SECURITIES AND EXCHANGE COMMISSION
                           Washington, D. C. 20549

                                 FORM 10-Q


                 QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF
                          THE SECURITIES EXCHANGE ACT OF 1934



For the quarterly period ended August 31, 1996     Commission File No. 0-27682



                                GLOBE BUSINESS RESOURCES, INC.



Incorporated under the                                     IRS Employer
  laws of Ohio                                  Identification No. 31-1256641



                                    1925 Greenwood Avenue
                                     Cincinnati, OH 45246
                                    Phone: (513) 771-8221







     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. Yes X No



    As of September 17, 1996,  4,321,509 shares of the  Registrant's  common
stock, no par value, were outstanding.







<PAGE>












                                GLOBE BUSINESS RESOURCES, INC.
                                  INDEX TO QUARTERLY REPORT
                                         ON FORM 10-Q



                                                                     Page No.

PART I.        FINANCIAL INFORMATION

               Item 1.       Consolidated Financial Statements

                             Consolidated Balance Sheet -                    3
                             February 29, 1996 and August 31, 1996

                             Consolidated Statement of Income -              4
                             Three Months and Six Months Ended 
                             August 31, 1995 and 1996

                             Consolidated Statement of Cash Flows -          5
                             Six months ended August 31, 1995 and 1996

                             Notes to Consolidated Financial Statements      6

               Item 2.       Management's Discussion and Analysis of         8
                             Financial Condition and Results of Operations



PART II.       OTHER INFORMATION

               Item 1.       Legal Proceedings                              14

               Item 4.       Submission of Matters to a Vote of 
                             Security Holders                               14

               Item 6.       Exhibits, Financial Statement Schedules and
                             Reports on Form 8-K                            14




<PAGE>




                                PART I - FINANCIAL INFORMATION

                                GLOBE BUSINESS RESOURCES, INC.
                                  CONSOLIDATED BALANCE SHEET
                                    (Dollars in thousands)



                                                       February 29, August 31,
                                                          1996        1996
                                                      ____________ __________
                                                             (Unaudited)

ASSETS:
Cash                                                      $    133     $    530
Accounts receivable, less allowance for doubtful
  accounts of $327 and $472, respectively                    3,530        5,312
Prepaid expenses                                               509        1,327
Rental furniture, net                                       37,407       46,277
Property and equipment, net                                  2,675        3,302
Goodwill and other intangibles, less accumulated
    amortization of $48                                       --          3,460
Other, net                                                     207          242
                                                          --------     --------
        Total assets                                      $ 44,461     $ 60,450
                                                          ========     ========

LIABILITIES AND SHAREHOLDERS' EQUITY:
Accounts payable                                          $  3,473     $  3,601
Customer deposits                                            1,189        1,442
Accrued compensation                                         1,569          847
Accrued taxes                                                  447        1,005
Deferred income taxes                                        1,793        2,300
Accrued interest payable                                       120          214
Other accrued expenses                                         633          468

Debt                                                        10,573       23,581
                                                          --------     --------
        Total liabilities                                   19,797       33,458
                                                          --------     --------

Common stock and other shareholders' equity:
        Common stock, no par, 10,000,000 shares
          authorized, 4,254,369 and 4,321,509
          shares issued and outstanding                     18,549       19,000
        Retained earnings                                   10,199       12,076
        Fair market value in excess of historical
          cost of acquired net assets attributable
          to related party transactions                     (4,084)      (4,084)
                                                          --------     --------

               Total common stock and other
                 shareholders' equity                       24,664       26,992
                                                          --------     --------

        Total liabilities and shareholders' equity        $ 44,461     $ 60,450
                                                           =======      =======



The  accompanying  notes  are an  integral  part  of  these  financial 
statements.




