When was the 2019 HireQuest, Inc. Equity Incentive Plan approved by the shareholders of Management Recruiters?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
In December 2019, our Board approved the 2019 HireQuest, Inc. Equity Incentive Plan (the "2019 Plan"). Subject to adjustment in accordance with the terms of the 2019 Plan, no more than 1.5 million shares of common stock are available in the aggregate for the grant of awards under the 2019 Plan. No more than 1 million shares may be issued in the aggregate pursuant to the exercise of incentive stock options. In addition, no more than 250 thousand shares may be issued in the aggregate to any employee or consultant, and no more than 50 thousand shares may be issued in the aggregate to any non-employee director in any twelve-month period. Shares of common stock available for distribution under the Plan may consist, in whole or in part, of authorized and unissued shares, treasury shares or shares reacquired by the Company in any manner. The 2019 Plan was approved by our shareholders in June 2020 and became effective as of that date.
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 65–66)
What This Means (2024 FDD)
According to Management Recruiters' 2024 Franchise Disclosure Document, the 2019 HireQuest, Inc. Equity Incentive Plan was approved by the shareholders in June 2020. The plan became effective as of that date.
The plan allows for the grant of awards up to 1.5 million shares of common stock, subject to adjustments. A maximum of 1 million shares can be issued through incentive stock options. Individual limits are also in place, with no more than 250,000 shares to any employee or consultant and 50,000 shares to any non-employee director within a 12-month period.
The shares for distribution can be authorized and unissued, held as treasury shares, or reacquired by the company. This plan is separate from the share purchase match program, which was approved by the Board in September 2019.
Prospective Management Recruiters franchisees should note that this equity incentive plan is designed to align the interests of employees, consultants, and directors with those of the shareholders, potentially impacting the company's overall performance and value.