The 5th pillar- Other
(This report is being written and edited on a constant basis by Morrison Marketing. Morrison Marketing is a small marketing firm in Augusta, Georgia serving small business in the area. We design websites, create logos, give consulting advice and pretty much anything to do with growing or starting your business. I am a 23 Y/o Augusta Tech graduate and love my city, I will work very hard for you and your business, for money, but also out of love for this subject and my city. I have many blogs, reports, YouTube videos covering issues relevant to Augusta and her economy. If you have any concerns, information for me, would like to discuss business issues or would like me to work to grow your business, please email me at AugustaEconomy@gmail.com, thanks, lets grow this city and make something happen -Michael Morrison, Morrison Marketing "A proud to be Augusta, Georgia company)
(This report is being written and edited on a constant basis by Morrison Marketing. Morrison Marketing is a small marketing firm in Augusta, Georgia serving small business in the area. We design websites, create logos, give consulting advice and pretty much anything to do with growing or starting your business. I am a 23 Y/o Augusta Tech graduate and love my city, I will work very hard for you and your business, for money, but also out of love for this subject and my city. I have many blogs, reports, YouTube videos covering issues relevant to Augusta and her economy. If you have any concerns, information for me, would like to discuss business issues or would like me to work to grow your business, please email me at AugustaEconomy@gmail.com, thanks, lets grow this city and make something happen -Michael Morrison, Morrison Marketing "A proud to be Augusta, Georgia company)
(ADP, a respected global corporation has set up shop in Suburban Augusta and has enabled the labor force to have a truly world class employer option that will be crucial for raising the median wage in the region. Although buildings like these hire less people than the factory counterparts they are usually followed by higher income jobs that emerge in a service sector economy. Buildings like this do, however, represent modern day efficiency, something that is good enough to sell in any country and to uphold many standards. Corporations like this can work wonders for the economy of Augusta, as this example represents the largest single leap forward in the areas finance sector, outside of its local deposit banks. The skills learned here will enable unfathomable trickle down companies that need experience and commitment in this field. As always, the first step was the hardest, and to bring in more IT/finance corporations is to step further and further into the economy of the 2010's)
(Costco came to Augusta, Georgia, on its stronger consumption base, on the West side of the city. The announcement is large when compared to the other box retailers like Wal Mart and Kroger, having built several retail locations in the area in the past 10 years also. The diversification of places to shop and prices presented to the consumer is a benefit for both the merchants and the consumer in this area. A lot of growth in Augusta can simply come from businesses like Costco deciding to close a regional gap location like Augusta. The appeal of growth in America attracts the most basic of investments like this into the city)
Georgia Bank and Trust
(The brand for Georgia Bank & Trust, simple and concise. There is nothing special needed for the conservative classical banking)
(Banking is doing well and Georgia Bank & Trust has shown promising growth, with many anecdotal experiences of good customer experience on a personal and second hand experience and a conservative lending standard, Georgia Bank and Trust has grown, slowly but surely, the secret formula to a solid bank)
(The old school look of the Downtown Branch attracts many past the bland and plain design of modern construction. The intricate woodwork and constant decor is indicative of European designs and is appeasing to the Augusta citizen, who does not see such designs daily)
A good way to see the health and vitality of activities economy is to look at the big local banks in the area. If there is good commerce in the city then there should be banks to represent the vast circulation of capital between people. The facilitation of banks are crucial for the diverse needs of consumer banking that enable consumption, and commercial banking to enable that consumption to be met. Georgia Bank and Trust does well to patrol the flow of transactions in an average Augusta day and they are in best position to benefit off of future growth due to their painstakingly slow growth of branches.
Georgia Bank and Trust has a relationship across the citizenry that is valuable and will take a lot of marketing, effective operations and sheer fortune to overtake them in market share. Being at the top, they are in a better position for partnering with others on financing a project and for being one of few who will lend heavily. Georgia Bank and Trust has all of its incentives and profits locally, so they have a very concise strategy of simply, "What is best for Augusta and the CSRA is good for us".
