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Daniel C. Philp

Co-Chief Executive Officer at LENDWAY
CEO
Executive
Board

About Daniel C. Philp

Daniel C. Philp is Co-Chief Executive Officer of Lendway, Inc. (LDWY) and a director since 2022; he has also served as Senior Vice President of Corporate Development at Air T, Inc. since 2014, with prior experience as an event-driven/special situations analyst/trader at Whitebox Advisors. He holds a BA from St. John’s University and is age 41 per the 2025 proxy; tenure as Co-CEO began July 1, 2024 and as director in November 2022 . Pay-versus-performance disclosures show Compensation Actually Paid (CAP) to CEO #2 (Philp) of $202,162 in 2024 and $44,330 in the transition period ended June 30, 2025; company TSR fell to $21.01 in 2024 and $21.79 in 2025T (value of $100 initial investment), with net income of $(6,677)k in 2024 and $1,969k in 2025T .

Past Roles

OrganizationRoleYearsStrategic Impact
Air T, Inc. (Nasdaq: AIRT)Senior Vice President, Corporate Development2014–presentLeads investigation of new business lines, acquisition targets, and strategic initiatives .
Whitebox AdvisorsEvent-Driven/Special Situations Analyst/TraderPrior to 2014Sourced and evaluated non-market-correlated investments and structured convertible PIPEs .

External Roles

OrganizationPositionYearsNotes
Air T, Inc.Senior Vice President, Corporate Development2014–presentConcurrent with LDWY Co-CEO role; creates potential related-party considerations given Air T’s significant ownership in LDWY .

Fixed Compensation

PeriodBase Salary ($)Target Bonus (%)Actual Bonus ($)All Other Comp ($)Total ($)
FY 202453,462 n/a (no cash incentive in agreement) 0 17,750 (includes $17,000 director fees) 172,732
TP 6/30/202550,000 n/a (no cash incentive in agreement) 0 0 50,000
  • Employment agreements dated June 11, 2024 provide an initial $100,000 annual base salary and “do not contain any provisions for cash or equity incentive programs or severance” for Messrs. Jundt and Philp .

Performance Compensation

Award TypeGrant DateShares/UnitsGrant-Date FV ($)Performance MetricWeightingOutcome/PayoutVesting Schedule
Restricted Stock (time-based)5/9/202427,000 101,520 None (recognition for Bloomia acquisition) n/aTime-based vesting (not performance-based) 9,000 each on 5/9/2025, 5/9/2026, 5/9/2027 .
  • Outstanding at 6/30/2025: 18,000 unvested RS with market value $101,520; vests in equal tranches on the first, second, and third anniversaries of grant .

  • No option awards were reported for Philp in 2024 or TP 6/30/2025 (SCT shows stock awards only) .

Equity Ownership & Alignment

As-of DateBeneficially Owned Shares% OutstandingNotes
9/24/202559,071 3.3% Excludes 6,521 director deferred stock equivalents (no voting rights; not acquirable within 60 days) .
Equity Detail (as of 6/30/2025)AmountNotes
Unvested RS18,000 From 5/9/2024 grant; 9k already vested on 5/9/2025; remaining vests 5/9/2026 and 5/9/2027 .
Director Deferred Comp Plan Equivalents6,521 No voting rights; not included in beneficial ownership .
Company anti-hedging policyProhibits hedging transactions by directors/officers
PledgingNo pledging disclosed for Philp; Swenson’s AO Partners Fund shares are pledged (separate)

Reference capitalization for context: 1,769,599 shares outstanding as of 9/26/2025 .

Implications:

  • Potential insider selling windows around vest dates May 9, 2026 and May 9, 2027 (9,000 shares each) could create modest selling pressure absent 10b5-1 plans .

Employment Terms

ItemPhilp Terms
Agreement dateJune 11, 2024
RoleCo-Chief Executive Officer
Base salary$100,000 initial
Cash/equity incentive eligibilityNone provided for in agreement
SeveranceNone (agreement contains no severance provisions)
Change-in-controlNo provisions (not included in agreement)
ClawbackCompany-wide recoupment policy (Rule 10D-1) effective for incentive-based comp received on/after 10/2/2023
Hedging/Pledging policiesHedging prohibited; no pledging policy disclosed; no Philp pledging disclosed

Board Governance

  • Service history and structure:

    • Director since 2022; current position: Director and Co-Chief Executive Officer; age 41 in director slate .
    • Board Chair is Co-CEO Mark Jundt; the company has no designated lead independent director, and the Board periodically evaluates CEO/Chair separation; independent directors are “very active,” per the proxy .
    • Committee memberships: Philp does not serve on standing committees; Audit Committee (Herfurth, Chair; Johnson; Kelly) and Governance, Compensation and Nominating (GCN) Committee (Swenson, Chair; Johnson; Kelly) are staffed solely by independent directors .
    • Board/committee attendance: Board held one meeting in the Transition Period Ended 2025; each director attended >75% of meetings; all then-serving directors attended the 2024 annual meeting .
  • Director compensation (cash):

    • Philp earned $17,000 in FY 2024 and $8,500 in TP 6/30/2025 in director fees (retainer/meeting fees), with 6,521 director deferred stock equivalents as of June 30, 2025 .

