Kaitlin Folan
About Kaitlin Folan
Kaitlin A. Folan is Chief Accounting Officer (principal accounting officer) of Katapult Holdings, Inc. (KPLT), appointed effective July 22, 2024; she was 41 at the time of appointment and is a CPA with a bachelor’s degree and MBA from Bentley University . Prior roles include VP, Financial Accounting at BJ’s Wholesale Club (Apr 2021–Jul 2024) and Managing Director/other roles at PwC (Oct 2012–Apr 2021) . Company operating performance around her tenure showed sequential adjusted EBITDA improvement and management outlook for positive FY2024 adjusted EBITDA; Q2 2024 adjusted EBITDA loss improved to $377k (from $1.5m loss YoY), cash from operations turned positive $1.4m in H1 2024, and management guided for 8–10% Q3 gross originations growth, 7–8% revenue growth, and breakeven-or-better adjusted EBITDA, with full-year positive adjusted EBITDA expected .
Past Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| BJ’s Wholesale Club | Vice President, Financial Accounting | Apr 2021 – Jul 2024 | Led financial accounting at a public retailer |
| PricewaterhouseCoopers LLP | Managing Director and various roles | Oct 2012 – Apr 2021 | Senior audit/advisory leadership in Big Four firm |
External Roles
No public company directorships or external board roles disclosed for Folan .
Fixed Compensation
| Component | Amount/Term | Year/Effective | Notes |
|---|---|---|---|
| Base salary | $345,000 | 2024 (start as CAO) | Per Offer Letter |
| Target annual incentive | 40% of base salary | 2024 onward | Under Company incentive compensation plan |
| Sign-on cash bonus | $50,000 | 2024–2025 | 50% paid within 30 days of start; 50% in Q2 2025 subject to continued employment |
| Benefits | Standard health, welfare, retirement | 2024 onward | Participation in Company programs |
Performance Compensation
RSU Grants and Vesting
| Grant type | Grant date | Shares | Vesting schedule | Notes |
|---|---|---|---|---|
| RSUs (one-time) | Promptly after start (Board approval required) | 10,000 | 33.3% on first anniversary of grant, then 8 equal quarterly installments over next 2 years | Subject to continued employment |
Company STIP Metrics (context)
| Metric | Weighting | Period | Notes |
|---|---|---|---|
| Revenue | 33.4% | 2023 STIP | Company STIP weighting; Folan’s specific weighting not disclosed |
| Gross originations | 33.3% | 2023 STIP | Company STIP weighting; Folan’s specific weighting not disclosed |
| Adjusted EBITDA | 33.3% | 2023 STIP | Company STIP weighting; Folan’s specific weighting not disclosed |
The Offer Letter references eligibility under the Company’s incentive plan but does not specify Folan’s personal performance metrics or weights; metrics above reflect Company STIP structure in 2023 .
Equity Ownership & Alignment
| Item | Detail | Date/As of | Notes |
|---|---|---|---|
| Initial beneficial ownership | No securities beneficially owned | Aug 7, 2024 (Form 3) | Filed on appointment; shows zero holdings |
| RSU award | 10,000 RSUs | Granted promptly after start | Vesting schedule as above |
| Hedging/pledging | Prohibited for executives | 2025 proxy | Policies prohibiting hedging, short sales, short-term trading and pledging |
| Stock ownership guidelines | “Robust” guidelines for executives and directors | 2025 proxy | Company discloses existence of guidelines; individual compliance not disclosed |
Employment Terms
| Term | Detail | Source |
|---|---|---|
| Start date | Effective July 22, 2024 (accepted offer July 15, 2024) | |
| Indemnification | Standard indemnification agreement for officers/directors upon start | |
| Confidentiality & IP assignment | Employee Confidentiality and Assignment Agreement required | |
| Non-solicitation | Restricts soliciting Company employees and customers/suppliers while employed and for 12 months thereafter | |
| Role status | Principal accounting officer; signed Company 10-K and S-8 filings in official capacity |
Performance & Track Record
- Authored SEC correspondence on depreciation methodology (income forecasting) detailing cohort-based lease pool depreciation and accelerated rates for impairments and buyouts, demonstrating technical accounting rigor; provided direct contact information as CAO .
- Q2 2024 earnings call acknowledged Folan’s onboarding and highlighted operating improvements and FY2024 positive adjusted EBITDA expectations .
Risk Indicators & Red Flags
- No Form 4 transactions were found in the document search; initial Form 3 indicated no holdings at appointment . Absence of disclosed pledging and presence of prohibitions on hedging/pledging reduce alignment risk concerns .
- Company-level leverage and refinancing dynamics (2025 special proxy) may heighten enterprise risk; warrants/term loan conversion features could create dilution and volatility (blue-chip lender rights). Not Folan-specific, but relevant to incentive outcomes tied to equity .
Compensation Structure Analysis
- Mix is predominantly fixed cash (base + moderate 40% target bonus) plus a small RSU grant (10,000 shares) with time-based vesting, indicating retention-focused design rather than high-leverage performance equity .
- No Folan-specific PSUs or option awards disclosed; bonus metrics are governed by Company STIP but individualized targets/weights not specified .
- Sign-on cash bonus includes continued employment condition into Q2 2025, a short-term retention hook .
Investment Implications
- Alignment: Initial lack of beneficial ownership and modest RSU grant suggest limited near-term equity alignment; however, Company prohibitions on hedging/pledging and ownership guidelines mitigate misalignment risks .
- Selling pressure: RSU vesting cadence (first anniversary, then quarterly over 2 years) creates predictable liquidity windows; monitor open trading windows around vest dates for potential incremental supply .
- Retention risk: Non-solicit and indemnification are standard; no enhanced severance or change‑of‑control terms disclosed for Folan, limiting separation economics relative to NEOs. Near-term retention signal was positive given Q2 2025 sign-on installment and her continued status as principal accounting officer into 2025 filings .
- Execution signal: SEC correspondence authored by Folan indicates hands-on technical oversight of complex accounting areas (lease depreciation), which is supportive for control quality; continue to monitor for restatement/SEC inquiry risks given Company’s prior restatement context in 2024 proxies (not Folan-specific) .