SIEBERT FINANCIAL CORP Leases Disclosure
11. Leases
As of December 31, 2025, all of the Company’s leases are classified as operating and primarily consist of office space leases expiring in 2025 through 2029. The Company elected not to include short-term leases (i.e., leases with initial terms of less than twelve months), or equipment leases (deemed immaterial) in the consolidated statements of financial condition. The Company leases some miscellaneous office equipment, but they are immaterial and therefore the Company records the costs associated with this office equipment in the consolidated statements of operations rather than capitalizing them as lease right-of-use assets. The balance of the lease right-of-use assets and lease liabilities are displayed in the consolidated statements of financial condition and the below tables display further detail on the Company’s leases.
| Lease Term and Discount Rate | As of December 31, 2025 | As of December 31, 2024 | ||||||
| Weighted average remaining lease term – operating leases (in years) | 2.5 | 3.3 | ||||||
| Weighted average discount rate – operating leases | 7.8 | % | 7.3 | % | ||||
| Year Ended December 31, | ||||||||
| 2025 | 2024 | |||||||
| Operating lease cost | $ | 1,132,000 | $ | 1,019,000 | ||||
| Short-term lease cost | 376,000 | 369,000 | ||||||
| Variable lease cost | 347,000 | 243,000 | ||||||
| Total Rent and occupancy | $ | 1,855,000 | $ | 1,631,000 | ||||
| Cash paid for amounts included in the measurement of lease liabilities | ||||||||
| Operating cash flows from operating leases | $ | 1,166,000 | $ | 985,000 | ||||
| Lease right-of-use assets obtained in exchange for new lease liabilities | ||||||||
| Operating leases | $ | 549,000 | $ | 493,000 | ||||
Lease Commitments
Future annual minimum payments for operating leases with initial terms of greater than one year as of December 31, 2025 were as follows:
| Year | Amount | |||
| 2026 | 1,233,000 | |||
| 2027 | 885,000 | |||
| 2028 | 568,000 | |||
| 2029 | 58,000 | |||
| Remaining balance of lease payments | 2,744,000 | |||
| Less: difference between undiscounted cash flows and discounted cash flows | 248,000 | |||
| Lease liabilities | $ | 2,496,000 | ||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 30, 2026 | Showing above |
| 2024 | Mar 31, 2025 | |
| 2023 | May 10, 2024 | |
| 2022 | Mar 29, 2023 | |
| 2021 | Mar 30, 2022 | |
| 2020 | Mar 10, 2021 | |
| 2019 | Mar 27, 2020 | |
| 2018 | Mar 29, 2019 | |
| 2017 | Apr 13, 2018 | |
| 2016 | Apr 6, 2017 | |
| 2015 | Mar 30, 2016 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.