UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D.C.  20549

                                   FORM 10-QSB

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

                  For the Quarterly Period Ended June 30, 2004

                                       OR

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

                        For the Transition Period from to

                         Commision file number 000-24139

                         Decatur First Bank Group, Inc.
                         ------------------------------
             (Exact name of registrant as specified in its charter)

         Georgia                                         58-2254289
   ------------------------                 ------------------------------------
   (State of Incorporation)                 (I.R.S. Employer Identification No.)

   1120 Commerce Drive
   Decatur, Georgia                                        30030
   ----------------------------------------     ------------------------------
   (Address of principal executive offices)              (Zip Code)


                                  404-373-1000
                               ------------------
                               (Telephone Number)


     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  XX   NO
                                      ----

             Common stock, par value $5 per share:   924,925 shares
                        outstanding as of August 2, 2004

                  Transitional Small Business Disclosure Format
                                   (check one)

                              Yes          No  XX
                                  ----        ----


<PAGE>
<TABLE>
<CAPTION>
                                 DECATUR FIRST BANK GROUP, INC.

                                             INDEX

                                                                                       Page No.
                                                                                       --------
<S>          <C>                                                                       <C>
PART I       FINANCIAL INFORMATION

    Item 1.  Financial Statements

             Consolidated Balance Sheet (unaudited) at June 30, 2004                          3

             Consolidated Statements of Earnings (unaudited) for the Three Months
               and the Six Months Ended June 30, 2004 and 2003                                4

             Consolidated Statements of Comprehensive Income (unaudited) for the Six
               Months Ended June 30, 2004 and 2003                                            5

             Consolidated Statements of Cash Flows (unaudited) for the Six Months
               Ended June 30, 2004 and 2003                                                   6

             Notes to Consolidated Financial Statements (unaudited)                           7

    Item 2.  Management's Discussion and Analysis of Financial Condition and
               Results of Operations                                                          9

    Item 3.  Controls and Procedures                                                         14


PART II.     OTHER INFORMATION

    Item 1.  Legal Proceedings                                                               15

    Item 2.  Changes in Securities and Purchases of Equity Securities                        15

    Item 3.  Defaults Upon Senior Securities                                                 15

    Item 4.  Submission of Matters to a Vote of Security Holders                             15

    Item 5.  Other Information                                                               15

    Item 6.  Exhibits and Reports on Form 8-K                                                15
</TABLE>



This  Report  contains  statements  which  constitute forward-looking statements
within  the meaning of Section 27A of the Securities Act of 1933 and Section 21E
of  the  Securities Exchange Act of 1934. These statements appear in a number of
places in this Report and include all statements regarding the intent, belief or
current  expectations of the Company, its directors or its officers with respect
to, among other things: (i) the Company's financing plans; (ii) trends affecting
the  Company's financial condition or results of operations; (iii) the Company's
growth  strategy and operating strategy; and (iv) the declaration and payment of
dividends.  Investors  are  cautioned that any such forward-looking statement is
not  a guarantee of future performance and involves risks and uncertainties, and
that  actual  results  may  differ  materially  from  those  projected  in  the
forward-looking  statements  as a result of various factors discussed herein and
those  factors  discussed in detail in the Company's filings with the Securities
and  Exchange  Commission.


                                      - 2 -
<PAGE>
<TABLE>
<CAPTION>
                         PART I.  FINANCIAL INFORMATION

Item  1.  Financial  Statements

                         DECATUR FIRST BANK GROUP, INC.

                           Consolidated Balance Sheet

                                  June 30, 2004
                                   (Unaudited)

                         Assets
                         ------

<S>                                                   <C>
Cash and due from banks                               $  8,076,837
Federal funds sold                                           2,000
                                                      -------------

                    Cash and cash equivalents            8,078,837
                                                      -------------

Interest bearing deposits in banks                       2,513,384
Investment securities available-for-sale                16,164,326
Loans, net                                              85,938,235
Premises and equipment, net                              2,666,652
Accrued interest receivable and other assets             2,775,121
                                                      -------------

                                                      $118,136,555
                                                      =============

      Liabilities and Stockholders' Equity
      ------------------------------------

Liabilities:
     Deposits:
          Noninterest-bearing                         $ 20,355,390
          Interest-bearing                              76,195,590
                                                      -------------

          Total deposits                                96,550,980

     FHLB Advances                                       7,980,000
     Federal Funds Purchased                             2,565,000
     Accrued interest payable and other liabilities        339,783
                                                      -------------

