Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 265

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1A
Chunk 265
---
    context of significant loan growth;

    ·
    our inability to attract or maintain sufficient
    deposits and capital to fund anticipated loan growth;

    ·
    our inability to maintain adequate common equity
    and regulatory capital while managing the liquidity and capital requirements associated with growth, especially organic growth and
    cash - funded acquisitions;

    ·
    our inability to hire or retain adequate management
    personnel and systems to oversee and support such growth;

    ·
    our inability to implement additional policies,
    procedures and operating systems required to support our growth; and

    ·
    our inability to manage effectively and efficiently
    the changes and adaptations necessitated by a complex, burdensome, and evolving regulatory environment.

New
lines of business or new products and services may subject us to additional risk. 

From time to time, we
may implement new lines of business or offer new products and services within existing lines of business. There are substantial risks
and uncertainties associated with these efforts, particularly in instances where the markets are not fully developed. In developing and
marketing new lines of business and/or new products and services, we may invest significant time and resources. Initial timetables for
the introduction and development of new lines of business and/or new products or services may not be achieved and price and profitability
targets may not prove feasible. External factors, such as compliance with regulations, competitive alternatives, and shifting market
preferences, may also impact the successful implementation of a new line of business and/or a new product or service. Furthermore, any
new line of business and/or new product or service could have a significant impact on the effectiveness of our system of internal controls.
Failure to successfully manage these risks in the development and implementation of new lines of business and/or new products or services
could have a material adverse effect on our business, financial condition and results of operations.

Legal,
Accounting, Regulatory and Compliance Risks

The
banking industry is heavily regulated and that regulation, together with any future legislation or regulatory changes, could limit or
restrict our activities and adversely affect our operations or financial results.

We operate in an extensively
regulated industry and we are subject to examination, supervision, and comprehensive regulation by various federal and state agencies.
Bancorp 34 is subject to Federal Reserve regulations, and the Bank is subject to regulation, supervision and examination by the OCC.
Our compliance with banking regulations is costly and restricts some of our activities, including payment of dividends, mergers and acquisitions,
investments, loans and interest