SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q


(Mark One)
[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
     SECURITIES EXCHANGE ACT OF 1934

                 For the quarterly period ended March 31, 1998

                                       or

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
    SECURITIES EXCHANGE ACT OF 1934

For the transition period from            to


                        Commission File Number: 333-12305 


                          SVB Financial Services, Inc.
             (Exact name of registrant as specified in its charter)

         New Jersey                                              22-3438058
(State of other jurisdiction of                              (I.R.S. Employer
incorporation or organization)                               Identification No.)

103 West End Avenue, Somerville, New Jersey                        08876
(Address of principal executive officers)                        (Zip Code)

                                 (908) 704-1188
              (Registrant's telephone number, including area code)


(Former  name,  former  address and former  fiscal year,  if changed  since last
report)

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

                           [ X ] Yes       [  ] No


As of March 31,  1998 there were  2,759,624  shares of common  stock,  $2.09 par
value  outstanding.  These  numbers  have been  restated to show a 2 for 1 stock
split effective April 16, 1998.
<PAGE>

                          SVB FINANCIAL SERVICES, INC.

                                    FORM 10-Q

                                      INDEX


PART I        -      FINANCIAL INFORMATION

ITEM 1        -      Financial Statements and Notes to Consolidated Financial
                     Statements

ITEM 2        -      Management's Discussion and Analysis of Financial Condition
                     and Results of Operations


PART II       -      OTHER INFORMATION

ITEM 1        -      Legal Proceedings

ITEM 4        -      Submission of Matters to a Vote of Securities Holders

ITEM 6        -      Exhibits and Reports on Form 8-K


SIGNATURES


<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
CONSOLIDATED BALANCE SHEET AS OF                           March 31,        December 31,
March 31, 1998 and December 31, 1997                        1998                1997
                                                       -------------      -------------
                                                        (Unaudited)
<S>                                                    <C>                <C>
ASSETS
Cash & Due from Banks                                  $   6,279,429      $   5,794,622
Federal Funds Sold                                        12,400,000                  0
Other Short Term Investments                                 734,011            188,304
                                                       -------------      -------------
Total Cash and Cash Equivalents                           19,413,440          5,982,926
                                                       -------------      -------------

Securities
   Available for Sale, at Market Value                    11,599,745         11,266,269
   Held to Maturity                                       17,032,171         22,101,977
                                                       -------------      -------------
Total Securities                                          28,631,916         33,368,246
                                                       -------------      -------------

Loans                                                    106,120,722        106,470,674
   Allowance for Possible Loan Losses                     (1,027,248)          (982,198)
   Unearned Income                                           (93,157)           (99,433)
                                                       -------------      -------------
Net Loans                                                105,000,317        105,389,043
                                                       -------------      -------------

Premises & Equipment, Net                                  1,799,370          1,733,516
Other Assets                                               2,062,466          2,075,757
                                                       -------------      -------------
Total Assets                                           $ 156,907,509      $ 148,549,488
                                                       =============      =============

LIABILITIES & SHAREHOLDERS' EQUITY
LIABILITIES
Deposits
Demand
   Non-interest Bearing                                $  22,793,988      $  21,965,676
   NOW Accounts                                           16,100,972         13,014,148
Savings                                                    9,429,508          9,042,660
Money Market Accounts                                     18,331,629         16,227,255
Time
   Greater than $100,000                                   9,595,945         12,879,808
   Less than $100,000                                     66,132,294         60,800,469
                                                       -------------      -------------
Total Deposits                                           142,384,336        133,930,016
                                                       -------------      -------------