          Total liabilities                            107,435,763
                                                      -------------

Stockholders' equity:
     Preferred stock, no par value; authorized
          2,000,000 shares; no issued shares                     -
     Common stock, $5 par value; authorized
          10,000,000 shares; 945,525 shares issued       4,727,625
     Additional paid-in capital                          4,701,714
     Retained earnings                                   1,764,056
     Accumulated other comprehensive income (loss)        (232,653)
     Treasury stock (20,600 shares), at cost              (259,950)
                                                      -------------

          Total stockholders' equity                    10,700,792
                                                      -------------

                                                      $118,136,555
                                                      =============
</TABLE>

See accompanying notes to unaudited consolidated financial statements.


                                      - 3 -
<PAGE>
<TABLE>
<CAPTION>
                               DECATUR FIRST BANK GROUP, INC.

                            Consolidated Statements of Earnings

            For the Three Months and the Six Months Ended June 30, 2004 and 2003
                                        (Unaudited)


                                                   Three Months           Six Months
                                                  Ended June 30,        Ended June 30,
                                           --------------------------  --------------------

                                                2004          2003       2004       2003
                                           ---------------  ---------  ---------  ---------
<S>                                        <C>              <C>        <C>        <C>
Interest income:
     Interest and fees on loans            $     1,286,954  1,109,561  2,473,002  2,177,591
     Interest on investment securities             151,723    178,267    302,236    370,409
     Other interest income                          21,365     21,804     39,920     41,516
                                           ---------------  ---------  ---------  ---------

     Total interest income                       1,460,042  1,309,632  2,815,158  2,589,516
                                           ---------------  ---------  ---------  ---------

Interest expense on deposits                       333,983    307,227    624,370    602,742
Interest expense on borrowings                      89,647    104,807    178,926    208,752
                                           ---------------  ---------  ---------  ---------

     Total interest expense                        423,630    412,034    803,296    811,494
                                           ---------------  ---------  ---------  ---------

     Net interest income                         1,036,412    897,598  2,011,862  1,778,022
                                           ---------------  ---------  ---------  ---------

Provision for loan losses                           90,000     45,000    155,000    170,000
                                           ---------------  ---------  ---------  ---------

     Net interest income after provision
       for loan losses                             946,412    852,598  1,856,862  1,608,022
                                           ---------------  ---------  ---------  ---------

Other income:
     Service charges on deposit accounts           120,170     95,108    241,294    187,689
     Securities gains                                  801     53,285     24,369    102,459
     Other operating income                         55,475     80,940     93,683    157,388
                                           ---------------  ---------  ---------  ---------

          Total other income                       176,446    229,333    359,346    447,536
                                           ---------------  ---------  ---------  ---------

Other expense:
     Salaries and other personnel expense          490,903    404,667    993,523    771,662
     Net occupancy and equipment expense            83,504     73,034    161,071    130,394
     Other operating expense                       336,472    367,689    652,616    636,990
                                           ---------------  ---------  ---------  ---------

          Total other expense                      910,879    845,390  1,807,210  1,539,046
                                           ---------------  ---------  ---------  ---------

          Earnings before income taxes             211,979    236,541    408,998    516,512

Income tax expense                                  59,167     56,076    112,522    131,804
                                           ---------------  ---------  ---------  ---------

          Net earnings                     $       152,812    180,465    296,476    384,708
                                           ===============  =========  =========  =========

Earnings per common share:
     Basic earnings per share              $           .17        .20        .32        .42
                                           ===============  =========  =========  =========
     Diluted earnings per share            $           .16        .19        .31        .41
                                           ===============  =========  =========  =========
</TABLE>

See accompanying notes to unaudited consolidated financial statements.


                                      - 4 -
<PAGE>
<TABLE>
<CAPTION>
                                       DECATUR FIRST BANK GROUP, INC.

                              Consolidated Statements of Comprehensive Income

                              For the Six Months Ended June 30, 2004 and 2003


                                                                                         2004        2003
                                                                                     ------------  --------
<S>                                                                                  <C>           <C>

Net earnings                                                                         $   296,476   384,708
                                                                                     ------------  --------
Other comprehensive income (loss), net of tax:
     Unrealized gains (losses) on investment securities available-for-sale arising
       during the period, net of taxes of $170,893 and $69,921, respectively            (278,826)  114,082
     Realized gains on sales of investment securities available-for-sale,
       net of income tax expense of $9,260 and $38,934, respectively                     (15,109)  (63,525)
                                                                                     ------------  --------

Other comprehensive income (loss)                                                       (293,935)   50,557
                                                                                     ------------  --------

Comprehensive income                                                                 $     2,541   435,265
                                                                                     ============  ========
</TABLE>

See accompanying notes to unaudited consolidated financial statements.


