<PAGE>

                                 EXHIBIT 10.11


                       Benj. A. Smith & Associates, Ltd.
              Limited Discretionary Investment Advisory Agreement

     AGREEMENT, effective this  _____ day of ___________, 2000, between Macatawa
Bank and Benj. A. Smith & Associates, Ltd., A Michigan Corporation, 106 East
8/th/ Street, Holland, MI 49423.

1.   Appointment.  Macatawa Bank hereby appoints and retains Benj. A. Smith &
     Associates, Ltd. to provide Macatawa Bank with investment advice,
     investment recommendations and to perform such other duties and acts as are
     described on Schedule "A" attached hereto and in any changes, additions and
     withdrawals thereto, including earnings and profits (the "Accounts").
     Macatawa Bank may add to, withdraw from, or change the assets of the
     Accounts, and agree to advise Benj. A. Smith & Associates, Ltd. upon doing
     so.

2.   Custody of Account. Benj. A. Smith & Associates, Ltd. shall not be
     Custodian or Trustee of the Accounts. Macatawa Bank will act as Custodian
     to take and have custody of the Accounts. Macatawa Bank shall provide Benj.
     A. Smith & Associates, Ltd. each month with a complete listing of all
     funds, securities and other assets in the Accounts.

3.   Client Information.  To assist Benj. A. Smith & Associates, Ltd. with
     performance of its duties, Macatawa Bank agrees to furnish Benj. A. Smith &
     Associates, Ltd. with current information regarding Account owner's
     finances and investments, and Account owner's investment philosophy and
     goals.  All information and advice furnished by either Macatawa Bank or
     Benj. A. Smith & Associates, Ltd. to the other shall be treated as
     confidential and shall not be disclosed to third parties except as required
     by law.

4.   Investment Recommendations. Benj. A. Smith & Associates, Ltd. agrees to
     review the Accounts on a regular basis, and to make recommendations to
     Macatawa Bank as to the retention or sale of assets in the Accounts of
     assets in the Accounts. Benj. A. Smith & Associates, Ltd. will make
     recommendations that it believes are consistent with the information
     provided by Macatawa Bank, concerning Account owner's finances and
     investments, and Account owner's investment philosophy and goals, with
     recommendations being based on such investment information and other data
     as Benj. A. Smith & Associates, Ltd. has, at the time, in its possession.
     Benj. A. Smith & Associates, Ltd. will attempt to base its recommendations
     on information which it, in good faith, believes is reliable and complete,
     but Benj. A. Smith & Associates, Ltd. does not guarantee the accuracy of
     such information.

5.   Transactions by Advisor. Benj. A. Smith & Associates, Ltd. may purchase,
     sell or exchange securities and other assets of the Accounts. Such actions
     taken by Benj. A. Smith & Associates, Ltd. are to be done according to the
     investment policies and guidelines established and adopted by the Trust
     Committee and
<PAGE>

     Board of Directors of Macatawa Bank. Unless otherwise directed by Macatawa
     Bank, orders may be placed with such brokers, dealers or banks as Benj. A.
     Smith & Associates, Ltd. may select. If Macatawa Bank directs Benj. A.
     Smith & Associates, Ltd. to use a particular broker or dealer Benj. A.
     Smith & Associates, Ltd. may not be authorized to negotiate commissions on
     behalf of Macatawa Bank, and may not be able to obtain volume discounts or
     best execution of transactions. All commissions shall be charged to the
     Accounts.

6.   Voting of Securities. Unless otherwise specifically agreed in writing,
     Benj. A. Smith & Associates, Ltd. will not be required to take action, or
     render any advice, with respect to the voting of securities in the Account.

7.   Contracts with Others. Benj. A. Smith & Associates, Ltd. acts as advisor to
     other clients and may continue to give advice, and take action, with
     respect to any of those which may differ from the advice given, or timing
     or nature of the action taken, with respect to the Accounts.

8.   Compensation. Benj. A. Smith & Associates, Ltd. compensation for the
     services provided in this agreement shall be calculated and paid in
     accordance with the Schedule of Fees attached as Schedule "B".

9.   Liability of Benj. A. Smith & Associates, Ltd.. Benj. A. Smith &
     Associates, Ltd. shall not be responsible or liable for any error of
     judgement or for any mistake of law or for any costs, expenses, liability,
     losses or decline in the value of any securities or other assets in the
     Account unless it is established to have been caused by Benj. A. Smith &
     Associates, Ltd. willful misfeasance or bad faith on the performance of
     Benj. A. Smith & Associates, Ltd. [Agents] duties, or by reason of Benj. A.
     Smith & Associates, Ltd. reckless disregards of its obligation under this
     agreement, or breach of any statutory duty.

10.  Disclosure Statement. Macatawa Bank acknowledges receipt of Benj. A. Smith
     & Associates, Ltd. Disclosure Statement, as required by Rule 204-3 under
     the Investment Advisors Act of 1940, not less than 48 hours prior to
     entering into any written or oral investment advisory contract.

11.  Agreement not assignable.  No assignment (as that term is defined in the
     Investment Advisors Act of 1940) of this Agreement may be made by Benj. A.
     Smith & Associates, Ltd. without the written consent of Macatawa Bank.

12.  Termination. This Agreement may be terminated at any time upon (30) days
     prior written notice by either party, with termination being effective on
     the date stated in the notice.

13.  Notices. Notices required to be given under this Agreement shall be
     delivered in person or sent by first class mail to the address of Macatawa
     Bank and Benj. A. Smith & Associates, Ltd. set forth at the beginning of
     the Agreement. Notices

                            Exhibit 10.11 - Page 2
<PAGE>

     shall be deemed to be given upon personal delivery, or upon the third
     business day after mailing postage prepaid.

14.  Entire Agreement: Interpretation: Effectiveness. This Agreement constitutes
     the entire agreement of the parties with respect to Benj. A. Smith &
     Associates, Ltd. services for the Accounts and can be amended only by a
     written agreement signed by the parties. This Agreement shall be
     interpreted and construed under Federal Law to the extent permitted, and
     any parts not governed thereby shall be governed by the laws of the State
     of Michigan. This Agreement shall not be effective until executed and
     accepted by Benj. A. Smith & Associates, Ltd. at its office in Holland,
     Michigan.

     IN WITNESS WHEREOF, the parties have caused this Agreement to be effective
on the date set forth above.
                                        Macatawa Bank

Dated:  __________________, 2000.       By:  _______________________________

                                             Its: __________________________

                                        Benj. A. Smith & Associates, Ltd.

                                        By: ________________________________

                                             Its: __________________________

                            Exhibit 10.11 - Page 3
<PAGE>

                                   EXHIBIT A

                                   ACCOUNTS

The following accounts constitute the purpose of this Agreement:

Account Name                                 Trust Account Number
------------                                 --------------------

________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________


Other Assets

________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________
________________________________________________________________________________

                            Exhibit 10.11 - Page 4
<PAGE>

                                 SCHEDULE "B"

                    Advisor Compensation - Schedule of Fees

     Benj. A. Smith & Associates, Ltd. will be paid an annual negotiated market
value fee between 35 and 75 basis points on the market value of assets on which
Benj. A. Smith & Associates, Ltd. advises computed quarterly in arrears.

                            Exhibit 10.11 - Page 5