<PAGE>




                                GLOBE BUSINESS RESOURCES, INC.
                               CONSOLIDATED STATEMENT OF INCOME
                             (In thousands except per share data)


                                  For the three  months    For the six months
                                    ended August 31,         ended August 31,
                                   1995         1996        1995        1996
                                   ----         ----        ----         ---- 
                                      (Unaudited)              (Unaudited)

Revenues:
  Rental sales                    $  9,491   $ 14,032    $ 18,370   $ 23,462
  Retail sales                       3,469      3,678       6,852      7,361
                                  --------   --------    --------   --------
                                    12,960     17,710      25,222     30,823
                                  --------   --------    --------   --------

Costs and expenses:
  Cost of rental sales               2,082      5,226       4,172      7,693
  Cost of retail sales               1,779      2,306       3,634      4,509
  Warehouse and delivery             1,724      2,145       3,447      3,930
  Occupancy                          1,395      1,460       2,841      2,849
  Selling and advertising            1,826      2,102       3,627      3,970
  General and administration         1,648      2,287       3,203      4,133
                                  --------   --------    --------   --------
                                    10,454     15,526      20,924     27,084
                                  --------   --------    --------   --------

Operating income                     2,506      2,184       4,298      3,739

Other (income) expense:
  Interest expense                     647        383       1,215        607
  Other                                 12        (33)         31        (58)
                                  --------   --------    --------   --------
                                       659        350       1,246        549

Income before income taxes           1,847      1,834       3,052      3,190

Provision for income taxes             740        711       1,223      1,243
                                  --------   --------    --------   --------


Net income                           1,107      1,123       1,829      1,947

Preferred stock dividends              132       --           262       --
                                  --------   --------    --------   --------

Net income applicable to common
  stock                           $    975   $  1,123    $  1,567   $  1,947
                                  ========   ========    ========   ========

Earnings per common share:
Net income                        $    .38   $    .26    $    .61   $    .45
                                   =======    =======     =======    =======

Weighted average number of common 
  shares outstanding                 2,546      4,309       2,552      4,282




The  accompanying  notes  are an  integral  part  of  these  financial
statements.




<PAGE>




                                GLOBE BUSINESS RESOURCES, INC.
                             CONSOLIDATED STATEMENT OF CASH FLOWS
                                    (Dollars in thousands)



                                                    For the six months ended,
                                                      August 31,  August 31,
                                                        1995           1996
                                                    ------------  -----------
                                                            (Unaudited)

CASH FLOWS FROM OPERATING ACTIVITIES:
Net income                                             $  1,829    $  1,947
Adjustments to reconcile net income to
  net cash provided by operating activities:
    Rental furniture depreciation                         2,374       2,917
    Other depreciation and amortization                     417         485
    Provision for losses on accounts receivable             (36)         50
    Provision for deferred income taxes                       5         507
    (Gain)/Loss on sales of property and equipment          (16)          4
    Book value of furniture sales and rental buyouts      4,391       5,811
    Changes in assets and liabilities:
      Accounts receivable                                  (338)     (1,205)
      Other assets, net                                      27        (115)
      Prepaid expenses                                       61        (188)
      Accounts payable                                      407          15
      Customer deposits                                      86         (35)
      Accrued compensation                                 (324)       (854)
      Accrued taxes                                         393         504
      Accrued interest payable                              (14)         94
      Other accrued expenses                                 (5)       (133)
                                                       --------    -------- 
Net cash provided by operating activities                 9,257       9,804
                                                       --------    --------

CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to rental furniture                           (11,203)    (15,150)
Purchases of property and equipment                        (224)       (714)
Proceeds from sale of property and equipment                 28        --
GranTree Corporation debenture retirement                  --           (59)
Acquisition of Interim Quarters and Instant Office,
  net of cash acquired                                     --        (5,912)
                                                       --------    --------
Net cash used in investing activities                   (11,399)    (21,835)
                                                       --------    --------

CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings on the revolving credit agreements            29,276      49,023
Repayments on the revolving credit agreements           (27,462)    (35,853)
Repayments of other debt                                   --          (595)
Principal payments under capital lease obligations         (193)       (162)
Exercise of common stock options                           --            15
                                                       --------    --------
Net cash provided by financing activities                 1,621      12,428
                                                       --------    --------

Net (decrease)increase in cash                             (521)        397
Cash at beginning of period                                 732         133
                                                       --------    --------
Cash at end of period                                  $    211    $    530
                                                       ========    ========



     The  accompanying  notes  are an  integral  part  of  these  financial
statements.




