UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

_________________________________________

SCHEDULE 14A
(Rule 14a-101)

________________________

INFORMATION REQUIRED IN PROXY STATEMENT
SCHEDULE 14A INFORMATION

_________________

Proxy Statement Pursuant to Section 14(a)
of the Securities
Exchange Act of 1934 (Amendment No.      )

Filed by the Registrantx

Filed by a Party other than the Registrant¨

Filed by the Registrant		☒
Filed by a Party other than the Registrant		☐

Check the appropriate box:

FLEXSHOPPER, INC.

(Name of Registrant as Specified in its Charter)

(Name of Person(s) Filing Proxy Statement if, Other Than the Registrant)

Payment of Filing Fee (Check the appropriate box):

2700 North Military Trail, Ste. 200901 Yamato Road, Suite 260
Boca Raton, FLFlorida 33431

March 13, 2018September 22, 2023

Dear Stockholder:

You are cordially invited to attend the annual meeting of stockholders of FlexShopper, Inc. to be held at 11:10:00 a.m., local time, on Thursday, April 26, 2018,Wednesday, November 1, 2023, at the Company’s corporate headquartersour executive offices located at 2700 North Military Trail, Suite 200,901 Yamato Road, Boca Raton, Florida.Florida 33431.

We look forward to your attending either in person or by proxy. Further details regarding the matters to be acted upon at this meeting appear in the accompanying Notice of 20182023 Annual Meeting and Proxy Statement. Please give this material your careful attention.

FLEXSHOPPER, INC.
2700 North Military Trail, Ste. 200901 Yamato Road, Suite 260
Boca Raton, FLFlorida 33431

NOTICE OF 20182023 ANNUAL MEETING OF STOCKHOLDERS
To Be Held on April 26, 2018November 1, 2023

To the Stockholders of FlexShopper, Inc.:

NOTICE IS HEREBY GIVEN that the 20182023 Annual Meeting of Stockholders of FlexShopper, Inc., a Delaware corporation, will be held on Thursday, April 26, 2018the Wednesday, November 1, 2023, at 11:10:00 a.m., local time, at the Company’s corporate headquartersour executive offices located at 2700 North Military Trail, Ste. 200,901 Yamato Road, Boca Raton, Florida, for the following purposes:

1.      To elect the sevenfive nominees to the Board of Directors nominated by the Board of Directors.to serve for one year.

2.      To approve, on a non-bindingnon-binding advisory basis, the compensation paid to our named executive officers.

3.      To approve, on a non-binding advisory basis, the FlexShopper, Inc.frequency of future advisory votes on the compensation paid to our named executive officers.

4.      To approve an amendment to our 2018 Omnibus Equity Compensation Plan.Plan increasing the total number of shares reserved for issuance thereunder and the number of shares available for issuance as incentive stock options.

4.5.      To ratify the appointment of EisnerAmperGrant Thornton, LLP as our independent registered public accounting firm for 2018.2023.

5.6.      To transact such other business as may properly come before the annual meeting and any adjournments or postponements thereof.meeting.

Only stockholders of record at the close of business on March 5, 2018,September 12, 2023, the record date fixed by the Board of Directors, are entitled to notice of and to vote at the annual meeting and any adjournment or postponement thereof. If you plan

We have elected to attendtake advantage of the Securities and Exchange Commission’s rule that allows us to furnish our proxy materials to our stockholders over the Internet. We believe electronic delivery will expedite the receipt of materials and, by printing and mailing a smaller volume, will reduce the environmental impact of our annual meeting materials and help lower our costs. On or about September 22, 2023, a Notice of Internet Availability of Proxy Materials (the “Notice of Internet Availability”) will be mailed to our stockholders. The Notice of Internet Availability will contain instructions on how to access the Notice of Annual Meeting, the Proxy Statement and our 2022 Annual Report on Form 10-K to stockholders online. You will not receive a printed copy of these materials unless you require directions, please call us at (855) 353-9289.specifically request one. The Notice of Internet Availability contains instructions on how to receive a paper copy of the proxy materials.

Boca Raton, Florida
March 13, 2018September 22, 2023

PROXY STATEMENT

TABLE OF CONTENTS

FLEXSHOPPER, INC.
2700 North Military Trail, Ste. 200901 Yamato Road, Suite 260
Boca Raton, FLFlorida 33431

PROXY STATEMENT

The Board of Directors (the “Board”) of FlexShopper, Inc. (the “Company,” “FlexShopper,” “we,” “us” or “our”) is providing these materials to you in connection with FlexShopper’s annual meeting of stockholders. The annual meeting will take place on Thursday, April 26, 2018,Wednesday, November 1, 2023, at 11:10:00 a.m., local time, at the Company’s corporate headquartersour executive offices located at 2700 North Military Trail, Suite 200,901 Yamato Road, Boca Raton, Florida. This proxy statement and the accompanying notice and form of proxy are being made available to stockholders on or about March 13, 2018.September 22, 2023.

GENERAL INFORMATION

Why am I receiving these materials?

You have received these proxy materials because the Board is soliciting your proxy to vote your shares at the annual meeting. This proxy statement includes information that we are required to provide to you under Securities and Exchange Commission (“SEC”) rules and is designed to assist you in voting your shares.

We have elected to take advantage of the SEC’s rule that allows us to furnish our proxy materials to our stockholders over the Internet. We believe electronic delivery will expedite the receipt of materials and, by printing and mailing a smaller volume, will reduce the environmental impact of our annual meeting materials and help lower our costs. On or about September 22, 2023, a Notice of Internet Availability of Proxy Materials (the “Notice of Internet Availability”) will be mailed to our stockholders. The Notice of Internet Availability will contain instructions on how to access the Notice of Annual Meeting, this proxy statement and our 2022 Annual Report on Form 10-K to stockholders online. You will not receive a printed copy of these materials unless you specifically request one. The Notice of Internet Availability contains instructions on how to receive a paper copy of the proxy materials.

What is a proxy?

The Board is asking for your proxy. This means you authorize persons selected by us to vote your shares at the annual meeting in the way that you instruct. All shares represented by valid proxies received before the annual meeting will be voted in accordance with the stockholder’s specific voting instructions.

What is included in these materials?

These materials include:

•this proxy statement for the annual meeting;

•a proxy card for the annual meeting; and

•our Annual Report on Form 10-K10-K for the year ended December 31, 2017.2022.

What items will be voted on at the annual meeting?

There are fourfive proposals scheduled to be voted on at the annual meeting:

•the election of the five nominees to the Board nominated by our Board of Directors;to serve one year;

•the approval, on a non-bindingnon-binding advisory basis, of the compensation paid to our named executive officers;

•the approval, on a non-binding advisory basis, of the frequency of future advisory votes on the compensation paid to our named executive officers;

•        the approval of an amendment to the FlexShopper, Inc. 2018 Omnibus Equity Compensation Plan;Plan increasing the total number of shares reserved for issuance thereunder; and

•the ratification of the Audit Committee’s appointment of EisnerAmperGrant Thornton, LLP (“EisnerAmper”) as our independent registered public accounting firm for the fiscal year ending December 31, 2018.2023.

The Board is not aware of any other matters to be brought before the meeting. If other matters are properly raised at the meeting, the proxy holders may vote any shares represented by proxy in their discretion.

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What are the Board’s voting recommendations?

The Board recommends that you vote your shares:

•FOR the five nominees to the Board;

•FOR the approval, on a non-bindingnon-binding advisory basis, of the compensation paid to our named executive officers;

•        FOR EVERY YEAR, on a non-binding advisory basis, for the frequency of future advisory votes on the compensation paid to our named executive officers;

•FOR the approval of an amendment to the FlexShopper, Inc.FlexShopperInc. 2018 Omnibus Equity Compensation Plan; and the number of shares available for issuance as incentive stock options; and

•FOR the ratification of the Audit Committee’s appointment of EisnerAmperGrant Thornton, LLP as our independent registered public accounting firm for the fiscal year ending December 31, 2018.2023.

Who can attend the annual meeting?

Admission to the annual meeting is limited to:

•stockholders as of the close of business on March 5, 2018September 12, 2023 (the “record date”);

•holders of valid proxies for the annual meeting; and

•our invited guests.

Each stockholder may be asked to present valid picture identification, such as a driver’s license or passport, and proof of stock ownership as of the record date.

When is the record date and who is entitled to vote?

The Board has set March 5, 2018September 12, 2023 as the record date. All record holders of FlexShopper common stock and preferred stock as of the close of business on that date are entitled to vote. Each share of common stock is entitled to one vote. Each share of Series 1 Preferred Stock is entitled to 5.78771.32230 votes, voting together as a single class with holders of common stock and Series 2 Preferred Stock. Each share of Series 2 Preferred Stock is entitled to 123.4568266.2942 votes, voting together as a single class with holders of common stock and Series 1 Preferred Stock.

As of the record date, there were outstanding 5,294,50121,752,304 shares of common stock entitled to 5,294,50121,752,304 votes at the annual meeting, 239,405170,332 shares of Series 1 Preferred Stock entitled to 1,385,605225,231 votes at the annual meeting, and 21,952 shares of Series 2 Preferred Stock entitled to 2,710,1245,845,695 votes at the annual meeting.meeting, for a total of 27,823,230 voting shares.

What is a stockholder of record?

A stockholder of record or registered stockholder is a stockholder whose ownership of FlexShopper stock is reflected directly on the books and records of our transfer agent, Continental Stock Transfer & Trust Company. If you hold stock through an account with a bank, broker or similar organization, you are considered the beneficial owner of shares held in “street name” and are not a stockholder of record. For shares held in street name, the stockholder of record is your bank, broker or similar organization. We only have access to stock ownership information for registered

stockholders. If you are not a stockholder of record and wish to attend the annual meeting, we will require additional documentation to evidence your stock ownership as of the record date, such as a copy of your brokerage account statement, a letter from your broker, bank or other nominee or a copy of your notice or voting instruction card. As described below, if you are not a stockholder of record, you will not be able to vote your shares unless you have a proxy from the stockholder of record authorizing you to vote your shares.

How do I vote?

You may vote by any of the following methods:

•In personperson.    . Stockholders of record and beneficial stockholders with shares held in street name may vote in person at the meeting. If you hold shares in street name, you must also obtain a proxy from the stockholder of record authorizing you to vote your shares.

•By mailmail.    . Stockholders of record may vote by signing and returning the proxy card provided.

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•By phone or viaVia the Internet.You may vote by proxy, by phone or via the Internet by following the instructions provided in the accompanying proxy card or the voting instruction card provided.

•Beneficial owners of shares held in “street name.”You may vote by following the voting instructions provided to you by your bank or broker.

How can I change or revoke my vote?

If you are a stockholder of record, you may change or revoke your proxy any time before it is voted at the annual meeting by:

•timely delivering a properly executed, later-datedlater-dated proxy;

•delivering a written revocation of your proxy to our Secretary at our principal executive offices; or

•voting in person at the meeting.

If you hold your shares beneficially in street name, you may change your vote by submitting new voting instructions to your bank, broker or nominee following the instructions they provide.

What happens if I do not give specific voting instructions?

Stockholders of record.If you are a stockholder of record and you sign and return a proxy card without giving specific voting instructions, then the proxy holders will vote your shares in the manner recommended by the Board on all matters presented in this proxy statement and as the proxy holders may determine in their discretion for any other matters properly presented for a vote at the meeting.

Beneficial owners of shares held in “street name.”If you are a beneficial owner of shares held in street name and do not provide the organization that holds your shares with specific voting instructions, the organization that holds your shares may generally vote on routine matters but cannot vote on non-routinenon-routine matters. If the organization that holds your shares does not receive instructions from you on how to vote your shares on a non-routinenon-routine matter, the organization that holds your shares will inform the inspector of election that it does not have the authority to vote on this matter with respect to your shares. This is referred to as a “broker non-vote.non-vote.”

Which ballot measures are considered “routine” or “non-routine”?

The election of directors (“Proposal 1”), the approval, on a non-bindingnon-binding advisory basis, of the compensation paid to our named executive officers (“Proposal 2”), the approval, on a non-binding advisory basis, of the frequency of future advisory votes on the compensation paid to our named executive officers (“Proposal 3”), and the approval of amendments to the FlexShopper, Inc. 2018 Omnibus Equity Compensation Plan (“Proposal 3”4”) are considered to be non-routinenon-routine matters under applicable rules. A broker or other nominee cannot vote without instructions on non-routinenon-routine matters, and therefore there may be broker non-votesnon-votes on Proposals 1, 2, 3 and 3.4.

The ratification of the appointment of EisnerAmperGrant Thornton, LLP as our independent registered public accounting firm for 20182023 (“Proposal 4”5”) is considered to be a routine matter under applicable rules. A broker or other nominee may generally vote on routine matters, and we do not expect there to be any broker non-votesnon-votes with respect to Proposal 4.5.

What is the quorum for the annual meeting?

The presence, in person or by proxy, of the holders of not less than one-third in voting powera majority of the outstanding shares of stock entitled to vote is necessary for the transaction of business at the annual meeting. This is called a quorum.

What is the voting requirement to approve each of the proposals?

The following are the voting requirements for each proposal:

•Proposal 1: Election of Directors.    The sevenfive nominees receiving the highest number of votes will be elected as directors.

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•Proposal 2: Approval, on a non-bindingnon-binding advisory basis, of the compensation paid to our named executive officers.    Approval, on a non-bindingnon-binding advisory basis, of the compensation paid to our named executive officers will be considered obtained if a majority of the votes cast on the matter votes in favor of the proposal.

•Proposal 3: Approval, on a non-binding advisory basis, of the frequency of future advisory votes on the compensation paid to our named executive officers.    The frequency of future advisory votes on the compensation paid to our named executive officers will be considered obtained for the frequency that receives a majority of the votes cast.

•        Proposal4: Approval of amendments to the FlexShopper, Inc. 2018 Omnibus Equity Compensation Plan.Approval of amendments to the FlexShopper, Inc. 2018 Omnibus Equity Compensation Plan will be considered obtained if a majority of the votes cast on the matter votes in favor of the proposal.

•Proposal 4:5: Ratification of Appointment of Independent Registered Public Accounting Firm.    The Audit Committee’s appointment of EisnerAmperGrant Thornton, LLP as our independent registered public accounting firm for 20182023 will be ratified if a majority of the votes cast on the matter votes in favor of the proposal.

How are abstentions and broker non-votes treated?

