom" width="19%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Number</strong></font></div>
              </div>
            </td>
            <td valign="bottom" width="19%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Total</strong></font></div>
                <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Shares
                  Offered (2)</strong></font></div>
              </div>
            </td>
            <td valign="bottom" width="12%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Number</strong></font></div>
              </div>
            </td>
            <td valign="bottom" width="12%" style="BORDER-BOTTOM: black 2px solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
                <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>Percent
                  (4)</strong></font></div>
              </div>
            </td>
          </tr>
          <tr bgcolor="#cceeff">
            <td align="left" valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Brian
                Ross (5)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">8,100,000
                (5)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">2,000,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">6,100,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">29.0%</font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Chris
                Meredith (6)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">3,250,000
                (6)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">200,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">3,050,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">14.3%</font></div>
            </td>
          </tr>
          <tr bgcolor="#cceeff">
            <td align="left" valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Daniel
                Minton (7)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">825,000
                (7)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">225,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">600,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">2.8%</font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Damon
                Stein (8)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">1,275,000
                (8)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">400,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">875,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">4.1%</font></div>
            </td>
          </tr>
          <tr bgcolor="#cceeff">
            <td align="left" valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Dan
                Goldberg (9)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">1,275,000
                (9)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">400,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">875,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">4.1%</font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Veronique
                Pineau (10)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">5,000
                (10)</font></div>
            </td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">5,000</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">0</font></div>
            </td>
            <td align="right" valign="top" width="12%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">0</font></div>
            </td>
          </tr>
          <tr bgcolor="#cceeff">
            <td align="left" valign="top" width="20%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">TOTAL</font></div>
            </td>
            <td valign="top" width="19%"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="right" valign="top" width="19%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="right"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">3,230,000</font></div>
            </td>
            <td valign="top" width="12%"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="top" width="12%"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-10-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(1)</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Includes
                all shares of common
                stock which the selling stockholders have the right to acquire upon
                the
                exercise of options granted under our Stock Option Plan, whether
                or not
                such right has yet to become exercisable or will become exercisable
                as
                noted below.</font></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(2)</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Consists
                of shares of common stock
                which the selling stockholders have the right to acquire upon the
                exercise
                of options granted under our Stock Option Plan, whether or not such
                right
                has yet to become exercisable or will become exercisable as noted
                below.</font></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(3)</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Includes
                all shares of common
                stock which the selling stockholders has or have the right to acquire
                upon
                the exercise of options granted under our Stock Option Plan, whether
                or
                not such right has yet to become exercisable or will become exercisable
                as
                noted below.&#160;&#160;Assumes that all securities offered will be sold
                and that all shares of common stock underlying options will be
                issued.&#160;&#160;Also assumes that no other shares are acquired or
                transferred by the selling
                stockholders.</font></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(4)</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Applicable
                percentage ownership is
                based on 21,290,960 shares of common stock outstanding as of September
                30,
                2007, together with securities exercisable or convertible into shares
                of
                common stock by the particular selling stockholder, whether or not
                such
                right has yet to become exercisable or will become exercisable within
                60
                days of September 30, 2007.&#160;&#160;Except where indicated by footnote
                and subject to community property laws where applicable, the persons
                named
                in the table have sole voting and investment power with respect to
                all
                shares of voting securities shown as beneficially owned by
                them.</font></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(5)</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Mr.
                Ross is our President, Chief
                Executive Officer, Chief Financial Officer, Secretary, and a Director.
                Includes 2,000,000 shares of common stock issuable upon exercise
                of
                options vesting on a quarterly basis over a period of 24 months (250,000
                options every quarter), commencing April 1,
                2007.</font></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td align="left" style="WIDTH: 36pt">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(6)</font></div>
            </td>
            <td align="left">
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Mr.
                Meredith is our Chief Technology Officer, Assistant Treasurer, Assistant
                Secretary and a Director.&#160; </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Includes
                200,000 shares of common stock issuable upon exercise of options
                vesting
                on a quarterly basisover a period of 24 months (25,000 options every
                quarter), commencing April 1, 2007.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(7)</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Mr.
                Minton is the Head of our
                Financial Portal Division. Includes 225,000 shares of common stock
                issuable upon exercise of options vesting on a quarterly basis
                </font></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">over
                a period of 24 months (28,125
                options every quarter), commencing April 1, 2007.</font></font></div>
            </td>
            <td>
              <div>&#160;</div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(8)</font></font></div>
            </td>
            <td>
              <div align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Mr.
                Stein is our General Counsel
                and the Head of our Debt Division. Includes 400,000 shares of common
                stock
                issuable upon exercise of options vesting on a quarterly basis over
                a
                period of 24 months (50,000 options every quarter), commencing April
                1,
                2007.</font></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">(9)</font></font></div>
            </td>
            <td>
              <div align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; COLOR: #000000;">Mr.
                Goldberg is our Chief
                Marketing Officer. Includes 400,000 shares of common stock issuable
                upon
                exercise of options vesting on a quarterly basis over a period of
                24
                months (50,000 options every quarter), commencing April 1,
                2007.</font></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td align="left" style="WIDTH: 36pt">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(10)</font></div>
            </td>
            <td align="left">
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Ms.
                Pineau is our Controller. Includes 5,000 shares of common stock issuable
                upon exercise of optionsvesting on a quarterly basis over a period
                of 24
                months commencing July 1, 2008 (1,667 options vest on July 1, 2008
                and
                thereafter 416 options vest each quarter until July 1,
                2010.)</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div>&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>PLAN
      OF DISTRIBUTION</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      selling stockholders and any of their pledgees, donees, transferees, assignees
      and successors-in-interest may, from time to time, sell any or all of their
      shares of common stock on any stock exchange, market or trading facility on
      which the shares are traded or in private transactions.&#160;&#160;These sales
      will initially be made at a price of $0.15 per share and following the
      commencement of trading on the OTC Bulletin Board, may be made at fixed or
      negotiated prices.&#160;&#160;The selling stockholders may use any one or more
      of the following methods when selling shares:</font></div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-11-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">ordinary
                brokerage transactions and transactions in which the broker-dealer
                solicits investors;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">block
                trades in which the broker-dealer will attempt to sell the shares
                as agent
                but may position and resell a portion of the block as principal to
                facilitate the transaction;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">purchases
                by a broker-dealer as principal and resale by the broker-dealer for
                its
                account;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">an
                exchange distribution in accordance with the rules of the applicable
                exchange;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">privately
                negotiated transactions;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">to
                cover short sales made after the date that the registration statement
                of
                which this prospectus is a part becomes
                effective;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">through
                the writing or settlement of options or other hedging transactions,
                whether through an options exchange or
                otherwise;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">broker-dealers
                may agree with the selling stockholders to sell a specified number
                of such
                shares at a stipulated price per
                share;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">a
                combination of any such methods of sale;
                and</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">any
                other method permitted pursuant to applicable
                law.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      selling stockholders may also sell shares in transactions exempt from the
      registration requirements of the Securities Act, including under Rule 144 there
      under, as described below, if available, rather than under this
      prospectus.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Broker-dealers
      engaged by the selling stockholders may arrange for other brokers-dealers to
      participate in sales. Broker-dealers may receive commissions or discounts from
      the selling stockholders (or, if any broker-dealer acts as agent for the
      purchaser of shares, from the purchaser) in amounts to be negotiated. The
      selling stockholders do not expect these commissions and discounts to exceed
      what is customary in the types of transactions involved.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      selling stockholders may from time to time pledge or grant a security interest
      in some or all of the shares owned by them and, if they default in the
      performance of their secured obligations, the pledgees or secured parties may
      offer and sell shares of common stock from time to time under this prospectus,
      or under an amendment to this prospectus under Rule 424(b)(3) or other
      applicable provision of the Securities Act of 1933 amending the list of selling
      stockholders to include the pledgee, transferee or other successors in interest
      as selling stockholders under this prospectus.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">In
      connection with the sale of our common stock or interests therein, the selling
      stockholders may enter into hedging transactions with broker-dealers or other
      financial institutions, which may in turn engage in short sales of the common
      stock in the course of hedging the positions they assume. The selling
      stockholders may also sell shares of our common stock short and deliver these
      securities to close out their short positions, or loan or pledge the common
      stock to broker-dealers that in turn may sell these securities. The selling
      stockholders may also enter into option or other transactions with
      broker-dealers or other financial institutions or the creation of one or more
      derivative securities which require the delivery to such broker-dealer or other
      financial institution of shares offered by this prospectus, which shares such
      broker-dealer or other financial institution may resell pursuant to this
      prospectus (as supplemented or amended to reflect such
      transaction).</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Upon
      the
      company being notified in writing by a selling stockholder that any material
      arrangement has been entered into with a broker-dealer for the sale of common
      stock through a block trade, special offering, exchange distribution or
      secondary distribution or a purchase by a broker or dealer, a supplement to
      this
      prospectus will be filed, if required, pursuant to Rule 424(b) under the
      Securities Act, disclosing (i) the name of each such selling stockholder and
      of
      the participating broker-dealer(s), (ii) the number of shares involved, (iii)
      the price at which such shares of common stock were sold, (iv) the commissions
      paid or discounts or concessions allowed to such broker-dealer(s), where
      applicable, (v) that such broker-dealer(s) did not conduct any investigation
      to
      verify the information set out or incorporated by reference in this prospectus,
      and (vi) other facts material to the transaction. In addition, upon the company
      being notified in writing by a selling stockholder that a donee or pledgee
      intends to sell more than 500 shares of common stock, a supplement to this
      prospectus will be filed if then required in accordance with applicable
      securities law.</font></div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-12-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      selling stockholders also may transfer the shares of common stock in other
      circumstances, in which case the transferees, pledgees or other successors
      in
      interest will be the selling beneficial owners for purposes of this
      prospectus.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      selling stockholders and any broker-dealers or agents that are involved in
      selling the shares may be deemed to be &#8216;&#8216;underwriters&#8217;&#8217; within the meaning of
      the Securities Act in connection with such sales. In such event, any commissions
      received by such broker-dealers or agents and any profit on the resale of the
      shares purchased by them may be deemed to be underwriting commissions or
      discounts under the Securities Act.&#160;&#160;Discounts, concessions,
      commissions and similar selling expenses, if any, that can be attributed to
      the
      sale of securities will be paid by the selling stockholder and/or the
      purchasers.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      company has advised each selling stockholder that it may not use shares
      registered on the registration statement of which this prospectus is a part
      to
      cover short sales of common stock made prior to the date on which the
      registration statement of which this prospectus is a part shall have become
      effective. If a selling stockholder uses this prospectus for any sale of the
      common stock, it will be subject to the prospectus delivery requirements of
      the
      Securities Act. The selling stockholders will be responsible for complying
      with
      the applicable provisions of the Securities Act and the Exchange Act of 1934,
      as
      amended, or the Exchange Act, and the rules and regulations thereunder
      promulgated, including, without limitation, Regulation M, as applicable to
      such
      selling stockholders in connection with resales of their respective shares
      under
      the registration statement of which this prospectus is a part.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      have
      agreed to bear all expenses of registration of the shares other than legal
      fees
      and expenses, if any, of counsel or other advisors of the selling
      stockholders.&#160;&#160;The selling stockholders will bear any commissions,
      discounts, concessions or other fees, if any, payable to underwriters, brokers
      or dealers in connection with any sale of their shares.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>DESCRIPTION
      OF SECURITIES</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      following description of our capital stock is a summary and is qualified in
      its
      entirety by the provisions of our Certificate of Incorporation, as amended
      from
      time to time.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Dividend
      Policy</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      have
      not declared or paid any cash dividends on our common stock since inception
      and
      we do not intend to pay any cash dividends in the foreseeable future. We intend
      to retain any future earnings for use in the operation and expansion of our
      business. Any future decision to pay dividends on common stock will be at the
      discretion of our Board of Directors and will be dependent upon our fiscal
      condition, results of operations, capital requirements and other factors our
      Board of Directors may deem relevant.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      holders of our 10% Series A Convertible Preferred Stock are entitled to receive
      a cumulative preferential dividend of 10% per annum on the stated value of
      the
      10% Series A Convertible Preferred Stock owned by them. The dividend is payable
      at our option in cash or shares of common stock valued at $0.15 per
      share.&#160;&#160;We do not intend to pay any cash dividends in the near future.