<PAGE>




                                GLOBE BUSINESS RESOURCES, INC.
                        NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS



NOTE 1 -- PRESENTATION OF INTERIM INFORMATION

    In the opinion of the management of Globe Business Resources, Inc. ("Globe"
or "the Company"), the accompanying unaudited consolidated financial statements
include all adjustments considered necessary to present fairly its financial
position as of August 31, 1996, and the results of its operations for the three
and six months ended August 31, 1995 and 1996 and its cash flows for the six
months ended August 31, 1995 and 1996.  Interim results are not necessarily
indicative of results for a full year.

  The consolidated  financial statements and notes are presented in accordance
with the requirements of Form 10-Q, and do not contain  certain  information
included in the Company's audited consolidated financial statements and notes
in its Form 10-K for the fiscal year ended February 29, 1996.


NOTE 2 -- ACQUISITIONS

    On June 13, 1996, Globe acquired the assets of privately-owned Interim
Quarters, Inc. for $5.7 million in cash, 86,700 shares of Globe common stock 
and Globe's  assumption of certain  liabilities.  At the closing,  Globe 
assumed the liabilities of Interim  Quarters  (including  bonuses payable to 
current Interim Quarters  employees  amounting  to 13,300  shares of Globe 
common  stock),  paid $5,700,000  and delivered to the seller  36,700 shares of
Globe's  common stock.  The other 50,000 shares  constitute  the remainder of 
the purchase price and are expected to be  delivered to the seller in the third
quarter,  plus or minus an adjustment, which may result from the review by 
both parties of the audit of the December 31, 1995 Interim  Quarters'  
financial  statements.  Interim  Quarters, based  in  Dallas, Texas, provides
short-term  housing  to  transferring  or temporarily assigned corporate 
personnel,  new hires,  trainees and consultants.  Interim  Quarters  has an 
inventory  of over 800  leased  housing  units in the Dallas/Ft.  Worth 
metropolitan area and had annual revenues of approximately $11 million for
the year ended December 31, 1995.

    On June 19, 1996, Globe acquired the assets of privately-owned  Instant
Office Furniture,  Inc. for approximately  $0.7 million in cash.  Instant 
Office Furniture, based in Costa Mesa, California,  rents and sells office 
furniture to a variety of customers in southern California. Annual revenues 
are approximately $1 million.

The purchase price allocation for both Interim Quarters and Instant Office 
is as follows:

                                                    August 31,
                                                       1996
                                                   (Unaudited)
                                                     (000's)

        Cash, receivables and prepaids               $1,755
        Rental furniture                              2,448
      Property and equipment                            355
      Other assets                                       31
        Goodwill and other intangibles                3,508
                                                     ------
                                                      8,097
      Liabilities assumed                            (1,110)
                                                     $6,987

<PAGE>

     The following table sets forth certain income  statement data on a 
proforma basis,  as if Interim  Quarters,  Inc. and Instant Office  Furniture,  
Inc. were acquired at the beginning of the periods indicated.

                                                       Six Months Ended
                                                          August 31,
                                                   ----------------------
                                                           (000's)

                                                     1995          1996
                                                     ----          ----
    Total Revenue                                  $31,356       $34,411
    Net Income                                       2,063         2,072
    Earnings per common share:  Net Income            $.69          $.48
    Weighted average number of common shares
     outstanding                                     2,602         4,312


NOTE 3 -- SUBSEQUENT EVENT

    On October 4, 1996,  Globe  acquired  all  furniture  rental  contracts  
and various other assets of privately owned Apartment Furniture Rental, Inc. 
("AFR") for approximately $4.2 million in cash and a $300,000 promissory note. 
Globe may also  purchase  affiliated  real  estate for  $300,000  in cash.  
AFR,  based in Detroit, Michigan, rents and sells residential furniture and has
annual revenues of approximately $5.0 million.


