SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   ----------

                                   FORM 10-QSB

[X]  Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange
     Act of 1934 For the Quarterly Period Ended March 31, 2001

                                       or

[_]  Transition  Report  Pursuant  to  Section  13 or  15(d)  of the  Securities
     Exchange  Act of 1934  for  the  transition  period  from  ____________  to
     ____________

                         Commission File Number 000-27592

                            -------------------------

                             TECH LABORATORIES, INC.
             (Exact name of registrant as specified in its charter)

             New Jersey                                         22-1436279
  (State or other jurisdiction of                            (I.R.S. Employer
   incorporation or organization)                           Identification No.)

         955 Belmont Avenue
          North Haledon, NJ
                                                                        07508
      (Address of Registrant's                                        (Zip Code)
     principal executive office)

       Registrant's telephone number, including area code: (973) 427-5333

Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  Registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days.

                                 Yes [X]       No [_]

         The number of shares of Common Stock, par value $.01 per share,
                    outstanding as of May 11, 2001: 4,392,541.

<PAGE>


                             Tech Laboratories, Inc.

                                    FORM 10-Q

                                Table of Contents


PART I. FINANCIAL INFORMATION
Item 1.  Financial Statements...............................................   1
         Balance  Sheets as of March 31, 2000
         And 2001 (unaudited)...............................................   1
         Statements of Operations --For the Three Months
           Ended March 31, 2000 and 2001 (unaudited)........................   3
         Statements of Cash Flows -- For the Three
           Months Ended March 31, 2000 and 2001 (unaudited).................   4
         Notes to Consolidated Financial Statements.........................   5
Item 2.  Management's Discussion and Analysis of Financial
         Condition and Results of Operations................................   7
PART II. OTHER INFORMATION
Item 5.  Other Information..................................................   7
         Signatures.........................................................   8


                                      -i-

<PAGE>


                                     PART I

                              FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS


                             TECH LABORATORIES, INC.
                                  BALANCE SHEET
                             MARCH 31, 2000 AND 2001

                                   (UNAUDITED)


                                     ASSETS

                                                         2000           2001
                                                      ----------     ----------
Current Assets:

     Cash                                             $   88,602     $2,150,159
     Marketable Securities, at the Lower of
          Cost or Market                                  61,453         69,733
     Accounts Recievable, net of Allowance
          for Doubtful Accounts of $10,000               251,539        138,360
     Inventories                                         851,126      1,472,570
     Prepaid Expenses                                      4,055          4,055
                                                       ---------      ---------

               Total Current Assets                   $1,256,775     $3,834,877
                                                       ---------      ---------

Property, Plant and Equipment, at Cost

     Leasehold Improvements                                2,247          2,247
     Machinery, Equipment and Instruments                379,815        477,340
     Furniture and Fixtures                               75,899         87,107
                                                      ----------     ----------
          Total Property, Plant & Equipment              457,961        566,694
     Less: Accumulated Depreciation & Amortz             314,162        351,673
                                                      ----------     ----------
          Net, Property, Plant and Equipment             143,799        215,021
                                                      ----------     ----------

Other Assets - Including Public Offering
     Escrow Deposits                                  $  935,301     $   12,059
                                                      ----------     ----------

          Total Assets                                $2,335,875     $4,061,957
                                                      ----------     ----------


The accompanying notes are an integral part of these financial statements.


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<PAGE>


                             TECH LABORATORIES, INC.
                                  BALANCE SHEET
                             MARCH 31, 2000 AND 2001

                                   (UNAUDITED)


                    LIABILITIES AND STOCKHOLDERS' INVESTMENTS

                                                          2000          2001
                                                     -----------   -----------
Current Liabilities:

     Current Portion of Long Term Debt               $    27,727   $    34,444
     Short-Term Loans Payable                            243,373        73,789
     Accounts Payable                                    260,277        32,600
     Other Liabilities                                    32,933        47,077
     Public Offering Subscribers' Liability              923,761          -0-
                                                     -----------   -----------

               Total Current Liabilities             $ 1,488,471   $   187,910
                                                     ===========   ===========
     Long Term Convertible Notes Payable                    -0-    $ 1,519,755