      Dividends are payable on a quarterly basis on each of September 1, December
      1,
      March 1, and June 1, commencing September 1, 2006.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">The
      holders of our 8% Series B
      Convertible Preferred Stock are entitled to receive a cumulative preferential
      dividend of 8% per annum on the stated value of the 8% Series B Convertible
      Preferred Stock owned by them. Their rights are subordinated to the rights
      of
      the holders of our 10% Series A Convertible Preferred Stock.&#160;&#160;The
      dividend is payable at our option in cash or shares of common stock valued
      at
      $0.35 per share. We do not intend to pay any cash dividends in the near future.
      Dividends are payable on a quarterly basis on each of September 1, December
      1,
      March 1, and June 1, commencing December 1, 2007.</font></font></div>
    <div><br></div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
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        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-13-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
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      <div id="HDR">
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        </div>
      </div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Capital
      Structure</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><em><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Common
      Stock</em></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      are
      authorized to issue 100,000,000 shares of common stock, par value $.001 per
      share. As of September 30, 2007 we had 21,290,960 shares of common stock issued
      and outstanding. The holders of common stock are entitled to one vote per share
      on all matters submitted to a vote of stockholders, including the election
      of
      directors. There is no right to cumulate votes in the election of directors.
      The
      holders of common stock are entitled to any dividends that may be declared
      by
      the board of directors out of funds legally available for payment of dividends
      subject to the prior rights of holders of preferred stock and any contractual
      restrictions we have against the payment of dividends on common stock. In the
      event of our liquidation or dissolution, holders of common stock are entitled
      to
      share ratably in all assets remaining after payment of liabilities and the
      liquidation preferences of any outstanding shares of preferred stock. Holders
      of
      common stock have no preemptive rights and have no right to convert their common
      stock into any other securities.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><em><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Preferred
      Stock</em></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">We
      are
      authorized to issue 2,000,000 shares of preferred stock, $.001 par
      value.&#160;&#160;As of September 30, 2007,&#160;&#160;we had 54,000 shares of
      10% Series A Convertible Preferred Stock and <font style="DISPLAY: inline; COLOR: #000000;">118,875 </font>shares of 8% Series B
      Convertible Preferred Stock issued and outstanding. In addition, our Board
      of
      Directors, without further stockholder approval, may issue preferred stock
      in
      one or more series from time to time and fix or alter the designations, relative
      rights, priorities, preferences, qualifications, limitations and restrictions
      of
      the shares of each series. The rights, preferences, limitations and restrictions
      of different series of preferred stock may differ with respect to dividend
      rates, amounts payable on liquidation, voting rights, conversion rights,
      redemption provisions, sinking fund provisions and other matters. Our Board
      of
      Directors may authorize the issuance of preferred stock, which ranks senior
      to
      our common stock for the payment of dividends and the distribution of assets
      on
      liquidation. In addition, our Board of Directors can fix limitations and
      restrictions upon the payment of dividends on our common stock to be effective
      while any shares of preferred stock are outstanding. The rights granted to
      the
      holders of any series of preferred stock could adversely affect the voting
      power
      of the holders of common stock and issuance of preferred stock may delay, defer
      or prevent a change in our control.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      issuance of preferred stock may have the effect of delaying, deferring or
      preventing a change in control of our company without further action by
      stockholders and could adversely affect the rights and powers, including voting
      rights, of the holders of common stock. In certain circumstances, the issuance
      of preferred stock could depress the market price of the common
      stock.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>LEGAL
      MATTERS</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      validity of the securities offered by this prospectus will be passed upon for
      us
      by Sullivan &amp; Worcester LLP, 1290 Avenue of the Americas, New York, NY
      10104. Members and employees of this firm own an aggregate of 156,246 shares
      of
      our common stock, 1,333 shares of our 10% Series A Convertible Preferred Stock,
      and warrants to purchase 20,000 shares of our common stock.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>INCORPORATION
      OF CERTAIN DOCUMENTS BY REFERENCE</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>The
      SEC allows us to incorporate by
      reference the information we file with it, which means that we can disclose
      important information to you by referring you to those documents.&#160;&#160;The
      documents we are incorporating by reference as of their respective dates of
      filing are:</font></div>
    <div><br></div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                Company&#8217;s prospectus dated May 9,
                2007;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                Company&#8217;s Quarterly Report on Form 10-QSB for the fiscal quarter ended
                June 30, 2007;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                description of the Company&#8217;s common stock contained in the Registration
                Statement on Form 8-A filed with the SEC on May 9, 2007;
                and</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                Company&#8217;s Current Report on Form 8-K filed with the SEC on September 7,
                2007.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">-14-</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">All
      documents subsequently filed by us with the SEC pursuant to Sections 13(a),
      13(c), 14 and 15(d) of the Exchange Act shall be deemed to be incorporated
      by
      reference in this prospectus and to be a part hereof from the date of filing
      of
      such documents.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Any
      statement contained in a document incorporated or deemed to be incorporated
      by
      reference herein shall be deemed to be modified or superseded for purposes
      of
      this prospectus to the extent that a statement herein, or in any subsequently
      filed document which also is or is deemed to be incorporated by reference,
      modifies or supersedes such statement.&#160;&#160;Any statement so modified or
      superseded shall not be deemed, except as so modified or superseded, to
      constitute a part of this prospectus.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>INDEMNIFICATION
      OF DIRECTORS AND OFFICERS</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      Certificate of Incorporation and By-laws provide that the Company is authorized
      to indemnify our directors and officers to the fullest extent permitted by
      the
      Delaware General Corporation Law , or the DGCL.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Section
      145 of the DGCL permits a corporation, under specified circumstances, to
      indemnify its directors, officers, employees or agents against expenses
      (including attorney&#8217;s fees), judgments, fines and amounts paid in settlement
      actually and reasonably incurred by them in connection with any action, suit
      or
      proceeding brought by third parties by reason of the fact that they were or
      are
      directors, officers, employees or agents of the corporation, if such directors,
      officers, employees or agents acted in good faith and in a manner they
      reasonably believed to be in or not opposed to the best interests of the
      corporation and, with respect to any criminal action or proceeding, had no
      reason to believe their conduct was unlawful. In a derivative action, i.e.,
      one
      by or in the right of the corporation, indemnification may be made only for
      expenses actually and reasonably incurred by directors, officers, employees
      or
      agents in connection with the defense or settlement of any action or suit,
      and
      only with respect to a matter as to which they shall have acted in good faith
      and in a manner they reasonably believed to be in or not opposed to the best
      interests of the corporation, except that no indemnification shall be made
      if
      such person shall have been adjudged liable to the corporation, unless and
      only
      to the extent that the court in which the action or suit was brought shall
      determine upon application that the defendant directors, officers, employees
      or
      agents are fairly and reasonably entitled to indemnity for such expenses despite
      such adjudication of liability.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Our
      Certificate of Incorporation contains a provision which eliminates, to the
      fullest extent permitted by the DGCL, director liability for monetary damages
      for breaches of the fiduciary duty of care or any other duty as a
      director.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>ADDITIONAL
      INFORMATION AVAILABLE TO YOU</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">This
      prospectus is part of a registration statement on Form S-8 that we filed with
      the SEC.&#160;&#160;Certain information in the registration statement has been
      omitted from this prospectus in accordance with the rules of the
      SEC.&#160;&#160;The Company is subject to the informational requirements of the
      Exchange Act and, accordingly, files annual, quarterly and current reports,
      proxy statements and other information with the SEC.&#160;&#160;You may read and
      copy material filed by us at the SEC&#8217;s Public Reference Room at 450 Fifth Street
      N.W., Room 1024, Washington, D.C. 20549 and at the SEC&#8217;s regional offices in
      Chicago, Illinois and New York, New York.<font style="DISPLAY: inline; FONT-FAMILY: Courier New, monospace;">&#160;</font>Copies
      of these materials can be obtained from the Public Reference Section of the
      SEC
      at prescribed rates.&#160;&#160;Please call the SEC at 800-SEC-0330 for further
      information on the Public Reference Section.&#160;&#160;You may access our
      electronic filings on the SEC&#8217;s Internet site, http://www.sec.gov, which
      contains reports, proxy and information statements and other information
      regarding issuers, including the Company, that are filed electronically with
      the
      SEC.&#160;&#160;After the completion of this registration statement, we intend
      to file an application to list our common stock on the Over-The-Counter Bulletin
      Board.</font></div>
    <div><br></div>
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        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>PART
      I</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>INFORMATION
      REQUIRED IN THE SECTION 10(a) PROSPECTUS</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      1.&#160; Plan Information.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>The
      information required by Item 1 is
      included in the documents sent or given to participants in the Accelerize New
      Media, Inc. Stock Option Plan pursuant to Rule 428(b)(1) of the Securities
      Act
      and is not required to be filed with the Securities and Exchange Commission
      (&#8220;SEC&#8221;) as part of this registration statement or as an exhibit
      hereto.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>&#160;Item
      2.&#160;&#160;Registrant Information and Employee Plan Annual
      Information.</strong></font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Participants
      in the Plan may obtain a
      copy of the Plan or the documents incorporated by reference in Item 3 of Part
      II
      below, at no cost, by writing or telephoning to Mr. Brian Ross, the Company&#8217;s
      President and Chief Executive Officer at: <font style="DISPLAY: inline; FONT-SIZE: 10pt;">Accelerize New Media, Inc.,
      12121
      Wilshire Blvd., Suite 322, Los Angeles, CA 90025</font>, Telephone: (310) 903
      4001.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      documents specified in Item 1 of Part I of this registration statement and
      the
      documents incorporated by reference in Item 3 of Part II of this registration
      statement, taken together, constitute a prospectus pursuant to Section 10(a)
      of
      the Securities Act.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
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        </div>
      </div>
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        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
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      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
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    <div>&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>PART
      II</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>INFORMATION
      REQUIRED IN THE REGISTRATION STATEMENT</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      3.&#160; Incorporation of Documents by Reference.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      following additional documents, which have been filed by the Company with the
      SEC are incorporated by reference in and made a part of this registration
      statement, as of their respective dates:</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                Company&#8217;s prospectus dated May 9,
                2007;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                Company&#8217;s Quarterly Report on Form 10-QSB for the fiscal quarter ended
                June 30, 2007;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                description of the Company&#8217;s common stock contained in the Registration
                Statement on Form 8-A filed with the SEC on May 9,
                2007;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 18pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font style="DISPLAY: inline;" face="Symbol, serif">&#183;</font></font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                Company&#8217;s Current Report on Form 8-K filed with the SEC on September 7,
                2007.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">All
      documents subsequently filed with the SEC by the Company pursuant to Sections
      13(a), 13(c), 14 and 15(d) of the Securities Exchange Act of 1934, as amended
      (the &#8220;Exchange Act&#8221;), prior to the filing of a post-effective amendment which
      indicates that all securities offered herein have been sold or which deregisters
      all securities then remaining unsold, shall be deemed to be incorporated by
      reference in this registration statement and to be a part hereof from the date
      of filing of such documents.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Any
      statement contained in a document incorporated or deemed to be incorporated
      by
      reference herein shall be deemed to be modified or superseded for purposes
      of
      this registration statement to the extent that a statement herein, or in any
      subsequently filed document which also is or is deemed to be incorporated by
      reference, modifies or supersedes such statement.&#160;&#160;Any statement so
      modified or superseded shall not be deemed, except as so modified or superseded,
      to constitute a part of this registration statement.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      4.&#160;&#160;Description of Securities.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><font id="TAB1" style="MARGIN-LEFT: 36pt;"></font>Not
      applicable.</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      5.&#160;&#160;Interests of Named Experts and Counsel.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Not
      applicable.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      6.&#160;&#160;Indemnification of Directors and Officers.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      Company&#8217;s Certificate of Incorporation and By-laws provide that the Company is
      authorized to indemnify its directors and officers to the fullest extent
      permitted by the Delaware General Corporation Law (&#8220;DGCL&#8221;).</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Section
      145 of the DGCL permits a corporation, under specified circumstances, to
      indemnify its directors, officers, employees or agents against expenses
      (including attorney's fees), judgments, fines and amounts paid in settlement
      actually and reasonably incurred by them in connection with any action, suit
      or
      proceeding brought by third parties by reason of the fact that they were or
      are
      directors, officers, employees or agents of the corporation, if such directors,
      officers, employees or agents acted in good faith and in a manner they
      reasonably believed to be in or not opposed to the best interests of the
      corporation and, with respect to any criminal action or proceeding, had no
      reason to believe their conduct was unlawful. In a derivative action, i.e.,
      one
      by or in the right of the corporation, indemnification may be made only for
      expenses actually and reasonably incurred by directors, officers, employees
      or
      agents in connection with the defense or settlement of any action or suit,
      and
      only with respect to a matter as to which they shall have acted in good faith
      and in a manner they reasonably believed to be in or not opposed to the best
      interests of the corporation, except that no indemnification shall be made
      if
      such person shall have been adjudged liable to the corporation, unless and
      only
      to the extent that the court in which the action or suit was brought shall
      determine upon application that the defendant directors, officers, employees
      or
      agents are fairly and reasonably entitled to indemnity for such expenses despite
      such adjudication of liability.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      Company&#8217;s Certificate of Incorporation contains a provision which eliminates, to
