NOTE 10 — Subsequent Events	12 Months Ended
Dec. 31, 2025
Subsequent Events [Abstract]
NOTE 10 — Subsequent Events	NOTE 10 — Subsequent Events Other than described below, the Company did not identify any subsequent events that would have required adjustment or disclosure in the audited financial statements. On January 20, 2026, the Company entered into the Eighth Business Financing Modification Agreement and Waiver of Default with the Bank. Under the terms of the agreement, the Bank waived the Company’s covenant defaults for Q3 and Q4 2025. The agreement also revised certain terms of the credit facilities, including: (i) modifying the covenant to require the Company to maintain a minimum cash balance of $1.0 million in accounts held with the Bank, measured as of the last day of each month; (ii) reducing the credit card limit to $0.2 million and the domestic credit line limit to $1.0 million; (iii) extending the maturity date of the facilities to July 31, 2026; and (iv) increasing the permitted amount of subordinated debt to an aggregate amount not to exceed $6.5 million. On February 27, 2026, the Board granted 232,045 stock options under the 2004 Equity Incentive Plan at an exercise price of $1.00 per share. These options were awarded to directors, employees, and a consultant to repay their voluntary compensation reductions in 2025. The options vest pro rata over four years, subject to the recipient’s continued service with the Company. SOCKET MOBILE, INC. NOTES TO FINANCIAL STATEMENTS On March 27, 2026, the Company completed a secured subordinated convertible note financing of $500,000. The notes have a three-year term and will mature on March 27, 2029. The interest rate on the notes is 10%, payable quarterly in cash. The holder of each note may require the Company to repay the principal amount of the note plus accrued interest at any time after March 27, 2027. The notes are secured by the assets of the Company and are subordinated to the Company’s debts with Western Alliance Bank, its senior lender. The principal amount of each note is convertible at any time, at the option of the holder, into shares of the Company’s common stock at a conversion price of $0.90 per share, the closing price of the common stock on the Nasdaq Capital Market on March 27, 2026, and the most recent closing price as of the closing of the financing.

NOTE 10 — Subsequent Events

12 Months Ended

Dec. 31, 2025

NOTE 10 — Subsequent Events

Other than described below, the Company did not identify any subsequent events that would have required adjustment or disclosure in the audited financial statements.

On January 20, 2026, the Company entered into the Eighth Business Financing Modification Agreement and Waiver of Default with the Bank. Under the terms of the agreement, the Bank waived the Company’s covenant defaults for Q3 and Q4 2025. The agreement also revised certain terms of the credit facilities, including: (i) modifying the covenant to require the Company to maintain a minimum cash balance of $1.0 million in accounts held with the Bank, measured as of the last day of each month; (ii) reducing the credit card limit to $0.2 million and the domestic credit line limit to $1.0 million; (iii) extending the maturity date of the facilities to July 31, 2026; and (iv) increasing the permitted amount of subordinated debt to an aggregate amount not to exceed $6.5 million.

On February 27, 2026, the Board granted 232,045 stock options under the 2004 Equity Incentive Plan at an exercise price of $1.00 per share. These options were awarded to directors, employees, and a consultant to repay their voluntary compensation reductions in 2025. The options vest pro rata over four years, subject to the recipient’s continued service with the Company.

SOCKET MOBILE, INC.

NOTES TO FINANCIAL STATEMENTS

On March 27, 2026, the Company completed a secured subordinated convertible note financing of $500,000. The notes have a three-year term and will mature on March 27, 2029. The interest rate on the notes is 10%, payable quarterly in cash. The holder of each note may require the Company to repay the principal amount of the note plus accrued interest at any time after March 27, 2027. The notes are secured by the assets of the Company and are subordinated to the Company’s debts with Western Alliance Bank, its senior lender. The principal amount of each note is convertible at any time, at the option of the holder, into shares of the Company’s common stock at a conversion price of $0.90 per share, the closing price of the common stock on the Nasdaq Capital Market on March 27, 2026, and the most recent closing price as of the closing of the financing.