Georgia Bank and Trust has a relationship across the citizenry that is valuable and will take a lot of marketing, effective operations and sheer fortune to overtake them in market share. Being at the top, they are in a better position for partnering with others on financing a project and for being one of few who will lend heavily. Georgia Bank and Trust has all of its incentives and profits locally, so they have a very concise strategy of simply, "What is best for Augusta and the CSRA is good for us".
(Daniel Blanton, The CEO and President of Georgia Bank and Trust. A true American and Augustinian story of a bank teller to CEO story and a strong figure in the Augusta community handling over $1,700,000,000 in assets. I even forgive him for going to Clemson, arch rival to the UGA bulldawgs)
Georgia Bank & Trust is the healthiest financial institution in the area and is the best representative to the world, of what goes on in Augusta. This is a true local bank, it does not gamble with deposit money on derivatives and on commodity speculation like most of the big banks do, or smaller ones due through subsidiaries and "shadow" fronts. Georgia Bank and Trust is simple enough to understand and they will not be involved with a "Lehman Brothers" type scenario, even in the most viscous derivative bear market. In a bank run scenario where even the FDIC fails and the FED cannot print money fast enough to meet liquidity demands and facilitate an easing of the credit markets, Georgia Bank and Trust will be able to retrieve assets for withdrawal fast. The safety of bank assets may be unthinkable and irrelevant to some, but is more and more likely with the banking crisis of Cyprus and the "Bail in" strategy of seizing depositors account has shown it is possible in a Western country. The perception of safety and complete control of the economy by the Government should not be given the shadow of a doubt and that alone makes small banks like Georgia Bank and Trust attractive to park some money. We have not had to think about the safety of a local bank much since the 1930's, but with the repealing of the stipulation of separation of services of banking, the safety and activities of your bank is the most appealing competitive factor in any "Wealth Preservation" based depositors.
By being concentrated on one region Georgia Bank & Trust can keep a close and more customized eye on the economy here than the larger players. They have insider knowledge from relationships built from deposits being created from locals. As people are drawn into the convenient locations, the are cross sold to and use more and more advanced services as their wealth accumulates, through gains, or transfers. This bank did not get involved to heavy in the mortgage mess of the 2000's and was lucky that Augusta did not participate in the run-up as much as other cities.
Many of the to brass has worked together for a long time and most of them are lifetime banking professionals. The bank undoubtedly has lower turnover than larger banks and longevity is a good thing for a bank, as the banker has more incentive to make good loans on behalf of the company and not his bonus. Their life with the bank and life at home begin to merge through the close tie between employees/friends and the banking community. This bank is the culmination of many years of practice and many of the same people are there to steer the boat.
Many of the to brass has worked together for a long time and most of them are lifetime banking professionals. The bank undoubtedly has lower turnover than larger banks and longevity is a good thing for a bank, as the banker has more incentive to make good loans on behalf of the company and not his bonus. Their life with the bank and life at home begin to merge through the close tie between employees/friends and the banking community. This bank is the culmination of many years of practice and many of the same people are there to steer the boat.
Specific businesses that come looking for a business loan will find many well prepared and knowledgeable bankers to talk to and work with. There will be help and facilitation on having a bank account, referring to other services and everything else that a financial firm can do to ensure the mutual success of the investor and the one receiving the investment.
The modest diversity in services has given the bank an area of growth in the cyclical sector of investing. The more people that keep large cash deposit bank accounts and use wealth management services means more profit for almost the same work. The costs in keeping a deposit right now is high in the baking industry, about $250 an account a year, although these numbers seem to be quite exaggerated, as banks have very different cost structures and regulatory compliance.