NOTE 4 -- EARNINGS PER SHARE

    Earnings per share for the six months ended August 31, 1995 is determined 
by dividing net income applicable to common stock by the weighted average 
number of shares of common  stock and  common  stock  equivalents  outstanding
during the period.  Outstanding  stock options and a warrant are common stock 
equivalents. Earnings  per share for the six months ended  August 31, 1996 is 
determined by dividing net income by the weighted average number of shares of
common stock, as the exercise of outstanding  stock options would not cause a
dilutive effect in excess of 3%. Net income  applicable  to common  stock is 
net income  reduced by preferred stock dividends.


NOTE 5 -- RENTAL FURNITURE
                                               February 29,       August 31,
                                                   1996             1996
                                                  (000's)       (Unaudited)
                                                                    (000's)

Furniture on rental                              $30,814            $36,583
Furniture on hand                                 12,811             16,826
                                                 -------            -------
                                                  43,625             53,409
Accumulated depreciation                          (6,218)            (7,132)
                                                 -------            -------
                                                 $37,407            $46,277
                                                 =======            =======





<PAGE>




NOTE 6 -- DEBT
                                                February 29,         August 31,
                                                    1996               1996
                                                ------------        -----------
                                                   (000's)         (Unaudited)
                                                                      (000's)
The 1996 Credit Agreement:
   The Fifth Third Bank, PNC Bank, and Society
      National Bank revolving note, average
      interest of 7.4% at August 31, 1996         $ 9,830            $23,000

Capital lease obligations                             743                581
                                                  -------            -------
                                                  $10,573            $23,581
                                                  =======            =======

The funds required for the Interim Quarters and Instant Office acquisitions 
(see Note 2) were derived from borrowings under the Company's 1996 Credit  
Agreement.  At August 31, 1996,  the 1996 Credit  Agreement  provided a total
unused  credit facility of approximately $7.0 million.


                                            ITEM 2

                           MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                        FINANCIAL CONDITION AND RESULTS OF OPERATIONS



    The following discussion and analysis should be read in conjunction with 
the Company's Consolidated Financial Statements beginning on page 3.

GENERAL

    Globe operates in the rent-to-rent  segment of the furniture rental 
industry and rents quality office and residential furniture to a variety of 
corporate and individual customers. The Company sells residential and office 
furniture that no longer  meets its  "showroom  condition"  standards  for  
rental  and offers new furniture for sale through its showrooms and its account
executives.

    In addition, the Company's wholly owned subsidiary,  Interim Quarters, 
Inc., operates  the  largest  corporate  housing  company  in  the  Dallas/Ft.
Worth metroplex.

    The Company's fiscal year ends on February 28/29.


RESULTS OF OPERATIONS

    The  following  table sets forth for the periods  indicated  certain  
income statement  data as a percentage of total  revenues and certain gross
profit data as a percentage of respective rental sales and retail sales 
revenues.




<PAGE>




                                   Three Months Ended         Six Months Ended
                                       August 31,                August 31,
                                   ------------------         ----------------
                                     1995        1996         1995       1996
                                     ----        ----         ----       ----

Revenues:
  Rental sales                      73.2%        79.2%        72.8%      76.1%
  Retail sales                      26.8         20.8         27.2       23.9
                                   -----        -----        -----      -----
Total revenues                     100.0%       100.0%       100.0%     100.0%
Gross profit:
  Rental sales                      78.1%        62.8%        77.3%      67.2%
  Retail sales                      48.7         37.3         47.0       38.7
                                   -----        -----        -----      -----
Total gross profit                  70.2         57.5         69.1       60.4
Operating expenses                  50.9         45.1         52.0       48.3
                                   -----        -----        -----      -----
Operating income                    19.3         12.4         17.1       12.1
Interest/other                       5.1          2.0          4.9        1.8
                                   -----        -----        -----      -----
Income before taxes                 14.2%        10.4%        12.2%      10.3%
                                   =====        =====        =====      =====


  Impact of GranTree acquisition

    In January 1993, Globe acquired GranTree  Corporation  ("GranTree") for 
$9.3 million.  Until  November  1995,  the  Company's  reported  cost of 
revenues was favorably  impacted as furniture  was sold to retail  customers or
bought out by lease  customers  because  of two  factors:  (i)  the  adoption 
of  fresh-start reporting in March 1992,  at which time  GranTree  reduced the
net book value of its rental  furniture by approximately  $7.1 million,  and
(ii) the $3.3 million amount by which the book value of GranTree  exceeded the
purchase  price paid by the Company (collectively, the "GranTree Gross Profit
Accounting Effects").

