Rocky Mountain Chocolate Factory, Inc DEF 14A, filed Jun 29, 2026
Rocky Mountain Chocolate Factory, Inc. (RMCF)
About this DEF 14A
Rocky Mountain Chocolate Factory, Inc filed this DEF 14A on June 29, 2026.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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SCHEDULE
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Proxy Statement Pursuant to Section 14(a) of the
Securities Exchange Act of 1934 (Amendment No. )
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Filed by the Registrant |
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Filed by a party other than the Registrant |
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Check the appropriate box:
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Preliminary Proxy Statement |
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Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2)) |
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Definitive Proxy Statement |
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Definitive Additional Materials |
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Soliciting Material under §240.14a-l2 |
(Name of Registrant as Specified In Its Charter)
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(Name of Person(s) Filing Proxy Statement, if other than the Registrant)
Payment of Filing Fee (Check all boxes that apply):
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No fee required |
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Fee paid previously with preliminary materials |
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Fee computed on table in exhibit required by Item 25(b) per Exchange Act Rules 14a-6(i)(1) and 0-11 |
ROCKY MOUNTAIN CHOCOLATE FACTORY, INC.
NOTICE OF 2026 ANNUAL MEETING OF STOCKHOLDERS
TO BE HELD ON AUGUST 3, 2026
June 29, 2026
The 2026 Annual Meeting of Stockholders of Rocky Mountain Chocolate Factory, Inc. (the “Annual Meeting”) will be held on Monday, August 3, 2026 at 10:00 a.m. (Mountain Time) virtually by live webcast at https://meetnow.global/MN7DKX9 for the following purposes:
1. To elect five nominees named in this Proxy Statement as directors, each to hold office until the 2027 Annual Meeting of Stockholders and until their respective successors are elected and qualified;
2. To ratify the appointment of Rosenberg Rich Baker Berman, P.A. as our independent registered public accounting firm for the fiscal year ending February 28, 2027;
3. To approve, on an advisory basis, the compensation of our named executive officers;
4. To hold an advisory vote on the frequency of future advisory votes to approve the compensation of the Company’s named executive officers;
5. To approve an amendment to the Company’s 2024 Omnibus Incentive Compensation Plan, as amended (the “2024 Plan”), to increase the number of shares of common stock authorized for issuance under the 2024 Plan; and
6. To transact such other business as may properly be brought before the Annual Meeting or any adjournment or postponement thereof.
Stockholders of record of Rocky Mountain Chocolate Factory, Inc.’s common stock at the close of business on June 22, 2026 are entitled to vote at the Annual Meeting and any postponements or adjournments of the Annual Meeting.
This year’s Annual Meeting will be a virtual meeting only, and stockholders will not have the option of attending in person. There is no physical location for the Annual Meeting. The stockholders attending the Annual Meeting virtually will be able to attend the Annual Meeting, submit questions and vote during the live webcast by visiting https://meetnow.global/MN7DKX9 and entering control number which can be found on your notice of the Annual Meeting, on your proxy card or on the instructions that accompanied your proxy materials. Stockholders attending the Annual Meeting are encouraged to pre-register at https://meetnow.global/MN7DKX9 by 10:00 a.m. (Mountain Time), on Sunday, August 2, 2026 and log into the live webcast platform beginning at 8:45 a.m. (Mountain Time) on the Annual Meeting date. We would appreciate your early registration so that the Annual Meeting may start promptly at 10:00 a.m. (Mountain Time) on the Annual Meeting date.
If you plan to participate in the Annual Meeting, we request that you mark, date, sign and return your proxy in the enclosed self-addressed envelope as soon as possible so that your shares may be certain of being represented and voted at the meeting. Any proxy given by a stockholder may be revoked by that stockholder at any time prior to the voting of the proxy.
By order of the Board of Directors
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/s/ Mel Keating |
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Chair of the Board of Directors |
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June 29, 2026 |
Important Notice Regarding Availability of Proxy Materials for the Annual Meeting: Our Annual Report on Form 10-K for the fiscal year ended February 28, 2026, Proxy Statement and Proxy Card are available at https://www.edocumentview.com/RMCF.
Your vote is important. Please vote as promptly as possible electronically via the phone or Internet or by completing, signing, dating and returning the proxy card or voting instruction card.
TABLE OF CONTENTS
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BOARD OF DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE |
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SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT |
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PROPOSAL THREE: APPROVE, ON AN ADVISORY BASIS, THE COMPENSATION OF OUR NAMED EXECUTIVE OFFICERS |
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Proxy Statement
This Proxy Statement, with the enclosed proxy card, is being furnished to stockholders of Rocky Mountain Chocolate Factory, Inc. in connection with the solicitation by the Board of Directors of proxies to be voted at the Annual Meeting and at any postponements or adjournments thereof. The Annual Meeting will be held entirely virtually by live webcast on Monday, August 3, 2026, at 10:00 a.m. (Mountain Time).
This Proxy Statement and the enclosed proxy card are first being furnished to our stockholders on or about June 29, 2026.
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2026 PROXY STATEMENT SUMMARY
To assist you in reviewing this year’s proposals, we call your attention to the following proxy summary. This summary does not contain all of the information that you should consider, and you should read the entire Proxy Statement and our Annual Report on Form 10-K for the fiscal year ended February 28, 2026 in full carefully before voting.
2026 ANNUAL MEETING OF STOCKHOLDERS
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August 3, 2026 |
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10:00 a.m. (Mountain Time) |
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This year’s Annual Meeting will be held entirely virtually. Stockholders will be able to attend the Annual Meeting, submit questions and vote during the live webcast by visiting https://meetnow.global/MN7DKX9. |
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Record Date: |
June 22, 2026 |
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Number of Shares of Common Stock Eligible to Vote as of the Record Date: |
9,439,589 |
VOTING MATTERS
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Description of Proposal |
Board |
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Proposal 1 |
Elect five director nominees |
☒ FOR EACH NOMINEE |
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Proposal 2 |
Ratify the appointment of Rosenberg Rich Baker Berman, P.A. as our Independent Registered Public Accounting Firm for the 2027 Fiscal Year ending February 28, 2027 |
☒ FOR |
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Proposal 3 |
Approve, on an advisory basis, the compensation of our named executive officers |
☒ FOR |
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Proposal 4 |
Approve, on an advisory basis, the frequency of future advisory votes to approve the compensation of our named executive officers |
☒ ONE YEAR |
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Proposal 5 |
Approve an amendment to the Company’s 2024 Omnibus Incentive Compensation Plan, as amended (the “2024 Plan”), to increase the number of shares of common stock authorized for issuance under the 2024 Plan |
☒ FOR |
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ROCKY MOUNTAIN CHOCOLATE FACTORY, INC.
265 Turner Drive
Durango, CO 81303
PROXY STATEMENT FOR THE 2026 ANNUAL MEETING OF STOCKHOLDERS
TO BE HELD AUGUST 3, 2026
This Proxy Statement, along with a proxy card,
is being made available to our stockholders beginning on or about June 29, 2026
GENERAL INFORMATION
We have made these proxy materials available to you in connection with the solicitation by the Board of Directors (the “Board” or the “Board of Directors”) of Rocky Mountain Chocolate Factory, Inc. of proxies to be voted at the 2026 Annual Meeting of Stockholders (the “Annual Meeting”) to be held Monday, August 3, 2026 at 10:00 a.m. (Mountain Time). References in this Proxy Statement to the “Company,” “we,” “our,” and “us” are to Rocky Mountain Chocolate Factory, Inc.
The Annual Meeting will be held entirely virtually via live webcast. You will be able to attend and participate in the Annual Meeting online by visiting https://meetnow.global/MN7DKX9, where you will be able listen to the Annual Meeting live, submit questions, and vote.
If you plan to attend the Annual Meeting online, you will need the 15-digit control number included on your proxy card or on the instructions that accompany your proxy materials. The Annual Meeting will begin promptly at 10:00 a.m. (Mountain Time). Online check-in will begin at 8:45 a.m. (Mountain Time) on the day of the Annual Meeting and you should allow ample time for the online check-in procedures.
Any change to the date or location of the meeting will be announced via press release, a copy of which will be available on EDGAR and on our website at https://ir.rmcf.com. Stockholders may provide their proxy by using the Internet, telephone or by completing, signing, dating and returning the proxy card or voting instruction card, each as explained below under the heading “Voting Methods.” As always, we encourage you to vote your shares prior to the Annual Meeting.
Stockholders Entitled to Vote
Holders of shares of our common stock, our only class of issued and outstanding voting securities, at the close of business on June 22, 2026 (the “Record Date”) are entitled to vote on the proposals presented at the Annual Meeting. As of the Record Date, 9,439,589 shares of our common stock were issued and outstanding. Each share is entitled to one vote on each matter properly brought to the Annual Meeting. A list of stockholders entitled to vote at the Annual Meeting will be available for examination by any stockholder for a purpose germane to the Annual Meeting by contacting our Corporate Secretary, Carrie Cass, for a period of 10 days ending on the day before the date of the Annual Meeting.
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Quorum
The presence, virtually or by proxy, of the holders of a majority of the issued and outstanding shares of common stock entitled to vote at the Annual Meeting, or 9,439,589 shares, is necessary to constitute a quorum for the transaction of business at the Annual Meeting. Votes for and against, abstentions and “broker non-votes” will each be counted as present for purposes of determining the presence of a quorum. Your shares will be counted toward the quorum only if you submit a valid proxy (or one is submitted on your behalf by your broker, bank or other nominee) or if you attend the Annual Meeting virtually and you vote.
The Annual Meeting may be adjourned or postponed from time to time and at any reconvened meeting, action with respect to the matters specified in this Proxy Statement may be taken without further notice to stockholders except as required by applicable law or our charter documents.
Stockholders of Record
You are a “stockholder of record” if your shares are registered directly in your name with our transfer agent, Computershare Trust Company, N.A. As a stockholder of record, you have the right to grant your voting proxy directly to the proxy holders designated by the Company or to vote at the Annual Meeting. If you are a stockholder of record of your shares, and you do not vote by proxy card, by telephone, via the Internet or while virtually attending the Annual Meeting, your shares will not be voted at the Annual Meeting.
Shares Held in Street Name
You are deemed to beneficially own your shares in “street name” if your shares are held in an account at a brokerage firm, bank, broker, trust or other nominee, and that organization is considered the stockholder of record. If this is the case, you will receive a separate voting instruction form with this Proxy Statement from such organization. As the beneficial owner, you have the right to direct your bank, broker, trustee, or other nominee how to vote your shares, and you are also invited to attend the Annual Meeting. If you hold your shares in street name and do not provide voting instructions to your broker, bank, trustee or nominee, your shares will not be voted on any proposals on which such party does not have discretionary authority to vote, which is referred to herein as a broker non-vote, as further described below under the heading “Broker Non-Votes.”
Please note that if your shares are held of record by a brokerage firm, bank, broker, trust or other nominee, you may not attend the Annual Meeting virtually nor vote your shares at the Annual Meeting unless you first obtain a proxy issued in your name from your brokerage firm, bank, broker, trust or other nominee reflecting the number of shares of the Company’s common stock you held as of the Record Date, your name and email address. You then must submit a request for registration to Computershare Trust Company, N.A.: (1) by email: Email an image of your legal proxy, or forward the email from your broker, bank or other nominee containing the legal proxy, to in each case legalproxy@computershare.com or (2) by mail: Computershare, Rocky Mountain Chocolate Factory Legal Proxy, P.O. Box 43001, Providence, RI 02940-3001 no later than 5:00 p.m. Eastern Time on Sunday, August 2, 2026.
Broker Non-Votes
Broker non-votes are shares held by brokers, banks, trustees or other nominees who are present virtually or represented by proxy, but which are not voted on a particular matter because the brokers, banks, trustees, or other nominees do not have discretionary authority with respect to that proposal and they have not received voting instructions from the beneficial owner. Under the rules that govern brokers, brokers have the discretion to vote on routine matters, but not on non-routine matters. The routine matter to be considered at the Annual Meeting is the ratification of the appointment of the Company’s independent registered public accounting firm. The proposals for the (i) election of directors, (ii) advisory vote on our executive compensation (“say-on-pay”), (iii) advisory vote on the frequency of future advisory votes on compensation, and (iv) approval of the amendment to the Company’s 2024 Plan are each considered to be non-routine matters. As a result, if you do not provide your brokerage firm, bank, broker, trust or other nominee with voting instructions on non-routine matters, your shares will not be voted on any non-routine proposal.
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Voting Matters
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Proposal |
Votes Required |
Treatment of Votes |
Broker |
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Proposal 1 – Election of Five Director Nominees |
Plurality of votes cast |
Votes withheld, and broker non-votes will not be taken into account in determining the outcome of the proposal |
No |
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Proposal 2 – Ratification of Appointment of Rosenberg Rich Baker Berman, P.A. as our Independent Registered Public Accounting Firm for the 2027 Fiscal Year |
Affirmative vote of a majority of the votes cast on the matter |
Abstentions and broker non-votes will not be taken into account in determining the outcome of the proposal |
Yes |
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Proposal 3 – Approval, on an advisory basis, of the compensation of our named executive officers |
Affirmative vote of a majority of the votes cast on the matter |
Abstentions and broker non-votes will not be taken into account in determining the outcome of the proposal |
No |
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Proposal 4 – Approval, on an advisory basis, on the frequency of future advisory votes to approve the compensation of the Company’s named executive officers |
The voting frequency option that receives the highest number of votes cast on the matter, in person or by proxy, at the Annual Meeting |
Abstentions and broker non-votes will not be taken into account in determining the outcome of the proposal |
No |
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Proposal 5 – Approval of an amendment to the Company’s 2024 Plan to increase the number of shares of common stock authorized for issuance under the 2024 Plan |
Affirmative vote of a majority of the votes cast on the matter |
Abstentions and broker non-votes will not be taken into account in determining the outcome of the proposal |
No |
In each case, your shares will be voted as you instruct. If you return a signed proxy card, but do not provide voting instructions, your shares will be voted FOR each of the director nominees, FOR Proposals 2, 3 and 5 and ONE YEAR for Proposal 4.
