6.     LEASE

The Company entered into an operating lease for office space which became effective in June 2020. The lease term is 10 years from the effective date and allows for two optional extensions of five years each. The two optional extensions are not recognized as part of the right-of-use asset or lease liability since it is not reasonably certain that the Company will extend this lease. As of December 31, 2025, the remaining lease term was 4.4 years and the discount rate used was 6%.

The Company entered into an operating lease for additional office space which became effective in September 2025. The lease term is 7.4 years from the effective date and allows for two optional extensions of five years each. The two optional extensions are not recognized as part of the right-of-use asset or lease liability since it is not reasonably certain that the Company will extend this lease. As of December 31, 2025, the remaining lease term was 7.1 years and the discount rate used was 8%.

Operating lease cost included in selling, general and administrative expenses was $1,001,503 and $758,068 for the years ended December 31, 2025 and 2024, respectively, which amounts include common area maintenance expenses of $177,869 and $135,095, respectively. Cash paid for operating lease was $612,006 and $571,968 for the years ended December 31, 2025 and 2024, respectively.

The following is the lease maturity analysis of our operating leases as of December 31, 2025:

Twelve months ending December 31,