    The following  table sets forth for the periods  indicated the dollar 
amount of the GranTree Gross Profit  Accounting  Effects and certain  income  
statement data as a percentage of total  revenues  adjusted to exclude the 
GranTree  Gross Profit Accounting Effects.

                                 Three Months Ended         Six Months Ended 
                                     August 31,                August 31,
                                 1995          1996          1995        1996
                                ------       -------        ------       -----
                              (dollars in thousands)     (dollars in thousands)

GranTree Gross Profit
  Accounting Effects            $544          $  -          $1,078        $  -
Adjusted to exclude the
  GranTree Gross Profit
  Accounting Effects:                   As a Percentage of Total Revenues

  Total gross profit            66.0%         57.5%          64.8%       60.4%
  Operating expenses            50.9          45.1           52.0         48.3
                                ----          ----           ----         ----
  Operating income              15.1          12.4           12.8         12.1
  Interest/other                 5.1           2.0            4.9          1.8
                                ----          ----           ----         ----
  Income before income taxes    10.0%         10.4%           7.9%       10.3%
                                ====          ====           ====        ==== 

    Due to the  significant  impact of the GranTree  acquisition and the 
related GranTree  Gross  Profit  Accounting  Effects  on the  Company's  
operations  and financial  results,  the Company's  historical  results of 
operations for fiscal 1996 and period-to-period comparisons will not be 
indicative of future results.

  Impact of Interim Quarters acquisition

    In June  1996,  Globe  entered  the  corporate  housing  industry  with  
the acquisition of Interim Quarters, Inc.

    Interim Quarters has a lower gross profit margin,  as well as lower 
expenses as a percentage of sales, than Globe's  furniture rental business.  
As a result, the Company's gross profit margin and expenses as a percentage of
sales are both lower in the  second  quarter  and  first six  months  of 
fiscal  1997 than the corresponding periods of the prior 


<PAGE>




year.  Interim  Quarters'  operating  margin,  since the  acquisition,  is 
11.3% compared to an operating  margin of 12.3% for Globe's  furniture rental 
business in the first six months of fiscal 1997.

    Globe  is  planning  to  become  a  consolidator  in the  corporate  
housing industry,  thereby  capitalizing  on the desires of many  corporations
to have a corporate housing company that can handle a company's needs 
nationally.

    Oakwood Corporate Housing, the only national corporate housing company, 
does approximately  $2 million  annually in furniture  rental with the  Company.
The Company  believes that Oakwood  perceives the Company as a competitor due 
to its entrance into the corporate  housing business as Oakwood has started to 
move its furniture rental business to other vendors.

  COMPARISON OF SECOND QUARTER FISCAL 1997 TO SECOND QUARTER FISCAL 1996

    Total  revenues of $17.7 million  increased $4.7 million,  or 36.7%,  in 
the second  quarter  of fiscal  1997,  from $13.0  million in the second  
quarter of fiscal 1996, due in part to the acquisition of Interim  Quarters.  
Excluding the acquisition of Interim Quarters on June 13, 1996, total revenues
increased $1.1 million,  or 8.3%,  in the second  quarter of fiscal 1997 
compared to the second quarter of fiscal 1996.

    Rental  revenues  of $14.0  million  in the second  quarter  of fiscal  
1997 increased  47.8%  from $9.5  million  in the  second  quarter  of  fiscal
1996. Excluding  the Interim  Quarters  acquisition,  rental  revenue  
increased  $0.9 million, or 9.2%, over the same period. The growth in rental 
revenues, excluding Interim Quarters, was due to the acquisition of Instant 
Office on June 19, 1996, which added 1% to the growth rate, a 3% increase in 
the average  monthly  lease, and a 6%  increase  in the  average  number of  
leases  outstanding  during  the quarter.