Broker non-votesnon-votes and abstentions are counted for purposes of determining whether a quorum is present at the annual meeting. Broker non-votesnon-votes and abstentions are not counted as votes cast on any proposal considered at the annual meeting and, therefore, will have no effect on the proposal regarding the election of directors, the advisory vote on the compensation of our named executive officers, the advisory vote on the frequency of future advisory votes on the compensation of our named executive officers or the proposal to approve amendments to the FlexShopper, Inc. 2018 Omnibus Equity Compensation Plan. We expect no broker non-votesnon-votes on the routine proposal to appoint EisnerAmperGrant Thornton, LLP as our independent registered public accounting firm for 2018.2023. Abstentions will have no effect on the proposal ratifying the appointment of EisnerAmperGrant Thornton, LLP as our independent registered public accounting firm for 2018.2023.

Who pays for solicitation of proxies?

We are paying the cost of soliciting proxies. We will reimburse brokerage firms and other custodians, nominees and fiduciaries for their reasonable out-of-pocketout-of-pocket expenses for sending proxy materials to stockholders and obtaining their votes. In addition to soliciting the proxies by mail, certain of our directors, officers and regular employees, without compensation, may solicit proxies personally or by telephone, facsimile and email.

Where can I find the voting results of the annual meeting?

We will announce voting results in a Current Report on Form 8-K8-K filed with the SEC within four business days following the meeting.

How can I submit a proposal for the 20192024 annual meeting?

Requirements for Stockholder Proposals to Be Considered for Inclusion in the Company’sour Proxy MaterialMaterials.    s. StockholderStockholder proposals to be considered for inclusion in the proxy statement and form of proxy relating to the 20192024 annual meeting of stockholders must be received by November 13, 2018.May 25, 2024, provided however, if the date of the 2024 annual meeting of stockholders is changed by more than 30 days from the anniversary date of this year’s meeting then the deadline is a reasonable time before we begin to print and mail proxy materials. In addition, all proposals will need to comply with Rule 14a-814a-8 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), which lists the requirements for the inclusion of stockholder proposals in company-sponsoredcompany-sponsored proxy materials. Stockholder proposals must be delivered to the Company’s Secretary of our company at 2700 North Military Trail, Ste. 200,901 Yamato Road, Suite 260, Boca Raton, Florida 33431.

Requirements for Stockholder Proposals to Be Brought Before the 20192024 Annual Meeting of Stockholders.Notice of any director nomination or other proposal that you intend to present at the 20192024 annual meeting of stockholders, but do not intend to have included in the proxy statement and form of proxy relating to the 20192024 annual meeting of stockholders, must be delivered to the Company’sour Secretary at 2700 North Military Trail, Ste. 200,901 Yamato Road, Suite 260, Boca Raton, Florida 33431 not earlier than the close of business on December 27, 2018July 4, 2024 and not later than the close of business on January 26, 2019.August 3, 2024, provided, however, that if the date of the 2024 annual meeting is more than 30 days before or more than 70 days after the date of this year’s meeting, notice by the stockholder must be delivered not earlier than the close of business on the 120th day prior to the 2024 annual meeting and not later than the close of business on the later of 90th day prior to the 2024 annual meeting or the 10th day following the day on which public announcement of the date of the 2024 annual meeting is made by the Company. In addition, your notice must set forth the information required by our bylawsBylaws with respect to each director nomination or other proposal that you intend to present at the 20192024 annual meeting of stockholders. In addition to the foregoing, in order for stockholders to give timely notice of nominations for directors, other than those nominated by the Company, for inclusion on a universal proxy card in connection with the 2024 annual meeting of stockholders, notice must be submitted no later than September 2, 2024 and include all of the information required by Rule 14a-19 under the Exchange Act. However, if the date of the 2024 annual meeting of stockholders changes by more than 30 days from this year’s annual meeting, Rule 14a-19 requires the notice be provided by the later of 60 calendar days prior to the date of the 2024 annual meeting of stockholders or the 10th calendar day following the day on which we first publicly announce the date of the 2024 annual meeting of stockholders.

SECURITIES OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

The following table sets forth certain information regarding beneficial ownership of our voting stock as of March 5, 2018September 12, 2023 by:

•each person or group of affiliated persons known by us to be the beneficial owner of more than 5% of any class of our voting stock;

•each named executive officer included in the Summary Compensation Table below;

•        each of ourand directors;

•        each person nominated to become director; and

•all executive officers, directors and nominees as a group.

Unless otherwise noted below, the address of each person listed on the table is c/o FlexShopper, Inc. at 2700 North Military Trail, Ste. 200,901 Yamato Road, Suite 260, Boca Raton, Florida 33431. To our knowledge, each person listed below has sole voting and investment power over the shares shown as beneficially owned except to the extent jointly owned with spouses or otherwise noted below.

Beneficial ownership is determined in accordance with the rules of the SEC. The information does not necessarily indicate ownership for any other purpose. Under these rules, shares of stock which a person has the right to acquire (i.e.(i.e., by the exercise of any option or the conversion of such person’s Series 1 or Series 2 Preferred Stock) within 60 days after March 5, 2018September 12, 2023 are deemed to be beneficially owned and outstanding for purposes of calculating the number of shares and the percentage beneficially owned by that person. However, these shares are not deemed to be beneficially owned and outstanding for purposes of computing the percentage beneficially owned by any other person. The percentage of shares owned as of March 5, 2018September 12, 2023 is based upon 5,294,50121,752,304 shares of common stock outstanding on that date.

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*        Less than one percent.percent of outstanding shares.

(1)     Based solely on the Schedule 13D filed on June 21, 2016 by Pacific Investment Management Company LLC (“PIMCO”). According to the filing, B2 FIE V LLC (“B2 FIE”) was formed solely for the purpose of investing in FlexShopper.our company. PIMCO BRAVO Fund II, L.P. (“Bravo II”) is the sole member of B2 FIE and operates as a pooled investment fund and invests

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(among (among other things) in operating companies. PIMCO GP XII, LLC (“PIMCO GP”) is the sole general partner of Bravo II. PIMCO is the sole managing member of PIMCO GP and has the power to make voting and investment decisions regarding the Preferred Stockshares of our preferred stock held by B2 FIE. Each of Bravo II, PIMCO GP and PIMCO disclaims beneficial ownership of the Seriesseries 2 Preferred Stockpreferred stock except to the extent of its pecuniary interest therein. The address for this investorstockholder is 650 Newport Center Drive, Newport Beach, CA 92660.

(2)      Consists of shares of common stock issuable upon the conversion of 20,000 shares of Series 2 Preferred Stock. Each share of Series 2 Preferred Stock is convertible into 123.4568266.2942 shares of common stock, based on the Series 2 Preferred Stock per shareissue price of $1,000 per share and a conversion rate of $8.10$3.76 per share.

(3)      Based solely on the Schedule 13D filed by the Waterfall Reporting Persons (as defined below) with the SEC on March 16, 2015. According to2015 and a Form 4 filed by Waterfall (as defined below) with the filing,SEC on May 23, 2018. Waterfall Eden Master Fund, Ltd. (“WEMF”) owns 788,277883,118 shares of common stock, or approximately 14.9%4.1% of the outstanding shares of common stock.stock after subsequent dilution. Waterfall Delta Offshore Master Fund, LP (“WDOMF”) owns 442,065495,251 shares of common stock, or approximately 8.4%2.3% of the outstanding shares of common stock.stock after subsequent dilution. Waterfall Delta GP, LLC (“WDGP”), as general partner of WDOMF, may be deemed to share beneficial ownership of the shares owned by WDOMF. Waterfall Sandstone Fund, LP (“WSF”) owns 224,204251,178 shares of common stock, or approximately 4.2%1.2% of the outstanding shares of common stock.stock after subsequent dilution. Waterfall Sandstone GP, LLC (“WSGP” and, collectively with WEMF, WDOMF and WSF, the “Waterfall Funds”), as general partner of WSF, may be deemed to share beneficial ownership of the shares owned by WSF. Waterfall Asset Management, LLC (“Waterfall”), as the investment adviser to the Waterfall Funds, and Messrs. Thomas Capasse and Jack Ross, as members of Waterfall, may be deemed to share beneficial ownership of the 1,454,5461,629,547 shares of common stock owned by the Waterfall Funds, or approximately 27.5%7.5% of the outstanding shares of common stock. Because of the relationships described above, Mr.Messrs. Capasse Mr.and Ross, WEMF, WDGP, WDOMF, WSGP and WSF (collectively, the “Reporting“Waterfall Reporting Persons”) may be deemed to constitute a “group” within the meaning of Rule 13d-513d-5 under the Exchange Act and, as such, each member of the group could be deemed to beneficially own, in the aggregate, all of the shares of common stock held by members of the group. The Waterfall Reporting Persons do not admit that they constitute a group within the meaning of Rule 13d-5.13d-5. Each of the Waterfall Reporting Persons disclaims beneficial ownership of the shares of common stock referred to herein that such Reporting Person does not hold directly. Waterfall and Messrs. Thomas Capasse and Jack Ross share the power to vote and direct the disposition of the shares owned by the Waterfall Funds. WDGP may be deemed to share the power to vote and direct the disposition of the shares owned by the WDOMF, and WSGP may be deemed to share the power to vote and direct the disposition of the shares owned by WSF. The address for each of the Waterfall-associatedWaterfall-associated companies is c/o Waterfall Management, LLC, 1140 Avenue of the Americas, 7th Floor, New York, NY 10036.

(4)      Morry Rubin’sBased solely on the Schedule 13G/A filed on February 9, 2023 by Perkins Capital Management, Inc. The address for this stockholder is 17853 Key Vista Way, Boca Raton, Florida 33496.730 Lake St E, Wayzata, MN 55391.

(5)      Based solely on the Schedule 13D filed on March 30, 2012April 15, 2019 by Morry Rubin, as modifiedJohn Steven Emerson. The address for this stockholder is 1522 Ensley Avenue, Los Angeles, CA 90024.

(6)      Includes (i) 3,976,385 shares held of record by the Form 4 filed on May 5, 2016, this amount consists of 515,126PITA Holdings LLC, a Florida LLC (“PITA”), (ii) 2,140,100 shares of common stock held directlyof record by NRNS Capital Holdings, LLC (“NRNS”), and 26,200(iii) 3,500 shares of common stock held of record by Mr. Dworkin’s direct family members. Beta Investment Group, Inc., a Florida corporation (“Beta”), is the manager of PITA. Mr. Dvorkin is President of Beta and in certainsuch position has the right to direct the vote and disposition of securities owned by PITA. Mr. Dvorkin is the manager of NRNS and in such position has the right to direct the vote and disposition of securities owned by NRNS. Mr. Dvorkin disclaims beneficial ownership of our company’s securities held of record by PITA, NRNS or his direct family trustsmembers, except to the extent of which Morry Rubin’s spousehis pecuniary interest therein.

(7)      Includes (i) 753,697 shares of common stock issuable upon exercise of a warrant held by NRNS, (ii) 1,190,000 shares of common stock issuable upon exercise of a warrant held by PITA, and father, George Rubin, are co-trustees.(iii) 775,201 shares of common stock issuable upon exercise of vested stock options.

(6)     This amount consists(8)      Consists of warrantscurrently exercisable stock options to purchase 66,667379,113 shares of common stock.

(7)     George Rubin’s address is 120 Central Park South, New York City, New York 10019.

(8)     According to the Schedule 13D/A filed on November 30, 2015 by George Rubin, 26,200 shares of common stock are held in certain family trusts of which he and Morry Rubin’s spouse are co-trustees.

(9)     Based solely on the Schedule 13D/A filed on November 30, 2015 by George Rubin.      Consists of warrantscurrently exercisable stock options to purchase 66,667369,265 shares of common stock.

(10)    Consists of vestedcurrently exercisable stock options to purchase 24,000563,483 shares of common stock.

(11)    These sharesConsists of commoncurrently exercisable stock are owned directly by Mr. Bernstein’s spouse. Mr. Bernstein disclaims beneficial ownership of theseoptions to purchase 117,620 shares of common stock.

(12)    Consists of vested options to purchase 83,334 shares of common stock.

(13)  Consists of vested options to purchase 20,000 shares of common stock.

(14)  Consists of vested options to purchase 24,000 shares of common stock.

(15)  Consists of warrants to purchase 66,667(i) 540,322 shares of common stock vestedissuable upon exercise of currently exercisable stock options to purchase 50,000and (ii) 301,487 shares of common stock and Series 1 Preferred Stock convertible into 41,338 sharesissuable upon exercise of common stock.warrants.

(17)  Consists of vested options to purchase 24,000 shares of common stock.

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PROPOSAL 1—ELECTION OF DIRECTORS

The Company’sOur Board of Directors currently consists of sevenfive members. Upon the recommendation of the Corporate Governance and Nominating Committee of our Board of Directors, the Board has nominated the sevenfive current directors for election at the annual meeting to hold office until the next annual meeting of stockholders and the election of their successors.

Shares represented by all proxies received by the Board and not marked so as to withhold authority to vote for any individual nominee will be votedFORthe election of the nominees named below. The Board knows of no reason why any nominee would be unable or unwilling to serve, but if such should be the case, proxies may be voted for the election of some other person nominated by the Board of Directors.

THE BOARD OF DIRECTORS UNANIMOUSLY RECOMMENDS
A VOTE FOR THE NOMINEES LISTED BELOW

The following table sets forth the nominees to be elected at the 20182023 Annual Meeting, their age, the year such director was first elected as a director, and the positions currently held by each director with FlexShopper.our company.

INFORMATION CONCERNING DIRECTORS AND NOMINEES FOR DIRECTOR

Set forth below is background information for each current director and nominee for director, as well as information regarding additional experience, qualifications, attributes or skills that led the Board of Directors to conclude that such director or nominee should serve on the Board.

Howard S. Dvorkin has been a director since December 2018 and serves as the Chairman of the Board. Mr. Dvorkin is a serial entrepreneur, a two-time author, personal finance expert and Chairman of Debt.com. He has focused his professional endeavors in the consumer finance, technology, media and real estate industries. He has created successful businesses in these sectors including Debt.com, Financial Apps, Consolidated Credit, Start Fresh Today and Lifestyle Media Group, among many others. He has played an instrumental role in the drafting of both state and federal legislation and was a consultant to the Board of Directors for the Association of Credit Counseling Professionals and the past president of the Association of Independent Consumer Credit Counseling Agencies (AICCCA). Mr. Dvorkin dedicates time to the National Leadership Council at American University, and the Kogod School of Business has inducted him into the prestigious 1923 Society at American University. He graduated from the University of Miami with a Master’s degree in Business Administration and received his Bachelor of Science degree in Accounting from American University. He was listed in the Marquis Who’s Who in the Finance Industry and was part of the premier group of certified public accountants who are recognized with the Chartered Global Management Accountant (CGMA) designation. Mr. Dvorkin brings to the Board his extensive knowledge of financial, accounting and operational issues highly relevant to our company’s business. He also brings a proven track record growing successful businesses and a deep background in the consumer finance market.