We are currently unaware of any matters to be raised at the Annual Meeting other than those referred to in this Proxy Statement. If other matters are properly presented at the Annual Meeting for consideration and you are a stockholder of record and have submitted your proxy, the persons named in your proxy will have discretion to vote on those matters for you.
Voting Methods
You may vote during the Annual Meeting, or you may cast your vote in any of the following ways:
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Mailing your signed proxy card or voting instruction card. |
Using the Internet at |
Calling toll-free from the United States, U.S. territories and Canada to 1-800-652-VOTE (8683) |
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We encourage you to vote in advance by Internet, telephone, or mail so that your vote will be counted. If your shares are held in street name, please follow the separate voting instructions you receive from your broker, bank, trustee, or other nominee.
If you are a stockholder of record, you may revoke your proxy: (i) by written notice of revocation mailed to and received by the Corporate Secretary of the Company prior to the date of the Annual Meeting; (ii) by voting again via the Internet or by telephone at a later time; (iii) by executing and delivering to the Corporate Secretary of the Company a proxy dated as of a later date than a previously executed and delivered proxy; or (iv) by attending virtually the Annual Meeting and voting during the meeting. Attendance at the Annual Meeting will not, without further action, revoke a proxy.
If your shares are held by a broker, bank, trustee, or other nominee, you may change your vote by submitting new voting instructions to your broker, bank, trustee, or nominee; or, if you have obtained a legal proxy from your broker, bank, trustee, or nominee giving you the right to vote your shares.
If you have any questions or need assistance voting your shares, please contact:
Rocky Mountain Chocolate Factory, Inc.
265 Turner Drive
Durango, Colorado 81303
Attention: Investor Relations
Phone Number: (970) 259-0554
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BOARD OF DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE
Our business affairs are managed under the direction of our Board, which is currently comprised of five members. Our Board has affirmatively determined that three of our five directors, are independent within the meaning of the independent director requirements of The Nasdaq Stock Market LLC (“Nasdaq”). Upon the recommendation of our Nominating and Corporate Governance Committee, we are nominating each of Steven L. Craig, Jeffrey R. Geygan, Mel Keating, Brian Quinn and Alberto Pérez-Jácome Friscione for election as directors at the Annual Meeting. If elected, each shall hold office until the 2027 annual meeting of stockholders or until their successors are duly elected and qualified or until their earlier death, resignation or removal.
The following table sets forth the names, ages as of June 1, 2026, and certain other information for the directors with terms expiring at the Annual Meeting (each of whom is also a nominee for election as a director at the Annual Meeting):
Director Nominees
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Name |
Age |
Director |
Principal Occupation |
Committee Membership |
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CC |
NCGC |
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Steven L. Craig |
71 |
2023 |
Real Estate Developer |
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Jeffrey R. Geygan |
64 |
2021 |
Interim Chief Executive Officer of Rocky Mountain Chocolate Factory, Inc. |
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Mel Keating |
78 |
2025 |
Investment Advisor |
C |
M |
M |
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Brian Quinn |
57 |
2025 |
Chief Development Officer of My Place Hotels |
M |
C |
M |
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Alberto Pérez-Jácome Friscione |
55 |
2025 |
Managing Director of Grupo Empresarial PJF |
M |
M |
C |
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AC Audit Committee
CC Compensation Committee
NCGC Nominating and Corporate Governance Committee
C Chair of Committee
M Committee Member
Steven L. Craig
Steven L. Craig has served as a member of the Board since December 2023. Mr. Craig is a seasoned business strategist with over 30 years of executive and board experience for both public and private companies, primarily in the real estate sector. For nearly four decades he has developed, owned and operated commercial real estate, primarily outdoor malls for retail shops and restaurants, throughout the United States. Mr. Craig started his career with Ginsburg Craig Associates, which in 1993 merged with Chelsea Property Group, to form Chelsea GCA Realty, Inc. (“Chelsea GCA”). He served as President/Chief Operating Officer and Director of Chelsea GCA from October 1993, when the company went public via an initial public offering on the New York Stock Exchange, until 1995. For the last two decades, Mr. Craig has successfully developed and operated over a dozen centers containing upscale retail shopping and dining destinations in nine U.S. states. Mr. Craig, a philanthropist, made a significant investment in aspiring entrepreneurial youth in his home state of Missouri with the endowment and founding of the Steven L. Craig School of Business at Missouri Western State University in 2009. The Craig School of Business’ Center for Franchise Development trains and develops students to become owners and operators of franchised businesses, including a number of alumni who currently operate 15 of our stores. Mr. Craig received his Bachelor of Science degree in Business Administration from the University of Southern California.
Skills and Qualifications: Mr. Craig brings valuable real estate development and corporate governance expertise to the Board.
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Jeffrey R. Geygan
Jeffrey R. Geygan has served as a member of the Board since August 2021, as Chair of the Board from June 2022 to May 2024 and has served as Interim Chief Executive Officer (“CEO”) since May 2024 until his resignation from that role, effective June 26, 2026. Mr. Geygan served as a director of Climb Global Solutions, Inc. from February 2018 until February 2025, and as Chair of its Board (“Board Chair”) from May 2018 until January of 2025. Mr. Geygan served as the Chief Executive Officer and President of Global Value Investment Corp., an investment research and advisory services firm, since its founding in August 2007 until May 2024. Mr. Geygan previously served as a Senior Portfolio Manager at UBS Financial Services and as a Senior Portfolio Manager of Salomon Smith Barney, Inc. Mr. Geygan has taught undergraduate and graduate-level courses at IE University in Madrid, Spain, the University of Wisconsin — Milwaukee Lubar School of Business, and the College of Charleston. He serves on the Advisory Board of the University of Wisconsin — Madison Department of Economics. Mr. Geygan received a Bachelor of Arts degree in Economics from the University of Wisconsin.
Skills and Qualifications: Mr. Geygan brings significant years of experience with public company business strategy, capital markets, finance and corporate governance to the Board.
Mel Keating
Mel Keating has served as a member of the Board since November 2024 and also serves as the Board Chair. He is a member of the Nominating and Corporate Governance, Audit, and Compensation Committees. Mr. Keating has been serving as a consultant, providing investment advice and other services to private equity firms and hedge funds since November 2008. He currently serves as a director of Agilysys, Inc. (NASDAQ: AGYS), a leading technology company specializing in software solutions for the hospitality industry. Until late 2023, he served as a director of MagnaChip Semiconductor Corp. (NYSE: MX). Previously, Mr. Keating served as President and Chief Executive Officer of Alliance Semiconductor Corp., where he successfully divided the company into three parts and sold each to different buyers. He also worked as a Strategy Consultant for Warburg Pincus Equity Partners. Over his career, Mr. Keating has served on the Boards of nearly 20 public companies, including SPS Commerce, Vitamin Shoppe, Tower Jazz Semiconductor Ltd., Red Lion Hotels, and Crown Crafts Inc. Mr. Keating holds a B.A. in Art History from Rutgers University, where he was a Henry Rutgers scholar, and both an M.S. in Accounting and an M.B.A. in Finance from the Wharton School of the University of Pennsylvania, where he was a Shell Oil and Benjamin Franklin fellow.
Skills and Qualifications: Mr. Keating possesses years of public company board and corporate governance, finance, and capital markets experience to the Board in addition to prior public company Chief Executive Officer experience.
Brian Quinn
Brian Quinn has served as a member of the Board since March 2025 and also serves on the Nominating and Corporate Governance, Audit, and Compensation Committees. Mr. Quinn has served as Chief Development Officer for My Place Hotels since 2026. Previously Mr. Quinn served as the Chief Development Officer of Sonesta International Hotels since 2021, leading strategic growth initiatives, including the company’s expansion from fewer than 100 to over 1,000 locations, and the acquisition of Red Lion Hotel Corporation. Mr. Quinn has held senior leadership roles at Choice Hotels International, Red Lion Hotels, and InterContinental Hotels Group, specializing in franchise development, brand strategy, and operational transformation. Mr. Quinn also serves on the Boards of the American Hotel & Lodging Foundation and Penn State University’s Hospitality Program. Mr. Quinn holds a Bachelor of Business Administration degree from the University of South Florida and a Master of Business Administration from Saint Leo University.
Skills and Qualifications: Mr. Quinn brings substantial experience in franchising and business management to the Board.
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Alberto Pérez-Jácome Friscione
Alberto Pérez-Jácome Friscione has served as a member of the Board since December 2025 and also serves on the Nominating and Corporate Governance, Audit, and Compensation Committees. Mr. Pérez-Jácome is an experienced executive, entrepreneur, and director with over 20 years of leadership in infrastructure, real estate, energy, consumer goods, and financial services. From September 2024 to present, Mr. Pérez-Jácome is the founder and managing director at Grupo Empresarial PJF, a Mexico-based investment and operating company focused on developing last-mile water and energy solutions for industrial clients where he is responsible for corporate strategy, investment decisions, partnerships, capital allocation, and operational execution to support sustainable growth and long-term value creation. Mr. Pérez-Jácome also is currently the co-founder of Encore Inc. from 2004 to present. He recently served as CEO of Hermes Infraestructura from 2012 until 2024. Mr. Pérez-Jácome served as a board member of Banorte Bank from 2020 to 2024 and serves as a board member of RedHawk Rebar LLC from 2025 to present. Mr. Pérez-Jácome holds an MBA from the MIT Sloan School of Management, a Master’s degree in Public Administration from Harvard University, and a Bachelor’s degree in Industrial Engineering from the Universidad Iberoamericana, Mexico City.
Skills and Qualifications: Mr. Pérez-Jácome brings extensive international corporate governance, financial services expertise, and executive leadership experience to the Board.
Executive Officers
The following table sets forth certain information about our executive officers and their respective ages as of May 30, 2026. Officers are elected by the Board to hold office until their successors are elected and qualified.
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Name |
Age |
Position |
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Jeffrey R. Geygan |
64 |
Interim Chief Executive Officer |
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Carrie Cass |
61 |
Chief Financial Officer |
For the biography of Mr. Geygan, please see “Board of Directors, Executive Officers and Corporate Governance-Director Nominees.” On June 21, 2026, Mr. Geygan notified the Board of his resignation as Interim Chief Executive Officer of the Company, effective June 26, 2026.
Carrie Cass
Carrie Cass joined the Company in August 2024 as Chief Financial Officer. Ms. Cass began her career in public accounting before transitioning to the aerospace industry in 2001, where she served as Chief Financial Officer for an aerospace research and development company. In 2017, she joined a multimedia company as Director of Finance and Administration and was appointed interim Chief Executive Officer in October 2022. She was subsequently named Chief Executive Officer in May 2023, overseeing the company’s strategic direction, growth, and profitability. She holds a Bachelor of Science in Business Administration and Accounting from California State University, Northridge, and is a Certified Public Accountant.
Director Independence
Our common stock is listed on The Nasdaq Capital Market. Under the rules of Nasdaq, independent directors must comprise a majority of a listed company’s board of directors. In addition, the rules of Nasdaq require that, subject to specified exceptions, each member of a listed company’s audit, compensation and nominating and governance committees be independent. Audit committee members and Compensation Committee members must also satisfy the independence criteria set forth in Rule 10A-3 and Rule 10C-1, respectively, under the Exchange Act. Under the rules of Nasdaq, a director will only qualify as an “independent director” if, in the opinion of that company’s board of directors, that person does not have a relationship that would interfere with the exercise of independent judgment in carrying out the responsibilities of a director.
To be considered independent for purposes of Rule 10A-3 and under the rules of Nasdaq, a member of an Audit Committee of a listed company may not, other than in his or her capacity as a member of our Audit Committee, our Board, or any other board committee: (i) accept, directly or indirectly, any consulting, advisory, or other compensatory fee from the listed company or any of its subsidiaries; or (ii) be an affiliated person of the listed company or any of its subsidiaries.
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To be considered independent for purposes of Rule 10C-1 and under the rules of Nasdaq, the Board must affirmatively determine that the member of the Compensation Committee is independent, including a consideration of all factors specifically relevant to determining whether the director has a relationship to the company which is material to that director’s ability to be independent from management in connection with the duties of a Compensation Committee member, including, but not limited to: (i) the source of compensation of such director, including any consulting, advisory or other compensatory fee paid by the company to such director; and (ii) whether such director is affiliated with the company, a subsidiary of the company or an affiliate of a subsidiary of the company.
Our Board has undertaken a review of its composition, the composition of its committees and the independence of our directors and considered whether any director has a material relationship with us that could compromise his or her ability to exercise independent judgment in carrying out his or her responsibilities. Based upon information requested from and provided by each director concerning his or her background, employment and affiliations, including family relationships, our Board has determined that none of Messrs. Keating, Quinn and Pérez-Jácome, representing three of five current directors, has a relationship that would interfere with the exercise of independent judgment in carrying out the responsibilities of a director, and that each of these directors is “independent” as that term is defined under the rules of Nasdaq. Our Board also determined that Mr. Keating (committee chairperson), Mr. Pérez-Jácome and Mr. Quinn, who currently comprise our Audit Committee, satisfy the independence standards for Audit Committee members established by applicable Securities and Exchange Commission (“SEC”) rules and the listing standards of Nasdaq. Furthermore, Mr. Quinn (committee chairperson), Mr. Keating and Mr. Pérez-Jácome, who currently comprise our Compensation Committee, satisfy the independence standards for Compensation Committee members established by applicable SEC rules and the listing standards of Nasdaq.
In making these determinations, our Board considered the current and prior relationships that each non-employee director has with our company and all other facts and circumstances our Board deemed relevant in determining their independence, including the beneficial ownership of our capital stock by each non-employee director, and the transactions involving them described in the section titled “Related Party Transactions.”
