U.S. SECURITIES AND EXCHANGE COMMISSION
                              Washington D.C. 20549

                                   FORM 10-QSB



[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
     OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2002

[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
     OF 1934 FOR THE TRANSITION PERIOD FROM ____________ TO _________


Commission file number 0-27984


                       Ridgestone Financial Services, Inc.
        -----------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)


                    Wisconsin                             39-1797151
        -------------------------------               -------------------
        (State or other jurisdiction of                (I.R.S. Employer
         incorporation or organization)               Identification No.)

                             13925 West North Avenue
                           Brookfield, Wisconsin 53005
                    ----------------------------------------
                    (Address of principal executive offices)

                                   262-789-1011
                           ---------------------------
                           (Issuer's telephone number)


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 the past 90 days.  Yes  X   No
                                                               ---     ---

State the number of shares outstanding of each of the issuer's classes of common
equity as of the latest practicable date.

Class                                      Outstanding as of September 30, 2002
-----                                      ------------------------------------
Common Stock, no par value                              877,659

Transitional Small Business Disclosure Format:  Yes      No  X
                                                    ---     ---
<PAGE>


               RIDGESTONE FINANCIAL SERVICES, INC. AND SUBSIDIARY

                                      INDEX

                                                                           Page
                                                                          Number
PART I - FINANCIAL INFORMATION

     Item 1.  Financial Statements.........................................  1

              Consolidated Statements of Financial Condition at
              September 30, 2002 and December 31, 2001.....................  1

              Consolidated Statements of Income
              For the Three and Nine Months Ended September 30,
              2002 and 2001................................................  2

              Consolidated Statements of Cash Flows
              For the Nine Months Ended September 30, 2002 and 2001........  3

              Consolidated Statements of Stockholders' Equity
              For the Nine Months Ended September 30, 2002 and 2001........  4

              Notes to Consolidated Financial Statements...................  5


     Item 2.  Management's Discussion and Analysis.........................  6

     Item 3.  Controls and Procedures...................................... 11


PART II - OTHER INFORMATION


     Item 6.  Exhibits and Reports on Form 8-K............................. 12


SIGNATURES................................................................. 13

CERTIFICATIONS............................................................. 14

<PAGE>

PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements

               RIDGESTONE FINANCIAL SERVICES, INC. AND SUBSIDIARY
                 CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                    September 30, 2002 and December 31, 2001

                                                   September 30,   December 31,
                                                       2002            2001
                                                    (Unaudited)
                                                   -------------   -------------
ASSETS
Cash and due from banks                            $  3,795,667    $  2,630,962
Federal funds sold                                            0       6,971,000
                                                   ------------    ------------
  Cash and cash equivalents                           3,795,667       9,601,962

Interest bearing deposits in banks                       86,689          84,509
Available for sale securities - stated at
 fair value                                             342,300         258,400
Loans, less allowance for loan losses of
 $601,118 and $544,804 in 2002 and 2001,
 respectively                                        68,587,895      55,459,810
Mortgage loans held for sale                          2,641,900       1,029,200
Premises and equipment, net                           2,469,921       2,490,941
Cash surrender value of life insurance                2,226,452       2,135,105
Accrued interest receivable and other assets          1,307,318         908,180
                                                   ------------    ------------
    Total Assets                                   $ 81,458,142    $ 71,968,107
                                                   ============    ============
LIABILITIES AND STOCKHOLDERS' EQUITY
 LIABILITIES
Deposits:
  Demand                                           $ 10,846,125    $ 10,802,307
  Savings and NOW                                    28,916,839      27,741,829
  Other Time                                         25,676,443      25,200,884
                                                   ------------    ------------
    Total Deposits                                   65,439,407      63,745,020

Borrowed Funds                                        6,792,000               0
Accrued interest payable and other liabilities        1,799,426       1,171,472
                                                   ------------    ------------

    Total Liabilities                                74,030,833      64,916,492
                                                   ------------    ------------
STOCKHOLDERS' EQUITY
Preferred stock, no par value, 2,000,000 shares
 authorized, no shares issued                                 0               0
Common stock, no par value, 10,000,000 shares
 authorized; 877,659 shares issued and
 outstanding at 9/30/02 and 876,492 shares
 issued and outstanding at 12/31/01                   8,423,619       8,417,117
Retained deficit                                       (973,607)     (1,308,899)
Accumulated other comprehensive loss                    (22,703)        (56,603)
                                                   ------------    ------------
    Total Stockholders' Equity                        7,427,309       7,051,615
                                                   ------------    ------------
    Total Liabilities and Stockholders' Equity     $ 81,458,142    $ 71,968,107
                                                   ============    ============

