<PAGE>   1

                                   FORM 10-QSB
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

  (Mark One)

{x}  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES
     EXCHANGE ACT OF 1934
     For the quarterly period ended March 31, 2001

                                       OR

{ }  QUARTERLY REPORT PURSUANT TO SECTION 14 OR 15 (d) OF THE SECURITIES
     EXCHANGE ACT OF 1934
     For the transition period from _________________ to ____________________

                           Commission File No. 0-25079

                       MICHIGAN COMMUNITY BANCORP LIMITED
             (Exact name of registrant as specified in its charter)


        MICHIGAN                                      38-3390193
(State of incorporation)                 (I.R.S. Employer Identification No.)

                              43850 SCHOENHERR ROAD
                           STERLING HEIGHTS, MI 48313
                    (Address of principal executive offices)

                                 (810-532-8000)
              (Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15 (d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required to file such report(s), and (2) has been subject to such filing
requirements for the past 90 days.

                              Yes    X    No
                                  -------    -----
As of March 31, 2001, the Registrant had 830,717 shares of Common Stock issued
and outstanding.

Transitional Small Business Disclosure Format (check one)

                              Yes         No   X
                                  -------    -----

<PAGE>   2


                          PART 1. FINANCIAL INFORMATION


Item 1.  Financial Statements

Michigan Community Bancorp Limited (the "Company" or "MCB") completed an initial
public offering of its Common Stock in December 1998, raising $9,975,000 of
gross proceeds before fees and expenses. The total offering consisted of 665,000
shares which were priced at $15 per share. The net proceeds to the Company after
deducting underwriting fees were $9.2 million.

During September 1999, the Company commenced a private placement of 91,000
units. Each unit is comprised of one share of common stock and one common stock
purchase warrant which entitles the holder to acquire 1 1/2 Shares of common
stock at $11.00 per share. As of October 1, 1999, all units were sold and the
common stock warrants were issued.

During September 2000, the Company commenced a private placement of 34,043
shares at $5.875 per share and all shares were sold as of September 30, 2000.

In November 2000, the Company sold 25,000 shares of common stock, in a private
offering, at a price of $10.00 per share.

In February 2001, the Company sold 15,674 shares of common stock, in a private
offering, at a price of $6.38 per share.




<PAGE>   3


         MICHIGAN COMMUNITY BANCORP LIMITED - CONSOLIDATED BALANCE SHEET
                        (In thousands, except share data)

<TABLE>
<CAPTION>
                                                                    March 31        December 31
                                                                      2001             2000
                                                                    --------        -----------
<S>                                                                 <C>              <C>
                              ASSETS
Cash and due from banks                                             $  5,797         $  4,282
Interest-bearing deposits in other banks                                  56               36
Federal funds sold                                                     7,200            9,900
                                                                    --------         --------

  Cash and cash equivalents                                           13,053           14,218

Securities available for sale, at fair value                           5,552            5,002
Federal Home Loan Bank stock, at cost                                    103              103

Loans                                                                 63,452           62,589
  Less:  allowance for loan losses                                       844              835
                                                                    --------         --------

    Net loans                                                         62,608           61,754

Premises and equipment, net                                            1,404            1,457
Interest receivable and other assets                                     687              709
                                                                    --------         --------

    Total Assets                                                    $ 83,407         $ 83,243
                                                                    ========         ========

                           LIABILITIES
Deposits
  Non-interest bearing                                              $ 11,036         $  9,317
  Interest-bearing                                                    64,369           65,788
                                                                    --------         --------
    Total deposits                                                    75,405           75,105

Interest payable and other liabilities                                   629              708
                                                                    --------         --------

    Total liabilities                                                 76,034           75,813

                     SHAREHOLDERS' EQUITY
Preferred stock, no par value, 1,000,000 shares authorized,            --               --
  none issued
Common stock, $5.00 par value, 9,000,000 shares authorized,
  shares outstanding: 03/31/01: 830,717, 12/31/00: 815,043,
  03/31/00: 756,000                                                    4,154            4,075
Capital surplus                                                        6,587            6,565
Accumulated deficit                                                   (3,424)          (3,232)
Accumulated other comprehensive gain (loss)                               56               22
                                                                    --------         --------

    Total shareholders' equity                                         7,373            7,430
                                                                    --------         --------

    Total liabilities and shareholders' equity                      $ 83,407         $ 83,243
                                                                    ========         ========
</TABLE>





