MainStreet Bancshares, Inc. 8-K

What Happened

• MainStreet Bancshares, Inc. announced in an 8‑K on Dec 23, 2025 that Richard A. Vari will become Executive Vice President and Chief Financial Officer of the Company and MainStreet Bank, effective January 1, 2026.
• Mr. Vari, 38, served as the Bank’s CFO from July 2025 to December 2025 and was the Company and Bank’s Chief Accounting Officer and SVP from September 2019 to July 2025. The company entered into a new employment agreement with Mr. Vari dated December 18, 2025.

Key Details

• Employment term: Commences Dec 31, 2025 and runs through Dec 31, 2028 (unless earlier terminated or extended).
• Base salary: $360,000 per year, effective Jan 1, 2026. Mr. Vari remains eligible for bonus and equity awards as determined by the Compensation Committee and Board.
• Benefits & covenants: Participation in health/disability plans and group term life insurance; standard non‑compete and non‑solicit covenants for the employment term plus 12 months after; perpetual confidentiality covenant.
• Severance: If terminated within one year after a change of control without cause (or for good reason by Mr. Vari), he would receive a severance equal to 299% of his five‑year average taxable compensation. If terminated without cause (or for good reason) absent a change of control, he would receive the greater of one year’s base salary or remaining contract salary plus the average of annual bonuses for the prior three years.

Why It Matters

• This is a formal appointment of the company’s top finance executive with a multi‑year contract and specified pay and severance terms, which affects executive leadership stability and future financial oversight.
• The base salary and potential severance obligations are concrete items investors should note when assessing executive compensation expense and potential post‑termination liabilities.
• Mr. Vari’s long tenure in the company’s accounting and finance roles (since 2019) suggests continuity in financial management heading into 2026.