Federal Funds Purchased                                         --              500,000
Obligation Under Capital Lease                               442,365            443,697
Accrued Expenses & Other Liabilities                         716,546            580,245
                                                       -------------      -------------
Total Liabilities                                        143,543,247        135,453,958
                                                       -------------      -------------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
CONSOLIDATED BALANCE SHEET AS OF                           March 31,        December 31,
March 31, 1998 and December 31, 1997                        1998                1997
                                                       -------------      -------------
                                                        (Unaudited)
<S>                                                    <C>                <C>
SHAREHOLDERS' EQUITY
Common Stock $2.09 Par Value, 10,000,000                   5,767,614          5,739,265
   Shares Authorized; 2,759,624 Shares in 1998 and
   2,746,060 Shares in 1997 Issued and Outstanding
Additional Paid-in Capital                                 5,487,552          5,459,397
Retained Earnings                                          2,092,807          1,859,173
Accumulated Other Comprehensive Income                        16,289             37,695
                                                       -------------      -------------
Total Shareholders' Equity                                13,364,262         13,095,530
                                                       -------------      -------------
Total Liabilities and Shareholders' Equity             $ 156,907,509      $ 148,549,488
                                                       =============      =============

</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
CONSOLIDATED STATEMENTS OF INCOME
For the Quarter Ended March 31,                                     1998            1997
                                                                 -----------    ----------- 
                                                                 (Unaudited) 
<S>                                                              <C>            <C>  
INTEREST INCOME
Interest on Loans                                                $2,363,603     $2,004,289
Interest on Securities Available for Sale                           163,865        145,654
Interest on Securities Held to Maturity                             303,805        223,112
Interest on Other Short Term Investments                              3,605         20,531
Interest on Federal Funds Sold                                       81,260         73,169
                                                                 ----------     ----------
Total Interest Income                                             2,916,138      2,466,755
                                                                 ----------     ----------
INTEREST EXPENSE
Interest on Deposits                                              1,318,754      1,106,398
Interest on Federal Funds Purchased                                     183           --
Interest on Obligation Under Capital Lease                            9,410           --
                                                                 ----------     ----------
Total Interest Expense                                            1,328,347      1,106,398
                                                                 ----------     ----------

Net Interest Income                                               1,587,791      1,360,357
PROVISION FOR POSSIBLE LOAN LOSSES                                   65,000         75,000
                                                                 ----------     ---------- 
     
Net Interest Income after Provision For Possible Loan Losses      1,522,791      1,285,357
                                                                 ----------     ----------
OTHER INCOME
Service Charges on Deposit Accounts                                  64,320         52,550
Gain on the Sale of  Loans                                           50,791         26,755
Other Income                                                         30,098         30,973
                                                                 ----------     ---------- 
Total Other Income                                                  145,209        110,278
                                                                 ----------     ----------
OTHER EXPENSE
Salaries and Employee Benefits                                      673,629        520,716
Occupancy Expense                                                   149,150        112,407
Equipment Expense                                                    84,941         75,994
Other Expenses                                                      367,741        298,998
                                                                 ----------     ---------- 
Total Other Expense                                               1,275,461      1,008,115
                                                                 ----------     ----------

Net Income Before Provision for Income Taxes                        392,539        387,520
Provision for Income Taxes                                          158,905        156,027
                                                                 ----------     ----------
NET INCOME                                                       $  233,634     $  231,493
                                                                 ==========     ==========
EARNINGS PER COMMON SHARES - Basic*                              $     0.09     $     0.09
                                                                 ==========     ==========
EARNINGS PER COMMON SHARES - Diluted*                            $     0.09     $     0.09
                                                                 ==========     ==========

</TABLE>
*Based on the 2 for 1 stock split effective  April 16, 1998,  earnings per share
  on a Basic and Diluted basis would have been $0.17 before the stock split.
<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME      For the Three Months Ended
For the Quarter Ended March 31,                           1998           1997
                                                       ---------      ---------- 
                                                      (Unaudited)
<S>                                                    <C>            <C>  
Net Income                                             $ 233,634      $ 231,493
Other Comprehensive Income, Net of Tax
   Unrealized (Losses) Arising in the Period             (21,406)       (54,497)
                                                       ---------      ---------
Comprehensive Income                                   $ 212,228      $ 176,996
                                                       =========      =========

