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**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**FORM      10-QSB**

**x      QUARTERLY REPORT      PURSUANT TO SECTION 13 OR 15(d)**

**OF      THE SECURITIES ACT OF 1934**

**FOR      THE QUARTERLY PERIOD ENDED AUGUST 31, 2007**

** ̈      TRANSITION REPORT      PURSUANT TO SECTION 13 OR 15(d)**

**OF      THE SECURITIES ACT OF 1934**

**FOR      THE TRANSITION PERIOD FROM ___________TO ____________ **

*COMMISSION      FILE NUMBER: 000-8880*

**THE      BANKER'S STORE, INC.**

| NEW                YORK                                                     | 22-3755756                                          |
|-----------------------------------------------------------------------------|-----------------------------------------------------|
| State                or Other Jurisdiction Of Incorporation or Organization | (I.R.S.                Employer Identification No.) |

**1535      MEMPHIS JUNCTION ROAD, BOWLING GREEN, KY 42101**

**APPLICABLE      ONLY TO CORPORATE ISSUERS:**

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**THE      BANKER'S STORE, INC.**

**FORM      10-QSB**

| ITEM                  1. | FINANCIAL                  STATEMENTS |
|--------------------------|---------------------------------------|

| ITEM                  2. | MANAGEMENT'S                  DISCUSSION AND                  ANALYSIS OF FINANCIAL CONDITION AND PLAN OF                  OPERATION |
|--------------------------|--------------------------------------------------------------------------------------------------------------------------------------|

**OVERVIEW**

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**SUMMARY      OF SIGNIFICANT ACCOUNTING ESTIMATES, RELATED PARTY TRANSACTIONS AND      CONTINGENCIES:**

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**RESULTS      OF OPERATIONS**

|                                                        |   | Three                months endedAugust                31, |   |
|-------------------------------------------------------------|--------|------------------------------------------------------------|--------|
|                                                        |   | 2007                                                       |   |   | 2006 |   |
|                                                        |   |                                                       |   |   |   |   |
|                                                        |   |                                                       |   |   |   |   |
| Net                sales                                    |   |                                                       | 100.0  | % |   |   | 100.0 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Cost                of goods sold                           |   |                                                       | 66.0   | % |   |   | 78.0 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Gross                profit                                 |   |                                                       | 34.0   | % |   |   | 22.0 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Selling,                general and administrative expenses |   |                                                       | 37.5   | % |   |   | 37.5 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Income                (loss) from operations                |   |                                                       | -3.5   | % |   |   | -15.5 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Other                                                       |   |                                                       | -0.2   | % |   |   | -0.5 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Income                before income tax provision           |   |                                                       | -3.7   | % |   |   | -16.0 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Income                tax provision                         |   |                                                       | 0.0    | % |   |   | 0.0 | % |
|                                                        |   |                                                       |   |   |   |   |   |   |
| Net                income (loss)                            |   |                                                       | -3.7   | % |   |   | -16.0 | % |

**RESULTS      OF OPERATIONS FOR THE THREE MONTHS ENDED AUGUST 31, 2007 AS COMPARED TO THE      THREE MONTHS ENDED AUGUST 31, 2006.**

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**LIQUIDITY      AND CAPITAL RESOURCES**

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| **ITEM                3.** | **CONTROLS                AND                PROCEDURES** |
|----------------------------|-----------------------------------------------------------|

**PART      II.**

**OTHER      INFORMATION**

| **ITEM                1.** | **LEGAL                PROCEEDINGS** |
|----------------------------|--------------------------------------|

| **ITEM                2.** | **UNREGISTERED                SALES OF EQUITY                SECURITIES AND USE OF                PROCEEDS** |
|----------------------------|--------------------------------------------------------------------------------------------------------------|

| **ITEM                3.** | **DEFAULTS                BY THE COMPANY UPON ITS                SENIOR SECURITIES** |
|----------------------------|--------------------------------------------------------------------------------------|

| **ITEM                4.** | **SUBMISSION                OF MATTERS TO A VOTE                OF SECURITY HOLDERS** |
|----------------------------|---------------------------------------------------------------------------------------|

| **ITEM                5.** | **OTHER                INFORMATION** |
|----------------------------|--------------------------------------|

| **ITEM                6.** | **EXHIBITS** |
|----------------------------|--------------|

31.1

31.2

32.1

32.2

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**FINANCIAL      STATEMENTS**

