KUSTOM ENTERTAINMENT, INC.
For the period ended Sep 22, 2026. Filed Sep 22, 2026.
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What shareholders are asked to vote on at a company's meeting. It is where to find what directors and top executives are paid, and who owns the most shares.
Sep 22, 2026 · Filed Sep 22, 2026
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.
SCHEDULE 14A
(RULE 14a-101)
Proxy Statement Pursuant to Section 14(a) of the Securities Exchange Act of 1934
**(Amendment No. **)
Filed by the Registrant ☒
Filed by a Party other than the Registrant ☐
Check the appropriate box:
| ☐ | Preliminary Proxy Statement |
|---|---|
| ☐ | Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2)) |
| ☒ | Definitive Proxy Statement |
| ☐ | Definitive Additional Materials |
| ☐ | Soliciting Material Pursuant to Rule 14a-12 |
Kustom Entertainment, 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):
| ☒ | No fee required |
|---|---|
| ☐ | Fee paid previously with preliminary materials. |
| ☐ | Fee computed on table in exhibit required by Item 25(b) per Exchange Act Rules 14a6(i)(1) and 0-11. |
Kustom Entertainment, Inc.
1475 N Winchester St
Olathe, Kansas 66061
Important Notice Regarding the Availability of Proxy Materials
for the Annual Meeting of Stockholders to Be Held on October 5, 2026
The Notice of Annual Meeting and the Proxy Statement
are available at:
https://kustoment.com/
KUSTOM ENTERTAINMENT, INC.
NOTICE OF ANNUAL MEETING OF STOCKHOLDERS
TO BE HELD ON OCTOBER 5, 2026
September 22, 2026
To our Stockholders:
NOTICE IS HEREBY GIVEN that an annual meeting of stockholders (the “Annual Meeting”) of Kustom Entertainment, Inc., a Nevada corporation (the “Company,” “we,” “us,” or “our”), will be held on October 5, 2026 at 1:00 p.m., Central Time at the Company’s offices at 1475 N Winchester St, Olathe, KS 66061, for the following purpose:
| 1. | To elect four (4) members to the Company’s Board of Directors, each to serve until the next annual meeting of the Company’s stockholders and until each of their respective successors are elected and qualified or until each of their earlier resignation or removal; |
| 2. | To ratify the appointment of Victor Mokuolu CPA PLLC as our independent registered public accounting firm; |
| 3. | To approve an amendment to the Company’s articles of incorporation, as amended (the “Articles of Incorporation”), to increase the number of authorized shares of the Company’s capital stock that may be issued from 23,333,333 shares to 1,200,000,000 shares, of which 1,000,000,000 shares shall be classified as common stock, par value $0.001 per share (the “Common Stock”), and 200,000,000 shares shall be classified as preferred stock, par value $0.001 per share; |
| 4. | To approve, for purposes of complying with The Nasdaq Stock Market LLC (“Nasdaq”) listing rule 5635(a), the potential issuance of 20% or more of the outstanding shares of the Common Stock, pursuant to the Unit Purchase Agreement, dated as of August 31, 2026, by and among the Company, TFL, LLC (“TFL”), certain sellers, and the sellers’ representative (the “Unit Purchase Agreement”), identified in the Unit Purchase Agreement (the “Acquisition”); |
| 5. | To approve, for the purposes of complying with Nasdaq listing rule 5635(b), the potential issuance of shares of the Common Stock in connection with the Acquisition, which would result in a “change of control” of the Company; |
| 6. | To approve, for the purposes of complying with Nasdaq listing rule 5635(d), the potential issuance of shares of the Common Stock in connection with the Acquisition; |
| 7. | To approve, for purposes of complying with Nasdaq listing rule 5635(b) and (d), a proposed offering (the “Proposed Offering”) of the issuance of shares of the Common Stock issuable in connection with payment of the cash portion of the purchase price for the Acquisition; |
