Bank of Bolivar solidifies Springfield presence

Since its start in 1997, the Bank of Bolivar has grown from its initial $3 million in capital to nearly $200 million in assets and four locations, including its most recent, in Springfield.

The bank, which opened a temporary location on East Chestnut Expressway in October 2007, celebrated in June its December 2008 relocation to a permanent, standalone bank at 2920 E. Chestnut Expressway.

President Brad Gregory credits the bank's continued growth - despite recent challenges in the financial sector - to a slow but steady approach to expansion and having the right people in the right place.

"Banking is a relationship business and if you get the right people, they can bring business to you," Gregory said.

After seeing success with the 1999 opening of a Fair Grove location and the 2005 addition of a second Bolivar location, the Bank of Bolivar began casting an eye to the Springfield market.

"We just felt like we do business with some existing customers in Springfield and then with a lot of our people traveling to Springfield, we felt that it would be a nice thing in terms of convenience to them," Gregory said. "I think as you look at the potential for expansion ... (it) made more sense going to Springfield."

But before any firm decision was made, Gregory and the bank's board of directors wanted to make sure they had the right person in place.

Gregory immediately thought of Bill Owen, a longtime banker who Gregory had known from their days in the mid-1970s at Drury University.

"I can't stress enough finding the right people and building a branch around them," Gregory said.

Owen, now senior vice president of the Bank of Bolivar, said he agreed to join the bank because so many people he respected were involved in its operation.

Owen joined the bank in June 2007 and immediately started looking for a temporary site for the Springfield branch.

"That was the question the guys (on the board of directors) asked me; they said, 'Where do we need to be?'" Owen said. "And I said, 'Really, I think we need to be along the Highway 65 corridor, and for two reasons. One, we have so many existing customers in Fair Grove and northern Greene County and southern Dallas and Polk counties that come up and down 65 right now that we could go ahead and service those people. ... Second of all, I see the next real high-end growth of Springfield over the next five to 10 years going straight east of 65.'"

Gregory agreed with the decision.

"It's not near as 'banked' as a lot of areas of Springfield," Gregory said of the area. "We felt like we could come in and be a neighborhood bank. It was a good starting point for the Springfield market."

Soon, Owen secured 2,400 square feet in a strip mall within a half-mile of U.S. 65 on East Chestnut. In October, the temporary location was opened.

Business was good, but the bank had some limitations. It wasn't convenient - there was no drive-through, for example - and some potential customers were taking a wait-and-see approach.

"A number of people said, 'We're interested in doing business with you, but we want to see where you end up,'" Owen said, adding that he didn't blame them. If the bank wound up on the west side of town, it wouldn't make much sense for an east-side resident to do business there.

Within six months of opening, Owen said he told Gregory that it was time to speed up the process of finding a permanent home.

There was a facility across the street from the temporary branch that would be perfect, but it was occupied by Village Bank.

The Bank of Bolivar approached Village Bank about selling, and they agreed, Gregory said. He declined to reveal the purchase price, but he said it was considerably lower than if they had decided to build east of U.S. 65.

Bank of Bolivar shows nearly $170 million in deposits as of June 30, according to a statement of condition posted at www.bankofbolivarmo.com.

The bank offers a full spectrum of banking services on site - checking and savings accounts; personal, mortgage and commercial loans; and investment and retirement plan services, among others.

Thomas H. Douglas, president of JMark Business Solutions, shifted his business over to Bank of Bolivar about a year ago. He said he had been banking with a nationwide bank, which he declined to name, and he wanted more one-on-one attention.

Douglas said he's been impressed with Owen and the bank's approach.

"So many of the banks we tried to work with, literally things would drag out for months and even over a year when we tried to get things accomplished," Douglas said. "When we approached the Bank of Bolivar and worked with Bill, we had all of the decisions made, were able to transfer loans and do everything we needed to do within such a short period of time. My accounting department was (saying), 'Whoa, whoa, whoa, hang on, let us catch up.'"

Gregory said he expects the Bank of Bolivar's Springfield presence to grow.

The bank already has opened an investment office in Springfield, at 1200 E. Woodhurst St., Ste. A, and bought additional land around the East Chestnut location in case it wants to expand there at some point. "It wouldn't be a bad idea to be on the west side of Springfield. We're just taking it slow, with the banking industry the way it is," Gregory added.