SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   Form 10-KSB

                                   (Mark One)
X     Annual Report under Section 13 or 15(d) of the Securities Exchange Act
----  of 1934 For the fiscal year ended December 31, 2002 or

      Transition Report under Section 13 or 15(d) of the Securities Exchange
----  Act of 1934
         For the transition period from            to
                                        ----------    ----------

                          Commission file no. 000-22503

                      BEACH FIRST NATIONAL BANCSHARES, INC.
                      -------------------------------------
                 (Name of Small Business Issuer in Its Charter)

          South Carolina                                   58-1030117
          --------------                                   ----------
     (State or Other Jurisdiction                       (I.R.S. Employer
   of Incorporation or Organization)                    Identification No.)

              1550 Oak Street
       Myrtle Beach, South Carolina                           29577
      ------------------------------                         -------
  (Address of Principal Executive Offices)                  (Zip Code)
                                 (843) 626-2265
                            ------------------------
                 Issuer's Telephone Number, Including Area Code

        Securities registered pursuant to Section 12(b) of the Act: None
    Securities registered pursuant to Section 12(g) of the Act: Common Stock

     Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such
shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for past 90 days. Yes X   No
                                                                  ---   ---
     Check if there is no disclosure of delinquent filers in response to Item
405 of Regulation S-B in this form, and no disclosure will be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-KSB or any amendment to
this Form 10-KSB.[X]

     The aggregate market value of the voting stock held by non-affiliates
(shareholders holding less than 5% of an outstanding class of stock, excluding
directors and executive officers), as of March 11, 2003 was approximately
$1,338,184. This calculation was based on the closing price of such common
equity on March 11, 2003.

     The number of shares outstanding of the Registrant's common stock was
1,318,368 at March 11, 2003.

     Transitional Small Business Disclosure Format. (Check one): Yes    No X
                                                                    ---   ---

                       DOCUMENTS INCORPORATED BY REFERENCE

The Company's Annual Report to Shareholders for the year ended December 31, 2002
is incorporated by reference in this Form 10-KSB in Part II, Items 6 and 7. The
Company's Proxy Statement for the Annual Meeting of Shareholders to be held on
April 23, 2003 is incorporated by reference in this Form 10-KSB in Part III,
Items 9 through 12.





<PAGE>

Part 1
Item 1.  Business

General Overview

     We conduct a general commercial and retail banking business, emphasizing
the needs of individual and small- to medium-sized businesses. We operate our
banking business through our bank, Beach First National Bank. Our main office is
located at the corner of Oak Street and Sixteenth Avenue in Myrtle Beach, South
Carolina. In June 2001, we opened our first branch office, which is located at
the northwest corner of the intersection of S.C. Highway 544 and U.S. Highway 17
in Surfside Beach. In November 2002, we opened our second branch office located
in the Gator Hole Shopping Center in North Myrtle Beach and in February 2003, we
opened out third office on Hilton Head Island, SC. We primarily serve the Grand
Strand area of Myrtle Beach, South Carolina, although plans include expanding
our operations to serve the coastal areas of South Carolina.

Marketing Focus

     Most of the banks in the Grand Strand are now local branches of regional,
super-regional, and large national banks. Although size gives the larger banks
certain advantages in competing for business from large corporations, including
higher lending limits and the ability to offer services in other areas of South
Carolina and the Southeast, we believe that there has been a void in the
community banking market in the Myrtle Beach area which we can successfully fill
by adding additional branches. As a result, we generally do not attempt to
compete for the banking relationships of large corporations, but concentrate our
efforts on individuals and small businesses.

Operating and Growth Strategy

     Our goals are to be the leading community bank in Myrtle Beach and,
ultimately, on the Grand Strand. We intend to achieve these goals by locating
new branches in growing communities in our market area, increasing asset size
through internal growth, providing personalized service with a community focus,
hiring and retaining high caliber and motivated employees, maintaining high
asset quality, and offering our customers a variety of competitive products and
services. These goals are intended to build long-term shareholder value.

Deposit Products

     We offer a full range of deposit products that are typically available in
most banks and savings and loan associations, including checking accounts,
interest bearing checking accounts, savings accounts, and other time deposits of
various types, ranging from daily money market accounts to longer-term
certificates of deposit. The transaction accounts and time certificates are
offered at rates competitive to those offered in the Myrtle Beach area. In
addition, we offer retirement account services, such as Individual Retirement
Accounts (IRAs). All deposit accounts are insured by the FDIC up to the maximum
amount allowed by law.

Lending Activities

     General. We emphasize a range of lending services, including real estate,
commercial and consumer loans, to individuals and small businesses that are
located, or conduct a substantial portion of their business, in Myrtle Beach and
the Grand Strand.

     The characteristics of our loan portfolio and our underwriting procedures,
collateral types, risks, approval process and lending limits are discussed
below. See also "Management's Discussion and Analysis of Financial Condition and
Results of Operations - Provision and Allowance for Loan Losses" in the
Company's Annual Report to Shareholders, incorporated herein by reference.

     Real Estate Loans. The primary component of our loan portfolio is real
estate mortgage loans, which make up approximately 62% of our loan portfolio.
These loans are secured generally by first or second




                                       2
<PAGE>

mortgages on residential or commercial property. The major category of this
component is commercial real estate loans primarily secured by owner-occupied
real estate. The borrowers are predominantly service and professional
businesses, such as PA's, medical and service providers for consumer and
commercial customers along the Grand Strand.

     Commercial Loans. Approximately 22% of our loan portfolio consists of
commercial loans. Commercial loans consist of secured and unsecured loans, lines
of credit, and working capital loans. We make these loans to various types of
businesses. Included in this category are loans to purchase equipment, finance
accounts receivable or inventory, and loans made for working capital purposes.

     Consumer Loans. Consumer loans make up approximately 10% of our loan
portfolio. These are loans made to individuals for personal and household
purposes, such as secured and unsecured installment and term loans and revolving
lines of credit such as overdraft protection. Automobiles and small recreational
vehicles are pledged as security for their purchase.

     Construction and Development Loans. The remaining 6% of our loan portfolio,
or approximately $4 million dollars, is composed of consumer and commercial real
estate construction and commercial development loans. These loans are secured by
the real estate for which construction is planned and, in many cases, by
supplementary collateral.

