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DLS:TSXV

Compounding Profitable GrowthQ4 2019

April 3, 2020

Page 2

Cautionary Statement

This Presentation has been prepared taking into consideration information available and contains forward-looking information that involves risk and uncertainties. All statements, other than statements ofhistorical facts, which address Dealnet’s expectations, should be considered forward-looking statements.Such statements are based on management’s exercise of business judgment as well as assumptionsmade by and information currently available to management. When used in this document, the words“may”, “will”, “anticipate”, “believe”, “estimate”, “expect”, “intend” and words of similar import, areintended to identify any forward-looking statements.

You should not place undue reliance on these forward-looking statements. These statements reflectManagement’s current view of future events and are subject to certain risks and uncertainties ascontained herein and, in the Company’s, other filings with Canadian securities regulatory authorities.Should one or more of these risks or uncertainties materialize, or should underlying assumptions proveincorrect, the Company’s actual results could differ materially from those anticipated in these forward-looking statements. Management undertakes no obligation to reflect events or circumstances after thedate hereof, or to reflect the occurrence of any unanticipated events. Although we believe that theseexpectations are based on reasonable assumptions, we can give no assurance that those expectations willmaterialize.

Page 3

• Winning in the marketplace

• Dealer network with 2019 originations of $60M with a risk adjusted margin of 4% (funders, salesforce, quality dealers, portal, competitive rate card, risk-based pricing)

• Opportunity to cross sell to 38,000 households and recent submissions

• $24M unbooked tax losses • Commencing in 2022,

Contractual residual cash of $75M

• Rights to End of Term payments on 16,000 contracts (not contractual and not recorded in financials statements)

• Shareholder alignment -management and the Board collectively own 9% of all common shares (fully diluted for stock options held).

• US and Canadian operations

• Winning new accounts • Renewed existing

contracts at higher prices

• Proven omnichannel capabilities

• Able to exceed the requirements of its most demanding clients – no service level penalties in 2019

+ =

Dealnet Vision: Compounding Profitable GrowthTo provide an interconnected network of synergistic organizations that consistently deliver above average growth and

profitability

EcoHome: To set the standard for profitable growth in specialized consumer finance lending, leveraging strong management expertise and technology to drive innovation, superior service and operational efficiency.

One Contact: To deliver our customers best-in-class omni-channel contact centre and back office solutions.

Page 4

Path to Profitability

-4.0

-3.5

-3.0

-2.5

-2.0

-1.5

-1.0

-0.5

-Q1

2018Q2

2018Q3

2018Q4

2018Q1

2019Q2

2019Q3

2019Q4

2019

in m

illio

ns

of

Do

llars

Net Income (Loss)

Phase 1 Phase 2

2019 provision for credit losses was $1.27M ($0.45M in 2018) which included an increase of provision for future credit losses and actual realized credit losses. The increased IFRS 9 provision for future credit losses was driven by a more refined analysis of the portfolio used to determine expected losses, along with changes to the underlying variables and methodology used for stress testing for changes to macroeconomic factors.

2019 2018

Allowance for credit losses/gross finance receivables

1.05% 0.95%

Total delinquent accounts/gross finance receivables

4.31% 5.84%

Page 5

Profitable Originations – 36% YOY Growth

EcoHome Purchased

Regional %

Ontario 48%

Quebec 25%

Maritimes 17%

Western 10%

Total 100%

Product Split

%

HVAC 59%

Water 18%

Home Improve-ment

21%

Pools & Spas

2%

Total 100%

Page 6

Quality Portfolio - 10.3% YOY Growth

155,000

160,000

165,000

170,000

175,000

180,000

185,000

190,000

195,000

200,000

205,000

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

4.5%

5.0%

5.5%

6.0%

6.5%

7.0%

7.5%

8.0%

8.5%

9.0%

9.5%

10.0%

Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019

Po

rtfo

lio N

BV

(in

th

ou

san

ds

of

do

llars

)

