Business Bank of Nevada begins its Arizona expansion

Kevin Rademacher

Monday, Aug. 15, 2005 | 11:52 a.m.

Las Vegas-based Business Bank of Nevada this morning announced that it has taken the first step toward expanding into Arizona.

The bank this morning officially opened a loan production office in the Phoenix suburb of Scottsdale. The office -- which will operate as Premier Business Lending Services -- was characterized by bank executives as paving the way for Business Bank branches in the future.

"The bank is not going to expand in the market just to do a (loan production office)," said Mark Phillips, executive vice president and chief credit officer for Business Bank. "It's the first step."

Business Bank -- which has seven branches in Nevada -- entered Northern Nevada in a similar fashion, starting with hiring key local personnel and establishing loan offices to create a foundation for future branches.

"It kind of builds on that philosophy of finding the people first," Phillips said.

The bank brought on those Arizona people about a month ago, including former Bank of America executives Marci Gillette and Nivia Gonzales Schnieper.

Phillips said a key factor in expanding into Arizona was the demand from existing Business Bank customers.

"Arizona has good synergies with Nevada," he said, pointing to the close proximity and similar growth rates. "And our existing customers are doing more business in the Phoenix area."

Business Bank's parent company last month reported its first million-dollar quarter. Second-quarter net profit for the company was $1.2 million, or 60 cents per share, up from $710,000, or 38 cents a share, for the same 2004 quarter.

Assets, as of June 30, reached $399.6 million, up from $308.8 million a year ago. Total deposits grew to $360.5 million, up from $283.5 million at the same point last year.