Chris Spencer has been chief executive of Libsyn since the company launched in late-2014. The same is true for chief financial officer John Busshaus. Under a pair of contract extensions signed this month both men have committed to remaining at the company through at least February 2023. Neither men will receive increases in their base salaries, but they’ll be eligible for a pair of bonuses.
Their previous contracts weren’t up until next February, when both would have been eligible to receive a bonus for completing their terms. That payment will still occur, even though they’ll now be mid-contract. According to filings with the Securities and Exchange Commission, Spencer will be eligible to receive an $800,000 bonus—or twice his base salary—and Busshouse will be eligible for a $700,000 bonus, which is also double his base salary. Under the terms of their contract extensions, they’ll be eligible for another bonus when their new contracts expire in 2023 totaling whatever twice their base salary is at that time.
A potentially richer payout could come in the form of a stock agreement Libsyn has signed with the two executives. The board has already agreed to award Spencer and Busshaus up to 1.25 million shares of stock apiece if the company hits certain milestones. The new agreement says when the company reaches an $80 million market cap for at least five days, Spencer and Busshaus will each get a quarter of that stock, or 312,500 shares. That’s worth about $578,000 at the stock’s current price.
The bonus is designed to give the executives an incentive to take steps that will push up the company’s stock price. Libsyn’s current market share is about $55 million. If the $80 million target isn’t reached within the next year and a half, Spencer will forfeit the shares.
Before joining Libsyn four years ago, Spencer was chief executive at Future Healthcare of America from 2012 to 2015. Prior to that, he served as chief of FAB Universal, a mobile digital entertainment company from 201 to 2012. Spencer earlier worked in the tech industry.
Busshaus has a similar resume. He too worked at Future Healthcare of America, serving as its CFO from 2012 to 2015, and he also worked at FAB Universal before that, from 2007 to 2012. Busshaus earlier worked at several banking and finance companies.