      the fullest extent permitted by the DGCL, director liability for monetary
      damages for breaches of the fiduciary duty of care or any other duty as a
      director.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      7.&#160;&#160;Exemption from Registration Claimed.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Not
      applicable.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      8.&#160;&#160;Exhibits.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
      Exhibit Index immediately preceding the exhibits is incorporated herein by
      reference.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>Item
      9.&#160;&#160;Undertakings.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt">
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td align="left" style="WIDTH: 36pt">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(a)</font></div>
            </td>
            <td align="left">
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                undersigned registrant hereby
                undertakes:</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(1)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">To
                file, during any period in which offers or sales are being made,
                a
                post-effective amendment to this registration
                statement:</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 72pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(i)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">To
                include any prospectus required by Section 10(a)(3) of the Securities
                Act
                of 1933;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 72pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(ii)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">To
                reflect in the prospectus any facts or events arising after the effective
                date of the registration statement (or the most recent post-effective
                amendment thereof) which, individually or in the aggregate, represent
                a
                fundamental change in the information set forth in this registration
                statement.&#160;&#160;Notwithstanding the foregoing, any increase or
                decrease in volume of securities offered (if the total dollar value
                of
                securities offered would not exceed that which was registered) and
                any
                deviation from the low or high end of the estimated maximum offering
                range
                may be reflected in the form of prospectus filed with the Commission
                pursuant to Rule 424(b) if, in the aggregate, the changes in volume
                and
                price represent no more than a 20 percent change in the maximum aggregate
                offering price set forth in the &#8220;Calculation of Registration Fee&#8221; table in
                the effective registration statement;
                and</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 72pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(iii)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">To
                include any material information with respect to the plan of distribution
                not previously disclosed in this registration statement or any material
                change to such information in this registration
                statement;</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 36pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><em>provided,
      however, </em>that subparagraphs (a)(1)(i) and (a)(1)(ii) do not apply if the
      information required to be included in a post-effective amendment by those
      paragraphs is contained in the periodic reports filed with or furnished to
      the
      Commission by the Company pursuant to Section 13 or Section 15(d) of the
      Securities Exchange Act of 1934 that are incorporated by reference in this
      registration statement.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(2)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">That,
                for the purpose of determining any liability under the Securities
                Act of
                1933, each such post-effective amendment shall be deemed to be a
                new
                registration statement relating to the securities offered therein,
                and the
                offering of such securities at that time shall be deemed to be the
                initial
                <em>bona fide</em> offering
                thereof.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div>&#160;</div>
            </td>
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(3)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">To
                remove from registration by means of a post-effective amendment any
                of the
                securities being registered which remain unsold at the termination
                of the
                offering.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
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      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
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    </div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(b)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">The
                undersigned registrant hereby further undertakes that, for the purposes
                of
                determining any liability under the Securities Act of 1933, each
                filing of
                the Company&#8217;s annual report pursuant to Section 13(a) or Section 15(d) of
                the Securities Exchange Act of 1934 (and, where applicable, each
                filing of
                an employee benefit plan&#8217;s annual report pursuant to Section 15(d) of the
                Securities Exchange Act of 1934) that is incorporated by reference
                in this
                registration statement shall be deemed to be a new registration statement
                relating to the securities offered therein, and the offering of such
                securities at that time shall be deemed to be the initial <em>bona
                fide</em> offering thereof.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%">

          <tr valign="top" style="LINE-HEIGHT: 1.25;">
            <td style="WIDTH: 36pt">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">(c)</font></div>
            </td>
            <td>
              <div align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Insofar
                as indemnification for liabilities arising under the Securities Act
                of
                1933 may be permitted to directors, officers and controlling persons
                of
                the registrant pursuant to the foregoing provisions, or otherwise,
                the
                registrant has been advised that in the opinion of the Commission
                such
                indemnification is against public policy as expressed in the Securities
                Act of 1933 and is, therefore, unenforceable.&#160;&#160;In the event that
                a claim for indemnification against such liabilities (other than
                the
                payment by the registrant of expenses incurred or paid by a director,
                officer or controlling person of the registrant in the successful
                defense
                of any action, suit or proceeding) is asserted by such director,
                officer
                or controlling person in connection with the securities being registered,
                the registrant will, unless in the opinion of its counsel the matter
                has
                been settled by controlling precedent, submit to a court of appropriate
                jurisdiction the question whether such indemnification by it is against
                public policy as expressed in the Securities Act of 1933 and will
                be
                governed by the final adjudication of such
                issue.</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>SIGNATURES</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Pursuant
      to the requirements of the Securities Act of 1933, the Company certifies that
      it
      has reasonable grounds to believe that it meets all of the requirements for
      filing on Form S-8 and has duly caused this Registration Statement on Form
      S-8
      to be signed on its behalf by the undersigned, thereunto duly authorized, in
      Whitefish Montana, on the 17th day of October, 2007.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">
      <table border="0" cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
            <td colspan="2" valign="top" width="38%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;"><strong>ACCELERIZE
              NEW MEDIA,
              INC.</strong></font></td>
            <td valign="top" width="12%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
            <td valign="top" width="3%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
            <td valign="top" width="35%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
            <td valign="top" width="12%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
          </tr>
          <tr>
            <td align="left" valign="top" width="50%" style="BORDER-BOTTOM: #ffffff solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </td>
            <td valign="top" width="3%" style="BORDER-BOTTOM: #ffffff solid">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">By:
                </font></div>
            </td>
            <td align="left" nowrap valign="top" width="35%" style="BORDER-BOTTOM: black 2px solid"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">/s/&#160;Brian
              Ross</font></td>
            <td valign="top" width="12%" style="BORDER-BOTTOM: #ffffff solid"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
            <td valign="top" width="3%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
            <td align="left" nowrap valign="bottom" width="35%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Name:&#160;&#160;Brian
                Ross</font></div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Title:&#160;&#160;&#160;&#160;President
                and Chief Executive Officer</font></div>
            </td>
            <td valign="top" width="12%"><font style="DISPLAY: inline; FONT-SIZE: 10pt;">&#160;</font></td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 288pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">POWER
      OF
      ATTORNEY AND SIGNATURES</font></div>
    <div><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;">Pursuant
      to the requirements of the Securities Act, this registration statement on Form
      S-8 has been signed below by the following persons in the capacities and on
      the
      dates indicated.&#160;&#160;We, the undersigned officers and directors of the
      Company, hereby severally constitute and appoint Brian Ross, our true and lawful
      attorney to sign for us and in our names in the capacities indicated below
      any
      and all amendments or supplements, whether pre-effective or post-effective,
      to
      this registration statement on Form S-8 and to file the same, with exhibits
      thereto and other documents in connection therewith, with the SEC, granting
      unto
      said attorney full power and authority to do and perform each and every act
      and
      thing requisite or necessary to be done in and about the premises, as fully
      to
      all intents and purposes as he might or could do in person, hereby ratifying
      and
      confirming our signatures to said amendments to this registration statement
      signed by our said attorney and all else that said attorney may lawfully do
      and
      cause to be done by virtue hereof.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="27%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong><u>Signature</u></strong></font></div>
            </td>
            <td valign="top" width="30%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong><u>Title</u></strong></font></div>
            </td>
            <td valign="top" width="23%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong><u>Date</u></strong></font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="27%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="left" valign="top" width="30%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="top" width="23%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td align="left" valign="top" width="27%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">/s/
                <font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Brian
                Ross </font></font>
                <hr style="COLOR: black" align="left" noshade size="1" width="80%">
              </div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Brian
                Ross</font></div>
            </td>
            <td align="left" valign="top" width="30%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">President,
                Chief Executive Officer, Chief Financial Officer, Secretary and Director
                </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">(principal&#160;&#160;executive,
                financial and accounting officer)</font></div>
            </td>
            <td valign="top" width="23%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman; BACKGROUND-COLOR: #ffffff;">October
                17, 2007</font></div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="27%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="left" valign="top" width="30%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td valign="top" width="23%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td align="left" valign="top" width="27%">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">/s/
                Chris Meredith </font>
                <hr style="COLOR: black" align="left" noshade size="1" width="80%">
              </div>
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Chris
                Meredith</font></div>
            </td>
            <td align="left" valign="top" width="30%">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Director</font></div>
            </td>
            <td valign="top" width="23%">
              <div>&#160;</div>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman; BACKGROUND-COLOR: #ffffff;">October
                17, 2007</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div>&#160;</div>
    <div><br>&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman;"><strong>EXHIBIT
      INDEX</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div>
      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>EXHIBIT
                NO.</strong></font></div>
            </td>
            <td align="left" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;"><strong>DESCRIPTION</strong></font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">4.1</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Certificate
                of Incorporation dated November 22, 2005, as amended by Certificate
                of
                Designation dated August 8, 2006 (incorporated by reference to the
                Company&#8217;s Registration Statement on Form SB-2 (file no.
                333-139586)&#160;&#160;filed on December 22, 2006.)</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">4.2</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Form
                of Common Stock Certificate (incorporated by reference to the Company&#8217;s
                Registration Statement on Form SB-2 (file no. 333-139586)&#160;&#160;filed
                on December 22, 2006.)</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">4.3</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Certificate
                of Designation of 8% Series B Convertible Preferred Stock (incorporated
                by
                reference to Exhibit 10.1 to the Company&#8217;s Current Report on Form 10-QSB
                for the quarter ended June 30, 2007.)</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">4.4</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">By-laws
                of the Company (incorporated by reference to the Company&#8217;s Registration
                Statement on Form SB-2 (file no. 333-139586) filed on December 22,
                2006.)</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">5.1</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Opinion
                of Sullivan &amp; Worcester LLP.*</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">23.1</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Consent
                of Sullivan &amp; Worcester LLP (contained in the opinion of Sullivan
                &amp; Worcester LLP filed herewith as Exhibit 5.1.)</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="left" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">23.2</font></div>
            </td>
            <td align="left" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Consent
                of Sherb &amp; Co., LLP.*</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">24.1</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Powers
                of Attorney (included in the signature page to this registration
                statement.)</font></div>
            </td>
          </tr>
          <tr>
            <td valign="top" width="15%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
            <td align="justify" valign="top" width="67%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">&#160;</font></td>
          </tr>
          <tr>
            <td valign="top" width="15%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">99.1</font></div>
            </td>
            <td align="justify" valign="top" width="67%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: times new roman;">Accelerize
                New Media, Inc. Stock Option Plan (incorporated by reference to the
                Company&#8217;s Registration Statement on Form SB-2 (file no. 333-139586) filed
                on December 22, 2006.)</font></div>
            </td>
          </tr>

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      filed
      herewith</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
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anm_s8-101607.htm
Registration
        No.  333-
UNITED
      STATES
SECURITIES
      AND EXCHANGE COMMISSION
WASHINGTON,
      D.C. 20549
FORM
      S-8
REGISTRATION
      STATEMENT
UNDER
THE
      SECURITIES ACT OF 1933
ACCELERIZE
      NEW MEDIA, INC.
(Exact
      name of registrant as specified in its charter)
Delaware
(State
                or other jurisdiction of
incorporation
                or organization)
20-3858769
(I.R.S.
                Employer Identification No.)
12121
      WILSHIRE BLVD.
SUITE
      322
LOS
      ANGELES, CALIFORNIA 90025
(310)
      903 4001
(Address
      of Principal Executive Offices)
ACCELERIZE
      NEW MEDIA, INC. STOCK OPTION PLAN
(Full
      title of the plan)
MR.
                BRIAN ROSS
ACCELERIZE
                NEW MEDIA, INC.
12121
                WILSHIRE BLVD.
