Company: SWAGW
Filing Date: 2025-01-22
Form Type: 10-K/A
Source: 0001213900-25-005516
Chunk: 189

Company: Stran & Company, Inc.
Filing Date: 2025-01-22
Form: 10-K/A
Chunk 189
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,000 |     | $ |       57,878 |

|                               |     |           | December 
      31, 
     2023 |   |     |           | December 
      31, 
     2022 |   |
|:------------------------------|:----|:----------|---------:|:--|:----|:----------|---------:|:--|
|                               |     | -Restated |          |   |     | -Restated |          |   |
| Balance at January 1,         |     | $         |      633 |   |     | $         |      722 |   |
| Revenue recognized            |     |           |     (633 | ) |     |           |     (722 | ) |
| Amounts collected or invoiced |     |           |    1,116 |   |     |           |      633 |   |
| Unearned revenue              |     | $         |    1,116 |   |     | $         |      633 |   |

| N. | COMMITMENTS AND CONTINGENCIES: |

Legal Proceedings

The Company may from time to time become involved in various legal actions incidental to our business. As of the date of this report, the Company is not involved in any legal proceedings that it believes could have a material adverse effect on its financial position or results of operations. However, the outcome of any current or future legal proceeding is inherently difficult to predict and any dispute resolved unfavorably could have a material adverse effect on the Company’s business, financial position, and operating results.

F-33 STRAN & COMPANY, INC.
NOTES TO THE RESTATED FINANCIAL STATEMENTS
(in thousands, except share and per share amounts)

Lease Agreements - Operating Leases

On May 31, 2020, the Company renewed a lease for a 10,500square foot office space in Quincy, MA. The lease renewed on June 1, 2020 and is for a term of 60 months from the renewal date. The lease included an escalation clause with annual increases of approximately 2.5% increase per year. The associated lease right-of-use asset and lease liability is $ 433as of December 31, 2023, based on the present value of payments and an incremental borrowing rate of 12%. As the Company’s lease did not provide an implicit rate, the Company estimated the incremental borrowing rate based on the credit quality of the Company and by