On December 18, 2025, the Company completed the private placement of an aggregate of 1,500,000 of shares of the Company’s common stock at a price per share equal to $1.80 (the “Transaction”) to ARM-D Rocky Mountain Chocolate Holdings LLC (the “Purchaser”) pursuant to a securities purchase agreement (the “Purchase Agreement”). Total proceeds received by the Company were $2.7 million. The proceeds will be used for general working capital purposes. In connection with the Purchase Agreement, the Company entered into an investor rights agreement with the Purchaser, dated December 18, 2025 (the “Investor Rights Agreement”), pursuant to which the Purchaser is, among other things, entitled to certain resale registration rights with respect to shares of the Company’s common stock issued to the Purchaser. The Investor Rights Agreement permits the Purchaser to designate an individual for membership on the Board and that individual will initially be Alberto Pérez-Jácome Friscione. Other than the Investor Rights Agreement, there is no arrangement or understanding between Mr. Pérez-Jácome and any other persons pursuant to which Mr. Pérez-Jácome was elected as a director. Accordingly, the Board has determined that Mr. Pérez-Jácome is “independent” under applicable Nasdaq listing rules.
There are no family relationships among any of our directors or executive officers.
Board Leadership Structure and Role of the Board of Directors in Risk Oversight
The Board believes it is appropriate to separate the roles of Chief Executive Officer and Board Chair as a result of the demands of and differences between each role. The Board does not have a formal policy regarding separation of the roles of Chief Executive Officer and the Board Chair. The Board has determined that an independent director serving as Board Chair is in the best interests of our stockholders. This structure ensures a greater role of independent directors in the active oversight of our business, including strategy and risk management, and in setting agendas and establishing Board priorities and procedures. This structure also allows our Chief Executive Officer to focus to a greater extent on the management of our day-to-day operations. The Board believes this split structure recognizes the time, effort, and energy the Chief Executive Officer is required to devote to the position as well as the benefits of having an independent director with extensive strategic, operational and leadership expertise serve as the Board Chair.
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The duties and responsibilities of our Board Chair include: (i) chairing Board meetings, including presiding over all executive sessions of the Board (without management present) at regularly scheduled Board meeting; (ii) consulting with the Chief Executive Officer on such other matters as are pertinent to the Board and the Company; (iii) working with management to determine the information and materials provided to Board members; (iv) creating Board meeting schedules, agenda and other information provided to the Board; (v) the authority to call meetings of the independent directors; (vi) serving as principal liaison between the independent directors and the Chief Executive Officer and senior management; and (vii) being available for direct communication and consultation with stockholders upon request. The Chief Executive Officer is responsible for setting the strategic direction for the Company, with guidance from the Board and for the day-to-day leadership and performance of the Company.
Another key component of our leadership structure is our strong governance practices designed to ensure that the Board effectively carries out its responsibility for the oversight of management. All of our directors, except Mr. Geygan and Mr. Craig, are independent, and Board committees are comprised entirely of independent directors. In addition, the Board or any of its committee thereof may retain, on such terms as determined by the Board or such committee, as applicable, in its sole discretion, independent legal, financial and other consultants and advisors to assist the Board or committee, as applicable, in discharging its oversight responsibilities.
The Board believes that overseeing how management manages the various risks the Company faces is one of its most important responsibilities to the Company’s stockholders. The Board believes that, in light of the interrelated nature of the Company’s risks, oversight of risk management is the responsibility of the full Board. In carrying out this critical duty, the Board meets regularly with key members of management holding primary responsibility for management of risk in their respective areas.
The Audit Committee is responsible for overseeing our financial reporting processes and systems of internal controls regarding finance and accounting and certain other risk management functions as are delegated to the Audit Committee by the Board. The Audit Committee provides a forum for communication among the Board, the independent auditors and our financial and senior management to facilitate open dialogue and promote effective risk management within our Company. In addition, the Audit Committee oversees our whistleblower/complaint procedures for accounting and auditing matters, which procedures provide that complaints or reports of suspected fraud, deficiencies or noncompliance relating to any accounting, internal controls or auditing matters should be promptly reported on an anonymous basis in writing to the chair of our Audit Committee. Similarly, under our Code of Ethics for Senior Financial Officers, persons who become aware of suspected violations of the Code of Ethics for Senior Financial Officers are encouraged to report such suspected violations promptly to the chair of the Audit Committee. Under these policies, the Audit Committee monitors, investigates and makes determinations and recommendations for action to the Board as a whole with respect to suspected violations. Additionally, the Audit Committee has certain oversight functions, including discussing with management the Company’s major financial risk exposures and steps that management has taken to monitor and control such exposures, including the Company’s risk assessment and risk management policies.
The Compensation Committee oversees risks relating to our compensation plans and programs. The Compensation Committee has reviewed and considered our compensation policies and programs in light of the Board’s risk assessment and management responsibilities and will do so in the future on an annual basis or more frequently if required. The Compensation Committee believes that the Company has no compensation policies and programs that give rise to risks reasonably likely to have a material adverse effect on the Company.
The Nominating and Corporate Governance Committee is responsible for, among other things, (i) assisting the Board in identifying individuals qualified to become members of the Board and (ii) approving and recommending qualified director candidates to the Board.
The Board and its committees encourage management to promote a corporate culture that understands risk management and incorporates it into the overall corporate strategy and day-to-day business operations of the Company. The Company’s risk management structure also includes an ongoing effort to assess and analyze the most likely areas of future risk for the Company and to address them in its planning process. The Board and management regularly review best practices in corporate governance and are committed to a structure that fosters principled actions, informed and effective decision-making, and appropriate monitoring of compliance and performance.
The Company is committed to fostering an effective risk management environment to serve the interests of the Company, its customers, and its stockholders. The Board has adopted the Code of Conduct and Code of Ethics for Senior Financial Officers to make clear its expectation for the conduct of our directors, officers and employees.
10
Board and Committees
During fiscal year 2026, the Board met 14 times and took 4 actions by written consent. Each director attended at least 75% of the total Board meetings and meetings of committees on which he or she served. Although we do not have a formal policy regarding attendance by members of the Board at our Annual Meeting, we strongly encourage all directors to attend. All of our directors attended our 2025 Annual Meeting of Stockholders.
The Board has determined that, with the exception of Mr. Geygan and Mr. Craig, none of our directors have a relationship that would interfere with the exercise of independent judgment in carrying out the responsibilities of a director and that each of these directors is an “independent director” in accordance with applicable rules and regulations of the SEC and Nasdaq. Mr. Geygan is not considered independent by virtue of his position as our Interim Chief Executive Officer until his resignation from that role effective June 26, 2026, and the Debt Transactions (as defined and described further below). Mr. Craig is not considered independent by virtue of the Debt Transactions (as defined and described further below). In making these determinations, the Board reviewed and discussed information provided by the directors and us with regard to each director’s business and personal activities and relationships as they may relate to us and our management.
The Board believes its members collectively have diversified experiences, qualifications, attributes, perspectives and skills to effectively oversee the management of our Company, including a high degree of personal and professional integrity, an ability to exercise sound business judgment on a broad range of issues, sufficient experience and background to have an appreciation of the issues facing our Company, a willingness to devote the necessary time to their Board and committee duties, a commitment to representing the best interests of the Company and our stockholders and a dedication to enhancing stockholder value.
There are no legal proceedings to which any of our directors is a party adverse to us or our subsidiary or in which any such person has a material interest adverse to us or our subsidiary.
The Board has three standing committees: an Audit Committee, a Compensation Committee and a Nominating and Corporate Governance Committee (each, a “Committee” and collectively, the “Committees”). Each Committee operates under a Charter that was approved by the Board and is available under the “Governance” tab on our website at https://ir.rmcf.com/corporate-governance.
Audit Committee
Our Audit Committee consists of Messrs. Keating, Pérez-Jácome and Quinn and is chaired by Mr. Keating. The primary purpose of our Audit Committee is to assist the Board in the oversight of our accounting and financial reporting processes, the audit and integrity of our financial statements, and the qualifications and independence of our independent auditor, and to prepare any reports required of the Audit Committee under the rules of the SEC. The Audit Committee is responsible for, among other things:
• monitoring the Company’s accounting and financial reporting processes, system of internal controls regarding finance and accounting and the audits of the Company’s financial statements, including oversight of the Company’s internal audit function, if any;
• oversight of the Company’s financial statements and the independent audit thereof;
• selecting, retaining, evaluating, overseeing and, where appropriate, replacing the independent auditor, including determining and approving the independent auditor’s compensation and resolving disagreements between management and the independent auditor regarding financial reporting;
• monitoring the independence, qualifications and performance of the Company’s independent auditors;
• monitoring the risk management policies and procedures of the Company;
• monitoring the Company’s compliance with legal and regulatory requirements; and
• reviewing and discussing with management risk assessment, risk management, and the adequacy and effectiveness of the Company’s information and technology security policies, procedures and internal controls, including the Company’s emerging and principal financial and business risk exposures, cybersecurity and technology risk exposures, and privacy and information security areas
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Both our independent registered public accounting firm and management periodically meet privately with our Audit Committee. The Board has determined that all members of the Audit Committee are deemed “independent” and financially literate under the applicable rules and regulations of the SEC and Nasdaq, and that Mel Keating qualifies as an “audit committee financial expert” within the meaning of SEC regulations. In fiscal year 2026, the Audit Committee met 6 times and took 1 action by written consent.
Compensation Committee
Our Compensation Committee consists of Messrs. Keating, Pérez-Jácome and Quinn and is chaired by Mr. Quinn. The responsibilities of our Compensation Committee include, among other things:
• ensuring that the Company has a performance-based compensation structure that is designed to attract and retain the necessary talent to achieve the Company’s business goals;
• overseeing and discharging the responsibilities of the Board relating to the compensation of the Company’s executive officers and non-employee directors, including approving the compensation of the (a) Chief Executive Officer, (b) non-employee directors, and (c) the Company’s executive officers, as recommended by the Chief Executive Officer, subject to the authority of the Compensation Committee;
• overseeing the Company’s overall employee benefit plans, including its incentive compensation, equity compensation plans and other benefits programs;
• approving and evaluating compensation plans, policies and programs of the Company as they affect the Company’s executive officers, non-employee directors and overall employee base; and
• developing, in consultation with the Board and the Chief Executive Officer, long-term and short-term management succession plans
The Compensation Committee has full authority delegated to it by the Board to determine compensation for our executive officers and non-employee directors. The Compensation Committee determines compensation for our executive officers based on recommendations from our Chief Executive Officer. The Chief Executive Officer is not present during voting or deliberation on his own compensation. The Compensation Committee relies on its judgment when making compensation decisions after reviewing our performance and evaluating each executive’s performance, leadership ability and responsibilities, current compensation arrangements, and other factors.
The Compensation Committee has the authority to use compensation consultants in connection with performance of its duties, and engaged an external consultant in the development of our current compensation philosophy, including with respect to the compensation of our Chief Executive Officer and Chief Financial Officer. The Compensation Committee also oversees the administration of the Company’s equity-based compensation plans.
The Board has determined that all members of the Compensation Committee are deemed “independent” under the applicable rules and regulations of the SEC and Nasdaq. In fiscal year 2026, the Compensation Committee met 1 time and took 1 action by written consent.
Nominating and Corporate Governance Committee
Our Nominating and Corporate Governance Committee consists of Messrs. Keating, Pérez-Jácome and Quinn, and is chaired by Mr. Pérez-Jácome. The responsibilities of the Nominating and Corporate Governance Committee include, among other things:
• identifying individuals qualified to become members of the Board, consistent with criteria approved by the Board;
• selecting, or recommending that the Board select, the director nominees for the next annual meeting of stockholders;
• establishing procedures for the identification and evaluation of director candidates, including any candidates recommended by stockholders;
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• selecting and approving all nominees for Board membership, whether for the slate of director nominees to be presented for stockholder approval at the Company’s annual meeting of stockholders or any director nominees to be appointed by the Board to fill any interim director vacancy or newly created directorship;
• identifying and recommending to the Board individuals qualified to become Chief Executive Officer, consistent with criteria approved by the Board;
• developing and recommending to the Board a set of corporate governance guidelines applicable to the Company;
• making recommendations to the Board regarding governance matters, including, but not limited to, the Company’s certificate of incorporation, bylaws, and the charters of the Company’s other committees;
• periodically evaluating the Company’s existing independence standards, code of conduct and corporate governance guidelines, and considering any recommended amendments thereto for presentation to the full Board;
• overseeing the orientation and facilitating the continuing education of directors; and
• overseeing the self-evaluations of the Board to determine whether it and its committees are functioning effectively, including determining the nature of the evaluation, supervising the conduct of the evaluation, and preparing an assessment of the Board’s performance to be discussed with the Board.
The Board has determined that all members of the Nominating and Corporate Governance Committee are deemed “independent” under the applicable rules and regulations of Nasdaq. In fiscal year 2026, the Nominating and Corporate Governance Committee met 1 time and took 2 actions by written consent.
Executive Sessions
Executive sessions of our independent directors are held at each regularly scheduled meeting of the Board and at other times as deemed necessary. The Board’s policy is to hold executive sessions without the presence of management.
Compensation Committee Interlocks and Insider Participation
No current member of our Compensation Committee has ever been an executive officer or employee of ours, as disclosed in this Proxy Statement. None of our officers currently serves, or has served during the last completed year, on the Board, Compensation Committee or other committee serving an equivalent function, of any other entity that has one or more officers serving as a member of the Board or Compensation Committee, except for Mr. Geygan our current director who has served as Interim Chief Executive Officer until his resignation from that role effective June 26, 2026, who served on the Compensation Committee before his appointment to the role of Interim Chief Executive Officer in May 2024.
