Vermont § 12103 - Requirements to commence business; paid-in minimum capital; examination; certificate of authority

§ 12103. Requirements to commence business; paid-in minimum capital; examination; certificate of authority

• (a) At the time the certificate of general good is issued, the Commissioner shall issue
  an order granting permission to organize that shall set forth the minimum amount of
  paid-in capital that the financial institution will be required to have to begin business,
  which in no event shall be less than $250,000.00. (b) The Commissioner may set different minimum paid-in capital requirements for different
  types of financial institutions and in determining such amounts may consider such
  factors as the population of the area where the proposed financial institution is
  to be located, competition among financial institutions in that locale, the projected
  volume and type of business to be conducted, the inherent risks in the business to
  be conducted, and the need to protect depositors and other creditors of the institution. (c) All capital contributions shall be in the form of cash, unless otherwise approved
  by the Commissioner. (d) An organization that has received a certificate of general good to conduct business
  as a financial institution may not commence business until the Commissioner certifies
  in writing that the required minimum capital has actually been paid in and that all
  other terms and conditions contained in the certificate of general good have been
  satisfied. (e) When the entire paid-in capital of a financial institution has been received by the
  financial institution, a complete list of the investors with the name and post office
  address of each and the portion of ownership interest held by each shall be filed
  with the Commissioner, who shall cause an examination to be made. If, after the examination,
  it appears to the Commissioner that the required capital has been paid in, the Commissioner
  shall issue a certificate under seal authorizing the financial institution to commence
  business, and this certificate shall be filed with the Secretary of State. A financial
  institution shall not commence business until that certificate is issued and filed.
  In the case of a violation of this provision, the officers and directors assenting
  to the activity shall be personally liable for all debts incurred before the certificate
  is issued and filed. (Added 1999, No. 153 (Adj. Sess.), § 2, eff. Jan. 1, 2001; amended 2021, No. 105 (Adj. Sess.), § 288, eff. July 1, 2022.)