(A 10 year chart of the Stock price of SBFC, the holding company for Georgia Bank and trust. Georgia Bank and Trust is the only bank and entity owned by the company and it is due to the banking regulations)
Georgia Bank and Trusts offices and Deposits
Southeastern Bank Financial Corporation operates as a bank holding company for Georgia Bank & Trust Company of Augusta, which provides a range of financial services to individuals, small to medium sized businesses, and professionals in the Richmond and Columbia Counties of Georgia, and Aiken County, South Carolina. It offers various deposit products, including noninterest-bearing demand deposits, interest checking accounts, money management accounts, savings accounts, NOW accounts, and time deposits. The company’s lending products comprise residential and commercial real estate loans, construction and development loans, commercial and consumer loans, and home equity loans. It also provides wealth management, trust, retail investment, and mortgage services. The company operates nine full service branches in Augusta, Martinez, and Evans, Georgia; and three full service branches in North Augusta and Aiken, South Carolina under the name Southern Bank & Trust, as well as one limited service loan production office in Athens, Georgia. Southeastern Bank Financial Corporation was founded in 1989 and is based in Augusta, Georgia.
(Georgia Bank and Trust, presents a $1,500 donation to Augusta Technical College. The check will be used to provide scholarships to sixteen students that are preparing for the GED)
All of the regulations that have bee passing affecting the financial sector have largely fallen on smaller banks and non-diversified entities. It is harder to compete with the amount of regulation being fied and making the cost of operation tougher in the smaller banks. With Dodd- Frank Act in stipulating terms in mortgages the bread and butter of Georgia Bank and Trusts, and BASEL dictating the capital levels, there are burdens that are heavier for an entity with such small deposits. These laws are being crafted for larger banks, and not with the cost structure of small banks in mind. An example of this being a burden is the fact that Georgia Bank & Trust does not have a whoelc compliance division like many of the Charlotte, New York, Chicago, San Francisco and Atlanta banks do. The Augusta area probably does not even 20 people competent in the banking regulation, in the CSRA, that understand this regulation. Bankers and management are stressed and focused on other issues. The regulation are truly seen as a hassle for this local bank. The larger banks are usually taken care of laws and the smaller ones cannot afford to compete with them in "lobbying" to write laws. This shows an area where Augusta is not participating and is, indirectly, being taxed in. The regulations cause a transfer of wealth away from the bankers desk at these branch offices to the larger banks in the regional, national and international banks.
Georgia bank & Trust is also very limited in what it can do depending on what the Federal Reserve is doing. With rates being quite volatile lately, loans may not be originating as they should and now that rates are rising, more loans may be profitable and be made. This may force Georgia Bank & Trust to do things that may take into factors thing that have nothing to do with Augusta, like if the Federal Reserve is going to taper back its Quantitative Easing or not.
Being a strictly local bank, with most of its loans in Richmond and Columbia County, the bank has a lot of risk in lack of diversity in geographic sources of revenue. If the CSRA is struck with a downturn caused by a national trend that touches an industry that Augusta is in tune with or in a secular event, like the closure of one of the pillars of Augusta's economy then Georgia Bank and Trusts will suffer greatly. There will be no other areas to make up and share the losses. The losses will be felt at every single branch and the pull of capital will be felt from the whole area. On another note, if the CSRA does good and benefits, Georgia Bank And Trust will benefit so. If the area is not growing in wages, housing starts, population and deposits, then Georgia Bank and Trust is not growing.
Georgia Bank and Trust is a bank that represents Augusta. The need for cyber-security is needed, but not to the tune that is present in the larger banks and the safety fo the banks data infrastructure is comparable for like financial institutions. The safety and confidentiality associated with smaller banks is a good selling point for expanding deposits.
The kind of loans that Georgia Bank and Trust does
- Acquisition Development and Construction (“ADC”) – CSRA- This is a loan to build a house or development and sell it to pay back the financing. this is somewhat safe because the money is gotten fast and the house can be seized for collateral.
- Commercial Real Estate – Non owner occupied- This is more dangerous because it is dependent on the tenants, whether apartment or other businesses and their cash flow.