    Sales revenues of $3.7 million increased $0.2 million, or 6.0%,  in the
second quarter of fiscal 1997 from $3.5 million in the second quarter of fiscal
1996.

    Gross profit of $10.2 million in the second quarter of fiscal 1997 
increased $1.1 million,  or 11.9%,  from $9.1 million in the second quarter of 
fiscal 1996 and  declined  as a  percentage  of  revenues  to 57.5% from 70.2%
over the same period due primarily to the lower margins  associated with the 
Interim  Quarters corporate  housing  revenues.  Excluding Interim Quarters and
the GranTree Gross Profit Accounting  Effects,  gross profit margin declined to
64.2% in the second quarter  of fiscal  1997 from 66.0% in the  second  quarter
of fiscal  1996 due primarily to lower margins on retail sales.

    Operating expenses of $8.0 million in the second  quarter of fiscal 1997
increased  21.2%  from $6.6  million  in the  second quarter of fiscal 1996.
Excluding Interim Quarters,  operating expenses increased $0.6 million, or 
9.8%, due primarily to higher  warehousing costs and higher general and 
administrative costs related to Globe becoming a public company in February  
1996.  As a percentage  of total  revenues,  expenses  declined to 45.1% from 
50.9% over the same period as a result of the acquisition of Interim Quarters,
which has lower expenses as a percentage of sales than the Company's furniture 
rental business. 

    As a result of the changes in revenues, gross profit and operating expenses
discussed above, operating income decreased 12.8% from $2.5 million, or 19.3%
of revenues in the second quarter of fiscal 1996, to $2.2 million, or 12.4% of
revenues in the second quarter of fiscal 1997.  Excluding the GranTree Gross
Profit Accounting Effects, operating income increased 11.3% from $2.0 million 
in fiscal 1996, or 15.1% of revenues, to $2.2 million, or 12.4% of revenues, in
fiscal 1997.

    Interest/other expense decreased $0.3 million, or 46.9%, from $0.7 million
in the second quarter of fiscal 1996 to $0.4 million in the second quarter of
fiscal 1997 and as a percentage of total revenues decreased from 5.1% to 2.0%
over the same period. The decreased expense for fiscal 1997 was due primarily 
to lower interest costs  associated with lower average debt balances as a 
result of the February 1996 initial public offering.

     Income before income taxes of $1.8 million in the second  quarter of 
fiscal 1997 was flat  compared  to the second  quarter of fiscal  1996.  
Excluding  the GranTree Gross Profit


<PAGE>




Accounting Effects, income before income taxes increased $0.5 million, or 
40.8%, from $1.3  million in the second  quarter of fiscal 1996 to $1.8 million
in the second quarter of fiscal 1997.

    The Company's effective tax rate, which includes federal, state and local
taxes,  decreased  from 40.0% to 38.8% from the second quarter of fiscal 1996 
to the second quarter of fiscal 1997.


COMPARISON  OF SIX MONTHS  ENDED AUGUST 31, 1996 TO SIX MONTHS ENDED AUGUST
31, 1995

    Total  revenues of $30.8 million  increased $5.6 million,  or 22.2%,  in 
the first six months of fiscal  1997 from  $25.2  million in the first six 
months of fiscal 1996 due in part to the  acquisition of Interim  Quarters.  
Excluding the acquisition of Interim Quarters,  total revenues increased $1.9
million, or 7.6% in the first  six  months of fiscal  1997  compared  to the 
first six  months of fiscal 1996.

    Rental revenues of $23.5 million in the first six months of fiscal 1997
increased $5.1 million, or 27.7%, from $18.4 million in the first six months of
fiscal 1996.  Excluding the Interim Quarters acquisition, rental revenue
increased $1.4 million, or 7.7% over the same period.  The growth in rental
revenues,  excluding  Interim  Quarters,  was due to the  acquisition of 
Instant Office which added 1% to the growth  rate, a 3% increase in the average
monthly lease and a 5% increase in the average number of leases  outstanding  
during the first six months.

    Sales revenues of $7.4 million increased $0.5 million, or 7.4%, in the 
first six  months of fiscal  1997 from $6.9  million in the first six months of
fiscal 1996.

