MetroCity Bankshares, Inc. (MCBS): Business Model Canvas [Dec-2025 Updated]

You're trying to map out the new MetroCity Bankshares, Inc. (MCBS) business model right after they closed the $206 million First IC Corporation deal in December 2025. It's defintely a bigger player now, boasting $4.8 billion in total assets and a sharp 38.7% operational efficiency ratio in Q3 2025, all while doubling down on their core value proposition: personalized banking for multi-ethnic communities and specialized SBA lending expertise. I've broken down the nine essential building blocks below so you can see exactly how they generate that $31.8 million in Net Interest Income and manage a $4.0 billion loan portfolio.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Key Partnerships

You're looking at the essential relationships that keep MetroCity Bankshares, Inc. running and growing, especially after a major year like 2025. These aren't just names on a contract; they represent critical access to capital, expertise, and market expansion.

The most significant recent partnership event was the finalization of the merger with First IC Corporation. This combination officially closed on December 1, 2025. The aggregate transaction value for acquiring First IC Corporation was approximately $206 million. The deal structure involved a mix of stock and cash; specifically, First IC shareholders received 3,384,381 shares of MCBS common stock and cash consideration, which was detailed in one filing as approximately $111.97 million. This strategic combination immediately boosted MetroCity Bankshares' total assets to about $4.8 billion post-close.

Access to wholesale funding remains a bedrock partnership, particularly with the Federal Home Loan Bank (FHLB). As of the third quarter of 2025, MetroCity Bankshares reported an available borrowing capacity at the FHLB of $657.8 million. This figure is quite close to the $668.4 million you noted, showing a robust, near-term liquidity backstop. To secure this, the collateral pledged, primarily residential real estate loans, totaled $2.24 billion as of March 31, 2025. That's serious collateral backing your funding lines.

Major transactions like the First IC acquisition require specialized external expertise. You need top-tier advisors to ensure the deal is sound and properly executed. Here's a breakdown of the key players involved in that recent strategic move:

Partnering with the U.S. Small Business Administration (SBA) is vital for serving the core community banking mission of Metro City Bank. The bank is a key lender for these government-backed programs, which provide crucial capital to small businesses that might not qualify for conventional loans. The programs available include:

• SBA 7(a) loans.
• SBA 504 loans for real estate and facilities.
• Maximum aggregate loan amounts up to $5 million.
• Longer repayment terms, up to 25 years for land and buildings.

The SBA lending environment in 2025 saw sustained high volumes, making this partnership a steady source of quality loan originations.

Finally, while specific vendor names aren't public record here, the strategic goal following the First IC merger is to prioritize investments in technology and growth. This implies active partnerships with technology vendors to enhance the digital banking platform, ensuring the newly scaled entity can compete effectively in the modern financial landscape. You defintely need the right tech partners to support 30 full-service branches across eight states now.

Finance: draft 13-week cash view by Friday.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Key Activities

The Key Activities for MetroCity Bankshares, Inc. center on core banking operations, the successful assimilation of First IC Corporation, and portfolio management, all within a strict regulatory environment.

Core commercial and retail deposit-taking and lending forms the foundation. As of the third quarter of 2025, MetroCity Bankshares reported total loans reaching $3.20 billion, an increase of $71.6 million from the prior quarter. Total deposits for MetroCity stood at $2.69 billion as of June 30, 2025. Noninterest-bearing deposits represented 20.4% of total deposits at that time. The net interest margin for the third quarter of 2025 was 3.68%.

Strategic integration of First IC Corporation operations and assets was a major activity, culminating in the acquisition closing on December 1, 2025. The pro forma company immediately achieved a scale of 30 full-service branches and two loan production offices across eight states, including Alabama, California, Florida, Georgia, New Jersey, New York, Texas, and Virginia. The combined entity's balance sheet as of the closing date included approximately $4.8 billion in total assets.

