Leases |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2026 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| LEASES |
Ground Lease
The Company leases land under a ground lease agreement to support its data center facility. Lease payments are made in cash in accordance with the lease terms. The balance of the related ROU asset was $27,268 and $81,712 as of June 30, 2026 and December 31, 2025, respectively.
The ground lease includes renewal options exercisable at the Company’s election. Management is currently pursuing the acquisition of the underlying property and believes acquisition remains the most likely outcome. Accordingly, management has not concluded that exercise of the renewal options is reasonably certain and renewal periods have not been included in the lease term for purposes of measuring the operating lease liability under ASC 842.
Office Lease
In November 2022, Signing Day Sports signed a 6-month short-term lease for office space which expired on April 30, 2023. Rent for the first month was $6,742 and was $7,491 plus rental tax for each subsequent month through April 2023. Signing Day Sports amended and renewed this office space lease under a long-term operating lease which commenced on May 4, 2023 and ends on August 3, 2026. Monthly rent ranged from $7,359 to $8,042 per month plus tax. The lease contains escalating rental payments and one option to renew for up to three years. The exercise of the lease renewal option is at the Company’s sole discretion. The lease agreement does not include any material residual value guarantees or material restrictive covenants. This lease was assumed as part of the Business Combination. After the Business Combination the lease was paid off during the six months ended June 30, 2026 and as such, there was balance related to the ROU asset as of June 30, 2026.
As of June 30, 2026, the weighted-average remaining lease term for the remaining operating lease was 0.13 years and the weighted-average discount rate for operating leases was 1.37%.
During the three and six months ended June 30, 2026 the Company made cash payments towards both leases to reduce its operating lease liabilities of approximately $55,243 and $103,139, respectively. During the three and six months ended June 30, 2025 the Company made cash payments towards both leases to reduce its operating lease liabilities of approximately $26,715 and $54,996, respectively.
Future minimum non-cancelable lease commitments under this lease are as follows:
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