    Gross  profit  of $18.6  million  in the first  six  months  of fiscal  
1997 increased $1.2 million,  or 6.9%,  from $17.4 million in the first six 
months of fiscal 1996 and  declined as a  percentage  of revenues to 60.4% from
69.1% over the same period due primarily to the lower margins  associated  with
the Interim Quarters corporate housing revenues. Excluding Interim Quarters and
the GranTree Gross Profit  Accounting  Effects,  gross profit margin declined 
to 64.3% in the first six  months of fiscal  1997 from  64.8% in the first six 
months of fiscal 1996 due primarily to lower margins on retail sales.

    Operating  expenses of $14.9  million in the first six months of fiscal 
1997 increased  13.4%  from $13.1  million  in the first six  months of fiscal 
1996. Excluding Interim Quarters,  operating expenses increased $1.0 million,  
or 7.7% due primarily to higher  warehousing costs and higher general and 
administrative costs  related  to Globe  becoming  a public  company  in  
February  1996.  As a percentage  of total  revenues,  expenses  declined to 
48.3% from 52.0% over the same period as a result of lower operating  expenses 
as a percentage of sales at Interim Quarters.

    As a result of the changes in revenues, gross profit and operating expenses
discussed above, operating income decreased 13.0% from $4.3 million, or 17.1% 
of revenues  in the first six months of fiscal 1996 to $3.7 million, or 12.1% 
of revenues in the first six months of fiscal 1997.  Excluding  the GranTree  
Gross Profit Accounting  Effects,  operating income increased 16.1% from $3.2 
million, or 12.8% of revenue in fiscal  1996,  to $3.7  million,  or 12.1% of 
revenues in fiscal 1997.

    Interest/other  expense decreased $0.7 million,  or 55.9%, from $1.2 
million in the first six months of fiscal  1996 to $0.5  million in the first 
six months of fiscal 1997 and as a percentage of total revenues decreased from 
4.9% to 1.8% over the same period. The decreased expense for fiscal 1997 was 
due primarily to lower interest costs  associated with lower average debt 
balances as a result of the February 1996 initial public offering.

    Income before income taxes of $3.2 million in the first six months of 
fiscal 1997 increased  4.5% compared to the first six months of fiscal 1996.  
Excluding the  GranTree  Gross  Profit  Accounting  Effects,  income  before  
income taxes increased $1.2 million,  or 61.6%,  from $2.0 million in the first
six months of fiscal 1996 to $3.2 million in the first six months of fiscal 
1997.



<PAGE>




    The Company's effective tax rate, which includes federal, state and local
taxes, decreased from 40.1% to 39.0% from the first six months of fiscal 1996 
to the first six months of fiscal 1997.


LIQUIDITY AND CAPITAL RESOURCES

    In February  1996, the Company  raised net proceeds of  approximately  
$17.4 million in an initial public offering of its common  stock.  The Company
used those proceeds to pay a portion of the Company's outstanding bank debt 
and redeem all outstanding shares of the Company's  redeemable  preferred stock
plus accrued dividends.

    At the completion of the initial public  offering,  a new $30.0 million 
line of credit (the "1996 Credit  Agreement")  replaced the credit agreement in
place at that time (the "1995 Credit Agreement").  Interest rates for this new 
line of credit are based upon a leverage  formula,  which is currently the 
lesser of the prime rate or LIBOR plus 175 basis points.  At August 31, 1996, 
the new line of credit  provided up to $30.0 million, or the maximum available 
under borrowing base  calculations  ($28.1 million at September 17, 1996),  of
financing for the Company which will be available for acquisitions and general
corporate purposes. The Company is in the process of negotiating an increase to
the credit line.

    In June 1996, Globe used approximately $5.7 million of its line of credit
and issued 50,000 shares of Globe common stock to acquire Interim Quarters, 
Inc.  An  additional  50,000  shares is expected to be  delivered to the seller
in the third quarter,  plus or minus an adjustment  which may result from the 
review by both parties of the audit of the December  31, 1995 Interim  Quarters
financial statement. In June 1996, Globe used approximately $700,000 of its 
line of credit to  acquire  Instant  Office  Furniture,  Inc.  (see note 2 to 
the  consolidated financial statements).

