Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 1145

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 5
Chunk 1145
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 attainment of the applicable targets set by the board or the Compensation Committee in accordance
with the equity bonus terms described below. Due to the non-attainment of the applicable targets, this option became non-vesting and non-exercisable.
On January 1, 2024, the Company granted Mr. Audibert a second stock option for the purchase of 180,000 shares of common stock at an exercise
price of $1.48 per share, which vests and becomes exercisable upon certification of attainment of the applicable targets set by the board
or the Compensation Committee in accordance with the equity bonus terms described below.

On June
29, 2023, the rights to all equity awards that had been granted to JCA and rights to equity awards that may be granted to JCA under the
A&R Consulting Agreement were distributed or transferred to Mr. Audibert. The Company, Mr. Audibert and JCA agreed to make any future
awards under the A&R Consulting Agreement to Mr. Audibert directly.

Each fiscal
year during the term of the A&R Audibert Consulting Agreement, JCA will also be granted fully-vested common stock upon, and in an
amount based on, the board’s or the Compensation Committee’s certification of attainment of the applicable targets in accordance
with the equity bonus terms described below.

Two of the
equity bonuses will consist of the vesting of a percentage of the restricted stock granted each year under the A&R Audibert Consulting
Agreement based on the percentage of the annual sales target that is certified as attained, the percentage of the net profit target that
is certified as attained, or both. The restricted stock will vest based on the certification of attainment of the annual sales target
as follows: (a) vesting of 5% of the restricted stock if 95% of the annual sales target is certified as attained; (b) 20% of the restricted
stock if 100% of the annual sales target is certified as attained; (c) 30% of the restricted stock if 110% of the annual sales target
is certified as attained; or (d) 40% of the restricted stock if 120% of the annual sales target is certified as attained. The restricted
stock will also vest based on the certified attainment of the annual net profit target as follows: (a) vesting of 7.5% of the restricted
stock if 95% of the annual net profit