SUITE
                322
LOS
                ANGELES, CALIFORNIA 90025
(310)
                903 4001
(Name,
      Address and Telephone Number of Agent For Service)
COPIES
      TO:
J.
      TRUMAN BIDWELL, JR.
SULLIVAN
      & WORCESTER LLP
1290
      AVENUE OF THE AMERICAS
NEW
      YORK, NY 10104
Telephone:
      (212) 660-3032
Telecopier:
      (212) 660-3031
CALCULATION
      OF REGISTRATION FEE
Title
                of Securities to
be
                Registered
Amount
                to be
registered
                (1)
Proposed
                maximum
offering
                price
per
                share
Proposed
                maximum
aggregate
                offering
price
Amount
                of
registration
                fee
Common
                Stock, $.001 par value per share
7,212,500
                (2)
$0.15(3)
$1,081,875
                (3)
$33.22
Common
                Stock, $.001 par value per share
70,000
                (2)
$0.35(4)
$24,500
                (4)
$0.76
Common
                Stock, $.001 par value per share
2,717,500
$0.35(5)
$951,125
                (5)
$29.20
Total
10,000,000
--
$2,057,500
$63.18
(1)
In
                accordance with Rule 416 under the Securities Act of 1933, as amended
                (the "Securities Act"), this registration statement shall be deemed to
                cover any additional securities that may from time to time be offered
                or
                issued to prevent dilution resulting from stock splits, stock dividends
                or
                similar transactions.
(2)
Represents
                shares reserved for issuance upon the exercise of stock options that
                were
                granted under the Accelerize New Media, Inc. Stock Option
                Plan.
(3)
Such
                shares are issuable upon exercise of outstanding options with a fixed
                exercise price of $0.15 per share. Pursuant to Rule 457(h) under
                the
                Securities Act, the aggregate offering price and the fee have been
                computed upon the basis of the price at which the options may be
                exercised.
(4)
Such
                shares are issuable upon exercise of outstanding options with a fixed
                exercise price of $0.35 per share. Pursuant to Rule 457(h) under
                the
                Securities Act, the aggregate offering price and the fee have been
                computed upon the basis of the price at which the options may be
                exercised.
(5)
With
                respect to the 2,717,500 shares remaining available for issuance
                under the
                Accelerize New Media, Inc. Stock Option Plan, pursuant to Rule 457(h)
                under the Securities Act, the proposed maximum offering price per
                share,
                the aggregate offering price and the fee have been computed upon
                the basis
                of the book value of the common shares as of September 30,
                2007.
EXPLANATORY
      NOTE
This
      Registration Statement contains
      two parts. The first part contains a "Reoffer Prospectus" prepared in accordance
      with the requirements of General Instruction C to Form S-8 and Part I of Form
      S-3. The Reoffer Prospectus permits the resale of up to 3,230,000 shares
      referred to above that constitute "restricted securities" or "control
      securities," within the meaning of Form S-8, by certain of the Company's
      stockholders, as more fully set forth therein. The second part contains
      information required to be set forth in the registration statement pursuant
      to
      Part II of Form S-8.
Pursuant
      to the Note to Part I of
      Form S-8, the plan information specified by Part I of Form S-8 is not
      required to be filed with the Securities and Exchange Commission, or the
      Commission. Such documents are not being filed with the Commission but
      constitute (along with the documents incorporated by reference into this
      Registration Statement pursuant to Item 3 of Part II hereof) a prospectus that
      meets the requirements of Section 10(a) of the Securities Act.
We
      will provide, without charge, to
      each person to whom a copy of the Section 10(a) prospectus is delivered, upon
      written or oral request, a copy of any or all of the documents incorporated
      by
      reference in Item 3 of Part II of this Registration Statement (which documents
      are incorporated by reference in the Section 10(a)) and a copy of any other
      document required to be delivered to employees pursuant to Rule 428(b). If
      you
      would like a copy of any of this information, please submit your request to
      Accelerize New Media, Inc., 12121 Wilshire Blvd., Suite 322, Los Angeles, CA
      90025, Attn: Mr. Brian Ross.
REOFFER
      PROSPECTUS
ACCELERIZE
      NEW MEDIA, INC.
UP
      TO
3,230,000
S
HARES
      OF COMMON STOCK
This
      prospectus relates to the sale of up to
3,230,000
shares of common stock
      $.001 par value per share of Accelerize New Media, Inc. that will be issued
      by
      us to the individuals named in this prospectus under the heading "SELLING
      STOCKHOLDERS" upon the exercise of options granted to such selling stockholders
      under the Accelerize New Media, Inc. Stock Option Plan, or the Stock Option
      Plan.  The selling stockholders may sell the
3,230,000
shares of common stock
      offered under this prospectus in the open market at prevailing market prices
      or
      in private transactions at negotiated prices.  They may sell the
      shares directly or indirectly through underwriters, brokers or
      dealers.  The selling stockholders and any underwriters, brokers or
      dealers who may participate in a sale of the shares may be deemed to be
      statutory underwriters within the meaning of the Securities Act of 1933, as
      amended, or the Securities Act, and the commissions paid or discounts or
      concessions allowed to any such underwriter, broker or dealer by any person
      may
      be deemed to be underwriting discounts or commissions under the Securities
      Act.  All discounts, commissions or fees incurred in connection with
      the sale of the shares, except the expenses of registering the shares and
      preparing and filing this prospectus with the Securities and Exchange
      Commission, or the SEC, will be paid by the selling stockholders or by the
      purchasers of the shares.  We will pay the expenses of registering the
      shares and preparing and filing this prospectus with the SEC.  For
      additional information on the methods of sale, you should refer to the section
      entitled "PLAN OF DISTRIBUTION."  We will not receive any of the
      proceeds from the sale of the shares by the selling stockholders.
The
      shares of common stock are being offered for sale by the selling stockholders
      at
      an initial price of $0.15 per share. There are no minimum purchase requirements.
      Our common stock is not yet publicly traded. We have filed an application on
      Form 211 for the public trading of our common stock on the Over-The-Counter
      Bulletin Board or OTC.BB, and we expect that trading in our stock on the OTC.BB
      will commence shortly after the application is approved. Once our common stock
      is traded on the OTC.BB, the selling shareholders may sell the shares at fixed
      or negotiated prices, which may fluctuate based on the demand for the
      shares.
Investing
      in our common stock involves a high degree of risk. See "Risk Factors" beginning
      on page 5 of this prospectus to read about the risks of investing in our common
      stock.
Neither
      the Securities and Exchange Commission nor any state securities commission
      has
      approved or disapproved of these securities or determined if this prospectus
      is
      truthful or complete.  Any representation to the contrary is a
      criminal offense.
The
      date
      of this Prospectus is October 18, 2007.
-1-
TABLE
      OF CONTENTS
Page
Accelerize
                  New Media, Inc.
3
Risk
                  Factors
4
Forward-Looking
                  Statements
10
Use
                  of Proceeds
10
Selling
                  Stockholders
10
Plan
                  of Distribution
11
Description
                  of Securities
13
Legal
                  Matters
14
Incorporation
                  of Certain Documents by Reference
14
Indemnification
                  of Directors and Officers
15
Additional
                  Information Available to You
15
-2-
ACCELERIZE
      NEW MEDIA, INC.
We
      offer
      a comprehensive online media solution for clients to reach their target audience
      on the internet. We provide lead generation and customer acquisition solutions
      via our network of financial, news and social networking portals, and also
      through real simple syndication, or RSS feeds, blogs, targeted e-mail, banners,
      search engine optimization, purchase of key words and sale of map
      software.  We also provide debt settlement referrals. We also intend
      to provide our content to other companies in a variety of formats including
      re-branded portals, investor relations pages, and RSS feeds.
We
      primarily make money from the following three lines of business: (i) online
      advertising - this is our most important line of business. We charge vendors
      to
      place advertisements that are accessed through our content network. When users
      take specified actions as a result of clicking through these ads, we receive
      a
      fee. We also receive a fee on a cost-per-mille, or CPM basis; (ii) debt
      settlement referrals - we believe that this line of business will become an
      important source of revenue for us. We receive a fee for providing sales and
      marketing support in connection with debt settlement solutions offered by debt
      settlement agencies to consumers in the United States; and (iii) sales of map
      software through our website www.Accelerize.com. The revenue we generate from
      this line of business and its importance to our overall operation is
      minimal.
Accelerize
      New Media, Inc. owns and operates a large network of consumer-based portals,
      microsites and landing pages with an extensive portfolio of domains to drive
      high-end, highly relevant leads to our advertisers. Our web properties are
      the
      primary source for our lead generation and social networking traffic. The
      websites are designed to connect and/or "point" to each other with the goal of
      keeping the user within our network. The longer the user stays within the
      network, the more valuable that user becomes to potential advertisers. Some
      of
      our most important portals and blogs are: www.secfilings.com,
      www.executivedisclosure.com, www.secinvestor.com, and
      www.executiveinvestigator.com.
Except
      the contents of www.secinvestor.com, and www.executiveinvestigator.com, which
      are based on publicly available information but are authored by our employees,
      all of the content in our networks is obtained from publicly available
      information that we gather, or provided to us by contractual
      partners.
We
      were
      incorporated on November 22, 2005 under the laws of the State of Delaware.
      Prior
      to our incorporation we operated as a sole proprietorship owned by one of the
      members of our current management team, which was doing business as Accelerize
      New Media, and sold two products, EDGAR Index and MapGui.
Our
      principal executive offices are
      located at:
Accelerize New Media, Inc., 12121 Wilshire Blvd., Suite 322,
      Los Angeles, CA 90025.
Our
      telephone number at this location is (310) 903 4001. Our corporate website
      is
      www.accelerizenewmedia.com.  The information which appears on our web
      site is not part of this prospectus.
When
      used
      in this prospectus, the terms "Accelerize", "the company", "we", "our", and "us"
refers to Accelerize New Media, Inc., a Delaware corporation.
NO
      PERSON
      HAS BEEN AUTHORIZED IN CONNECTION WITH ANY OFFERING MADE HEREBY TO GIVE ANY
      INFORMATION OR TO MAKE ANY REPRESENTATION NOT CONTAINED IN THIS PROSPECTUS,
      AND,
      IF GIVEN OR MADE, SUCH INFORMATION OR REPRESENTATION MUST NOT BE RELIED UPON
      AS
      HAVING BEEN AUTHORIZED BY US OR ANY SELLING STOCKHOLDER.  THIS
      PROSPECTUS DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER
      TO
      BUY ANY SECURITY OTHER THEN THE SHARES OFFERED BY THIS PROSPECTUS, NOR DOES
      IT
      CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY SHARES
      OF
      COMMON STOCK OFFERED HEREBY TO ANY PERSON IN ANY JURISDICTION WHERE IT IS
      UNLAWFUL TO MAKE SUCH OFFER OR SOLICITATION.  NEITHER THE DELIVERY OF
      THIS PROSPECTUS NOR ANY SALE HEREUNDER SHALL, UNDER ANY CIRCUMSTANCES, CREATE
      ANY IMPLICATION THAT INFORMATION CONTAINED HEREIN IS CORRECT AS OF ANY TIME
      SUBSEQUENT TO THE DATE HEREOF.
-3-
RISK
      FACTORS
An
      investment in our shares involves a
      high degree of risk. Before making an investment decision, you should carefully
      consider all of the risks described in this prospectus. Each of the following
      risks could materially adversely affect our business, financial condition and
      results of operations, which could cause the price of our shares to decline
      significantly and you may lose all or a part of your investment. Prospective
      investors should fully understand and evaluate these risks before making an
      investment decision. Our forward-looking statements in this prospectus are
      subject to the following risks and uncertainties. Our actual results could
      differ materially from those anticipated by our forward-looking statements as a
      result of the risk factors below. See "Forward-Looking
      Statements."
We
      have a limited operating history
      and, therefore, predicting our future performance is
      difficult.
We
      were incorporated in November 2005.
      Our limited operating history makes it difficult to evaluate our business and
      prospects. We have encountered, and expect to continue to encounter, many of
      the
      difficulties and uncertainties often faced by early stage companies. You should
      consider our business and prospects in light of the risks, uncertainties and
      difficulties frequently encountered by early stage companies, including limited
      capital, delays in product development, marketing and sales obstacles and
      delays, inability to gain customer acceptance of our products and services,
      inability to attract and retain high-quality and talented executives and other
      personnel and significant competition. We cannot be certain that we will
      successfully address these risks. If we are unable to address these risks,
      our
      business may not grow, our stock price may suffer and/or we may be unable to
      stay in business.
