Company: SWAGW
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109289
Chunk: 121

Company: Stran & Company, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 121
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 is based on historical
volatility from a representative sample of publicly traded companies. The expected term represents the period of time that the options
are expected to be outstanding. The risk-free interest rate is estimated using the rate of return on U.S. Treasury Notes with a life that
approximates the expected life of the option. Stock-based compensation is based on awards that are ultimately expected to vest.

Option awards are generally granted
with an exercise price equal to the fair value of the Company’s stock at the date of grant; those options generally vest based on
four years of continuous service and have 10-year contractual terms.

A summary of option activity under
the 2021 Plan as of and for the nine months ended September 30, 2025 is presented below:

    Options 
    Shares  
    Weighted  Average Exercise Price  
    Aggregate  Intrinsic Value 
  
    Outstanding at January 1, 2025 
     1,376,333  
    $4.03  
    $— 
  
    Granted 
     55,000  
     1.34  
     — 
  
    Forfeited or expired and other adjustments 
     (20,834) 
     3.63  
     — 
  
    Outstanding at September 30, 2025 
     1,410,499  
    $3.89  
    $40 
  
    Vested and exercisable at September 30, 2025 
     1,326,817  
    $3.99  
    $16 

The
weighted-average remaining contractual term for the options outstanding and exercisable is approximately 6.2 years and 6.2 years, respectively,
as of September 30, 2025.

Restricted Stock

Restricted stock consists of time-based
restricted stock units (“RSUs”) and performance-based restricted stock units (PSUs). RSUs granted under the 2021 Plan generally
vest based on continued services, and are settled upon vesting with shares of the Company’s common stock on a one-for-one basis.
PSUs granted under the 2021 Plan are issued and vest immediately as various performance goals and targets are achieved.

24

STRAN & COMPANY, INC.

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS

(in thousands, except share and per share amounts)

A summary of restricted stock activity
under the