<PAGE>   4



       MICHIGAN COMMUNITY BANCORP LIMITED - CONSOLIDATED INCOME STATEMENT
                        (In thousands, except share data)

<TABLE>
<CAPTION>
                                                                        March 31
                                                               ---------------------------
                                                                  2001             2000
                                                               ---------         ---------
<S>                                                            <C>               <C>
Interest income
  Loans, including fees                                        $   1,481         $   1,128
  Interest-bearing deposits with banks                                 1             --
  Investment securities                                               83                54
  Federal funds sold                                                 127               156
                                                               ---------         ---------
    Total interest income                                          1,692             1,338

Interest expense
  Interest expense on deposits                                       986               761
                                                               ---------         ---------
    Total interest expense                                           986               761

    Net interest income                                              706               577

Provision for loan losses                                             50                57
                                                               ---------         ---------

    Net interest income after provision for loan losses              656               520

Other income
    Service charges on deposits                                       29                15
    Other service charges and fees                                    32                 6
    Other                                                              1                 3
                                                               ---------         ---------
                                                                      62                24
Non-interest expense
  Salaries and employee benefits                                     498               437
  Premises and equipment                                             171               163
  Marketing and business development                                  54                58
  Legal and professional                                              73                66
  Outside processing                                                  53                27
  Other                                                               61                57
                                                               ---------         ---------
    Total non-interest expense                                       910               808

Loss before income taxes                                            (192)             (264)
                                                               ---------         ---------

Income taxes                                                       --                --
                                                               ---------         ---------

Net loss                                                       $    (192)        $    (264)
                                                               =========         =========

Average shares outstanding                                       823,925           756,000

Net loss per share                                             $   (0.23)        $   (0.35)
</TABLE>

<PAGE>   5

                      MICHIGAN COMMUNITY BANCORP LIMITED -
           CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
                        (In thousands, except share data)

<TABLE>
<CAPTION>
                                                                                              Accumulated
                                                                                                 Other           Total
(In thousands)                                   Common          Capital       Accumulated   Comprehensive   Shareholders'
                                                  Stock          Surplus         Deficit         Income          Equity
                                                 -------         -------       -----------   -------------   -------------
<S>                                              <C>             <C>             <C>             <C>          <C>
Balance January 1, 2000                            3,780           6,410          (2,392)         (10)         7,788

Private placement of stock                           295             155                                         450

Comprehensive loss
  Net loss                                                                          (840)                       (840)
  Change in unrealized loss on securities
    available for sale                                                                             32             32
                                                                                                              ------

      Total comprehensive loss                                                                                  (808)
                                                 -------         -------         -------         ----         ------

Balance December 31, 2000                        $ 4,075         $ 6,565         $(3,232)        $ 22         $7,430
                                                 =======         =======         =======         ====         ======

Private placement of stock                            78              22                                         100

Comprehensive loss
  Net loss                                                                          (192)                       (192)
  Change in unrealized loss on securities
    available for sale                                                                             35             35
                                                                                                              ------

      Total comprehensive loss                                                                                  (157)
                                                 -------         -------         -------         ----         ------

Balance March 31, 2001                           $ 4,154         $ 6,587         $(3,424)        $ 56         $7,373
                                                 =======         =======         =======         ====         ======
</TABLE>


<PAGE>   6


   MICHIGAN COMMUNITY BANCORP LIMITED - CONSOLIDATED STATEMENT OF CASH FLOWS
                                 (In thousands)

<TABLE>
<CAPTION>
                                                                                  March 31,
                                                                         -------------------------
                                                                           2001             2000
                                                                         --------         --------
<S>                                                                      <C>              <C>
Operating activities
  Net loss                                                               $   (192)        $   (264)
  Adjustments to reconcile net loss to net
    cash from operating activities:
      Depreciation and amortization                                            70               62
      Provision for loan losses                                                50               57
      Net amortization and accretion of securities                            (10)              (3)
      Decrease (increase) in interest receivable & other assets                22               (7)
      Increase (decrease) in interest payable & other liabilities             (79)              50
                                                                         --------         --------

        Total adjustments                                                      53              159

          Net cash from operating activities                                 (139)            (105)

Investing activities
  Purchase of available-for-sale securities                                (1,006)          (1,997)
  Proceeds from maturities of available-for-sale securities                   500               --
  Net increase in loans                                                      (904)          (9,001)
  Proceeds from disposal of premises and equipment                                              11
  Premises and equipment expenditures                                         (16)              --
                                                                         --------         --------

