Company: SWAGW
Filing Date: 2025-02-11
Form Type: 10-Q
Source: 0001213900-25-011872
Chunk: 266

Company: Stran & Company, Inc.
Filing Date: 2025-02-11
Form: 10-Q
Item: Part II, Item 8
Chunk 266
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 to the Collateral, including, any direction from Salem Five Cents
to dispose of all or any portion of the Collateral at any time, without any further consent or instruction from Company.

As of March 31, 2024, we had not drawn any funds
from the Revolving Line of Credit.

See “—Recent Developments –
Termination of Revolving Line of Credit”.

Contractual Obligations

Property Leases

The following is a schedule by years of future
minimum lease payments (in thousands):

    Remainder of 2024 
    $444 
  
    2025 
     388 
  
    2026 
     189 
  
    2027 
     193 
  
    2028 
     67 
  
    Total future non-cancelable minimum lease payments 
    $1,281 

Lease costs for the three months ended March
31, 2024 and 2023 totaled approximately $0.2 million and $0.1 million, respectively. We anticipate no deficiencies in our ability to
make these payments.

Other Cash Obligations

The Company manages reward card programs for
clients. Under these programs, the Company receives cash and simultaneously records a liability for the total amount received. These
accounts are adjusted on a periodic basis as reward cards are funded or reduced at the direction of the customers. As of March 31, 2024
and December 31, 2023, the Company had net deposits totaling approximately $2.9 million and $0.0 million, respectively.

Our other principal cash payment obligations
have consisted principally of obligations under the Revolving Line of Credit. As stated above, as of March 31, 2024 and December 31,
2023, we had not drawn any funds from the Revolving Line of Credit under the Loan Documents.

36

Critical Accounting Estimates

We prepare our financial statements in accordance
with U.S. GAAP. The preparation of financial statements requires us to make estimates and assumptions that affect the reported amounts
of assets, liabilities, revenue, costs and expenses, and related disclosures. We evaluate our estimates and assumptions on an ongoing
basis. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances.
Actual results could differ significantly from the estimates made by our management. To the extent that there are differences between
our estimates and actual results, our future financial statements presentation, financial condition, results of operations,