How to create your own bank

At present, opening a new commercial bank is very, very difficult, and there are objective reasons for this. Firstly, a lot of banks have already been created that a resident of a large city can notice with the naked eye, and the competition in this area is great. Secondly, the requirements of the Central Bank, which must be followed by those wishing to create a new credit institution, have recently become especially stringent. But, despite these circumstances, an official way to register a bank exists and is open to those who wish.

You will need

• Share capital of 5 million euros
• Memorandum of Association (LLC, OJSC, CJSC), charter and business plan of the bank
• Area corresponding to the requirements for premises for credit organizations
• Nominations for the positions of top managers

Instruction manual

1

Evaluate your capabilities objectively and answer the question of whether the registration procedure will turn out to be a waste of time and money for you. You need to be sure that you and your partners (co-founders) have the funds necessary to pay the authorized capital, and they are equivalent to an amount of five million euros. The second condition from among the most important is that all founders (both individuals and legal entities) should not only have a good reputation (lack of a criminal record for economic crimes, fulfillment of obligations to the budget), but also confirm this with documents. It is also necessary to confirm the legal origin of the funds that made up the authorized capital.

2

Decide if you consider that you still have such opportunities, what legal form your credit institution will have. This can be either a joint stock company (open or closed), or a limited liability company. Then choose a name for the new commercial bank, sign a memorandum of association with your partners, and develop a charter and business plan for the bank.

3

Now proceed with the registration procedure, submit the appropriate application to the local institution of the Central Bank, enclosing a package of required documents. Among them are a memorandum of association, a charter, a business plan, documents containing information about the founders and future leaders of the bank, documents confirming the rights to use the premises in which the bank is located and confirming that it meets all the requirements for premises for credit organizations. In addition, it will be necessary to pay the state fee and license fee, and documents on their payment should also be provided along with the application.

4

Pay the authorized capital of the bank in full until a month has passed after registration of the organization in the state register of legal entities (the fact of registration is reported to the founders by the central bank). Then provide the Central Bank with payment documents certifying the fact of full payment. After passing the state registration procedure and obtaining a license, the bank’s activities are considered legal.

Useful advice

When choosing a name for a bank, it is important that the existing “credit organization” does not have the same “name”, so just in case, send a request to the Central Bank before signing the memorandum of association.

Remember that the bank registered by you has the right to perform only those operations that are indicated in its license - it is worth adding something else “from itself” to them, as this license will be revoked.

• An article on the procedure for registering and opening a commercial bank.
• how to form a bank