Company: SYRA
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0001493152-25-009873
Chunk: 649

Company: Syra Health Corp
Filing Date: 2025-03-11
Form: 10-K
Item: Item 5
Chunk 649
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2024, the Company granted options to purchase an aggregate 42,000
shares of the Company’s Class A common stock to employees at an exercise price ranging from $1.28
to $1.88
per share for terms of 10
years and 5
years under the 2022 Plan. These
options will vest 25% on each anniversary, and 25% quarterly, until fully vested. The options had no
intrinsic value. The aggregate estimated value using the Black-Scholes Pricing Model, based on an expected terms of 6.25
and 3.54
years, a weighted average volatility rate ranging from 109%
to 126%,
a weighted average risk-free interest rate ranging from 3.82%
to
4.63%, and a weighted average call option value ranging from $0.331
to $1.450,
was $79,383.
The expected term was estimated using the simplified method allowed under SEC Staff Accounting Bulletin 107 (“SAB 107”).
During the years ended December 31, 2024 and 2023, the Company recognized expense of $59,803
and $21,041, respectively, related to common stock options. As of December 31, 2024, a total of $179,549
of unamortized expenses are expected to be expensed over the vesting period.

The
Company also granted options to purchase an aggregate of 73,349 shares of the Company’s Class A common stock to directors under
the 2022 Plan to settle an aggregate of $47,500 of accrued director fees. The options have an exercise price of $0.3683, a term of 10
years, with 25% of the options vesting immediately and the remaining over 12 months from the grant date. The aggregate estimated value
using the Black-Scholes Pricing Model, based on an expected term of 6.25 years, an estimated volatility of 124%, a risk-free interest
rate of 4.32%, and a call option value of $0.33, was $24,267. The expected term was estimated using the simplified method allowed under
SAB 107. The difference between the accrued expense and the value of the options was recognized in selling, general and administrative
expenses.

    F-18

The
following is a summary of activity of outstanding stock options:

 Summary of Activity of Outstanding Stock Options

    Weighted