Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 39

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 1
Chunk 39
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 largely dependent on the skills,
experience and efforts of our senior management and other key personnel, including Andrew Shape, our Chief Executive Officer and President,
Andrew Stranberg, our Executive Chairman, David Browner, our Chief Financial Officer, Ian Wall, our Chief Information Officer, and John
Audibert, our Vice President of Growth and Strategic Initiatives. If, for any reason, one or more senior executives or key personnel were
not to remain active in our company, or if we were unable to attract and retain senior management or key personnel, our results of operations
could be adversely affected.

Failure to preserve positive labor relationships
with our employees could adversely affect our results of operations.

Our operations rely heavily on our employees,
and any labor shortage, disruption or stoppage caused by poor relations with our employees could reduce our operating margins and income.
While we believe that our employee relations are good, have no knowledge of any employees as subject to collective bargaining agreements,
and unions have not traditionally been active in the U.S. marketing industry, unionization of our workforce could increase our operating
costs or constrain our operating flexibility.

We are exposed to the risk of non-payment
by our customers on a significant amount of our sales.

We allow many of our customers to pay us within
30 days of service, also known as net 30 credit terms. For certain customers who are considered low credit risks, we have extended the
credit term to 90 days, though in such cases we may also request a personal guaranty of payment from the principal owner of the customer
business. Our extension of credit involves considerable judgment and is based on an evaluation of each customer’s financial condition
and payment history. We monitor our credit risk exposure by periodically obtaining credit reports and updated financials on our customers.
We generally see a heightened amount of bankruptcies by our customers during economic downturns and financial crises. While we maintain
an allowance for doubtful receivables for potential credit losses based upon our historical trends and other available information, in
times of economic turmoil, there is heightened risk that our historical indicators may prove to be inaccurate. The inability to collect
on sales to significant customers or a group of customers could have a material adverse effect on our results of operations.

There is a risk of dependence on one or
a group of customers.

During the fiscal year ended December 31, 2024,
our top ten customers accounted for 38.1% of revenues, and our top customer accounted for 8.4% of revenues.