Company: RILYN
Filing Date: 2025-10-22
Form Type: DEF 14A
Source: 0001213900-25-101228
Chunk: 41

Company: B. Riley Financial, Inc.
Filing Date: 2025-10-22
Form: DEF 14A
Chunk 41
---
holder value and the success of B. Riley by motivating key employees, including B. Riley’s named executive officers, to perform to the best of their abilities and to achieve B. Riley’s objectives. No specific target levels of performance are set by the Compensation Committee to determine the annual incentive compensation of our named executive officers. Instead, the Compensation Committee determines the amount of each named executive officer’s annual incentive compensation based on the Compensation Committee’s subjective assessment of the Company (and in some cases, of a particular business unit) and individual performance relative to the qualitative and quantitative performance indicators used by the Compensation Committee to evaluate performance.

25 Long-Term Equity Incentive Compensation The Compensation Committee believes that a significant portion of our named executive officer compensation should be in the form of equity -basedawards as a retention tool, and to align further the long -terminterests of our named executive officers with those of our other stockholders. In furtherance of that objective, the Compensation Committee makes annual grants of long -term, equity -basedincentive compensation awards to our named executive officers. The Compensation Committee understands that equity incentive compensation can promote high -riskbehavior if the incentives it creates for short -termperformance are not properly aligned with the interests of our Company over the long -term. The Compensation Committee believes that the structure of our Company’s long -termequity incentive compensation appropriately mitigates the risk by directly aligning the recipients’ interests with those of our Company. We use judgment and discretion rather than relying solely on formulaic results, and do not use highly leveraged incentives that drive risky short -termbehavior. Instead, we reward consistent and longer -termperformance. Our long -termequity incentive compensation rewards long -termperformance on a per share basis. In March 2024, the Compensation Committee granted time -basedRSUs under the 2021 Plan to our named executive officers as a component of their annual compensation for the fiscal year ended December 31, 2024, as further described below in the “Executive Compensation -2024Summary Compensation Table” and “2024 Grants of Plan -BasedAwards.” The RSUs vest ratably over a three -yearperiod beginning on March 15, 2025, subject to the named executive officer’s continued employment with our Company. The Compensation Committee believes that these awards appropriately align the interests of our named executive officers with those of our stockholders and retain, motivate, and reward such executives. Timing Mix and Level of Equity Compensation Awards In determining the number and