Performance & Track Record

Metric20242025 Transition Period (to 6/30/2025)
Compensation Actually Paid (CEO #2 – Philp)$202,162 $44,330
TSR index (value of $100 investment)$21.01 $21.79
Net Income (Loss)$(6,677)k $1,969k

Context:

  • In 2025, LDWY funded Bloomia operations with $4.0M of related-party notes at 13.5% from Air T, AO Partners, and Gary S. Kohler; Co-CEOs Jundt and Philp hold executive roles at Air T; transaction was approved by the Audit Committee and independent directors under the Related Person Transaction Approval Policy .

Compensation Structure Analysis

  • Cash vs equity mix: 2024 SCT shows modest cash salary, no cash bonus, and a $101,520 time-based RS grant recognizing Bloomia acquisition; 2025T shows cash salary only .
  • Shift to lower-risk equity: Award is time-based restricted stock (RS), not options or performance shares, reducing risk relative to options and weakening explicit pay-for-performance linkage .
  • Incentive plans: Philp’s employment agreement includes no cash or equity incentive programs; no severance or change-in-control protections .
  • Clawback and hedging: Company adopted a clawback policy compliant with Rule 10D-1 and prohibits hedging by insiders, reinforcing governance discipline .

Equity Ownership & Alignment Details

ItemDetail
Beneficial ownership59,071 shares (3.3% of outstanding) as of 9/24/2025
Unvested RS18,000 unvested as of 6/30/2025; vesting 5/9/2026 and 5/9/2027 (9,000 each) .
Director deferred stock equivalents6,521 (no voting rights; not in beneficial ownership)
Anti-hedgingProhibited for directors/officers
PledgingNone disclosed for Philp; separate disclosure notes pledged shares by another director (Swenson)

Employment Terms (Severance & Change-of-Control Economics)

  • Severance: None for Philp; CFO McShane has severance (for context), but Philp’s agreement explicitly contains no severance .
  • Change-of-control: No single- or double-trigger or accelerated vesting terms disclosed for Philp .
  • Other restrictive covenants: Not disclosed in Philp’s agreement excerpts; company maintains insider trading and anti-hedging policies .

Board Service, Committees, and Dual-Role Implications

AttributeDetail
Board tenureDirector since 2022
CommitteesNone (not on Audit or GCN)
IndependenceNot listed as independent in committee matrix; committees comprise independent directors only
Board leadershipChairman role held by Co-CEO Jundt; no lead independent director
Attendance>75% attendance in TP 6/30/2025; all directors attended 2024 annual meeting

Implications:

  • Combined Chair/Co-CEO structure without a lead independent director increases reliance on committee independence for oversight; Philp’s dual role as Co-CEO and director, plus external executive role at a major shareholder (Air T), heightens perceived governance/related-party risk, partially mitigated by independent Audit/GCN committees and their approvals .

Director Compensation

PeriodCash Fees ($)Notes
FY 202417,000 Annual retainer/meeting fees; participates in Director Deferred Compensation Plan .
TP 6/30/20258,500 Transition-period retainer/meeting fees .

Investment Implications

  • Alignment and incentives: Philp’s pay is primarily fixed cash plus a time-based RS grant tied to the Bloomia transaction; absence of performance-based incentives and severance/COC provisions suggests lower direct pay-for-performance alignment but also lowers parachute risk; watch RS vest dates (May 9, 2026/2027) for potential selling pressure .
  • Ownership and control: Meaningful personal stake (3.3%) supports alignment, though overall control resides with the Air T–led stockholder group (39.6%); Philp’s concurrent Air T executive role and related-party financings elevate governance/related-party risk, despite Audit Committee independent oversight .
  • Governance structure: Combined Chair/Co-CEO model with no lead independent director raises independence concerns; however, independent-only Audit and GCN committees and >75% attendance provide some counterbalance; continued monitoring of committee rigor and related-party approvals is warranted .
  • Execution focus: Background in M&A/special situations suggests emphasis on capital allocation and transactions; CAP/TSR and net income trends during early tenure remain mixed; assess progress at Bloomia and financing terms/covenants on strategic flexibility in upcoming quarters .