     Underwriting Procedures, Collateral, and Risk. We use our established
credit policies and procedures when underwriting each type of loan. Although
there are minor variances in the characteristics and criteria for each loan
type, which variances may require additional underwriting procedures, we
generally evaluate borrowers using the following defined criteria:

     o   Character - we determine that the borrower has sound character and
         integrity by examining the borrower's history.
     o   Capital - we evaluate the borrower's overall financial strength, as
         well as the equity investment in the asset being financed.
     o   Collateral - we determine that the collateral is adequate from the
         standpoint of quality, marketability, value and income potential.
     o   Capacity - we evaluate the borrower's ability to service the debt.
     o   Conditions - we underwrite the credit in light of the effects of
         external factors, such as economic conditions and industry trends.

     It is our practice to obtain collateral for most loans to help mitigate the
risk associated with lending. We generally limit our loan-to-value ratio to 80%.
We obtain a security interest in real estate for loans secured by real estate,
including construction and development loans, and other commercial loans. For
commercial loans, we obtain security interests in equipment and other company
assets. For consumer loans used to purchase vehicles, we obtain appropriate
title documentation. For secured loans that are not associated with real estate,
or for which the mortgaged real estate does not provide an acceptable
loan-to-value ratio, we obtain other available collateral such as stocks and
bonds.

     Each type of loan carries a credit risk, simply defined as the potential
that the borrower will not be willing or able to repay the debt. While real
estate loans have various risks common to all types of loans, certain types of
real estate loans have specific risk characteristics that vary according to the
collateral type securing the loan and the terms and repayment sources for the
loan. Real estate loans are all sensitive to fluctuations in the value of the
real estate securing the loan. In addition, commercial real estate loans have
risk that the primary source of repayment will be insufficient to service the
debt. Construction and development real estate loans generally carry a higher
degree of risk than long term financing of existing properties. These projects
are usually dependent on the completion of the project on schedule and within
cost estimates and on the timely sale of the property. Inferior or improper
construction techniques, changes in economic conditions during the construction
and marketing period, and rising interest rates which may slow the sale of the
property are all risks unique to this type of loan. Residential mortgage loans,
in contrast to commercial real estate loans, generally have longer terms




                                       3
<PAGE>

and may have fixed or adjustable interest rates. Commercial loans primarily have
risk that the primary source of repayment will be insufficient to service the
debt. Often this occurs as the result of changes in local economic conditions or
in the industry in which the borrower operates which impact cash flow or
collateral value. Consumer loans, other than home equity loan products, are
generally considered to have more risk than loans to individuals secured by
first or second mortgages on real estate due to dependence on the borrower's
employment status as the sole source of repayment. By following defined
underwriting criteria as noted above, we can help to reduce these risks.
Additionally we help to reduce the risk that the underlying collateral may not
be sufficient to pay the outstanding balance by using appraisals or taking other
steps to determine that the value of the collateral is adequate, and lending
amounts based upon lower loan-to-value ratios. We control risks by reducing
concentration of our loan portfolio in any one type of loan. A concentration of
credit report based upon SIC codes and other factors are reviewed on a quarterly
basis by the Board of Directors.

     Loan Approval and Review. Our loan approval policies provide for various
levels of officer lending authority. When the amount of aggregate loans to a
single borrower exceeds that individual officer's lending authority, the loan
request is considered by an officer with a higher lending limit. Any loan in
excess of this lending limit is approved by the directors' loan committee. We do
not make any loans to any of our directors or executive officers unless the loan
is reviewed by the board of directors of the bank and is made on terms not more
favorable to such person than would be available to a person not affiliated with
us. We take steps to protect against losses due to hurricanes and weather
phenomena by requiring customers to carry appropriate insurance.

     Lending Limits. Our lending activities are subject to a variety of lending
limits imposed by federal law. While differing limits apply to certain loan
types or borrowers, in general we are subject to a loan-to-one-borrower limit.
These limits increase or decrease as our capital increases or decreases. Unless
we sell participations in loans to other financial institutions, we are not able
to meet all of the lending needs of loan customers requiring aggregate
extensions of credit above these limits.

Competition

     The Myrtle Beach market is a highly competitive market in which all of the
largest banks in the state are represented as well as super regional banks. The
competition among the various financial institutions is based upon a variety of
factors including interest rates offered on deposit accounts, interest rates
charged on loans, credit and service charges, the quality of services rendered,
the convenience of banking facilities and, in the case of loans to large
commercial borrowers, relative lending limits. In addition to banks and savings
associations, we compete with other financial institutions including securities
firms, insurance companies, credit unions, leasing companies and finance
companies. Size gives larger banks certain advantages in competing for business
from large corporations. These advantages include higher lending limits and the
ability to offers services in other areas of South Carolina. As a result, we do
not generally attempt to compete for the banking relationships of large
corporations, but concentrates our efforts on small- to medium-sized businesses
and individuals. We believe we have competed effectively in this market by
offering quality and personal service.

Employees

     At December 31, 2002, we employed a total of 41 full-time equivalent
employees. The company believes that the relations with its employees are good.

                           SUPERVISION AND REGULATION

     We are subject to extensive state and federal banking laws and regulations
which impose specific requirements or restrictions on, and provide for general
regulatory oversight of, virtually all aspects of our operations. These laws and
regulations are generally intended to protect depositors, not shareholders. The
following summary is qualified by reference to the statutory and regulatory
provisions discussed. Changes in applicable laws or regulations may have a
material effect on our business and prospects. Our operations may be affected by
legislative changes and the policies of various regulatory authorities. We
cannot predict the effect that




                                       4
<PAGE>

fiscal or monetary policies, economic control, or new federal or state
legislation may have on our business and earnings in the future.

Recent Legislation


USA Patriot Act of 2001

     In October 2001, the USA Patriot Act of 2001 was enacted in response to the
terrorist attacks in New York, Pennsylvania and Washington D.C. which occurred
on September 11, 2001. The Patriot Act is intended to strengthen U.S. law
enforcement's and the intelligence communities' abilities to work cohesively to
combat terrorism on a variety of fronts. The potential impact of the Patriot Act
on financial institutions of all kinds is significant and wide ranging. The
Patriot Act contains sweeping anti-money laundering and financial transparency
laws and imposes various regulations, including standards for verifying client
identification at account opening, and rules to promote cooperation among
financial institutions, regulators and law enforcement entities in identifying
parties that may be involved in terrorism or money laundering.

     The Gramm-Leach-Bliley Act, previously known as the Financial Services
Modernization Act of 1999, was signed into law on November 12, 1999. Among other
things, the Act repeals the restrictions on banks affiliating with securities
firms contained in sections 20 and 32 of the Glass-Steagall Act. The Act also
permits bank holding companies that become financial holding companies to engage
in a statutorily provided list of financial activities, including insurance and
securities underwriting and agency activities, merchant banking, and insurance
company portfolio investment activities. The Act also authorizes activities that
are "complementary" to financial activities.

