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Epazz Reports 50 Percent Increase in Revenues for 3rd Quarter; 32.5 Percent Revenue Growth for 2012 Year to Year

Epazz Reports 50 Percent Increase in Revenues for 3rd Quarter; 32.5 Percent Revenue Growth for 2012 Year to Year Epazz, Inc. Company Asset Value grows 38 Percent; Financial Projections for Substantial Growth Going Forward on Track Chicago, IL - Epazz Inc., (OTCQB: EPAZ) a leading provider of cloud based business software solutions announced today that the Company continues substantial progression toward financial goals including $2M in revenues by the third quarter of 2013. In the third quarter for 2012, Epazz revenue grew 50 percent and 32.5 percent respectively for the nine month period ending 30 September, 2012. Epazz, Inc. reported revenue of $856,248 versus revenue of $646,023 for the same period in 2011. Additionally, the Company’s Asset value grew by 38% to $1,425,248 during the nine month period ending on September 30, 2012. Acquisitions made by Epazz have significantly boosted revenues for the Company as expected. These acquisitions included K9 Bytes Kennel Software and MS Health Software. Additionally, Project Flex, a patent pending new technology that will change the way cooling technology is used will soon become a wholly owned subsidiary. Additionally, the Company is pursuing additional acquisitions to grow its bottom line and increase the Company and shareholder’s value. “We established bold guidance and goals going forward last year. We are obviously pleased with the direction we have this Company moving. We are currently in negotiations to close deals which will bring even more value to Epazz, Inc. I am hopeful that we will be able to begin to announce these soon as well as additional progress on Project Flex, ” said Shaun Passley, CEO of Epazz, Inc. About Epazz Inc. Epazz Inc. is a leading cloud based software company that specializes in providing customized cloud applications to the corporate world, higher education institutions and the public sector. Epazz BoxesOS™v3.0 is the complete business web-based software package for small to mid-size businesses, Fortune 500 enterprises, government agencies and higher education institutions. BoxesOS provides many of the web-based applications organizations would have to otherwise buy separately. Epazz's other products are AgentPower™, a workforce management software and AutoHire™, an applicant tracking system. CMHCi offers server based, internet, and secure cloud computing allowing you to access your information as you require. MS Health, mental health software, By maintaining a complete electronic client record, including data collection and reporting across multiple programs, locations, episodes of care, and service providers, CMHCi helps eliminate redundant record keeping. The scheduler tracks client, staff, and group appointments. Easy to use, it interfaces seamlessly with service authorization tracking, service history, and billing. Integrated financial reporting provides the basis for an efficient and comprehensive accounting system, including electronic claims and remittance, third party insurance, and client, municipality, and grantor billing. Software as a service, secure cloud computing, and networked application options K9 Bytes® has been developing innovative technology solutions for the pet care industry for over 20 years. K9 Bytes, kennel software, was founded in 1988 with the first version of the K9 Koordinator management system for DOS. The K9 Koordinator was one of the first software tools designed specifically for the pet care industry in the world. Today, K9 Bytes® offers a variety of products for the pet care industry, including complete software management systems for boarding kennels, grooming shops, doggy daycare centers, dog walking, and pet sitting services. K9 Bytes® employs experienced software developers and pet care specialists coming from different academic backgrounds and having a broad set of skills and solid experience. Each member is constantly working hard to design, create, and support the next generation of software for the pet care industry. SAFE HARBOR "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: Certain statements contained in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally can be identified by the use of forward-looking statements such as "may," "expect," "intend," "estimate," "anticipate," "believe," or "continue" (or the negative thereof) or similar terminology. Such forward-looking statements are subject to risk, uncertainties and other factors that could cause actual results to differ materially from future results or implied by such forward-looking statements. Investors are cautioned that any forward-looking statements are not guarantees of future performance and that actual results may differ materially from those contemplated by such forward-looking statements. Epazz assumes no obligation and does not intend to update these forward-looking statements and takes no obligation to update or correct information prepared by third parties that is not paid for by Epazz. Investors are encouraged to review Epazz's public filings on SEC.gov, including its unaudited and audited financial statements, and its Registration Statement, Form 10-K's and Form 10-Q's, which contain general business information about the Company's operations, results of operations and risks associated with the Company and its operations. Penny stock picks need to be research. Do your homework. Please review all of our filings. For more information please contact: Epazz Inc. Investor Relations investors@epazz.net (312) 955-8161 www.epazz.com

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