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]
SEQLL(SQL) - 2022 Q4 - Annual Report