Company: TOMZ
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001654954-25-004233
Chunk: 114

Company: TOMI Environmental Solutions, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 1
Chunk 114
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3,196,396 Less: Accumulated Amortization   2,930,321   2,904,013 Patents, net $419,710  $292,383  Indefinite life intangible assets consist of the following: Trademarks  830,864   830,863  Total Intangible Assets, net $1,250,574  $1,123,246  Approximate future amortization is as follows (rounded to nearest thousandth): Year Ended: Amount     December 31, 2025 $20,000 December 31, 2026  20,000 December 31, 2027  20,000 December 31, 2028  20,000 December 31, 2029  20,000 Thereafter  320,000 Total $420,000 

 F-18Table of Contents

NOTE 7. LEASES In April 2018, we entered into a 10-year lease agreement for a new 9,000-square-foot facility that contains office, warehouse, lab and research and development space in Frederick, Maryland. The lease agreement commenced in December 2018 when the property was ready for occupancy. The agreement provided for annual rent of $143,460, an escalation clause that increases the rent 3% year over year, a landlord tenant improvement allowance of $405,000 and additional landlord work as discussed in the lease agreement. We took occupancy of the property on December 17, 2018 and the lease was amended in March 2019 to provide for a 4-month rent holiday and a commencement date of April 1, 2019. A 7% discount rate was determined using our incremental borrowing rate based on the information available at adoption date in determining the present value of lease payments. Lease expense for operating lease payments is recognized on a straight-line basis over the lease term. The balances for our operating lease where we are the lessee are presented as follows within our consolidated balance sheet: Operating leases: December 31,2024  December 31,2023  Assets:      Operating lease right-of-use asset $399,254  $467,935 Liabilities:        Current Portion of Long-Term Operating Lease $129,132  $115,658 Long-Term Operating