                                       1
<PAGE>

<TABLE>
                         RIDGESTONE FINANCIAL SERVICES, INC. AND SUBSIDIARY
                                  CONSOLIDATED STATEMENTS OF INCOME
                       Three and Nine Months Ended September 30, 2002 and 2001
                                             (Unaudited)

<CAPTION>
                                           Three Months Ended                Nine Months Ended
                                      September 30,   September 30,    September 30,   September 30,
                                           2002            2001             2002            2001
                                      -------------   -------------    -------------   -------------
<S>                                    <C>             <C>              <C>             <C>
Interest Income
  Interest and fees on loans           $ 1,177,255     $ 1,139,932      $ 3,295,132     $ 3,445,037
  Interest on investment securities              0           8,369                0          50,529
  Interest on federal funds sold             7,229          80,546           63,462         315,959
  Interest on deposits in banks                735             626            2,179           2,504
                                       -----------     -----------      -----------     -----------
     Total Interest Income               1,185,219       1,229,473        3,360,773       3,814,029
                                       -----------     -----------      -----------     -----------

Interest Expense
  Interest on deposits                     358,193         614,085        1,125,323       2,115,207
  Interest on other borrowings              46,200               0          101,245               0
                                       -----------     -----------      -----------     -----------
     Total Interest Expense                404,393         614,085        1,226,568       2,115,207
                                       -----------     -----------      -----------     -----------
Net interest income before provision
 for loan losses                           780,826         615,388        2,134,205       1,698,822
     Provision for loan losses              65,000          15,000          125,000          23,000
                                       -----------     -----------      -----------     -----------
Net interest income after provision
 for loan losses                           715,826         600,388        2,009,205       1,675,822
                                       -----------     -----------      -----------     -----------

Noninterest Income
  Service charges on deposit accts          44,193          27,139          112,983          79,832
  Secondary market loan fees                61,872          31,976          108,903          92,821
  Gain on sale of other real estate              0           9,302                0          50,736
  Increase in cash surrender value          30,150          27,075          103,604          84,536
  Other income                              27,205          17,957           74,381          76,432
                                       -----------     -----------      -----------     -----------
     Total noninterest income              163,420         113,449          399,871         384,357
                                       -----------     -----------      -----------     -----------

Noninterest Expense
  Salaries and employee benefits           405,034         368,589        1,205,604       1,076,878
  Occupancy and equipment expense           64,362          92,097          192,694         239,287
  Other expenses                           190,490         173,157          515,911         487,197
                                       -----------     -----------      -----------     -----------
     Total noninterest expense             659,886         633,843        1,914,209       1,803,362
                                       -----------     -----------      -----------     -----------

Income before income taxes                 219,360          79,994          494,867         256,817

Applicable income taxes                     74,371          22,531          159,575          71,300
                                       -----------     -----------      -----------     -----------

Net income                             $   144,989     $    57,463      $   335,292     $   185,517
                                       ===========     ===========      ===========     ===========

Earnings per share
  Basic                                $       .17     $       .07      $       .38     $       .21
  Diluted                              $       .16     $       .07      $       .37     $       .21

Weighted average shares outstanding        876,923         876,492          876,633         876,492
</TABLE>

                                                 2
<PAGE>

               RIDGESTONE FINANCIAL SERVICES, INC. AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                  Nine Months Ended September 30, 2002 and 2001
                                   (Unaudited)

                                                         Nine Months Ended
                                                   September 30,   September 30,
                                                       2002            2001
                                                   -------------   -------------
Cash Flows From Operating Activities:
  Net Income                                       $    335,292    $    185,517
    Adjustments to reconcile net income to
     net cash flows from operating activities:
      Depreciation                                      117,000         133,000
      Amortization and accretion of bond
       premiums and discounts - net                           0          (9,859)
      Provision for loan losses                         125,000          23,000
      Gain on sale of other real estate owned                 0         (50,736)
      Net increase in cash surrender value              (91,347)        (56,217)
    Net change in:
      Mortgage loans held for sale                   (1,612,700)        145,000
      Accrued interest receivable and other
       assets                                          (399,138)        (10,787)
      Accrued interest payable and other
       liabilities                                      627,954         113,768
                                                   ------------    ------------
        Net Cash Flows From Operating Activities       (897,939)        472,686
                                                   ------------    ------------