**THE      BANKER'S STORE, INC. AND SUBSIDIARIES**

**I      N D E X**

**PAGE**

**PART      I - FINANCIAL INFORMATION **

| **ITEM                1. FINANCIAL STATEMENTS**                                                                                           |   | **PAGE**                     |
|-------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|
|                                                                                                                                      |   |                         |
| **CONDENSED                CONSOLIDATED BALANCE SHEETS AUGUST 31, 2007                (UNAUDITED) AND MAY 31, 2007**                      |   | **F-2**                      |
|                                                                                                                                      |   |                         |
| **CONDENSED                CONSOLIDATED STATEMENTS OF OPERATIONS THREE MONTHS                ENDED AUGUST 31, 2007 AND 2006 (UNAUDITED)** |   | **F-3**                      |
|                                                                                                                                      |   |                         |
| **CONDENSED                CONSOLIDATED STATEMENTS OF CASH FLOWS THREE MONTHS                ENDED AUGUST 31, 2007 AND 2006 (UNAUDITED)** |   | **F-4**                      |
|                                                                                                                                      |   |                         |
| **NOTES                TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS                (UNAUDITED)**                                        |   | **F-5                - F-7** |
|                                                                                                                                      |   |                         |
| **ITEM                2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION**                                                      |   |                         |
|                                                                                                                                      |   |                         |
| **PART                II. OTHER INFORMATION**                                                                                             |   |                         |
|                                                                                                                                      |   |                         |
| **SIGNATURES**                                                                                                                            |   |                         |

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***Index***

**THE      BANKER'S STORE, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED BALANCE SHEETS**

**AUGUST      31, 2007 AND MAY 31, 2007**

| **ASSETS**                                                                                                                                                                             |   | **August                31,****2007** |      |   | **May                31,****2007** |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|-----------|--------|------------------------------------|--------|
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |
| Current                Assets:                                                                                                                                                         |   |                                  |      |   |                               |   |
| Cash                and cash equivalents                                                                                                                                               |   | $                                     | 256,005   |   |                               | $      | 357,323 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Accounts                receivable, net of allowance for bad debts of $4,043                                                                                                           |   |                                  | 293,734   |   |                               |   | 163,384 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Inventories                                                                                                                                                                            |   |                                  | 653,131   |   |                               |   | 667,637 |   |
| Prepaid                expenses and other current assets                                                                                                                               |   |                                  | 59,972    |   |                               |   | 106,848 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Total                current assets                                                                                                                                                    |   |                                  | 1,262,842 |   |                               |   | 1,295,192 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Equipment                and improvements, net                                                                                                                                         |   |                                  | 81,060    |   |                               |   | 80,143 |   |
| Other                assets                                                                                                                                                            |   |                                  | 20,468    |   |                               |   | 20,467 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Totals                                                                                                                                                                                 |   | $                                     | 1,364,370 |   |                               | $      | 1,395,802 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| **LIABILITIES                AND STOCKHOLDERS' EQUITY**                                                                                                                                |   |                                  |      |   |                               |   |   |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Current                Liabilities:                                                                                                                                                    |   |                                  |      |   |                               |   |   |   |
| Current                portion of long-term debt                                                                                                                                       |   | $                                     | 565       |   |                               | $      | 2,346 |   |
| Accounts                payable and accrued expenses                                                                                                                                   |   |                                  | 236,958   |   |                               |   | 89,845 |   |
| Customer                deposits                                                                                                                                                       |   |                                  | 248,283   |   |                               |   | 386,911 |   |
| Note                payable - principal stockholder                                                                                                                                    |   |                                  | 178,230   |   |                               |   | 189,625 |   |
| Accrued                compensation - principal stockholder                                                                                                                            |   |                                  | 263,100   |   |                               |   | 263,100 |   |
| Private                placement funds in dispute                                                                                                                                      |   |                                  | -         |   |                               |   | - |   |
| Total                current liabilities                                                                                                                                               |   |                                  | 927,136   |   |                               |   | 931,827 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Long-term                debt, net of current portion                                                                                                                                  |   |                                  | -         |   |                               |   | - |   |
| Total                liabilities                                                                                                                                                       |   |                                  | 927,136   |   |                               |   | 931,827 |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Commitments                and contingencies                                                                                                                                           |   |                                  |      |   |                               |   |   |   |
|                                                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Stockholders'                equity:                                                                                                                                                   |   |                                  |      |   |                               |   |   |   |
| Common                stock, $.01 par value;  80,000,000 shares                authorized;  14,954,781 and 14,954,715 shares issued and                outstanding |   |                                  | 149,548   |   |                               |   | 149,548 |   |
| Additional                paid-in capital                                                                                                                                              |   |                                  | 555,030   |   |                               |   | 550,697 |   |
| Less:                treasury stock 2,000 shares (at cost)                                                                                                                             |   |                                  | (2,000    | )      |                               |   | (2,000 | ) |
| Accumulated                (deficit) earnings                                                                                                                                          |   |                                  | (265,344  | )      |                               |   | (234,270 | ) |
| Total                stockholders' equity                                                                                                                                              |   |                                  | 437,234   |   |                               |   | 463,975 |   |
| Totals                                                                                                                                                                                 |   | $                                     | 1,364,370 |   |                               | $      | 1,395,802 |   |

