Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 208

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 1A
Chunk 208
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 in which our products are manufactured
or into which they are imported may from time-to-time impose new quotas, duties, tariffs and requirements as to where raw materials must
be purchased to qualify for free or reduced duty. These countries also may create additional workplace regulations or other restrictions
on our imports or adversely modify existing restrictions. Adverse changes in these costs and restrictions could harm our business. We
cannot assure that future trade agreements or regulations will not provide our competitors an advantage over us or increase our costs,
either of which could have a material adverse effect on our business, results of operations or financial condition. Nor can we assure
that the changing geopolitical and U.S. political environments will not result in a trade agreement or regulation being altered which
adversely affects our company. The U.S. government may decide to impose or alter existing import quotas, duties, tariffs or other restrictions
on products or raw materials sourced from those countries, which include countries from which we import raw materials or in which we manufacture
our products. Any such quotas, duties, tariffs or restrictions could have a material adverse effect on our business, results of operations
or financial condition.

Shortages of supply of merchandise from
suppliers, interruptions in our manufacturing, and local conditions in the countries in which we source goods and materials could adversely
affect our results of operations. 

Along with
many companies that source goods and raw materials from abroad, we are currently experiencing continued supply disruptions and delays
due to a variety of reasons. These changes are partially driven by interruptions in global supply chains (including as a result of port
congestion, canal blockages and disruptions, and trucking shortages) and partially by a shift in customer buying habits to e-commerce,
which has the effect of increasing demand for shipping capacity from Asia, leading to capacity constraints. Both factors have increased
shipping times as well as the price of shipping, whether by sea, air, rail, or vehicle. Shipping delays combined with significant increases
in orders for our products have recently created, and are expected to continue to create, inventory pressure for us.

19

As a distributor, we buy merchandise both from
multiple supply sources and from a network of factories in which we have developed direct relationships around the globe over the past
30 years. However, an unexpected interruption in any of the sources or facilities may temporarily adversely affect our results of operations
until alternate sources or facilities can be secured. We rely on the supply of different types of raw materials as well as textiles, including
pl