</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SVB FINANCIAL SERVICES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Quarter Ended March 31,                                          1998              1997
                                                                    ------------      ------------ 
                                                                    (Unaudited)
<S>                                                                  <C>              <C>  
OPERATING ACTIVITIES
Net Income                                                          $    233,634      $    231,493
Adjustments to Reconcile Net Income to
   Net Cash Provided by Operating Activities
Provision for Possible Loan Losses                                        65,000            75,000
Depreciation and Amortization                                             88,533            66,941
(Accretion) /Amortization of Securities Premium/Discount                 (15,798)              449
(Increase) /Decrease in Other Assets                                       9,911          (151,555)
Increase/(Decrease) in Accrued Expenses and Other Liabilities            147,328           (65,153)
Increase/(Decrease) in Unearned Income                                    (6,276)            6,292
                                                                    ------------      ------------
Net Cash Provided By Operating Activities                                522,332           163,467
                                                                    ------------      ------------

INVESTING ACTIVITIES
Proceeds from Maturities of Securities
   Available for Sale                                                  3,204,415           285,729
   Held to Maturity                                                    7,334,432         2,285,850
Purchases of Securities
   Available for Sale                                                 (3,571,183)       (2,995,391)
   Held to Maturity                                                   (2,247,969)       (3,482,206)
Decrease/(Increase) in Loans                                             330,002        (4,366,759)
Capital Expenditures                                                    (151,007)          (79,713)
                                                                    ------------      ------------
Net Cash Used for Investing Activities                                 4,898,690        (8,352,490)
                                                                    ------------      ------------

FINANCING ACTIVITIES
Net Increase/(Decrease) in Demand Deposits                             3,915,136        (2,274,196)
Net Increase in Savings Deposits                                         386,848           206,869
Net Increase in Money Market Deposits                                  2,104,374         1,316,102
Net Increase in Time Deposits                                          2,047,962         5,947,462
(Decrease) in Federal Funds Purchased                                   (500,000)             --
(Decrease) in Obligation Under Capital Leases                             (1,332)             --
Proceeds from the Issuance of Common Stock, Net                           56,504              --
Increase in Common Stock from Late Acceptance of Exchange Offer             --              24,762
                                                                    ------------      ------------
Net Cash Provided by Financing Activities                              8,009,492         5,220,999
                                                                    ------------      ------------

Increase/(Decrease) in Cash and Cash Equivalents, Net                 13,430,514        (2,968,024)
Cash and Cash Equivalents, Beginning of Year                           5,982,926        12,128,176
                                                                    ------------      ------------
Cash and Cash Equivalents, End of Period                            $ 19,413,440      $  9,160,152
                                                                    ============      ============

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash Paid During the Year for Interest                              $  1,367,632      $  1,090,072
                                                                    ============      ============
Cash Paid During the Year for Federal Income Taxes                  $     40,000      $    142,562
                                                                    ============      ============
</TABLE>
<PAGE>
                          SVB FINANCIAL SERVICES, INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                           March 31, 1998 (UNAUDITED)

1. SVB Financial Services,  Inc., (the "Company"),  a bank holding company,  was
incorporated on February 7, 1996 with authorized capital of 10,000,000 shares of
$4.17 par value common  stock.  On September 3, 1996,  the Company  acquired 100
percent of the shares of  Somerset  Valley  Bank (the  "Bank") by  exchanging  6
shares of its Common Stock for each 5 shares of the Bank. This exchange has been
accounted for as a reorganization of entities under common control, similar to a
pooling of interests,  which resulted in no changes to the  underlying  carrying
amounts  of assets  and  liabilities.  Effective  April 16,  1998,  the  Company
declared a 2 for 1 stock split, resulting in a $2.09 par value common stock. All
financial statements have been restated to reflect this.

         The  consolidated   financial  statements  included  herein  have  been
prepared  without  an  audit  pursuant  to  the  rules  and  regulations  of the
Securities and Exchange Commission. Certain information and footnote disclosures
normally included in financial  statements prepared in accordance with generally
accepted  accounting  principles  have been  omitted  pursuant to such rules and
regulations.   The  accompanying  condensed  consolidated  financial  statements
reflect all adjustments which are, in the opinion of management,  necessary to a
fair  statement  of  the  results  for  the  interim  periods  presented.   Such
adjustments  are of a normal  recurring  nature.  These  consolidated  condensed
financial  statements  should be read in conjunction with the audited  financial
statements and the notes  thereto.  The results for the three months ended March
31, 1998 are not necessarily  indicative of the results that may be expected for
the year ended December 31, 1998.