We
      have a history of losses, and we
      expect to continue to operate at a loss and to have negative cash flow from
      operations for the foreseeable future.
We
      have a history of continuing losses
      and negative cash flow from operations. At June 30, 2007, we had cumulative
      net
      losses of approximately $616,000. Our operations have been financed primarily
      through proceeds from the issuance of equity and borrowings under promissory
      notes. On June 30, 2007, we had approximately $287,000 in cash. We expect that
      our expenses will increase substantially as we continue to develop and market
      our products and services. In addition, we expect that as a public company
      our
      general and administrative expenses will increase significantly. As a result,
      we
      expect to continue to incur losses for the foreseeable future.
Because
      we expect to continue to incur net losses, we may not be able to implement
      our
      business strategy and the price of our stock may decline
.
While
      we
      are hopeful of becoming profitable by the end of 2008, there is no assurance
      that this objective can be attained. Accordingly, our ability to operate our
      business and implement our business strategy may be hampered by negative cash
      flows in the future, and the value of our stock may decline as a result. Our
      capital requirements may vary materially from those currently planned if, for
      example, we incur unforeseen capital expenditures, unforeseen operating expenses
      or make investments to maintain our competitive position. If this is the case,
      we may have to delay or abandon some or all of our development plans or
      otherwise forego market opportunities. We will need to generate significant
      additional revenues to be profitable in the future and we may not generate
      sufficient revenues to be profitable on either a quarterly or annual basis
      in
      the future.
Our
      quarterly financial results will fluctuate, making it difficult to forecast
      our
      results of operation.
We
      expect
      our revenues and operating results may vary significantly from quarter to
      quarter due to a number of factors, many of which are beyond our control,
      including:
·
Variability
                in demand and usage for our products and
                services;
·
Market
                acceptance of new and existing services offered by us, our competitors
                and
                potential competitors; and
·
Governmental
                regulations affecting the use of the Internet, including regulations
                concerning intellectual property rights and security
                features.
-4-
Our
      limited operating history and unproven business model further contribute to
      the
      difficulty of making meaningful quarterly comparisons. Our current and future
      levels of expenditures are based primarily on our growth plans and estimates
      of
      expected future revenues. If our operating results fall below the expectation
      of
      investors, our stock price will likely decline significantly.
We
      face intense competition from other
      providers of business and financial information.
We
      compete with many providers of
      business and financial information, including other Internet companies, for
      consumers' and advertisers' attention and spending. Our primary competitors
      are
      Edgar Online, Inc. and The Street.com, Inc., both of which provide services
      similar to ours and each of which has a well-established market presence. These
      and other competitors have substantially greater capital, longer operating
      histories, greater brand recognition, larger customer bases and significantly
      greater financial, technical and marketing resources than we do. These
      competitors may also engage in more extensive development of their technologies,
      adopt more comprehensive marketing and advertising campaigns than we can. Our
      competitors may develop products and service offerings that we do not offer
      or
      that are more sophisticated or more cost effective than our own. For these
      and
      other reasons, our competitors' products and services may achieve greater
      acceptance in the marketplace than our own, limiting our ability to gain market
      share and customer loyalty and to generate sufficient revenues to achieve a
      profitable level of operations. Our failure to adequately address any of the
      above factors could harm our business and operating results.
In
      addition, as the barriers to entry in our market segment are not substantial,
      an
      unlimited number of new competitors could emerge, thereby making our goal of
      establishing a market presence even more difficult. Because our management
      expects competition in our market segment to continue to intensify, there can
      be
      no assurances we will ever establish a competitive position in our market
      segment.
We
      may not be successful in increasing our brand awareness.
Our
      future success will depend, in part, on our ability to increase brand awareness
      of our websites. In order to build brand awareness, we must succeed in our
      marketing efforts, provide high quality services and increase traffic to our
      websites. There is no assurance that we will be able to achieve these
      goals.
We
      may not be successful in improving our existing products or in developing new
      products.
We
      have
      not yet completed development and testing of certain proposed new products
      and
      proposed enhancements to our systems, some of which are still in the planning
      stage or in relatively early stages of development. Our success will depend
      in
      part upon our ability to timely introduce new products into the marketplace.
      We
      must commit considerable time, effort and resources to complete development
      of
      our proposed products, service tools and product enhancements. Our product
      development efforts are subject to all of the risks inherent in the development
      of new products and technology, including unanticipated delays, expenses and
      difficulties, as well as the possible insufficiency of funding to complete
      development.
Our
      product development efforts may not be successfully completed. In addition,
      proposed products may not satisfactorily perform the functions for which they
      are designed, they may not meet applicable price or performance objectives
      and
      unanticipated technical or other problems may occur which result in increased
      costs or material delays in development. Despite testing by Accelerize and
      potential end users, problems may be found in new products, tools and services
      after the commencement of commercial delivery, resulting in loss of, or delay
      in, market acceptance and other potential damages.
-5-
We
      may not be successful in developing new and enhanced services and features
      for
      our websites.
Our
      market is characterized by rapidly changing technologies, evolving industry
      standards, frequent new product and service introductions and changing customer
      demands. To be successful, we must adapt to the rapidly changing market by
      continually enhancing our existing services and adding new services to address
      customers' changing demands. We could incur substantial costs if we need to
      modify our services or infrastructure to adapt to these changes. Our business
      could be adversely affected if we were to incur significant costs without
      generating related revenues or if we cannot adapt rapidly to these changes.
      Our
      business could also be adversely affected if we experience difficulties in
      introducing new or enhanced services or if these services are not favorably
      received by users. We may experience technical or other difficulties that could
      delay or prevent us from introducing new or enhanced services.
Our
      operations depend on third parties and our systems are susceptible to delays,
      failures and errors, which could adversely impact our operations and financial
      results.
Our
      operations depend on receipt of timely feeds from our content providers, and
      any
      failure or delay in the transmission or receipt of such feeds could disrupt
      our
      operations. We also depend on Web browsers, ISPs and online service providers
      to
      provide access over the Internet to our product and service offerings. Many
      of
      these providers have experienced significant outages or interruptions in the
      past, and could experience outages, delays and other difficulties due to system
      failures unrelated to our systems. These types of interruptions could continue
      or increase in the future.
Our
      digital distribution activities are managed by sophisticated software and
      computer systems. We must continually develop and update these systems over
      time
      as our business and business needs grow and change, and these systems may not
      adequately reflect the current needs of our business. We may encounter delays
      in
      developing these systems, and the systems may contain undetected errors that
      could cause system failures. Any system error or failure that causes
      interruption in availability of products or content or an increase in response
      time could result in a loss of potential or existing business services
      customers, users, advertisers or content providers. If we suffer sustained
      or
      repeated interruptions, our products, services and Web sites could be less
      attractive to such entities or individuals and our business could be
      harmed.
Our
      servers are hosted in San Antonio,
      Texas.  Rackspace Managed Hosting, of Dallas Texas, handles the failover
      process we have put in place. We intend to notify Rackspace immediately of
      any outage and upon such notice they are supposed to immediately implement
      our
      failover strategy. We may not have adequate business interruption insurance
      to
      compensate us for losses that may occur from a system outage. Despite our
      efforts, our network infrastructure and systems could be subject to service
      interruptions or damage and any resulting interruption of services could harm
      our business, operating results and reputation.
Our
      future performance and success
      depend on our ability to retain our key personnel.
Our
      future performance and success is
      heavily dependent upon the continued active participation of our current senior
      management team, including, our President and Chief Executive Officer, Brian
      Ross, and our Chief Technology Officer, Chris Meredith, our General Counsel
      Damon Stein and our Chief Marketing Officer Dan Goldberg. The loss of any of
      their services could have a material adverse effect on our business development
      and our ability to execute our growth strategy, resulting in loss of sales
      and a
      slower rate of growth. We do not maintain any "key person" life insurance for
      any of our employees. We have written employment agreements with all of our
      executive employees.
We
      may be subject to infringement claims on proprietary rights of third parties
      for
      software and other content that we distribute or make available to our
      customers.
We
      may be
      liable or alleged to be liable to third parties for software and other content
      that we distribute or make available to our customers:
-6-
·
If
                the content or the performance of our services violates third party
                copyright, trademark, or other intellectual property rights;
                or
·
If
                our customers violate the intellectual property rights of others
                by
                providing content through our
                services.
Any
      alleged liability could harm our business by damaging our reputation, requiring
      us to incur legal expenses in defense, exposing us to awards of damages and
      costs including treble damages for willful infringement and diverting
      management's attention which could have an adverse effect on our business,
      results of operations and financial condition.
We
      cannot
      assure you that third parties will not claim infringement by us with respect
      to
      past, current, or future technologies. We expect that participants in our
      markets will be increasingly subject to infringement claims as the number of
      services and competitors in our industry segment grows. In addition, these
      risks
      are difficult to quantify in light of the continuously evolving nature of laws
      and regulations governing the Internet. Any claim relating to proprietary
      rights, whether meritorious or not, could be time-consuming, result in costly
      litigation, cause service upgrade delays or require us to enter into royalty
      or
      licensing agreements, and we can not assure you that we will have adequate
      insurance coverage or that royalty or licensing agreements will be available
      on
      terms acceptable to us or at all. Further, we plan to offer our services and
      applications to customers worldwide including customers in foreign countries
      that may offer less protection for our intellectual property than the United
      States. Our failure to protect against misappropriation of our intellectual
      property, or claims that we are infringing the intellectual property of third
      parties could have a negative effect on our business, revenues, financial
      condition and results of operations.
Dilutive
      securities may adversely
      impact our stock price.
As
      of
      September 30, 2007, the following securities issuable, convertible or
      exercisable into shares of our common stock were outstanding:
·
5,400,000
                shares of common stock issuable upon the possible conversion of
                outstanding 10% Series A Convertible Preferred Stock dated August
                2006 and
                October 2006;
·
11,887,500
                shares
of common
                stock issuable upon the possible conversion of outstanding 8% Series
                B
                Convertible Preferred Stock dated June
                2007;
·
Payment
                in kind dividends, which may be issuable in the
                future;
·
warrants
                to purchase up to a total of 6,849,375 shares of our common stock
                at a
                price ranging from $0.15 to $0.35 per share;
                and
·
up
                to 10,000,000 shares of common stock issuable under our stock option
                plan.
These
      securities represent approximately 62% of our common stock on a fully diluted
      as
      converted basis. The exercise of these warrants and the conversion of the stock,
      both of which have fixed prices, may materially adversely affect the market
      price of our common stock and will have a dilutive effect on our existing
      stockholders.
Acquisitions
      of businesses and our failure to successfully integrate these businesses can
      disrupt our business, dilute your holdings in us and harm our financial
      condition and operating results.
We
      intend
      to pursue future strategic acquisitions of complementary companies, products
      or
      technologies using our available cash and stock. Such acquisitions could disrupt
      our business. In addition, your holdings in our company would be diluted if
      we
      issue equity securities in connection with any acquisition as we did with our
      acquisition in January 2007 of The Debt Reduction Group, or TDRG, when we issued
      approximately 18% of our outstanding shares of common stock. Acquisitions
      involve numerous other risks, including:
-7-
·
problems
                combining the acquired operations, technologies or
                products;
·
unanticipated
                costs or liabilities;
·
diversion
                of management's attention;
·
adverse
                effects on existing business relationships with suppliers and
                customers;
·
risks
                associated with entering markets in which we have no or limited prior
                experience; and
·
potential
                loss of key employees, particularly those of the acquired
                organizations.
Further,
      products that we acquire from third parties often require significant
      expenditures of time and resources to upgrade and integrate with our existing
      product suite. Specifically, if we fail to integrate TDRG's or any future
      acquired company's applications into our product offering in a timely manner, we
      may be unable to fully realize the expected benefits of the acquisition. We
      may
      not be able to successfully integrate any business, technologies or personnel
      that we have acquired or that we might acquire in the future, and this could
      harm our financial condition and operating results.
We
      may be exposed to potential risks relating to our internal control over
      financial reporting and our ability to have those controls attested to by our
      independent registered public accounting firm.
