Mercantile Bank Corp was organized on July 15, 1997, under the laws of the State of Michigan for the purpose of holding all of the stock of Mercantile Bank of Michigan. The Company, through its subsidiaries, provides banking, insurance and real estate services. The Bank is a community-based financial institution. The Bank's primary deposit products are checking, savings, and term certificate accounts, and its primary lending products are commercial loans, residential mortgage loans, and instalment loans. Insurance products are offered through an Agency and Institutions Agreement among Mercantile Insurance, the Bank and Hub International. The insurance products are marketed through a central facility operated by the Michigan Bankers Insurance Association, members of which include the insurance subsidiaries of various Michigan-based financial institutions and Hub International. Mercantile Real Estate develops, constructs, and owns a facility in downtown Grand Rapids that serves as its Bank's main office and Mercantile's headquarters. It competes for deposits, loans and other financial services with numerous Michigan-based and national and regional banks, savings banks, thrifts, credit unions and other financial institutions as well as from other entities that provide financial services. The Company is subject to regulatory capital requirements administered by federal banking agencies.