| 8. | To approve a proposal to authorize the Board, in its sole and absolute discretion, and without further action of the stockholders, to file an amendment to the Articles of Incorporation, to effect one or more reverse stock splits of the issued and outstanding Common Stock, at a ratio to be determined by the Board, ranging from one-for-two (1:2) to one-for-one hundred (1:100) (the “Reverse Stock Splits”), with such Reverse Stock Split to be effected at such time and date, if at all, as determined by the Board in its sole discretion, but not later than twelve (12) months from the date the proposal is approved by the stockholders, when the authority granted in this proposal to implement the Reverse Stock Split would terminate; |
| 9. | To approve the 2026 Kustom Entertainment, Inc. Stock Option and Restricted Stock Plan; |
| 10. | To approve a non-binding advisory proposal to approve the compensation paid to the Company’s named executive officers; |
| 11. | To approve a non-binding advisory proposal on the frequency of the stockholder advisory vote on executive compensation; and |
| 12. | To consider and act upon such other business as may properly come before the Annual Meeting or any adjournment thereof. |
Each of Proposal No. 4, Proposal No. 5, Proposal No. 6, and Proposal No. 7 is conditioned upon shareholder approval of Proposal No. 3. The foregoing proposals are more fully described in the proxy statement that is attached and made a part of this notice of Annual Meeting (the “Proxy Statement”). Only stockholders of record of shares of common stock at the close of business on August 7, 2026 (the “Record Date”) will be entitled to notice of, and to vote at, the Annual Meeting or any adjournment thereof.
On September 18, 2026, the Board of Directors approved a reverse stock split of the Company’s issued and outstanding Common Stock at a ratio of one-for-ten (1-for-10) and a proportional reduction of the number of shares of Common Stock authorized, which is anticipated to become effective on or about October 1, 2026 and therefore has not yet become effective as of the date of this proxy statement. Unless otherwise indicated, all share and per share amounts appearing in this proxy statement are presented on a pre-split basis. If the reverse stock split is made effective, references in this proxy statement to authorized shares, outstanding shares, equity awards and per share amounts should be read as proportionately adjusted to give effect to the reverse stock split.
All stockholders who are record or beneficial owners of shares of Common Stock as of the Record Date are cordially invited to attend the Annual Meeting in person. Your vote is important regardless of the number of shares of Common Stock that you own. When you arrive at the Annual Meeting, you must present photo identification, such as a driver’s license. Beneficial owners of shares of Common Stock also must provide evidence of their holdings of such shares as of the Record Date, such as a recent brokerage account or bank statement.
YOUR VOTE IS IMPORTANT
Whether or not you expect to attend the Annual Meeting, it is important that your shares of Common Stock be represented and voted during the Annual Meeting. We urge you to promptly complete, sign, date and return the enclosed proxy card in the enclosed postage-paid envelope in order to ensure representation of your shares of Common Stock. It will help in our preparations for the Annual Meeting if you would check the box on the form of proxy if you plan on attending the Annual Meeting. You may also vote by proxy (i) via the Internet or (ii) by telephone using the instructions provided in the enclosed proxy card. Your proxy is revocable in accordance with the procedures set forth in the Proxy Statement. Please be advised that if you are not a record or beneficial owner of shares of Common Stock on the Record Date, you are not entitled to vote and any proxies received from persons who are not record or beneficial owners of shares of Common Stock on the Record Date will be disregarded.
Thank you for your ongoing support of, and continued interest in Kustom Entertainment.
