SRM Entertainment (NASDAQ: SRM) Enters into New CFO Employment Agreement

On January 22, 2025, SRM Entertainment, Inc. (NASDAQ: SRM) disclosed in a Form 8-K filing that the Compensation Committee of its Board of Directors reviewed and recommended approval for a new Employment Agreement with Douglas McKinnon, the Chief Financial Officer (CFO) of the company. The agreement, effective as of January 1, 2024, supersedes Mr. McKinnon’s previous employment contract.

The CFO Employment Agreement has an initial term of 3 years, with automatic renewal for successive 1-year periods. As per the agreement, Mr. McKinnon will receive a base salary of $215,000, with annual increases of at least ten percent. Additionally, he will be eligible for an annual cash bonus as determined by the Board and Compensation Committee, payable in cash or common stock at his discretion.

Furthermore, SRM Entertainment will grant a Restricted Share Award (RSA) of restricted shares equal to Mr. McKinnon’s base salary. Each year during the Initial and Renewal Terms, additional restricted shares will be granted in accordance with the company’s Equity Incentive Plan. The RSA grants will be fully vested upon issuance and are subject to the terms of the Plan.

The compensation structure also includes bonus payments based on the Company’s performance against pre-set market capitalization goals. When specific market capitalization thresholds are met, equity incentive grants will be awarded to the CFO. The summary of the CFO Employment Agreement provided is incomplete and is subject to the full text filed as Exhibit 10.1 along with the Form 8-K.

SRM Entertainment, listed on The Nasdaq Capital Market, confirmed its emerging growth company status. The company has not elected an extended transition period for complying with new financial accounting standards.

The full details of the CFO Employment Agreement and related exhibit can be accessed through the Securities and Exchange Commission filing system.

Following this development, SRM Entertainment reveals plans of strategic expansion in its financial management team, aiming towards sustainability and growth within the entertainment industry.

The end of the 8-K filing also featured a press release from Intelligent Bio Solutions Inc. regarding its partnership with IVY Diagnostics to enhance drug screening technology in Europe and the Middle East.

For further updates and financial developments, stakeholders and investors are advised to closely monitor SRM Entertainment, Inc.’s future announcements and filings with the SEC.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read SRM Entertainment’s 8K filing here.

SRM Entertainment Company Profile

SRM Entertainment, Inc designs, manufactures, and sells toys and souvenirs to theme parks. It sells its products through amusement parks, entertainment venues, and theme hotels in the United States, China, Japan, and internationally. The company was incorporated in 2022 and is based in Jupiter, Florida.