         The consolidated  financial statements include the accounts of Somerset
Valley Bank. All significant  inter-company  accounts and transactions have been
eliminated.

2.       Loans

         At March 31, 1998 and December 31, 1997 the  composition of outstanding
loans is summarized as follows:
<TABLE>
<CAPTION>
                                                             March 31,                  December 31,
                                                               1998                          1997
                                                           -------------                ------------ 
<S>                                                        <C>                          <C>
        Secured by Real Estate:
           Residential Mortgage                            $  33,375,671                $ 33,248,717
           Commercial Mortgage                                31,540,235                  29,793,163
           Construction                                        4,327,095                   4,851,720
        Commercial and Industrial                             19,498,706                  20,889,305
        Loans to Individuals                                   5,415,764                   4,969,103
        Loans to Individuals for Automobiles                  11,487,681                  12,177,339
        Other Loans                                              475,570                     541,327
                                                           -------------                ------------ 
                                                           $ 106,120,722                $106,470,674
                                                           =============                ============
</TABLE>
         There were no loans  restructured  during  1998 or 1997.  There were no
loans past due 90 days or more and still accruing at March 31, 1998 and December
31, 1997.  Loans in a non-accrual  status totaled  $59,443 at March 31, 1998 and
$62,632 at December 31, 1997.
<PAGE>
  3.     Allowance for Possible Loan Losses

         The  allowance  for  possible  loan  losses is based on  estimates  and
ultimate  losses  may vary  from the  current  estimates.  These  estimates  are
reviewed periodically and as adjustments become necessary, they are reflected in
operations  in the  period  in which  they  become  known.  An  analysis  of the
allowance for possible loan losses is as follows:

<TABLE>
<CAPTION>
                                                  March 31,         December 31,
                                                    1998                1997
                                                -----------         -----------
<S>                                             <C>                 <C>
Balance January 1,                              $   982,198         $   783,366
Provision Charged to Operations                      65,000             280,000
Charge Offs                                         (20,250)            (86,399)
Recoveries                                              300               5,231
                                                -----------         -----------
Balance End of Period                           $ 1,027,248         $   982,198
                                                ===========         ===========
</TABLE>
4.       New Accounting Pronouncement

         On January 1, 1998,  the  Corporation  adopted  Statements of Financial
Accounting  Standards  (SFAS) No. 129,  "Disclosure  Information  about  Capital
Structure."  SFAS No.  129  summarizes  previously  issued  disclosure  guidance
contained  within  APB  Opinion  No. 10 and No.  15, as well as SFAS No. 47. The
Corporation's  current disclosures were not affected by the adoption of SFAS No.
129.

         On January 1, 1998, the  Corporation  adopted SFAS No. 130,  "Reporting
Comprehensive  Income." SFAS No. 130 establishes  standards to provide prominent
disclosure of comprehensive income items.  Comprehensive income is the change in
equity of a business  enterprise  during a period  from  transactions  and other
events and circumstances from non-owner sources.  Prior period amounts have been
restated to conform to the  provisions of SFAS No. 130. The adoption of SFAS 130
did not have a  material  impact  on the  Corporation's  financial  position  or
results of operations.

         On January 1, 1998, the Corporation adopted SFAS No. 131,  "Disclosures
about Segments of an Enterprise and Related  Information." SFAS No. 131 requires
that public  business  enterprises  report certain  information  about operating
segments in a complete  set of financial  statements  of the  enterprise  and in
condensed  financial  statements of interim periods issued to  shareholders.  It
also  requires the  reporting  of certain  information  about their  product and
services,  the geographic area in which they operate, and their major customers.
The  adoption  of SFAS  No.  131 did not  have an  impact  on the  Corporation's
financial position or results of operations.