- Commercial Real Estate – Owner occupied- Usually one tenant and safer
- 1-4 Family- This is your typical family mortgage to buy a house.
- Consumer- This is to buy a car, RV, recreational products and equipment
Georgia Bank and trust has a majority market share for its deposits in Columbia County (about 20% of the population in Columbia County has a deposit account with Georgia Bank and Trust. They have a 28% market share of Richmond County, but fall behind Well Fargo, who has a strong presence in Augusta from the acquisition of Wachovia in 2008.
Other banks with presence in the CSRA
- Wells Fargo- 15+ branches
- Georgia Bank & Trust Company of Augusta- local headquarters, 12 total offices
- Bank of America- 10+ branches
- Sun-Trust Bank- 10+ branches
- Regions Bank- 10+ branches
- Queens-borough National Bank & Trust Company- 7 branches
- First Bank of Georgia- 6 branches
- Fifth Third Bank- 5 branches
The Cleveland Group
(This group looks pretty happy in all of their pictures, they have a good reputation among the people I have talked to about them and their building is quite nice. The Cleveland Group provides the basic accounting services, but an added one of technology consulting. This is a growing service as automation, computer codes and digital exchanges replicate the operations of all the businesses around us. The Cleveland Group helps companies make their first steps into the robotic era, as many are going from absolutely no computer presence in operations and plenty of "low hanging fruit" appears in the Augusta area for improvements through the most basic technological upgrades. They are obviously about a 14 person crew)
(Rhodes Financial Services is a financial firm in Evans, Georgia. They are what I call, a financial firm for the masses. They help the most basic of financial functions in an individuals life get accomplished. This is an umbrella firm that, I imagine, tries to cross sale it services to create "Alpha" instead of being specialized and optimized to one branch of financial services. The company has a strong presence through its tax preparation arm in and around the CSRA and the mortgage division works with many of the new homes in Evans/Martinez. This firm is one of the leaders in Columbia County and will grow with that areas general need of the basic financial services to survive. Firms like this represent some of the most boring growth in the industry, but they have a solid foundation for future growth and should not be considered in the same boat as marketers, lawyers, stockbrokers and other extremely cyclical sectors of financial services. This is a truly retail firm that helps many consumers cross the next step up, past their local bank or credit union into a firm that is personal, locally managed and able to craft more unique situations for citizens of the CSRA)
Types of mortgages offered- Fixed, FHA, VA, Refinancing, Jumbo, Cash Out, Adjustable Rate
Types of insurance-Auto & Home, Property & Casualty, Life Insurance, Health Plans, Business Owners, Annuities, Long Term
Cherry Berkaert
Fuller & Frost Associates
(Fuller & Frost, a 32 year old accounting firm with about 15 employees. The largest shareholders, from left- to- right, R. Thomas Full CPA, G. Rabun Frost, CPA, CBM, W. Chirsitian Etterlee, CPA They are located in the Sun-trust building, Suite 950)
(Bedingfield, McCutcheon & Perry, an 11 employee accounting firm. Founded in 1943 and currently at 828 Greene Street. These size firms represent the street level of accounting and have the opportunity to add tremendous value to a small business that is only lacking a professional hand, a hop through a stringent legal matters, or simply not able to see the macro trends and matters that affect their business, but is unforeseen due to their point of view at the receiving end of the matters. This office is among some truly historical architecture on the 800 block of Greene)
(Hull Barret Attorneys, a 30 attorney law firm located in the Sun-trust building. This firm is a true general law firm practicing in a wide range of areas and perfectly fitted to take care of those customers whos needs are very diverse. Firms like this will be crucial for the larger steps up into larger operations and expanded markets. You must build a legal framework to build a large company and this company is perfect for getting that framework built)
