It seems leadership is capped at 200... I wasted an XP point. BUT if they want this game to work, they will need stronger people to own the castles and towns and wage battles, and they will need money to hire people as mercenaries to fight their wars- everything from a 95 man army to a 3 man army to be a quick recon group. And that would be more fun than fighting looters.
So what is wrong with some people having a better starting advantage? When you play single player there are many armies stronger than you. You just get in the game, level your guys up, have fun, and eventually get your own big ass army and perhaps maneuver your way into owning lands.
I won't play if they have a wipe- I feel like I am training my men for the oncoming war, and that keeps me going. If my character dies of old age and I have to restart, I am ok with that. Just let me use my army a few times before I gotta begin all over.