James D. Allen, age 58, has been a director since February 2016. Mr. AllenHe is currently serves asExecutive Vice President and Chief Financial Officer of Forestar Group, Inc. (NYSE: FOR), positions he has held since March 2020. Prior to joining Forestar, he served as a Senior Operating Partner at Palm Beach Capital, a private equity investment firm, from 2019 to March 2020. Prior to joining Palm Beach Capital, he served as CFO of Hollander Sleep Products, LLC, the largesta supplier of utility bedding products, in North America. From July 2003 through November 2014, Mr. Allen served as VP Operationsfrom 2015 to 2018. He has also held a variety of executive roles at both private and public companies, including Operating Vice President and Group CFO of Sun Capital Partners a leading global private equity firm with an excess of $10 billion under management. From August 2008 through Septemberfrom 2003 to 2014, Mr. Allen was a Partner and Group CFO of London-based Sun European Partners, the European affiliate of Sun Capital Partners. From July 2002 to July 2003, Mr. Allen was CAOChief Administrative Officer of Mattress Firm Inc., and a leading bedding specialty retailer. Prior to joining Mattress Firm, Inc., Mr. Allen served for eight years in various capacities (President and COO, CFO and Presidentvariety of two operating divisions)C-suite roles at Tandycrafts Inc. (NYSE: TAC), which operated a diversified portfolio of retail and consumer products businesses. Prior to Tandycrafts, Inc., Mr. Allen was a Senior Managerbegan his career at the accounting firm of Price Waterhouse (now PwC).PricewaterhouseCoopers LLP. Mr. Allen receivedholds a B.B.A.Bachelor of Business Administration degree majoring in managementaccounting and accounting,management from Evangel University in Springfield, Missouri.University. Mr. Allen brings to the Board proven leadership and management experience and a deep knowledge ofin audit and accounting matters that make him well qualified to serve as an independent director and as a financial expert on the Board.

Daniel BallenSean Hinze, age 35, has been a director since November 2016.2018. Mr. BallenHinze is a Senior Vice President and Portfolio Manager forin the alternative investment complex of Pacific Investment Management Company LLC (“PIMCO”), where he focusesportfolio management group at PIMCO, focusing on corporatespecial situations and private equity and special situations investing in both North America and Europe.investments, since 2013. Prior to joining PIMCO, in 2014, Mr. Ballenhe was a member ofan investment banker at Goldman Sachs, covering the private equity investment teams at Pine Brook Partnerstechnology and Bain Capital, where he executed and managed a number of private equity investments, with a particular focus on companiesfinancial sectors. He also served six years in the U.S. Army and Air Force, with his last assignment as a Captain and combat adviser to the Iraqi Army. He has eight years of investment and financial services sector. Mr. Ballen started his careerexperience and holds an M.B.A. from the Anderson School of Management at the University of California, Los Angeles, and an undergraduate degree in aerospace engineering from the investment banking divisionUniversity of Bear, Stearns & Co., where he was a member of the U.S. financial institutions advisory team. Mr. Ballen received a Bachelors degree, Summa Cum Laude, from Emory University. Mr. Ballen’s experience in finance makes him a valuable addition to the Board.

7Texas at Austin.

Mr. BallenHinze was appointed to the Board in connection with that certainpursuant to the Investor Rights Agreement, dated June 10, 2016 (the “B2 FIE Investor Rights Agreement”) entered into by the Company,, among our company, Brad Bernstein and B2 FIE in connection with B2 FIE’s purchase of Seriesour series 2 Preferred Stock.preferred stock. Pursuant to the B2 FIE Investor Rights Agreement, so long as B2 FIE and its affiliate transferees’ ownership percentage of the Company’sour outstanding Common Stock,common stock, determined on a fully-dilutedfully-diluted basis taking into account the conversion of all outstanding shares of Seriesseries 1 Preferred Stockpreferred stock and Seriesseries 2 Preferred Stock,preferred stock, exceeds 22%10%, B2 FIE shallwill have the right to nominate two directorsone director to the Board. For more information regarding the B2 FIE Investor Rights Agreement, please refer to our Form 8-K8-K filed with the SEC on June 13, 2016.

Brad Bernstein, age 52, is a co-founder Mr. Hinze’s extensive knowledge of FlexShoppercapital markets and its Chief Executive Officer, President, and Chairman of the Board. Mr. Bernstein served as President and Chief Financial Officer of the Company from January 2007 through December 2014, during which time the Company was named Anchor Funding Services, Inc. and primarily engagedprivate equity investing in the business of providing accounts receivable financing to businesses in the United States. Mr. Bernstein became CEO of FlexShopper in December 2014. Previously, Mr. Bernstein was employed by Preferred Labor LLC from March 1999 through January 2007. Mr. Bernstein served Preferred Labor LLC as its Chief Financial Officer and later as its President. Before joining Preferred Labor LLC, Mr. Bernstein was a partner of Miller, Ellin Consulting Group, LLP, where he advised commercial and investment banks, asset-based lenders, and alternative finance companies in connection with debt or equity investments. Mr. Bernstein has used his banking relationships to raise debt and negotiate and structure financing for companies. Mr. Bernstein brings to the Board his financial and business expertise as a Certified Public Accountant. Mr. Bernstein received a Bachelor of Arts degree from Columbia University. Mr. Bernstein’s executive experience with FlexShopper positionsparticular makes him well qualified to serve as the Chairmanbe a member of the Board.

Philip GitlerThomas O. Katz, age 44, has servedbeen a director since July 2020. He is a member of the law firm of Katz Baskies & Wolf PLLC, in Boca Raton, Florida, where he has been in practice since July 2007, specializing in federal and state tax law. Mr. Katz’s diverse tax practice includes expertise in structuring business transactions. He received a B.S. degree in economics from the Wharton School of the University of Pennsylvania and a J.D. degree from Georgetown University Law Center. Mr. Katz has received numerous honors and recognition as a top tax lawyer in Florida. He has also chaired

and been a member of several boards of private foundations and public charities, and their finance and investment committees. Mr. Katz is well qualified to serve as a director of the Company since April 2015. Mr. Gitler is a managing director at Waterfall Asset Management, LLC (“Waterfall”), an investment adviser focused on structured creditour company due to his substantial knowledge and whole loans. Prior to joining Waterfallmore than 30 years of working experience in 2013, Mr. Gitler was managing member of PMG Advisors LLC, which he founded in 2012. PMG Advisors LLC consulted with finance companiesbusiness transactions, as well as corporate controls and investors in the structured credit market. Previously, Mr. Gitler was a Vice President at Goldman Sachs & Co. (NYSE: GS), where he focused on asset and principal financings and advisory services with his clients, which included specialty finance, auto and equipment finance and leasing companies of various sizes. Prior to joining Goldman Sachs & Co., Mr. Gitler worked at Merrill Lynch & Co., where he held several positions in its investment banking and capital markets groups focused on asset and lease financing and securitization. Mr. Gitler received a Bachelor of Science degree in finance from the Pennsylvania State University and an MBA from Wharton Business School, at the University of Pennsylvania. Mr. Gitler’s extensive executive, managerial and leadership experience and his business acumen and experience make him a valuable addition to the Board.

Mr. Gitler was appointed to the Board in connection with that certain Investor Rights Agreement dated March 6, 2015 (the “Waterfall Investor Rights Agreement”), entered into by the Company, certain stockholders and several affiliates of Waterfall (the “Waterfall Funds”) in connection with the Waterfall Funds’ purchase of the Company’s Common Stock. Pursuant to the Waterfall Investor Rights Agreement, so long as the Waterfall Funds and their affiliate transferees beneficially own at least 10% of issued and outstanding Common Stock, Waterfall shall have the right to nominate one director to the Board. For more information regarding the Waterfall Investor Rights Agreement, please refer to our Form 8-K filed with the SEC on March 12, 2015.governance.

T. Scott King, age 65, has been a director since November 2014. Mr. King is currently an independent consultant. From April 2014 throughto September 2014, Mr. King served as Interiminterim Chief Executive Officer of Gordmans Stores, Inc. (NASD: GMAN), an Omaha, NE-basedNebraska-based apparel and home décor retailer with approximately 100 stores. Mr. King has also served as Chairman of the Board of Gordmans Stores, Inc. during that period. From 2003 through 2014, Mr. King served as Senior Managing Director of Operations of Sun Capital Partners, a Boca Raton-basedRaton-based private equity firm with in excess of $10 billion assets under management.firm. From 1999 throughto 2003, he served as President and Chief Executive Officer of Waterlink Inc., an Ohio-based,Ohio-based international provider of water and waste water solutions. Prior to his tenure at Waterlink Inc., Mr. King was employed for approximately 20 years with Sherwin-WilliamsSherwin-Williams Company, an international manufacturer and retailer of paint and coatings. Mr. King has previously served on the Board of Directors of The Limited, ShopKo, Furniture Brands Inc. and Boston Market. He also served on the Board of Advisors of the State University of New York at Oswego School of Business, where he received his Bachelor of Arts degree in Business. Mr. King brings to the Board his financial and business experience, as well as serving as a director on various boards of directors of public entities,companies, making him an ideala well-qualified candidate to serve as an independent director and as a financial expert on the Board.

INFORMATION CONCERNING EXECUTIVE OFFICERS

Set forth below is background information relating to our executive officers:

Brad BernsteinH. Russell Heiser Jr. is discussed above underInformation Concerning Directors and Nominees for Director.

Russwas appointed by the Company’s Board of Director to be the Chief Executive Officer of the Company effective March 20, 2023. Mr. Heiser has served as our Chief Financial Officer since December 2015. From July 2015 to December 2015, Mr. Heiserand served as a consultant to the Company. From 2008Company from July 2015 to 2015,December 2015. As Chief Executive Officer and Chief Financial Officer, Mr. Heiser has demonstrated extensive knowledge of the Company’s financial, accounting and operational issues and has led its mergers and acquisitions, bank financings and capital market activities. He previously served as an advisor to family offices in South Florida.Florida from 2008 to 2015. In this role, Mr. Heiser focused on venture capital and private equity investments and was responsible for sourcing, financial analysis, transaction execution and management of portfolio companies across a variety of sectors. From 2004 to 2008, Mr. Heiser was an Executive Director in the Investment Banking Division at UBS in New York and, from 2001 to 2004, was an Associate in the Investment Banking Division at Bear, Stearns & Co. in New York. Mr. Heiser received his BSB.S. degree in Accounting from the University of Richmond and an MBAM.B.A. from Columbia Business School. Over the course of his career, Mr. Heiser has earned both CPA and CFA designations.

Ravi RadhakrishnanJohn Davis has served as our Chief RiskOperating Officer since FebruaryNovember 2020. From April 2020 to November 2020, Mr. Davis was a consultant to the company through Woodlands Financial Advisory LLC in which he served as CEO. From May 2016 to March 2020, Mr. Davis served as President of Credit and has been appointed as an executive officerCollections and Chief Credit Officer with Conn’s Homeplus, a specialty retailer that offers a selection of the Company effective April 1, 2018. In his role, Mr. Radhakrishnan manages the Company’s underwriting and lease portfolio strategies and heads the Company’s data science team. From 2012consumer goods in addition to 2016, Mr. Radhakrishnan led credit valuations strategy for Bank of America’s card division as a Senior Vice President. There, he helped implement profitability-driven underwriting across the risk segments and productssolutions for its multi-billion dollarcore customers. Prior to Conn’s, he served as Founder and CEO of GFC Advisors, Ltd., a consultancy in the consumer portfolio asset. Previously,credit industry, from 2013 to 2016. Prior to that, from 2011 to 2013, he managedwas President of E-Commerce of DFC Global Corp, an international specialty finance company. From 2010 to 2011, Mr. Davis was Managing Director of MEM Consumer Finance, a specialty finance company based in the Decision Insights group for JPMorgan Chase BankUnited Kingdom. Prior to drive growth through advanced analytics. Before that, from 2000 to 2010, he spentwas Managing Director of Forecasting and Risk Management with CompuCredit Corp. Mr. Davis holds a decade at Capital One and HSBC Banks managing their customer acquisition programs for direct channels. Mr. Radhakrishnan received his MSBachelor of Science in Industrial & Systems EngineeringComputer Information Science from Virginia Tech and BS in Engineering from Regional Engineering College in India.the University of Delaware.

CORPORATE GOVERNANCE PRINCIPLES AND BOARD MATTERS

Board Independence

The Board of Directors has determined that each of Mr.James D. Allen, Mr. Ballen, Mr.Sean Hinze, Thomas O. Katz and T. Scott King Mr. Pradelli and Ms. Verner is an independent director within the meaning of the director independence standards of The NASDAQNasdaq Stock Market (“NASDAQ”). Furthermore,Market. Further, the Board has determined that all of the members of the Audit Committee, Compensation Committee and Corporate Governance and Nominating Committee are independent within the meaning of the director independence standards of NASDAQNasdaq and the rules of the SEC applicable to each such committee.

Board Leadership Structure

We have a Chairman of the Board who presides at all meetings of the Board. Currently, Mr. Bernstein servesDvorkin has served as the Chairman of the Board President and Chief Executive Officer. FlexShopper hassince January 2019.

