Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 2553

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 8
Chunk 2553
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-party service providers to supply certain services to
the Company. The Company issued 594,000 shares of the Company’s Common Stock under the Company’s 2022 Equity Incentive Plan
between October 26, 2023 and November 2, 2023, with a weighted-average value of $1.20 per share.

Stock Option Awards 

Stock options are awards issued to employees and
directors that entitle the holder to purchase Common Stock of the Company at a fixed price. Options issued prior to the Company’s
IPO on October 12, 2023 have a strike price equal to the IPO price of $5.00 per share.

On November 1, 2023, the Company issued stock
options to its non-management Board of Directors in lieu of paying the directors their cash board fees they had accrued since the initiation
of their term through September 30, 2023, which totaled $375,052. The options cover 412,125 shares of the Company’s Common Stock
at a strike price of $1.28, the closing price of the Company’s Common Stock on the previous business day from the grant date. The
options immediately vested upon grant and have a ten-year term. The Company extinguished the accrued liability recorded at September 30,
2023.

On December 7, 2023, the Company issued a non-qualified
stock option to the Company’s CEO in accordance with the CEO’s employment agreement. The option covers 900,000 shares of the
Company’s Common Stock at a strike price of $2.09, the closing price of the Company’s Common Stock on the previous business
day from the grant date. The option immediately vested upon grant and has a ten-year term.

The Company recorded stock-based compensation related
to options of $3,267,088 and $1,816,188 for the year ended December 31, 2024 and 2023, respectively. The Company did not realize any tax
benefits associated with share-based compensation for the years ended December 31, 2024 and 2023, as the Company recorded a valuation
allowance on all deferred tax assets.

At December 31, 2024, options outstanding that have vested and are
expected to vest are as follows:

             Weighted                  Average              Weighted   Remaining          Number   Average   Contractual