Considerations in Evaluating Director Nominees
The Nominating and Corporate Governance Committee has identified certain criteria that it will consider in identifying director nominees. Important general criteria and considerations for Board membership include:
General Criteria
• Ability to contribute to the Board’s range of talent, skill and experience to provide sound and prudent guidance with respect to our business strategy and operations, including, but not limited to:
• Experience in the retail, food and beverage, and franchising industries.
• Financial statement and analysis expertise.
• Knowledge about our business, peer group or industry, and
• Experience in corporate leadership roles.
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• Personal integrity and ethical character, commitment and independence of thought and judgment.
• Capability to fairly and equally represent our stockholders.
• Confidence and willingness to express ideas and engage in constructive discussion with other Board members and management, to actively participate in the Board’s decision-making process and make difficult decisions in our best interest.
• Willingness and ability to devote significant time, energy and attention to the affairs of the Company and the Board.
The Nominating and Corporate Governance Committee also considers, on an ongoing basis, the background, experience and skills of the incumbent directors that are important to our current and future business needs and evaluates the experience and skills that would be valuable in new Board members.
Director Skill Set Considerations
The purposes of the Nominating and Corporate Governance Committee include (i) assisting the Board in identifying individuals qualified to become members of the Board; and (ii) approving and recommending qualified director candidates to the Board.
The Nominating and Corporate Governance Committee considers director candidates recommended by stockholders when such recommendation is made in writing (i) delivered pursuant to our Policy on Shareholder Communications with the Board, and (ii) received by us within the time period specified in our Bylaws and as set forth in “Other Matters — Deadlines for Submitting Stockholder Proposals and Director Nominations” below.
In determining whether an individual is qualified to serve on the Board, whether recommended by the Nominating and Corporate Governance Committee or by stockholders, the Nominating and Corporate Governance Committee considers relevant factors, including, but not limited to, an individual’s independence, knowledge, skill, training, experience and willingness to serve on the Board. Any stockholder wishing to recommend a candidate for consideration by the Company may do so by submitting a written recommendation to the Nominating and Corporate Governance Committee in accordance with the procedures set forth under “Other Matters — Deadlines for Submitting Stockholder Proposals and Director Nominations.”
In identifying potential candidates for the Board, the Nominating and Corporate Governance Committee generally relies on a variety of resources to identify potential candidates, which, among other things and depending on the circumstances, may include its and the Board’s network of contacts, corporate search resources, and independent third-party professional search firms. By utilizing a broad variety of resources as deemed appropriate by the Nominating and Corporate Governance Committee in light of the then-current mix of Board attributes and any previously identified potential candidates, the Nominating and Corporate Governance Committee believes it will be able to identify, evaluate and consider a diverse range of qualified candidates, including candidates that increase the intellectual and professional diversity of the Board.
There are no family relationships between any of our officers and directors.
Stockholder Recommendations for Nominations to the Board of Directors
Stockholders may propose director candidates for general consideration by the Nominating and Corporate Governance Committee by submitting to the Corporate Secretary of the Company, in proper written form, the individual’s name, qualifications, and the other information required by our bylaws for stockholder nominations of directors sought to be presented directly at a meeting of stockholders. The Nominating and Corporate Governance Committee will evaluate any candidates recommended by stockholders against the same criteria and pursuant to the same policies and procedures applicable to the evaluation of candidates proposed by directors or management.
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Communications with the Board of Directors
The Board has adopted a Policy on Stockholder Communications with the Board in order to facilitate stockholder communications. Under the Policy on Stockholder Communications with the Board, stockholders are encouraged to contact the Board or any individual director or group of directors in writing by sending communications to Rocky Mountain Chocolate Factory, Inc., 265 Turner Drive, Durango, Colorado 81303. Stockholders wishing to formally communicate with the Board, any Board committee, the independent directors as a group or any individual director must send communications directly to the Corporate Secretary. All clearly marked written communications, other than unsolicited advertising or promotional materials, are logged and copied, and forwarded to the director(s) to whom the communication was addressed. Please note that the foregoing communication procedure does not apply to (i) stockholder proposals pursuant to Rule 14a-8 under the Securities and Exchange Act of 1934, as amended (the “Exchange Act”) and communications made in connection with such proposals or (ii) service of process or any other notice in a legal proceeding.
A copy of the Policy on Stockholder Communications with the Board is available on our websites at https://ir.rmcf.com/corporate-governance/governance-documents.
Insider Trading Policy and Prohibition on Hedging and Pledging of Securities
Under the terms of our
Code of Ethics for Senior Financial Officers and Code of Conduct
We have adopted a Code of Ethics for Senior Financial Officers that applies to our Chief Executive Officer, Chief Operating Officer, Chief Financial Officer, principal accounting officer and controller, or persons performing similar functions. In addition, in accordance with the applicable rules of Nasdaq, we have adopted a Code of Conduct applicable to all our officers, directors and employees. The text of each of the Code of Ethics for Senior Financial Officers and the Code of Conduct (together, the “Codes”) is available on our website at https://ir.rmcf.com/corporate-governance/governance-documents. If we waive, or implicitly waive, any material provision of either of the Codes, or substantively amend either of the Codes, we will disclose that fact on our website within four business days.
Proxy Access Bylaw
In an effort to improve our corporate governance practices and in response to requests from our stockholders, the Board has implemented proxy access with the following parameters:
|
Ownership Threshold: |
3% of outstanding shares of our common stock |
|
|
Nominating Group Size: |
Up to 20 stockholders may combine to reach the 3% ownership threshold |
|
|
Holding Period: |
Continuously for three years |
|
|
Number of Nominee: |
The greater of one nominee or 25% of the Board |
We believe these proxy access parameters reflect a well-designed and balanced approach to proxy access that mitigates the risk of abuse and protects the interests of all of our stockholders. Stockholders who wish to nominate directors for inclusion in our proxy statement in accordance with proxy access must follow the procedures in Section 2.13 of our Bylaws.
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DIRECTOR COMPENSATION
Non-Employee Director Compensation
Non-employee directors are generally compensated with a combination of cash retainers for service on the Board and Board Committees, as well as an annual equity award.
Cash Retainer
Each non-employee director is paid a cash retainer of $8,000 quarterly with the Chair of the Board receiving an additional quarterly retainer of $5,000. The Chair of each of the Audit Committee, Compensation Committee and Nominating and Corporate Governance Committee are each paid an additional quarterly retainer of $2,500.
Equity Awards
Each non-employee director receives $40,000 of restricted stock units annually, based on the 10-day volume weighted average price of the Company’s common stock as reported on the Nasdaq Capital Market as of the day prior to the grant date. The restricted stock units vest as to 25% of the shares on the grant date, with the remainder vesting in equal quarterly installments over the annual period of service. In February 2026, following the end of the fiscal year, the Board approved an increase in the annual restricted stock unit award to non-employee directors from $40,000 to $50,000, effective September 1, 2026.
Director Share Ownership Guidelines
The Board has adopted a Director Stock Ownership Policy under which non-employee directors are required to hold shares with a value equal to three times such director’s annual cash retainer for Board service (not including any retainers for service on Board committees). Directors have until the fifth anniversary of the later of (i) date of appointment or (ii) the date of adoption of the policy to meet the ownership requirements.
Director Compensation
The following table summarizes the total compensation earned by each of our non-employee directors who served during fiscal year 2026.
|
Name of Non-Employee Director |
Fee |
Stock |
Total |
|||
|
Steven L. Craig |
40,000 |
46,961 |
86,961 |
|||
|
Mel Keating |
70,000 |
46,961 |
116,961 |
|||
|
Brian Quinn |
50,000 |
46,961 |
96,961 |
|||
|
Al Harper(2) |
25,000 |
— |
25,000 |
|||
|
Alberto Pérez-Jácome(3) |
32,500 |
30,493 |
62,993 |
____________
(1) This amount reflects the aggregate grant date fair value of restricted stock awards computed in accordance with FASB accounting standards codification (“ASC Topic 718”). As of February 28, 2026, the aggregate number of stock awards outstanding for each non-employee director was as follows: Steven L. Craig, 18,936; Mel Keating 18,936; Brian Quinn 18,936; Al Harper 0; and Alberto Pérez-Jácome 16,394.
(2) Mr. Harper departed from the Board on September 15, 2025.
(3) Pursuant to the Investor Rights Agreement the Purchaser designated Mr. Pérez-Jácome as a Board member, effective upon the closing of the Transaction.
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EXECUTIVE COMPENSATION
Our Compensation Committee is focused on designing a compensation program that attracts, retains, and incentivizes talented executives, motivates them to achieve our key financial, operational, and strategic goals, and rewards them for superior performance. It is also focused on ensuring that our compensation program aligns our executive officers’ interests with those of our stockholders by rewarding their achievement of specific corporate and individual performance goals.
The Company is and has in the past solicited input from stockholders regarding the executive compensation incentive plans used to motivate, retain, and reward our Chief Executive Officer and named executive officers (each a “NEO”). Those incentive plans, including the Annual Incentive Performance Plan, Long-Term Incentive Performance Plan (“LTIP”), and Restricted Stock Plan make up a majority of the pay that the Company provides our executives. The Company has made a number of changes to executive compensation programs and practices, with the intent of continuing to align incentive compensation with stockholder interests and peer public companies.
We believe that our executive compensation programs are structured in the best manner possible to support our Company and business objectives, in addition to supporting and improving upon our traditions and culture that are rooted in nearly 45 years of Company history.
• Our compensation programs are substantially tied into our key business objectives and the short- and long-term success of our stockholders. If the value we deliver to our stockholders declines, so does the compensation we deliver to our executives.
• We maintain a high standard of corporate governance over our executive pay programs, regularly reviewing and adjusting to ensure the interests of management and stockholders remain closely aligned.
• We monitor the compensation programs and pay levels of executives from companies of similar size and complexity, so that we remain competitive through our compensation programs, without paying more than is appropriate in comparison to our peer companies. In addition, our Compensation Committee, Board Chair, Chief Executive Officer, and Human Resources Manager engage in an ongoing talent review process to address succession and executive development for our Chief Executive Officer, Chief Financial Officer and other key executives.
As we look forward through fiscal year 2027 and beyond, the Company is focused on delivering high quality confectionary products to our franchise customers and the chocolate-consuming public. With our executive leadership team, the Company will drive cultural and organizational changes designed to create an energized and engaged workforce. Our executives are incentivized to increase total franchise store count, store level profitability, and Company revenue growth, while managing expenses to achieve a targeted annual level of overall profitability. The Compensation Committee believes if these goals are achieved it will result in increased Company profitability and ultimately generate strong total stockholder return (“TSR”).
The Company desires to engage with stockholders and seek input as to the effectiveness of its compensation policies. As a result, we have historically reached out to stockholders to seek input and understanding of best practices for executive compensation. Our outreach efforts in the prior year resulted in an increase in our stockholders’ advisory vote support for the Company’s executive compensation The Company intends to continue this policy of stockholder engagement and to consider stockholder feedback in evaluating future compensation program design.
Key Highlights of our Executive Compensation Plan
• Use of non-discretionary incentive awards — We developed a framework that utilizes a formulaic approach to incentives for fiscal year 2024 and intend to continue its use in future fiscal years. Non-discretionary incentives were voluntarily suspended by the Board for the fiscal year 2026. In suspending the fiscal year 2026 non-discretionary incentive program, the Compensation Committee considered various factors and determined that the suspension was appropriate under the circumstances.
• Use of performance-based short-term incentives — We generally use annual cash incentives based on the achievement of pre-established performance metrics for all named executive officers.
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• Majority of Fiscal Year 2026 LTIP is performance-based — The Company believes that equity-based long-term compensation is an important tool for aligning executive interests with long-term stockholder value creation. 60% of the annual LTIP award for our named executive officers is performance based and subject to a 3-year performance period.
• Executive and Director stock ownership guidelines — Our executives and directors are subject to stock ownership guidelines to be achieved over a five-year period from the date of initial hire or appointment to the board at the following levels:
|
Chief Executive Officer |
3x base salary |
|
|
Other Named Executive Officers |
1x base salary |
|
|
Directors |
3x annual cash retainer (not including any retainers for service as the Board Chair or as a Board Committee Chair) |
The following principles guide the Compensation Committee’s goal of ensuring competitive pay with a direct link to performance:
• A significant portion of pay is performance based
• Compensation includes incentive-based pay to drive performance including both short- and long-term incentives
• Compensation includes an opportunity for and a requirement of equity ownership to align the interests of executive officers with those of stockholders
• Components of compensation are tied to business performance measured against metrics that directly reflect performance
• Compensation programs are generally aligned with market practices
• Compensation programs are designed to retain and motivate talent
• A majority of compensation supports the alignment of the Chief Executive Officer and the management team with the interests of our stockholders
• Compensation policies create strong incentives for the Chief Executive Officer and the management team to achieve the annual business plan targets established by the Board, and to achieve the Company’s long-term strategic objectives
Compensation Program Best Practices
We maintain the following:
• Clawback Policy;
• Prohibitions on hedging, pledging and short sales of Company equity securities;
• Equity-based long-term compensation;
• Double trigger” change in control provisions;
• Stock ownership guidelines for executives and directors; and
• Company and senior leadership performance metrics that aim for long term value creation.
We are committed to refraining from:
• Single trigger cash severance benefits upon a change in control;
• Excise tax gross-up payments for executives;
• Excessive benefits or perquisites;
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• Re-pricing or backdating of options without stockholder approval;
• Guaranteed salary increases and bonuses; and
• Evergreen or reload stock issuance features.
We are committed to continuous improvement of our executive compensation program in a manner that deepens alignment with, and promotes the long-term interests of, our stockholders. For fiscal year 2026, the Committee established the executive compensation program with the intention that there be a direct correlation between the Company’s achievement of short- and long-term strategic initiatives and key performance indicators to ultimately deliver stockholder value. The Company’s incentive plans are designed to encourage senior leadership to achieve the business goals contained in the at-risk components of their respective compensation programs with a focus on long term value creation. By having more market-based and achievement-based total compensation, we seek to motivate the best management talent in pursuit of achievement of the Company’s business and financial goals and the creation of stockholder value.