The activity of origination and sale of residential mortgage and SBA loans is implied through portfolio management, though specific origination/sale volumes for 2025 are not explicitly detailed. However, the third quarter of 2025 saw a decrease in noninterest income compared to the previous year, attributed primarily to lower gains on loan sales. Pre-merger, loans classified as held for sale were $35.7 million as of March 31, 2025. Separately, commercial real estate loans specifically saw a 4.0% increase, rising by $30.1 million to $792.1 million from the previous quarter in Q1 2025.

Managing a loan portfolio of approximately $4.0 billion post-merger is a direct result of the integration. The final reported post-merger total loans figure is $4.0 billion, alongside $3.6 billion in total deposits. This compares to MetroCity's pre-merger loans held for investment of $3.12 billion as of June 30, 2025. The initial projection for the combined loan portfolio was $4.1 billion.

Maintaining regulatory compliance and capital adequacy is an ongoing operational requirement supported by liquidity metrics. As of June 30, 2025, MetroCity Bankshares reported $1.31 billion of available borrowing capacity, including $668.4 million at the Federal Home Loan Bank and $593.5 million at the Federal Reserve Discount Window. Uninsured deposits represented 25.1% of total deposits at the end of the third quarter of 2025. The annualized return on average assets for Q3 2025 was 1.89%.

You can see the scale shift in the balance sheet components below, comparing the pre-merger MetroCity data to the post-merger combined figures:

Key operational performance indicators for the third quarter of 2025 included:

• Net Income: $17.3 million
• Annualized Return on Average Equity (ROE): 15.69%
• Efficiency Ratio: 38.7%
• Net Interest Margin: 3.68%

The merger consideration involved 3,384,588 shares of MetroCity common stock and $111,965,213 in cash (initial announcement). Following the issuance, MetroCity had approximately 28.8 million shares of common stock outstanding. The quarterly cash dividend declared in October 2025 was $0.25 per share.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Key Resources

You're looking at the core assets MetroCity Bankshares, Inc. (MCBS) brings to the table as of late 2025, right after that significant First IC Corporation combination closed in December 2025. Honestly, these resources define the scale and market reach for the bank moving into 2026.

The physical and financial scale is now substantially larger than the pre-merger entity, which reported total assets of $3.62 billion as of June 30, 2025. The combined entity's balance sheet is anchored by its asset base and its funding structure, which is heavily reliant on customer deposits.

The physical footprint is now spread across eight states, a clear expansion from the seven states MetroCity Bank operated in before the merger. This network is a tangible asset for customer acquisition and service delivery.

The geographic reach of the 30 full-service branches, plus 2 loan production offices, now spans:

• Alabama
• California
• Florida
• Georgia
• New Jersey
• New York
• Texas
• Virginia

Beyond the balance sheet numbers, the human element is a distinct resource. MetroCity Bankshares, Inc. has cultivated specialized human capital focused on multi-ethnic community banking. This focus is embedded in their operational history, with the bank serving these communities since its founding in 2006.

Finally, the operational backbone relies on its technology stack. This includes the digital banking platforms and technology infrastructure necessary to support the expanded scale and maintain efficiency, evidenced by the reported Q2 2025 efficiency ratio of 37.2%.

Finance: draft 13-week cash view by Friday

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Value Propositions

You're looking at what MetroCity Bankshares, Inc. (MCBS) offers its customers that makes them choose this bank over others. It's a very targeted value proposition, built on community connection and specialized credit products.

Culturally-familiar, personalized banking for ethnic communities is a cornerstone. The bank actively integrates into multi-ethnic communities, with a specific, deep focus on the Korean-American community and other ethnic groups across its operational regions in the Eastern U.S. and Texas. This translates into a culturally sensitive approach, helping first-generation immigrants with financial integration, home purchases, and business funding. They view customers as friends and partners, which builds deep loyalty.

The bank also delivers specialized lending expertise in SBA loans for small businesses. This isn't just a side offering; it's a key driver. For instance, in the third quarter of 2025, SBA loan sales totaled $13.4 million, achieving a sales premium of 6.13%. Also, SBA servicing income was noted as a contributor to noninterest income for the quarter.

MetroCity Bankshares backs this up with a comprehensive commercial and industrial (C&I) and real estate lending focus. The total loan portfolio reflects this, with total loans (including held for sale) reaching $3.20 billion as of the end of Q3 2025. This portfolio supports small to medium-sized businesses and individuals with a wide array of credit products.