We have no fixedformal policy with respect to the separation of the offices of the Chairman of the Board and Chief Executive Officer. Our bylawsBylaws permit these positions to be held by the same person, and the Board believes that it is in the best interests of the Companyour company to retain flexibility in determining whether to separate or combine the roles of Chairman and Chief Executive Officer based on our circumstances. TheSimilarly, our Bylaws do not require our Board of Directors to appoint a lead independent director and it has not otherwise determined to do so. Our Board of Directors believes that it is appropriate for Mr. Bernstein to serve as both Chairman and Chief Executive Officer because combiningthe current leadership structure, which separates the roles of Chairman and Chief Executive Officer: (1) enhancesOfficer, is appropriate. In particular, our Board of Directors believes this structure clearly establishes the alignment between the Boardindividual roles and management in strategic planning and execution as well as operational matters, (2) avoids the confusion over roles, responsibilities and authority that can result from separating the positions, and (3) streamlines board process in order to conserve time for the consideration of the important mattersChairman and Chief Executive Officer, streamlines decision-making, enhances accountability of the senior management team to our Board needs to address. Further, fiveof Directors and emphasizes the independence of our seven current Board members have been deemedof Directors from management. Our Board of Directors recognizes that one of its key responsibilities is to beevaluate and determine its optimal leadership structure to provide strong, independent by our Board; therefore, we believe ouroversight of senior management, a highly engaged Board structure provides sufficientof Directors, and the right balance among (i) effective independent oversight of our management. Thebusiness, (ii) our Board’s activities and (iii) consistent corporate leadership. Our Board has not namedof Directors is open to different structures that provide such an optimal leadership structure, particularly given the dynamic and competitive environment in which we operate. Our Board of Directors — which consists entirely of independent directors other than Mr. Dvorkin — exercises a leadstrong, independent director.oversight function. This oversight function is enhanced by the fact that our Audit, Compensation and Nominating and Governance Committees are comprised entirely of independent directors. Our Board of Directors can and will change its leadership structure if it determines that doing so is in the best interest of our company and stockholders.

Policy Governing Security Holder Communications with the Board of Directors

Security holders who wish to communicate directly with the Board, the independent directors of the Board, or any individual member of the Board may do so by sending such communication by certified mail addressed to the Chairman of the Board, the entire Board of Directors, to the independent directors as a group or to the individual director or directors, in each case, c/o Secretary, FlexShopper, Inc., 2700 North Military Trail, Ste. 200,901 Yamato Road, Suite 260, Boca Raton, Florida 33431. The Secretary reviews any such security holder communication and forwards relevant communications to the addressee.

Policies Regarding Director Nominations

The Board of Directors has adopted a policy concerning director nominations, reflected in the charter of the Corporate Governance and Nominating Committee, a copy of which is available athttp://investors.flexshopper.com/. Set forth below is a summary of certain provisions of this policy.policy, as well as the role the Corporate Governance and Nominating Committee plays in the director nomination process.

Director Qualifications

The Corporate Governance and Nominating Committee is responsible for, among other things: (1) recommending to the Board persons to serve as members of the Board and as members of and chairpersons for the committees of the Board, (2) considering the recommendation of candidates to serve as directors submitted from theour stockholders, of the Company, (3) assisting the Board in evaluating the Board’s and its committee’s performance, (4) advising the Board regarding the appropriate board leadership structure for the Company,our company, (5) reviewing and making recommendations to the Board on corporate governance, and (6) reviewing the size and composition of the Board and recommending to the Board any changes it deems advisable.

The Board seeks independent directors who represent a diversity of backgrounds and experiences that will enhance the quality ofcontribute to the Board’s deliberationsoverall diversity, with diversity being broadly construed to mean a variety of opinions, perspectives, personal and decisions.professional experiences and backgrounds, such as gender, race and ethnicity differences, as well as other differentiating characteristics. Candidates should have substantialpossess professional and personal experience and expertise relevant to our goals, with one or more publicly traded companies or have achievedpublic company board experience considered a high level of distinction in their chosen fields. The Boardvaluable asset for a candidate that is particularly interested in maintaining a composition that includes individuals who are active or retired executive officers and senior executives, particularly those with experience in the finance and capital markets industries.taken into consideration. In evaluating nominations to the Board, our Board also looks for certain personal attributes, such as integrity ability and ethics in his/her personal and professional life, an established record of professional accomplishment in his/her chosen field, a willingness to apply sound and independent business judgment, comprehensive understandingcommit the time necessary for the performance of the duties of a director’s roledirector and not having other personal or professional commitments that would, in

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corporate governance, availability for meetings the Corporate Governance and consultation on Company matters,Nominating Committee’s sole judgment, interfere with or limit his/her ability to do so, and the willingnessability to assumerepresent the best interests of all of our stockholders and carry out fiduciary responsibilities. Qualified candidates for membership onnot just one particular constituency or any entity with which the Board willcandidate may be considered without regard to race, color, religion, sex, ancestry, national origin or disability.affiliated.

Process for Identifying and Evaluating Director Nominees

The Board is responsible for selecting nominees for election to the Board by the stockholders. The Board delegateshas delegated the selection process to the Corporate Governance and Nominating Committee, with the expectation that other members of the Board and management may be requested to take part in the process as appropriate. Generally, the Corporate Governance and Nominating Committee identifies candidates for director nominees in consultation with management, through the use of search firms or other advisers, through the recommendations submitted by other directors or stockholders, or through such other methods as the Corporate Governance and Nominating Committee deems appropriate. Once candidates have been identified, the Corporate Governance and Nominating Committee confirms that the candidates meet the qualifications for director nominees established by the Corporate Governance and Nominating Committee. The Corporate Governance and Nominating Committee may gather information about the candidates through interviews, detailed questionnaires, comprehensive background checks, or any other means that the Corporate Governance and Nominating Committee deems to be helpful in the evaluation process. The Corporate Governance and Nominating Committee then meets as a group to discuss and evaluate the qualities and skills of each candidate both on an individual basis and taking into account the overall composition and needsfinalizes its list of the Board. Based on the results of the evaluation process, the Corporate Governance and Nominating Committee recommendsrecommended candidates for the Board’s approval as director nominees for election to the Board.consideration.

Mr. Ballen, Mr. Gitler and Ms. Verner were eachHinze was appointed to the Board in connection with an investor rights agreements,agreement, as further described in such director’shis biographical information under the section of this proxy statement titled “Information Concerning Directors and Nominees for Director.”Director”.

Procedures for Recommendation of Director Nominees by Stockholders

The policy of the Corporate Governance and Nominating Committee is to consider director candidates properly submitted stockholder recommendations forrecommended by stockholders and evaluate such director candidates.candidates in the same way it evaluates candidates recommended by other sources. To submit a recommendation to the Corporate Governance and Nominating Committee for a director nominee candidates,candidate, a stockholder must make such recommendation in writing and include:

•as to the stockholder making the recommendation and the beneficial owner, if any, on whose behalf the nomination is made:

•the name and address of such stockholder, as they appear on the Company’sour books, and of such beneficial owner;

•the class or series and number of shares of capital stock of the Companyour company which are owned beneficially and of record by such stockholder and such beneficial owner;

•a description of any agreement, arrangement or understanding with respect to the nomination or proposal between or among such stockholder and/or such beneficial owner, any of their respective affiliates or associates, and any others acting in concert with any of the foregoing, including, in the case of a nomination, the nominee;

•a description of any agreement, arrangement or understanding (including any derivative or short positions, profit interests, options, warrants, convertible securities, stock appreciation or similar rights, hedging transactions, and borrowed or loaned shares) that has been entered into as of the date of the stockholder’s notice by, or on behalf of, such stockholder and such beneficial owners, whether or not such instrument or right shall be subject to settlement in underlying shares of our capital stock, of the Company, the effect or intent of which is to mitigate loss to, manage risk or benefit of share price changes for, or increase or decrease the voting power of, such stockholder or such beneficial owner, with respect to securities of the Company;our company;

Clawback Policy

The Board has the discretion to clawback any annual incentive or other performance-based compensation awards from executive officers and employees. This clawback applies when certain specified events occur. If the Board determines that compensation related to the Company financial performance would have been lower if it had been based on the restated financial performance results, the Board will, to the extent permitted by applicable law, seek recoupment from that executive officer or employee of any portion of such compensation as it deems appropriate after a review of all relevant facts and circumstances.

Board Diversity

In accordance with Nasdaq’s Board Diversity Rules, the following Board Diversity Matrix presents our Board diversity statistics.

THE BOARD OF DIRECTORS AND ITS COMMITTEES

Board of Directors

Our bylawsBylaws state that the number of directors constituting the entire Board of Directors shall be determined from time to time by resolution of the Board. The number of directors currently fixed by our Board is seven.five.

Our Board of Directors met four times during the year ended December 31, 2017.2022. No director attended less than 75 percent75% of all meetings of the Board and applicable committee meetings in 20172022 held during the period for which he or she was a director.

Committees

The Board of Directors currently has standing Audit, Compensation and Corporate Governance and Nominating Committees. The Board and each standing committee retains the authority to engage its own advisors and consultants. Each standing committee has a charter that has been approved by the Board of Directors. A copy of each committee charter is available athttp://investors.flexshopper.cominvestors.flexshopper.com//. Each committee reviews the appropriateness of its charter annually or at such other intervals as such committee determines.

The following table sets forth the current members of the Audit, Compensation and Corporate Governance and Nominating Committees of the Board:

Audit CommitteeCommittee.    . Our Audit Committee consists of Mr.Messrs. Allen Mr.(Chair), King and Mr. Pradelli.Katz. The Board of Directors has determined that each member of the Audit Committee is independent within the meaning of the NASDAQNasdaq director independence standards and applicable rules of the SEC for audit committee members. The Board of Directors has elected Mr. Allen as Chairperson of the Audit Committee and has determined that he qualifies as an “audit committee financial expert” under the rules of the SEC. The Audit Committee is responsible for assisting the Board of Directors in fulfilling its oversight responsibilities with respect to financial reports and other financial information. The Audit Committee (1) reviews, monitors and reports to the Board of Directors on the adequacy of the Company’sour financial reporting process and system of internal controls over financial reporting, (2) has the ultimate authority to select, evaluate and replace the independent auditor and is the ultimate authority to which the independent auditors are accountable, (3) in consultation with management, periodically reviews the adequacy of the Company’sour disclosure controls and procedures and approves any significant changes thereto, (4) provides the audit committee report for inclusion in our proxy statement for our annual meeting of stockholders and (5) recommends, establishes and monitors procedures for the receipt, retention and treatment of complaints relating to accounting, internal accounting controls or auditing matters and the receipt of confidential, anonymous submissions by employees of concerns regarding questionable accounting or auditing matters. The Audit Committee was formed in March 2016 and met fourfive times in 2017.2022.

Compensation CommitteeCommittee.    . Our Compensation Committee presently consists of Mr.Messrs. King (Chair), Allen Mr. King and Mr. Pradelli,Katz, each of whom is a non-employeenon-employee director as defined in Rule 16b-316b-3 of the Exchange Act. The Board has also determined that each member of the Compensation Committee is an independent director within the meaning of NASDAQ’sNasdaq’s director independence standards. Mr. King serves as Chairperson of the Compensation Committee. The Compensation Committee (1) discharges the responsibilities of the Board of Directors relating to the compensation of our directors and executive officers, (2) oversees the Company’sour procedures for consideration and determination of executive and director compensation, and reviews and approves all executive compensation, and (3) administers and implements the Company’sour incentive compensation plans and equity-basedequity-based plans. The Compensation Committee was formedmet one time in March 2016 and met four times in 2017.2022.

Corporate Governance and Nominating CommitteeCommittee.    . Our Corporate Governance and Nominating Committee consists of Mr.Messrs. Katz (Chair), Allen Mr. King and Mr. Pradelli.King. The Board of Directors has determined that each member of the Corporate Governance and Nominating Committee is an independent director within the meaning of the NASDAQNasdaq director independence standards and applicable rules of the SEC. Mr. PradelliHinze serves as Chairperson of the Corporate Governance and Nominating Committee. The Corporate Governance and Nominating Committee (1) recommends to the Board of Directors persons to serve as members of the Board of Directors and as members of and chairpersons for the committees of the Board of Directors, (2) considers the recommendation of candidates to serve as directors submitted from theour stockholders, of the Company, (3) assists the Board of Directors in evaluating the performance of the Board of Directors and the Board committees, (4) advises the Board of Directors regarding the appropriate board leadership structure for the Company,our company, (5) reviews and makes recommendations to the Board of Directors on corporate governance and (6) reviews the size and composition of the Board of Directors and recommends to the Board of Directors any changes it deems advisable. The Corporate Governance and Nominating Committee was formeddid not meet in March 2016 and met twice in 2017.2022 because of limited matters, which were handled by the entire Board.

Role of the Board of Directors in Risk Oversight

Enterprise risks are identified and prioritized by management, and the Board receives periodic reports from the Company’s head of complianceour Chief Compliance Counsel and Chief Financial Officer regarding the most significant risks facing the Company.our company. These risks include, without limitation, the following:

•risks and exposures associated with strategic, financial and execution risks and other current matters that may present a material risk to our operations, plans, prospects or reputation;

•risks and exposures associated with financial matters, particularly financial reporting, tax, accounting, disclosure, internal control over financial reporting, financial policies, investment guidelines and credit and liquidity matters;

•risks and exposures relating to corporate governance, and management and director successionplanning; and

•risks and exposures associated with leadership assessment, and compensation programs and arrangements, including incentive plans.

REPORT OF THE AUDIT COMMITTEE

The Audit Committee iswas comprised of James D. Allen, T. Scott King and Carl Pradelli.Thomas Katz. None of the current or former members of the Audit Committee is ana current or former officer or employee of the Company,our company, and the Board has determined that each member of the Audit Committee meets the independence requirements promulgated by The NASDAQNasdaq Stock Market and the SEC, including Rule 10A-3(b)10A-3(b)(1) under the Exchange Act.

The Audit Committee oversees the Company’sour financial reporting process on behalf of the Board of Directors. Management has the primary responsibility for the financial statements and the reporting process, including the systems of internal controls and the certification of the integrity and reliability of the Company’sour internal controls procedures. In fulfilling its oversight responsibilities, the Audit Committee has reviewed the Company’sour audited financial statements included in the Annual Report on Form 10-K10-K for the fiscal year ended December 31, 2017,2022, and has discussed them with both management and EisnerAmperGrant Thornton, LLP (“EisnerAmper”Grant Thornton”), the Company’sour independent registered public accounting firm. The Audit Committee has also discussed with the independent registered public accounting firm the matters required to be discussed by the Auditing Standard No. 1301,Communications with Audit Committees, as adopted by the Public Company Accounting Oversight Board. The Audit Committee has reviewed permitted services under rules of the SEC as currently in effect and discussed with EisnerAmperGrant Thornton their independence from management and the Company,our company, including the matters in the written disclosures and the letter from the independent registered public accounting firm required by the applicable requirements of the Public Company Accounting Oversight Board regarding the independent accountant’s communications with the Audit Committee concerning independence. The Audit Committee has also considered and discussed the compatibility of non-auditnon-audit services provided by EisnerAmperGrant Thornton with that firm’s independence.

