PAYDOWN ADDENDUM TO BUSINESS FINANCING AGREEMENT AND AGREEMENT FOR WHOLESALE FINANCING

              PAYDOWN ADDENDUM TO BUSINESS FINANCING AGREEMENT AND

                        AGREEMENT FOR WHOLESALE FINANCING

                   (Credit for Inventory Financed by DFS Only)

     This  Addendum is made to (i) that  certain  Business  Financing  Agreement

executed on the 31st day August, 2000, between ePlus Technology, inc. ("Dealer")

and Deutsche Financial Services Corporation ("DFS"), as amended ("BFA") and (ii)

that certain  Agreement for  Wholesale  Financing  between  Dealer and DFS dated

September 8, 2000, as amended ("AWF").

      FOR VALUE RECEIVED, DFS and Dealer agree as follows:

      1.  Section 3.2 of the BFA is hereby  amended to read as follows,  and, to

the  extent  applicable,  the  following  provision  shall  also  amend  the AWF

(capitalized  terms  shall  have the same  meaning  as defined in the BFA unless

otherwise indicated):

          "3.2 Available Credit;  Paydown. On receipt of each Schedule, DFS will

          credit  Dealer  with such amount as DFS may deem  advisable  up to the

          remainder of (a) the sum of (i) Ninety Percent (90%) of the net amount

          of the eligible  Government Accounts listed in such Schedule plus (ii)

          Eighty-Five   Percent   (85%)  of  the  net  amount  of  the  eligible

          Non-Government  Accounts  listed  in  such  Schedule  (the  applicable

          percentage set forth in (a)(i) and (a)(ii) is hereinafter  referred to

          as the "Advance  Rate"),  minus (b) the amount of Dealer's SPP Deficit

          (as defined  below) under Dealer's  Agreement for Wholesale  Financing

          (the 'AWF')  with DFS as in effect  from time to time (the  'Available

          Credit').

          Dealer's  'SPP  Deficit'  shall  mean  the  amount,  if any,  by which

          Dealer's total current  outstanding  indebtedness to DFS under the AWF

          as of the date of the Inventory  Report (as defined below) exceeds the

          Inventory  Value (as defined  below) as  determined  by, and as of the

          date of, the Inventory Report.  Such SPP Deficit,  if any, will remain

          in effect for purposes of this  Agreement  until the  preparation  and

          delivery  by  Dealer to DFS of a new  Inventory  Report.  Dealer  will

          forward  to DFS by the tenth  (10th) day of every  month an  Inventory

          Report dated as of the last day of the prior month which specifies the

          total aggregate  wholesale invoice price of all of Dealer's  inventory

          financed  by DFS  under  the  AWF  that  is  unsold  and  in  Dealer's

          possession and control as of the date of the Inventory Report.

          The term Inventory Value is defined herein to mean One Hundred Percent

          (100%)  of the  total  aggregate