In November 2021, the Company executed a noncancelable operating lease for approximately 9,091 square feet of office space in Hayward, California to serve as its headquarters. The lease will expire in October 2025 and there is no option to renew for an additional term. The Company is obligated to pay, on a pro-rata basis, real estate taxes and operating costs related to the premises.

Lease costs for the three and nine months ended September 30, 2023 were $50 thousand and $151 thousand, respectively, and for the three and nine months ended September 30, 2022 were $51 thousand and $151 thousand, respectively.

The Company’s weighted average remaining lease term and weighted average discount rate as of September 30, 2023 is shown below:


Remaining lease term (in years)	2.00
Discount rate	6.0	%

Cash paid for amounts included in the measurement of operating lease liabilities were $51 thousand and $50 thousand for the three months ended September 30, 2023 and 2022, respectively, which is included in operating activities in the statement of operations. Cash paid for amounts included in the measurement of operating lease liabilities were $154 thousand and $138 thousand for the nine months ended September 30, 2023 and 2022, respectively, which is included in operating activities in the statement of operations.

Future minimum maturities of lease liabilities recognized on the condensed balance sheets as of September 30, 2023 are as follows (in thousands):


Fiscal Year
Remainder of 2023	$	52
2024		210
2025		178
Total minimum lease payments		440
Less imputed interest		(25	)
Present value of lease payments	$	415

On November 25, 2022, the Company entered into a Fulfillment Services Agreement (the “ALOM Agreement”) with ALOM Technologies Corporation (“ALOM”). Pursuant to the ALOM Agreement, commencing on November 28, 2022, ALOM began providing, on a non-exclusive basis, certain assembly, procurement, storage, returns, and fulfillment services to our end customers and retailers within the United States. During the term of the ALOM Agreement, ALOM shall provide the services in accordance with purchase orders issued by us from time to time. The consideration payable by us to ALOM for services rendered under the ALOM Agreement will be calculated and invoiced based on fixed hourly rates and fixed unit pricing, as applicable, subject to certain exceptions; provided that, commencing April 1, 2023, we became subject to a $25 thousand minimum monthly purchase requirement. The ALOM Agreement has a three-year initial term, with automatic annual renewals, and may be terminated for convenience by either party upon sixty days written notice to the other party.

From time to time, the Company may become involved in litigation. Management is not currently aware of any litigation matters or other contingencies that could have a material adverse effect on the financial position, results of operations, or cash flows of the Company.