Financial Performance - The company incurred a net loss of $1,718,366 for the three-month period ended March 31, 2023, an increase of 83% compared to a net loss of $937,954 for the same period in 2022 [100]. - Total revenue for the three-month period ended March 31, 2023, was $0, representing a 100% decrease from $47,482 in the same period of 2022 [93]. - The accumulated deficit as of March 31, 2023, was $20,227,050 [103]. Expenses - Research and development expenses increased by $442,050, or 132%, from $334,670 in Q1 2022 to $776,720 in Q1 2023 [96]. - General and administrative expenses rose by $396,235, or 68%, from $584,872 in Q1 2022 to $981,107 in Q1 2023 [97]. Cash Flow - The company had negative cash flow from operating activities of $1,122,036 for the three-month period ended March 31, 2023, compared to $1,030,424 for the same period in 2022 [108]. - Cash and cash equivalents increased by $2.9 million to approximately $5.0 million as of March 31, 2023, due to the maturity of marketable debt securities and a common stock issuance [102]. - The company anticipates continued negative cash flows from operating activities due to ongoing research and development efforts [109]. Stock Issuance - The company issued 2,000,000 shares of common stock at $0.90 per share in February 2023, generating gross proceeds of $1.8 million [103]. Future Plans - The company plans to budget approximately $1.5 million in 2023 for the development of its tSMS platform across multiple market segments [111]. Accounting Policies - The Company adopted Accounting Standards Update No. 2016-13 on January 1, 2023, which had no material impact on its condensed consolidated financial statements [113]. - There have been no significant changes to the Company's critical accounting policies and estimates during the three-month period ended March 31, 2023, compared to the 2022 Annual Report [116]. - The Company has elected to take advantage of the exemptions provided under the JOBS Act, delaying the adoption of new or revised accounting standards [117]. Investor Confidence - As an emerging growth company, the Company may not provide certain financial information and executive compensation details, potentially affecting investor confidence [119].

Financial Concerns - SeqLL Inc. has incurred recurring losses and negative cash flows since inception, raising concerns about its ability to continue as a going concern without additional financing[16] - The company has incurred recurring losses and negative cash flows since inception, raising concerns about its ability to continue as a going concern without additional financing[16] Market Acceptance and Revenue Generation - SeqLL's tSMS sequencing instruments and services must achieve sufficient market acceptance to generate expected revenue, or the business may not succeed[16] - The market acceptance of the tSMS sequencing instruments and services is critical for generating expected revenue, and failure to achieve this could adversely affect the business[16] - SeqLL's potential sales are significantly dependent on customers' spending budgets, which may vary unexpectedly and negatively affect product demand[16] Product Development and Manufacturing Risks - The company faces risks related to the successful development and timely manufacturing of its sequencing instruments and reagents, which could adversely affect its business[16] - SeqLL relies on third-party companies for certain components and materials, which may hinder its ability to scale manufacturing processes necessary for commercial success[16] - The company relies on third parties for certain components and materials, which may impact its ability to manufacture instruments and reagents at necessary specifications and quantities[16] Sales Cycle and Revenue Forecasting - The sales cycle for SeqLL's products is unpredictable and lengthy, complicating revenue forecasting and increasing quarterly or annual fluctuations in operating results[16] - The sales cycle for the company's products is unpredictable and lengthy, complicating revenue forecasting and potentially increasing fluctuations in operating results[16] New Product Development and Costs - The company anticipates significant costs during new product introductions and transitions related to tSMS technology, which may not yield the expected benefits[16] - There are significant risks associated with the commercialization and marketing of new products, which may not yield anticipated benefits[16] - The company must manage new product introductions related to tSMS technology, which may incur significant costs during transitions[16] Regulatory and Operational Challenges - The company must navigate governmental regulations that could impose operational burdens and narrow the markets for its products[16] - The company is subject to governmental regulations that could impose operational burdens and narrow market opportunities[16] Human Resources and Talent Management - SeqLL's ability to maintain and develop its products may be compromised if it loses key personnel or fails to recruit qualified scientists and engineers[16] Strategic Growth and Collaborations - The ability to maintain and establish future collaborations and strategic relationships is essential for the company's growth strategy[12] - The company is focused on the development of next-generation sequencing technologies, which are expected to enhance its market position and growth potential[12] - The potential for sustained revenue generation and profitability is contingent upon successful research and development efforts[12]