     The Act is intended, in part, to grant to community banks certain powers as
a matter of right that larger institutions have accumulated on an ad hoc basis.
Nevertheless, the Act may have the result of increasing the amount of
competition that we face from larger institutions and other types of companies.
In fact, it is not possible to predict the full effect that the Act will have on
us. From time to time other changes are proposed to laws affecting the banking
industry, and these changes could have a material effect on our business and
prospects.

     The Gramm-Leach-Bliley Act also contains provisions regarding consumer
privacy. These provisions require financial institutions to disclose their
policy for collecting and protecting confidential information. Customers
generally may prevent financial institutions from sharing personal financial
information with nonaffiliated third parties except for third parties that
market an institution's own products and services. Additionally, financial
institutions generally may not disclose consumer account numbers to any
nonaffiliated third party for use in telemarketing, direct mail marketing, or
other marketing to the consumer.

Beach First National Bancshares, Inc.

     Because our holding company, Beach First National Bancshares, Inc., owns
the outstanding capital stock of our bank, our holding company is a bank holding
company under the federal Bank Holding Company Act of 1956 and the South
Carolina Banking and Branching Efficiency Act.

     The Bank Holding Company Act. Under the Bank Holding Company Act (BHCA),
our holding company is subject to periodic examination by the Federal Reserve
and required to file periodic reports of its operations and any additional
information that the Federal Reserve may require. Our activities at the holding
company level are limited to:

     o   banking and managing or controlling banks;
     o   furnishing services to or performing services for our subsidiaries; and
     o   engaging in other activities that the Federal Reserve determines to be
         so closely related to banking and managing or controlling banks as to
         be a proper incident thereto.



                                       5
<PAGE>

     Investments, Control, and Activities. With certain limited exceptions, the
BHCA requires every bank holding company to obtain the prior approval of the
Federal Reserve before:

     o   acquiring substantially all the assets of any bank;
     o   acquiring direct or indirect ownership or control of any voting shares
         of any bank if after the acquisition it would own or control more than
         5% of the voting shares of such bank (unless it already owns or
         controls the majority of such shares); or
     o   merging or consolidating with another bank holding company.

     In addition, and subject to certain exceptions, the BHCA and the Change in
Bank Control Act require Federal Reserve approval prior to any person or company
acquiring "control" of a bank holding company. Control is conclusively presumed
to exist if an individual or company acquires 25% or more of any class of voting
securities of a bank holding company. Control is rebuttably presumed to exist if
a person acquires 10% or more, but less than 25%, of any class of voting
securities and either the company has registered securities under Section 12 of
the Securities Exchange Act of 1934 or no other person owns a greater percentage
of that class of voting securities immediately after the transaction. Our common
stock is registered under the Securities Exchange Act of 1934. The regulations
provide a procedure for challenge of the rebuttable control presumption.

     Under the Bank Holding Company Act, a bank holding company is generally
prohibited from engaging in, or acquiring direct or indirect control of more
than 5% of the voting shares of any company engaged in, nonbanking activities
unless the Federal Reserve Board has found those activities to be so closely
related to banking or managing or controlling banks as to be a proper incident
thereto. Some of the activities that the Federal Reserve Board has determined by
regulation to be proper incidents to the business of a bank holding company
include:

     o   making or servicing loans and certain types of leases;
     o   engaging in certain insurance and discount brokerage activities;
     o   performing certain data processing services;
     o   acting in certain circumstances as a fiduciary or investment or
         financial adviser;
     o   owning savings associations; and
     o   making investments in certain corporations or projects designed
         primarily to promote community welfare.

     The Federal Reserve Board imposes certain capital requirements on our
holding company under the Bank Holding Company Act, including a minimum leverage
ratio and a minimum ratio of "qualifying" capital to risk-weighted assets. These
requirements are described below under "Capital Regulations." Subject to capital
requirements and certain other restrictions, our holding company is able to
borrow money to make a capital contribution to our bank, and these loans may be
repaid from dividends paid from our bank to our company. Our ability to pay
dividends is subject to regulatory restrictions as described below in "Beach
First National Bank - Dividends." Our holding company is also able to raise
capital for contribution to our bank by issuing securities without having to
receive regulatory approval, subject to compliance with federal and state
securities laws.

     Source of Strength; Cross-Guarantee. In accordance with Federal Reserve
Board policy, our holding company is expected to act as a source of financial
strength to our bank and to commit resources to support our bank in
circumstances in which our holding company might not otherwise do so. Under the
Bank Holding Company Act, the Federal Reserve Board may require a bank holding
company to terminate any activity or relinquish control of a nonbank subsidiary,
other than a nonbank subsidiary of a bank, upon the Federal Reserve Board's
determination that such activity or control constitutes a serious risk to the
financial soundness or stability of any subsidiary depository institution of the
bank's holding company. Further, federal bank regulatory authorities have
additional discretion to require a bank holding company to divest itself of any
bank or nonbank subsidiary if the agency determines that divestiture may aid the
depository institution's financial condition.

     The Company is subject to the obligations and restrictions described above.
However, management currently does not expect that any of these provisions will
have any material impact on our operations.



                                       6
<PAGE>

     South Carolina State Regulation. As a South Carolina bank holding company
under the South Carolina Banking and Branching Efficiency Act, we are subject to
limitations on sale or merger and to regulation by the South Carolina Board of
Financial Institutions. Prior to acquiring the capital stock of a national bank,
we are not required to obtain the approval of the Board, but we must notify them
at least 15 days prior to doing so. We must receive the Board's approval prior
to engaging in the acquisition of a South Carolina state chartered bank or
another South Carolina bank holding company.

     Beach First National Bank. Our bank, Beach First National Bank, operates as
a national banking association incorporated under the laws of the United States
and subject to examination by the Office of the Comptroller of the Currency.
Deposits in the bank are insured by the FDIC up to a maximum amount, which is
generally $100,000 per depositor subject to aggregation rules.

     The Office of the Comptroller of the Currency and the FDIC regulate or
monitor virtually all areas of our bank's operations, including:

     o   security devices and procedures;
     o   adequacy of capitalization and loss reserves;
     o   loans;
     o   investments;
     o   borrowings;
     o   deposits;
     o   mergers;
     o   issuances of securities;
     o   payment of dividends;
     o   interest rates payable on deposits;
     o   interest rates or fees chargeable on loans;
     o   establishment of branches;
     o   corporate reorganizations;
     o   maintenance of books and records; and
     o   adequacy of staff training to carry on safe lending and deposit
         gathering practices.