Cash Flows From Investing Activities:
    Net change in interest-bearing deposits in
     banks                                               (2,180)         32,496
    Purchase of available for sale securities           (50,000)        (35,474)
    Activity in held to maturity securities:
      Maturities, prepayments and calls                       0       1,500,000
    Net increase in loans                           (13,253,085)     (2,566,692)
    Proceeds from borrowed funds                      6,792,000               0
    Additions to premises and equipment                 (95,980)        (44,250)
    Proceeds from issuance of common stock                6,502               0
    Proceeds from sale of other real estate
     owned                                                    0         304,370
                                                   ------------    ------------
        Net Cash Flows From Investing Activities      6,602,743        (809,550)
                                                   ------------    ------------

Cash Flows From Financing Activities:
    Net increase in deposits                          1,694,387       1,096,245
                                                   ------------    ------------

        Net change in cash and cash equivalents      (5,806,295)        759,381

Cash and cash equivalents - beginning              $  9,601,962    $  2,777,908
                                                   ------------    ------------
Cash and cash equivalents - ending                 $  3,795,667    $  3,537,289
                                                   ============    ============

Supplemental cash flow disclosures

    Cash paid for interest                         $    715,285    $  2,349,792


                                       3
<PAGE>


<TABLE>
                         RIDGESTONE FINANCIAL SERVICES, INC. AND SUBSIDIARY
                           CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
                            Nine Months Ended September 30, 2002 and 2001
                                             (Unaudited)


<CAPTION>
                                                                        Accumulated
                                                                           Other
                                          Common         Retained      Comprehensive
                                          Stock          Deficit           Loss            Total
                                       -----------     ------------    -------------    -----------
<S>                                    <C>             <C>              <C>             <C>
Balances, December 31, 2000            $ 8,417,117     $(1,556,610)     $   (59,052)    $ 6,801,455
Comprehensive income:
  Net income - nine months                                 185,517                          185,517
  Unrealized gain on available for
   sale securities                                                           11,884
  Income tax effect                                                          (4,635)          7,249
                                                                                        -----------
  Total comprehensive income                                                                192,766
                                       -----------     -----------      -----------     -----------
Balances, September 30, 2001           $ 8,417,117     $(1,371,093)     $   (51,803)    $ 6,994,221
                                       ===========     ===========      ===========     ===========

Balances, December 31, 2001            $ 8,417,117     $(1,308,899)     $   (56,603)    $ 7,051,615

Comprehensive income:
  Net income - nine months                                 335,292                          335,292
  Unrealized gain on available for
   sale securities                                                           55,574
  Income tax effect                                                         (21,674)         33,900
                                                                                        -----------
  Total comprehensive income                                                                369,192
  Common stock issued                        6,502                                            6,502
                                       -----------     -----------      -----------     -----------
Balances, September 30, 2002           $ 8,423,619     $  (973,607)     $   (22,703)    $ 7,427,309
                                       ===========     ===========      ===========     ===========
</TABLE>



                                                 4
<PAGE>


               RIDGESTONE FINANCIAL SERVICES, INC. AND SUBSIDIARY
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                            September, 2002 and 2001
                                   (Unaudited)


NOTE 1 - BASIS OF PRESENTATION

The accompanying unaudited consolidated financial statements of Ridgestone
Financial Services, Inc. (the "Company") have been prepared in accordance with
accounting principles generally accepted in the United States of America for
interim financial information and with the instructions to Form 10-QSB.
Accordingly, they do not include all of the information and footnotes required
by accounting principles generally accepted in the United States of America for
complete financial statements. In the opinion of management, all adjustments
(consisting of normal recurring adjustments) considered necessary for the fair
presentation of the financial position as of September 30, 2002 and December 31,
2001 and the results of operations and cash flows for the three and nine months
ended September 30, 2002 and 2001 have been made. Operating results for the
three and nine months ended September 30, 2002 are not necessarily indicative of
the results that may be expected for the year ended December 31, 2002. Certain
information and footnote disclosures normally included in financial statements
prepared in accordance with accounting principles generally accepted in the
United States of America have been condensed or omitted. The accounting policies
followed by the Company are set forth in Note 1 to the Company's consolidated
financial statements contained in the Company's Annual Report on Form 10-KSB for
the year ended December 31, 2001. For further information, refer to the
consolidated financial statements and footnotes thereto included in the
Company's Annual Report on Form 10-KSB for the year ended December 31, 2001.

