Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 191

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 1
Chunk 191
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er’s Agreement”). Under the Buyer’s Agreement, Engage
& Excel agreed to provide certain merger and acquisition, management and recruitment consulting services in connection with the Company’s
acquisition of the Wildman Imprints assets. The Company agreed to pay Engage & Excel a fee of $20 upon completion of a purchase and
sale agreement and two annual fees of 1.5% of gross margin less costs attributable to the acquisition. The Company has paid Engage &
Excel approximately $26 as of December 31, 2024.

Separately from the Buyer’s Agreement,
in 2023, the Company paid Engage & Excel approximately $18 for recruiting fees and $20 for consulting fees relating to the T R Miller
assets acquisition. The Company also agreed to pay Engage & Excel 1.5% of the contribution margin of the T R Miller assets for two
years, paid annually. The Company’s board of directors has determined that Mr. Chippindale remains eligible under Nasdaq rules to serve
as an “independent director” of the Company and as a member and chairman of the Compensation Committee and a member of the
Nominating and Corporate Governance Committee. Due to Mr. Chippindale’s indirect compensation under the agreement, the board has
determined that he is currently not eligible to be a member of our Audit Committee.

U.ADVERTISING:

The Company follows the policy of charging
the costs of advertising to expense as incurred. For the years ended December 31, 2024 and 2023, advertising costs amounted to $511 and
$418, respectively.

V.DEFINED PROFIT SHARING PLAN:

On January 1, 2023, the Company adopted
the Stran 401(k) Savings Plan (the “Plan”), which qualifies under Section 401(k) of the Internal Revenue Code of 1986, as
amended. Any eligible employee is allowed to participate in the Plan after three months of service. The Company matches the first three
percent (3%) of a participant’s contributions, which matching amount vests based on years of service, as defined in the Plan document.
The Company made matching contributions of $278 and $238 during the years ended December 31, 2024 and 2023, respectively.

W.SUBSEQUENT EVENTS:

Operating Lease Agreement

On January 10, 2025, the Company entered
into a seven-year lease agreement for new office space in North Quincy, Massachusetts. The Company’s existing lease