In August 2024, our stockholders approved the Company’s 2024 Omnibus Incentive Compensation Plan, which replaced the Company’s 2007 Equity Incentive Plan.
Summary Compensation Table
The following table summarizes the total compensation paid to or earned by each named executive officer for fiscal year 2026 and fiscal year 2025.
|
Name and Principal Position |
Year |
Salary |
Bonus |
Stock |
Option |
Non-Equity |
All Other |
Total |
||||||||
|
Jeffrey R. Geygan |
2026 |
390,000 |
— |
0 |
— |
— |
— |
390,000 |
||||||||
|
Interim Chief Executive Officer |
2025 |
303,000 |
— |
360,766 |
— |
— |
— |
663,766 |
||||||||
|
Carrie Cass |
2026 |
200,000 |
— |
0 |
— |
— |
— |
200,000 |
||||||||
|
Chief Financial Officer |
2025 |
115,385 |
— |
106,400 |
— |
— |
— |
221,785 |
||||||||
|
Ryan McGrath |
2026 |
73,498 |
— |
— |
— |
— |
— |
73,498 |
||||||||
|
Former Sr. Vice President – Operations(3) |
2025 |
166,345 |
— |
— |
— |
— |
— |
166,345 |
____________
(1) This amount reflects the aggregate grant date fair value of restricted stock awards computed in accordance with ASC Topic 718.
(2) This amount reflects the aggregate grant date fair value of stock options computed in accordance with ASC Topic 718.
(3) Mr. McGrath resigned as Senior Vice President — Operations effective July 3, 2025.
Narrative Discussion of Summary Compensation Table
Salary, Bonus and Stock Awards
Base salary and cash bonuses for our named executive officers are reviewed on an annual basis by the Compensation Committee in conjunction with performance and upon the recommendations of our Interim Chief Executive Officer. Our Interim Chief Executive Officer is not present during voting or deliberation on his own compensation. Base salary adjustments and cash bonuses are awarded on a discretionary basis based on the Company’s overall performance and a review of each named executive officer’s performance. For fiscal year 2026, our Interim Chief Executive Officer did not receive a discretionary performance bonus. The Compensation Committee did not award any base salary adjustments for the named executive officers for fiscal year 2026.
19
Benefits
Our named executive officers generally receive health and welfare benefits under the same programs and subject to the same terms and conditions as our other salaried employees. Other elements of compensation for our named executive officers are participation in Company-wide life insurance, long-term disability insurance, medical benefits and the ability to defer compensation pursuant to a 401(k) plan. Our named executive officers also receive matching contributions from the Company under our 401(k) plan equal to 25% of the employee’s contribution, up to 6% of employee deferrals or a maximum of 1.5% of the employee’s compensation, subject to certain limitations, of annual compensation (subject to certain limitations), which is the same benefit available to all salaried employees.
Employment Agreements
We have entered into employment agreements and/or offer letters with each of our named executive officers. The material terms of such agreements are as follows:
Letter Agreement with Jeffrey R. Geygan
In connection with Mr. Geygan’s appointment as the Company’s Interim Chief Executive Officer in May 2024, the Company and Mr. Geygan entered into an offer letter that provides for a compensation package that includes the following key elements:
• annual base salary of $390,000;
• performance-based annual cash bonus up to 75% of annual base salary, prorated based on the number of days during the fiscal year for which Mr. Geygan served as Interim Chief Executive Officer; and
• restricted stock unit awards.
In setting Mr. Geygan’s initial annual base salary, the Compensation Committee reviewed data provided by its compensation consultant, Compensation Advisory Partners, and considered the 50th percentile for annual base salary at peer companies based on this data and determined to set Mr. Geygan’s salary at a level that was consistent with the selected peer group total cash compensation. The committee considered Mr. Geygan’s appointment as Interim Chief Executive Officer and the circumstance under which he agreed to serve in this capacity when developing his compensation plan.
The Compensation Committee previously awarded Mr. Geygan restricted stock units with a grant date fair value of $390,000 that will vest monthly over 36 months subject to Mr. Geygan’s continued service as the Interim Chief Executive Officer and subject to the terms of the Company’s 2007 Equity Incentive Plan. In structuring Mr. Geygan’s compensation package, the Compensation Committee employed practices that reflect the Company’s commitment to good compensation governance.
Letter Agreement with Carrie Cass
In connection with Ms. Cass’s appointment as the Company’s Chief Financial Officer in August 2024, the Company and Ms. Cass entered into an offer letter that provides for a compensation package that includes the following key elements:
• annual base salary of $200,000;
• performance-based annual cash bonus up to 50% of annual base salary, prorated based on the number of days during the fiscal year for which Ms. Cass served as the Chief Financial Officer; and
• restricted stock unit awards with a grant date value of approximately $140,000.
The Compensation Committee previously awarded Ms. Cass restricted stock units with a grant date fair value of $140,000. 60% of Ms. Cass’s restricted stock unit grant is subject to performance-based vesting requirements and 40% of Ms. Cass’s restricted stock grant is subject to time-based vesting requirements, subject to Ms. Cass’s
20
continued service as the Chief Financial Officer and the terms of the Company’s 2024 Plan. In structuring Ms. Cass’s compensation package, the Compensation Committee employed practices that reflect the Company’s commitment to good compensation governance.
If Ms. Cass is terminated without “cause” (other than as a result of death or disability) or if Ms. Cass terminates her employment for “good reason” (as such terms are defined in Ms. Cass’s employment agreement), then Ms. Cass will receive the following benefits if she timely signs and does not revoke a release of claims in our favor:
• cash amount equal to six months of Ms. Cass’s annual base salary as in effect immediately prior to such termination;
• cash amount equal to a pro-rated portion of her annual bonus for the fiscal year that includes the date of termination based on actual achievement of the Company’s performance goals for that fiscal year; and
• payment of premiums for coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (COBRA), for up to nine months.
Letter Agreement with Ryan McGrath
In connection with Mr. McGrath’s appointment as the Company’s Senior Vice President — Operations in March 2025, the Company and Mr. McGrath entered into an offer letter that provided for a compensation package that included the following key elements:
• annual base salary of $190,000;
• performance-based annual cash bonus up to 40% of annual base salary; and
• restricted stock unit awards valued at approximately $95,000.
If Mr. McGrath is terminated without “cause” (other than as a result of death or disability) or if Mr. McGrath terminates his employment for “good reason” (as such terms are defined in Mr. McGrath’s employment agreement), then Mr. McGrath would receive the following benefits if he timely signed and does not revoke a release of claims in our favor:
• cash amount equal to six months of Mr. McGrath’s annual base salary as in effect immediately prior to such termination;
• cash amount equal to a pro-rated portion of his annual bonus for the fiscal year that includes the date of termination based on actual achievement of the Company’s performance goals for that fiscal year; and
• payment of premiums for coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (COBRA), for up to six months.
On May 27, 2025, Mr. McGrath notified the Company of his intention to resign effective July 3, 2025. Mr. McGrath did not receive any compensation or equity awards in connection with his resignation.
No Tax Gross-Ups
We do not make gross-up payments to cover our named executive officers’ personal income taxes that may pertain to any of the compensation paid or provided by our Company.
Potential Payments upon Termination or Change of Control
We have arrangements with certain of our named executive officers providing for post-employment payments under certain conditions, as described above and in “Letter Agreement with Carrie Cass” and “Letter Agreement with Ryan McGrath.”
21
Outstanding Equity Awards at Fiscal Year-End
The following table sets forth certain information concerning unexercised stock options and stock awards that had not vested for each of the named executive officers as of February 28, 2026:
|
Option Awards |
Stock Awards |
|||||||||||||
|
Name |
Grant |
Number of |
Number of |
Option |
Option |
Number of |
Market Value of |
|||||||
|
Jeffrey R. Geygan |
5/16/2024 |
— |
— |
— |
— |
43,573 |
92,375 |
|||||||
|
Carrie Cass |
8/5/2024 |
— |
— |
— |
— |
53,667 |
81,574 |
|||||||
|
Ryan McGrath |
— |
— |
— |
— |
— |
— |
— |
|||||||
22
PAY VERSUS PERFORMANCE
As required by Section 953(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 402(v) of Regulation S-K, we are providing information about the relationship between executive compensation actually paid to our principal executive officers and the other named executive officers (as calculated in accordance with Item 402(v) of Regulation S-K). Compensation actually paid does not necessarily reflect the actual amount of compensation earned by or paid to our named executive officers during the applicable year, nor does it reflect how the Compensation Committee evaluates compensation decisions or pay-for-performance alignment. The Compensation Committee did not use compensation actually paid as the basis for making fiscal year 2026 compensation decisions. Rather, the Compensation Committee considered the factors described above under “Executive Compensation,” including Company performance, individual performance, leadership needs, retention considerations, market data, and stockholder alignment.
| Year | Summary | Summary | Summary | Compensation | Compensation | Compensation | Average | Average | Value of | Net Loss | Earnings | |||||||||||||||||||||||||
| 2026 |
|
|
|
| $ | |
|
|
|
|
| $ | | $ | | $ | | $ | | $ | ( | ) | $ | (0.56 | ) | |||||||||||
| 2025 |
|
| $ | | $ | |
|
| $ | ( | ) | $ | | $ | | $ | | $ | | $ | ( | ) | $ | (0.86 | ) | |||||||||||
| 2024 | $ | | $ | |
|
| $ | | $ | |
|
|
| $ | | $ | | $ | | $ | ( | ) | $ | (0.66 | )6 | |||||||||||
____________
(1)
(2)
(3)
(4)
(5)
23
PEO 1:
| Year | Year End | Year over | Fair Value | Year over | Fair Value | Value of | Total | ||||||||||||||
| 2026 | $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| |||||||
| 2025 | $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| |||||||
| 2024 | $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| |||||||
PEO 2:
| Year | Year End | Year over | Fair Value | Year over | Fair Value | Value of | Total | |||||||||||||||||
| 2026 | $ |
| $ |
| $ |
| $ |
|
| $ |
|
| $ |
| $ |
|
| |||||||
| 2025 | $ |
| $ |
| $ |
| $ | ( | ) | $ | ( | ) | $ |
| $ | ( | ) | |||||||
| 2024 | $ | | $ |
| $ |
| $ |
|
| $ |
|
| $ |
| $ |
|
| |||||||
PEO 3:
| Year | Year End | Year over | Fair Value | Year over | Fair Value | Value of | Total | ||||||||||||||
| 2026 | $ | | $ | | $ | | $ | | $ | | $ | | $ | | |||||||
| 2025 | $ | | $ |
| $ | | $ |
| $ |
| $ |
| $ | | |||||||
| 2024 | $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| $ |
| |||||||
____________
(6)
24
(7) The amounts reported represent the “compensation actually paid” to our Non-PEO NEOs, computed in accordance with Item 402(v) of Regulation S-K, but do not reflect the actual amount of compensation earned by or paid to our Non-PEO NEOs in the applicable year. In accordance with Item 402(v) of Regulation S-K, the following adjustments were made to the amount reported for our principal in the “Total” column of the Summary Compensation Table for each year to calculate compensation actually paid.
Average of Non-PEO NEOs:
| Year | Year End | Year over | Fair Value | Year over | Fair Value | Value of | Total | |||||||||||||||||
| 2026 | $ | | $ | | $ | | $ | ( | ) | $ | |
| $ | | $ | |
| |||||||
| 2025 | $ | | $ |
| $ | | $ |
|
| $ | ( | ) | $ |
| $ | ( | ) | |||||||
| 2024 | $ |
| $ |
| $ |
| $ |
|
| $ |
|
| $ |
| $ |
|
| |||||||
____________
(8) TSR is calculated by dividing the difference between the Company’s share price at the end and the beginning of the measurement period by the Company’s share price at the beginning of the measurement period.
(9)
Relationship between Compensation Actually Paid for PEO and Non-PEO NEOs (Average) vs. Total Shareholder Return
The following chart shows the relationship between the compensation actually paid to our PEOs and the average of the compensation actually paid to Non-PEO NEOs, with our cumulative TSR for the fiscal years ended February 28, 2026 and February 28, 2025. TSR amounts reported in the graph assume an initial fixed investment of $100 on February 28, 2025.
Relationship between Compensation Actually Paid for PEO and Non-PEO NEOs (Average) vs. Net Income
The following chart shows the relationship between Compensation Actually Paid to our PEOs and Average Compensation Actually Paid to our Non-PEO NEOs, and Net Income.
Relationship between Compensation Actually Paid for PEO and Non-PEO NEOs (Average) vs. Earnings Per Share
The following chart shows the relationship between Compensation Actually Paid to our PEOs and Average Compensation Actually Paid to our Non-PEO NEOs, and our Earnings Per Share.
Compensation Recovery (Clawback)
In November 2023, the Compensation Committee adopted our Clawback Policy, incorporated by reference as Exhibit 97.1 to our Annual Report on Form 10-K for the fiscal year ended February 28, 2026.The Clawback Policy was adopted in accordance with Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, which added Section 10D of the Securities Exchange Act of 1934, as amended, and was implemented pursuant to Exchange Act Rule 10D-1 and the applicable Nasdaq listing standards. This policy provides for the non-discretionary recovery of excess incentive-based compensation from current and former executive officers identified in accordance with Item 401(b) of Regulation S-K in the event of an accounting restatement, whether or not the executive officer was at fault for the restatement, in accordance with such SEC and Nasdaq requirements.
