Consortium Formation Services

Industry problems require industry solutions. Banks and existing financial services firms are best equipped to meet the emergent fintech threat, conversely by working together. However, the current Consortium formation and development process remains inefficient, often consuming significant executive time and resources. Meanwhile, Banks are not well equipped to manage projects requiring coordination across multiple stake-holders and entities. OPCO partners with banks to help develop and launch Consortium startup companies saving both time and money.

We oversee the whole process

Launching a consortium is a critical option as banks look to compete against emerging fintech firms. However, the Consortium process is typically 2 sequential parts Pre-NewCo and Post-NewCo formation:

  • Taking 12-18 months
  • Consuming significant executive time
  • Inefficient
  • Multiple points of failure
diagram of the current typical consortium formation processdiagram of the current typical consortium formation process

And managing the process poses several challenges including : 

  • Key & sustained business sponsorship
  • Multiple stake-holder management
  • Project coordination challenges across banks
  • Bank Holding Company (BHC) considerations
  • Market Timing

OPCO's experience solves typical formation issues.

OPCO services are developed to help banks accelerate consortium roll-out while realizing significant cost savings and adhering to regulatory compliance and BHC considerations

Consortium Challenges
  • ‘Siloed’ stakeholder involvement within and across various banks.
  • Lack of central project coordination to build consensus
  • Sequencing complexity & coordination for Bank Holding Company compliance
  • Redundancies & repetitiveness of certain tasks for all consortium projects
OPCO Solutions
  • Project Management (pre-NewCo) and Operationalization (post-NewCo)
  • OPCO's services are supported by defined methodologies, templates and partners with previous Consortium experience
  • Efficient project management & stakeholder coordination

Our Consortium Experience

What We've Learned

Initial & sustained sponsorship is just as important as the business case and market need ​

Planning & project management (pre-launch) is critical to ensure successful stakeholder coordination

Key factors include strong independent management, talent acquisition and adequate funding to support the business model

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