     The Office of the Comptroller of the Currency requires banks to maintain
specified capital ratios and imposes limitations on banks' aggregate investment
in real estate, bank premises, and furniture and fixtures. The Office of the
Comptroller of the Currency also requires banks to prepare quarterly reports on
their financial condition and to conduct annual audits of their financial
affairs in compliance with its minimum standards and procedures.

     Under the FDIC Improvement Act, all insured institutions must undergo
regular on-site examinations by their appropriate banking agency. The cost of
examinations of insured depository institutions and any affiliates may be
assessed by the appropriate agency against each institution or affiliate as it
deems necessary or appropriate. Insured institutions are required to submit
annual reports to the FDIC, their federal regulatory agency, and their state
supervisor when applicable. The FDIC Improvement Act directs the FDIC to develop
a method for insured depository institutions to provide supplemental disclosure
of the estimated fair market value of assets and liabilities, to the extent
feasible and practicable, in any balance sheet, financial statement, report of
condition or any other report of any insured depository institution. The FDIC
Improvement Act also requires the federal banking regulatory agencies to
prescribe, by regulation, standards for all insured depository institutions and
depository institution holding companies relating, among other things, to the
following:

     o   internal controls;
     o   information systems and audit systems;
     o   loan documentation;
     o   credit underwriting;
     o   interest rate risk exposure; and


                                       7
<PAGE>

     o   asset quality.

     National banks and their holding companies which have been chartered or
registered or have undergone a change in control within the past two years or
which have been deemed by the Office of the Comptroller of the Currency or the
Federal Reserve Board to be troubled institutions must give the Office of the
Comptroller of the Currency or the Federal Reserve Board 30 days' prior notice
of the appointment of any senior executive officer or director. Within the 30
day period, the Office of the Comptroller of the Currency or the Federal Reserve
Board, as the case may be, may approve or disapprove any such appointment.

     Deposit Insurance. The FDIC has adopted a risk-based assessment system for
determining an insured depository institution's insurance assessment rate. The
system takes into account the risks attributable to different categories and
concentrations of assets and liabilities. An institution is placed into one of
three capital categories: (1) well capitalized; (2) adequately capitalized; or
(3) undercapitalized. The FDIC also assigns an institution to one of three
supervisory subgroups, based on the FDIC's determination of the institution's
financial condition and the risk posed to the deposit insurance funds.
Assessments range from 0 to 27 cents per $100 of deposits, depending on the
institution's capital group and supervisory subgroup. In addition, the FDIC
imposes assessments to help pay off the $780 million in annual interest payments
on the $8 billion Financing Corporation bonds issued in the late 1980s as part
of the government rescue of the thrift industry.

     The FDIC may terminate its insurance of deposits if it finds that the
institution has engaged in unsafe and unsound practices, is in an unsafe or
unsound condition to continue operations, or has violated any applicable law,
regulation, rule, order, or condition imposed by the FDIC.

     Transactions with Affiliates and Insiders. Our bank is subject to the
provisions of Section 23A of the Federal Reserve Act, which places limits on the
amount of loans or extensions of credit to, or investments in, or certain other
transactions with, affiliates and on the amount of advances to third parties
collateralized by the securities or obligations of affiliates. The aggregate of
all covered transactions is limited in amount, as to any one affiliate, to 10%
of our bank's capital and surplus and, as to all affiliates combined, to 20% of
the bank's capital and surplus. Furthermore, within the foregoing limitations as
to amount, each covered transaction must meet specified collateral requirements.
Compliance is also required with certain provisions designed to avoid the taking
of low quality assets.

     Our bank is also subject to the provisions of Section 23B of the Federal
Reserve Act which, among other things, prohibits an institution from engaging in
certain transactions with certain affiliates unless the transactions are on
terms substantially the same, or at least as favorable to such institution or
its subsidiaries, as those prevailing at the time for comparable transactions
with nonaffiliated companies. Our bank is subject to certain restrictions on
extensions of credit to executive officers, directors, certain principal
shareholders, and their related interests. Such extensions of credit (i) must be
made on substantially the same terms, including interest rates and collateral,
as those prevailing at the time for comparable transactions with third parties
and (ii) must not involve more than the normal risk of repayment or present
other unfavorable features.

     The Federal Reserve Board has recently issued Regulation W, which codifies
prior regulations under Sections 23A and 23B of the Federal Reserve Act and
interpretative guidance with respect to affiliate transactions. Regulation W
incorporates the exemption from the affiliate transaction rules but expands the
exemption to cover the purchase of any type of loan or extension of credit from
an affiliate. In addition, under Regulation W:

     o   a bank and its subsidiaries may not purchase a low-quality asset from
         an affiliate;
     o   covered transactions and other specified transactions between a bank or
         its subsidiaries and an affiliate must be on terms and conditions that
         are consistent with safe and sound banking practices; and
     o   with some exceptions, each loan or extension of credit by a bank to an
         affiliate must be secured by collateral with a market value ranging
         from 100% to 130%, depending on the type of collateral, of the amount
         of the loan or extension of credit.



                                       8
<PAGE>

     Regulation W generally excludes all non-bank and non-savings association
subsidiaries of banks from treatment as affiliates, except to the extent that
the Federal Reserve Board decides to treat these subsidiaries as affiliates.
Concurrently with the adoption of Regulation W, the Federal Reserve Board has
proposed a regulation which would further limit the amount of loans that could
be purchased by a bank from an affiliate to not more than 100% of the bank's
capital and surplus. Comments on the proposed rule were due by January 13, 2003.

     Dividends. A national bank may not pay dividends from its capital. All
dividends must be paid out of undivided profits then on hand, after deducting
expenses, including reserves for losses and bad debts. In addition, a national
bank is prohibited from declaring a dividend on its shares of common stock until
its surplus equals its stated capital, unless there has been transferred to
surplus no less than one-tenth of the bank's net profits of the preceding two
consecutive half-year periods (in the case of an annual dividend). The approval
of the Office of the Comptroller of the Currency is required if the total of all
dividends declared by a national bank in any calendar year exceeds the total of
its net profits for that year combined with its retained net profits for the
preceding two years, less any required transfers to surplus.

