Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 337

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 337
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 new to our Company are required to have a “coach” and to
attend multi-day training sessions to learn the Company’s philosophy, technology, and business practices. Concurrently, the agent
works with his or her coach in obtaining listings, working with consumers, and closing transactions. All these activities are run through
our La Rosa Coaching, LLC, our subsidiary which teaches advanced techniques for team building, personal growth, and business development,
which we believe will enhance our revenue at a nominal increase in cost to us. In addition, unlike other residential real estate brokerages,
we encourage our sales agents to pursue commercial real estate transactions and require them to utilize the services of our commercial
real estate company, La Rosa CRE, LLC.

Our agent centric methodology,
our advanced technology, and ancillary services, such as property management, will enable us to organically grow our agent base with virtually
no incremental cost. In environments with increasing mortgage rates and declining sales transactions, we believe our model is more attractive
to real estate agents, who retain more of their commission proceeds compared to traditional brokerage models. In fact, we have organically
increased our agent count by just over 11 percent from December 31, 2022 to December 31, 2024.

In order to continue to provide
cutting edge technology and provide best-in-class coaching and education, we periodically review our pricing structure, including increasing
our agent annual fees and monthly fees, the fixed transaction fee, technology and accounting fees, and property management fees. We maintain
a competitive pricing structure within the industry while simultaneously providing the necessary tools, education and perpetual innovation.

42

To maximize the utility of
our technological infrastructure, we anticipate acquiring additional brokerage firms that will increase our agent count. We also expect
to acquire other complementary businesses, such as title and insurance agencies and a mortgage brokerage. We continue to evaluate opportunities
to drive our near-term and long-term growth.

On October 12, 2023, we
consummated our IPO. Following our IPO, during the fiscal year ended December 31, 2023, we acquired majority ownership of the
following franchisees of the Company: Nona Legacy Powered By La Rosa Realty, Inc. (formerly, La Rosa Realty Lake Nona Inc.), Horeb
Kissimmee Realty, LLC, La Rosa Realty Premier, LLC, La Rosa Realty Orlando, LLC, and 100% ownership of the following franchisees of
the Company: La Rosa CW Properties, LLC and