Company: SWAGW
Filing Date: 2025-01-22
Form Type: 10-K/A
Source: 0001213900-25-005516
Chunk: 186

Company: Stran & Company, Inc.
Filing Date: 2025-01-22
Form: 10-K/A
Chunk 186
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-month period prior to the applicable T R Miller Closing Date anniversary with respect to certain customers of T R Miller or primarily resulting from the efforts of the T R Miller Stockholder or certain employees or independent contractors of T R Miller, to the extent that such Gross Profit amount exceeded $ 4,000, plus (ii) 25% of the annual Gross Profit during the immediately trailing 12-month period prior to the applicable T R Miller Closing Date anniversary with respect to certain customers primarily resulting from the past or future efforts of the Company that are assigned to and the primary responsibility of any employee or independent contractor of T R Miller as designated by the T R Miller Purchase Agreement, to the extent that such Gross Profit amount exceeded $ 4,000. The aggregate T R Miller Purchase Price was approximately $ 3,541and was subject to a working capital adjustment.

F-30 STRAN & COMPANY, INC.
NOTES TO THE RESTATED FINANCIAL STATEMENTS
(in thousands, except share and per share amounts)

The following table summarizes the estimated fair value of the total consideration required to be paid pursuant to the T R Miller Purchase Agreement as of the T R Miller Closing Date:

|                                       |     | As       
 Reported |       |     | Adjustment |        |   |     | As       
 Restated |       |
|:--------------------------------------|:----|:---------|------:|:----|:-----------|-------:|:--|:----|:---------|------:|
| Cash                                  |     | $        | 2,123 |     | $          | (1,123 | ) |     | $        | 1,000 |
| Cash adjustment for working capital   |     |          |     — |     |            |  1,123 |   |     |          | 1,123 |
| Fair value of earn-out payments       |     |          | 4,551 |     |            | (4,084 | ) |     |          |   467 |
| Present value of installment payments |     |          |     — |     |            |    951 |   |     |          |   951 |
| Total consideration                   |     | $        | 6,674 |     | $          | (3,133 | ) |     | $        | 3,541 |

The Company determined the estimated fair value of the earn-out payments based on a discounted cash flow method adjusted for the probability of T R Miller achieving certain milestones as set forth in