NOTE 2 - PRINCIPLES OF CONSOLIDATION

The accompanying consolidated financial statements include the accounts of the
Company and its wholly owned subsidiary, Ridgestone Bank (the "Bank"). The
results of operations for the three and nine months ended September 30, 2001
also include the accounts of the Bank's wholly owned subsidiary Ridgestone Real
Estate Divestitures, Inc. which ceased operations in December 2001. All
significant intercompany accounts and transactions have been eliminated in the
consolidated financial statements.

The consolidated income of the Company is principally from the income of the
Bank. The Bank grants commercial, residential and consumer loans and accepts
deposits from customers primarily in southeastern Wisconsin. The Bank is subject
to competition from other financial institutions and nonfinancial institutions
providing financial products. Additionally, the Company and the Bank are subject
to the regulations of certain regulatory agencies and undergo periodic
examination by those regulatory agencies.


                                       5
<PAGE>


Item 2.  Management's Discussion and Analysis

General

Ridgestone Financial Services, Inc. (the "Company") was formed in May 1994 under
the laws of the State of Wisconsin for the purpose of becoming the bank holding
company of Ridgestone Bank (the "Bank").

The Bank was capitalized on December 6, 1995, and commenced operation on
December 7, 1995. The Bank was organized as a Wisconsin chartered commercial
bank with depository accounts insured to the maximum extent allowable by the
Federal Deposit Insurance Corporation. The Bank provides full service commercial
and consumer banking services in Brookfield, Wisconsin, and adjacent
communities.

Critical Accounting Policies. In preparing consolidated financial statements in
conformity with accounting principles generally accepted in the United States of
America, management is required to make estimates and assumptions that affect
the reported amounts of assets and liabilities as of the date of the balance
sheet and reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates. The Company has identified the
determination of the allowance for loan loss reserves and deferred tax assets as
critical accounting policies that require material estimates and that are
particularly susceptible to significant change in the near term.

     Allowance for Loan Losses. The allowance for loan losses is determined
     using a methodology which reserves currently for those loans in which it is
     determined that a loss is probable based on characteristics of the
     individual loan, historical loss patterns of similar, "homogeneous" loans
     and environmental factors unique to each measurement date. The loan loss
     reserve is determined in accordance with FASB Statements 5 and 114 and
     provides for losses that have potentially been incurred as of the balance
     sheet date. The allowance is based on past events and current economic
     conditions, and does not include the effects of expected losses on specific
     loans or groups of loans that are related to future events or expected
     changes in economic conditions. The reserving methodology used by the
     Company has the following components:

     Specific reserve. Virchow, Krause & Company, LLP, the Company's external
     auditor, has been engaged to formally review all loans in excess of certain
     dollar amounts on an annual basis. In addition, on a monthly basis,
     management reviews all past due loans and loans previously classified in
     order to classify or reclassify loans requiring attention, or those with
     potential losses. Problem loans include credits that have been identified
     as having underlying problems based on assessment of the borrowers'
     business or collateral. Included in this group are those nonaccrual loans
     that meet the criteria as being "impaired" under the definition in FASB
     Statement 114. A loan is considered impaired when, based on current
     information and events, it is probable that the Bank will be unable to
     collect the scheduled payments of principal and interest when due according
     to the contractual terms of the loan agreement. Factors considered by
     management in determining impairment include payment status, collateral
     value, and the probability of collecting scheduled principal and interest
     payments when due. Ranges of loss are determined based on best- and worst-
     case scenarios for each loan.

     Reserves for homogeneous loan pools. The Company makes a significant number
     of loans which, due to their underlying similar characteristics, are
     assessed for loss as "homogeneous" pools. The homogeneous pools of loans
     are made up of commercial, commercial real estate, residential mortgages
     and consumer. All of the loans included in the homogeneous pools have been
     excluded from the specific reserve allocation previously discussed. The
     Company allocates the allowance for credit losses to each loan category
     based on a defined methodology that has been in use, without material
     change, for several years. The methodology is based on historical loss
     information and regulatory averages.

