Company: NTWK
Filing Date: 2025-04-16
Form Type: PRE 14A
Source: 0001641172-25-005001
Chunk: 58

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-04-16
Form: PRE 14A
Chunk 58
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 shareholder value. Long-term incentive awards  
 are granted primarily in the form of stock options and/or shares.                                                                    |
| Appropriate                  
 Risk                         |     | ● | Our                                                                                                                                  
 executive compensation programs are designed to encourage executive officers to take appropriate risks in managing their businesses  
 to achieve optimal performance.                                                                                                      |
| Competitive                  
 with external talent markets |     | ● | Our                                                                                                                                  
 executive compensation programs are designed to be competitive within the relevant markets.                                          |
| Simple                       
 and transparent              |     | ● | Our                                                                                                                                  
 executive compensation programs are designed to be readily understood by our executives, and transparent to our investors.           |

Compensation Analysis Peer Group

After consideration of business models, Company revenue and market capitalization of other companies in the Company’s technology industry segment, and with the input from Compensation Resources, Inc., the compensation consultant used by the Company at the time the study was last conducted, the Compensation Committee established the following list of peer companies to provide a comparative framework for use in setting executive compensation:

American Software, Inc.

BSquare Corp.

Cass Information Systems

Digital Turbine, Inc.

Everbridge, Inc.

Mitek Systems, Inc.

SPS Commerce Inc.

Executive Officer Base Salaries and Compensation Comparisons

Compensation plans are developed by utilizing publicly available compensation data in the information technology and software services industries. We believe that the practices of these groups of companies provide us with appropriate compensation benchmarks, because these groups of companies are in similar businesses and tend to compete with us for executives and other employees. For benchmarking executive compensation, we typically review the compensation data we have collected from these groups of companies, as well as a subset of the data from those companies that have a similar number of employees as the Company. The Compensation Committee has determined to utilize the services of a consultant for purposes of comparing our compensation program with similarly situated companies in like industries. The recommendations of these consultants will be utilized by the Compensation Committee in determining the appropriate compensation packages in addition to taking into account the unique global scale of the Company’s business. While these consultants may make general recommendations about the size and components of compensation, we anticipate our philosophy to continue on the basis of a pay-for-performance philosophy.

| 44 |

In establishing the compensation of our named Chief Executive Officer and President, we based the amounts primarily on the market data and advice provided by Compensation Resources, Inc. with respect to the compensation paid to individuals who perform substantially similar functions within the peer group companies. In connection with the other named executive officers, we also relied on