         The  American  Institute  of  Certified  Public   Accountants   (AICPA)
executive committee has issued Statement of Position (SOP) 98-1,  Accounting for
the Costs of Computer  Software  Developed or Obtained for Internal Use. The SOP
was issued to provide  authoritative  guidance on the subject of accounting  for
the cost associated with the purchase or development of computer  software.  The
statement is effective for fiscal years  beginning  after  December 15, 1998 for
costs  incurred in those fiscal years for all  projects,  including  projects in
progress  when the SOP is adopted.  The  adoption of SOP 98-1 is not expected to
have a material  impact on the  Corporation's  financial  position or results of
operations.
<PAGE>
ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
              AND RESULTS OF OPERATIONS

         Net income for the first three months of 1998 was $233,634, an increase
of  $2,141  or 1.0% as  compared  to the  same  period  in  1997.  Earnings  per
share-Basic were $.09 in 1998 as compared to $.09 in 1997*. Earnings per share -
Diluted were $.09 in 1998 and 1997*.

         *Based on the 2 for 1 stock split  effective  April 16, 1998,  earnings
         per share on a Basic and Diluted basis would have been $0.17 before the
         stock split.

         A detailed discussion of the major components of net income follows:

Net Interest Income

         Net interest  income for the first three months of 1998 was  $1,587,791
compared to $1,360,357 in 1997, an increase of $227,434 or 15%.

         Almost all of the increase can be  attributed to an increase in average
earnings assets. Average earnings assets for the first three months of 1998 were
$141.8  million an increase of $20.7  million or 17% from the first three months
of 1997.  Loans  accounted  for almost 74% of this  increase  as loans  averaged
$104.7  million  during the three months.  The increase in loan balances  caused
interest income to increase $344,217.  Furthermore, the yield on loans increased
from 9.09%,  to a 9.16%,  which caused interest income to increase an additional
$15,097.  Overall, interest income increased $449,383. Almost all of this amount
was due to the  increase in average  balances.  The yield on earning  assets was
8.34% for 1998 and 8.26% for 1997.

         The overall cost of interest-bearing  liabilities  increased five basis
points from 4.65% to 4.70%.  The Company had several deposit  promotions  during
the  latter  part of 1997 and the first  quarter of 1998 to help  introduce  the
opening of the  Bridgewater  Township,  Gaston  Avenue  and Arbor Glen  offices.
Although  average  non-interest  sources of funds (capital and demand  deposits)
increased $2.6 million,  the cost of funding earning assets increased from 3.70%
to  3.80%.  The  increase  in the cost to fund  earning  assets  resulted  in an
increase in interest expense of $221,949.

         The net result of the change in net interest income for the first three
months of 1998 versus the first three months of 1997 was an increase in earnings
of $227,434.  However, due to a change in the mix of the assets and liabilities,
the net interest margin declined one basis point from a 4.55% to a 4.54%.

Provision for Loan Possible Losses

         The  provision  for possible loan losses was $65,000 in the first three
months of 1998 as  compared to $75,000 in the first  three  months of 1997.  The
decrease  in the  provision  was  mostly  related to the  slowdown  in growth of
outstanding  loans. Total gross loans decreased $349,952 since December 31, 1997
but increased $13.9 million or 15% since March 31, 1997.
<PAGE>
Other Income

         During the first three months of 1998, other income  increased  $34,931
or 32% over the same period in 1997.  Gains on the sale of loans  accounted  for
$24,036 of the increase.  The Company is a preferred SBA lender and, as such, it
originates  SBA  loans  and  sells the  government  guaranteed  portions  in the
secondary  market while retaining the servicing.  The amount of gains recognized
on SBA loans is dependent on the volume of new SBA loans generated each quarter.
The amounts can vary greatly from quarter to quarter and from year to year.

         Service charges on deposit accounts  increased  $11,770 or 22% from the
same  period  last year.  The growth in the number of  commercial  and  consumer
checking accounts resulted in increased overdraft,  account maintenance and wire
transfer  fees.  Foreign  transaction  fees at the  Company's  ATM machines were
instituted in the latter half of 1997,  which  resulted in a $5,501  increase in
ATM fees over last year.

