Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 2309

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 10
Chunk 2309
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 2024.

I.REWARD CARD PROGRAM LIABILITY:

The Company manages reward card programs
for customers. Under this program, 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 December 31,
2024 and 2023, the Company had deposits totaling $6,000 and $875, respectively.

J.NOTE PAYABLE - WILDMAN:

In connection with the asset acquisition
of Wildman Imprints on September 26, 2020, the Company had an amount due to the seller of $162 for the inventory purchased. This amount
accrues no interest, and is to be paid “as used” on a quarterly basis through the three years earn-out period as discussed
in Note I. During the year ended December 31, 2023, the seller forgave the outstanding note payable and the Company recognized a gain
on the extinguishment of debt of $162 for the outstanding principal balance which is recorded in general and administrative expense on
the statement of operations.

K.INSTALLMENT PAYMENT LIABILITY:

A reconciliation of the installment
payment liability is included below:

    Balance as of December 31, 2022 
    $681 
  
    Additions pursuant to acquisitions 
     951 
  
    Interest accretion 
     11 
  
    Payments made 
     (218)
  
    Balance as of December 31, 2023 
    $1,425 
  
    Interest accretion 
     125 
  
    Payments made 
     (760)
  
    Balance as of December 31, 2024 
    $790 

    Current portion of installment payment liabilities 
    $365 
  
    Long-term installment payment liabilities 
    $425 

F-23

STRAN & COMPANY, INC.

NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS

(in thousands, except share and per share amounts)

L.REVENUE:

Revenue disaggregated according to
the timing of transfer of goods or services (e.g., at a point in time) was as follows:

    Revenue generated per major product category 
    December 31, 2024  
    December 31, 2023 
  
    Promotional products - dropshipping 
    $34,531  
    $32,794 
  
    Promotional products – bulk dropshipping