Item 1A. Risk Factors
Item 1A. Risk Factors
There are certain risks and uncertainties in our
business that could cause our actual results to differ materially from those anticipated. A detailed discussion of our risk factors is
included in “Item 1A. Risk Factors” of Part I of the Company’s Annual Report on Form 10-K for the year ended December
31, 2022, as supplemented by “Item 1A. Risk Factors” of Part II of the Company’s Quarterly Report on Form 10-Q for the
fiscal quarter ended March 31, 2023.
The following information supplements our risk
factors previously disclosed in “Item 1A. Risk Factors” of Part I of the Company’s Annual Report on Form 10-K for the
year ended December 31, 2022, as supplemented by “Item 1A. Risk Factors” of Part II of the Company’s Quarterly Report
on Form 10-Q for the fiscal quarter ended March 31, 2023.
We could experience an unexpected inability
to obtain needed liquidity which could adversely affect our business, profitability, and viability as a going concern.
Liquidity measures the ability to meet current
and future cash flow needs as they become due. The liquidity of a financial institution reflects its ability to meet loan requests, to
accommodate possible outflows in deposits, and to take advantage of interest rate market opportunities and is essential to a financial
institution’s business. The ability of a financial institution to meet its current financial obligations is a function of its balance
sheet structure, its ability to liquidate assets, and its access to alternative sources of funds. The bank failures in 2023 exemplify
the potential serious results of the unexpected inability of insured depository institutions to obtain needed liquidity to satisfy deposit
withdrawal requests, including how quickly such requests can accelerate once uninsured depositors lose confidence in an institution’s
ability to satisfy its obligations to depositors. We seek to ensure our funding needs are met by maintaining a level of liquidity through
asset and liability management. If we become unable to obtain funds when needed, it could have a material adverse effect on our business,
financial condition, and results of operations.
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