Company: SYRA
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0001493152-25-009873
Chunk: 294

Company: Syra Health Corp
Filing Date: 2025-03-11
Form: 10-K
Item: Item 1A
Chunk 294
---
 $0.64 per share of Common Stock and related Warrants,
for aggregate gross proceeds of $2,050,000.00. The Company issued to Rodman or its designees warrants to purchase up to an aggregate
of 160,156 shares of Common Stock, at an exercise price of $0.80 per share and an expiration date of September 11, 2029. The Company
received net cash proceeds of $1,619,021 after offering expenses. The Series A Warrants expire 18 months from the date of the offering,
and the Series B Warrants expire on September 11, 2029.

During
the year ended December 31, 2024, two investors exercised 130,789 warrants to purchase Class A Common stock pursuant to which the Company
received cash proceeds of $850,129.

On
January 17, 2025, a total of 233,334 shares of Class B Common Stock previously held by the Company’s Executive Chairman and President,
Sandeep Allam, automatically converted into 2,333,340 shares of Class A common stock according to the terms of the Company’s Articles
of Incorporation.

Critical
Accounting Policies and Estimates

The
preparation of the financial statements included elsewhere in this annual report requires us to make estimates and assumptions that affect
the reported amounts of assets, liabilities, revenue, expenses, and related disclosures. We evaluate our estimates and assumptions on
an ongoing basis. Our estimates are based on historical experience and various other assumptions that we believe to be reasonable under
the circumstances. Our actual results could differ from these estimates.

The
critical accounting estimates, assumptions and judgments that we believe have the most significant impact on our financial statements
are described below.

Leases

We
account for our leases under ASC 842 - Leases. We determine if an arrangement is a lease at inception. Operating leases are included
in operating lease right-of-use (“ROU”) assets, current portion of obligations under operating leases, and obligations under
operating leases, non-current on our balance sheets.

Operating
lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over
the lease term at commencement date, adjusted by the deferred rent liabilities at the adoption date. As our lease does not provide an
implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present
value of future payments. The operating lease ROU asset also includes