As
      directed by Section 404 of the Sarbanes-Oxley Act of 2002, the Securities and
      Exchange Commission adopted rules requiring public companies to include a report
      of management on the company's internal control over financial reporting in
      their annual reports, including Form 10-KSB. In addition, the independent
      registered public accounting firm auditing a company's financial statements
      must
      also attest to and report on management's assessment of the effectiveness of
      the
      company's internal control over financial reporting as well as the operating
      effectiveness of the company's internal controls. We were not yet subject to
      these requirements. We have not yet begun evaluating our internal control
      systems in order to allow our management to report on, and our independent
      registered public accounting firm attest to, our internal controls as a required
      part of our Annual Report on Form 10-KSB beginning with our report for the
      fiscal year ending December 31, 2007 in the case of management's report and for
      our fiscal year ending December 31, 2008 in the case of our accounting firm's
      attestation.
While
      we
      expect to expend significant resources over the next few months in developing
      the necessary documentation and testing procedures required by Section 404
      of
      Sarbanes-Oxley Act of 2002, there is a risk that we will not be able to comply
      with all of the requirements imposed by this rule. In the event we identify
      significant deficiencies or material weaknesses in our internal controls that
      we
      cannot remediate in a timely manner or we are unable to receive an unqualified
      attestation from our independent registered public accounting firm with respect
      to our internal controls, investors and others may lose confidence in the
      reliability of our financial statements and our stock price and ability to
      obtain equity or debt financing as needed could suffer.
In
      addition, in the event that our independent registered public accounting firm
      is
      unable to rely on our internal controls in connection with their audit of our
      financial statements, and in the further event that they are unable to devise
      alternative procedures in order to satisfy themselves as to the material
      accuracy of our financial statements and related disclosures, it is possible
      that we would receive a qualified or an adverse audit opinion on those financial
      statements which could also adversely affect the market price of our common
      stock and our ability to secure additional financing as needed.
-8-
We
      have not voluntarily implemented various corporate governance measures, in
      the
      absence of which, stockholders may have more limited protections against
      interested director transactions, conflicts of interest and similar
      matters.
Federal
      legislation, including the Sarbanes-Oxley Act of 2002, has resulted in the
      adoption of various corporate governance measures designed to promote the
      integrity of the corporate management and the securities markets. Some of these
      measures have been adopted in response to legal requirements. Others have been
      adopted by companies in response to the requirements of national securities
      exchanges, such as the New York Stock Exchange or The Nasdaq Stock Market,
      on
      which their securities are listed. Among the corporate governance measures
      that
      are required under the rules of national securities exchanges are those that
      address board of directors' independence, audit committee oversight, and the
      adoption of a code of ethics. We have not yet adopted any of these corporate
      governance measures and, since our securities are not yet listed on a national
      securities exchange, we are not required to do so. We have not adopted corporate
      governance measures such as an audit or other independent committees of our
      board of directors. We intend to expand our board membership to include
      additional independent directors and we may then seek to establish an audit
      and
      other committees of our board of directors. It is possible that if we were
      to
      adopt some or all of these corporate governance measures, stockholders would
      benefit from somewhat greater assurances that internal corporate decisions
      were
      being made by disinterested directors and that policies had been implemented
      to
      define responsible conduct. For example, in the absence of audit, nominating
      and
      compensation committees comprised of at least a majority of independent
      directors, decisions concerning matters such as compensation packages to our
      senior officers and recommendations for director nominees may be made by a
      majority of directors who have an interest in the outcome of the matters being
      decided. Prospective investors should bear in mind our current lack of corporate
      governance measures in formulating their investment decisions.
Government
      regulation could adversely affect our business prospects.
We
      do not
      know with certainty how existing laws governing issues such as property
      ownership, copyright and other intellectual property issues, taxation, illegal
      or obscene content, retransmission of media, personal privacy and data
      protection will apply to the Internet or to the distribution of multimedia
      and
      other proprietary content over the Internet. Most of these laws were adopted
      before the advent of the Internet and related technologies and therefore do
      not
      address the unique issues associated with the Internet and related technologies.
      Depending on how these laws developed and are interpreted by the judicial
      system, they could have the effect of:
·
Limiting
                the growth of the Internet;
·
Creating
                uncertainty in the marketplace that could reduce demand for our products
                and services;
·
Increasing
                our cost of doing business;
·
Exposing
                us to significant liabilities associated with content distributed
                or
                accessed through our products or services;
                or
·
Leading
                to increased product and applications development costs, or otherwise
                harm
                our business.
Because
      of this rapidly evolving and uncertain regulatory environment, both domestically
      and internationally, we cannot predict how existing or proposed laws and
      regulations might affect our business.
-9-
FORWARD-LOOKING
      STATEMENTS
Certain
      statements in this prospectus
      or the documents incorporated herein by reference contain or may contain
      forward-looking statements that are subject to known and unknown risks,
      uncertainties and other factors which may cause actual results, performance
      or
      achievements to be materially different from any future results, performance
      or
      achievements expressed or implied by such forward-looking statements. Whenever
      we use words such as "believe", "expect", "anticipate", "intend", "plan",
"estimate" or similar expressions, we are making forward-looking statements.
      These forward-looking statements are based on various factors and were derived
      utilizing numerous assumptions and other factors that could cause our actual
      results to differ materially from those in the forward-looking
      statements.  These factors include, but are not limited to, our
      ability to implement our strategic initiatives, economic, political and market
      conditions and fluctuations, government and industry regulation, interest rate
      risk, U.S. and global competition, and other factors.  Most of these
      factors are difficult to predict accurately and are generally beyond our
      control. You should consider the areas of risk described in connection with
      any
      forward-looking statements that may be made herein. Readers are cautioned not
      to
      place undue reliance on these forward-looking statements and readers should
      carefully review this prospectus in its entirety, including the risks described
      in "Risk Factors."  Except for our ongoing obligations to disclose
      material information under the Federal securities laws, we undertake no
      obligation to release publicly any revisions to any forward-looking statements,
      to report events or to report the occurrence of unanticipated
      events.  These forward-looking statements speak only as of the date of
      this prospectus, and you should not rely on these statements without also
      considering the risks and uncertainties associated with these statements and
      our
      business.
USE
      OF PROCEEDS
The
      shares which may be sold under this Prospectus will be sold for the respective
      accounts of each of the selling stockholders. Accordingly, we will not realize
      any proceeds from the sale of the shares. We will pay for all expenses of the
      registration of the shares. See "Selling Stockholders" and "Plan of
      Distribution."
SELLING
      STOCKHOLDERS
The
      table
      below sets forth the common stock ownership of the selling stockholders as
      of
      September 30, 2007, including the number of shares of common stock issuable
      upon
      the exercise of options held by such selling stockholders.  Because
      the selling stockholders may offer from time to time all or some of their shares
      under this prospectus, no assurances can be given as to the actual number of
      shares that will be sold by any selling stockholder or that will be held by
      the
      selling stockholders after completion of the sales.   To our
      knowledge, none of the selling stockholders is a broker-dealer or an affiliate
      of a broker-dealer.
Other
      than as set forth in the following table, the selling stockholders have not
      held
      any position or office or had any other material relationship with us or any
      of
      our predecessors or affiliates within the past three years.  Unless
      otherwise indicated, the address for each selling stockholder is c/o
Accelerize New Media, Inc.,
      12121
      Wilshire Blvd., Suite 322, Los Angeles, CA 90025
.
Shares
                  Beneficially Owned
Prior
                  to the Offering (1)
Shares
                  Beneficially
Owned
After
                  the Offering (3)
Name
Number
Total
Shares
                  Offered (2)
Number
Percent
                  (4)
Brian
                Ross (5)
8,100,000
                (5)
2,000,000
6,100,000
29.0%
Chris
                Meredith (6)
3,250,000
                (6)
200,000
3,050,000
14.3%
Daniel
                Minton (7)
825,000
                (7)
225,000
600,000
2.8%
Damon
                Stein (8)
1,275,000
                (8)
400,000
875,000
4.1%
Dan
                Goldberg (9)
1,275,000
                (9)
400,000
875,000
4.1%
Veronique
                Pineau (10)
5,000
                (10)
5,000
0
0
TOTAL
3,230,000
-10-
(1)
Includes
                all shares of common
                stock which the selling stockholders have the right to acquire upon
                the
                exercise of options granted under our Stock Option Plan, whether
                or not
                such right has yet to become exercisable or will become exercisable
                as
                noted below.
(2)
Consists
                of shares of common stock
                which the selling stockholders have the right to acquire upon the
                exercise
                of options granted under our Stock Option Plan, whether or not such
                right
                has yet to become exercisable or will become exercisable as noted
                below.
(3)
Includes
                all shares of common
                stock which the selling stockholders has or have the right to acquire
                upon
                the exercise of options granted under our Stock Option Plan, whether
                or
                not such right has yet to become exercisable or will become exercisable
                as
                noted below.  Assumes that all securities offered will be sold
                and that all shares of common stock underlying options will be
                issued.  Also assumes that no other shares are acquired or
                transferred by the selling
                stockholders.
(4)
Applicable
                percentage ownership is
                based on 21,290,960 shares of common stock outstanding as of September
                30,
                2007, together with securities exercisable or convertible into shares
                of
                common stock by the particular selling stockholder, whether or not
                such
                right has yet to become exercisable or will become exercisable within
                60
                days of September 30, 2007.  Except where indicated by footnote
                and subject to community property laws where applicable, the persons
                named
                in the table have sole voting and investment power with respect to
                all
                shares of voting securities shown as beneficially owned by
                them.
(5)
Mr.
                Ross is our President, Chief
                Executive Officer, Chief Financial Officer, Secretary, and a Director.
                Includes 2,000,000 shares of common stock issuable upon exercise
                of
                options vesting on a quarterly basis over a period of 24 months (250,000
                options every quarter), commencing April 1,
                2007.
(6)
Mr.
                Meredith is our Chief Technology Officer, Assistant Treasurer, Assistant
                Secretary and a Director.
Includes
                200,000 shares of common stock issuable upon exercise of options
                vesting
                on a quarterly basisover a period of 24 months (25,000 options every
                quarter), commencing April 1, 2007.
(7)
Mr.
                Minton is the Head of our
                Financial Portal Division. Includes 225,000 shares of common stock
                issuable upon exercise of options vesting on a quarterly basis
over
                a period of 24 months (28,125
                options every quarter), commencing April 1, 2007.
(8)
Mr.
                Stein is our General Counsel
                and the Head of our Debt Division. Includes 400,000 shares of common
                stock
                issuable upon exercise of options vesting on a quarterly basis over
                a
                period of 24 months (50,000 options every quarter), commencing April
                1,
                2007.
(9)
Mr.
                Goldberg is our Chief
                Marketing Officer. Includes 400,000 shares of common stock issuable
                upon
                exercise of options vesting on a quarterly basis over a period of
                24
                months (50,000 options every quarter), commencing April 1,
                2007.
(10)
Ms.
                Pineau is our Controller. Includes 5,000 shares of common stock issuable
                upon exercise of optionsvesting on a quarterly basis over a period
                of 24
                months commencing July 1, 2008 (1,667 options vest on July 1, 2008
                and
                thereafter 416 options vest each quarter until July 1,
                2010.)
PLAN
      OF DISTRIBUTION
The
      selling stockholders and any of their pledgees, donees, transferees, assignees
      and successors-in-interest may, from time to time, sell any or all of their
      shares of common stock on any stock exchange, market or trading facility on
      which the shares are traded or in private transactions.  These sales
      will initially be made at a price of $0.15 per share and following the
      commencement of trading on the OTC Bulletin Board, may be made at fixed or
      negotiated prices.  The selling stockholders may use any one or more
      of the following methods when selling shares:
-11-
·
ordinary
                brokerage transactions and transactions in which the broker-dealer
                solicits investors;
·
block
                trades in which the broker-dealer will attempt to sell the shares
                as agent
                but may position and resell a portion of the block as principal to
                facilitate the transaction;
·
purchases
                by a broker-dealer as principal and resale by the broker-dealer for
                its
                account;
·
an
                exchange distribution in accordance with the rules of the applicable
                exchange;
·
privately
                negotiated transactions;
·
to
                cover short sales made after the date that the registration statement
                of
                which this prospectus is a part becomes
                effective;
·
through
                the writing or settlement of options or other hedging transactions,
                whether through an options exchange or
                otherwise;
·
broker-dealers
                may agree with the selling stockholders to sell a specified number
                of such
                shares at a stipulated price per
                share;
·
a
                combination of any such methods of sale;
                and
·
any
                other method permitted pursuant to applicable
                law.