                                       6
<PAGE>

     Actual loss ratios experienced in the future could vary from those
     projected. This uncertainty occurs because other factors affecting the
     determination of probable losses inherent in the loan portfolio may exist
     which are not necessarily captured by the application of historical loss
     ratios. To ensure a higher degree of confidence, an unallocated allowance
     is also maintained. The unallocated portion of the loss reserve reflects
     management's view that the reserve should have a margin that recognizes the
     imprecision underlying the process of estimating expected credit losses.
     Determination of the probable losses inherent in the portfolio, which are
     not necessarily captured by the allocated methodology discussed above,
     involves the exercise of judgment. Factors considered in the evaluation of
     the adequacy of the Company's unallocated reserve include portfolio
     exposure due to concentration in specific industries. While management uses
     the best information available to make its evaluation, future adjustments
     to the allowance may be necessary if there are significant changes in
     economic conditions.

     Deferred Taxes. Amounts provided for income tax expense are based on income
     reported for financial statement purposes and do not necessarily represent
     amounts currently payable under tax laws. Deferred income tax assets and
     liabilities are computed annually for differences between the financial
     statement and tax bases of assets and liabilities that will result in
     taxable or deductible amounts in the future based on enacted tax laws and
     rates applicable to the periods in which the differences are expected to
     affect taxable income. As changes in tax laws or rates are enacted,
     deferred tax assets and liabilities are adjusted through the provision for
     income taxes. The differences relate principally to the reserve for loan
     losses, deferred compensation, and net operating loss carryforwards.
     Valuation allowances are established when necessary to reduce deferred tax
     assets to the amount expected to be realized.

The following is a discussion of the Company's Financial Condition and Results
of Operations as of and for the three and nine months ended September 30, 2002.
The discussion provides additional analysis of the financial statements and
should be read in conjunction with that information.


Financial Condition

Total Assets. Total assets of the Company as of September 30, 2002 were
$81,458,142 compared to $71,968,107 as of December 31, 2001, an increase of 13%.
The increase was primarily the result of strong loan growth which was due in
part to business development efforts and a favorable interest rate environment.

Cash and Cash Equivalents. Cash and due from banks and interest-bearing deposits
in banks, which represent cash maintained at the Bank and funds that the Bank
and the Company have deposited in other financial institutions, was $3,882,356
at September 30, 2002, compared to $2,715,471 at December 31, 2001. Federal
funds sold (which are inter-bank funds with daily liquidity) decreased by
$6,971,000 from December 31, 2001 to September 30, 2002. The decline in these
funds was used to fund loan growth.

Investment Securities. The Company's investment portfolio currently consists of
securities placed in the available for sale category which may be liquidated to
provide cash for operating or financing purposes. The fair market value of
available-for-sale securities portfolio increased to $342,300 at September 30,
2002 from $258,400 at December 31, 2001 as a result of an increase in the market
value of the securities.

Loans. Loan demand remained strong with an increase of $13,184,399, or 24%, as
total loans prior to the allowance for estimated loan losses grew from
$56,004,614 as of December 31, 2001 to $69,189,013 as of September 30, 2002.
There were $2,641,900 and $1,029,200 of mortgage loans held for sale at
September 30, 2002 and December 31, 2001, respectively. These loans represent
loans originated with the intent to be sold in the secondary loan market.

                                       7
<PAGE>

At September 30, 2002, the mix of the loan portfolio included Commercial loans
of $30,601,276 or 44% of total loans; Commercial Real Estate loans of
$24,110,639 or 35% of total loans; Residential Real Estate loans of $13,193,817
or 19% of total loans; and Consumer loans of $1,283,281 or 2% of total loans.

At December 31, 2001, the mix of the loan portfolio included Commercial loans of
$24,186,313 or 43% of total loans; Commercial Real Estate loans of $19,403,802
or 35% of total loans; Residential Real Estate loans of $11,159,259 or 20% of
total loans; and Consumer loans of $1,255,240 or 2% of total loans.

Allowance for Loan Losses. Based on the loss estimates described in "General -
Critical Accounting Policies - Allowance for Loan Losses," management determines
its best estimate of the required loan loss reserve. Management's evaluation of
these factors resulted in an allowance for loan losses of $601,118 or 0.87% of
gross loans at September 30, 2002 compared to $544,804 or 0.97% of gross loans
at December 31, 2001.