     Branching. National banks are required by the National Bank Act to adhere
to branch office banking laws applicable to state banks in the states in which
they are located. Under current South Carolina law, the bank may open branch
offices throughout South Carolina with the prior approval of the Office of the
Comptroller of the Currency. In addition, with prior regulatory approval, the
bank will be able to acquire existing banking operations in South Carolina.
Furthermore, federal legislation permits interstate branching, including
out-of-state acquisitions by bank holding companies, interstate branching by
banks if allowed by state law, and interstate merging by banks. South Carolina
law, with limited exceptions, currently permits branching across state lines
through interstate mergers.

     Community Reinvestment Act. The Community Reinvestment Act requires that,
in connection with examinations of financial institutions within their
respective jurisdictions, the Federal Reserve, the FDIC, or the Office of the
Comptroller of the Currency shall evaluate the record of each financial
institution in meeting the credit needs of its local community, including low
and moderate income neighborhoods. These factors are also considered in
evaluating mergers, acquisitions, and applications to open a branch or facility.
Failure to adequately meet these criteria could impose additional requirements
and limitations on our bank. Under the Gramm-Leach-Bliley Act, banks with
aggregate assets of not more than $250 million will be subject to a Community
Reinvestment Act examination only once every 60 months if the bank receives an
outstanding rating, once every 48 months if it receives a satisfactory rating,
and as needed if the rating is less than satisfactory. Additionally, under the
Gramm-Leach-Bliley Act, banks are required to publicly disclose the terms of
various Community Reinvestment Act-related agreements.

     All institutions receive one of four ratings based on their performance:
Outstanding, Satisfactory, Needs Improvement or Substantial Noncompliance. An
institution that receives a rating of Substantial Noncompliance would be subject
to enforcement action. Beach First National Bank is strongly committed to
providing credit needs to individuals in the communities that we serve. Beach
First National Bank received a "satisfactory" rating in the most recent
evaluation.

     Other Regulations. Interest and other charges collected or contracted for
by the bank are subject to state usury laws and federal laws concerning interest
rates. The bank's loan operations are also subject to federal laws applicable to
credit transactions, such as:

     o   the federal Truth-In-Lending Act, governing disclosures of credit terms
         to consumer borrowers;
     o   the Home Mortgage Disclosure Act of 1975, requiring financial
         institutions to provide information to enable the public and public
         officials to determine whether a financial institution is fulfilling
         its obligation to help meet the housing needs of the community it
         serves;
     o   the Equal Credit Opportunity Act, prohibiting discrimination on the
         basis of race, creed or other prohibited factors in extending credit;
     o   the Fair Credit Reporting Act of 1978, governing the use and provision
         of information to credit reporting agencies;


                                       9
<PAGE>

     o   the Fair Debt Collection Act, governing the manner in which consumer
         debts may be collected by collection agencies; and
     o   the rules and regulations of the various federal agencies charged with
         the responsibility of implementing such federal laws.

 The deposit operations of the bank also are subject to:

     o   the Right to Financial Privacy Act, which imposes a duty to maintain
         confidentiality of consumer financial records and prescribes procedures
         for complying with administrative subpoenas of financial records; and
     o   the Electronic Funds Transfer Act and Regulation E issued by the
         Federal Reserve Board to implement that act, which governs automatic
         deposits to and withdrawals from deposit accounts and customers' rights
         and liabilities arising from the use of automated teller machines and
         other electronic banking services.

     Capital Regulations. The federal bank regulatory authorities have adopted
risk-based capital guidelines for banks and bank holding companies that are
designed to make regulatory capital requirements more sensitive to differences
in risk profiles among banks and bank holding companies and account for
off-balance sheet items. The guidelines are minimums, and the federal regulators
have noted that banks and bank holding companies contemplating significant
expansion programs should not allow expansion to diminish their capital ratios
and should maintain ratios in excess of the minimums. We have not received any
notice indicating that either our holding company or our bank is subject to
higher capital requirements. The current guidelines require all bank holding
companies and federally-regulated banks to maintain a minimum risk-based total
capital ratio equal to 8%, of which at least 4% must be Tier 1 capital. Tier 1
capital includes common shareholders' equity, qualifying perpetual preferred
stock, and minority interests in equity accounts of consolidated subsidiaries,
but excludes goodwill and most other intangibles and excludes the allowance for
loan and lease losses. Tier 2 capital includes the excess of any preferred stock
not included in Tier 1 capital, mandatory convertible securities, hybrid capital
instruments, subordinated debt and intermediate term-preferred stock, and
general reserves for loan and lease losses up to 1.25% of risk-weighted assets.

     Under these guidelines, banks' and bank holding companies' assets are given
risk-weights of 0%, 20%, 50%, or 100%. In addition, certain off-balance sheet
items are given credit conversion factors to convert them to asset equivalent
amounts to which an appropriate risk-weight applies. These computations result
in the total risk-weighted assets. Most loans are assigned to the 100% risk
category, except for first mortgage loans fully secured by residential property
and, under certain circumstances, residential construction loans, both of which
carry a 50% rating. Most investment securities are assigned to the 20% category,
except for municipal or state revenue bonds, which have a 50% rating, and direct
obligations of or obligations guaranteed by the United States Treasury or United
States Government agencies, which have a 0% rating.

     The federal bank regulatory authorities have also implemented a leverage
ratio, which is equal to Tier 1 capital as a percentage of average total assets
less intangibles, to be used as a supplement to the risk-based guidelines. The
principal objective of the leverage ratio is to place a constraint on the
maximum degree to which a bank holding company may leverage its equity capital
base. The minimum required leverage ratio for top-rated institutions is 3%, but
most institutions are required to maintain an additional cushion of at least 100
to 200 basis points.

     The FDIC Improvement Act established a new capital-based regulatory scheme
designed to promote early intervention for troubled banks which requires the
FDIC to choose the least expensive resolution of bank failures. The new
capital-based regulatory framework contains five categories of compliance with
regulatory capital requirements, including "well capitalized," "adequately
capitalized," "undercapitalized," "significantly undercapitalized," and
"critically undercapitalized." To qualify as a "well capitalized" institution, a
bank must have a leverage ratio of no less than 5%, a Tier 1 risk-based ratio of
no less than 6%, and a total risk-based capital ratio of no less than 10%, and
the bank must not be under any order or directive from the appropriate
regulatory agency to meet and maintain a specific capital level. Currently, we
qualify as "well capitalized."



