How We Fund Our Projects... Approximately 50% of Green Star operating budget is generated by absorbing the tax liabilities of our host property owners and liquidating our tax credits. The other half of our funding comes from outside investors who buy shares of Green Star, to specifically gain access to our equipment depreciation. This is made possible because of federal renewable energy tax incentives, and our unique ability to transfer and assign equipment depreciation to 3rd parties through our class (B) shares.

What Makes Us Unique Green Star finances all projects from within, and owns more then 90% of all equipment in operation outright. Since the first project began in 2013, Green Star has never accepted institutional financing. This has allowed us to keep all the available tax benefits in house, which is what sets us apart from everyone else in the industry. Our competitors use outside financing, and in doing so, give up their tax advantage. Our approach to this industry not only keeps Green Star independent and flexible to change with trends, but it continues to provide a secure profit model for our shareholders.

Why Invest In Depreciation Both individuals and business entities with any size of taxable income can use section 179 depreciation to either reduce, or completely remove their Federal and State tax liabilities. Green Star shareholders have direct access to depreciation from solar equipment being installed every day. Green Star exchanges equipment depreciation for capital contributions from our shareholders. Green Star will transfer $1.00 worth of tax savings (section 179 depreciation) for every $.90 cent capital contribution, through the IRS form K-1.

Buying Tax Equity vs "Off Setting Costs" Unlike depreciating standard hard costs or prepaying future expenses, a capital contribution through a K-1 is considered more of a "paper loss" from an institutional lending perspective. Since the income in question is still physically available, the new shareholder's original Adjusted Gross Income ( AGI) could be re- attached to any type of loan application by an underwriter. This keeps our shareholders future leveraging capabilities at an optimum ratio, while still reducing their taxes by 10%. This also gives the investor grounds to claim "exempt" for 2012, since they have now established a pre-existing claim in 2011.

Assigning Depreciation Being structured as a Limited Liability Company allows us to market shares of our company, using a simple class (B) shareholder agreement. We then assign the requested amount of section 179 depreciation to the new shareholder through a standard IRS K-1 partnership form. The.01% share eventually auto reverts back to Green Star once the recapture period (5 year max) expires on the equipment being depreciated. Additional capital contributions can be added to this class B share annually, as an ongoing strategy.

Tax Equity Logic Leaving money unaccounted for is never an acceptable practice for any company or business minded individual. Reallocating 90% of your planned tax payments into one of our Federally approved solar projects, can eliminate up to 100% of your tax liabilities. The 10% difference could be thought of as a "tax free" net profit. Keeping this 10% is not only logical but risk free.

Federally Approved The US Treasury Department audits all solar companies applying for Federal funding, and randomly reviews tax credits and grant applications. Green Star has consistently been one of the most awarded recipients of Federal grants in the state of Arizona Our program has been reviewed and audited by the Treasury Department on numerous projects with no negative feedback. Green Star holds a 100% grant approval track record for over 130 projects from

Get Informed Advice The tax law surrounding renewable energy has been evolving for years. Unfortunately the number of tax professionals familiar with these changes and adapting the solar industry's tax advantages to their "playbooks" are still very few. We are always available to conference with any tax professional. And would prefer that anyone new to this process, include their CPA to qualify them properly for this strategy.

Recent Changes To Renewable Energy Depreciation can be used to "reach back" one tax year. The 2010 American Recovery and Reinvestment Act Codification of economic substance doctrine (2010) now allows investments into any qualified renewable energy company solely for the tax benefit.

Transaction Considerations When a new investor is ready to complete their capital contribution, Green Star will execute the share agreement as well as the K-1 form showing the amount of depreciation being assigned to the new shareholder, before the transfer of funds. This replaces the need for escrow services, keeping cost at a minimum and the process simple, while still protecting the new shareholder throughout the transaction.

IRS Perspective On Transferred 179 Once the Shareholder Agreement has been executed, and the K-1 has been filed with their return, that assigned block of depreciation forever belongs to that.01% shareholder. Any unforeseen event to Green Star or its owner would have no effect on the accelerated depreciation once it has been transferred to the shareholder. It is important to note that only the section 179 rolls over to the shareholder, not the liability of any equipment or projects of Green Star, LLC.

(Simple Example Scenarios) Showing how the cost of one Green Star share, is determined by the amount of tax saving needed by each respective Shareholder...

Small Business Example... Adjusted Gross Revenue (AGI) $1,000,000 Example tax rate % Total taxes owed $ 340,000 The capital contribution (cost) for this.01% share would be $ 306,000 Total taxes saved $ 34,000 Amount of depreciation assigned to the new Shareholder through a K $1,000,000 Shareholder's new AGI $ 0,000,000 Example Shareholder would now be Exempt

Individuals with passive or any other type of "taxable" income example... Adjusted Gross Income (AGI) $ 200,000 Example Tax Rate % Total taxes owed $ 80,000 The capital contribution (cost) for this.01% share would be $ 72,000 Total taxes saved $ 8,000 Amount of depreciation assigned to the new Shareholder through a K $ 200,000 Shareholder's new (AGI) $ 000,000 Example Shareholder would now be Exempt

1099 Independent Contractor Example... Adjusted Gross Income (AGI) $ 50,000 Example tax rate % Total taxes owed $ 17,000 The capital contribution (cost) for this.01% share would be $ 15,300 Total taxes saved $ 1,700 Amount of depreciation assigned to the new Shareholder through a K $50,000 Shareholder's new (AGI) $00,000 Example Shareholder would now be exempt

Securities Disclaimer The information contained in this presentation is for information purposes only, and in no way constitutes the offering of a security or promise of monetary return. Any mention of the following titles, (share, shareholder, share member, investor or investing member) are in reference to ownership of a Green Star, Limited Liability Corporation class (B) membership. This membership represents a.01% ownership interest in Green Star, LLC respectively. Class (B).01% Shareholders have no voting rights or claim to any revenue of the company other than the agreed section 179 depreciation or tax credits stated in the "Share Agreement"