Based on its review of the financial statements and the aforementioned discussions, the Audit Committee concluded that it would be reasonable to recommend, and on that basis did recommend, to the Board of Directors that the audited financial statements be included in the Company’sour Annual Report.

Respectfully submitted by the Audit Committee.

COMPENSATION AND OTHER INFORMATION CONCERNING DIRECTORS AND OFFICERS

Our compensation philosophy is to offer our executive officers compensation and benefits that are competitive and meet our goals of attracting, retaining and motivating highly skilled management, which is necessary to achieve our financial and strategic objectives and create long-termlong-term value for our stockholders. We believe the levels of compensation we provide should be competitive, reasonable, and appropriate for our business needs and circumstances. The principal elements of our executive compensation program have to date included base salary, short term and long-term equitylong-term compensation in the form of cash, stock options.options and performance share units.

The following table sets forth information concerning the compensation earned by the individualindividuals that served as our Principal Executive Officer during 20172022 (Richard House Jr.) and our two most highly compensated executive officers other than the individualindividuals who served as our Principal Executive Officer during 20172022 (H. Russell Heiser Jr. and John Davis) (collectively, the “named executive officers”):. Other than the named executive officers listed below, no other individuals served as executive officers of our company in 2022.

Summary Compensation Table

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(1)      FASB ASC Topic 718 requires FlexShopperus to determine the overall full grant date fair value of the stock options as of the date of grant based upon the Black-ScholesBlack-Scholes method of valuation, which total amounts are set forth in the table above, and to then expense that value over the service period over which the stock options become vested. As a general rule, for time-in-service-basedtime-in-service-based stock options, FlexShopperwe will immediately expense any stock option or portion thereof which is vested upon grant, while expensing the balance on a pro rata basis over the remaining vesting term of the stock options. For a description of Topic 718 and the assumptions used in determining the value of the stock options under the Black-ScholesBlack-Scholes model of valuation, see the Notesnotes to our audited financial statements included in our 2022 Annual Report on Form 10-K.10-K.

(2)      The amounts set forth in this column consist of (i) automobile provisions, (ii) consulting fees, (iii) medical costs not covered by the Company’sour insurance, and (iv) health and life insurance payments.payments and 401k matching contribution.

Outstanding Equity Awards at December 31, 20172022

The following table provides information regarding equity awards held by the named executive officers as of December 31, 2017.2022.

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(1)      Reflects options granted under our 2015 Omnibus Equity Compensation PlanAll equity awards were vested on March 1, 2016. Unvested16, 2023, date of death of Richard House Jr., and were exercisable through September 16, 2023.

(2)      Stock options vest in two equal annual installments beginning on Marchat the rate of 20 percent each year with the first vesting date being December 31, 2018.2020.

(2)     Reflects options granted under our 2015 Omnibus Equity Compensation Plan on May 10, 2017. Unvested(3)      Stock options vest in three equal annual installments beginning on May 10, 2018.

(3)     Reflects options granted under our 2015 Omnibus Equity Compensation Plan onat the rate of 20 percent each year with the first vesting date being March 1, 2016. Unvested options vested on January 1, 2018.03, 2021.

(4)      ReflectsStock options granted under our 2015 Omnibus Equity Compensation Plan on May 10, 2017. Unvestedvest at the rate of 20 percent each year with the first vesting date being March 03, 2021.

(5)      Stock options vested on January 1, 2018.vest at the rate of 25 percent each year with the first vesting date being December 31, 2022.

(6)      Stock options vest at the rate of 20 percent each year with the first vesting date being November 20, 2020.

(7)      Stock options vest at the rate of 25 percent each year with the first vesting date being December 31, 2022.

Employment Agreements and Change of Control Arrangements

The following is a summary of the employment and change of control arrangements with our named executive officers.

Brad BernsteinRichard House Jr. Employment Agreement

Mr. House passed away on March 16, 2023 and his employment agreement was terminated with his death. Based on his employment agreement, the executive’s estate received all the accrued obligations as of the date of termination. All equity awards were vested as of the date of death and were exercisable through September 16, 2023.

H. Russell Heiser Jr. Employment Agreement

On JanuaryApril 21, 2023, we entered into amendment No. 1 to the amended and restated employment agreement with H. Russell Heiser Jr. The employment agreement with Mr. Heiser extends for a term expiring on December 31, 2007,2027, and is automatically renewable for three successive one-year terms unless written notice of non-renewal is timely provided by either party. Pursuant to this employment agreement, Mr. Heiser agreed to devote his full time, attention and efforts to our business and his duties as our Chief Executive Officer. The employment agreement provides that, effective as of March 20, 2023, Mr. Heiser receives a base salary at an annual rate of $460,000 for services rendered in such position. Pursuant to a short-term incentive plan approved by the Compensation Committee of our Board, Mr. Heiser is entitled to receive cash bonuses based on the executive meeting and exceeding performance goals relating to the net revenue and EBITDA of our company. The target cash bonus under the short-term incentive plan is up to 50% of Mr. Heiser’s annual base salary (with a maximum bonus payment of 100% of his base salary).

Pursuant to a long-term incentive plan approved by the Compensation Committee of our Board, Mr. Heiser will receive grants of stock options and performance share units (“PSUs”) under our 2018 Omnibus Equity Compensation Plan. Mr. Heiser was granted stock options to purchase such number of shares of our common stock with a fair market value of $345,000, determined using the Black-Scholes formula for fair value as of the April 21, 2023 grant date and a ten-year life, with annual vesting at the rate of 25% over four years, commencing on December 31, 2023. Mr. Heiser was also granted PSUs for shares of our common stock with a fair market value of $690,000, based on the common stock price as of the April 21, 2023 grant date. The PSUs are subject to both performance and time-based vesting. The performance metrics are based on specified EBITDA goals for our company. If we achieve 100% of the performance metrics, 50% of the PSUs will vest (and 50% will be forfeited), with a maximum vesting of 100% of the PSUs if 200% of the target performance is achieved. For the time-based component, the PSUs will vest annually at the rate of 25% over four years, commencing on December 31, 2023.

The employment agreement also provides for termination by us upon death or disability of Mr. Heiser (defined as three aggregate months of incapacity during any 365-consecutive day period) or upon cause, which includes willful misconduct, gross negligence, willful failure to perform duties, fraud/embezzlement, willful policy violation or a breach of the employment agreement. In the event the employment agreement is terminated by us without cause or by the executive for good reason, defined as a material breach of the agreement by us, Mr. Heiser will be entitled to one year’s salary and COBRA reimbursement and immediate vesting of any equity which would have otherwise vested in the one year following the termination.

In the event of a termination without cause or resignation for good reason in either case within three months preceding or 12 months following a change of control of our company, Mr. Heiser will receive one years’ salary, his target bonus, 18 months of COBRA reimbursement and immediate vesting of all outstanding unvested (but non-forfeited) equity awards.

The employment agreement also contains covenants (a) restricting Mr. Heiser from engaging in any activities competitive with our business or soliciting employees or clients during the term of such employment agreements and two years thereafter, (b) prohibiting the executive from disclosure of confidential information regarding us at any time and (c) confirming that all intellectual property developed by the executive and relating to our business constitutes our sole and exclusive property.

John Davis Employment Agreement

On February 23, 2022, we entered into an employment agreement to retain the services of Brad Bernstein as President.with John Davis. The employment agreement with Mr. Bernstein currently serves as PresidentDavis extends for a term expiring on December 31, 2025, and Chief Executive Officer of the Company. In March 2017, the Board approved an increase in Mr. Bernstein’s salary to $300,000. The Board may periodically review Mr. Bernstein’s base salary and may determine to increase (but not decrease) the base salary, in accordance with such policies as FlexShopper may hereafter adopt from time to time, if it deems appropriate. The following summarizes Mr. Bernstein’s employment agreement.

•        The Agreement shall beis automatically renewedrenewable for additional one-yearthree successive one-year terms unless written notice of non-renewal is timely provided by either party notifies the other, in writing, at least 60 days priorparty. Pursuant to the expiration of the term, of such party’s intention not to renew the Agreement. In December 2016, the Agreement renewed for one additional year through the close of business on January 31, 2018;

•this employment agreement, Mr. Bernstein is requiredDavis agreed to devote his full business time, attention and efforts to theour business and affairshis duties as our Chief Operating Officer. The employment agreement provides that, effective as of FlexShopper.April 21, 2023, Mr. BernsteinDavis receives a base salary at an annual rate of $380,000 for services rendered in such position. Pursuant to a short-term incentive plan approved by the Compensation Committee of our Board, Mr. Davis is entitled to indemnificationreceive cash bonuses based on the executive meeting and exceeding performance goals relating to the full extent permittednet revenue and EBITDA of our company. The target cash bonus under the short-term incentive plan is up to 40% of Mr. Davis’s annual base salary (with a maximum bonus payment of 80% of his base salary).

Pursuant to a long-term incentive plan approved by law.the Compensation Committee of our Board, Mr. Bernstein isDavis will receive grants of stock options and performance share units (“PSUs”) under our 2018 Omnibus Equity Compensation Plan. Mr. Davis was granted stock options to purchase such number of shares of our common stock with a fair market value of $142,500, determined using the Black-Scholes formula for fair value as of the April 21, 2023 grant date and a ten-year life, with annual vesting at the rate of 25% over four years, commencing on December 31, 2023. Mr. Davis was also granted PSUs for shares of our common stock with a fair market value of $285,000, based on the common stock price as of the April 21, 2023 grant date. The PSUs are subject to provisions relating to non-competitionboth performance and nonsolicitation of employees and customers during the termtime-based vesting. The performance metrics are based on specified EBITDA goals for our company. If we achieve 100% of the Agreementperformance metrics, 50% of the PSUs will vest (and 50% will be forfeited), with a maximum vesting of 100% of the PSUs if 200% of the target performance is achieved. For the time-based component, the PSUs will vest annually at the rate of 25% over four years, commencing on December 31, 2023.

The employment agreements also provide for termination by us upon death or disability of Mr. Davis (defined as three aggregate months of incapacity during any 365-consecutive day period) or upon cause, which includes willful misconduct, gross negligence, willful failure to perform duties, fraud/embezzlement, willful policy violation or a breach of the employment agreement. In the event the employment agreement is terminated by us without cause or by the executive for good reason, defined as a material breach of the agreement by us, Mr. Davis will be entitled to one year’s salary and forCOBRA reimbursement and immediate vesting of any equity which would have otherwise vested in the one year following the termination.

In the event of a specified period thereafter (other than for termination without cause or by Mr. Bernsteinresignation for good reason);

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•        Mr. Bernstein is entitled to participatereason in our benefit and other compensatoryeither case within three months preceding or non-compensatory plans that are available to similarly situated executives of FlexShopper and is entitled to be reimbursed for up to $25,000 of medical costs not covered by FlexShopper’s health insurance per year

•        FlexShopper shall, to the extent such benefits can be obtained at a reasonable cost, provide Mr. Bernstein with disability insurance benefits of at least 60% of his gross base salary per month. In the event of Mr. Bernstein’s disability, Mr. Bernstein and his family shall continue to be covered by all of our executive welfare benefit plans at our expense, to the extent such benefits may, by law, be provided, for the lesser of the term of such disability and 24 months, in accordance with the terms of such plans; and

•        FlexShopper shall, to the extent such benefits can be obtained at a reasonable cost, provide Mr. Bernstein with life insurance benefits in the amount of at least $500,000. In the event of Mr. Bernstein’s death, his family shall continue to be covered by all of our executive welfare benefit plans, at our expense, to the extent such benefits may, by law, be provided, for 12 months following Mr. Bernstein’s death in accordance with the terms of such plans.

Termination of Employment

Mr. Bernstein’s employment with FlexShopper may be terminated by mutual agreement. The following description summarizes his severance pay (exclusive of base salary, car allowances and benefits due up to the date of termination), if any, in the event of termination (other than by mutual agreement) and the treatment of his options:

Termination for Cause. In the event of any termination for Cause (as defined in the agreement), Mr. Bernstein shall not receive any severance pay and any and all stock options granted to him shall terminate according to their terms of grant with any such vested options being exercisable for the shorter of (i) 90 days from the date of termination and (ii) the exercise term of each relevant option grant.

Termination for Disability or Death. In the event of termination for Disability (as defined in the agreement) or death, Mr. Bernstein shall receive all bonuses then earned, six months’ severance pay in the case of death, and the acceleration of certain options. Such options may be exercised for the longer of (i) 12 months from the date of the date of termination and (ii) the exercise term of each relevant option grant.

Termination without Cause. Mr. Bernstein’s employment with FlexShopper may be terminated by us, in the absence of Cause, and by Mr. Bernstein for Good Reason (as defined in the agreement, including upon a change of control of the Company). In such event,our company, Mr. Bernstein shallDavis will receive 12 months’ severance pay, targeted bonuses, continuationone year’s worth of certain benefitssalary, his target bonus, 18 months of COBRA reimbursement and fullimmediate vesting of all options. Such options may be exercised for the longer of (i) 12 months from the date of termination and (ii) the exercise term of each relevant option grant.outstanding unvested (but non-forfeited) equity awards.

Voluntary Resignation. Mr. Bernstein’s employment with FlexShopper may be terminated by him without Good Reason. In such event, Mr. Bernstein shall not receive any severance pay and unless termination occurs in the first year of employment, all vested options shall be retained by him for the full exercise term of each relevant option.

Option Grants

Mr. Bernstein is eligible to receive stock options and other compensation as determined at the discretion of the board. See the section captioned “Outstanding Equity Awards at December 31, 2017” above for a description of outstanding options granted to Mr. Bernstein.

Russ Heiser Employment Agreement

On December 1, 2015, we entered into anThe employment agreement to retain the services of Russ Heiser as Chief Financial Officer of the Company. In March 2017, the Board approved an increasealso contains covenants (a) restricting Mr. Davis from engaging in Mr. Heiser’s salary to $237,000. The Board may periodically review Mr. Heiser’s base salary and may determine to increase (but not decrease) the base salary, in accordanceany activities competitive with such policies as FlexShopper may hereafter adopt from time to time, if it deems appropriate. The following summarizes Mr. Heiser’s employment agreement.

•        The Agreement shall be automatically renewed for additional one-year terms unless either party notifies the other, in writing, at least 60 days prior to the expiration ofour business or soliciting employees or clients during the term of such party’s intention not to renewemployment agreements and two years thereafter, (b) prohibiting the Agreement;

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•        Mr. Heiser is required to devote his full businessexecutive from disclosure of confidential information regarding us at any time and efforts to(c) confirming that all intellectual property developed by the businessexecutive and affairs of FlexShopper. Mr. Heiser is entitled to indemnification to the full extent permitted by law. Mr. Heiser is subject to provisions relating to non-compete (other than in the event of any termination by the Company without cause or by Mr. Heiser for good reason)our business constitutes our sole and non-solicitation of employees and customers during the term of the Agreement and for a specified period thereafter;exclusive property.