Stockholders; Investment:
     Common Stock $.01 Par Value;
     10,000,000 Shares Authorized; 3,650,660
          Issued in 2000, 4,019,039 Issued in 2001        36,507        39,493
      Less: 11,316 Shares Reacquired and
          Held in Treasury                                  (113)         (113)
                                                     -----------   -----------
                                                     $    36,394   $    39,380

     Common Stock Subscribed                              75,000          -0-
     Capital Contributed in Excess of Par Value        1,816,316     4,060,287
     Retained Earnings/ (Accum. Deficit)              (1,080,306)   (1,745,375)
                                                     -----------   -----------
                                                     $   847,404   $ 2,354,292
                                                     -----------   -----------
          Total Liabilities and Stockholders'
                 Equity                              $ 2,335,875   $ 4,061,957
                                                     -----------   -----------



The accompanying notes are an integral part of these financial statements.


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<PAGE>


                             TECH LABORATORIES, INC.
                             STATEMENT OF OPERATIONS
                             MARCH 31, 2000 AND 2001


                                   (UNAUDITED)


                                                         2000            2001
                                                    -----------     -----------

Sales                                               $   319,243     $   206,200
                                                    -----------     -----------

Costs and Expenses:
     Cost of Sales                                      140,622         160,950
     Selling, General and Administrative
          Expenses                                      128,522         246,085
                                                    -----------     -----------
                                                        269,144         407,035
                                                    -----------     -----------

Income/(loss) from Operations                       $    50,099     $  (200,835)
                                                    -----------     -----------

Other Income (Expenses):                                    -0-           4,520


Income/ (Loss) Before Income Taxes                       50,099        (196,315)
Provision for Income Taxes                                    0               0
                                                    -----------     -----------
Net Income/ (Loss)                                       50,099        (196,315)

Retained Earnings/(Accum. Deficit,) Beg. Qtr.        (1,130,405)     (1,549,060)
                                                    -----------     -----------
Retained Earnings/(Accum. Deficit), End. Qtr.       $(1,080,306)    $(1,745,375)


Primary Earnings Per Share                          $      0.01     $     (0.05)
Fully Diluted Earnings Per Share                    $      0.01     $     (0.04)



The accompanying notes are an integral part of these financial statements.


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<PAGE>


                             TECH LABORATORIES, INC.
                             STATEMENTS OF CASH FLOW
                             MARCH 31, 2000 AND 2001

                                   (UNAUDITED)

Cash Flow From (for)                                    2000             2001
                                                     ---------        ---------
Operating Activities:

Net Income/ (Loss) From Operations                   $  50,099        $(196,315)

ADD/(Deduct) Items
     Not Affecting Cash:
               Depreciation                                -0-            7,034
               Amortization                                -0-               63

Changes in Operating
     Assets and Liabilities:
          Marketable Securities                           -0-            (5,400)
          Accounts Receivable                         (193,842)         (44,404)
          Inventories                                  (34,423)        (185,732)
          Prepaid Expenses                                 -0-              -0-
          Accounts Payable and
               Accrued Expenses                            (68)             361
          Other Assets/Liabilities                      28,911           67,734
Net Cash Flow from (for)                              --------         --------
     Operating Activities                             (149,323)        (357,020)
                                                      --------         --------
Cash Flows From (For)
     Investing Activities                                  -0-          (15,744)

Cash Flows From (For) Financing Activities:
     Long Term Debt                                        -0-             (523)

     Issuance of Common Stock                              -0-              -0-

     Common Stock Subscriptions                         75,000              -0-
                                                     ---------        ---------
Net Cash Flow From (For)
     Finnancing Activities                              75,000             (523)
                                                     ---------        ---------

Net Increase/(Decrease) in Cash                        (74,323)        (373,287)

Cash Balance Beginning of Year                         162,925        2,523,446
                                                     ---------        ---------

Cash Balance End of First Quarter                       88,602        2,150,159
                                                     ---------        ---------


The accompanying notes are an integral part of these financial statements.



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<PAGE>


                             TECH LABORATORIES, INC.
                          NOTES TO FINANCIAL STATEMENTS
                      FOR THE QUARTER ENDED MARCH 31, 2001
                                  (UNAUDITED)


(1)  Summary of Significant Accounting Policies

CASH - Includes  Tech Labs'  checking  account at Hudson United Bank and a money
market account at Prudential Securities. There are no Cash Equivalents.

