Payment processor Square, Inc.’s bid to start a bank in Utah could hinge on capital. The San Francisco-based company will have to make a strong case that its banking business model and the underlying financials are solid, particularly during the nascent stage of operations, Utah’s financial services regulator said Jan. 9.
“Institutions are usually not profitable during the first three years of their existence,” Utah Department of Financial Institutions Deputy Commissioner R. Paul Allred said Jan. 9.
Square is seeking an industrial loan company (ILC) charter in Utah backed by the Federal Deposit Insurance Corp. If the application is granted, ...
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