. Banking is a very personal activity and people constantly look for an environment that they feel comfortable in. The risk level is reduced so there always seems to be a good supply of investors available for start-up banks.
There is a tremendous amount of wealth in the United States. Everyone needs a bank and everyones banking needs are different thus we see new community banks, state chartered banks and nationally chartered banks doting our landscape. That fact will continue to drive the expansion of existing banks and start up of new ones. Usually there are a combination of factors that will lead you to develop relations with a bank. The owners of that wealth constantly look for a combination of factors from their bank such as understanding their needs and meeting their service expectations. It is federally and state regulated so it gives a certain sense of security to investors. Demand will continue to drive the supply of new banks. The advances in technology have allowed the new banks to play with the big PVC skirting board Suppliers boys and deliver the type of services that are being demanded by their clients. Many times the path will lead to an existing or new community or small regional bank. If all banks met all needs there probably would only be about eight large banks in the country. Clients desire for personal banking relationships continues to drive the opening of the new neighborhood bank. Hence, a "bank on every corner".Does it seem like there is a bank on every corner? It does to me. The second factor would be a board of directors and investors that have a strong net worth, believe in the mission of the bank and make a personal significant investment. An example would be on-line banking which reduces the inconvenience issue.
Many businesses and individuals follow their banker from bank to bank.
What are your banking hot buttons? Is it the convenience, consistent customer service, familiarity with staff, product selection or maybe rates. Staying power is key. The result seems to be another new branch of an existing bank or a new bank opening up on your corner.
Banking can be a profitable business. Two key factors in the success of that new bank opening up down the street from you may be the leadership of that bank such as a CEO who is well known, respected and has a long-term successful community presence