Company: SWAGW
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044222
Chunk: 266

Company: Stran & Company, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part II, Item 8
Chunk 266
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2024 
  
    Balance of allowance for credit losses, beginning of period 
    $(791) 
    $(317)
  
    Current period change for write-offs 
     78  
     107 
  
    Current period change for expected credit losses 
     (397) 
     (215)
  
    Balance of allowance for credit losses, end of period 
    $(1,110) 
    $(425)

22

STRAN & COMPANY, INC.

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS

(in thousands, except share and per share amounts)

Q.RELATED PARTY TRANSACTIONS:

Amount due from related party

  Name of Related Party  Relationship  Nature  March 31,  2025   December 31,  2024   Innovative Genetics, Inc.  Alejandro Tani, member of board of directors, the chairman of the Company’s Nominating and Corporate Governance Committee, and a member of the Compensation Committee and the Company’s Audit Committee, is the Chief Executive Officer, Chief Information Officer, and majority owner of Innovative Genetics.  Limited, non-exclusive, revocable license to use Innovative Genetics’ logos, trade name and trademarks on apparel and promotional products as branded products for sale to Innovative Genetics and Innovative Genetics-authorized persons.  $402   $573  

Amounts due and paid to related
party

Transactions with Engage & Excel
Enterprises Inc.

Alan Chippindale, a member of the Company’s
board of directors, the chairman of the Compensation Committee, and a member of the Nominating and Corporate Governance Committee, is
the President of Engage & Excel Enterprises Inc. (“Engage & Excel”). The Company and Engage & Excel are parties
to a Buyer’s Agreement, dated June 25, 2020 (the “Buyer’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 $5 as of March 31, 2025 and December 31, 2024.

R.ADVERTISING:

The Company follows the policy of