                                       10
<PAGE>

     Under the FDIC Improvement Act regulations, the applicable agency can treat
an institution as if it were in the next lower category if the agency determines
(after notice and an opportunity for hearing) that the institution is in an
unsafe or unsound condition or is engaging in an unsafe or unsound practice. The
degree of regulatory scrutiny of a financial institution increases, and the
permissible activity of the institution decreases, as it moves downward through
the capital categories. Institutions that fall into one of the three
undercapitalized categories may be required to do some or all of the following:

     o   submit a capital restoration plan;
     o   raise additional capital;
     o   restrict their growth, deposit interest rates, and other activities;
     o   improve their management;
     o   eliminate management fees; or
     o   divest themselves of all or a part of their operations.

     These capital guidelines can affect us in several ways. If we grow at a
rapid pace, our capital may be depleted too quickly, and a capital infusion from
our holding company may be necessary which could impact our ability to pay
dividends. Our capital levels currently are adequate; however, rapid growth,
poor loan portfolio performance, poor earnings performance, or a combination of
these factors could change our capital position in a relatively short period of
time. If we fail to meet these capital requirements, our bank would be required
to develop and file a plan with the Office of the Comptroller of the Currency
describing the means and a schedule for achieving the minimum capital
requirements. In addition, our bank would generally not receive regulatory
approval of any application that requires the consideration of capital adequacy,
such as a branch or merger application, unless our bank could demonstrate a
reasonable plan to meet the capital requirement within a reasonable period of
time. Bank holding companies controlling financial institutions can be called
upon to boost the institutions' capital and to partially guarantee the
institutions' performance under their capital restoration plans.

     Enforcement Powers. The Financial Institutions Reform, Recovery and
Enforcement Act expanded and increased civil and criminal penalties available
for use by the federal regulatory agencies against depository institutions and
certain "institution-affiliated parties." Institution-affiliated parties
primarily include management, employees, and agents of a financial institution,
as well as independent contractors and consultants such as attorneys and
accountants and others who participate in the conduct of the financial
institution's affairs. These practices can include the failure of an institution
to timely file required reports or the filing of false or misleading information
or the submission of inaccurate reports. Civil penalties may be as high as
$1,000,000 a day for such violations. Criminal penalties for some financial
institution crimes have been increased to 20 years. In addition, regulators are
provided with greater flexibility to commence enforcement actions against
institutions and institution-affiliated parties. Possible enforcement actions
include the termination of deposit insurance. Furthermore, banking agencies'
power to issue cease-and-desist orders were expanded. Such orders may, among
other things, require affirmative action to correct any harm resulting from a
violation or practice, including restitution, reimbursement, indemnification or
guarantees against loss. A financial institution may also be ordered to restrict
its growth, dispose of certain assets, rescind agreements or contracts, or take
other actions as determined by the ordering agency to be appropriate.

     Effect of Governmental Monetary Policies. Our earnings are affected by
domestic economic conditions and the monetary and fiscal policies of the United
States government and its agencies. The Federal Reserve Bank's monetary policies
have had, and are likely to continue to have, an important impact on the
operating results of commercial banks through its power to implement national
monetary policy in order, among other things, to curb inflation or combat a
recession. The monetary policies of the Federal Reserve Board have major effects
upon the levels of bank loans, investments and deposits through its open market
operations in United States government securities and through its regulation of
the discount rate on borrowings of member banks and the reserve requirements
against member bank deposits. It is not possible to predict the nature or impact
of future changes in monetary and fiscal policies.



                                       11
<PAGE>

     Proposed Legislation and Regulatory Action. New regulations and statutes
are regularly proposed that contain wide-ranging proposals for altering the
structures, regulations, and competitive relationships of the nation's financial
institutions. We cannot predict whether or in what form any proposed regulation
or statute will be adopted or the extent to which our business may be affected
by any new regulation or statute.

Item 2.    Description of Property

     The principal place of business of both the company and the bank and the
main office of the bank is located at the corner of Oak Street and Sixteenth
Avenue in Myrtle Beach, South Carolina. The bank's main office is located on
0.8-acre plot of land, which was purchased for $218,000. We constructed a
permanent banking facility of 5,000 square feet on the site at a cost of
approximately $1,000,000, which was paid out of the proceeds of our initial
public offering. Furniture, fixtures, and equipment for the main office cost
approximately $534,000. There is one automated teller machine located at the
bank's main office.

     We have a branch office located at the northwest corner of the intersection
of S.C. Highway 544 and U.S. Highway 17 in Surfside Beach, which is just south
of Myrtle Beach. We have a 20 year lease for the property on which the branch is
located, which we may renew for two five-year periods. The branch office opened
in June of 2001 and was constructed at a cost of approximately $850,000, which
was paid out of the proceeds of our secondary offering. Furniture, fixtures, and
equipment for the branch office cost approximately $300,000.

     We have a second branch office located in the Gator Hole Shopping Center at
710 Highway 17 North, North Myrtle Beach, South Carolina. We have a 20 year
lease for the property which the branch is located, which may renew for four
successive separate periods of five years. The branch opened in November, 2002
and was constructed at a cost of approximately $500,000. Furniture, fixtures and
equipment for the branch office cost approximately $250,000.

     Our third branch office located in the Pineland Shopping Center at 430
William Hilton Parkway Hilton Head Island, South Carolina was opened in February
2003. We have a ten year lease with renewal options for two five year periods.
We incurred leasehold improvements totaling $150,000.

Item 3.    Legal Proceedings.

     There are no material legal proceedings.

Item 4.    Submission of Matters to a Vote of Security Holders.

     No matter was submitted to a vote of security holders during the fourth
quarter of the fiscal year covered by this report.

Item 5.    Market for Common Equity and Related Stockholder Matters.

     Our common stock has been quoted on the OTC Bulletin Board under the symbol
"BFNB" since the third quarter of 2001. As of March 11, 2003, we had
approximately 1,485 shareholders of record.

     To date, we have not paid cash dividends on our common stock. We currently
intend to retain earnings to support operations and finance expansion and
therefore do not anticipate paying cash dividends in the foreseeable future. All
of our outstanding shares of common stock are entitled to share equally in
dividends from funds legally available when, and if, declared by the board of
directors.

     The following table sets forth the high and low bid stock prices published
by OTC Bulletin Board for each quarter during the last two fiscal years. The
quotations reflect inter-dealer prices, without retail mark-up, mark-down or
commission, and may not represent actual transactions.



