Richard Frank
About Richard Frank
Richard Frank, age 57, has served as Inspire Veterinary Partners’ Chief Financial Officer since January 2023 and holds a B.S. in Finance from Mercy College (1992) . Company performance during his tenure shows total revenue essentially flat in FY 2024 versus FY 2023 ($16.59M vs $16.68M) while net loss narrowed modestly ($14.26M vs $14.79M), with auditors continuing to flag going-concern uncertainty and material weaknesses in internal control noted by the prior auditor . Inspire’s capital structure and governance environment include dual-class voting (Class B carrying 25 votes/share) and absence of hedging/pledging prohibitions—both relevant to alignment and control risk .
Company performance (FY, oldest → newest)
| Metric | FY 2023 | FY 2024 |
|---|---|---|
| Revenue ($USD) | $16,675,393 | $16,592,109 |
| Net Loss ($USD) | $(14,792,886) | $(14,264,261) |
| EBITDA ($USD) | *[S&P Global] | *[S&P Global] |
Note: Asterisk values retrieved from S&P Global.
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Purcell Flanagan Hay & Greene (law firm) | Chief Executive Officer | 2021–2022 | Led operations of a professional services firm; broad management exposure |
| Skygeek.com (aviation e-commerce) | Chief Financial Officer | 2020–2021 | Oversaw finance in a specialized e-commerce vertical |
| PKF O’Connor Davies (accounting/advisory) | Independent Consultant | 2019–2020 | Advisory work across finance/operations |
| Beval Saddlery, LLC (multi-location retailer/wholesaler/e-commerce) | COO & CFO | 2014–2019 | Senior P&L and operational leadership in multi-site retail |
| FactSet Research Systems, Inc. | Senior management positions | Earlier career | SaaS financial information exposure (global ops) |
| Indotronix International Corporation; Microcast, Inc.; Medical Recruitment Solutions, Inc.; Blue Chip Farms, LLC | Senior management roles | Earlier career | Operations, business development across diverse sectors |
External Roles
No public company directorships or external board roles disclosed in company filings for Mr. Frank .
Fixed Compensation
| Component | FY 2023 | FY 2024 |
|---|---|---|
| Base Salary ($) | $191,781 | $210,000 |
| Bonus ($) | — | — (no bonuses paid) |
| Option Awards ($) | — | — |
| Non-Equity Incentive Plan ($) | — | — |
| All Other Compensation ($) | $10,103 (401k/health) | $12,274 (401k/health) |
| Total ($) | $201,884 | $222,274 |
Additional terms:
- 2024 employment agreement: Base salary $210,000; eligible for annual bonuses tied to revenue and profit; discretionary stock bonus consideration of 10–14% of base (fully vested shares if granted); no bonuses paid for 2024 .
- New employment agreement effective March 3, 2025: Initial two-year term; base salary $255,000; annual bonuses tied to KPIs; non-solicit covenants; severance eligibility in certain circumstances .
Performance Compensation
| Metric | Weighting | Target | Actual | Payout | Vesting |
|---|---|---|---|---|---|
| Revenue Bonus | Not explicitly weighted vs Profit; each bonus independent | 15% of base salary; payout curve: 125% at ≥110% target; 100% at 100–109%; etc. | Not disclosed | No bonus paid for 2024 | Cash; separate discretionary stock bonus 10–14% of base could be awarded by Board (fully vested); none awarded for 2024 |
| Profit Bonus | Not explicitly weighted vs Revenue; each bonus independent | 15% of base salary; same payout curve as Revenue | Not disclosed | No bonus paid for 2024 | Cash |
Clawback: Company has an Executive Incentive Compensation Recovery Policy per Exchange Act Rule 10D-1/Nasdaq 5608 to recover erroneously awarded incentive compensation upon accounting restatements; recovery may be deemed impracticable under specified conditions .
Equity Ownership & Alignment
| Item | As of Oct 14, 2025 |
|---|---|
| Beneficial ownership – Class A common | 58,480 shares (via fully vested options, exercisable at $1.71/share) |
| Beneficial ownership – Class B common | None |
| Ownership % (Class A) | 1.6% |
| Total combined voting % | <1% (“*” in table) |
| Options – status | Fully vested; 58,480 exercisable at $1.71; no unexercisable disclosed |
| Other outstanding equity awards | None (NEOs had no outstanding equity awards at 12/31/2024) |
| Hedging/pledging policy | Company has not adopted prohibitions on short sales, derivatives, margin accounts or pledging—governance red flag |
| Ownership guidelines | Not disclosed |
Employment Terms
| Term | Detail |
|---|---|
| 2024 agreement (effective Jan 1, 2024) | Base salary $210,000; annual revenue/profit bonuses each with 15% of base target; discretionary stock bonus 10–14% of base; confidentiality; 2-year post-termination non-solicit; client non-solicit (2 years) |
| Termination for cause / Good reason | Standard definitions including death/incapacity; material breach; reduction in duties; relocation >30 miles without consent; change in control triggers eligibility |
| Severance (no CoC) | One year of then-current base salary upon termination for good reason (release required) |
| Severance (with CoC) | One year of base salary plus Board-discretionary pro rata stock bonus based on current-year performance upon termination for good reason within six months after change in control (release required) |
| 2025 agreement (effective Mar 3, 2025) | Two-year initial term; base $255,000; bonus tied to KPIs; similar covenants; severance eligibility |
Investment Implications
- Pay-for-performance alignment: Bonus framework is tied to revenue and profit (each at 15% of base), but no bonuses were paid for 2024—indicating discipline or underperformance versus targets; the new 2025 agreement increases fixed pay to $255k, modestly shifting cash mix higher .
- Selling/overhang risk: Frank holds 58,480 fully vested options at a $1.71 strike; with no unvested tranches, near-term selling pressure would be determined by market price and personal exercise timing; absence of hedging/pledging prohibitions raises misalignment risk if pledging occurs .
- Retention and change-of-control economics: One year of base salary severance (and potential pro rata stock bonus with a change in control) provides moderate protection; non-solicit covenants (two years) support retention and post-exit risk management .
- Execution risk: Flat revenue and continued material internal control weaknesses/going-concern commentary from prior auditor underscore operational/financial control risk under the current leadership window—key for CFO oversight .
- Governance and control environment: Extreme voting concentration in Class B stock and no hedging/pledging restrictions reduce shareholder-alignment quality and elevate governance risk premiums .