•        Mr. Heiser is entitled to participate in our benefit and other compensatory or non-compensatory plans that are available to similarly situated executives of FlexShopper and is entitled to be reimbursed for up to $25,000 of medical costs not covered by FlexShopper’s health insurance per year;

•        FlexShopper shall, to the extent such benefits can be obtained at a reasonable cost, provide Mr. Heiser with disability insurance benefits of at least 60% of his gross base salary per month. In the event of Mr. Heiser’s disability, Mr. Heiser and his family shall continue to be covered by all of our employee welfare benefit plans at our expense, to the extent such benefits may, by law, be provided, for the lesser of the term of such disability and 24 months, in accordance with the terms of such plans; and

•        FlexShopper shall, to the extent such benefits can be obtained at a reasonable cost, provide Mr. Heiser with life insurance benefits in the amount of at least $500,000. In the event of Mr. Heiser’s death, his family shall continue to be covered by all of our executive welfare benefit plans, at our expense, to the extent such benefits may, by law, be provided, for 12 months following Mr. Heiser’s death in accordance with the terms of such plans.

Termination of Employment

Mr. Heiser’s employment with FlexShopper may be terminated by mutual agreement. The following description summarizes his severance pay (exclusive of base salary, car allowances and benefits due up to the date of termination), if any, in the event of termination (other than by mutual agreement) and the treatment of his options:

Termination for Cause. In the event of any termination for Cause (as defined in the agreement), Mr. Heiser shall not receive any severance pay and any and all stock options granted to him shall terminate according to their terms of grant with any such vested options being exercisable for the shorter of (i) 90 days from the date of termination and (ii) the exercise term of each relevant option grant.

Termination for Disability or Death. In the event of termination for Disability (as defined in the agreement) or death, Mr. Heiser shall receive all bonuses then earned, six months’ severance pay in the case of death, and the acceleration of certain options. Such options may be exercised for the longer of (i) 12 months from the date of the date of termination and (ii) the exercise term of each relevant option grant.

Termination without Cause. Mr. Heiser’s employment with FlexShopper may be terminated by us, in the absence of Cause, and by Mr. Heiser for Good Reason (as defined in the agreement, including upon a change in control of the Company). In such event, Mr. Heiser shall receive 12 months’ severance pay, plus targeted bonuses, continuation of certain benefits and full vesting of all options. Such options may be exercised for the longer of (i) 12 months from the date of termination and (ii) the exercise term of each relevant option grant.

Voluntary Resignation. Mr. Heiser’s employment with FlexShopper may be terminated by him without Good Reason. In such event, Mr. Heiser shall not receive any severance pay and all vested options shall be retained by him for the full exercise term of each relevant option. Any such vested options would continue to be exercisable for the full exercise term of each relevant option grant.

Option Grant

Pursuant to his employment agreement, on December 1, 2015, Mr. Heiser was granted an option to purchase 10,000 shares of Common Stock of the Company with the exercise price based on the closing share price as of December 1, 2015. The option vested and became exercisable as follows: (i) one-third on the six month anniversary of the grant date; (ii) one-third on the one-year anniversary of the grant date and (iii) one-third on the two-year anniversary of the grant date.

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Director Compensation

Independent directors who are not employees2022 Non-Executive Director Compensation Program

In June 2021, the Compensation Committee of our Board of Directors engaged Lockton Companies, LLC., a global leader in executive compensation consulting services, to review and evaluate the competitiveness of our company’s current executive compensation program for the top leadership positions of the Company or any subsidiarycompany, along with the non-executive Board of Directors compensation program. The principal purpose for this engagement was to ensure that the terms of the Companytotal compensation packages of our executives and have not been appointed to thenon-executive board members created incentive structures aligned with stockholder interests and were consistent with current market practices.

Effective April 12, 2023, our Board of Directors adopted a new 2023 Non-Executive Director Compensation Program in connection with an Investor Rights Agreement (“Non-Employee Directors”),receiving a board compensation report from Lockton Companies, LLC, which utilized compensation data from the latest published National Association of Corporate Directors compensation survey for similarly-sized public companies. Pursuant to our new program, all directors receive an the following compensation for their services:

•        annual board service retainer in the amount of $30,000,$60,000, payable quarterly, which may be paid in either cash or stock options, or a combination of both. The form of payment (i.e., cash, stock options or a combination) will be determined by each director by notice to our Chief Financial Officer at least 15 days prior to the quarterly payment date. The Chairman of the Board will receive an additional $40,000 retainer for annual board service retainer. In the event the form of payment is stock options, the value of the stock options (priced using the Black-Scholes options pricing model) will equal 1.30 times the stated cash retainercompensation. The stock options will have an exercise price equal to the fair market value of $2,500 ifour common stock at the member serves on a committee, and an additional $5,000 if the member chairs a committee, all paid quarterly in arrears, as well astime of grant.

•        annual grant of stock options to purchase 6,000 shares of common stock onwith a value of $94,000 for the first trading day following December 31directors and with a value of each year.$150,000 for the Chairman of the Board (priced using the Black-Scholes options pricing model), pursuant to our 2018 Omnibus Equity Compensation Plan. The stock options will have an exercise price equal to the fair market value of our common stock at the time of grant and vest in four equal quarterly installments.

All directors are reimbursed for their reasonable out-of-pocket expenses incurred in connection with their duties to our company. The directors will not be paid separate fees for Board and Committee meetings attended.

The following table sets forth information with respect to compensation earned by or awarded to each of our Non-EmployeeNon-Employee Directors who served on our Board during the fiscal year ended December 31, 2017:2022:

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(1)      FASB ASC Topic 718 requires FlexShopper to determine the overall full grant date fair market value of the options as of the date of grant based upon the Black-ScholesBlack-Scholes method of valuation, which total amounts are set forth in the table above, and then to expense that value over the service period over which options become exercisable. As a general rule, for time-in-service-basedtime-in-service-based options, FlexShopperwe will immediately expense any option or portion thereof which is vested upon grant, while expensing the balance on a pro rata basis over the remaining vesting term of the option. For a description of Topic 718 and the assumptions used in determining the value of the options under the Black-ScholesBlack-Scholes method of valuation, see the notes to the consolidated financial statements included our Annual Report on Form 10-K.10-K.

(2)      There are 75,367 stock options outstanding as of December 31, 2022 related to this compensation.

(3)      There are 262,093 stock options outstanding as of December 31, 2022 related to this compensation.

(4)      There are 152,822 stock options outstanding as of December 31, 2022 related to this compensation.

(5)      There are 152,822 stock options outstanding as of December 31, 2022 related to this compensation.

(6)      There is no compensation assigned to Mr. Hinze as he was appointed to the Board in connection with an investor rights agreement, as further described in his biographical information under the section of this proxy statement titled “Information Concerning Directors and Nominees for Director”.

The following table shows the number of shares subject to vested option awards held by each Non-EmployeeNon-Employee Director as of December 31, 2017:2022:

PROPOSAL 2 — APPROVAL, ON A NON-BINDING ADVISORY BASIS, OF THE COMPENSATION
PAID TO OUR EXECUTIVE OFFICERS

We are providing our stockholders, in accordance with Section 14A of the Exchange Act, with the opportunity express their views on our named executive officers’ compensation by casting their vote on this Proposal 2. This non-binding,non-binding, advisory vote is not intended to address any specific item of compensation, but rather the overall compensation of our named executive officers as described in this proxy statement.

Our executive compensation program, which is described in detail in the “Compensation and Other Information Concerning Directors and Officers” section, beginning on page 16, is designed to balance the goals of attracting and retaining talented executives who are motivated to achieve our annual and long-termlong-term strategic goals while keeping the program affordable and appropriately aligned with stockholder interests. We believe that our executive compensation program accomplishes these goals in a way that is consistent with our purpose and core values and the long-termlong-term interests of the Companyour company and its stockholders.

Although the vote on this Proposal 2 regarding the compensation of our named executive officers is not binding, we value the opinions of our stockholders and will consider the result of the vote when determining future executive compensation arrangements.

By approving this proposal, our stockholders will approve the following resolution:

RESOLVED, that the compensation paid to the Company’s named executive officers, as disclosed pursuant to Item 402 of Regulation S-KS-K in the Company’s proxy statement for the 20182023 Annual Meeting of Stockholders, is hereby approved.

Vote Required for Approval

Provided a quorum is present, the affirmative vote of a majority of the votes cast on the matter is required to approve the foregoing resolution. Broker non-votesnon-votes and abstentions will have no effect on the outcome of the proposal.

Board Recommendation

The Board unanimously recommends that the stockholders voteFORProposal 2.

PROPOSAL 3 — ApprovalAPPROVAL, ON A NON-BINDING ADVISORY BASIS, OF THE FREQUENCY OF
FUTURE ADVISORY VOTES ON THE COMPENSATION PAID TO OUR EXECUTIVE OFFICERS

As described in Proposal 2 above, in accordance with Section 14A of the FlexShopper, Inc. 2018
OMNIBUS equityExchange Act, our stockholders are being provided the opportunity to cast a non-binding, advisory vote on the compensation PLANpaid to the Company’s named executive officers.

On March 1, 2018,This Proposal 3 provides stockholders with an opportunity to cast a non-binding, advisory vote on the frequency of future advisory votes on the compensation paid to our named executive officers. Under this Proposal 3, stockholders may vote in favor of holding this advisory vote every year, every two years or every three years beginning with the 2023 annual meeting of stockholders or the stockholders may choose to abstain.

After careful consideration, the Board recommends that the advisory vote by our stockholders on executive compensation be held every year. In formulating its recommendation, our Board believes that giving our stockholders the right to cast an annual advisory vote on the compensation of our named executive officers is a good corporate governance practice and is in the best interests of our stockholders, allowing our stockholders to provide us with frequent and direct input on our executive compensation philosophy, policies and practices as disclosed in the proxy statement each year.

Although non-binding, the Board and the Compensation Committee will carefully review the voting results. Notwithstanding the Board’s recommendation and the outcome of the stockholder vote, our Board may in the future decide to conduct advisory votes on a more or less frequent basis and may vary its practice based on factors such as discussions with stockholders and the adoption of material changes to our compensation programs and policies.

Vote Required for Approval

Provided a quorum is present, the frequency of future advisory votes on the compensation paid to our named executive officers receiving a majority of the votes cast will be adopted subjectas the frequency of future advisory votes on the compensation paid to stockholder approval,our named executive officers.

Board Recommendation

The Board unanimously recommends that stockholders vote for “Every One Year” on Proposal 3.

PROPOSAL 4 — APPROVAL OF AN AMENDMENT TO FLEXSHOPPER, INC. 2018 OMNIBUS EQUITY COMPENSATION

Background

We currently maintain the FlexShopper, Inc. 2018 Omnibus Equity Compensation Plan (the “2018 Plan”). If, which was adopted by the Board on March 1, 2018 Plan isand approved by our stockholders approximatelyon April 26, 2018. Amendment No. 1 to the 2018 Plan was approved by the Board on February 21, 2019 and by our stockholders on May 2, 2019, Amendment No. 2 to the 2018 Plan was approved by the Board on April 24, 2020 and by our stockholders on June 10, 2020, and Amendment No. 3 to the 2018 Plan was approved by the Board on March 31, 2021 and by our stockholders on June 9, 2021. Under the 2018 Plan, we initially reserved 1,057,000 shares of Company common stock will befor issuance to eligible employees, officers, non-employee directors, consultants and advisors of our company, and increased that number to 2,057,000 shares under Amendment No. 1 to the 2018 Plan, to 3,057,000 shares under Amendment No. 2 to the 2018 Plan, and to 5,057,000 shares under Amendment No. 3 to the 2018 Plan. As of September 22, 2023, there are no shares available for issuance under the 2018 Plan. The Board of Directors considers that it is necessary to increase the shares available for issuance under the 2018 Plan consistingto meet our equity compensation requirements on a going forward basis and recommends that stockholders approve this proposal to amend the 2018 Plan.

On August 8, 2023, the Board approved Amendment No. 4 to the 2018 Plan, described in this proposal (the “2018 Plan Amendment”), subject to stockholder approval. If approved by our stockholders, the 2018 Plan Amendment will increase (a) the total number of 750,000 shares authorizedavailable for issuance under the 2018 Plan by 3,000,000 shares, to a new total of 8,057,000 shares, and 307,000(b) the number of shares currently available for issuance under our Prior Plans (defined below). We currently maintainas “incentive stock options,” within the FlexShopper, Inc. 2007 Omnibus Equity Compensation Plan (formerly known as the BTHC XI, Inc. 2007 Omnibus Equity Compensation Plan)meaning of Internal Revenue Code (the “2007 Plan”“Code”) Section 422 (“ISOs”), under which currently 242,900 sharesby 3,000,000 shares.

A copy of Company common stock are subjectAmendment No. 4 to outstanding awards and no shares of Company common stock remain available for issuance, and the FlexShopper, Inc. 2015 Omnibus Equity Compensation Plan (the “2015 Plan” and, together with the 2007 Plan, the “Prior Plans”), under which currently 93,000 shares of Company common stock are subject to outstanding awards and 307,000 shares of Company common stock are available for issuance. If the 2018 Plan is approved by our stockholders, it will replace the Prior Plans and no new awards will be granted under the Prior Plans. Any awards outstanding under the Prior Plans on the date of stockholder approvalattached as Appendix A to this Proxy Statement. The material terms of the 2018 Plan, will remain subjectassuming the approval of Amendment No. 4 to and be paidthe 2018 Plan, are summarized below under the 2007 Plan or 2015 Plan, as applicable, and any shares available for issuance under the 2015 Plan and any shares subject to outstanding awards under the Prior Plans that subsequently cease to be subject to such awards (other than by reasonheading “Summary of settlement of the awards in shares) will automatically become available for issuance under the 2018 Plan.

