Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 743

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 2
Chunk 743
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 Innovative Genetics Packaging Agreement must have
a personal guaranty stating that Innovative Genetics’ principal will pay any invoices related to that statement of work regardless
of financial stability of Innovative Genetics. All products and services provided to Innovative Genetics and any services that Innovative
Genetics may provide to the Company in exchange for such products and services under the Innovative Genetics Packaging Agreement will
be based on a commercial relationship and any such services will include only non-advisory services. The Innovative Genetics Packaging
Agreement does not contemplate any accounting, consulting, legal, investment banking or financial advisory services. The Innovative Genetics
Packaging Agreement will terminate upon 90 days’ written notice to the other party.

Under Statement of Work No. 1 under the Innovative
Genetics Packaging Agreement, effective as of March 6, 2023 (the “Innovative Genetics SOW”), the Company will provide Innovative
Genetics with branded packaging products from various factories located in China, finance the cost to manufacture that packaging, and
import/transport those goods into one location in the United States where Innovative Genetics will then co-pack, sell, and distribute
the final product itself. The Company will only deliver the packaging to Innovative Genetics and will not touch or be involved in the
co-packing, distribution, or any other matter related to the final product, which will include cannabis. The Company will invoice Innovative
Genetics upon delivery of each shipment. In connection with the foregoing, the Company will purchase products from various factories,
pay them directly, and subsequently charge Innovative Genetics the prices following an outline set forth in the Innovative Genetics SOW.
The Innovative Genetics SOW will not require the Company to, and the Company will not, make any payments to Innovative Genetics in connection
with this SOW, including any extensions of credit involving any payments to Innovative Genetics. The total amount to be charged to Innovative
Genetics under the Innovative Genetics SOW will be $1,159,331, related shipping costs with a 15% markup, and duties, taxes, or tariffs
will be charged at cost. The Company will not be a participant in any transaction involving the packaging, sale or distribution of the
final product.

In connection with the Innovative Genetics SOW,
Mr. Tani executed a Guaranty, dated as of March 6, 2023, in favor of and for the benefit of the Company (the “Tani Guaranty”).
Under the Tani Guaranty, Mr. Tani guaranteed the payment of all obligations of