Thanks for all the feedback, both encouraging and *ahem* awakening. The links were insightful as well. Thank you for posting.
I'll try and address the issues mentioned below;
I do have capital, just no banking experience. I have 7 figures, but not 8. I'm fully aware that I'd have to bring in some people with banking experience as I do not want to run the bank, just found and be part owner. I know some people that I can approach, I just need to get more info before I call a meeting and pitch my idea.
It's never been a dream of mine to start a de novo bank. But, since I'm FI and kicking around for something to do during RE, I thought of opening a bank mainly b/c of the less than satisfactory experience I've received in my search for a bank for my business.
The problem I encountered is that no bank wanted to advise my companies Export Letters of Credit. After being turned down dozens of times and having so many banks walk away one day I thought I should just start my own bank so that we could advise LC's. We could advise the LC's of our entire industry and conservatively earn $1m in the first year just in LC fees alone. Any loan income would just be gravy, as LC fees would be the bread and butter.
Where I live there are only six banks operating and one of them stopped taking new clients. All of them offer sub standard service, no matter how much you offer them in fees. Others business owners I speak with also complain about their banking experience. Since the financial crisis the number of banks shrank from 15 (?) to 5 and one International Banking Entity (IBE) changed into a bank, so now there are six. Add to that the tax incentives available and I believe a de novo bank to be very lucrative opportunity.
However, I know that there is a lot that I do not know. I know that there is a lot of regulation and the compliance department has everyone in the bank scared for their lives. KYC nightmares keep bankers up at night.
I looked into the banking association. I seems like that membership/meetings are only available for deposit banks/bankers. :( Any ideas how to find out more about potential bank sales?
Mr. Green: you should start/join a Credit Union, as you describe their stated goal, IMHO.
Any and all feedback appreciated.