The Company’s Policies and Practices Related to the Grant of Certain Equity Awards Close in Time to the Release of Material Nonpublic Information
27
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
The following table sets forth information about the beneficial ownership of our common stock by (i) each of our directors and director nominees, (ii) each of our named executive officers named in the Summary Compensation Table under “Executive Compensation,” (iii) all our directors, director nominees and executive officers as a group, and (iv) each person or group known by us to own more than 5% of our common stock The percentages reflect beneficial ownership, as determined in accordance with the SEC’s rules, as of June 1, 2026 and are based on 9,439,589 shares of common stock outstanding as of June 1, 2026. Except as noted below, the address for all beneficial owners in the table below is c/o Rocky Mountain Chocolate Factory, Inc., 265 Turner Drive, Durango, Colorado 81303.
|
Name of Beneficial Owner |
Amount and |
Percent of |
|||
|
Directors and Named Executive Officers: |
|
||||
|
Steven L. Craig |
300,755 |
3.19 |
% |
||
|
Jeffrey R. Geygan(2)(3) |
1,977,519 |
20.95 |
% |
||
|
Mel Keating |
34,145 |
* |
|
||
|
Brian Quinn |
30,027 |
* |
|
||
|
Alberto Pérez-Jácome |
10,082 |
* |
|
||
|
Carrie Cass |
24,620 |
* |
|
||
|
All directors, director nominees and executive officers as a group (6 persons) |
2,377,148 |
25.18 |
% |
||
|
Greater than 5% Stockholders |
|
||||
|
Persons and entities affiliated with Global Value Investment Corp.(3) |
1,966,219 |
20.83 |
% |
||
|
American Heritage Railways, Inc.(4) |
812,370 |
8.61 |
% |
||
|
Persons and entities affiliated with ARM-D Rocky Mountain Chocolate Holdings LLC(5) |
1,500,000 |
15.89 |
% |
||
____________
* Represents less than 1% of the number of shares of our common stock outstanding as of June 1, 2026.
(1) Beneficial ownership is determined in accordance with the rules of the SEC and includes voting and investment power with respect to shares. Unless otherwise indicated below, to our knowledge, all persons listed in the table have sole voting and dispositive power with respect to their shares of common stock, except to the extent authority is shared by spouses under applicable law. Pursuant to the rules of the SEC, the number of shares of common stock deemed outstanding includes shares issuable upon vesting of shares of restricted stock held by the respective person or group that will vest within 60 days of June 1, 2026 and pursuant to options held by the respective person or group that are currently exercisable or may be exercised within 60 days of June 1, 2026.
(2) Includes (i) 185,041 shares of common stock, and (ii) 1,792,478 shares of common stock through Global Value Investment Corp. and its affiliates, including shares of common stock that may be deemed to be indirectly beneficially owned by Global Value Investment Corp, which Mr. Geygan, as chief executive officer and principal of Global Value Investment Corp., may be deemed to beneficially own. For additional information see Footnote 3.
(3) Based on the information contained in a filing on Schedule 13D/A filed with the SEC on December 22, 2025. Consists of 1,966,219 shares held by Global Value Investment Corp. (“GVIC”), GVP 2021-A, L.P., Jeffrey Geygan; Stacy A. Wilke; Kathleen M. Geygan; and Shawn G. Rice (collectively, “GVIC Affiliates”). GVIC serves as investment adviser to the GVIC Affiliates, and may be deemed to have beneficial ownership over the shares of common stock held for the GVIC Affiliates. GVIC is the sole member of GVP 2021-A, L.L.C., which is the general partner of GVP 2021-A, L.P, and may be deemed to have beneficial ownership over the shares of common stock held by GVP 2021-A, L.P. Mr. Jeffrey Geygan, Mr. James Geygan, Ms. Wilke, Ms. Geygan, and Mr. Rice each own shares of common stock in their individual capacities, and these shares may be deemed to be indirectly beneficial owned by GVIC. Mr. Jeffrey Geygan, Mr. James Geygan, Ms. Geygan, and Mr. Rice are the directors of GVIC. Mr. James Geygan and Ms. Wilke are the executive officers of GVIC. As a result of his ownership interest in GVIC, Mr. Jeffrey Geygan, the Interim Chief Executive Officer of the Company, is the controlling person of GVIC. Mr. Jeffrey Geygan is also the controlling person of GVP 2021-A, L.L.C., which is the general partner of GVP 2021-A, L.P. The address of Global Value Investment Corp. is 1433 N. Water Street, Suite 400, Milwaukee, Wisconsin 53202.
(4) Based solely on the information contained in a filing on Schedule 13D/A filed with the SEC on June 10, 2026. Allen C. Harper is the chief executive officer, director, and controlling shareholder of American Heritage Railways, Inc. and shares voting and dispositive power over the shares held by such entity. Mr. Harper holds sole dispositive power of 1,911 shares. Mr. Haper disclaims beneficial ownership in the securities except to the extent of his pecuniary interest. The address of American Heritage Railways, Inc. is 479 Main Avenue, Durango, CO 81301.
28
(5) Based solely on the information contained in a filing on Schedule 13D filed with the SEC on January 2, 2026. Pursuant to the Purchase Agreement, Gloria Perez-Jacome Friscione and ARM-D Rocky Mountain Chocolate Holdings LLC are deemed the beneficial owner of 1,500,000 shares. Gloria Perez-Jacome Friscione and ARM-D Rocky Mountain Chocolate Holdings LLC may be deemed to have the shared power to vote and dispose of 1,500,000 shares. The address of ARM-D Rocky Mountain Chocolate Holdings LLC is 2347 Biscayne Boulevard, Suite 108, Miami, Florida 33137.
Changes in Control
We are not aware of or a party to any arrangements, including any pledge by any person of our securities, the operation of which may at a subsequent date result in a change of control.
Delinquent Section 16(a) Reports
Section 16(a) of the Exchange Act requires our executive officers and directors, and persons who own more than ten percent of a registered class of our equity securities, to file reports of securities ownership and changes in such ownership with the SEC.
Based solely upon a review of Forms 3 and 4 (and amendments thereto) and written representations furnished to us during the most recent fiscal year, no person who at any time during the fiscal year was a director, officer, or beneficial owner of more than 10% of any class of our equity securities failed to file on a timely basis any reports required by Section 16(a) of the Exchange Act during our most recent fiscal year, with the exceptions noted below:
• Form 4 filed for Alberto Pérez-Jácome on January 15, 2026 reporting a grant of 16,394 restricted stock units on December 22, 2025.
• Form 4s filed for Jeffrey R. Geygan and Global Value Investment Corp. on January 22, 2026 each reporting a purchase of 11,300 shares of common stock on January 16, 2026.
• Form 4s filed for Allen C. Harper and American Heritage Railways, Inc. on April 16, 2026 each reporting sales of an aggregate of 52,100 shares of common stock on various dates from February 19, 2026 to March 5, 2026.
29
EQUITY COMPENSATION PLAN INFORMATION
The following table provides information with respect to the Company’s equity compensation plan, as of February 28, 2026, which consists solely of the Company’s 2024 Omnibus Incentive Compensation Plan:
|
Plan category |
Number of |
Weighted- |
Number of |
|||
|
Equity compensation plans approved by the Company’s stockholders |
194,189 |
— |
565,494 |
|||
|
Equity compensation plans not approved by the Company’s stockholders |
— |
— |
— |
|||
|
Total |
194,189 |
— |
565,494 |
____________
(1) Awards outstanding under the 2024 Omnibus Incentive Compensation Plan as of February 28, 2026 consist of 194,189 unvested restricted stock units.
(2) Represents shares remaining available under the 2024 Omnibus Incentive Compensation Plan. Shares available for future issuances under the 2024 Omnibus Incentive Compensation Plan may be issued in the form of stock options, stock appreciation rights, restricted stock and stock units, performance shares and performance units, and other stock and cash-based awards.
30
CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
Policies and Procedures for Approving Transactions with Related Persons
The Board has adopted a Related Party Transaction Policy setting forth the policies and procedures for the review and approval or ratification of related-party transactions. This policy covers any transaction, arrangement or relationship or any series of similar transactions, arrangements or relationships, in which we were or are to be a participant and a related party had or will have a direct or indirect material interest, as determined by the Audit Committee of the Board, including, without limitation, purchases of products or services by or from the related party or entities in which the related party has a material interest, and indebtedness, guarantees of indebtedness or employment by us of a related party. The text of the Related Party Transaction Policy is available under the “Governance” tab on the “Investors” section of our website at www.rmcf.com.
Related Person Transactions
Other than the transactions set forth below and equity and other compensation, termination, change of control and other arrangements, which are described under “Executive Compensation” and “Director Compensation,” respectively, since March 1, 2024 there has not been, nor is there currently proposed, any transaction or series of similar transactions to which we were or will be a party in which the amount involved in the transaction exceeded $120,000, and in which any of our directors, executive officers or, to our knowledge, beneficial owners of more than 5% of our capital stock or any member of the immediate family of any of the foregoing persons had or will have a direct or indirect material interest.
Debt Transaction
On September 30, 2024, the Company repaid the amount owed under its credit agreement with Wells Fargo Bank N.A. and entered into a new credit agreement (the “Credit Agreement”) with a lender, RMC Credit Facility, LLC (“RMC”). RMC is a related party of the Company as it is a special purpose investment entity affiliated with Steven L. Craig, a member of the Company’s board of directors, who was involved and an investor with the Credit Agreement. Pursuant to the Credit Agreement, the Company received an advance in the principal amount of $6.0 million, which advance is evidenced by a promissory note (the “Note”). The Note will mature on September 30, 2027 (the “Maturity Date”), and interest will accrue at a rate of 12% per annum and is payable monthly in arrears. All outstanding principal and interest will be due on the Maturity Date. The Credit Agreement is collateralized by the Company’s Durango real estate property and the related inventory and property, plant and equipment located on that property, as well as the Company’s accounts receivable and cash accounts. On August 28, 2025, the Company entered into a first amendment to the Credit Agreement. RMC agreed to make an additional advance to the Company in the principal amount of $0.6 million. The additional $0.6 million was repaid on December 31, 2025. There was no change to other terms of the agreement.
On August 28, 2025, the Company entered into a new credit agreement (“RMCF2 Credit Agreement”) with RMCF2 Credit, LLC (“RMCF2”), a special purpose investment entity affiliated with Jeffrey R. Geygan, the Company’s Interim Chief Executive Officer. Pursuant to the new credit agreement, the Company received an advance in the principal amount of $1.2 million, which advance is evidenced by a promissory note (the “RMCF2 Note”). The RMCF2 Note matures on September 30, 2027 and interest accrues at a rate of 12% per annum and is payable monthly in arrears. All outstanding principal and interest will be due on the maturity date. The RMCF2 Credit Agreement is collateralized by the Company’s Durango real estate property and the related inventory and property, plant and equipment located on that property, as well as the Company’s accounts receivable and cash accounts. On December 31, 2025, the Company repaid $0.6 million of the $1.2 million advanced.
Equity Issuance
On August 5, 2024, the Company entered into securities purchase agreements with Steven L. Craig and Al Harper, existing directors of the Company, pursuant to which, among other things, Messrs. Craig and Harper agreed to subscribe for and purchase, and the Company agreed to issue and sell in a private placement, an aggregate of 1,250,000 of shares of the Company’s common stock at a price per share equal to $1.75, for total proceeds of approximately $2.2 million. On September 5, 2024, the Company filed a Form S-1 registering the shares sold in the private placement. The Form S-1 was declared effective by the SEC on October 9, 2024.
31
On December 18, 2025, the Company entered into a securities purchase agreement with the ARM-D Rocky Mountain Chocolate Holdings, LLC (the “Purchaser”), pursuant to which, among other things, the Purchaser agreed to subscribe for the purchase, and the Company agreed to issue and sell to the Purchaser, an aggregate of 1,500,000 shares of common stock at a price per share of $1,80, for total gross proceeds of approximately $2,7 million, less stock issuance costs of $0.2 million. On January 23, 2026, the shares were subsequently registered for resale by the Purchaser on a form S-1 that was declared effective by the SEC on February 13, 2026.
Cooperation Agreement
On November 26, 2024, the Company entered into a letter agreement with Global Value Investment Corp. (“GVIC”). The negotiation of the Agreement was overseen by an ad hoc committee of disinterested directors of the Company. Jeffrey R. Geygan, a member of the Board and Interim Chief Executive Officer of the Company until his resignation from that role effective June 26, 2026, was the previous chief executive officer and principal of GVIC, was not a member of that committee. As a result of his ownership interest in GVIC, Mr. Geygan is the controlling person of GVIC. The Agreement provides that GVIC will have the right to designate one individual to the Board of Directors. In addition, the Company will cooperate in good faith with GVIC to mutually agree upon one additional individual to serve as an independent director on the Board. For the period from the effective date of the Agreement continuing through the day that is 15 days prior to the deadline for submission of stockholder proposals for the Company’s 2027 annual meeting of stockholders (the “Restricted Period”), the Board will have no more than seven members. Also, if at any time during the Restricted Period GVIC no longer beneficially owns shares of the Company’s common stock representing in the aggregate more than 10 percent of the Company’s common stock then-outstanding, then its designated Board member will promptly offer to resign from the Board. The Company reimbursed GVIC for $0.1 million of legal fees associated with executing the agreement.
32
INDEPENDENT AUDITORS AND RELATED FEES
Policy on Audit Committee Pre-Approval of Audit and Permitted Non-Audit Services of Independent Auditors
Our Audit Committee is responsible for appointing, approving fees and overseeing the working of the Company’s independent registered public accounting firm. As part of this responsibility, the Audit Committee has established a policy to pre-approve all audit and permissible non-audit services provided by the independent registered accounting firm for the purpose of maintaining the independence of our independent auditor. We may not engage our independent auditor to render any audit or non-audit service unless either the service is approved in advance by the Audit Committee, or the engagement to render the service is entered into pursuant to the Audit Committee’s pre-approval policies and procedures.