The resulting provisions for loan losses are the amounts required to maintain
the allowance for loan losses at levels deemed necessary by management after
taking into consideration charge-offs and recoveries. The provisions for loan
losses for the nine months ended September 30, 2002 and 2001 were $125,000 and
$23,000, respectively. The $102,000 increase in loan loss provision in the first
nine months of 2002 over the same period in 2001 was primarily due to a 24%
increase in loan volume and the conservative posture management has taken
relative to loan loss provisions due to economic uncertainty. In addition to the
provision, the activity in the allowance for loan losses included a $1,999
recovery for the nine months ended September 30, 2002 related to a prior loan
charge-off. There were $70,685 in charge-offs during the nine months ended
September 30, 2002 compared to $125,376 for the same period in 2001. Management
recognizes there are significant estimates in the process and ultimately losses
could be significantly different from those currently estimated. For additional
information regarding the Company's allowance for loan losses, see "Results of
Operations - Provision for Loan Losses" below.

Deposits. Deposits as of September 30, 2002 were $65,439,407 compared to
$63,745,020 at December 31, 2001, an increase of $1,694,387 or 3%, with the
majority of growth in money market accounts and time deposits.

Borrowed Funds. In November 2000, the Bank became a member of the Federal Home
Loan Bank (the "FHLB").  As a member, the Bank has the capacity to borrow funds
from the FHLB up to a predetermined amount based on the amount of certain types
of loans carried by the Bank.

Due primarily to a favorable interest rate environment, the Bank continued to
see strong and increasing demand for both commercial and mortgage loans held for
sale in the secondary market during the first nine months of 2002. As a result
of this increasing demand, in order to fund loan growth, the Bank borrowed
$4,500,000 from the FHLB during the first nine months of 2002, with applicable
interest rates ranging from 3.61% to 3.99% and with varying maturities through
2004. As of September 30, 2002, the Bank also borrowed $2,292,000 in Federal
Funds Purchased, which are inter-bank funds with daily maturities.

Liquidity. For banks, liquidity generally represents the ability to meet
withdrawals from deposits and the funding of loans. The assets that provide
liquidity are cash, federal funds sold and securities. Further, subject to
certain limits, the Company has the ability to acquire additional funds through
short-term borrowings from other financial institutions. Liquidity needs are
influenced by economic conditions, interest rates and competition. The
loan-to-deposit funds ratio prior to loan loss reserve on September 30, 2002 was
106% compared to 88% at December 31, 2001. The funds needed to meet the increase
in loan growth during the third quarter of 2002 came from deposit growth and
short-term borrowings. Management continues to place emphasis on generating
deposits in the local community to keep pace with increasing loan demand. As of
September 30, 2002, the Bank had $4,224,656 primarily in cash.

                                       8
<PAGE>

Net cash used in operating activities for the nine months ended September 30,
2002, was $897,939. The cash was primarily used to fund increased mortgage loans
held for sale in the secondary market. Mortgage loans held for sale in the
secondary market increased to $2,641,900 at September 30, 2002 compared to
$1,029,200 at December 31, 2001.

Off-Balance Sheet Liabilities. In addition to loans outstanding, the Bank has
entered into off-balance-sheet financial instruments consisting of commitments
to extend credit, commitments under credit card arrangements, commercial letters
of credit and standby letters of credit. Such financial instruments are recorded
in the financial statements when they are funded or related fees are incurred or
received. The Company had gross unfunded loan commitments outstanding totaling
$20,019,412 as of September 30, 2002 compared to $18,208,898 at December 31,
2001.

Asset/Liability Management. Closely related to liquidity management is the
management of interest-earning assets and interest-bearing liabilities. The
Company manages its rate sensitivity position to avoid wide swings in net
interest margins and to minimize risk due to changes in interest rates.

Changes in net interest income, other than volume related changes, arise when
interest rates on assets reprice in a time frame or interest rate environment
that is different from the repricing period for liabilities. Changes in net
interest income also arise from changes in the mix of interest-earning assets
and interest-bearing liabilities.