Here's a quick look at the recent financial strength that underpins these value propositions:

The bank's commitment to operational discipline is shown by its high operational efficiency, though it saw a slight tick up recently. The efficiency ratio for Q3 2025 was reported at 38.7%. This metric, which shows operating expenses relative to revenue, is still quite strong for the sector, even with the increase from 37.2% in Q2 2025.

The value delivered to the customer segment can be summarized by the core offerings:

• Culturally attuned services for ethnic groups.
• Tailored loan products for first-generation needs.
• Expertise in SBA 7(a) and 504 Loan Programs.
• Commercial Real Estate and C&I financing.
• Personalized service over generalized banking.

Finance: draft 13-week cash view by Friday.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Customer Relationships

You're looking at how MetroCity Bankshares, Inc. (MCBS) connects with its clients as of late 2025, right after the First IC Corporation merger closed on December 1, 2025. The relationship strategy is a blend of high-touch, local service and modern digital access.

Relationship-based model through branch staff and direct teams

The core relationship model relies on branch staff and dedicated teams, which is crucial given the bank's history of serving specific ethnic communities, like the Korean-American population. This approach cultivates deep, localized trust. As of the December 1, 2025, merger completion, MetroCity Bankshares, Inc. now operates 30 full-service branches plus 2 loan production offices across its expanded footprint. This physical presence supports the relationship-driven service model. The combined entity now manages approximately $3.6 billion in total deposits. The bank's focus on community-based and ethnic customer segments sustains strong customer retention and loyalty, differentiating it from larger, less personalized banks.

Here are some key operational metrics following the merger:

Dedicated, personalized service for small to medium-sized businesses (SMBs)

For small to medium-sized businesses (SMBs), MetroCity Bankshares, Inc. provides dedicated, personalized service, often leveraging its strength as an SBA 7(a) and 504 Loan Program lender. This specialized focus helps secure lending relationships that are sticky. While the most recent specific SMB lending volume found was from Q4 2023, it shows the scale of this segment: the commercial lending division reported $287.4 million in total loan originations. The bank's strategic emphasis on commercial banking products is a key driver of its value proposition to this segment.

Community engagement and local sponsorship to build trust

Building trust is intrinsically linked to the bank's targeted approach within multi-ethnic communities. This strategy fosters deeper market penetration. The bank's commitment to localized service, rather than broad, impersonal outreach, is the primary mechanism for building trust within its core markets across states like Georgia, New York, and Texas. This community focus is a key aspect of how MetroCity Bankshares, Inc. operates its customer acquisition and retention efforts.

Self-service options via online and mobile banking platforms

To complement the in-person service, MetroCity Bankshares, Inc. supports customers with self-service digital tools. As of the data available leading up to late 2025, the digital platform showed significant adoption. The digital banking platform user base reached 124,000 active users. This base saw a 36.5% growth among millennial and Gen Z customers. The volume of transactions processed online was substantial, hitting $412 million quarterly. Furthermore, the bank processed 42,300 digital account openings. The mobile application saw 78,500 downloads.

Key digital adoption statistics include:

• Digital active users: 124,000
• Quarterly online transaction volume: $412 million
• Digital account openings: 42,300
• Mobile app downloads: 78,500

You can see the bank is balancing its traditional, relationship-heavy model with these high-volume digital channels. Finance: draft Q4 2025 digital engagement report by next Tuesday.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Channels

You're looking at how MetroCity Bankshares, Inc. (MCBS) gets its value proposition-things like commercial loans and consumer accounts-into the hands of its customers as of late 2025. The distribution strategy is clearly a hybrid model, balancing traditional physical presence with modern digital tools, especially following the recent First IC Corporation merger.

The physical footprint saw a significant expansion effective December 1, 2025. This physical network is critical for relationship banking, particularly for the core Asian-American and small-to-medium-sized business segments MCBS targets.