                                      - 5 -
<PAGE>
<TABLE>
<CAPTION>
                                       DECATUR FIRST BANK GROUP, INC.

                                    Consolidated Statements of Cash Flows

                               For the Six Months Ended June 30, 2004 and 2003
                                                 (Unaudited)


                                                                                      2004          2003
                                                                                  -------------  -----------
<S>                                                                               <C>            <C>

Cash flows from operating activities:
     Net earnings                                                                 $    296,476      384,708
          Adjustments to reconcile net earnings to net
            cash provided by operating activities:
               Provision for loan losses                                               155,000      170,000
               Depreciation, amortization and accretion                                139,093      186,670
               Gain on sale of securities                                              (24,369)    (102,459)
               Provision for stock awards                                                7,957        3,423
               Increase in cash value of life insurance                                (27,000)     (33,780)
               Change in other                                                          55,589     (136,468)
                                                                                  -------------  -----------

                         Net cash provided by operating activities                     602,746      472,094
                                                                                  -------------  -----------

Cash flows from investing activities:
     Net change in interest-bearing deposits in banks                                 (758,290)     844,180
     Proceeds from maturities and paydowns
        of investment securities available-for-sale                                  2,585,895    3,216,749
     Proceeds from sales of investment securities available-for-sale                 2,314,142    6,351,478
     Purchases of investment securities available-for-sale                          (4,532,634)  (9,982,279)
     Net change in loans                                                           (15,081,711)  (4,430,095)
     Purchases of premises and equipment                                              (400,388)     (57,750)
                                                                                  -------------  -----------

                         Net cash used by investing activities                     (15,872,986)  (4,057,717)
                                                                                  -------------  -----------

Cash flows from financing activities:
     Net change in deposits                                                         12,802,988    5,157,219
     Increase in Federal Funds Purchased                                             2,565,000            -
     Purchase of treasury stock                                                              -       (1,450)
                                                                                  -------------  -----------

                         Net cash provided by financing activities                  15,367,988    5,155,769
                                                                                  -------------  -----------

Net change in cash and cash equivalents                                                 97,748    1,570,146

Cash and cash equivalents at beginning of the period                                 7,981,089    5,393,343
                                                                                  -------------  -----------

Cash and cash equivalents at end of period                                        $  8,078,837    6,963,489
                                                                                  =============  ===========

Noncash investing activities:
     Change in unrealized gain/loss on securities available-for-sale, net of tax  $   (293,935)      50,557
</TABLE>

See accompanying notes to unaudited consolidated financial statements.


                                      - 6 -
<PAGE>
                         DECATUR FIRST BANK GROUP, INC
                   Notes to Consolidated Financial Statements
                                   (Unaudited)

(1)  ORGANIZATION AND BASIS OF PRESENTATION

Decatur  First Bank Group, Inc. (the Company), a bank holding company, owns 100%
of the outstanding common stock of Decatur First Bank (the Bank), which operates
in the Decatur, Georgia area.  The consolidated financial statements include the
accounts of the Company and the Bank. All intercompany accounts and transactions
have  been  eliminated  in  consolidation.

The  accompanying financial statements have been prepared in accordance with the
requirements  for  interim  financial  statements  and,  accordingly,  they omit
disclosures,  which  would  substantially  duplicate those contained in the most
recent  annual  report to shareholders on Form 10-KSB.  The financial statements
as of June 30, 2004 and for the interim periods ended June 30, 2004 and 2003 are
unaudited and, in the opinion of management, include all adjustments (consisting
of normal recurring accruals) considered necessary for a fair presentation.  The
financial  information as of December 31, 2003 has been derived from the audited
financial  statements  as  of  that date.  For further information, refer to the
financial  statements  and the notes included in the Company's 2003 Form 10-KSB.

(2)  CRITICAL ACCOUNTING POLICIES AND ESTIMATES

The  Company  has  adopted  various  accounting  policies,  which  govern  the
application  of accounting principles generally accepted in the United States of
America  in  the  preparation  of  our  financial  statements.  The  Company's
significant  accounting  policies  are  described  in  the  footnotes  to  the
consolidated  financial  statements  at December 31, 2003 as filed in its annual
report  on  Form  10-KSB.

