The Vermont Statutes Online
The Statutes below include the actions of the 2025 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
Subchapter
001
:
ORGANIZATION AND COMMENCING BUSINESS
(Cite as: 8 V.S.A. § 12103)
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§ 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.)