          Net cash used in investing activities                            (1,426)         (10,987)

Financing activities
  Net increase in deposits                                                    300           14,916
  Proceeds from stock offerings                                               100               --
                                                                         --------         --------

          Net cash provided from financing activities                         400           14,916

Net change in cash and cash equivalents                                    (1,165)           3,824
Beginning cash and cash equivalents                                        14,218            8,628
                                                                         --------         --------

Ending cash and cash equivalents                                         $ 13,053         $ 12,452
                                                                         ========         ========
--------------------------------------------------------------------------------------------------

Interest paid                                                            $  1,026         $    320

</TABLE>

<PAGE>   7



                       MICHIGAN COMMUNITY BANCORP LIMITED
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                 MARCH 31, 2001


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

         The consolidated financial statements of the Company include the
         accounts of MCB and its subsidiary banks, Lakeside Community Bank (LCB)
         and North Oakland Community Bank (NOCB) after elimination of
         significant inter-company transactions. These statements reflect all
         adjustments and disclosures which are, in the opinion of management,
         necessary for a fair presentation of the results for the interim
         periods presented.

         Certain information and footnote disclosures normally included in
         financial statements prepared in accordance with generally accepted
         accounting principles have been condensed or omitted pursuant to the
         rules and regulations of the Securities and Exchange Commission.



NOTE 2 - SECURITIES

         The amortized cost and estimated market value of securities
         available-for-sale are as follows: (000's omitted)

<TABLE>
<CAPTION>
                                                                           March 31, 2001
                                                       -------------------------------------------------------
                                                                           Gross          Gross      Estimated
                                                       Amortized        Unrealized     Unrealized     Market
                                                          Cost             Gains         Losses        Value
                                                       -------------------------------------------------------
<S>                                                     <C>                <C>           <C>          <C>
U.S. Treasury securities and obligations of
U.S. government corporations and agencies               $ 5,495            $ 57          $  -         $ 5,552
                                                        =======            ====          ====         =======

<CAPTION>
                                                                           December 30, 2000
                                                       -------------------------------------------------------
                                                                           Gross          Gross      Estimated
                                                       Amortized        Unrealized     Unrealized     Market
                                                          Cost             Gains         Losses        Value
                                                       -------------------------------------------------------
<S>                                                     <C>                <C>           <C>          <C>
U.S. Treasury securities and obligations of
U.S. government corporations and agencies               $ 4,980            $ 22          $  -         $ 5,002
                                                        =======            ====          ====         =======
</TABLE>



<PAGE>   8



NOTE 2 - SECURITIES (CONTINUED)

         The amortized cost and estimated market of available-for-sale
         securities at March 31, 2001, by contractual maturity are shown below.
         Expected maturities will differ from contractual maturities because
         issuers may have the right to call or prepay obligations with or
         without call or prepayment penalties. (000's omitted)

<TABLE>
<CAPTION>
                                                          Estimated
                                           Amortized       Market
                                              Cost          Value
                                           ---------      ---------
<S>                                           <C>           <C>
Due in one year or less                       $3,488        $3,512
Due after one year through five years          1,502         1,533
Due after five years through ten years           505           507
Due after ten years                               --            --
                                              ------        ------

Total                                         $5,495        $5,552
                                              ======        ======
</TABLE>

         Investment securities with an amortized cost of $3,496,000 and a market
value of $3,533,000 were pledged to secure the right to participate in the
overnight federal Funds market and for lines of credit at the Federal Home Loan
Bank of Indianapolis.

NOTE 3 - LOANS

         Major classifications of loans are summarized as follows (in
         thousands):

<TABLE>
<CAPTION>
(in thousands)                  March 31,     December 31,
                                  2001           2000
                                ---------     -----------
<S>                              <C>            <C>
Commercial                       $49,193        $49,238
Lease financing                      305            281
Residential real estate            4,893          4,998
Residential construction           1,272          1,108
Consumer                           7,789          6,964
                                 -------        -------

Total loans                       63,452         62,589

Allowance for loan losses            844            835
                                 -------        -------

Net loans                        $62,608        $61,754
                                 =======        =======
</TABLE>

At March 31, 2001 approximately $2,572,000 of loans were outstanding to
executive officers, bank directors, principal shareholders and their related
interests. During 2001, advances totalled $103,000 and repayments were
$1,000,000. It is managements' opinion that such loans were made on the same
terms and conditions as those to other borrowers and did not involve more than
the normal risk of collectibility.