Certain accounting policies involve significant estimates and assumptions by the
Company,  which  have  a material impact on the carrying value of certain assets
and liabilities.  The Company considers these accounting policies to be critical
accounting policies.  The estimates and assumptions used are based on historical
experience  and  other  factors,  which  are believed to be reasonable under the
circumstances.  Because  of  the  nature  of the estimates and assumptions made,
actual  results  could  differ  from these estimates and assumptions which could
have  a material impact on carrying values of assets and liabilities and results
of  operations.

The Company believes that the allowance for loan losses is a critical accounting
policy  that  requires  the  most  significant  judgments  and estimates used in
preparation  of  its consolidated financial statements.  Refer to the portion of
management's  discussion  and  analysis  of  financial  condition and results of
operations that addresses the allowance for loan losses for a description of the
Company's  processes  and  methodology  for  determining  the allowance for loan
losses.

(3)  EARNINGS PER SHARE

Net earnings per common share are based on the weighted average number of common
shares  outstanding  during  each  period.  The calculation of basic and diluted
earnings  per  share  is  as  follows:

<TABLE>
<CAPTION>
                                                     Three Months      Six Months
                                                    Ended June 30     Ended June 30
                                               ---------------------  ----------------

                                                   2004        2003     2004     2003
                                               ------------  -------  -------  -------
<S>                                            <C>           <C>      <C>      <C>

Basic earnings per share:
Net earnings                                   $    152,812  180,465  296,476  384,708
Weighted average common shares outstanding          924,633  924,288  924,565  924,307
Per share amount                               $        .17      .20      .32      .42
                                               ============  =======  =======  =======

Diluted earnings per share:
Net earnings                                   $    152,812  180,465  296,476  384,708
Effect of dilutive securities - stock options        39,957   24,837   39,957   24,837
Diluted earnings per share                     $        .16      .19      .31      .41
                                               ============  =======  =======  =======
</TABLE>


                                      - 7 -
<PAGE>
(4)  STOCK BASED COMPENSATION

The  Company sponsors a stock-based compensation plan.  The Company accounts for
this  plan  under  the recognition and measurement principles of APB Opinion No.
25,  "Accounting for Stock Issued to Employees", and related Interpretations. No
stock-based  employee  compensation  cost  is  reflected in net earnings, as all
options  granted  under the plan had an exercise price equal to the market value
of the underlying common stock on the date of grant.  The effect on net earnings
and earnings per share would not be material if the Company had applied the fair
value  recognition  provisions  of  Statement  of Financial Accounting Standards
("SFAS")  No.  123,  "Accounting  for  Stock-Based Compensation", to stock-based
employee  compensation.


                                      - 8 -
<PAGE>
Item 2.
                         DECATUR FIRST BANK GROUP, INC.

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

            For the Three and Six Months Ended June 30, 2004 and 2003

The following is our discussion and analysis of certain significant factors that
have  affected  our  financial  position  and operating results and those of our
subsidiary,  Decatur First Bank, during the periods included in the accompanying
financial  statements.  This  commentary  should be read in conjunction with the
financial statements and the related notes and the other statistical information
included  in  this  report.

This  report  contains  "forward-looking  statements"  relating  to,  without
limitation,  future economic performance, plans and objectives of management for
future  operations,  and  projections of revenues and other financial items that
are  based  on  the  beliefs  of  management, as well as assumptions made by and
information  currently  available  to  management.  The  words  "may,"  "will,"
"anticipate," "should," "would," "believe," "contemplate," "expect," "estimate,"
"continue,"  and "intend," as well as other similar words and expressions of the
future,  are intended to identify forward-looking statements. Our actual results
may  differ  materially  from  the  results  discussed  in  the  forward-looking
statements,  and  our  operating  performance each quarter is subject to various
risks  and  uncertainties  that  are discussed in detail in our filings with the
Securities  and  Exchange  Commission,  including,  without  limitation:

     -    Significant increases in competitive pressure in the banking and
          financial services industries;
     -    changes in the interest rate environment which could reduce
          anticipated or actual margins;
     -    changes in political conditions or the legislative or regulatory
          environment;
     -    general economic conditions, either nationally or regionally and
          especially in primary service area, becoming less favorable than
          expected resulting in, among other things, a deterioration in credit
          quality;
     -    changes occurring in business conditions and inflation;
     -    changes in technology;
     -    the level of allowance for loan loss;
     -    the rate of delinquencies and amounts of charge-offs;
     -    the rates of loan growth; - adverse changes in asset quality and
          resulting credit risk-related losses and expenses;
     -    changes in monetary and tax policies;
     -    changes in the securities markets; and
     -    other risks and uncertainties detailed from time to time in our
          filings with the Securities and Exchange Commission.