                                       12
<PAGE>

                                    High Bid     Low Bid
           Year end 2002:
                First Quarter       10.40        10.10
                Second Quarter      11.12        10.90
                Third Quarter       12.15        11.75
                Fourth Quarter      12.45        12.05


           Year end 2001:
                First Quarter       *            *
                Second Quarter      *            *
                Third Quarter       11.50        11.50
                Fourth Quarter      10.20        10.10


*Stock began trading on the OTC Bulletin Board on July 19, 2001.

The following table sets forth equity compensation plan information at December
31, 2002.

<TABLE>
<CAPTION>
                      Equity Compensation Plan Information

                                                                                             Number of securities
                                   Number of securities                                     remaining available for
                                       to be issued               Weighted-average           future issuance under
                                     upon exercise of             exercise price of        equity compensation plans
                                   outstanding options,         outstanding options,                  (c)
Plan Category                     warrants and rights(a)       warrants and rights (b)       (excluding securities
-------------                     -------------------          -------------------
                                                                                            reflected in column(a))
                                                                                            -----------------------
<S>                                       <C>                          <C>                          <C>
Equity compensation                       53,448                       $10.41                       23,515
plans approved by
security holders

Equity compensation                            0                            0                            0
plans not approved
by security holders

         Total                            53,448                       $10.41                       23,515
</TABLE>


Item 6:  Management's Discussion and Analysis of Financial Condition and
         Results of Operations

     In response to this Item, the information contained on pages 4 through 16
of the Company's Annual Report to Shareholders for the year ended December 31,
2002 is incorporated herein by reference.

Part 1.  Item 7:  Financial Statements


     In response to this Item, the information contained on pages 17 through 36
of the company's Annual Report to Shareholders for the year ended December 31,
2002 is incorporated herein by reference.


Item 8.  Changes in and Disagreements With Accountants on Accounting and
         Financial Disclosure


     None.





                                       13
<PAGE>

Item 9.  Directors, Executive Officers, Promoters and Control Persons;
Compliance with Section 16(a) of the Exchange Act

     In response to this Item, the information contained on page 11 of the
company's Proxy Statement for the Annual Meeting of Shareholders to be held on
April 23, 2003 is incorporated herein by reference.

Item 10.  Executive Compensation

     In response to this Item, the information contained on pages 6 through 8 of
the company's Proxy Statement for the Annual Meeting of Shareholders to be held
on April 23, 2003 is incorporated herein by reference.

Item 11.  Security Ownership of Certain Beneficial Owners and Management

     In response to this Item, the information contained on page 9 of the
company's Proxy Statement for the Annual Meeting of Shareholders to be held on
April 23, 2003 is incorporated herein by reference.

Item 12.  Certain Relationships and Related Transactions

     In response to this Item, the information contained on page 11 of the
company's Proxy Statement for the Annual Meeting of Shareholders to be held on
April 23, 2003 is incorporated herein by reference.

Item 13.   Exhibits, List and Reports on Form 8-K

(a)    The following documents are filed as part of this report:

3.1    Articles of Incorporation (incorporated by reference to Exhibit 3.1 to
       the Company's Registration Statement No. 33-95562 on Form S-1)

3.2.   Bylaws (incorporated by reference to Exhibit 3.2 to the Company's
       Registration Statement No. 33-95562 on Form S-1)

4.1.   Provisions in the Company's Articles of Incorporation and Bylaws defining
       the rights of holders of the Company's Common Stock (incorporated by
       reference to Exhibit 4.1 to the Company's Registration Statement No.
       33-95562 on Form S-1)

4.2.   Form of Certificate of Common Stock (incorporated by reference to Exhibit
       4.2 to the Company's Registration Statement No. 33-95562 on Form S-1)

10.1   Employment Agreement of Walter E. Standish, III with the Company dated
       March 4, 2000 (incorporated by reference to Exhibit 10.9 of the Company's
       Form 10-KSB for the year ended December 31, 2000).

10.2   Description of the Director Deferred Compensation Plan (incorporated to
       Exhibit 10.1 to the Company's Form 10-QSB filed with the SEC on November
       14, 2002).

10.3   Description of the Executive Deferred Compensation Plan (incorporated to
       Exhibit 10.2 to the Company's Form 10-QSB filed with the SEC on November
       14, 2002).

10.4   Description of the Split Dollar Life Insurance Plan (incorporated to
       Exhibit 10.3 to the Company's Form 10-QSB filed with the SEC on November
       14, 2002).

13     Annual Report to Shareholders for the year ended December 31, 2002

24     Power of Attorney (contained on the signature page hereof).

21.1.  Subsidiaries of the Company



                                       14
<PAGE>

(b)    Reports on Form 8-K
       -------------------

     The following reports were filed on Form 8-K during the fourth quarter for
the year ended December 31, 2002.

     The Company filed a Form 8-K on November 14, 2002 to disclose that the
Chief Executive Officer, Walter E. Standish, III, and the Chief Financial
Officer, Richard N. Burch, each furnished to the SEC the certification required
pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002.


Item 14. Controls and Procedures

     Within 90 days prior to the date of this report, we carried out an
evaluation, under the supervision and with the participation of our principal
executive officer and principal financial officer, of the effectiveness of the
design and operation of our disclosure controls and procedures. Based on this
evaluation, our principal executive officer and principal financial officer
concluded that our disclosure controls and procedures are effective in timely
alerting them to material information required to be included in our periodic
SEC reports. The design of any system of controls is based in part upon certain
assumptions about the likelihood of future events, and there can be no assurance
that any design will succeed in achieving its stated goals under all potential
future conditions, regardless of how remote.

     In addition, we reviewed our internal controls, and there have been no
significant changes in our internal controls or in other factors that could
significantly affect those controls subsequent to the date of their last
evaluation.








                                       15
<PAGE>

                                   SIGNATURES

     In accordance with Section 13 or 15(d) of the Securities Exchange Act of
1934 (the "Exchange Act"), the registrant caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.

                                      BEACH FIRST NATIONAL BANCSHARES, INC.


Date:   March 19, 2003                By:      /s/ Walter E. Standish, III
       -----------------------           ---------------------------------------
                                         Walter E. Standish, III
                                         President and Chief Executive Officer

     KNOW ALL MEN BY THESE PRESENTS, that each person whose signature appears
below constitutes and appoints Walter E. Standish, III, his true and lawful
attorney-in-fact and agent, with full power of substitution and resubstitution,
for him and in his name, place and stead, in any and all capacities, to sign any
and all amendments to this Annual Report on Form 10-KSB, and to file the same,
with all exhibits thereto, and other documents in connection therewith, with the
Securities and Exchange Commission, granting unto attorney-in-fact and agent
full power and authority to do and perform each and every act and thing
requisite or necessary to be done in and about the premises, as fully to all
intents and purposes as he might or could do in person, hereby ratifying and
confirming all that attorney-in-fact and agent, or his substitute or
substitutes, may lawfully do or cause to be done by virtue hereof.

