TECOGEN INC.

Item 1A. Risk Factors

In addition to the risks described below, you should carefully consider the factors discussed under "Item1A - Risk Factors in our Annual Report on Form 10-K for our fiscal year ended December 31, 2023 ("2023 Form 10-K") The risks discussed in our 2023 Form 10-K could materially affect our business, financial condition and future results. The risks described in our 2023 Form 10-K and below are not the only risks we face. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially and adversely affect our business, financial condition or operating results.

We incurred a net loss from operations of $2,523,8513,397,075 during the sixnine months ended JuneSeptember 30, 2024, compared to a net loss from operations of $2,229,995598,287 in the same period in 2023. We have a history of incurring losses from our operations and there can be no assurance we will be able to increase our revenues, manage our expenses and cash flows, and become profitable in the future.

We incurred a net loss from operations of $2,523,8513,397,075 during the sixnine months ended JuneSeptember 30, 2024, compared to a net loss from operations of $2,229,995598,287 in the sixnine months ended JuneSeptember 30, 2023. Historically, we have incurred net losses from operations, including a net loss of $4,598,103 in the year ended December 31, 2023, and, as of JuneSeptember 30, 2024, we had an accumulated deficit of $45,523,4196,453,827. Our business is capital intensive and, because our products are built to order with customized configurations, the lead time to build and deliver a unit can be significant. We may be required to purchase key components long before we can deliver a unit and receive payment. Changes in customer orders or lack of demand may also impact our profitability. There can be no assurance we will be able to increase our sales and achieve and sustain profitability in the future. If our cash flows from oOn October 30, 2024, our Board of Directors authorized management to proceed with an equity offering consisting of a private placement to existing shareholders in an amount of up to $2 million, consisting of one share of common stock, with a warrant to purchase one share of common stock for each share purchsed, exercisable within two years. Based on management's analysis, we believe that cash flows from operations are in, the note agreements and anticipated proceeds from the private placement offering will be sufficient to fund our business and, currently, weperations over the next twelve months. There can, however, be no assurance we will be able to do so. If our cash flows from operations are reliant insufficient to fund our business we must continue to rely upon financing provided by a related partyies to help fund our operations and we may need to raise additional capital through a debt or equity financing to meet our need for capital to fund operations and future growth. (See Note 11 to the Condensed Consolidated Financial Statements and Liquidity and Capital Resources-Liquidity.)