     ACCOUNTS RECEIVABLE - Tech Labs recognizes sales when orders are shipped to
customers.  The allowance for bad debts is accrued based on a review of customer
accounts receivables aging.

     INVENTORIES - Inventories are valued at cost or market, whichever is lower.
The FIFO cost method is generally used to determine the cost of the inventories.
At December 31, 1998, 1999, and 2000 physical inventories were taken and tested.
No physical inventory was taken on March 31, 2001.

PROPERTY AND  DEPRECIATION - Additions to property and equipment are recorded at
cost. Depreciation is computed using the straight-line method over the estimated
useful lives of the assets as follows:

                           ASSETS                ESTIMATED USEFUL LIVES

                           Machinery                 5 to 7 years
                           Furniture & Fixtures      5 to 7 years

Maintenance  and  repairs  are  charged  to  expense  as  incurred.  The cost of
betterments is capitalized and depreciated at appropriate rates. Upon retirement
or other  disposition of property items,  cost and accumulated  depreciation are
removed from the accounts and any gain or loss is reflected in the  statement of
income.

INCOME  TAXES - Income tax expense is based on reported  income and deferred tax
credit is provided for temporary differences between book and taxable income.

MARKETABLE  SECURITIES - The marketable  securities are recorded at the lower of
cost or market.  The cost of  securities  was $64,333 at  December  31, 2000 and
$69,733 at March 31, 2001.

(2)  Inventories:

Inventories at December 31, 2000, and March 31, 2001 were as follows:

                                               2000      March 31, 2001
                                           ----------    --------------
     Raw Materials & Finished Components   $  912,358    $      942,076
     Work in Process & Finished Goods         374,480           530,494
                                           ----------    --------------
                                           $1,286,838    $    1,472,570
                                           ----------    --------------

(3)  Income/(loss) Per Share:

Primary  Income/(loss)  per share was calculated on the weighted  average shares
outstanding.  As of March 31, 2001,  weighted  average shares  outstanding  were
4,019,039.

Fully Diluted  Income/(loss)  per share was  calculated on the weighted  average
shares above plus  1,500,000  shares from the assumed  conversion of Convertible
Debt in October, 2000.


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<PAGE>


(4)  Income Taxes:

Since the  Company  has an  operating  loss carry  forward of  $2,292,591  as of
December 31, 2000, no interperiod tax allocation was made.

(5)  Current Portion of Long-Term Debt:

Loans payable to banks were as follows for the periods indicated:

                                                       CURRENT       NON-CURRENT
PERIOD ENDED      PAYEE               INTEREST RATE     AMOUNT          AMOUNT
--------------    -----               -------------     ------          ------

    2000          Hudson United Bank  Prime +1.5%      $34,444            --
March 31, 2001    Hudson United Bank  Prime +1.5%      $34,444            --

Certain marketable securities are pledged as collateral on the above loan.

(6)  Short-Term Loans Payable

Demand loans payable include loans from stockholders,  officers,  members of the
Board of Directors and third parties.  The  outstanding  loan balances due as of
December 31, 2000 and March 31, 2001 was $73,789.  The annual  interest rate for
these loans ranged between six (6%) percent and ten (10%)  percent.  One loan in
the  principal  amount of $11,500  together  with accrued  interest of $7,267 at
December  31,  2000 is secured  by the assets of Tech Labs.  In October of 1999,
three  short-term  loans for a total of  $200,000  at (10%) ten  percent  annual
interest were completed.  Certain  contractural  revenues were pledged to secure
this loan.  As of  December  31,  2000,  $150,000  of such loans were repaid and
$50,000 remains outstanding and is due by December 31, 2001.

(7)  Common Stock

In 1999,  Tech Labs  commenced  a public  offering to raise  between  $2,000,000
(minimum) and $3,500,000 (maximum).  The Company's  registration statement filed
on Form SB-2 was  declared  effective  on February  3, 2000.  The  offering  was
completed on May 3, 2000 and a total of $2,273,723 was raised.

