Company: IPST
Filing Date: 2025-12-23
Form Type: 424B3
Source: 0001213900-25-125341
Chunk: 160

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-12-23
Form: 424B3
Chunk 160
---
 to complete our initial public offering. •Beginning in May 2023, certain senior level employees elected to defer a portion of their salary until such time as we completed a successful public offering of our common stock (which occurred on November25, 2024), when the employees would then be paid their respective deferral, plus RSUs or stock options (under the existing 2019 Plan and the new 2024 Plan discussed in Notes 2 and 9 of our consolidated financial statements for the years ended December31, 2024 and 2023). •The approximately $143,000 decrease in recruiting and retention expenses included recruiting expenses related to hiring of key personnel in 2024 and 2023. •The approximately $65,000 decrease in leases and rentals was primarily the result of our closed Capitol Hill tasting room lease terminating May 2023, and our Ballard tasting room lease terminating April 2024. •The approximately $138,000 decrease in depreciation expense was primarily the result of accelerating depreciation in 2023 to write off the remaining assets of our Ballard tasting room, which was closed in March 2023.

95

•The approximately $180,000 decrease in other general and administrative expenses included accumulative smaller changes in utilities, travel, insurance and other expenses. •The approximately $1,546,000 increase in professional fees expense included:

| Professional Fees                     
 2024                                  |     | Years Ended December 31, 
 (rounded to $000’s)      |      2023 |     |   |    Change |     |   |           |   |
|:--------------------------------------|:----|:-------------------------|----------:|:----|:--|----------:|:----|:--|----------:|:--|
| Accounting and Valuation Services     |     | $                        |   559,000 |     | $ | 1,318,000 |     | $ |  (759,000 | ) |
| Legal                                 |     |                          |   997,000 |     |   |   657,000 |     |   |   340,000 |   |
| Consulting                            |     |                          |   133,000 |     |   |   170,000 |     |   |   (37,000 | ) |
| Consulting – Share-Based Compensation |     |                          | 1,571,000 |     |   |         — |     |   | 1,571,000 |   |
|