Company: BCG
Filing Date: 2025-04-03
Form Type: S-1/A
Source: 0001410578-25-000637
Chunk: 52

Company: Binah Capital Group, Inc.
Filing Date: 2025-04-03
Form: S-1/A
Chunk 52
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 financial advisors to its clients, primarily alternative investments, as well as sponsorship income. The decrease in interest and other income for the year ended December 31, 2024, compared to 2023 is primarily related to certain non-recurring income items earned during 2023. Commissions and Fees Commissions and fees primarily consist of commissions paid to the financial advisors, technology costs associated with the platform for which the financial advisors operate their business, insurance costs and regulatory costs. Certain of the technology, insurance and regulatory costs are passed through to the financial advisors and any excess costs are included as fees within commissions and fees. The commissions and fees paid to the financial advisors are based on the advisory and commission revenue earned on each client’s account. The payout amount is production based, which is the gross revenue produced by the financial advisor, and varies based on the level of such production ranging from 50% to 95% of the revenue generated. The production levels begin at gross revenue of $15,000 up to $4,000,000 and up, and the payout rate starts at 50% and increases to a top payout rate of 94% for annual production of $4,000,000 and up. The following table sets forth our payout rate, which is a statistical or operating measure and monitored to review that such costs of revenue remain consistent on a period over period basis:

| ​            | ​ |                                ​ | ​ |     ​ | ​ |      ​ | ​ |
| ​            | ​ | For the years ended December 31, |   |       | ​ |      ​ |   |
| ​            |   |                             2024 |   |  2023 |   | Change |   |
| Payout range |   |                            75.44 | % | 77.96 | % |  -2.52 | % |

For the year ended December 31, 2024, the payout rate decreased as compared to 2023 as a result of the reduction in non-recurring commission products that carried a payout at 90%. Employee compensation and benefits Employee compensation and benefits includes salaries, wages, benefits and related taxes for our employees. Employee compensation and benefits for the year ended December 31, 2024 increased by $2.2 million which is directly related to the additional personnel costs attributed to the Company now operating as a public company.

30

Rent and occupancy

Rent and occupancy remained relative consistent for the year ended December 31, 2024 compared to 202