Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 234

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1A
Chunk 234
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An
investment in our securities involves risks and uncertainties. In addition to the other information set forth in this Form 10-K, including
the information addressed under “Forward-Looking Statements,” investors in our securities should carefully consider the risk
factors discussed below. These factors could materially and adversely affect our business, financial condition, liquidity, results of
operations, and capital position and could cause our actual results to differ materially from our historical results or the results contemplated
by the forward-looking statements contained in this Form 10-K, in which case the trading price of our securities could decline. The risk
factors discussed below highlight the risks that we believe are material to us, but do not necessarily include all risks that we may
face, and an investor in our securities should not interpret the disclosure of a risk in the following risk factors to state or imply
that the risk has not already materialized.

28

General
Risk Factors

Our
historical operating results may not be indicative of our future operating results.

We may not be able to
grow our banking businesses and our historical results of operations will not necessarily be indicative of our future operations. Various
factors, such as economic conditions, regulatory and legislative considerations, and competition, may also impede our ability to expand
our market presence. If we experience a significant decrease in our banking businesses, our results of operations and financial condition
may be adversely affected because a high percentage of our operating costs are fixed expenses.

There are risks, many
beyond our control, which could cause our results to differ significantly from management’s expectations. Some of these risk factors
are described below. Any factor described in this report could, by itself or together with one or more other factors, adversely affect
our business, results of operations and/or financial condition. Additional risks and uncertainties not currently known to us or that
we currently consider to not be material also may materially and adversely affect us. In assessing these risks, you should also refer
to other information disclosed in our SEC filings, including the financial statements and notes thereto.

Risks
Related to Our Business

Economic
and Geographic-Related Risks

Our
business may be adversely affected by economic conditions. Generally, in periods of economic downturns, including periods of rising interest
rates and recessions, our realized credit losses increase, our deposit and funding costs increase, demand for our products and services
declines, and the credit quality of our loan portfolio declines.

Our financial performance
generally, and