<PAGE>   9



NOTE 3 - LOANS, CONTINUED

ALLOWANCE FOR LOAN LOSSES

The reserve for possible loan losses is an amount management believes will be
adequate to absorb losses inherent in existing loans based on evaluations of the
anticipated repayment and prior loss experience. The factors taken into
consideration include changes in the nature, volume and quality of the
portfolio, loan concentrations, specific problem loans and current and
anticipated economic conditions that may affect the borrower's ability to pay.

Transactions in the reserve for possible loan losses were as follows
         (in thousands):

<TABLE>
<CAPTION>
                                                    March 31
                                              -------------------
                                               2001          2000
                                               ----          ----
<S>                                            <C>            <C>
Balance beginning of period                    $835          $715

Charge-offs                                     (41)           --
Recoveries                                       --
Provision charged to operations                  50            57
                                               ----          ----

Balance end of year                            $844          $772
                                               ====          ====

Reserve as a percentage of total loans         1.33%         1.39%
                                               ====          ====
</TABLE>

         At March 31, 2001, the Company had a loan concentration of
         approximately $13,209,000 in non-residential building operators and
         approximately $9,611,000 in the building development and construction
         industries.


ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
        RESULTS OF OPERATION

FORWARD-LOOKING STATEMENTS

The following discussion contains forward-looking statements that can be
identified by the use of the words "anticipate", "believe", "expect", "plan",
and similar expressions. These forward-looking statements are not guarantees of
future performance and involve substantial risks, uncertainties and assumptions
that are difficult to predict with regard to timing, extent, likeliness and
degree of occurrence. Various factors, including regional and national economic
conditions, substantial changes in levels of market interest rates, credit and
other risks of lending and investment activities and competitive and regulatory
factors could affect the Company's actual results for future periods to differ
materially from those anticipated or projected. A list of the material risks of
the Company may be found under the caption "Risk Factors That May Effect Future
Results" in the Company's Annual Report on Form 10-KSB for the fiscal year ended
December 31, 2000.


<PAGE>   10



(A) PLAN OF OPERATION

ORGANIZATION

The Company was incorporated in 1998 as a bank holding company. The Company
operates two wholly owned subsidiary banks, Lakeside Community Bank (LCB) and
North Oakland Community Bank (NOCB) (collectively the "Banks"). LCB and NOCB are
organized as Michigan banking corporations with depository accounts insured by
the bank insurance fund of the Federal Deposit Insurance Corporation. LCB and
NOCB provide a range of commercial and consumer banking services primarily in
the communities of northern Macomb and northern Oakland counties.

MARKET AREA

LCB is located on Schoenherr Road in a rapidly growing area of Macomb County.
NOCB is located on Rochester Road in a renovated former bank building in a
rapidly growing area of Oakland County. The communities that comprise the
Company's primary service area include Sterling Heights, Macomb, Rochester and
Rochester Hills. Management believes these communities have an expanding and
diverse economic base, which includes a wide range of small to medium-sized
businesses engaged in the manufacturing, construction and retail trades.

BANK LINE OF BUSINESS

The Banks' core business activities include attracting deposits from the general
public and using such deposits, along with equity capital, to originate
commercial loans. The Banks also offer installment and home equity loans to
consumers. LCB recently began offering residential mortgage loans which will
primarily be sold to the Federal Home Loan Mortgage Corporation. The Banks'
results of operations are dependent primarily upon net interest income, which is
the difference between interest income from interest-earning assets and interest
expense on interest-bearing liabilities. Results of operation may be positively
influenced by non-interest income such as fees related to loan origination and
service charges associated with customer deposit accounts. The Banks offer a
full array of demand deposit accounts, NOW accounts, money market deposit
accounts, savings accounts, individual retirement accounts, certificates of
deposit and ATM cards.

CASH REQUIREMENTS

On October 1, 1999, MCB sold 91,000 common stock units at a price of $11.00 per
unit. Each unit consists of one share of MCB's common stock and one redeemable
common stock purchase warrant. Each warrant entitles the holder thereof to
purchase one and one-half shares of common stock at $11.00 per share subject to
adjustment in certain circumstances for 36 months. The warrants will be
redeemable at five cents per warrant upon 30 days notice mailed within 20 days
after the closing bid price of the common stock has equaled or exceeded $15.00
per share for a period of 20 consecutive trading days. The units constitute
"restricted" securities and cannot be resold or transferred without registration
under the Securities Act of 1933, the Michigan Uniform Securities Act and the
securities law of any other applicable jurisdiction, unless an exception from
registration under each such applicable act is available.

