Anode-supported cells (ASC) are considered as a promising SOFC technology for achieving higher power densities at significantly reduced operating temperatures. Thereby it is commonly expected to enhance both the profitability and durability of fuel cell systems in real world applications. In the collaborative project LOTUS, a micro-CHP system prototype will be developed and tested based on a novel ASC technology with an operating temperature of 650 degrees C. Extended system design considerations are required in the first place to establish a basis for the system development process. This paper reveals the initial system design investigations for the LOTUS system concept, thus addressing modeling approach and concluding design decisions. Copyright (C) 2012, Hydrogen Energy Publications, LLC. Published by Elsevier Ltd. All rights reserved.