Gro

wth

%

Net Portfolio Growth as a % of Opening Portfolio Balance

NBV Portfolio Gross Originations Scheduled Collections Prepayments

Initiatives to reduce prepayments: increase administration fees, and clawback of rebates, commissions and promotional incentives

Page 7

YOY Fee Growth of 37%

465

587 598 574

482

623

842

1,107

265 266

632

236

342

186

298 263

-

200

400

600

800

1,000

1,200

Q12018

Q22018

Q32018

Q42018

Q12019

Q22019

Q32019

Q42019

In t

ho

usa

nd

s o

f d

olla

rs

Fee and Ancillary Revenue and Direct Expense

Fee and ancilliary revenue Direct expense

Direct expenses being contained through use of Bots and other technologies. Given responsibility for service on 16,000 leases, has taken proactive steps to control the cost of serving its leased equipment

Page 8

YOY One Contact’s Gross Profit Increase of 19%

325 260 91

347 319 278

582

(1,549)

(2,000)

(1,500)

(1,000)

(500)

0

500

1,000

Q12018

Q22018

Q32018

Q42018

Q12019

Q22019

Q32019

Q42019

in t

ho

usa

nd

s o

f d

olla

rs

Call Centre Segment Profit (Loss)

One Contact Gemma

Page 9

Cost Rationalization - $1M per month

4.1

3.3 3.7

2.8 2.8 3.2 3.1

2.8

0112233445

Q12018

Q22018

Q32018

Q42018

Q12019

Q22019

Q32019

Q42019

in m

illio

ns

of

do

llars

Overhead Expenses

Salary G&A

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

150,000

160,000

170,000

180,000

190,000

200,000

210,000

Q12018

Q22018

Q32018

Q42018

Q12019

Q22019

Q32019

Q42019

% o

f P

ort

folio

NB

V

Po

rtfo

lio N

BV

(in

th

ou

san

ds

of

d

olla

rs)

Operating Expenses as % of Portfolio NBV

Portfolio NBV Operating expenses as % of Finance receivable

Page 10

Core Management Priorities for 2020

a) Drive profitable origination growth to get to scale• Increase credit penetration through focused training to our dealer base• Acquire new dealers as competitors experience organization changes• Enter new dealer verticals• Implement a new credit scorecard• Reduce prepayments• Launch credit and debit card processing services• Build out marketing capabilities

i. Targeted dealer eventsii. Creation of a dealer advisory boardiii. Build out a social media presence

b) Grow One Contact• Continue to convert new business opportunities• Integrate more of EcoHome operations into One Contact

c) Deploy technologies that generate positive returns• Continue to implement and Robotic Process Automation (“RPA” or “bot”)• Continue to develop our custom dealer portal to ensure best-in-class dealer and

consumer portal• Improve the effectiveness of the Company’s collection activities

d) Execute strategic plays• Build and grow strategic partnerships to monetize the Company’s existing customer base• Explore accretive acquisitions which require a low level of capital investment

Page 11

COVID-19

• DealNet’s priority is the safety and well-being of its employees and ensuring the Company’s business continuity plans are carefully executed.

• COVID-19 will:• decrease originations and fees; • reduce call centre volumes and could result in the complete closure of either or

both call centres;• increase credit spreads on securitizations; and • increase the level of delinquencies.

• At this time, it is not possible to determine the financial and cash flow impact of COVID-19.

• While the Company has been successful in obtaining financing in the past, there is uncertainty that such financing will be available given COVID-19’s impact on the financial markets. In addition, Capital Partners’ nomination of alternate directors creates additional uncertainty about the future direction of the Company and prevents the Company from raising any equity or debt which could result in shareholder dilution.

Page 12

Built for Compounding Profitable Growth

Phase 1

Turnaround: recapitalized and reduced SG&A to $1m per month

Phase 2

Path-to-profitability and re-ignited growth

Phase 3

Profitability with compounding profitable growth across the entire organization (limited liquidity)

Phase 4Compounding profitable growth through acquisitions which are funded with Contractual residual cash and End of Term payments

Nov 2017 Aug 2018 2020 2022