RESULTS OF OPERATIONS
---------------------

NET INTEREST INCOME
-------------------

For  the  six months ended June 30, 2004, net interest income totaled $2,011,862
as  compared  to  $1,778,022  for the same period in 2003.  Interest income from
loans,  including  fees,  increased  $295,411  or 13% to $2,473,002 for  the six
months  ended June 30, 2004 while income from investment securities decreased by
$68,173  or  18%  to  $302,236.  Interest  expense  totaled $803,296 for the six
months  ended  June  30, 2004 compared to $811,494 in 2003.  The increase in net
interest  income  is  due  to the Bank having a higher percentage of its earning
assets  in  loans  and  a  lesser percentage of its earning assets in investment
securities  and an overall increase in average earning assets.  The net interest
margin  realized  on  earning assets and the interest rate spread were 4.01% and
3.51%, respectively, for the six months ended June 30, 2004.  For the six months
ended  June  30,  2003,  the net interest margin was 3.91% and the interest rate
spread  was  3.41%.

For  the  quarter  ended  June  30,  2004, interest income totaled $1,460,042 as
compared  to  $1,309,632  for the same period in 2003.  Interest expense totaled
$423,630  for  the quarter ended June 30, 2004 compared to $412,034 for the same
period in 2003.  The increase in net interest income is due to the Bank having a
higher  percentage of its earning assets in loans and a lesser percentage of its
earning  assets  in  investment  in  2004.


                                      - 9 -
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS  -  continued
--------------

INTEREST RATE SENSITIVITY AND ASSET LIABILITY MANAGEMENT
--------------------------------------------------------

Interest  rate sensitivity measures the timing and magnitude of the repricing of
assets  compared  with  the repricing of liabilities and is an important part of
asset/liability  management  of  a  financial  institution.  The  objective  of
interest  rate  sensitivity  management  is  to  generate  stable  growth in net
interest  income,  and  to  control  the  risks  associated  with  interest rate
movements.  Management  constantly  reviews  interest rate risk exposure and the
expected  interest  rate  environment  so  that  adjustments  in  interest  rate
sensitivity  can be timely made.  Since the assets and liabilities of a bank are
primarily  monetary  in  nature  (payable  in  fixed, determinable amounts), the
performance  of  a  bank  is  affected more by changes in interest rates than by
inflation.  Interest  rates  generally  increase  as  the  rate  of  inflation
increases,  but  the  magnitude  of  the  change  in  rates may not be the same.

Net  interest  income  is  the  primary  component  of  net income for financial
institutions.  Net  interest  income  is affected by the timing and magnitude of
repricing  of as well as the mix of interest sensitive and noninterest sensitive
assets and liabilities.  "Gap" is a static measurement of the difference between
the  contractual  maturities or repricing dates of interest sensitive assets and
interest  sensitive  liabilities  within the following twelve months.  Gap is an
attempt  to  predict  the  behavior of the Bank's net interest income in general
terms  during periods of movement in interest rates.  In general, if the Bank is
asset  sensitive,  more of its interest sensitive assets are expected to reprice
within  twelve  months  than  its  interest  sensitive liabilities over the same
period.  In a rising interest rate environment, assets repricing more quickly is
expected  to  enhance  net  interest income.  Alternatively, decreasing interest
rates would be expected to have the opposite effect on net interest income since
assets  would  theoretically  be  repricing at lower interest rates more quickly
than  interest  sensitive  liabilities.  Although  it  can  be used as a general
predictor,  Gap  as  a  predictor  of  movements  in  net  interest  income  has
limitations  due  to the static nature of its definition and due to its inherent
assumption  that  all  assets  will  reprice  immediately  and  fully  at  the
contractually  designated time.  At June 30, 2003, the Bank, as measured by Gap,
is in an asset sensitive position.  Management has several tools available to it
to  evaluate  and  affect interest rate risk, including deposit pricing policies
and  changes  in  the  mix of various types of assets and liabilities.  For more
information  on asset-liability management, see the annual report of Form 10-KSB
filed  with  the  Securities  and  Exchange  Commission.