         Other income decreased $875 or 3.0%.

Other Expense

         Other  expenses  for the three  months  ended March 31, 1998  increased
$267,346  or 27% from the same period in 1997.  Since July of 1997,  the Company
has opened a branch office in Bridgewater Township, a branch on Gaston Avenue in
Somerville,  and a  branch  in  the  Arbor  Glen  assisted  living  facility  in
Bridgewater Township. Expenses were impacted by additional personnel,  occupancy
costs,  and  other  expenses  related  to  the  opening  of  the  new  branches.
Consequently, total assets have grown $26.6 million or 20% since March 31, 1997.
Because of the growth in assets and the  offices,  the  Company  has had to hire
additional  personnel  to better  service its  customer  base.  These  additions
combined with normal  salary  increases  caused  salary and benefits  expense to
increase  $152,913 or 29% from last year.  The Company has also  entered  into a
rental  agreement  for another  potential  branch site in Aberdeen,  in Monmouth
County.  Rent on the  newly  opened  locations  and the  potential  branch  site
location coupled with depreciation on improved  facilities resulted in a $36,743
or 33%  increase in occupancy  expenses.  The Company has also made an effort to
remain current with technology and to provide computer access for each employee.
These  purchases  as well as other  purchases  of  equipment  for new  employees
increased  equipment  expense  $8,947  or 12% from  last  year.  Other  expenses
increased  from last year $68,743 or 23%.  Much of this  increase was related to
the growth of the Company which affected many areas, but especially supplies and
data  processing  costs.  Marketing  and business  development  costs  increased
$11,358 due to grand  opening costs of the Gaston Avenue and Arbor Glenn offices
and to  continued  promotions  of home  equity  loans and  several  new  banking
products.

Financial Condition
March 31, 1998 compared to December 31, 1997

         Total assets increased $8.4 million or 6% from December 31, 1997. Total
loans decreased  $349,952.  Loans secured by real estate increased $1.3 million.
Commercial  mortgages  increased $1.7 million while construction loans decreased
$524,625.  Activity  varies in the  marketplace  depending upon  seasonality and
competition.  Loans to individuals for  automobiles,  declined by $689,658.  The
current  interest  rates  earned on these loans in relation to  competition  has
caused the Company to not be as aggressive in generating new automobile loans.
<PAGE>
         Deposits  increased  $8.5 million or 6% during the first three  months.
All deposit categories, with the exception of CDs over $100,000,  increased with
the largest  increase of $5.3 million in the time  deposits  less than  $100,000
category.

         Investment  securities decreased $4.7 million. The increase in deposits
coupled with flat yield  curves in the market and pending  loan growth  caused a
shift from longer term securities to short term investments.

Asset Quality

         There were no loans past due 90 days or more and still  accruing  as of
March 31, 1998 and at December 31, 1997.

         Loans in a  non-accrual  status  totaled  $59,443 at March 31, 1998 and
$62,632 at December 31, 1997 and represented .06% of total loans as of March 31,
1998 and December 31, 1997.

         The Company had no other real estate owned at March 31, 1998.

Allowance for Possible Loan Losses

         The  allowance  for  possible  loan  losses  is  maintained  at a level
considered  adequate  to provide for  potential  loan  losses.  The level of the
allowance  is  based on  management's  evaluation  of  potential  losses  in the
portfolio,  after  consideration  of  risk  characteristics  of  the  loans  and
prevailing and anticipated  economic  conditions.  The allowance is increased by
provisions charged to expense and reduced by charge-offs, net of recoveries.

         At March 31, 1998,  the allowance for loans losses was  $1,027,248  and
represented .97% of total loans and 1,728% of  non-performing  loans compared to
an  allowance  for loan losses at December 31, 1997 of $982,198 or .92% of total
loans and 1,568% of non-performing loans at December 31, 1997.

         Charge-offs for the first three months of 1998 totaled $20,250 compared
to $86,399 for the year ended December 31, 1997.
 
Capital Resources

         Total  Shareholders'  Equity was $13,364,262 at March 31, 1998 compared
to $13,095,530 at December 31, 1997.