Principal Accountant Fees and Services
On June 8, 2026, the Audit Committee approved the engagement of Rosenberg Rich Baker Berman, P.A. (“RRBB”) as the Company’s independent registered public accounting firm for the fiscal year ending February 28, 2027 and approved the dismissal of CohnReznick LLP (“CohnReznick”) as the Company’s independent registered public accounting firm. CohnReznick served as the Company’s independent registered public accounting firm for the fiscal years ended February 28, 2026 and February 28, 2025.
The following table shows the aggregate fees paid or accrued by the Company to our independent auditor, RRBB and CohnReznick for the audit and other services provided in fiscal year 2026 and fiscal year 2025:
|
Rosenberg |
CohnReznick |
CohnReznick |
||||||
|
Audit Fees |
— |
$ |
400,050 |
$ |
389,350 |
|||
|
Audit-Related Fees |
$ |
— |
|
— |
||||
|
Tax Fees |
— |
$ |
105,315 |
$ |
92,300 |
|||
|
Total |
— |
$ |
505,815 |
$ |
481,650 |
|||
Audit Fees
Audit fees in fiscal year 2026 and fiscal year 2025 consist of fees billed for the audit of our annual financial statements and the review of the interim financial statements.
Audit-Related Fees
Audit-related fees in fiscal year 2026 and fiscal year 2025 consist of fees for assurance and related services that are reasonably related to the performance of the audit or review of the Company’s financial statements. This category includes fees related to the performance of audits and attest services not required by statute or regulations, audits of the Company’s benefit plans, and additional compliance procedures related to performance of the review or audit of the Company’s financial statements, and accounting consultations about the application of generally accepted accounting principles to proposed transactions. These services support the evaluation of the effectiveness of internal controls.
Tax Fees
Tax fees in fiscal year 2026 and fiscal year 2025 consist of the aggregate fees billed for professional services rendered for tax compliance, tax advice, and tax planning services.
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REPORT OF THE AUDIT COMMITTEE
The following is the report of our Audit Committee with respect to our audited financial statements included in our Annual Report on Form 10-K for the fiscal year ended February 28, 2026, filed with the SEC on May 29, 2026 (the “Annual Report”). The information contained in this report shall not be deemed to be “soliciting material” or “filed” with the SEC, nor shall such information be incorporated by reference into any future filing under the Securities Act of 1933, as amended, or the Exchange Act, except to the extent that the Company specifically incorporates it by reference in such filing.
Review and Discussions with Management and Independent Accountants
Management is responsible for our internal controls and the financial reporting process. The independent registered public accounting firm is responsible for performing an independent audit of our financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States) (the “PCAOB”) and to issue a report thereon. The Audit Committee’s responsibility is to monitor and oversee these processes. It is not our duty or our responsibility to conduct auditing or accounting reviews or procedures. We are not employees of the Company, and we may not be, and we may not represent ourselves to be, or to serve as, accountants or auditors by profession or experts in the fields of accounting or auditing. Therefore, we have relied, without independent verification, on management’s representation that the financial statements have been prepared with integrity and objectivity and in conformity with accounting principles generally accepted in the United States of America, and on the representations of the independent registered public accounting firm included in the report on the Company’s financial statements. Our oversight does not provide us with an independent basis to determine that management has maintained appropriate accounting and financial reporting principles or policies, or appropriate internal controls and procedures designed to ensure compliance with accounting standards and applicable laws and regulations. Furthermore, our considerations and discussions with management and the independent registered public accounting firm do not ensure that the Company’s financial statements are presented in accordance with generally accepted accounting principles, that the audit of the Company’s financial statements has been carried out in accordance with the standards of the PCAOB or that the Company’s independent registered public accounting firm is in fact “independent.”
The Audit Committee has met and held discussions separately with management and the independent registered public accounting firm. Management represented to the Audit Committee that the Company’s audited financial statements for the fiscal year ended February 28, 2026 were prepared in accordance with accounting principles generally accepted in the United States of America, and the Audit Committee has reviewed and discussed the audited financial statements with management and the independent registered public accounting firm. The Audit Committee discussed with the independent registered public accounting firm the matters required to be discussed by the applicable requirements of the PCAOB and the SEC.
The independent registered public accounting firm also provided to the Audit Committee the written disclosure and letter required by applicable requirements of the PCAOB regarding the independent accounting firm’s communications with the Audit Committee concerning independence. The Audit Committee discussed with the independent registered public accounting firm the firm’s independence and considered whether the non-audit services provided by the independent registered public accounting firm are compatible with maintaining its independence.
Based on the review and discussions described above, the Audit Committee recommended that the Board include the audited financial statements in the Company’s Annual Report on Form 10-K, as amended, for the fiscal year ended February 28, 2026 filed with the SEC.
Submitted by the Audit Committee
Audit Committee:
Mel Keating
Alberto Pérez-Jácome
Brian Quinn
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PROPOSALS TO BE VOTED ON
PROPOSAL ONE: ELECTION OF DIRECTORS
At the Annual Meeting, our stockholders will vote on the election of five director nominees, Steven L. Craig, Jeffrey R. Geygan, Mel Keating, Brian Quinn and Alberto Pérez-Jácome, each to serve until our 2027 Annual Meeting and until their respective successors are elected and qualified. The Board has unanimously nominated each of our five existing directors for election to the Board at the Annual Meeting.
All of our nominees have indicated their willingness to serve if elected, but if any should be unable or unwilling to stand for election, the shares represented by proxies may be voted for a substitute as the Company may designate, unless a contrary instruction is indicated in the proxy.
THE BOARD OF DIRECTORS UNANIMOUSLY RECOMMENDS A VOTE FOR EACH OF OUR DIRECTOR NOMINEES.
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PROPOSAL TWO: RATIFICATION OF APPOINTMENT OF ROSENBERG RICH BAKER BERMAN, P.A.
AS THE COMPANY’S INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
The Audit Committee has selected Rosenberg Rich Baker Berman, P.A. as the Company’s independent registered public accounting firm to audit our financial statements for the fiscal year ending February 28, 2027. Although stockholder approval for this appointment is not required, the Audit Committee and the Board are submitting the selection of Rosenberg Rich Baker Berman, P.A. for ratification to obtain the views of stockholders and as a matter of good corporate governance. If the appointment is not ratified, the Audit Committee will reconsider whether or not to retain Rosenberg Rich Baker Berman, P.A.
Representatives of Rosenberg Rich Baker Berman, P.A. are expected to be present at the Annual Meeting and will have the opportunity to respond to appropriate questions.
THE BOARD OF DIRECTORS UNANIMOUSLY RECOMMENDS A VOTE FOR THE RATIFICATION OF ROSENBERG RICH BAKER BERMAN, P.A. AS INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM FOR THE COMPANY FOR THE FISCAL YEAR ENDING FEBRUARY 28, 2027.
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PROPOSAL THREE: APPROVE, ON AN ADVISORY BASIS, THE COMPENSATION OF
OUR NAMED EXECUTIVE OFFICERS
We are offering our stockholders an opportunity to cast a non-binding advisory vote to approve the compensation of our named executive officers, as disclosed in this Proxy Statement, as required by Section 14A of the Securities Exchange Act (commonly referred to as a “say-on-pay” vote). The say-on-pay vote gives you as a stockholder the opportunity to express your views regarding the compensation of our named executive officers by voting to approve or not approve such compensation as described in this Proxy Statement. The Board of Directors and our Compensation Committee value the opinion of our stockholders and will take into account the outcome of the vote when considering future executive compensation elements and the overall program design, as it relates to our named executive officers. We will hold this vote on an annual basis.
Our Compensation Committee believes that the objectives of our executive compensation program, as it relates to our named executive officers, are appropriate for a company of our size and stage of development and that our compensation policies and practices help meet those objectives. In addition, our Compensation Committee believes that our executive compensation program, as it relates to our named executive officers, achieves an appropriate balance between fixed compensation and variable incentive compensation, pays for performance and promotes an alignment between the interests of our named executive officers and our stockholders. Accordingly, we are asking our stockholders to approve the compensation of our named executive officers. This advisory vote is not intended to be limited or specific to any particular element of compensation, but rather to cover the overall compensation of our named executive officers and the compensation policies and practices described in this Proxy Statement as it relates to our named executive officers.
Prior to casting your vote on this proposal, you are encouraged to read this Proxy Statement, and in particular the section entitled “Executive Compensation,” including the compensation tables and narrative discussion, for a more detailed discussion of our compensation philosophy, objectives and programs.
“RESOLVED, that the stockholders approve, on an advisory basis, the compensation of the Company’s named executive officers, as disclosed pursuant to Item 402 of Regulation S-K, including the compensation tables and any other related disclosure in the proxy statement.”
THE BOARD UNANIMOUSLY RECOMMENDS A VOTE, IN AN ADVISORY MANNER, FOR THE APPROVAL OF THE COMPENSATION OF OUR NAMED EXECUTIVE OFFICERS.
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PROPOSAL FOUR: ADVISORY VOTE TO APPROVE THE FREQUENCY OF FUTURE
ADVISORY VOTES TO APPROVE THE COMPENSATION OF OUR NAMED EXECUTIVE OFFICERS
Pursuant to Section 14A of the Exchange Act, at least every six years, stockholders have an opportunity to provide an advisory vote on how frequently we should hold an advisory vote on the compensation of our named executive officers. Our stockholders last voted on this matter at our 2020 Annual Meeting of Stockholders. Stockholders may indicate whether they would prefer an advisory vote on executive compensation once every one, two or three years, or they may abstain from voting.
The Board has discussed and carefully considered the alternatives regarding the frequency of future advisory votes to approve the compensation of our named executive officers in an effort to determine the approach that would best serve the Company and its stockholders. Our Board has considered several factors supporting an annual vote, including:
• An annual say-on-pay vote is consistent with past practice, as we have been conducting an annual vote since 2013.
• An annual say-on-pay vote provides us with immediate and direct input from our stockholders on our compensation principles and practices as disclosed in the proxy statement every year.
• An annual say-on-pay vote provides frequent feedback from our stockholders, which is consistent with our efforts to seek input from our stockholders regarding corporate governance and our compensation philosophy.
• The lack of an annual say-on-pay vote might make it more difficult for us to understand the outcome of a stockholder vote as to whether the stockholder vote pertains to the compensation disclosed in the current year proxy statement or pay practices over the previous year or two years. As a result, a frequency other than annual might make it more difficult for the Board to understand and respond appropriately to the message being communicated by our stockholders.
• Our stockholders most recently voted to recommend an annual say-on-pay vote at our 2020 Annual Meeting of Stockholders.
After such consideration, the Board believes that it is most appropriate to continue to conduct an advisory vote on the compensation of our named executive officers every year.
The voting frequency option that receives the highest number of votes cast, in person or by proxy, at the Annual Meeting will be deemed the frequency for the advisory vote to approve the compensation of our named executive officers that has been approved, on an advisory basis, by stockholders. The vote to approve the frequency of future say on pay votes is advisory and therefore will not be binding on the Compensation Committee, the Board, or the Company. However, the Compensation Committee and Board will take the voting results into consideration when determining the frequency and timing of future say on pay votes.
THE BOARD UNANIMOUSLY RECOMMENDS A VOTE, IN AN ADVISORY MANNER, FOR A FREQUENCY PERIOD OF “ONE YEAR” FOR FUTURE ADVISORY VOTES TO APPROVE THE COMPENSATION OF OUR NAMED EXECUTIVE OFFICERS.
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PROPOSAL FIVE: APPROVAL OF AN AMENDMENT TO THE 2024 PLAN TO INCREASE THE
NUMBER OF SHARES OF COMMON STOCK AUTHORIZED FOR ISSUANCE
Overview
Upon the recommendation of the Compensation Committee, the Board has approved, subject to stockholder approval, an amendment to the Rocky Mountain Chocolate Factory, Inc. 2024 Omnibus Incentive Compensation Plan (the “2024 Plan”) to increase the number of shares of common stock, $0.001 par value per share, authorized for issuance under the 2024 Plan by 530,000 shares, from 683,949 shares to 1,213,949 shares (the “Plan Amendment”). Approval of the Plan Amendment will result in an additional 530,000 shares of common stock available for issuance under the 2024 Plan, representing approximately 12.86% of the outstanding shares of common stock as of the Record Date. The Board and Compensation Committee believe this level is appropriate in light of the Company’s current stage of development, competitive market for talent, and peer group practices.
As of June 29, 2026, there are (i) 212,988 shares of common stock underlying outstanding restricted stock unit awards granted pursuant to the 2024 Plan and (ii) 1,000,961 shares of common stock available for future grants of equity awards pursuant to the 2024 Plan. No stock options are currently outstanding under the 2024 Plan.
The principal purpose of the 2024 Plan is to assist the Company. It (i) assists the Company in attracting, retaining and motivating our employees, officers, directors and consultants; (ii) provides equitable and competitive compensation opportunities; (iii) recognizes individual contributions; and (iv) rewards goal achievement and aligns the interests of the participants with those of our stockholders. The Plan Amendment is necessary to continue to provide competitive equity-based compensation and to support the Company’s strategic objectives. The Plan Amendment would become effective on August 3, 2026, if approved by stockholders at the Annual Meeting.
Factors Stockholders Should Consider When Voting on the Plan Amendment
The Board and Compensation Committee believe that equity-based incentives are a critical component of the Company’s overall compensation program. Equity awards align the interests of key employees, executives and directors with long-term stockholder value creation and are particularly important given the Company’s focus on growth, franchising and operations and the competitive market for qualified personnel. In assessing the appropriate terms of the 2024 Plan, the Board considered, among other items, our compensation philosophy and practices, as well as feedback from other stakeholders. The Board believes that awards tied to our common stock and Company performance promote the long-term success of the Company and views the 2024 Plan as an essential element of the Company’s overall compensation program.
The Company has utilized equity awards under the 2024 Plan for the following principal purposes:
Retention and Incentive Alignment: Equity awards have been granted to executive officers and key employees to establish appropriate long-term alignment with stockholders and to reward performance, commitment and sustained contributions to the Company.