The Board recommends that stockholders approve the 2018 Plan. The purposePlan”. This summary of the 2018 Plan is not intended to enhancebe a complete description of the Company’s ability2018 Plan and is qualified in its entirety by the actual text of the 2018 Plan, which is filed as Exhibit 10.1 to attractour Current Report on Form 8-K with the SEC on April 30, 2018, and retain qualifiedas amended by Amendment No. 1 thereto, which is included as Exhibit 10.1 to our current report on Form 8-K filed with the SEC on May 6, 2019, Amendment No. 2 thereto, which is included as an exhibit to our Schedule 14A filed with the SEC on April 26, 2020, and Amendment No. 3 thereto, which is included as an exhibit to our Schedule 14A filed with the SEC on April 29, 2021.

Our shares of common stock are traded on The Nasdaq Capital Market under the symbol “FPAY.” On September 21, 2023, the last reported sale price of our common stock on The Nasdaq Capital Market was $1.04 per share.

Reasons for the Amendment

The purpose of Amendment No. 4 to the 2018 Plan is to provide us with sufficient flexibility to continue to use the 2018 Plan to further our compensation philosophy and programs. The Board believes that the interests of our company and stockholders will be advanced if we can continue to offer our officers, nonemployeenon-employee directors, employees, consultants and advisors and to motivate those individuals to serve the Company and to improve the business results and earnings of the Company, by providing to such individuals an opportunity to acquire or increase a direct proprietaryownership interest in the operations and future success of the Company. The 2018 Plan also allowsIn addition, the Companyability to promote greater ownership inobtain and retain new quality personnel by offering competitive compensation is of importance to the Company by our service providers in order to align their interests more closely with the interestssuccess of the Company’s stockholders. Stockholder approvalCompany. However, as of the 2018 Plan will also enable the Company to grant incentive stock options (“ISOs”)September 22, 2023, there are no shares available for issuance under the 2018 Plan that are designed to qualify for special tax treatment under Internal Revenue Code (the “Code”) Section 422.Plan.

Corporate Governance Aspects of 2018 Plan

The 2018 Plan has been designed to include a number of provisions that promote sound corporate governance practices by reinforcing the alignment between incentive compensation arrangements for eligible plan participants and our stockholders’ interests. These provisions include, but are not limited to, the following:

•Clawback. Plan awards are subject to clawback under any applicable Company clawback policy and all applicable laws requiring the clawback of compensation.

•Forfeiture upon Cause Termination. All plan awards held by a participant may be forfeited upon the participant’s termination for “cause” (as defined in the 2018 Plan).

•No Discounted Stock Options or Stock Appreciation Rights (“SARs”). Stock options and SARs generally may not be granted with exercise prices lower than the fair market value of the underlying shares on the grant date.

•No Repricing without Stockholder Approval. The plan specifically prohibits the repricing of options or SARs without stockholder approval.

•Limitation on Terms of Stock Options and SARs. The maximum term of each stock option and SAR is 10 years.

•No Transferability. Awards generally may not be transferred, except by will or the laws of descent and distribution, unless approved by the Compensation Committee.

•No Evergreen Provision. The plan does not contain an “evergreen” feature pursuant to which the shares authorized for issuance will be automatically replenished.

•No Automatic Grants. The plan does not provide for automatic grants to any participant.

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•No Tax Gross-Ups. The plan does not provide for any tax gross-ups.

•Dividends. We do not pay dividends or dividend equivalents on stock options, SARs, or unearned performance awards under the plan.

•Multiple Award Types. The plan permits the issuance of nonqualified stock options, ISOs, SARs, restricted stock units (“RSUs”), restricted shares, and other types of equity grants, subject to the share limits of the plan, as well as cash awards, as further described under “Types of Awards” below. This breadth of award types will enable the Compensation Committee to tailor awards in light of the accounting, tax, and other standards applicable at the time of grant. Historically, these standards have changed over time.

•Independent Oversight. The plan is administered by a committee of independent Board members.

Summary of 2018 Plan

The principal features of the 2018 Plan are summarized below. The following summary of the 2018 Plan does not purport to be a complete description of all of the provisions of the 2018 Plan. It is qualified in its entirety by reference to the complete text of the 2018 Plan, which is attached to this proxy statement asAppendix A.

Eligibility

Awards may be granted under the 2018 Plan to officers, employees, nonemployeenon-employee directors, consultants and advisors of the Company and its affiliates.our company. ISOs may be granted only to employees of the Companyour company or its subsidiaries. As of March 5, 2018,September 22, 2023, approximately 140160 individuals would have beenwere eligible to receive awards under the 2018 Plan (based on the flexible definition of eligible participant in the 2018 Plan), including threetwo executive officers and six nonemployeefive non-employee directors. However, the Companywe historically hashave granted awards under itsour equity compensation plans to a total of approximately 10-1510 to 15 employees and directors, in the aggregate, in any given fiscal year.

Administration

The 2018 Plan may be administered by the Board or the Compensation Committee. The Board has delegated to the Compensation Committee the authority to administer the 2018 Plan. The Compensation Committee, in its discretion, selects the individuals to whom awards may be granted, the time or times at which such awards are granted, and the terms and conditions of such awards.

Number of Authorized Shares

TheIf stockholders approve Amendment No. 4 to the 2018 Plan, the number of shares of common stock authorized for issuance under the 2018 Plan will be 1,057,0008,057,000 shares, (assuming 307,000representing approximately 29.0% of our shares of Company common stock available for issuance under the 2015 Plan become available for issuance under the 2018 Plan), representing 10.5% of the Company’s common stock outstanding as of December 31, 2017,September 22, 2023, including shares issuable under equity plans and shares issuable upon conversion or exercise of outstanding warrants and convertible securities. Stockholders will be approving this share limit as part of the approval of this Proposal 3. In addition, as of the date of stockholder approval ofpreferred stock. If stockholders approve Amendment No. 4 to the 2018 Plan, any awards then outstanding under the Prior Plans will remain subjectup to and be paid under the applicable Prior Plan and any shares available for issuance under the 2015 Plan and any shares then subject to outstanding awards under the Prior Plans that subsequently expire, terminate, or are surrendered or forfeited for any reason without issuance of shares will automatically become available for issuance under the 2018 Plan. Up to 1,000,0008,000,000 shares may be granted as ISOs under the 2018 Plan. Stockholders will be approving this ISO limit as part of the approval of this Proposal 3.4. The shares of common stock issuable under the 2018 Plan will consist of authorized and unissued shares, treasury shares, or shares purchased on the open market or otherwise.

If any award is cancelled, terminates, expires, or lapses for any reason prior to the issuance of shares or if shares are issued under the 2018 Plan and thereafter are forfeited to the Company,us, the shares subject to such awards and the forfeited shares will not count against the aggregate number of shares of common stock available for grant under the 2018 Plan. In addition, the following items will not count against the aggregate number of shares of common stock available for grant under the 2018 Plan: (1)(i) the payment in cash of dividends or dividend equivalents under any outstanding award, (2)(ii) any award that is settled in cash rather than by issuance of shares of common stock, or (3)(iii) awards granted in assumption of or in substitution for awards previously granted by an acquired company.

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Adjustments

Changes in Common Stock.If (1) the number of outstanding shares of Companyour common stock is increased or decreased or the shares are changed into or exchanged for a different number or kind of shares or other securities of the Companyour company on account of any recapitalization, reclassification, stock split, reverse split, combination of shares, exchange of shares, stock dividend or other distribution payable in capital stock, or other increase or decrease in the shares effected without receipt of consideration by the Companyour company occurring after the effective date of the 2018 Plan or (2) there occurs any spin-off, split-up,spin-off, split-up, extraordinary cash dividend, or other distribution of assets by the Company,our company, then (A) the number and kinds of shares for which grants of 2018 Plan awards may be made, (B) the number and kinds of shares for which outstanding awards may be exercised or settled, and (C) the performance goals relating to outstanding awards will be equitably adjusted by the Company. In addition, in the event of any such increase or decrease in the number of outstanding shares or other transaction described in clause (2) above, the number and kind of shares for which 2018 Plan awards are outstanding and the purchase prices of outstanding options and SARs will be equitably adjusted.

Effect of Certain Transactions.Except as otherwise provided in an award agreement, in the event of a “corporate transaction” (as defined in the 2018 Plan), the 2018 Plan and the awards under it will continue in effect in accordance with their respective terms, except that after a corporate transaction either (1) each outstanding award will be treated as provided for in the agreement entered into in connection with the corporate transaction or (2) if not so provided in such agreement, each grantee will be entitled to receive for each share subject to any outstanding awards, upon exercise or payment or transfer in respect of any award, the same number and kind of stock, securities, cash, property, or other consideration that each Company stockholder was entitled to receive in the corporate transaction for one share. However, unless otherwise determined by the Board, such stock, securities, cash, property, or other consideration will remain subject to all of the terms and conditions (including performance criteria) that were applicable to the awards before the corporate transaction. Without limiting the generality of the foregoing, the treatment of outstanding options and SARs under this paragraph for a corporate transaction where the consideration paid or distributed to our stockholders is not entirely shares of common stock of the acquiring or resulting corporation may include the cancellation of outstanding options and SARs upon the corporate transaction as long as, at the election of the Board, (A) the holders of affected options and SARs have been given a period of at least 15 days before the date of the consummation of the corporate transaction to exercise the options or SARs (to the extent otherwise exercisable) or (B) the holders of the affected options and SARs are paid (in cash or cash equivalents) in respect of each share covered by the option or SAR being canceledcancelled an amount equal to the excess, if any, of the per share price paid or distributed to our stockholders in the corporate transaction over the exercise price.

Types of Awards

The 2018 Plan permits the granting of any or all of the following types of awards:

•Stock OptionsOptions.    . Stock options entitle the holder to purchase a specified number of shares of common stock at a specified price (the exercise price), subject to the terms and conditions of the stock option grant.

The Compensation Committee may grant either ISOs, which must comply with Code Section 422, or nonqualified stock options. The Compensation Committee sets exercise prices of stock options, except that options must be granted with an exercise price not less than 100% of the fair market value of our common stock on the date of grant (excluding stock options granted in connection with assuming or substituting stock options in acquisition transactions). At the time of grant, the Compensation Committee also determines the other terms and conditions of stock options, including the quantity, vesting periods, term (which cannot exceed 10 years), and other conditions on exercise.

•Stock Appreciation RightsRights.    . The Compensation Committee may grant SARs, as a right in tandem with the number of shares underlying stock options granted under the 2018 Plan or as a freestanding award. Upon exercise, SARs entitle the holder to receive payment per share in stock or cash, or in a combination of stock and cash, equal to the excess of the share’s fair market value on the date of exercise over the grant price of the SAR. The grant price of a tandem SAR is equal to the exercise price of the related stock option, and the grant price of a freestanding SAR is determined by the Compensation Committee in accordance with the procedures described above for stock options. Exercise of an SAR issued in tandem with a stock option will reduce the number of shares underlying the related stock option to the extent of the SAR exercised. The term of a freestanding SAR cannot exceed 10 years, and the term of a tandem SAR cannot exceed the term of the related stock option.

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•Restricted Shares, RSUs, and Other Stock-Based AwardsStock. -Based Awards.    The Compensation Committee may grant restricted shares, which are shares of our common stock subject to specified restrictions, and RSUs, which represent the right to receive shares of our common stock in the future. These awards may be made subject to repurchase, forfeiture, or vesting restrictions at the Compensation Committee’s discretion. The restrictions may be based on continuous service with the Companyour company or the attainment of specified performance goals, as determined by the Compensation Committee. RSUs may be paid in stock or cash or a combination of stock and cash, as determined by the Compensation Committee. The Compensation Committee may also grant other types of equity or equity-basedequity-based awards subject to the terms and conditions of the 2018 Plan and any other terms and conditions determined by the Compensation Committee.

•Performance AwardsAwards.    . The Compensation Committee may grant performance awards, which entitle participants to receive a payment from the Company,us, the amount of which is based on the attainment of performance goals established by the Compensation Committee over a specified award period. Performance awards may be denominated in shares of our common stock or in cash, and may be paid in stock or cash or a combination of stock and cash, as determined by the Compensation Committee.

Clawback

All cash and equity awards granted under the 2018 Plan will be subject to all applicable laws regarding the recovery of erroneously awarded compensation, any implementing rules and regulations under such laws, any policies adopted by the Companyus to implement such requirements, and any other compensation recovery policies as may be adopted from time to time by the Company.us.

Section 162(m)

Under Code Section 162(m), we may be prohibited from deducting compensation paid to certain of our executive officers in excess of $1 million per person in any year.

Transferability

2018 Plan awards are not transferable other than by will or the laws of descent and distribution, except that in certain instances where approved by the Compensation Committee transfers may be made to or for the benefit of designated family members of the participant for no value.

Term, Termination and Amendment of the 2018 Plan

Unless earlier terminated by the Board, the 2018 Plan will terminate on, and no further awards may be granted after, April 26, 2028 (the date that is ten years after initial stockholder approval of the 2018 Plan). The Board may amend, suspend, or terminate the 2018 Plan at any time, except that, if required by applicable law, regulation, or stock exchange rule, stockholder approval will be required for any amendment. The amendment, suspension, or termination of the 2018 Plan or the amendment of an outstanding award generally may not, without a participant’s consent, materially impair the participant’s rights under an outstanding award.

New Plan Benefits

If Amendment No. 4 to the 2018 Plan is approved by our stockholders, there will be approximately 1,057,0002,623,236 shares available for future issuance under the 2018 Plan for awards to officers, employees, and nonemployeenon-employee directors. The benefits to be received by grantees in the normal course under the 2018 Plan cannot be determined at this time because grants under the 2018 Plan are made at the discretion of the Compensation Committee.

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Please see the Summary Compensation Table and Outstanding Equity Compensation Plan Table

The following table presents information on the Company’s equity compensation plans as ofAwards at December 31, 2017. All outstanding2022 Table for information with respect to prior awards relategranted to our common stock.

PROPOSAL 45 —RATIFICATION OF APPOINTMENT OF
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

The Audit Committee of the Board of Directors has appointed EisnerAmperGrant Thornton LLP (“EisnerAmper”Grant Thornton”) as our independent registered public accounting firm for the fiscal year ending December 31, 2018.2023. We are presenting this selection to our stockholders for ratification at the annual meeting.

EisnerAmperGrant Thornton audited our financial statements for 2017.2022. Representatives of EisnerAmperGrant Thornton are not expected to be present at the 20182023 Annual Meeting, will not have the opportunity to make a statement if they so desire, and will not be available to respond to appropriate questions.

EisnerAmper LLP (“EisnerAmper”) audited our financial statements for 2021. Representatives of EisnerAmper are not expected to be present at the 2023 Annual Meeting, will not have the opportunity to make a statement if they so desire, and will not be available to respond to appropriate questions.