Capital Resources. Capital ratios applicable to the Bank and the Company at
September 30, 2002 and December 31, 2001 were as follows:

<TABLE>
<CAPTION>
                                  Total                  Tier I                Tier I
                                  Capital                Capital               Capital
                                  to Risk                to Risk               to
                                  Weighted               Weighted              Average
                                  Assets                 Assets                Assets
                                 ------------------     ------------------    -----------------
<S>                              <C>          <C>       <C>          <C>      <C>          <C>
Regulatory Capital
Requirements:
  Minimum at 9/30/02             $5,775,620      8%     $2,887,810      4%    $3,165,200     4%
  Well-capitalized at 9/30/02    $7,219,525     10%     $4,331,715      6%    $3,956,500     5%

At September 30, 2002
  Company                        $7,701,102   10.7%     $7,100,012    9.8%    $7,100,012   9.0%
  Bank                           $7,331,451   10.2%     $6,780,451    9.3%    $6,780,451   8.5%

At December 31, 2001
  Company                        $7,469,625   12.6%     $6,924,821   11.7%    $6,924,821   9.2%
  Bank                           $7,035,487   11.9%     $6,490,683   11.0%    $6,490,683   8.6%
</TABLE>

Management intends to maintain capital levels in excess of minimums established
by the regulatory authorities. The Company was categorized as "well capitalized"
under the regulatory framework for capital adequacy as of September 30, 2002 and
December 31, 2001.

Results of Operations

Net Income. For the three-month period ended September 30, 2002, the Company
reported net income of $144,989, an increase of $87,526 or 152% compared to net
income of $57,463 for the three months ended September 30, 2001. Net income was
$335,292 for the nine months ended September 30, 2002 as compared to net income
of $185,517 for the same period in 2001, an increase of $149,775 or 81%. The
increase for the three and nine months is attributed primarily to increased loan
volume, lower interest expenses and greater fee income from a higher volume of
mortgage loan originations sold in the secondary market, as well as increased
fee income from deposit accounts.
                                       9
<PAGE>

Net Interest Income. Total interest income decreased by $44,254 for the three
months ended September 30, 2002 and decreased by $453,256 for the nine months
ended September 30, 2002 as compared with the same periods in 2001. Total
interest expense decreased by $209,692 for the three months ended September 30,
2002 and decreased by $888,639 for the nine months ended September 30, 2002 as
compared with the same periods in 2001. For the nine months ended 2002, the
Company's net interest margin improved to 4.15% compared to 3.47% for the same
period in 2001. Net interest income before provision for loan losses for the
three months ended September 30, 2002 was $780,826 compared to $615,388 for the
same period in 2001, an increase of $165,438 or 27%. Net interest income before
loan loss provision for the nine months ended September 30, 2002 was $2,134,205
compared to $1,698,822 for the same period last year, an increase of $435,383 or
26%. The net interest income increase for the nine months ended September 30,
2002 compared to the same periods last year is primarily due to increased loan
volume and lower interest expenses.

Provision for Loan Losses. The allowance for loan losses is established as
losses are estimated to have occurred through a provision for loan losses
charged to earnings. Loan losses are charged against the allowance when
management believes the collectibility of a loan balance is unlikely. Subsequent
recoveries, if any, are credited to the allowance. The allowance for loan losses
is adequate to cover probable credit losses relating to specifically identified
loans, as well as probable credit losses inherent in the balances of the loan
portfolio. In accordance with FASB Statements 5 and 114, the allowance is
provided for losses that have potentially been incurred as of the balance sheet
date and is based on past events and current economic conditions, and does not
include the effects of expected losses on specific loans or groups of loans that
are related to future events or expected changes in economic conditions. See
"General - Critical Accounting Policies - Allowance for Loan Losses" for
additional factors used in determining the loan loss reserve and provision for
loan losses.

The Company made a loan loss provision of $125,000 in the first nine months of
2002 compared with a provision of $23,000 during the same period in 2001. The
provision was made to bring the reserve to the amount determined necessary by
management based on the analysis performed. The $102,000 increase in loan loss
provision in the first nine months of 2002 over the same period in 2001 was
primarily due to a 24% increase in loan volume and the conservative posture
management has taken relative to loan loss provisions due to economic
uncertainty.

Non-Interest Income. Total non-interest income (excluding gains on the sale of
other assets) was $163,420 for the three months ended September 30, 2002
compared to $104,147 for the same period in 2001, an increase of $59,273 or 57%.
Total non-interest income (excluding gains on the sale of other assets) was
$399,871 for the nine months ended September 30, 2002 compared to $333,621 for
the same period in 2001, an increase of $66,250 or 20%. The increase in
non-interest income is primarily due to increased service charge income and
increased loan fees generated from greater volume of mortgage loans sold in the
secondary market.

