Ken LaRoe Of Climate First Bank: 5 Things You Need To Be A Highly Effective C-Level Leader Of A Bank
An interview with Kieran Powell
Adaptability and Innovation: In an ever-changing financial landscape, adaptability and a commitment to innovation are crucial. Embracing new technologies and fostering a culture of continuous improvement and agility is core to our success at Climate First Bank.
In today’s rapidly evolving financial landscape, the role of C-level leaders in banks is more critical than ever. These leaders must navigate complex regulations, drive innovation, maintain financial stability, and foster a strong organizational culture. What does it take to be an effective leader at this level? We had the pleasure of interviewing Ken LaRoe, CEO and Founder, Climate First Bank.
Ken LaRoe came out of retirement to establish Climate First Bank in June, 2021. After successfully launching two banks in Central Florida, LaRoe returned to the industry because of his conviction he could fight climate change through finance. He raised over $44 million in just one year to establish Climate First Bank. LaRoe brought the Bank to market in the turbulent economy of the pandemic but was propelled to launch by the knowledge that time was not on the side of climate change. He believed the best thing that he could do for the community and for the world was to launch the Bank as soon as possible, even if it was a great risk for himself, personally and professionally.
Since this launch, the Bank has continually expanded its physical and digital banking offerings. While still in de novo status, a period of heightened regulatory oversight for startup banks, LaRoe has led the development of digital banking services that are used by customers nationwide. Climate First Bank is the nation’s first FDIC-insured, values-based, digital community bank founded to combat the climate crisis. While traditional banking often invests customers’ deposits in financing extractive and exploitative industries, Climate First Bank’s customer deposits fund education, affordable housing and renewable energy including solar loans for consumers and businesses. The Bank provides a deeply necessary alternative to the industry standard of banking, allowing consumers to have a say in what their hard-earned money is funding. Climate First Bank’s offerings and services enable customers to easily live out an environmentally ethical lifestyle. The Bank is a Certified B Corp and member of the Global Alliance for Banking on Values (GABV), showcasing its commitment to doing the right thing for communities and the environment.
All Climate First Bank customers can access specialized programs such as the nation’s most ethical solar lending platform, as well as LGBTQ+-affirming Pride Banking, in addition to deposit account rates that outperform the nation’s largest banks. In just three years, Climate First Bank has grown to over $650M in assets, has provided access to solar power to more than 2,000 households, and raised $79M in capital from our community, making it one of the fastest growing banks in the United States.
Thank you so much for your time! I know that you are a very busy person. Our readers would love to “get to know you” a bit better. Can you tell us a bit about your ‘backstory’ and how you got started?
Sure — I was born and raised in Eustis, Florida. I still live there with my wife, Dr. Cindy LaRoe. I earned a B.S. in Management at Florida State University and a J.D. at The University of Florida College of Law. I launched my third bank, Climate First Bank in St. Petersburg, Florida in 2021 and chartered both Florida Choice Bank and First Green Bank in Eustis prior to that. I am also a Leadership in Energy and Environmental Design Accredited Professional (LEED AP). Me and my wife, Cindy, are also athletes and artists. We were especially avid cyclists, having competed for several years and represented Team USA in the 2008 Duathlon World Championships in Italy. I have also competitively completed Ironman Florida in 2007, as well as many other triathlons, duathlons, marathons and other athletic events. I have two children who are the apple of my eye, Mackenzie and Zachary. Cindy and I also have four grandchildren.
After graduating from Florida State University, my banking journey began in 1982 at Flagship Bank in Tavares, Florida. I went on to SouthTrust Bank as Senior Lender and subsequently enrolled at age 32 at The University of Florida College of Law where I graduated then returned to Lake County and practiced law. In 1996, I joined Colonial Bank as president of their Lake County operations. I founded Florida Choice Bank in 1999, grew it to over $400 million in assets by 2006 when the bank was sold to Alabama National Bankcorp.
Is there a particular book that made a significant impact on you? Can you share a story or explain why it resonated with you so much?
I planned to retire after selling Florida Choice Bank in 2006, and set out with Cindy on a lengthy, soul-searching journey across the U.S. in a mini motor home. Along the way, I began reading a book my brother had given me: “Let My People Go Surfing,” by Yvon Chouinard, founder of Patagonia, the highly successful outdoor clothing and equipment company. Chouinard’s philosophical approach to business greatly influenced me and during the road trip, I became convinced that business can be holistic: in addition to making a profit, business can have a positive impact on society. Chouinard developed a business model that integrated his principles and professional acumen, and he was able to experience enduring success without the degree of ethical compromise that often counters the contributions business leadership can make to our environment and to our culture. Using this values-based business model, I expanded First Green Bank across the state of Florida, demonstrating financial excellence and ultimately making a global impact. I grew the bank to over $825 million in assets by 2018 when the bank was sold to Seacoast Banking Corporation.
None of us can achieve success without some help along the way. Is there a particular person that you are grateful for, who helped get you to where you are? Can you share a story?
My family is imperative to my success. Climate First Bank wouldn’t exist if it weren’t for my wife, Dr. Cindy LaRoe. I planned to retire after selling First Green Bank in 2018, and I set out with Cindy on a lengthy, soul-searching journey across the U.S. in a mini motor home. During that trip, I decided 100 times I was going to start another bank, and 101 times that I wasn’t. Finally, during that trip, Cindy said “you’ve got to do this.” It was Cindy who came up with the name “Climate First” to brazenly put our mission at the very front of our branding and messaging, and it was my daughter, Mackenzie LaRoe who came up with our logo. My grandkids have a lot to answer for too — when I look at them in 20 years, I want to be able to say I did my best to make the world a better place.