Broad-Based Participation: The 2024 Plan permits grants to employees, consultants and non-employee directors, enabling the Company to offer competitive compensation across its workforce and support a culture of ownership.
The Company is requesting this increase in authorized shares under the 2024 Plan to support anticipated equity grant activity over the next two to three years, including ongoing retention, incentive and recruitment needs.
Commitment to Responsible Equity Usage and Stockholder Alignment
Equity awards are a vital part of our overall compensation program. We recognize the potential dilutive impact of equity awards and are committed to managing equity compensation responsibly. The Compensation Committee oversees all equity grants and considers factors including individual performance, market benchmarks, retention needs and alignment with long-term stockholder value creation.
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Equity awards are generally subject to multi-year vesting requirements and, in many cases, are structured to reward sustained performance and long-term contribution. No equity-based award (other than limited exceptions set forth in the 2024 Plan) may vest earlier than the first anniversary after the date of grant, and performance-based awards must have a performance period of at least one year. The Company expects to continue to use equity awards selectively and in a disciplined manner.
The 2024 Plan prohibits the repricing of stock options or stock appreciation rights without stockholder approval. Awards are subject to the Company’s Clawback Policy and Insider Trading Policy.
This section summarizes certain principal features of the 2024 Plan for the Plan Amendment. The summary is qualified in its entirety by reference to (i) the proposed amendment, which is included as Annex A of this Proxy Statement and (ii) the complete text of the 2024 Plan, which is included as Exhibit 10.4 to our Annual Report on Form 10-K for the year ended February 28, 2026 filed with the SEC on May 29, 2026, and incorporated herein by reference.
Pursuant to Nasdaq rules, the Company and other Nasdaq listed companies are generally not permitted to grant shares of common stock as compensation except pursuant to a plan approved by stockholders.
The Board believes that approval of this increase will support the Company’s ability to continue executing its strategic growth initiatives, retain and motivate key personnel, and align compensation with long-term value creation for stockholders.
New Stock Incentive Plan Benefits
No awards have been made with respect to the Plan Amendment and as such, we have not included a New Plan Benefits table called for by Item 10 of Schedule 14A.
THE BOARD UNANIMOUSLY RECOMMENDS A VOTE FOR THE APPROVAL OF AN AMENDMENT TO THE 2024 PLAN TO INCREASE THE NUMBER OF SHARES OF COMMON STOCK AUTHORIZED FOR ISSUANCE UNDER THE 2024 PLAN.
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OTHER MATTERS
The Company is not aware of any matter to be acted upon at the Annual Meeting other than the matters described in this Proxy Statement. However, if any other matter properly comes before the Annual Meeting, the proxy holders will vote the proxies thereon in accordance with their best judgment on such matter.
STOCKHOLDER PROPOSALS AND NOMINEES FOR 2027 ANNUAL MEETING
Deadlines for Submitting Stockholder Proposals and Director Nominations
Any proposal that a stockholder wishes to have considered for inclusion in our 2027 proxy materials pursuant to SEC Rule 14a-8 must be received by us at the address below on or before March 1, 2027.
If a stockholder or group of stockholders wishes to nominate one or more director candidates to be included in our proxy statement for the next annual meeting of stockholders through our proxy access bylaw provision, we must receive proper written notice of the nomination not later than 120 days or earlier than 150 days before the one-year anniversary of the date on which the Company first mailed its proxy materials or a notice of availability of proxy materials (whichever is earlier) in connection with the Annual Meeting, or between January 30, 2027 and March 1, 2027. In the event that the next annual meeting of stockholders is more than 30 days before or after August 3, 2027, the notice must be delivered no earlier than the 150th day prior to such meeting and no later than the 120th day prior to such meeting or the 10th day following the date on which public announcement of the meeting date is first made. In addition, the nomination must otherwise comply with the requirements in our Bylaws. The requirements of such notice can be found in our Bylaws, a copy of which is available under the “Governance” tab on the “Investors” section of our website at www.rmcf.com.
For any proposal or director nomination that is not submitted for inclusion in next year’s proxy statement, but is instead sought to be presented directly at the 2027 annual meeting of stockholders, stockholders are advised to review our Bylaws as they contain requirements with respect to advance notice of stockholder proposals not intended for inclusion in our proxy statement and director nominations. To be timely, a stockholder’s notice must be delivered to and received by the Company at our principal executive offices not less than 90 days or more than 120 days prior to the one-year anniversary of the prior year’s annual meeting of stockholders. Accordingly, any such stockholder proposal must be received between April 5, 2027 and the close of business on May 5, 2027. However, subject to the last sentence of this paragraph, in the event that the next annual meeting of stockholders is convened more than 30 days prior to or delayed by more than 30 days after August 3, 2027, notice by the stockholder to be timely must be received not later than the close of business on the later of the (i) 90th day prior to such annual meeting or (ii) the 10th day following the date on which public announcement of the date of the next annual meeting of stockholders is first made. In no event shall an adjournment or postponement of the 2026 annual meeting of stockholders for which notice has been given, commence a new time period for the giving of a stockholder’s notice. In addition, to comply with the universal proxy rules, stockholders who intend to solicit proxies in support of director nominees other than our nominees must provide notice that sets forth the information required by Rule 14a-19 under the Exchange Act no later than June 4, 2027.
All stockholder director nominations and proposals must comply with the procedures outlined in our Bylaws and in SEC regulations regarding the inclusion of stockholder director nominations and proposals in company-sponsored proxy materials. Stockholder director nominations and proposals must be submitted in writing to the Company at our principal executive offices at 265 Turner Drive, Durango, Colorado 81303.
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ANNUAL REPORT ON FORM 10-K
A copy of our Annual Report on Form 10-K for the fiscal year ended February 28, 2026, filed with the SEC on May 29, 2026, is being made available to stockholders along with this proxy statement at http://www.edocumentview.com/RMCF. The Annual Report on Form 10-K includes our audited financial statements and the financial statement schedule. Stockholders may request to receive an additional copy of our Annual Report on Form 10-K, as amended, including our audited financial statements and the financial statement schedule, at no charge by writing to the Company at our principal executive offices at 265 Turner Drive, Durango, Colorado 81303.
HOUSEHOLDING
Any stockholder, including both stockholders of record and beneficial holders who own their shares through a broker, bank or other nominee, who share an address with another holder of our common stock may only be sent one set of proxy materials, unless such holders have provided contrary instructions. We will deliver promptly upon written or oral request a separate copy of these materials to any holder at a shared address to which a single copy of the proxy materials was delivered. If you wish to receive a separate copy of these materials in the future or if you are receiving multiple copies and would like to receive a single copy, please contact the Company in writing, at 265 Turner Drive, Durango, Colorado 81303, or by telephone at (970) 259-0554.
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ANNEX A
FIRST AMENDMENT TO THE
ROCKY MOUNTAIN CHOCOLATE FACTORY, INC.
2024 OMNIBUS INCENTIVE COMPENSATION PLAN
This Amendment (the “Amendment”) to the Rocky Mountain Chocolate Factory, Inc. 2024 Omnibus Incentive Compensation Plan (the “2024 Plan”) is adopted as of DATE.
RECITALS
WHEREAS, the 2024 Plan originally reserved 600,000 shares for issuance pursuant to Awards;
WHEREAS, as of the date of this Amendment, a portion of the original 600,000 shares have been issued or are subject to outstanding Awards under the 2024 Plan, and a portion remain available for future grant;
WHEREAS, the Company desires to increase the number of shares available for issuance under the 2024 Plan by an additional 530,000 shares;
Amendment to Section 4.1 Number of Shares Available for Grants.
Section 4.1 of the 2024 Plan is hereby amended to increase the aggregate number of shares reserved for issuance under the 2024 Plan by 530,000 shares, irrespective of the number of shares that have previously been issued or remain available under the 2024 Plan as of the date hereof.
Accordingly, the first sentence of Section 4.1 is amended and restated as follows:
“Subject to adjustment as provided in Section 4.2 and except as provided in Section 5.6(b), the maximum number of Shares hereby reserved for delivery in connection with Awards under the Plan shall be 1,130,000 shares, plus (ii) that number of Shares remaining available for issuance as of the Effective Date under the Prior Plan (that is, Shares not subject to outstanding awards under the Prior Plan nor delivered from the Shares reserved under the Prior Plan), plus (iii) that number of Shares subject to awards granted under the Prior Plan that are outstanding as of the Effective Date and which become available in accordance with the provisions below after stockholder approval of the Plan.”
Except as expressly set forth herein, the 2024 Plan remains unchanged and in full force and effect.
IN WITNESS WHEREOF, the Company has adopted this Amendment as of the date first written above.
Annex A-1
You may vote online or by phone instead of mailing this card. Online Go to www.investorvote.com/RMCF or scan the QR code — login details are located in the shaded bar below. Your vote matters – here’s how to vote! Save paper, time and money! Sign up for electronic delivery at www.investorvote.com/RMCF Phone Call toll free 1-800-652-VOTE (8683) within the USA, US territories and Canada 4. To hold an advisory vote on the frequency of future advisory votes to approve the compensation of the Company’s named executive officers. Proposals — The Board of Directors recommend a vote FOR all the nominees listed, FOR Proposals X – X and for every X YEARS on Proposal X. 1 YR 2 YRS 3 YRS Abstain 01 - Steven L. Craig 04 - Brian Quinn 02 - Jeffrey R. Geygan 05 - Alberto Pérez-Jácome Friscione 03 - Mel Keating 1 U P X For Withhold For Withhold For Withhold Proposals — The Board of Directors recommends a vote FOR all nominees and FOR A Proposals 2, 3 and 5 and 1 YEAR for Proposal 4. 04B6KC 2. To ratify the appointment of Rosenberg Rich Baker Berman, P.A. as our independent registered public accounting firm for the fiscal year ending February 28, 2027. 3. To approve, on an advisory basis, the compensation of our named executive officers. Elect five Directors: Each of the above-named attorneys and proxies (or his or her substitute) is authorized to vote in his or her discretion upon such other business as may properly come before the meeting or any adjournment thereof. For Against Abstain For Against Abstain Please sign exactly as name appears hereon. When shares are held by joint tenants, both should sign. When signing as attorney, executor, administrator, trustee or guardian, please give full title as such. If a corporation, please sign in full corporate name by President or other authorized officer. If a partnership, please sign in partnership name by authorized person. Date (mm/dd/yyyy) — Please print date below. Signature 1 — Please keep signature within the box. Signature 2 — Please keep signature within the box. B Authorized Signatures — This section must be completed for your vote to count. Please date and sign below. Annual Meeting Proxy Card Using a black ink pen, mark your votes with an X as shown in this example. Please do not write outside the designated areas. q IF VOTING BY MAIL, SIGN, DETACH AND RETURN THE BOTTOM PORTION IN THE ENCLOSED ENVELOPE.q 5. To approve an amendment to the Company’s 2024 Omnibus Incentive Compensation Plan, as amended (the “2024 Plan”), to increase the number of shares of common stock authorized for issuance under the 2024 Plan. For Against Abstain Sign up for electronic delivery at www.investorvote.com/RMCF
Small steps make an impact. Help the environment by consenting to receive electronic delivery, sign up at www.investorvote.com/RMCF q IF VOTING BY MAIL, SIGN, DETACH AND RETURN THE BOTTOM PORTION IN THE ENCLOSED ENVELOPE.q The 2026 Annual Meeting of Stockholders of Rocky Mountain Chocolate Factory, Inc. will be held on August 3, 2026 at 10:00 a.m. (Mountain Time) virtually via live webcast at: https://meetnow.global/MN7DKX9 To access the virtual meeting, you must have the information that is printed in the shaded bar located on the reverse side of this form. Meeting Details August 3, 2026, 10:00 a.m. (Mountain Time) THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS The undersigned hereby appoints JEFFREY R. GEYGAN AND CARRIE CASS, and each of them, as the undersigned’s attorneys and proxies, each with the power to appoint his or her substitute, and hereby authorizes them to represent and to vote, as directed below, all the shares of Common Stock of ROCKY MOUNTAIN CHOCOLATE FACTORY, INC. (the Company”) held of record by the undersigned on June 22, 2026, at the annual meeting of stockholders to be held on August 3, 2026 or any adjournment thereof. Please mark boxes in black ink. This proxy when properly executed will be voted in the manner directed herein by the undersigned. IF NO DIRECTION IS MADE, THIS PROXY WILL BE VOTED FOR THE NOMINEES FOR ELECTION AS DIRECTORS, FOR THE PROPOSAL TO RATIFY THE APPOINTMENT OF ROSENBERG RICH BAKER BERMAN, P.A. AS OUR INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM FOR THE FISCAL YEAR ENDING FEBRUARY 28, 2027, FOR THE ADVISORY VOTE TO APPROVE THE COMPENSATION OF THE COMPANY’S NAMED EXECUTIVE OFFICERS, FOR 1 YEAR TO HOLD AN ADVISORY VOTE ON THE FREQUENCY OF FUTURE ADVISORY VOTES TO APPROVE THE COMPENSATION OF THE COMPANY’S NAMED EXECUTIVE OFFICERS, FOR THE PROPOSAL TO APPROVE AN AMENDMENT TO THE COMPANY’S 2024 OMNIBUS INCENTIVE COMPENSATION PLAN, AS AMENDED (THE “2024 PLAN”), TO INCREASE THE NUMBER OF SHARES OF COMMON STOCK AUTHORIZED FOR ISSUANCE UNDER THE 2024 PLAN, AND AS THE PROXY HOLDER MAY DETERMINE IN HIS OR HER DISCRETION WITH REGARD TO ANY OTHER MATTER PROPERLY BROUGHT BEFORE THE ANNUAL MEETING. Continued and to be voted on reverse side.) Proxy — Rocky Mountain Chocolate Factory, Inc. C Non-Voting Items Change of Address — Please print new address below.