The
      selling stockholders may also sell shares in transactions exempt from the
      registration requirements of the Securities Act, including under Rule 144 there
      under, as described below, if available, rather than under this
      prospectus.
Broker-dealers
      engaged by the selling stockholders may arrange for other brokers-dealers to
      participate in sales. Broker-dealers may receive commissions or discounts from
      the selling stockholders (or, if any broker-dealer acts as agent for the
      purchaser of shares, from the purchaser) in amounts to be negotiated. The
      selling stockholders do not expect these commissions and discounts to exceed
      what is customary in the types of transactions involved.
The
      selling stockholders may from time to time pledge or grant a security interest
      in some or all of the shares owned by them and, if they default in the
      performance of their secured obligations, the pledgees or secured parties may
      offer and sell shares of common stock from time to time under this prospectus,
      or under an amendment to this prospectus under Rule 424(b)(3) or other
      applicable provision of the Securities Act of 1933 amending the list of selling
      stockholders to include the pledgee, transferee or other successors in interest
      as selling stockholders under this prospectus.
In
      connection with the sale of our common stock or interests therein, the selling
      stockholders may enter into hedging transactions with broker-dealers or other
      financial institutions, which may in turn engage in short sales of the common
      stock in the course of hedging the positions they assume. The selling
      stockholders may also sell shares of our common stock short and deliver these
      securities to close out their short positions, or loan or pledge the common
      stock to broker-dealers that in turn may sell these securities. The selling
      stockholders may also enter into option or other transactions with
      broker-dealers or other financial institutions or the creation of one or more
      derivative securities which require the delivery to such broker-dealer or other
      financial institution of shares offered by this prospectus, which shares such
      broker-dealer or other financial institution may resell pursuant to this
      prospectus (as supplemented or amended to reflect such
      transaction).
Upon
      the
      company being notified in writing by a selling stockholder that any material
      arrangement has been entered into with a broker-dealer for the sale of common
      stock through a block trade, special offering, exchange distribution or
      secondary distribution or a purchase by a broker or dealer, a supplement to
      this
      prospectus will be filed, if required, pursuant to Rule 424(b) under the
      Securities Act, disclosing (i) the name of each such selling stockholder and
      of
      the participating broker-dealer(s), (ii) the number of shares involved, (iii)
      the price at which such shares of common stock were sold, (iv) the commissions
      paid or discounts or concessions allowed to such broker-dealer(s), where
      applicable, (v) that such broker-dealer(s) did not conduct any investigation
      to
      verify the information set out or incorporated by reference in this prospectus,
      and (vi) other facts material to the transaction. In addition, upon the company
      being notified in writing by a selling stockholder that a donee or pledgee
      intends to sell more than 500 shares of common stock, a supplement to this
      prospectus will be filed if then required in accordance with applicable
      securities law.
-12-
The
      selling stockholders also may transfer the shares of common stock in other
      circumstances, in which case the transferees, pledgees or other successors
      in
      interest will be the selling beneficial owners for purposes of this
      prospectus.
The
      selling stockholders and any broker-dealers or agents that are involved in
      selling the shares may be deemed to be ''underwriters'' within the meaning of
      the Securities Act in connection with such sales. In such event, any commissions
      received by such broker-dealers or agents and any profit on the resale of the
      shares purchased by them may be deemed to be underwriting commissions or
      discounts under the Securities Act.  Discounts, concessions,
      commissions and similar selling expenses, if any, that can be attributed to
      the
      sale of securities will be paid by the selling stockholder and/or the
      purchasers.
The
      company has advised each selling stockholder that it may not use shares
      registered on the registration statement of which this prospectus is a part
      to
      cover short sales of common stock made prior to the date on which the
      registration statement of which this prospectus is a part shall have become
      effective. If a selling stockholder uses this prospectus for any sale of the
      common stock, it will be subject to the prospectus delivery requirements of
      the
      Securities Act. The selling stockholders will be responsible for complying
      with
      the applicable provisions of the Securities Act and the Exchange Act of 1934,
      as
      amended, or the Exchange Act, and the rules and regulations thereunder
      promulgated, including, without limitation, Regulation M, as applicable to
      such
      selling stockholders in connection with resales of their respective shares
      under
      the registration statement of which this prospectus is a part.
We
      have
      agreed to bear all expenses of registration of the shares other than legal
      fees
      and expenses, if any, of counsel or other advisors of the selling
      stockholders.  The selling stockholders will bear any commissions,
      discounts, concessions or other fees, if any, payable to underwriters, brokers
      or dealers in connection with any sale of their shares.
DESCRIPTION
      OF SECURITIES
The
      following description of our capital stock is a summary and is qualified in
      its
      entirety by the provisions of our Certificate of Incorporation, as amended
      from
      time to time.
Dividend
      Policy
We
      have
      not declared or paid any cash dividends on our common stock since inception
      and
      we do not intend to pay any cash dividends in the foreseeable future. We intend
      to retain any future earnings for use in the operation and expansion of our
      business. Any future decision to pay dividends on common stock will be at the
      discretion of our Board of Directors and will be dependent upon our fiscal
      condition, results of operations, capital requirements and other factors our
      Board of Directors may deem relevant.
The
      holders of our 10% Series A Convertible Preferred Stock are entitled to receive
      a cumulative preferential dividend of 10% per annum on the stated value of
      the
      10% Series A Convertible Preferred Stock owned by them. The dividend is payable
      at our option in cash or shares of common stock valued at $0.15 per
      share.  We do not intend to pay any cash dividends in the near future.
      Dividends are payable on a quarterly basis on each of September 1, December
      1,
      March 1, and June 1, commencing September 1, 2006.
The
      holders of our 8% Series B
      Convertible Preferred Stock are entitled to receive a cumulative preferential
      dividend of 8% per annum on the stated value of the 8% Series B Convertible
      Preferred Stock owned by them. Their rights are subordinated to the rights
      of
      the holders of our 10% Series A Convertible Preferred Stock.  The
      dividend is payable at our option in cash or shares of common stock valued
      at
      $0.35 per share. We do not intend to pay any cash dividends in the near future.
      Dividends are payable on a quarterly basis on each of September 1, December
      1,
      March 1, and June 1, commencing December 1, 2007.
-13-
Capital
      Structure
Common
      Stock
We
      are
      authorized to issue 100,000,000 shares of common stock, par value $.001 per
      share. As of September 30, 2007 we had 21,290,960 shares of common stock issued
      and outstanding. The holders of common stock are entitled to one vote per share
      on all matters submitted to a vote of stockholders, including the election
      of
      directors. There is no right to cumulate votes in the election of directors.
      The
      holders of common stock are entitled to any dividends that may be declared
      by
      the board of directors out of funds legally available for payment of dividends
      subject to the prior rights of holders of preferred stock and any contractual
      restrictions we have against the payment of dividends on common stock. In the
      event of our liquidation or dissolution, holders of common stock are entitled
      to
      share ratably in all assets remaining after payment of liabilities and the
      liquidation preferences of any outstanding shares of preferred stock. Holders
      of
      common stock have no preemptive rights and have no right to convert their common
      stock into any other securities.
Preferred
      Stock
We
      are
      authorized to issue 2,000,000 shares of preferred stock, $.001 par
      value.  As of September 30, 2007,  we had 54,000 shares of
      10% Series A Convertible Preferred Stock and
118,875
shares of 8% Series B
      Convertible Preferred Stock issued and outstanding. In addition, our Board
      of
      Directors, without further stockholder approval, may issue preferred stock
      in
      one or more series from time to time and fix or alter the designations, relative
      rights, priorities, preferences, qualifications, limitations and restrictions
      of
      the shares of each series. The rights, preferences, limitations and restrictions
      of different series of preferred stock may differ with respect to dividend
      rates, amounts payable on liquidation, voting rights, conversion rights,
      redemption provisions, sinking fund provisions and other matters. Our Board
      of
      Directors may authorize the issuance of preferred stock, which ranks senior
      to
      our common stock for the payment of dividends and the distribution of assets
      on
      liquidation. In addition, our Board of Directors can fix limitations and
      restrictions upon the payment of dividends on our common stock to be effective
      while any shares of preferred stock are outstanding. The rights granted to
      the
      holders of any series of preferred stock could adversely affect the voting
      power
      of the holders of common stock and issuance of preferred stock may delay, defer
      or prevent a change in our control.
The
      issuance of preferred stock may have the effect of delaying, deferring or
      preventing a change in control of our company without further action by
      stockholders and could adversely affect the rights and powers, including voting
      rights, of the holders of common stock. In certain circumstances, the issuance
      of preferred stock could depress the market price of the common
      stock.
LEGAL
      MATTERS
The
      validity of the securities offered by this prospectus will be passed upon for
      us
      by Sullivan & Worcester LLP, 1290 Avenue of the Americas, New York, NY
      10104. Members and employees of this firm own an aggregate of 156,246 shares
      of
      our common stock, 1,333 shares of our 10% Series A Convertible Preferred Stock,
      and warrants to purchase 20,000 shares of our common stock.
INCORPORATION
      OF CERTAIN DOCUMENTS BY REFERENCE
The
      SEC allows us to incorporate by
      reference the information we file with it, which means that we can disclose
      important information to you by referring you to those documents.  The
      documents we are incorporating by reference as of their respective dates of
      filing are:
·
The
                Company's prospectus dated May 9,
                2007;
·
The
                Company's Quarterly Report on Form 10-QSB for the fiscal quarter ended
                June 30, 2007;
·
The
                description of the Company's common stock contained in the Registration
                Statement on Form 8-A filed with the SEC on May 9, 2007;
                and
·
The
                Company's Current Report on Form 8-K filed with the SEC on September 7,
                2007.
-14-
All
      documents subsequently filed by us with the SEC pursuant to Sections 13(a),
      13(c), 14 and 15(d) of the Exchange Act shall be deemed to be incorporated
      by
      reference in this prospectus and to be a part hereof from the date of filing
      of
      such documents.
Any
      statement contained in a document incorporated or deemed to be incorporated
      by
      reference herein shall be deemed to be modified or superseded for purposes
      of
      this prospectus to the extent that a statement herein, or in any subsequently
      filed document which also is or is deemed to be incorporated by reference,
      modifies or supersedes such statement.  Any statement so modified or
      superseded shall not be deemed, except as so modified or superseded, to
      constitute a part of this prospectus.
INDEMNIFICATION
      OF DIRECTORS AND OFFICERS
Our
      Certificate of Incorporation and By-laws provide that the Company is authorized
      to indemnify our directors and officers to the fullest extent permitted by
      the
      Delaware General Corporation Law , or the DGCL.
Section
      145 of the DGCL permits a corporation, under specified circumstances, to
      indemnify its directors, officers, employees or agents against expenses
      (including attorney's fees), judgments, fines and amounts paid in settlement
      actually and reasonably incurred by them in connection with any action, suit
      or
      proceeding brought by third parties by reason of the fact that they were or
      are
      directors, officers, employees or agents of the corporation, if such directors,
      officers, employees or agents acted in good faith and in a manner they
      reasonably believed to be in or not opposed to the best interests of the
      corporation and, with respect to any criminal action or proceeding, had no
      reason to believe their conduct was unlawful. In a derivative action, i.e.,
      one
      by or in the right of the corporation, indemnification may be made only for
      expenses actually and reasonably incurred by directors, officers, employees
      or
      agents in connection with the defense or settlement of any action or suit,
      and
      only with respect to a matter as to which they shall have acted in good faith
      and in a manner they reasonably believed to be in or not opposed to the best
      interests of the corporation, except that no indemnification shall be made
      if
      such person shall have been adjudged liable to the corporation, unless and
      only
      to the extent that the court in which the action or suit was brought shall
      determine upon application that the defendant directors, officers, employees
      or
      agents are fairly and reasonably entitled to indemnity for such expenses despite
      such adjudication of liability.
Our
      Certificate of Incorporation contains a provision which eliminates, to the
      fullest extent permitted by the DGCL, director liability for monetary damages
      for breaches of the fiduciary duty of care or any other duty as a
      director.