During 2022, the Audit Committee of the Board of Directors of the Company conducted a competitive selection process to determine the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2022. The Audit Committee invited several public accounting firms to participate in this process. As a result of this process, on June 28, 2022, the Audit Committee approved the appointment of Grant Thornton LLP as the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2022. In connection with Grant Thornton’s appointment, as of June 28, 2022, the company dismissed EisnerAmper as the Company’s independent registered public accounting firm.

The reports of EisnerAmper on the Company’s consolidated financial statements for the fiscal year ended December 31, 2021 and the reports of Grant Thornton on the Company’s consolidated financial statements for the fiscal year ended December 31, 2022 did not contain an adverse opinion or disclaimer of opinion and were not qualified or modified as to uncertainty, audit scope or accounting principles. In connection with the audits of the Company’s consolidated financial statements for the fiscal year ended December 31, 2021, and in the subsequent interim period through June 28, 2022, there were no disagreements with EisnerAmper on any matters of accounting principles or practices, financial statement disclosure or auditing scope and procedures which, if not resolved to the satisfaction of EisnerAmper, would have caused EisnerAmper to make reference to the matter in their report. There were no reportable events (as that term is described in Item 304(a)(1)(v) of Regulation S-K) during the fiscal year ended December 31, 2021, or in the subsequent period through June 28, 2022.

The following table sets forth the aggregate fees billed or expected to be billed by EisnerAmper for audit and non-auditnon-audit services in 20172021 and 2016,2022, including “out-of-pocket”“out-of-pocket” expenses incurred in rendering these services. The nature of the services provided for each category is described following the table.

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(1)      Audit fees include fees for professional services rendered for the audit of our annual statements, quarterly reviews, consents and assistance with and review of documents filed with the SEC.

(2)     Audit-relatedThe following table sets forth the aggregate fees billed by Grant Thornton LLP for 2017audit and non-audit services in 2022 , including “out-of-pocket” expenses incurred in rendering these services. The nature of the services provided for each category is described following the table.

Pre-Approval Policies and Procedures

The Audit Committee has adopted a policy that requires that all services to be provided by the Company’sour independent public accounting firm, including audit services and permitted non-auditnon-audit services, to be pre-approvedpre-approved by the Audit Committee. All audit and permitted non-auditnon-audit services provided by Grant Thornton and EisnerAmper during 20172022 were pre-approvedpre-approved by the Audit Committee.

Vote Required for Approval

Ratification of the appointment of our independent registered public accounting firm requires the affirmative vote of a majority of the votes cast on the matter. If our stockholders fail to ratify the selection of EisnerAmperGrant Thornton, LLP as the independent registered public accounting firm for 2018,2023, the Audit Committee will reconsider whether to retain that firm. Even if the selection is ratified, the Audit Committee may, in its discretion, direct the appointment of a different independent registered public accounting firm at any time during the year.

Board Recommendation

The Board unanimously recommends that the stockholders voteFOR ratification of the appointment of EisnerAmperGrant Thornton, LLP as our independent registered public accounting firm for 2018.2023.

CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

In March 2016, our Board of Directors adopted a written policy with regard to related person transactions, which sets forth our procedures and standards for the review, approval or ratification of any transaction required to be reported in our filings with the SEC or in which one of our executive officers or directors has a direct or indirect material financial interest, with limited exceptions. Our policy is that the Corporate Governance and Nominating Committee shall review the material facts of all related person transactions (as defined in the related person transaction approval policy) and either approve or disapprove of the entry into any related person transaction. In the event that obtaining the advance approval of the Corporate Governance and Nominating Committee is not feasible, the Corporate Governance and Nominating Committee shallwill consider the related person transaction and, if the Corporate Governance and Nominating Committee determines it to be appropriate, may ratify the related person transaction. In determining whether to approve or ratify a related person transaction, the Corporate Governance and Nominating Committee will take into account, among other factors it deems appropriate, whether the related person transaction is on terms comparable to those available from an unaffiliated third party under the same or similar circumstances and the extent of the related person’s interest in the transaction.

Other than as described below, and compensation agreements and other arrangements which are described under the heading“Compensation Andand Other Information Concerning Directors Andand Officers” beginning on page 16, in 20172022 there was not, and there is not currently proposed, any transaction or series of similar transactions to which we were or will be a party in which the amount involved exceeded or will exceed $120,000 in which any director, executive officer, holder of five percent5% or more of any class of our capital stock or any member of their immediate families had or will have a direct or indirect material interest.

Amendments to Credit Agreement involving Waterfall Asset Management

On January 27, 2017, a wholly-ownedMarch 6, 2015, through FlexShopper 2, LLC, our wholly-owned indirect subsidiary of FlexShopper (the “Borrower”), we entered into a fifth amendment (the “Omnibus Amendment”credit agreement (as amended from time-to-time, the “Credit Agreement”) to that certain Credit Agreement with Wells Fargo Bank, National Association as paying agent, various lenders from time to time party thereto and WE 2014-1,2014-1, LLC, an affiliate of Waterfall Asset Management, LLC, as administrative agent and lender (the “Lender”(“Lender”). The LenderBorrower is an entity affiliated with Waterfall Asset Management, LLC a large shareholder of the Company with the rightpermitted to nominate one director to the Board pursuant to an Investor Rights Agreement. The Omnibus Amendment amendedborrow funds under the Credit Agreement based on FlexShopper’s cash on hand and the Amortized Order Value of its Eligible Leases (as such terms are defined in the Credit Agreement) less certain deductions described in the Credit Agreement. Under the terms of the Credit Agreement, subject to among other things, extendthe satisfaction of certain conditions, the Borrower may borrow up to $82,500,000 from the Lender until the Commitment Termination Date (asand must repay all borrowed amounts one year thereafter, on the date that is 12 months following the Commitment Termination Date (unless such amounts become due or payable on an earlier date pursuant to the terms of the Credit Agreement). On January 29, 2021, pursuant to an amendment to the Credit Agreement, the Commitment Termination Date was extended to April 1, 2024, the Lender was granted a security interest in certain leases as collateral under the Credit Agreement and the interest rate charged on amounts borrowed was set at LIBOR plus 11% per annum.

The Credit Agreement provides that FlexShopper may not incur additional indebtedness (other than expressly permitted indebtedness) without the permission of the Lender and also prohibits dividends on common stock. Additionally, the Credit Agreement includes covenants requiring FlexShopper to maintain a minimum amount of Equity Book Value, maintain a minimum amount of cash and liquidity and maintain a certain ratio of Consolidated Total Debt to Equity Book Value (each capitalized term, as defined in the Credit Agreement), require the Borrower to refinance the debt under the Credit Agreement upon. Upon a Permitted Change of Control (as defined in the Credit Agreement), FlexShopper may refinance the debt under the Credit Agreement, subject to the payment of an early termination fee.

In addition, the Lender and modifyits affiliates have a right of first refusal on certain permitted debtFlexShopper transactions involving leases or other financial products. The Credit Agreement includes customary events of default, including, among others, failures to make payment of principal and financial covenants.

On January 9, 2018,interest, breaches or defaults under the Borrowerterms of the Credit Agreement and related agreements entered into a letter agreement with the Lender, breaches of representations, warranties or certifications made by or on behalf of the Borrower in the Credit Agreement and related documents (including certain financial and expense covenants), deficiencies in the borrowing base, certain judgments against the Borrower and bankruptcy events.

Effective September 27, 2022, WE 2014-1, LLC assigned 100% of its Commitments and all Loans to extendPowerscourt Investments 32, LP, an affiliate of Waterfall Asset Management, LLC.

On October 21, 2022, pursuant to Amendment No. 16 to the Credit Agreement between FlexShopper 2, LLC, as borrower, and Powerscourt Investments 32, LP, as administrative agent and lender, the Commitment Termination Date from April 1, 2018Amount was increased to Augustbe up to $110,000,000. This amendment also replaced LIBOR references in the Credit Agreement with SOFR (Secured Overnight Financing Rate), as the basis for our interest payments under the Credit Agreement. No other changes were made to the Credit Agreement.

As of December 31, 2018.2022, $81.2 million in principal was outstanding under the Credit Agreement. During the year ended December 31, 2022, the largest aggregate amount of principal outstanding under the Credit Agreement was $81.2 million, and $5.7 million in principal and $10.3 million in interest were paid during such period, at an average interest rate of 12.8% per annum.

Commitment LetterLoans Payable to an Officer and Subordinated Promissory NoteDirector

On January 29, 2018, NRNS Note.    FlexShopper, LLC, a wholly-ownedour subsidiary, of FlexShopper,previously entered into a letter agreementagreements with Russ Heiser, our Chief Financial Officer,NRNS Capital Holdings LLC (“NRNS”), the manager of which is the Chairman of the Company’s Board of Directors, pursuant to which FlexShopper, LLC issued a subordinated promissory notenotes to Mr. Heiser. The letter agreement provides that Mr. Heiser shall make advances to FlexShopper, LLC underNRNS (the “NRNS Note”) in the promissory note in an aggregatetotal principal amount up to $1,000,000. Such amounts may be drawn until July 31, 2018 in one or more advances. As of March 5, 2018, FlexShopper, LLC had drawn $1,000,000 on such note. Payments$3,750,000. Payment of principal and accrued interest areunder the NRNS Note was due and payable by FlexShopper, LLC uponon June 30, days’ prior written notice from Mr. Heiser2021 and FlexShopper, LLC can prepay principal and interest at any time without penalty. AmountsAt December 31, 2022, amounts outstanding under the promissory noteNRNS Note bear interest at a rate equal to 3.00% per annum in excess of the non-default rate of interest from time to time in effect under the Credit Agreement.20.45%. Obligations under the promissory noteNRNS Note are subordinated to obligations under the Credit Agreement. The NRNS Note is subject to customary representations and warranties and events of default. If an event of default occurs and is continuing, FlexShopper, LLC may be required to repay all amounts outstanding under the NRNS Note. Obligations under the NRNS Note is secured by substantially all of FlexShopper, LLC’s assets, subject to rights of the lenders under the Credit Agreement. On March 22, 2021, FlexShopper, LLC executed an amendment to the NRNS Note such that the maturity date was extended to April 1, 2022. On February 2, 2022, FlexShopper, LLC executed another amendment to the NRNS Note. This last amendment extended the maturity date from April 1, 2022 to July 1, 2024 and increased the credit commitment from $3,750,000 to $11,000,000. No other changes were made to such NRNS Note.

29As of December 31, 2022, $10,941,629 of principal and accrued unpaid interest was outstanding under the NRNS Note. Interest paid for the NRNS Note was $1,541,493 for the year 2022.

122 Partners Note.    On January 25, 2019, FlexShopper, LLC entered into a subordinated debt financing letter agreement with 122 Partners, LLC, as lender, pursuant to which FlexShopper, LLC issued a subordinated promissory note to 122 Partners, LLC (the “122 Partners Note”) in the principal amount of $1,000,000. H. Russell Heiser, Jr., FlexShopper’s Chief Executive Officer and Chief Financial Officer, is a member of 122 Partners, LLC. Payment of the principal amount and accrued interest under the 122 Partners Note was due and payable by the borrower on April 30, 2020 and the borrower can prepay principal and interest at any time without penalty. At December 31, 2022, amounts outstanding under the 122 Partners Note bear interest at a rate of 20.45%. Obligations under the 122 Partners Note are subordinated to obligations under the Credit Agreement. The 122 Partners Note is subject to customary representations and warranties and events of default. If an event of default occurs and is continuing, the Borrower may be required to repay all amounts outstanding under the 122 Partners Note. Obligations under the 122 Partners Note are secured by substantially all of the Borrower’s assets, subject to the senior rights of the lenders under the Credit Agreement. On April 30, 2020, pursuant to an amendment to the subordinated debt financing letter agreement, the Borrower and 122 Partners, LLC agreed to extend the maturity date of the 122 Partners Note to April 30, 2021. On March 22, 2021, FlexShopper, LLC executed a second amendment to the 122 Partners Note such that the maturity date of the 122 Partners Note was extended to April 1, 2022. On March 31, 2022, FlexShopper, LLC executed a third amendment to the 122 Partners Note such that the maturity date of the 122 Partners Note was extended to April 1, 2023. On March 30, 2023, FlexShopper, LLC executed a fourth amendment to the 122 Partners Note such that the maturity date of the 122 Partners Note was extended from April 1, 2023 to October 1, 2023. No other changes were made to the 122 Partners Note.

As of December 31, 2022, $1,017,826 of principal and accrued and unpaid interest was outstanding under 122 Partners Note. Interest paid for the 122 Partner Note was $196,338 for the year 2022.

Director Independence

At least annually, the Nominating and Corporate Governance Committee reviews the independence of each non-employee director and makes recommendations to the Board and the Board affirmatively determines whether each director qualifies as independent. No director qualifies as “independent” unless the Board affirmatively determines that the director has no material relationship with the Company (either directly or as stockholder or officer of an organization that has a relationship with the Company). ln addition, in affirmatively determining the independence of any director who will serve on the Compensation Committee, the Board must consider all factors specifically relevant to determining whether a director has a relationship to the Company which is material to that director’s ability to be independent of management in connection with the duties of n Compensation Committee member. Each director must keep the Nominating and Corporate Governance Committee fully and promptly informed as to any development affecting a director’s independence,

Our shares of common stock are listed for trading on The Nasdaq Capital Market Under the rules of Nasdaq, “independent” directors must make up a majority of a listed company’s board of directors, In addition, applicable Nasdaq rules require that, subject to specified exceptions, each member of a listed company’s audit and compensation committees be independent within the meaning of the applicable Nasdaq rules. Audit committee members must also satisfy the independence criteria set forth in Rule 10A-3 under the Exchange Act.

The Board has determined that each of James D. Allen, Sean Hinze, Thomas O. Katz and T. Scott King is an independent director within the meaning of the director independence standards of The Nasdaq Stock Market. Mr. Dvorkin is not independent based on the shares beneficially owned by him, his businesses, and his direct family members. In making its independence determinations, the Board reviewed direct and indirect transactions and relationships between each director, or any member of his or her immediate family, and us or one of our subsidiaries or affiliates based on information provided by the director, our records and publicly available information. None of our directors directly or indirectly provides any professional or consulting services to us.

As a result. a majority of our directors are independent, as required under applicable Nasdaq rules. As required under applicable Nasdaq rules, we anticipate that our independent directors will meet in regularly scheduled executive sessions at which only independent directors are present.