Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 2003

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 9B
Chunk 2003
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2024, Ian Wall became entitled to awards of options to purchase up to 100,000 shares
of common stock subject to performance conditions with respect to the fiscal year ended December 31, 2024. The aggregate grant date fair
value of these awards was computed based upon the probable outcome of such conditions consistent with the estimate of aggregate compensation
cost to be recognized over the service period determined as of the grant date under ASC Topic 718, excluding the effect of estimated forfeitures,
and based upon the assumptions described in Notes A.20 and A.21 to the Company’s financial statements beginning on page F-1 of this
Annual Report on Form 10-K. The maximum aggregate grant date fair value of these awards was $52,900 assuming that the highest level of
performance conditions will be achieved.

(3)Ian Wall was entitled to an automobile and cellular phone allowance not to exceed $750 per month.

59

Executive Officer Employment and Consulting Agreements

Employment Agreement with Andrew Shape

Under our employment agreement with our Chief
Executive Officer and President, Andrew Shape, dated July 13, 2021 and effective as of November 8, 2021 (the “Shape Employment Agreement”),
Mr. Shape will receive an annual salary of $400,000 and will be eligible to receive an annual cash bonus as determined by the board of
directors. Pursuant to the Shape Employment Agreement, on November 12, 2021, we awarded Mr. Shape a stock option for the purchase of 323,810
shares of the Company’s common stock at an exercise price of $4.15 per share. The stock option will vest over a four-year period
with 25% of the option vesting on the first anniversary of the date of grant and the balance of the option (75%) vesting monthly over
the following three years after the first anniversary of the date of grant at a rate of 1/36 per month.

The Shape Employment Agreement provides that Mr.
Shape was entitled to the payment of $10,000 per month as repayment of sales commissions that had been earned in previous years totaling
approximately $140,927, subject to certain terms and conditions. During 2022, Mr. Shape was entitled to $120,000 in total payments toward
prior-year commissions in addition to accrued interest of $1,918, and was paid $90,000 towards these commissions. During 2023, Mr. Shape
became entitled to an additional $20,927