Company: HCWB
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0000950170-25-046724
Chunk: 119

Company: HCW Biologics Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 8
Chunk 119
---
,098,806

        $
        18,281,931

122

17. Commitments and Contingencies Operating Leases The Company has operating leases for approximately 12,250 square feet of space located in Miramar, Florida.  On February 29, 2024, the lease on the Company's current location reached the end of its term and the Company entered a new one-year lease for the same location which commenced on March 1, 2024 and terminated on February 28, 2025.  On January 27, 2025, the Company entered a new one-year lease for the same location which commenced on March 1, 2025 and terminates on February 28, 2026.  As a lease of 12 months or less in duration and qualifies for a short-term lease exemption under ASC 842-20-25-2.  The Company elected to account for this lease on a straight-line basis over the lease term and will not recognize a ROU asset and a lease liability as a result.  The Company has no obligations under financing leases.  As of December 31, 2024, the remaining lease payments were as follows:   

        2025
         
        $
        293,844

        2026
         
        $
        49,349

        Total future minimum lease payments
         
        $
        343,193

       For the years ended December 31, 2023 and 2024, rent expense recognized by the Company was $169,700 and $196,000, respectively, of which $88,800 and $101,300, respectively, is included in Research and development in the statements of operations included in the audited financial statements. Contractual Commitments The Company has commitments with a third-party manufacturing organization to supply us with clinical grade materials.  As of December 31, 2024, we are under contract for obligations of $12,500 that we expect to pay during the year ending December 31, 2025.  As of December 31, 2024 the Company had commitments to fund $4.4 million for future construction costs related to the buildout of its new headquarters and manufacturing facility under the terms of a construction agreement with BE&K Building Group (“Construction Contract”) , which are not included in the balance sheets.  The Construction Contract was terminated as of December 31, 2024.  As of December