Non-Interest Expense. Total non-interest expenses were $659,886 for the three
months ended September 30, 2002 compared to $633,843 for the same period in
2001, an increase of $26,043 or 4%. Total non-interest expenses were $1,914,209
for the nine months ended September 30, 2002 compared to $1,803,362 for the same
period in 2001, an increase of $110,847 or 6%. The increase in non-interest
expenses for the three and nine months ended September 30, 2002 is attributed
primarily to increased personnel expenses.


                                       10
<PAGE>


Special Note Regarding Forward-Looking Statements

Certain matters discussed in this Quarterly Report on Form 10-QSB are
"forward-looking statements" intended to qualify for the safe harbors from
liability established by the Private Securities Litigation Reform Act of 1995.
These forward-looking statements can generally be identified as such because the
context of the statement will include words such as the Company "believes,"
"anticipates," "expects," or other words of similar import. Similarly,
statements that describe the Company's future plans, objectives, or goals are
also forward-looking statements. Such forward-looking statements are subject to
certain risks and uncertainties which could cause actual results to differ
materially from those contemplated in the forward-looking statements. Such risks
include, among others: interest rate trends, the general economic climate in the
Company's market area, loan delinquency rates, and legislative enactments or
regulatory changes which adversely affect the business of the Company and/or the
Bank. Shareholders, potential investors and other readers are urged to consider
these factors in evaluating the forward-looking statements. The forward-looking
statements included herein are only made as of the date of this Form 10-QSB and
the Company undertakes no obligation to publicly update such forward-looking
statements to reflect subsequent events or circumstances.


Item 3.  Controls and Procedures

Within 90 days prior to the date of filing of this report, the Company carried
out an evaluation, under the supervision and with the participation of the
company's management, including the President and Chief Executive Officer and
the Senior Vice President and Treasurer, of the design and operation of the
Company's disclosure controls and procedures. Based on this evaluation, the
Company's President and Chief Executive Officer and the Senior Vice President
and Treasurer concluded that the Company's disclosure controls and procedures
are effective for recording, processing, summarizing and reporting the
information the Company is required to disclose in the reports it files under
the Securities Exchange Act of 1934, within the time periods specified in the
SEC's rules and forms.

There have been no significant changes in the Company's internal controls or in
other factors that could significantly affect internal controls subsequent to
the date of their evaluation.



                                       11
<PAGE>

PART II - OTHER INFORMATION

Item 6.   Exhibits and Reports on Form 8-K

     a.   Exhibits

          99.1  Written Statement of the President and Chief Executive Officer
                Pursuant to 18 U.S.C. Section 1350

          99.2  Written Statement of the Senior Vice President and Treasurer
                Pursuant to 18 U.S.C. Section 1350

     b.   Reports on Form 8-K

          The Company did not file a Current Report on Form 8-K during the
          quarter ended September 30, 2002.




                                       12
<PAGE>

                                   SIGNATURES


     In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                           RIDGESTONE FINANCIAL SERVICES, INC.


Date:  November 13, 2002                   /s/ Paul E. Menzel
       ---------------------               -----------------------------------
                                           Paul E. Menzel
                                           President


Date:  November 13, 2002                   /s/ William R. Hayes
       ---------------------               -----------------------------------
                                           William R. Hayes
                                           Senior Vice President and Treasurer




                                       13
<PAGE>

                                                  Certifications

I, Paul E. Menzel, certify that:

1. I have reviewed this quarterly report on Form 10-QSB of Ridgestone Financial
Services, Inc.;

2. Based on my knowledge, this quarterly 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 quarterly
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly 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 quarterly 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 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 quarterly 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
     quarterly report (the "Evaluation Date"); and

     c) presented in this quarterly 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
functions):

     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
quarterly 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:  November 13, 2002


                                           /s/ Paul E. Menzel
                                           -------------------------------------
                                           Paul E. Menzel
                                           President and Chief Executive Officer


                                       14
<PAGE>

                                 Certifications

I, William R. Hayes, certify that:

1. I have reviewed this quarterly report on Form 10-QSB of Ridgestone Financial
Services, Inc.;

2. Based on my knowledge, this quarterly 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 quarterly
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly 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 quarterly 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 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 quarterly 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
     quarterly report (the "Evaluation Date"); and

     c) presented in this quarterly 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
functions):

     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
quarterly 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:  November 13, 2002


                                           /s/ William R. Hayes
                                           -----------------------------------
                                           William R. Hayes
                                           Senior Vice President and Treasurer



                                       15