    The Company's principal use of cash for operations  is  for  furniture
purchases.  The Company purchases  furniture to replace furniture which has 
been sold and to maintain  adequate  levels of rental  furniture to meet 
existing and new customer  needs.  Furniture  purchases  were $11.2  million 
in the first six months of fiscal 1996 and $15.2  million in the first six 
months of fiscal 1997, with such purchases funding increased  furniture on 
rental balances,  as well as increased furniture on hand balances in the first 
six months of fiscal 1997. The Company's  furniture  purchases  typically are 
seasonally  weighted to the first half of the year. Furniture purchases are 
expected to decrease during the second half of fiscal 1997.

    Capital expenditures were $0.2 million and $0.7 million in the first six
months of fiscal  1996 and 1997,  respectively.  Acquisitions of property and
equipment financed through capital leases, and not reflected in the preceding
capital expenditure data, were $0.3 million and $0.0 over the same periods.

    In the first  six  months of fiscal  1996 and  1997,  net cash  provided  
by operations was $9.3 million and $9.8 million, respectively,  generating 
$2.1 and$12.0  million,  respectively,  less cash than was  necessary to fund
investing activities.  The 1995 Credit  Agreement and the 1996 Credit Agreement
provided sufficient financing for the Company's cash requirements in the first 
six months of fiscal  1996 and  1997,  respectively.  The  Company  expects  
cash flow from operations  to be  sufficient  to fund all of the  Company's  
needs,  other than acquisitions, during the balance of fiscal 1997.




<PAGE>




                                           PART II



                                            ITEM 1
                                      LEGAL PROCEEDINGS

                                             None



                                            ITEM 4
                     SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS



The Company's  Annual Meeting of Shareholders  was held on July 9, 1996. Each 
of the following matters was voted upon and approved by the Company's  
shareholders as indicated below:

     1.  Establishment of the number of directors to be  elected  at  five,
         3,896,119 votes for, 6,300 votes against, 3,600 abstentions.

    2.     Elected the following directors:
           a.     David D. Hoguet, 3,895,154 votes for and 0 abstentions
           b.     Blair D. Neller, 3,895,154 votes for and 0 abstentions
           c.     Alvin Z. Meisel, 3,895,454 votes for and 0 abstentions
           d.     William R. Griffin, 3,895,454 votes for and 0 abstentions
           e.     Thomas C. Parise, 3,895,454 votes for and 0 abstentions.

    3.     Ratified the appointment of Price Waterhouse LLP as independent
           public accountants for fiscal 1997, 3,895,019 votes for, 
           7,100 votes against, 3,900 abstentions.


                                            ITEM 6
            EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K

(a)        Exhibits:  27 Financial data schedule

(b)        Reports on Form 8-K filed during the second quarter of 1996:

Form 8-K filed July 8, 1996 for the Interim Quarters acquisition.

Form 8-KA filed August 27, 1996 including the following financial information
for the Interim Quarters acquisition:

  Financial statements

1.   Financial statements of Interim Quarters, Inc., as of December 31, 1995
     (audited).

2.   Financial statements of Interim Quarters, Inc., as of  May  31,  1996
     (unaudited).

  Proforma financial information

1.   Globe Business Resources, Inc. consolidated  balance sheet as of May 31,
     1996 (unaudited).

<PAGE>

2.   Globe Business Resources, Inc. consolidated statement of income for the
     year ended February 29, 1996 (unaudited).

3.   Globe Business Resources, Inc. consolidated  statement of income for the
     three month period ended May 31, 1996 (unaudited).


Amendment No.1 to Form 8-KA filed September 12, 1996, including  amendments to
note C in the notes to the proforma financial statements.



<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.

                                        Globe Business Resources, Inc.



                                        By:    Sharon G. Kebe
                                             --------------------------------
                                               Sharon G. Kebe
                                               Senior Vice President-Finance 
                                               and Treasurer
                                              (Principal Financial Officer)

Signed:  October 10, 1996