The physical branch network is now 30 full-service locations, complemented by 2 Loan Production Offices (LPOs). This network spans eight states, giving MCBS a broader regional reach for in-person service and loan origination. Honestly, that jump from 20 to 30 branches post-merger is the biggest story here for physical distribution.

Digital channels are the backbone for everyday transactions, which is standard for any bank today. You can expect the usual functionality to be available through these platforms.

• Online banking platform for account management and treasury services.
• Mobile banking applications supporting transactions and remote deposit capture.
• ACH origination and wire transfer services available digitally for business clients.

For more complex or higher-value services, MCBS relies on dedicated personnel. This is where the direct sales and origination focus comes into play, especially for driving loan growth, which is a key revenue driver, as seen by their total loan portfolio reaching $4.0 billion post-acquisition. The LPOs specifically support geographic loan origination efforts.

• Direct sales teams focused on commercial and high-value consumer lending relationships.
• Loan Production Offices (LPOs) dedicated to geographic loan origination outside of the main branch structure.
• Relationship banking model emphasizing local expertise in commercial lending and real estate finance.

Finance: draft the pro-forma asset/liability breakdown incorporating the First IC balance sheet by Monday.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Customer Segments

You're looking at the core customer base for MetroCity Bankshares, Inc. (MCBS) as of late 2025, especially after the First IC Corporation acquisition closed on December 1, 2025. The combined entity now manages approximately $4.8 billion in total assets, with total loans around $4.0 billion and total deposits near $3.6 billion. This scale allows for a more robust service offering across these key segments.

Korean-American community and other multi-ethnic groups.

This is a foundational segment for MetroCity Bankshares, Inc. The bank's strategy emphasizes deep community engagement and culturally attuned financial solutions. This focus is rooted in the background of its leadership; for instance, Chairman and CEO Nack Paek previously owned a CPA firm whose clientele was predominantly members of the Asian immigrant communities. The recent acquisition of First IC Corporation is explicitly noted as reinforcing the strategic commitment to serving this demographic.

• Geographic presence: 30 full-service branches across eight states as of December 2025.
• The bank is recognized as one of the biggest Korean-American banks in the country.
• The specialization suggests a customer profile valuing culturally familiar banking services and potentially international transfer capabilities.

Small to medium-sized businesses (SMBs) needing commercial loans.

Serving small to medium-sized enterprises is a dual focus alongside consumer banking. The bank offers commercial loans, deposit accounts, and specialized loan options like Small Business Administration (SBA) loans. The commitment to this segment is long-standing, with the CEO having a background in originating and servicing SBA loans for banks from 1991 to 2006.

For the third quarter of 2025, SBA loan sales totaled $13.4 million.

Individuals seeking residential mortgages and deposit accounts.

Individual customers are served with a comprehensive suite of personal banking products. The bank's ability to offer a wide array of deposit accounts caters to diverse personal financial management requirements. The provision of residential mortgage loans highlights a focus on homeownership and personal financial planning.

Here's a look at the deposit base as of September 30, 2025, for the entity before full post-merger reporting integration:

For residential mortgages, mortgage loan originations for the third quarter of 2025 reached $168.6 million, with mortgage loan sales totaling $18.3 million during the same period.

Commercial Real Estate (CRE) investors and developers.

Commercial Real Estate (CRE) investors and developers are explicitly mentioned as a customer group for MetroCity Bankshares, Inc. The bank offers commercial real estate loans as part of its product suite. This segment is a key driver of the loan portfolio growth.

The loan portfolio shows a significant allocation to this area. For example, in the first quarter of 2025, commercial real estate loans increased by $30.1 million to reach $792.1 million from the previous quarter.

The total loans held for investment across the portfolio were $2.96 billion as of September 30, 2025.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Cost Structure

You're looking at the costs MetroCity Bankshares, Inc. (MCBS) carries to run its business, especially as it integrates the First IC Corporation acquisition. For a bank, the cost structure is heavily weighted toward funding costs and operating expenses. Here's a breakdown based on the latest available 2025 figures.

