Foundations Bank

News & Events

Small businesses build foundation with Pewaukee bank

Foundations serves clients big banks ignore

Waukesha Freeman
by Brooke Knudson
bknudson@conleynet.com
Posted: Dec. 06, 2006

CITY OF PEWAUKEE — If Greg Kolton appears to have the inside scoop in the small-business banking industry, it's probably because he does.

Operating as a commercial banker and specializing in Waukesha County's small-business market for more than 35 years has armed the president of Foundations Bank with a plethora of clients and a keen ability to navigate through several banking cycles.

"Many of my clients are people I put into business," Kolton said.

Foundations Bank is serving a niche market by combining big-bank expertise with community-based business values.

Kolton said he has earned his success because he shares the same business philosophies as many of his clients.

"I go through the same trials and tribulations that they go through in their family business," Kolton said. "I live it, too. I just happen to be in financial (services)."

Business focus

The bank more than doubled its assets in the first six months of operation after opening in September 2005.

Foundations was the first independent bank to open in Waukesha County in the past five years, Kolton said.

In October, Foundations Bank moved from its rental space down the road and opened its doors as the anchor tenant in 12,500 square feet of space at N35-W23770 Capitol Drive in Pewaukee.

"It's a bank like no other that I've seen," said Tom Kelpin, owner of Kelcut Gasket & Rubber in Waukesha.

As a client of Kolton for more than 10 years, Kelpin has been impressed with Foundation's emphasis on business banking.

Kelpin said instead of trying to be all things to all people, Foundations Bank has focused on helping him operate his business.

"It's a lot easier to deal with smaller banks. People don't change and you know the top person in the organization," Kelpin said.

The 29-person staff at the bank consists of veteran bankers who act as consultants to each client.

On average, Kolton's clients are owner-managed businesses with annual revenues of $5 million to $10 million and about 50 to 100 employees.

Community approach

Although a community bank, Foundations is able to compete with its larger counterparts by offering high-end banking products including remote deposit capture, bill-paying services, Internet banking, health savings accounts and customized loan packages.

Part of the business' competitive advantage is the strong customer base that was built over several years working specifically in the Waukesha County market.

"A lot of these clients were being passed over or not attended to by larger institutions," Kolton said.

Prior to launching Foundations, Kolton was president of Marine Bank in Pewaukee, but when the institution began struggling in 2003, he decided it was time to embark on creating his own bank.

"I wanted to get closer to owner-managed companies and small-time businesses," Kolton said.

Shortly after opening, Kolton moved about $35 million onto the books and estimates that number will grow close to $90 million by the end of the year. Over the next 10 years, Kolton estimates he will build as many as 16 branch locations in the Waukesha community.

Jeff Zimmermann, owner of Pewaukee-based T&A Truck Painting Inc., said when he needed a loan for capital investment, Kolton accelerated the process.

"I would just be a number at a larger bank," Zimmermann said. "They work very hard and care about how my business is doing."

(Brooke Knudson can be reached at bknudson@conleynet.com)