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***Index***

**THE      BANKER'S STORE, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED STATEMENTS OF OPERATIONS**

**AUGUST      31, 2007 AND 2006.**

|                                                        |   | **THREE                MONTHS ENDED****AUGUST                31,** |    |
|-------------------------------------------------------------|--------|--------------------------------------------------------------------|---------|
|                                                        |   | **2007**                                                           |    |   | **2006** |   |
|                                                        |   |                                                               |    |   |   |   |
| Revenue                                                     |   | $                                                                  | 830,738 |   |   | $ | 595,872 |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Cost                of goods sold                           |   |                                                               | 548,547 |   |   |   | 464,993 |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Gross                profit                                 |   |                                                               | 282,191 |   |   |   | 130,879 |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Selling,                general and administrative expenses |   |                                                               | 311,198 |   |   |   | 223,533 |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Income                (loss) from operations                |   |                                                               | (29,007 | ) |   |   | (92,654 | ) |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Other                income (expense):                      |   |                                                               |    |   |   |   |   |   |
| Interest                and other income (expenses)         |   |                                                               | 2,027   |   |   |   | 1,648 |   |
| Interest                expense                             |   |                                                               | (4,095  | ) |   |   | (4,644 | ) |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Total                other income (expense):                |   |                                                               | (2,068  | ) |   |   | (2,996 | ) |
|                                                        |   |                                                               |    |   |   |   |   |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Income                before income tax provision           |   |                                                               | (31,075 | ) |   |   | (95,650 | ) |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Income                tax provision                         |   |                                                               | -       |   |   |   | - |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Net                income                                   |   | $                                                                  | (31,075 | ) |   | $ | (95,650 | ) |
|                                                        |   |                                                               |    |   |   |   |   |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Basic                earnings (loss) per common share       |   | $                                                                  | (0.00   | ) |   | $ | (0.01 | ) |
|                                                        |   |                                                               |    |   |   |   |   |   |
| Diluted                earnings (loss) per share            |   | $                                                                  | (0.00   | ) |   | $ | (0.01 | ) |