Sincerely,
/s/ Stanton E. Ross
Stanton E. Ross
Chief Executive Officer and
Chairman of the Board
Table of Contents
| Page | |
|---|---|
| PROXY STATEMENT FOR 2026 ANNUAL MEETING OF STOCKHOLDERS | 1 |
| INFORMATION CONCERNING SOLICITATION AND VOTING | 1 |
| Stockholder List | 7 |
| Our Voting Recommendations | 8 |
| Voting Results | 8 |
| Deadline For Receipt of Rule 14a-8 Stockholder Proposals For 2026 Annual Meeting of Stockholders | 8 |
| Other Matters | 8 |
| SUMMARY TERM SHEET | 9 |
| RISK FACTORS | 10 |
| THE ACQUISITION | 15 |
| TFL FINANCIAL STATEMENTS | 32 |
| UNAUDITED PRO FORMA CONDENSED CONSOLIDATED COMBINED FINANCIAL INFORMATION | 32 |
| NOTES TO THE UNAUDITED PRO FORMA CONDENSED CONSOLIDATED COMBINED FINANCIAL INFORMATION | 37 |
| DESCRIPTION OF TFL’S BUSINESS | 40 |
| PROPOSAL ONE: ELECTION OF DIRECTORS | 41 |
| Nominees | 41 |
| Vote Required and Recommendation | 42 |
| Board of Directors and Committee Meetings | 42 |
| Committees of the Board of Directors | 42 |
| Board of Directors’ Role in the Oversight of Risk Management | 45 |
| Board Leadership Structure | 46 |
| Stockholder Communication with the Board of Directors | 46 |
| Policy for Director Recommendations and Nominations | 46 |
| Code of Ethics and Conduct | 47 |
| Director Compensation | 47 |
| INFORMATION ABOUT OUR EXECUTIVE OFFICERS | 49 |
| EXECUTIVE COMPENSATION AND RELATED INFORMATION | 49 |
| Summary Compensation Table | 49 |
| All Other Compensation Table | 50 |
| Grants of Plan-Based Awards | 51 |
| Employment Contracts, Termination of Employment and Change-in-Control Arrangements | 51 |
| Retention Agreements | 51 |
| Retention Agreement Compensation | 52 |
| Outstanding Equity Awards at Fiscal Year-End | 53 |
| Option Exercises and Restricted Stock Vested | 54 |
| Stock Option and Restricted Stock Grants | 54 |
| INFORMATION REGARDING PLANS AND OTHER ARRANGEMENTS NOT SUBJECT TO SECURITY HOLDER ACTION | 55 |
| Securities Authorized for Issuance under Equity Compensation Plans | 55 |
| Equity Compensation Plan Information | 56 |
| Pay Versus Performance | 56 |
| PEO Equity Award Adjustment Breakout | 57 |
| Non-PEO Equity Award Adjustment Breakout | 57 |
| SECTION 16(A) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE | 58 |
| TRANSACTIONS WITH RELATED PERSONS | 58 |
| SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT | 59 |
| PROPOSAL TWO: TO RATIFY THE APPOINTMENT OF VICTOR MOKUOLU CPA PLLC AS OUR INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM | 61 |
| Audit and Related Fees | 61 |
| Vote Required and Recommendation | 61 |
| REPORT OF THE AUDIT COMMITTEE | 62 |
| Review and Discussion with Management | 62 |
| Review and Discussion with Independent Registered Public Accounting Firm Conclusion | 62 |
| PROPOSAL THREE: APPROVAL OF THE ADDITIONAL STOCK AUTHORIZATION PROPOSAL | 63 |
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| Increase in Authorized Shares of Common Stock | 63 |
|---|---|
| Effects and Purpose of the Increase in Authorized Preferred Stock | 63 |
| No Appraisal Rights | 64 |
| Effectiveness of Additional Stock Authorization | 64 |
| Potential Anti-Takeover Effect of the Proposed Additional Stock Authorization | 64 |
| Vote Required and Recommendation | 64 |
| PROPOSAL FOUR: APPROVAL OF THE ISSUANCE OF COMMON STOCK PURSUANT TO THE UNIT PURCHASE AGREEMENT, IN COMPLIANCE WITH NASDAQ RULE 5635(a) | 65 |
| Summary | 65 |
| Background | 65 |
| Effect of Issuance of Additional Shares | 65 |
| Nasdaq Marketplace Requirements and the Necessity of Stockholder Approval | 66 |
| Additional Information | 66 |
| Vote Required and Recommendation | 66 |
| PROPOSAL FIVE: APPROVAL OF THE ISSUANCE OF COMMON STOCK IN CONNECTION WITH THE ACQUISITION, IN COMPLIANCE WITH NASDAQ RULE 5635(b) | 67 |