(Bettis Rainsford, the owner and founder of Rainsford Development Corporation, an Edgefield, SC, About 15 miles out of Augusta. A native historian and educated at Edge-field Public Schools, Harvard and University of South Carolina Law School, Bettis represents the CSRA's contribution to the world, we are a small part of the Earth and for citizens like this to go to Harvard or USC Law school and come back to the CSRA is crucial for bringing both the technical skills of a field, but also the work ethic and the extremely competitive aspects of learning with some of the best students and professors on Earth. Rainsfords company is a crucial landowner in the CSRA, owning the Sun-trust Building and the Lamar building, he has made many investments into Downtown property and is a crucial factor in the revitalization of its office space. This guy is basically a Southern version of Donald Trump. Despite the size of the company, Rainsford has stayed in Edgefield, SC and Mr. Rainsford participates in the local chamber of commerce)
Morris Communications
Morris owns the following newspapers
Morris Communications
Morris Communications is a media company with newspapers, magazines, outdoor advertising, radio broadcasting, book publishing and distribution, visitor publications and online services. The companies main business is newspapers, they own the largest daily newspaper in the CSRA by far and have consolidated well with an online transition. I heard from an Augusta businessman that the company was in dire circumstances in 2007-08 and had to desperately get financing to stay afloat. The cheapening of interest rates by the Federal Reserve and the US government was taken advantage of. The debt was used in the right areas and the company slimmed down to reflect the "snap" in industry standards. The debt was paid off and now the company is one of the few newspaper holders that seems to have made the step into the high margins of online advertising. They are transitioning right now and their content is adjusting appropriately, and the advertising of Augusta is slowly moving to there website. The digital screen you may be reading this report on represents the new market billboards of the past 5000 years. The move is a bumpy one and has tore many newspapers apart. The Augusta Chronicle is the Souths oldest newspaper, established in 1785. This is one more chapter in its history as the premier paper of our city and its population.
Morris owns the following newspapers
- Augusta Chronicle in Augusta, Georgia
- Florida Times-Union in Jacksonville
- Topeka Capital-Journal in Topeka, Kansas
- Amarillo Globe-News in Amarillo, Texas
- Lubbock Avalanche-Journal in Lubbock, Texas
- Athens Banner-Herald in Athens, Georgia
- Savannah Morning News in Savannah, Georgia
- Bluffton Today in Bluffton, South Carolina
- The People-Sentinel in Barnwell, South Carolina
(From books about a trip out of radical Islam to outdoor cooking to a woman's path to became a Maasai warrior. Morris Communication publishes and distributes a wide variety of genres)
(One of the favorite magazines that are published locally, the Augusta Magazine is a lot like this report in going in depth on more issues about the economy of Augusta and provides very high quality reporting of the Augusta area. It is crucial, from my view, to read this to stay in the know for the Economy of Augusta. This is a favorite and one of the only publications that seems to find its way into the hands of the Masters tournament tourists. To draw these tourists eyes to issues in Augusta is some of the best advertising we get as a city. This is Augusta's publication for the world to see and is probably the first step that many find out about our city, beyond the usual connotations)
CSRA Customer Service Centers
- SITEL, Augusta , 900 employees
- Automatic Data Processing, Augusta, 624 employees
- T-Mobile, Augusta, 500 employees
- UPS Customhouse, Aiken, 497 employees
- Knology, Augusta, 329 employees
- Teleperformance, Augusta, 320 employees
- Electrolux Home Products, Augusta, 311 employees
- Medac, Incorporated, Augusta, 300 employees
- Palmetto GBA , Augusta 291, employees
- SCANA Energy, Aiken, employees 265
- AT&T Customer Service, Augusta, 230 employees
- Delta Air Lines, Augusta, 205 employees
- Sears Commercial, Augusta, 200 employees
- Comcast, Augusta, 150 employees
- Convergent ER Solutions, Augusta, 150 employees
- Security Federal, Aiken, 43 employees
- AT&T Georgia Relay Services, Augusta, 30 employees
- Greenfield Industries, Evans, 15 employees