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***Index***

**THE      BANKER'S STORE, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED STATEMENTS OF CASH FLOWS**

**THREE      MONTHS ENDED AUGUST 31, 2007 AND 2006**

|                                                                                                                                            |   | **AUGUST                31,** |     |
|-------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------|----------|
|                                                                                                                                            |   | **2007**                      |     |   | **2006** |   |
|                                                                                                                                            |   |                          |     |   |   |   |
| Operating                activities                                                                                                             |   |                          |     |   |   |   |
| Net                income (loss)                                                                                                                |   | $                             | (31,075  | ) |   | $ | (95,650 | ) |
| Adjustments                to reconcile net income (loss) to net cash provided by (used in)                operating                activities: |   |                          |     |   |   |   |   |   |
| Depreciation                and amortization                                                                                                    |   |                          | 5,149    |   |   |   | 6,350 |   |
| Stock                based compensation                                                                                                         |   |                          | 4,333    |   |   |   | - |   |
| Provision                for doubtful accounts                                                                                                  |   |                          | -        |   |   |   | - |   |
| Changes                in operating assets and liabilities:                                                                                     |   |                          |     |   |   |   |   |   |
| Accounts                receivable                                                                                                              |   |                          | (130,350 | ) |   |   | 155,516 |   |
| Inventories                                                                                                                                     |   |                          | 14,506   |   |   |   | 39,235 |   |
| Gain                on sale of equipment                                                                                                        |   |                          |     |   |   |   |   |   |
| Prepaid                expenses and other current assets                                                                                        |   |                          | 46,876   |   |   |   | (5,417 | ) |
| Other                assets                                                                                                                     |   |                          | -        |   |   |   | - |   |
| Accounts                payable and accrued expenses                                                                                            |   |                          | 147,112  |   |   |   | 21,299 |   |
| Customer                deposits                                                                                                                |   |                          | (138,629 | ) |   |   | 18,791 |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Net                cash provided by operating activities                                                                                        |   |                          | (82,078  | ) |   |   | 140,124 |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Investing                activities                                                                                                             |   |                          |     |   |   |   |   |   |
| Capital                expenditures, net of writeoffs                                                                                           |   |                          | (6,065   | ) |   |   | (9,407 | ) |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Net                cash provided  by (used in) investing activities                                                                        |   |                          | (6,065   | ) |   |   | (9,407 | ) |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Financing                activities                                                                                                             |   |                          |     |   |   |   |   |   |
| Increase                (decrease) in long-term debt, net                                                                                       |   |                          | (1,781   | ) |   |   | (2,556 | ) |
| Proceeds                from long-term debt                                                                                                     |   |                          | -        |   |   |   | - |   |
| Loan                payable - Borrowing from (paid to) principal stockholder                                                                    |   |                          | (11,394  | ) |   |   | 4,350 |   |
| Purchase                of Treasury stock                                                                                                       |   |                          | -        |   |   |   | - |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Net                cash provided by (used  in) financing activities                                                                   |   |                          | (13,175  | ) |   |   | 1,794 |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Net                increase in cash and cash equivalents                                                                                        |   |                          | (101,318 | ) |   |   | 132,511 |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Cash                and cash equivalents, beginning of period                                                                                   |   |                          | 357,323  |   |   |   | 354,688 |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Cash                and cash equivalents, end of period                                                                                         |   | $                             | 256,005  |   |   | $ | 487,199 |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Supplemental                disclosure of cash flow information:                                                                                |   |                          |     |   |   |   |   |   |
| Interest                paid                                                                                                                    |   | $                             | 4,095    |   |   | $ | 4,644 |   |
|                                                                                                                                            |   |                          |     |   |   |   |   |   |
| Income                taxes paid                                                                                                                |   | $                             | -        |   |   | $ | - |   |

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***Index***

**THE      BANKER'S STORE, INC. AND SUBSIDIARIES**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**Note      1 - Basis of presentation:**

**Note      2 - Earnings (loss) per common share:**

**Note      3 - Income taxes:**

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***Index***

**THE      BANKER'S STORE, INC. AND SUBSIDIARIES**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**Note      4 - Contingencies:**

**Litigation:**

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***Index***

**THE      BANKER'S STORE, INC. AND SUBSIDIARIES**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**Note      5 - Segment information:**

|                                            |   | **THREE                MONTHS ENDED****AUGUST****2007** |      |   | **THREE                MONTHS ENDED****AUGUST****2006** |   |
|-------------------------------------------------|--------|---------------------------------------------------------|-----------|--------|---------------------------------------------------------|--------|
|                                            |   | **Banking**                                             |      |   | **Office**                                              |   |   |   |   |   | **Banking** |   |   | **Office** |   |   |   |   |
|                                            |   | **Equipment**                                           |      |   | **Equipment**                                           |   |   | **Totals** |   |   | **Equipment** |   |   | **Equipment** |   |   | **Totals** |   |
|                                            |   |                                                    |      |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                            |   |                                                    |      |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues                from external customers |   | $                                                       | 696,906   |   |                                                    | $      | 133,832 |   |   | $ | 830,738 |   |   | $ | 538,523 |   |   | $ | 57,349 |   |   | $ | 595,872 |   |
|                                            |   |                                                    |      |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Intersegment                revenues            |   |                                                    | -         |   |                                                    |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
|                                            |   |                                                    |      |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Segment                profit (loss)            |   |                                                    | (25,739   | )      |                                                    |   | (5,336 | ) |   |   | (31,075 | ) |   |   | (93,022 | ) |   |   | (2,628 | ) |   |   | (95,650 | ) |
|                                            |   |                                                    |      |   |                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Segment                assets                   |   | $                                                       | 1,275,723 |   |                                                    | $      | 88,647 |   |   | $ | 1,364,370 |   |   | $ | 1,281,072 |   |   | $ | 125,449 |   |   | $ | 1,406,521 |   |

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***Index***

**SIGNATURES**

**THE      BANKER'S STORE, INC.**

|   | *By:*                                          | */s/                Vincent C. Buckman* |   |
|--------|------------------------------------------------|-----------------------------------------|--------|
|   | *Vincent                C. Buckman,*           |                                    |
|   | *President,                CEO, and Director*  |                                    |
|   | *(Principal                Executive Officer)* |                                    |
|   |                                           |                                    |
|   | *Date:                October 15, 2007*        |                                    |

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