| Summary | 67 |
| Background | 67 |
| Effect of Issuance of Additional Shares | 67 |
| Nasdaq Marketplace Requirements and the Necessity of Stockholder Approval | 67 |
| Vote Required and Recommendation | 67 |
| PROPOSAL SIX: APPROVAL OF THE ISSUANCE OF COMMON STOCK IN CONNECTION WITH THE ACQUISITION, IN COMPLIANCE WITH NASDAQ RULE 5635(d) | 68 |
| Summary | 68 |
| Background | 68 |
| Effect of Issuance of Additional Shares | 68 |
| Nasdaq Marketplace Requirements and the Necessity of Stockholder Approval | 68 |
| Vote Required and Recommendation | 68 |
| PROPOSAL SEVEN: APPROVAL OF THE ISSUANCE OF COMMON STOCK IN A PROPOSED OFFFERING IN CONNECTION WITH THE ACQUISITION OF TFL, LLC, IN COMPLIANCE WITH NASDAQ RULE 5635(a) and (d) | 69 |
| Summary | 69 |
| Background | 69 |
| Description of the Anticipated Offering | 69 |
| Vote Required and Recommendation | 69 |
| PROPOSAL EIGHT: APPROVAL OF THE REVERSE STOCK SPLIT PROPOSAL | 70 |
| Summary | 70 |
| Board Discretion to Implement the Reverse Stock Split | 71 |
| Purpose of Reverse Stock Split | 71 |
| Risks of Reverse Stock Split | 72 |
| Principal Effects of Reverse Stock Split | 73 |
| Fractional Shares | 75 |
| No Appraisal Rights | 75 |
| Certain United States Federal Income Tax Consequences | 75 |
| Accounting Consequences | 76 |
| Exchange of Stock Certificates | 76 |
| Book-Entry | 76 |
| Interests of Directors and Executive Officers | 77 |
| Reservation of Right to Abandon a Reverse Stock Split | 77 |
| Vote Required and Recommendation | 77 |
| PROPOSAL NINE: TO APPROVE THE 2026 KUSTOM ENTERTAINMENT, INC. STOCK OPTION AND RESTRICTED STOCK PLAN | 78 |
| Summary of the 2026 Stock Option and Restricted Stock Plan | 78 |
| Vote Required and Recommendation | 81 |
| PROPOSAL TEN: A NON-BINDING ADVISORY PROPOSAL TO APPROVE THE COMPENSATION PAID TO THE COMPANY’S NAMED EXECUTIVE OFFICERS | 82 |
| Summary | 82 |
| Vote Required and Recommendation | 82 |
| PROPOSAL ELEVEN: A NON-BINDING ADVISORY PROPOSAL ON THE FREQUENCY OF THE STOCKHOLDER ADVISORY VOTE ON EXECUTIVE COMPENSATION | 83 |
| Summary | 83 |
| Vote Required and Recommendation | 83 |
| ADVANCE NOTICE PROVISION FOR STOCKHOLDER PROPOSALS AND NOMINATIONS | 84 |
| Incorporation of Certain Documents by Reference | 84 |
| Appendix A – Unit Purchase Agreement | A-1 |
| Appendix B – Fairness Opinion | B-1 |
| Appendix C – Form of Amendment to Articles of Incorporation | C-1 |
| Appendix D -The 2026 Kustom Entertainment, Inc. Stock Option and Restricted Stock Plan | D-1 |
| Appendix E – TFL, LLC Financial Statements and Independent Auditor’s Report Years Ended December 31, 2025 and 2024 | E-1 |
| Appendix F – TFL, LLC Financial Statements and Independent Accountant’s Review Report For the Six Months Ended June 30, 2026 and 2025 | F-1 |
| Proxy Card | |
Cautionary Note Regarding Forward Looking Statements
Certain statements in this Proxy Statement may be considered to be “forward-looking statements” as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995. In particular, these forward-looking statements include, among others, statements about, opportunities for and growth of our business, our plans regarding product development and enhancements, and our expectations regarding profitability. The words “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “expect,” and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. These forward-looking statements speak only as of the date of this Proxy Statement. We assume no obligation to, and do not necessarily intend to, update these forward-looking statements.
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The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.