     In accordance with the Exchange Act, this report has been signed below by
the following persons on behalf of the registrant in the capacities and on the
dates indicated.

Signature                                 Title                    Date
---------                                 -----                    ----


/s/ Michael Bert Anderson
-----------------------------
Michael Bert Anderson                    Director


/s/ Orvis Bartlett Buie
-----------------------------
Orvis Bartlett Buie                      Director


/s/ Raymond E. Cleary, III
-----------------------------
Raymond E. Cleary III                Chairman and Director


/s/ Michael D. Harrington
-----------------------------
Michael D. Harrington                    Director


/s/ Joe N. Jarrett, Jr.
-----------------------------
Joe N. Jarrett, Jr.                      Director


/s/ Richard E. Lester
-----------------------------
Richard E. Lester                        Director


/s/ Leigh Ammons Meese
-----------------------------
Leigh Ammons Meese                       Director



                                       16
<PAGE>



/s/ Rick H. Seagroves
-----------------------------
Rick H. Seagroves                        Director


/s/ Don J. Smith
-----------------------------
Don J. Smith                             Director


/s/ Samuel Robert Spann
-----------------------------
Samuel Robert Spann, Jr.                 Director


/s/ B. Larkin Spivey, Jr.
-----------------------------
B. Larkin Spivey, Jr.                    Director


/s/ Walter E. Standish, III
-----------------------------
Walter E. Standish, III          President, CEO, and Director



-----------------------------
James C. Yahnis                          Director


/s/ Richard N. Burch
-----------------------------
Richard N. Burch                 Chief Financial Officer and
                                 Principal Accounting Officer




                                       17
<PAGE>



                                 Exhibit List:


3.1   Articles of Incorporation (incorporated by reference to Exhibit 3.1 to the
      Company's Registration Statement No. 33-95562 on Form S-1)

3.2.  Bylaws (incorporated by reference to Exhibit 3.2 to the Company's
      Registration Statement No. 33-95562 on Form S-1)

4.1.  Provisions in the Company's Articles of Incorporation and Bylaws defining
      the rights of holders of the Company's Common Stock (incorporated by
      reference to Exhibit 4.1 to the Company's Registration Statement No.
      33-95562 on Form S-1)

4.2.  Form of Certificate of Common Stock (incorporated by reference to Exhibit
      4.2 to the Company's Registration Statement No. 33-95562 on Form S-1)

10.1  Employment Agreement of Walter E. Standish, III with the Company dated
      March 4, 2000 (incorporated by reference to Exhibit 10.9 of the Company's
      Form 10-KSB for the year ended December 31, 2000).

10.2  Description of the Director Deferred Compensation Plan (incorporated to
      Exhibit 10.1 to the Company's Form 10-QSB filed with the SEC on November
      14, 2002).

10.3  Description of the Executive Deferred Compensation Plan (incorporated to
      Exhibit 10.2 to the Company's Form 10-QSB filed with the SEC on November
      14, 2002).

10.4  Description of the Split Dollar Life Insurance Plan (incorporated to
      Exhibit 10.3 to the Company's Form 10-QSB filed with the SEC on November
      14, 2002).

13.1  Annual Report to Shareholders for the year ended December 31, 2002

21.1. Subsidiaries of the Company

24    Power of Attorney (contained on the signature page hereof).




                                       18
<PAGE>




                                  Certification

I, Walter E. Standish, III, certify that:

1. I have reviewed this annual report on Form 10-KSB of Beach First National
Bancshares, Inc.;

2. Based on my knowledge, this annual report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this annual
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this annual report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this annual report;

4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

         a) designed such disclosure controls and procedures to ensure that
         material information relating to the registrant, including its
         consolidated subsidiaries, is made known to us by others within those
         entities, particularly during the period in which this annual report is
         being prepared;

         b) evaluated the effectiveness of the registrant's disclosure controls
         and procedures as of a date within 90 days prior to the filing date of
         this annual report (the "Evaluation Date"); and

         c) presented in this annual report our conclusions about the
         effectiveness of the disclosure controls and procedures based on our
         evaluation as of the Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent function):

         a) all significant deficiencies in the design or operation of internal
         controls which could adversely affect the registrant's ability to
         record, process, summarize and report financial data and have
         identified for the registrant's auditors any material weaknesses in
         internal controls; and

         b) any fraud, whether or not material, that involves management or
         other employees who have a significant role in the registrant's
         internal controls; and

6. The registrant's other certifying officers and I have indicated in this
annual report whether or not there were significant changes in internal controls
or in other factors that could significantly affect internal controls subsequent
to the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.


Date: March 19, 2003

                                        /s/ Walter E. Standish, III
                                        ---------------------------------
                                        Walter E. Standish, III
                                        President and Chief Executive Officer





<PAGE>



                                  Certification

I, Richard N. Burch, certify that:

1. I have reviewed this annual report on Form 10-KSB of Beach First National
Bancshares, Inc.;

2. Based on my knowledge, this annual report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this annual
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this annual report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this annual report;

4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

         a) designed such disclosure controls and procedures to ensure that
         material information relating to the registrant, including its
         consolidated subsidiaries, is made known to us by others within those
         entities, particularly during the period in which this annual report is
         being prepared;

         b) evaluated the effectiveness of the registrant's disclosure controls
         and procedures as of a date within 90 days prior to the filing date of
         this annual report (the "Evaluation Date"); and

         c) presented in this annual report our conclusions about the
         effectiveness of the disclosure controls and procedures based on our
         evaluation as of the Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent function):

         a) all significant deficiencies in the design or operation of internal
         controls which could adversely affect the registrant's ability to
         record, process, summarize and report financial data and have
         identified for the registrant's auditors any material weaknesses in
         internal controls; and

         b) any fraud, whether or not material, that involves management or
         other employees who have a significant role in the registrant's
         internal controls; and

6. The registrant's other certifying officers and I have indicated in this
annual report whether or not there were significant changes in internal controls
or in other factors that could significantly affect internal controls subsequent
to the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.

Date: March 19, 2003
                                        /s/ Richard N. Burch
                                        ---------------------------------
                                        Richard N. Burch
                                        Chief Financial Officer