On September 27, 2000 MCB sold 34,043 shares of common stock, in a private
offering, at a price of $5.875 per share.

On November 8, 2000, the Company sold 25,000 shares of common stock, in a
private offering, at a price of $10.00 per share.

On February 9, 2001, the Company sold 15,674 shares of common stock, in a
private offering, at a price of $6.38 per share.

Due to regulatory capital requirements, the Company anticipates the need to
raise additional equity capital over the next six months to fund loan and
deposit growth at the Banks. Without the additional capital, the banks will not
be able to achieve the growth in loans and deposits necessary to improve the
Banks operating results. The Company also anticipates the need to raise
additional capital within the next three months to cover operating expenses at
the holding company.


NUMBER OF EMPLOYEES

At March 31, 2001 the Company and the Banks employed 26 full-time and 5
part-time employees. The Company does not anticipate any significant staffing
increases in the next twelve months.


<PAGE>   11


(B)  FINANCIAL CONDITION AND RESULTS OF OPERATION

Year-to-date Balance Sheet Comparison

Total assets at March 31, 2001 were $83.4 million compared to $83.2 million at
December 31, 2000. Total assets increased $164 thousand or 3.1%, during the
three months ended March 31, 2001. Total loans increased $863 thousand, or 1.4%,
during the three months ended March 31, 2001. Commercial loans decreased $45
thousand, or .1%, real estate loans decreased $105 thousand, or 21%,
attributable to the sale of mortgages, and consumer loans increased $825
thousand, or 11.9%. Total deposits increased $300 thousand, or .4%, during the
three months ending March 31, 2001. The mix of deposits also changed during this
time period with non-interest bearing deposits comprising 14.6% of total
deposits versus 13.4% at December 31, 2001. At March 31, 2001, brokered deposits
totaled $3.9 million, or 5.1% of total deposits. Certificates of deposit in
amounts of $100,000 or more totaled $18.7 million on March 31, 2001,
representing 25% of total deposits.

Quarter-to-Quarter Earnings Comparison

For the three months ended March 31, 2001 a net loss of $192,000 was recorded
versus $264,000 in the comparable period of 2000. The improvement in earnings is
primarily attributable to an increase of $136,000 in net interest income after
the provision for loan losses. The net interest margin, at 3.66%, improved over
the first quarter of 2000 by 14 basis points By comparison, the net interest
margin at December 31, 2000 was 4.18%. The decline in the net interest margin
since year-end is due to the rapid decrease in interest rates initiated by the
Federal Reserve. When the Prime rate decreases, our variable rate loans
immediately re-price while we are unable to change the rates on existing
certificates of deposits until the maturity date. As a result, our earning asset
rates have declined faster than our cost of funds. It is likely the margin will
continue to decline for the next several months until we are able to re-price
significant portions of our time certificates.

Non-interest income increased $38,000 over the prior year quarter due to the
increase in deposit accounts and the associated service charges as well as fees
related to increased mortgage activity. Non-interest expense increased $102,000,
or 12.6%, over the first three months of 2000 with personnel expenses increasing
$61,000, or 14%, with additional mortgage staffing and higher salary levels.
Premises and equipment expenditures increased $8,000, or 4.9%, over the first
quarter of 2000 and outside processing services, including data processing fees,
increasing $27,000, or 96%, relating to the increased numbers of accounts and
higher activity levels. Legal and professional fees increased $7,000, or 10.6%,
over the first three months of 2000, attributable to the hiring of an outside
consultant to enhance the Company's interest rate risk management process.

<PAGE>   12



                                     PART II
                                OTHER INFORMATION

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)      Exhibits    None.

(b)      Reports on Form 8-K

         No reports on form 8-K have been filed during the quarter for which
         this report is filed.


                                   SIGNATURES

         In accordance with the requirements of the Exchange Act, the registrant
         caused this report to be signed on its behalf by the undersigned,
         thereunto duly organized.

         May 10, 2001                Michigan Community Bancorp Limited


                                     By:  /s/ David A. McKinnon
                                     --------------------------
                                     David A. McKinnon, President and
                                     Chief Executive Officer

                                     By: /s/ Janet C. Smith
                                     ----------------------
                                     Janet C. Smith
                                     Controller & Principal Accounting Officer