California Financial Code

§ 2040

FIN § 2040 Effective Jan 1, 2024Div. 1.2 · Ch. 3

Statute text

(a)Subject to subdivision (b), a licensee shall maintain at all times a tangible net worth of the greater of one hundred thousand dollars ($100,000) or 3 percent of total assets for the first one hundred million dollars ($100,000,000), 2 percent of additional assets for one hundred million dollars ($100,000,000) to one billion dollars ($1,000,000,000), and one-half of 1 percent of additional assets for over one billion dollars ($1,000,000,000).

(b)(1) The commissioner shall, pursuant to paragraph (2), have the authority to exempt, in part or in whole, an applicant or licensee from the requirements of this section.

(2)The commissioner, in determining whether to exempt, in part or in whole, an applicant or licensee from the requirements of this section, shall consider all of the following factors:

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Legislative history

Repealed and added by Stats. 2023, Ch. 463, Sec. 6. (AB 1116) Effective January 1, 2024.