Can you share a funny mistake that you made when you were first starting out?
When I was 25 years old and starting out in my career, I was Branch Manager for the main branch at Flagship Bank in Tavares, Florida. It was a pretty intense role, as you can imagine, and I was under a lot of pressure to keep the branch running smoothly, bring in a substantial amount of deposits — you get the idea!
One day, the Bank President came into my office early one morning and asked if I could take a walk with him. We walked out together, circling the building making small talk.
Suddenly the President stopped in his tracks and stood staring at the landscaping. I’d been so fixated on making the branch run well, I hadn’t noticed a huge 2–3 ft. car hood that someone had dumped right in the middle of the landscaping — an entire hood of a car! It looked terrible. I just couldn’t believe that I’d missed it for weeks and weeks.
The Bank President stood there for some time, an awkward silence forming between us as I realized what a big oversight it was. He finally looked at me and said, “That has been here for weeks, do you ever walk around the building and make sure everything is in order?”
I scrambled to shift the hood into the trash and needless to say, I never missed a walk around the branch again!
How do you define “Leadership”? Can you explain what you mean or give an example?
To me, leadership is the ability to inspire, guide, and empower others to achieve a common goal. It involves not only setting a vision and direction, but also fostering an environment where individuals feel valued, motivated, and capable of contributing to that vision. Effective leadership combines strategic thinking, empathy, and ethical integrity to drive both individual and organizational success.
Can you share an example of a challenging decision you faced as a C-level leader and how you navigated it?
The Silicon Valley Bank collapse sent shockwaves through the financial sector, causing widespread concern among investors, customers, and regulators. All banks were impacted for one reason or another, but our biggest concern was reassuring our customers, particularly personal banking customers and business customers in the tech and startup sectors. Understandably, they were worried about the stability of their own deposits and access to funding.
How do you balance the demands of regulatory compliance with the need for innovation and growth within your bank?
We have invested heavily in building a robust compliance culture within the Bank. This involves continuous training for our employees, implementing state-of-the-art compliance technologies, and fostering an environment where adherence to regulations is seen as everyone’s responsibility. It’s also as simple as fostering an “open door” policy despite being a remote-first organization, the team know they can reach our compliance department easily whenever they are needed.
How do you foster a culture of ethical behavior and integrity within your organization?
We work hard to foster a positive, empathetic culture at the Bank. A huge part of this is the way we embed sustainability and continued development into our employees’ day-to-day lives both at the Bank and in their personal lives too. We offer a Mission Specialist Program whereby employees can advance their learning, volunteer in their communities or adopt sustainable practices at home such as composting. Employees get points for activity and get permanent pay rises at certain milestone moments.
What strategies do you use to stay ahead of industry trends and ensure your bank remains competitive in the market?
I have a great team who proactively monitor a lot of the information out there for the latest rates and bank trends. It’s not just about competitive rates though, every day I’m amazed by the service we offer our customers. I’ll get handwritten notes from our customers who will call out team members by name for the way they went above and beyond. It’s really ingrained into our employees’ DNA to offer outstanding service.
What are “5 Things You Need To Be A Highly Effective C-Level Leader Of A Bank”?
- Strategic Vision: I truly believe that the team demonstrates strategic vision every day at Climate First Bank. I founded the Bank based on sustainable finance and environmental, social, and governance (ESG) criteria. By setting ambitious goals for sustainable financing and communicating them effectively, I positioned the bank as a leader in addressing climate change, which has resonated with partners, investors and customers. It’s also attracted top talent, and it’s that talent that drives excellence every day.
- Adaptability and Innovation: In an ever-changing financial landscape, adaptability and a commitment to innovation are crucial. Embracing new technologies and fostering a culture of continuous improvement and agility is core to our success at Climate First Bank.
- Strong Ethical Foundation: To be values-led is one thing, but as a leader, it’s not enough to only talk the talk, you have to walk the walk too. It’s not easy in a competitive, turbulent environment like banking and I make sure to surround myself with highly responsible colleagues who aren’t afraid of pushing back and questioning my decisions.
- Effective Communication Skills: Being transparent and communicating authentically is a key part of building trust with stakeholders. It’s one of my favorite parts of the Bank’s ethos and something we put to practice every day — most recently, we directly wrote to all our stakeholders after the Silicon Valley Bank collapse in 2023. It was important for us to react to that and reassure our customers.
- Focus on Customer Experience: Prioritizing customer experience and ensuring the Bank meets the evolving needs of its customers is crucial. This involves understanding customer pain points and innovating to provide superior service. For Climate First Bank, it means being ahead of the game with digital banking and being able to offer our banking services nationwide without the need for someone to come into a physical branch. So far, our Digital Branch has been the fastest growing across all our branches, and I credit our digital team for that too — they consistently go above and beyond and provide outstanding customer service.
How can our readers further follow your work?
Please visit the Bank’s website for all of our latest news: climatefirstbank.com/news, and please check out and subscribe to the Bank’s YouTube channel (@climatefirstbank), follow us on social media (Facebook, Instagram, and YouTube @climatefirstbank, LinkedIn, and X @climate1stbank. You can follow me on LinkedIn too, search for Kenneth LaRoe.
Thank you so much for sharing these important insights. We wish you continued success and good health!
About The Interviewer: Kieran Powell is the EVP of Channel V Media a New York City Public Relations agency with a global network of agency partners in over 30 countries. Kieran has advised more than 150 companies in the Technology, B2B, Retail and Financial sectors. Prior to taking over business operations at Channel V Media, Kieran held roles at Merrill Lynch, PwC and Ernst & Young. Get in touch with Kieran to discuss how marketing and public relations can be leveraged to achieve concrete business goals.
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