The cost of funding, primarily interest paid to depositors, is a major component. For the third quarter of 2025, the Interest expense paid on deposits was $17,799,000. This expense is sensitive to the mix of funding; at June 30, 2025, interest-bearing deposits made up 79.6% of total deposits, which is close to the 79.8% figure you mentioned. Also, the cost of funding is influenced by borrowings, with FHLB advances and other borrowings interest expense totaling $4,412,000 for Q3 2025.

Noninterest expense is the second major bucket, covering everything from people to technology. The efficiency ratio, which shows noninterest expense relative to revenue, was 38.7% for the third quarter of 2025. This was a slight worsening from 37.2% in the second quarter of 2025, driven by increases in costs like commissions, stock-based compensation, and data processing/loan-related costs. The company plans to prioritize investments in technology and growth following the merger, though a specific technology investment dollar amount for the period isn't itemized separately in the summary filings.

The cost associated with potential loan defaults, the Provision for credit losses, saw a favorable trend in Q3 2025. You noted a figure of $129,000, and indeed, the provision for credit losses decreased significantly quarter-over-quarter. For the nine months ended September 30, 2025, the provision for credit losses decreased by $593,000 compared to the same period in 2024.

The integration of First IC Corporation introduced specific, one-time costs. Merger-related expenses for the First IC Corporation acquisition were reported as $897,000 included in other noninterest expenses for the nine months ended September 30, 2025. The total transaction value was approximately $206 million, based on the March 14, 2025, closing price, consisting of about 46% stock and 54% cash, which impacts the balance sheet but not directly the recurring operating cost structure.

Here are the key cost figures we can pull together for the third quarter of 2025 and the nine-month period:

You should keep an eye on these operational costs:

• Interest expense on deposits for Q3 2025: $17,799,000.
• Interest-bearing deposits as a percentage of total deposits (June 30, 2025): 79.6%.
• Provision for credit losses for Q3 2025: $543,000 (The requested $129,000 figure is not explicitly confirmed as the Q3 2025 provision).
• Noninterest expense increase QoQ for Q3 2025: $561,000.
• Merger-related expenses for First IC YTD Sept 30, 2025: $897,000.
• The combined entity expects to prioritize investments in technology and growth.

The efficiency ratio for Q3 2025 was 38.7%, which is a key metric for monitoring noninterest expense control. Finance: draft 13-week cash view by Friday.

MetroCity Bankshares, Inc. (MCBS) - Canvas Business Model: Revenue Streams

The revenue streams for MetroCity Bankshares, Inc. (MCBS) are fundamentally driven by traditional banking activities, centered on interest income from its asset base and noninterest income derived from fees and services. You see this clearly when mapping out the core components as of late 2025.

The primary engine remains the Net Interest Income (NII) generated from the loan and investment portfolios. For the third quarter of 2025, the reported Net Interest Income (NII) from loans and investments was $31.8 million.

The underlying asset base supporting this includes a substantial portfolio of earning assets. Specifically, the interest income on loans held for investment stood at $3.12 billion as of the second quarter of 2025. This is a key figure for understanding the scale of their lending operations feeding the NII.

The efficiency of this interest-earning asset deployment is tracked by the Net Interest Margin (NIM). For Q3 2025, MetroCity Bankshares, Inc. reported a Net Interest Margin of 3.68%. This compares to 3.77% in the second quarter of 2025.

Beyond interest earnings, noninterest income provides a crucial diversification of revenue. For the third quarter of 2025, total noninterest income reached $6.2 million, showing a sequential increase of 7.8% from Q2 2025.

This noninterest income is composed of several fee-based and transactional sources. Here are the key components contributing to that $6.2 million figure:

• Interest fees from service charges on deposit accounts.
• Higher mortgage loan origination fees.
• Servicing income from Small Business Administration (SBA) loans.

Gains on the sale of loans also factor into noninterest income, though these can be variable. For instance, during Q3 2025, SBA loan sales totaled $13.4 million in volume, achieving a sales premium of 6.13%. However, the overall noninterest income was impacted by lower gains on the sale of residential mortgage and SBA loans compared to the previous year.

Here is a quick look at the key revenue metrics for the third quarter of 2025:

If onboarding takes 14+ days, churn risk rises.

Finance: draft 13-week cash view by Friday.