         Under the FDIC  Improvement Act of 1991, banks are required to maintain
a minimum ratio of total capital to risk based assets of 8% of which at least 4%
must be in the form of Tier I  Capital  (primarily  Shareholders'  Equity).  The
following are the Company's capital ratios at the end of the periods indicated.
<TABLE>
<CAPTION>

                                                   March 31,     December 31,
                                                     1998           1997
                                                   ---------     ------------
<S>                                                 <C>            <C>
Tier I Capital to Risk Weighted Assets              10.65%         11.89%
Total Capital to Risk Weighted Assets               11.50%         12.81%
Leverage Ratio                                       8.65%          8.72%
</TABLE>
<PAGE>
Liquidity

         Cash and cash  equivalents  totaled  $19.4 million at March 31, 1998 an
increase of $13.4 million.

         The increase in Cash and Cash Equivalents was partially attributable to
an  increase  in  deposits  which  contributed  to an  increase in cash used for
financing  activities of $8.0 million.  Demand deposits  experienced the largest
increase for the three month period of $3.9 million.

         The  increase  in  Cash  and  Cash   Equivalents   was  also  partially
attributable to a decrease in investment activities, which produced $4.9 million
of available cash. Those funds were invested in short term investments  awaiting
pending future loan growth.

<PAGE>
                            PART II-OTHER INFORMATION

Item 1   -        Legal Proceedings
                  The  Company is party in the  ordinary  course of  business to
                  litigation involving  collection matters,  contract claims and
                  other   miscellaneous   causes  of  action  arising  from  its
                  business.  Management does not consider that such  proceedings
                  depart from usual routine litigation and, in its judgment, the
                  Company's  financial  position and results of operations  will
                  not be affected materially by such proceedings.

Item 2   -        Changes in Securities
                  None.

Item 3   -        Defaults upon Senior Securities
                  None.

Item 4   -        Submission of Matters to a Vote of Security Holders
                   
                  Proxies  were mailed to  shareholders  of the Company on March
                  31, 1998 for the Annual Meeting of  Shareholders  on April 30,
                  1998.  The purpose was the election of Directors for a term of
                  three years.

                  Following are the results of the voting:

                           The following candidates were nominated for a term to
                           continue to the 2001 Annual Meeting.
<TABLE>
<CAPTION>
                                                               Votes For                    Votes Withheld
                                                               ---------                    --------------
<S>                                                            <C>                                <C>
                           Bernard Bernstein                   1,110,272                          144
                           Robert P. Corcoran                  1,110,416                            0
                           Mark S. Gold, MD                    1,110,416                            0
                           Raymond L. Hughes                   1,110,272                          144
                           S. Tucker S. Johnson                1,110,316                          100
</TABLE>

Item 5   -        Other Information
                  None.

Item 6   -        Exhibits and Reports on Form 8-K
                  --------------------------------
            (a)   Exhibits
                   
         3(i)     Articles of Incorporation
                  Certificate of Incorporation of the Company is incorporated by
                  reference to the Company's Registration Statement on Form SB-2
                  File Number 333-12305 Amendment No. 2, Filed November 4, 1996.

         3(ii)    Bylaws
                  Bylaws of the Company are  incorporated  by  reference  to the
                  Company's   Registration  Statement  on  Form  SB-2  File  No.
                  333-12305 Amendment No. 2, Filed November 4, 1996.
<PAGE>

         (27)     Financial Data Schedule

          (b)     Reports on Form 8-K
                  A report on Form 8-K was filed  during  the first  quarter  of
                  1998 under Item 5 "Other Events."

<PAGE>





                                   SIGNATURES


         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  Registrant  has duly  caused  this report to be signed on its behalf by the
undersigned thereunto duly authorized.




                                                  SVB FINANCIAL SERVICES, INC.
                                                  (Registrant)




Dated:   May 7, 1998                              By:   /s/Keith B. McCarthy
                                                        --------------------
                                                        Keith B. McCarthy
                                                        Executive Vice President
                                                        Chief Accounting Officer