Private Placement

August 26, 2003 (QHR – TSX) Mr. Al Hildebrandt, President and CEO of the Company, is pleased to announce that the Company has arranged a private placement from its employees, Directors, and close friends and relatives of the Directors in the amount of CAD $252,000.

The Company will issue 420,000 common shares from its treasury at $.60 per share. These common shares will be restricted from trading for a period of one year. There are no warrants or finder’s fees attached to the transaction. The proceeds will strengthen the financial position of the Company and will be used for marketing and general working capital purposes.
The investors are located in the Provinces of British Columbia, Alberta and Manitoba and the placement is subject to regulatory approvals.

QHR is growing rapidly and the additional equity capital will assist the Company to accelerate its marketing campaign for the new Version 2.0 of Quadrant HRTM scheduled for launch in September 2003 as previously announced. This newly assembled suite of unique Human Resource (“HR”) software modules links HR functions with staff scheduling requirements and payroll administration through a single integrated database. Quadrant HRTM is specifically designed to be a powerful HR system that provides smart, simple and seamless HR management solutions for its customers.

For a more complete corporate profile of the Company, management encourages interested parties to visit the Company’s website, QHRsoftware.com.

On behalf of the Board of Directors
Al Hildebrandt President & Chief Executive Officer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.