Pair of startup banks in region raise $65 million to attack market

Kevin Darmody flatly admits it: when he tells someone he’s part of a team opening a bank, “people question if we have all our marbles.”

The doubts stem from a myriad of obstacles. The pandemic, of course, is one, and hiring right now is tougher than ever for any business. Specific to banks, launching one is usually a capital-intensive proposition with multiple regulatory hurdles. More challenges: low interest rates are cutting into bank margins and the rapid increase in digital banking has further commoditized an already fickle industry, making customer retention tougher.