(8)  Long-Term Convertible Debt

On  October  13,  2000 Tech Labs  completed  a $1.5  million  financing  of 6.5%
convertible promissory notes due October 13, 2002. Interest is payable quarterly
in cash or in shares of common stock at the option of the noteholders. Tech Labs
disclosed all terms of this financing on Form 8-K filed on October 18, 2000.


                                     - 6 -

<PAGE>


ITEM 2. MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS.

The information contained in this section should be used in conjunction with the
consolidated  Financial  Statements and Notes therewith appearing in this report
Form 10QSB and the Company's Annual Report for the year ended December 31, 2000.

     Quarter ending March 31, 2001, Compared to Quarter Ending March 31, 2000.

     Sales were  $206,200 for the first  quarter of 2001 as compared to $319,243
for the similar  period of 2000.  This decrease was due to sales of our DynaTrax
(TM) products being delayed until the second quarter of 2001.

     Cost of sales of $160,950  for the first  quarter of the year 2001 has been
increased by $20,328 compared to the same period of 2000,  primarily due to high
cost  rotary  switch  sales and the delay in  shipping  low-cost  DynaTrax  (TM)
products.

     Selling,   general,  and  administrative  expenses  increased  by  $117,563
compared  to the same  period in 2000 due to  expenses  incurred  to expand  our
markets for our high margin  DynaTrax(TM)  products  plus legal fees incurred to
prepare the Company's  Post-Effective  Amendment to its  Registration  Statement
filed on Form SB-2 and initially declared effective on January 22, 2001.

     Income from  operations of ($196,315)  decreased  ($246,417)  compared to a
profit of $50,099  for the prior  period as a direct  result of the  reasons set
forth above.

     Quarter Ending March 31, 2001, Compared to Year Ending December 31, 2000.

SIGNIFICANT CHANGES

     In the first  quarter  of the year 2001,  the  Company  made a  significant
operating investment in expanding DynaTrax (TM) markets.

     Cash Flow for the first quarter of 2001 was negative ($373,287) as a result
of the operating investment.

ADDITIONAL EVENTS

     Under the terms of the  agreement  the Company  entered  into with the $1.5
million  convertible  noteholders,  both the Company and the noteholders had the
option, provided the noteholders did not beneficially own more than 9.99% of the
Company's  common  stock,  calculated  in  accordance  with Section 13(d) of the
Securities Exchange Act of 1934, as amended, and Regulation 13d-3 thereunder, to
enter into additional 6.5% convertible notes for a total of $500,000. During the
time period alloted to exercise the option the noteholders beneficially owned in
excess of 9.99% of the Company's stock, and accordingly,  the option to exercise
the additional $500,000 convertible notes could not be exercised.

SUBSEQUENT EVENT

     On April 30,  2001 the  Company  announced  a plan to buyback up to 200,000
shares of its common stock.  The buyback plan provides that the purchases may be
made  from  time to time at  prevailing  prices  in the  open  market  by  block
purchases or in private  transactions  and may be  discontinued at any time. The
repurchases will be funded through available cash. As of the date of this report
the Company has not repurchased any shares.

PART II. OTHER INFORMATION

ITEM 5. OTHER INFORMATION

     The Company  filed a  Registration  Statement  on Form SB-2 on November 17,
2000 to register  shares of its common stock for the benefit of certain  selling
security  holders,  including the shares  underlying the $1,500,000  convertible
notes issued October 13, 2000. The Registration Statement was declared effective
by the Securities and Exchange Commission on January 22, 2001. On April 24, 2001
the Company filed Post-Effective  Amendment No. 1 to the Registration  Statement
to update the Company's  financial  and other  information.  The  Post-Effective
Amendment was declared  effective on May 7, 2001 by the  Securities and Exchange
Commission.

                                     - 7 -

<PAGE>


                             TECH LABORATORIES, INC.

                                   SIGNATURES

     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

                             TECH LABORATORIES, INC.

Date: May 15, 2001                        By:   /s/ Bernard M. Ciongoli
                                                -----------------------
                                                Bernard Ciongoli
                                                Chief Financial Officer
                                                (Principal Financial Officer and
                                                Chief Accounting Officer)


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