ADDITIONAL
      INFORMATION AVAILABLE TO YOU
This
      prospectus is part of a registration statement on Form S-8 that we filed with
      the SEC.  Certain information in the registration statement has been
      omitted from this prospectus in accordance with the rules of the
      SEC.  The Company is subject to the informational requirements of the
      Exchange Act and, accordingly, files annual, quarterly and current reports,
      proxy statements and other information with the SEC.  You may read and
      copy material filed by us at the SEC's Public Reference Room at 450 Fifth Street
      N.W., Room 1024, Washington, D.C. 20549 and at the SEC's regional offices in
      Chicago, Illinois and New York, New York.
Copies
      of these materials can be obtained from the Public Reference Section of the
      SEC
      at prescribed rates.  Please call the SEC at 800-SEC-0330 for further
      information on the Public Reference Section.  You may access our
      electronic filings on the SEC's Internet site, http://www.sec.gov, which
      contains reports, proxy and information statements and other information
      regarding issuers, including the Company, that are filed electronically with
      the
      SEC.  After the completion of this registration statement, we intend
      to file an application to list our common stock on the Over-The-Counter Bulletin
      Board.
-15-
PART
      I
INFORMATION
      REQUIRED IN THE SECTION 10(a) PROSPECTUS
Item
      1.  Plan Information.
The
      information required by Item 1 is
      included in the documents sent or given to participants in the Accelerize New
      Media, Inc. Stock Option Plan pursuant to Rule 428(b)(1) of the Securities
      Act
      and is not required to be filed with the Securities and Exchange Commission
      ("SEC") as part of this registration statement or as an exhibit
      hereto.
Item
      2.  Registrant Information and Employee Plan Annual
      Information.
Participants
      in the Plan may obtain a
      copy of the Plan or the documents incorporated by reference in Item 3 of Part
      II
      below, at no cost, by writing or telephoning to Mr. Brian Ross, the Company's
      President and Chief Executive Officer at:
Accelerize New Media, Inc.,
      12121
      Wilshire Blvd., Suite 322, Los Angeles, CA 90025
, Telephone: (310) 903
      4001.
The
      documents specified in Item 1 of Part I of this registration statement and
      the
      documents incorporated by reference in Item 3 of Part II of this registration
      statement, taken together, constitute a prospectus pursuant to Section 10(a)
      of
      the Securities Act.
PART
      II
INFORMATION
      REQUIRED IN THE REGISTRATION STATEMENT
Item
      3.  Incorporation of Documents by Reference.
The
      following additional documents, which have been filed by the Company with the
      SEC are incorporated by reference in and made a part of this registration
      statement, as of their respective dates:
·
The
                Company's prospectus dated May 9,
                2007;
·
The
                Company's Quarterly Report on Form 10-QSB for the fiscal quarter ended
                June 30, 2007;
·
The
                description of the Company's common stock contained in the Registration
                Statement on Form 8-A filed with the SEC on May 9,
                2007;
·
The
                Company's Current Report on Form 8-K filed with the SEC on September 7,
                2007.
All
      documents subsequently filed with the SEC by the Company pursuant to Sections
      13(a), 13(c), 14 and 15(d) of the Securities Exchange Act of 1934, as amended
      (the "Exchange Act"), prior to the filing of a post-effective amendment which
      indicates that all securities offered herein have been sold or which deregisters
      all securities then remaining unsold, shall be deemed to be incorporated by
      reference in this registration statement and to be a part hereof from the date
      of filing of such documents.
Any
      statement contained in a document incorporated or deemed to be incorporated
      by
      reference herein shall be deemed to be modified or superseded for purposes
      of
      this registration statement to the extent that a statement herein, or in any
      subsequently filed document which also is or is deemed to be incorporated by
      reference, modifies or supersedes such statement.  Any statement so
      modified or superseded shall not be deemed, except as so modified or superseded,
      to constitute a part of this registration statement.
Item
      4.  Description of Securities.
Not
      applicable.
Item
      5.  Interests of Named Experts and Counsel.
Not
      applicable.
Item
      6.  Indemnification of Directors and Officers.
The
      Company's Certificate of Incorporation and By-laws provide that the Company is
      authorized to indemnify its directors and officers to the fullest extent
      permitted by the Delaware General Corporation Law ("DGCL").
Section
      145 of the DGCL permits a corporation, under specified circumstances, to
      indemnify its directors, officers, employees or agents against expenses
      (including attorney's fees), judgments, fines and amounts paid in settlement
      actually and reasonably incurred by them in connection with any action, suit
      or
      proceeding brought by third parties by reason of the fact that they were or
      are
      directors, officers, employees or agents of the corporation, if such directors,
      officers, employees or agents acted in good faith and in a manner they
      reasonably believed to be in or not opposed to the best interests of the
      corporation and, with respect to any criminal action or proceeding, had no
      reason to believe their conduct was unlawful. In a derivative action, i.e.,
      one
      by or in the right of the corporation, indemnification may be made only for
      expenses actually and reasonably incurred by directors, officers, employees
      or
      agents in connection with the defense or settlement of any action or suit,
      and
      only with respect to a matter as to which they shall have acted in good faith
      and in a manner they reasonably believed to be in or not opposed to the best
      interests of the corporation, except that no indemnification shall be made
      if
      such person shall have been adjudged liable to the corporation, unless and
      only
      to the extent that the court in which the action or suit was brought shall
      determine upon application that the defendant directors, officers, employees
      or
      agents are fairly and reasonably entitled to indemnity for such expenses despite
      such adjudication of liability.
The
      Company's Certificate of Incorporation contains a provision which eliminates, to
      the fullest extent permitted by the DGCL, director liability for monetary
      damages for breaches of the fiduciary duty of care or any other duty as a
      director.
Item
      7.  Exemption from Registration Claimed.
Not
      applicable.
Item
      8.  Exhibits.
The
      Exhibit Index immediately preceding the exhibits is incorporated herein by
      reference.
Item
      9.  Undertakings.
(a)
The
                undersigned registrant hereby
                undertakes:
(1)
To
                file, during any period in which offers or sales are being made,
                a
                post-effective amendment to this registration
                statement:
(i)
To
                include any prospectus required by Section 10(a)(3) of the Securities
                Act
                of 1933;
(ii)
To
                reflect in the prospectus any facts or events arising after the effective
                date of the registration statement (or the most recent post-effective
                amendment thereof) which, individually or in the aggregate, represent
                a
                fundamental change in the information set forth in this registration
                statement.  Notwithstanding the foregoing, any increase or
                decrease in volume of securities offered (if the total dollar value
                of
                securities offered would not exceed that which was registered) and
                any
                deviation from the low or high end of the estimated maximum offering
                range
                may be reflected in the form of prospectus filed with the Commission
                pursuant to Rule 424(b) if, in the aggregate, the changes in volume
                and
                price represent no more than a 20 percent change in the maximum aggregate
                offering price set forth in the "Calculation of Registration Fee" table in
                the effective registration statement;
                and
(iii)
To
                include any material information with respect to the plan of distribution
                not previously disclosed in this registration statement or any material
                change to such information in this registration
                statement;
provided,
      however,
that subparagraphs (a)(1)(i) and (a)(1)(ii) do not apply if the
      information required to be included in a post-effective amendment by those
      paragraphs is contained in the periodic reports filed with or furnished to
      the
      Commission by the Company pursuant to Section 13 or Section 15(d) of the
      Securities Exchange Act of 1934 that are incorporated by reference in this
      registration statement.
(2)
That,
                for the purpose of determining any liability under the Securities
                Act of
                1933, each such post-effective amendment shall be deemed to be a
                new
                registration statement relating to the securities offered therein,
                and the
                offering of such securities at that time shall be deemed to be the
                initial
bona fide
offering
                thereof.
(3)
To
                remove from registration by means of a post-effective amendment any
                of the
                securities being registered which remain unsold at the termination
                of the
                offering.
(b)
The
                undersigned registrant hereby further undertakes that, for the purposes
                of
                determining any liability under the Securities Act of 1933, each
                filing of
                the Company's annual report pursuant to Section 13(a) or Section 15(d) of
                the Securities Exchange Act of 1934 (and, where applicable, each
                filing of
                an employee benefit plan's annual report pursuant to Section 15(d) of the
                Securities Exchange Act of 1934) that is incorporated by reference
                in this
                registration statement shall be deemed to be a new registration statement
                relating to the securities offered therein, and the offering of such
                securities at that time shall be deemed to be the initial
bona
                fide
offering thereof.
(c)
Insofar
                as indemnification for liabilities arising under the Securities Act
                of
                1933 may be permitted to directors, officers and controlling persons
                of
                the registrant pursuant to the foregoing provisions, or otherwise,
                the
                registrant has been advised that in the opinion of the Commission
                such
                indemnification is against public policy as expressed in the Securities
                Act of 1933 and is, therefore, unenforceable.  In the event that
                a claim for indemnification against such liabilities (other than
                the
                payment by the registrant of expenses incurred or paid by a director,
                officer or controlling person of the registrant in the successful
                defense
                of any action, suit or proceeding) is asserted by such director,
                officer
                or controlling person in connection with the securities being registered,
                the registrant will, unless in the opinion of its counsel the matter
                has
                been settled by controlling precedent, submit to a court of appropriate
                jurisdiction the question whether such indemnification by it is against
                public policy as expressed in the Securities Act of 1933 and will
                be
                governed by the final adjudication of such
                issue.
SIGNATURES
Pursuant
      to the requirements of the Securities Act of 1933, the Company certifies that
      it
      has reasonable grounds to believe that it meets all of the requirements for
      filing on Form S-8 and has duly caused this Registration Statement on Form
      S-8
      to be signed on its behalf by the undersigned, thereunto duly authorized, in
      Whitefish Montana, on the 17th day of October, 2007.
ACCELERIZE
              NEW MEDIA,
              INC.
By:
/s/ Brian
              Ross
Name:  Brian
                Ross
Title:    President
                and Chief Executive Officer
POWER
      OF
      ATTORNEY AND SIGNATURES
Pursuant
      to the requirements of the Securities Act, this registration statement on Form
      S-8 has been signed below by the following persons in the capacities and on
      the
      dates indicated.  We, the undersigned officers and directors of the
      Company, hereby severally constitute and appoint Brian Ross, our true and lawful
      attorney to sign for us and in our names in the capacities indicated below
      any
      and all amendments or supplements, whether pre-effective or post-effective,
      to
      this registration statement on Form S-8 and to file the same, with exhibits
      thereto and other documents in connection therewith, with the SEC, granting
      unto
      said attorney full power and authority to do and perform each and every act
      and
      thing requisite or necessary to be done in and about the premises, as fully
      to
      all intents and purposes as he might or could do in person, hereby ratifying
      and
      confirming our signatures to said amendments to this registration statement
      signed by our said attorney and all else that said attorney may lawfully do
      and
      cause to be done by virtue hereof.
Signature
Title
Date
/s/
Brian
                Ross
Brian
                Ross
President,
                Chief Executive Officer, Chief Financial Officer, Secretary and Director
(principal  executive,
                financial and accounting officer)
October
                17, 2007
/s/
                Chris Meredith
Chris
                Meredith
Director
October
                17, 2007
EXHIBIT
      INDEX
EXHIBIT
                NO.
DESCRIPTION
4.1
Certificate
                of Incorporation dated November 22, 2005, as amended by Certificate
                of
                Designation dated August 8, 2006 (incorporated by reference to the
                Company's Registration Statement on Form SB-2 (file no.
                333-139586)  filed on December 22, 2006.)
4.2
Form
                of Common Stock Certificate (incorporated by reference to the Company's
                Registration Statement on Form SB-2 (file no. 333-139586)  filed
                on December 22, 2006.)
4.3
Certificate
                of Designation of 8% Series B Convertible Preferred Stock (incorporated
                by
                reference to Exhibit 10.1 to the Company's Current Report on Form 10-QSB
                for the quarter ended June 30, 2007.)
4.4
By-laws
                of the Company (incorporated by reference to the Company's Registration
                Statement on Form SB-2 (file no. 333-139586) filed on December 22,
                2006.)
5.1
Opinion
                of Sullivan & Worcester LLP.*
23.1
Consent
                of Sullivan & Worcester LLP (contained in the opinion of Sullivan
                & Worcester LLP filed herewith as Exhibit 5.1.)
23.2
Consent
                of Sherb & Co., LLP.*
24.1
Powers
                of Attorney (included in the signature page to this registration
                statement.)
99.1
Accelerize
                New Media, Inc. Stock Option Plan (incorporated by reference to the
                Company's Registration Statement on Form SB-2 (file no. 333-139586) filed
                on December 22, 2006.)
________________
*
      filed
      herewith