Related Party Transactions and Outside Related Director Information

QC Holdings, Inc. (QCCO)

4/27/2006 Proxy Information

Ms. Andersen is married to Mr. Early and is the mother of Darrin Andersen, the president and chief operating officer of the company.

Julian and Felix Baker are brothers.

On April 18, 2006, the company entered into a registration rights agreement with Mr. Early and Prides Capital Fund I, LP, a Delaware limited partnership (Prides). Prides, directly or through its affiliated funds, is the holder of 2,547,607 shares of common stock of the company. Mr. Richardson is a managing member of the sole general partner of Prides.

The registration rights agreement provides that, upon written request by Mr. Early, Prides, the estate of Mr. Early, any trust, testamentary or otherwise, that is funded in whole or in part with shares of common stock from Mr. Early or the estate of Mr. Early, or any affiliate of Mr. Early or Prides, or any assignee of Mr. Early or Prides (individually, a ŇholderÓ), who is at the time of the request, individually or as a group, a holder of at least 5% of the outstanding common stock of the company, the company will prepare and file with the SEC, as soon as practicable, a registration statement to enable the reoffer and resale by the requesting holders of the shares of common stock of the company on a delayed or continuous basis under Rule 415 of the Securities Act, and use its best efforts to cause the registration statement to become effective as soon as reasonably practicable after the filing of the registration statement. The company is required to keep the registration statement effective until the holder or holders have completed the distribution described in the registration statement relating thereto, but for no more than 120 days or such lesser period until all the registered securities are sold. The company has granted two demand registration rights under the agreement to each of Mr. Early and Prides.

The registration rights agreement also provides for certain Ňpiggyback registration rights,Ó whereby any holder who did not initiate the registration request will have an opportunity to have their shares of common stock registered in conjunction with the initiating holdersŐ registration.

The company is obligated to pay customary registration expenses associated with the exercise of demand or piggyback registration rights by either Mr. Early or Prides or their permitted designees, other than underwriting fees and expenses, which will be the responsibility of the selling stockholders. The agreement includes certain other customary provisions for a registration rights agreement, including various obligations of the company to facilitate the filing and effectiveness of the demand registrations.

The company and Mr. Early were parties to a registration rights agreement dated as of June 22, 2004, which granted to the estate of Mr. Early certain registration rights for the common stock of the company held by the estate of Mr. Early and certain other persons. The company and the Mr. Early terminated the 2004 registration rights agreement as of April 18, 2006, without any material early termination penalties incurred by the company. The company continues to maintain $15 million of key man life insurance on Mr. Early, but has no obligation to use any life insurance proceeds to purchase any stock from Mr. EarlyŐs estate.

The compensation committee approves the salary and bonus paid to Mike Waters, the companyŐs vice president of governmental affairs. Mr. Waters is the brother of Mary Lou Andersen and the uncle of Darrin J. Andersen. In 2005, the company paid Mr. Waters salary and bonus totaling in excess of $60,000. On January 6, 2006, the company awarded Mr. Waters 3,500 restricted shares of the companyŐs common stock at $11.92 per share, the closing price for common stock on the Nasdaq National Market on that date.

4/21/2006 8K Information

Mr. Richardson is a managing member of the sole general partner of Prides Capital Fund I, LP, which acquired 500,000 additional shares of common stock of the Company on April 18, 2006, bringing its ownership position in the Company to 2,547,607 shares, or approximately 12% of the issued and outstanding common stock of the Company.