PROVISION AND ALLOWANCE FOR LOAN LOSSES
---------------------------------------

The  provision  for  loan  losses  is  the  charge  to  operating  earnings that
management  believes  is  necessary  to maintain the allowance for possible loan
losses  at an adequate level.  The provision charged to expense was $155,000 for
the  six  months  ended June 30, 2004 as compared to $170,000 for the six months
ended  June  30,  2003.  The  provision  for the quarter ended June 30, 2004 was
$90,000  compared  to  $45,000  for the same period in 2003.  The changes in the
provision  have  been a result of management's efforts to increase the allowance
to  match  the  growth in the loan portfolio.  The allowance for loan losses was
1.23%  of  gross loans at June 30, 2004.  There are risks inherent in making all
loans,  including  risks with respect to the period of time over which loans may
be  repaid,  risks  resulting  from changes in economic and industry conditions,
risks  inherent  in  dealing  with  individual  borrowers, and, in the case of a
collateralized  loan,  risks resulting from uncertainties about the future value
of the collateral.  We anticipate maintaining an allowance for loan losses based
on,  among  other  things,  historical  experience,  an  evaluation  of economic
conditions,  and  regular  reviews  of delinquencies and loan portfolio quality.
Our  judgment  about  the  adequacy  of  the allowance is based upon a number of
assumptions  about  future  events, which we believe to be reasonable, but which
may  not prove to be accurate.  Thus, there is a risk that charge-offs in future
periods  could  exceed  the  allowance  for  loan  losses  or  that  substantial
additional  increases  in  the  allowance  for  loan  losses  could be required.
Additions to the allowance for loan losses would result in a decrease in our net
income  and,  possibly,  our  capital.

NONINTEREST  INCOME
-------------------

Noninterest  income  for  the six months ended June 30, 2004 totaled $359,346 as
compared  to  $447,536  for the six months ended June 30, 2003.  The decrease in
noninterest  income  was  due  to  a  decrease  in  income  earned from mortgage
origination  of  approximately  $65,000  and  a  decrease in the gain on sale of
investment  securities  available-for-sale  of  approximately  $78,000 partially
offset  by  an  increase in service charges on deposit accounts of approximately
$53,000 during the six months ended June 30, 2004 as compared to the same period
in  2003.

Noninterest  income  for  the  quarter  ended  June 30, 2004 totaled $176,446 as
compared  to  $229,333  for  the  quarter  ended June 30, 2003.  The decrease in
noninterest  income  was  due  to  a decrease in the income earned from mortgage
origination  of  approximately  $23,000 and a decrease in the gain recognized on
the  sale  of investment securities available-for-sale of approximately $52,0000
partially  offset  by  an  increase  in  service  charges on deposit accounts of
approximately  $25,000  during  the  quarter  ended  June  30,  2004.


                                     - 10 -
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS  -  continued
--------------

NONINTEREST EXPENSE
-------------------

Total  noninterest expense for the six months ended June 30, 2004 was $1,807,210
as  compared  to  $1,539,046  for  the  same  period in 2003.  Total noninterest
expense  for  the  three  months ended June 30, 2004 was $910,879 as compared to
$845,390  for  the  same  period  in  2003.  Salaries  and benefits, the largest
component of noninterest expense, totaled $993,523 for the six months ended June
30,  2004,  compared  to  $771,662  for  the  same period a year ago and totaled
$490,903  for the quarter ended June 30, 2004, compared to $404,667 for the same
period in 2003. These increases were due to the addition of staff to operate the
loan  production  office  ("LPO")  in Greene County, Georgia which opened in the
third  quarter  of  2003  as  well  as normal salary increases for existing bank
staff.  Other operating expenses were $652,616 for the six months ended June 30,
2004  as  compared  to  $636,990  for the six months ended June 30, 2003.  These
increases in noninterest expenses are due to the continued growth of the Bank as
well  as  expenses  associated  with  the  Greene  County  LPO.

INCOME TAXES
------------

Income tax expense for the six and three months ended June 30, 2004 was $112,522
and  $59,167,  respectively.   Income  tax  expense for the six and three months
ended  June  30, 2003 was $131,804 and $56,076, respectively.  The effective tax
rate  for the six and three months ended June 30, 2004 was approximately 27% and
28%,  respectively and for the six and three months ended June 30, 2003 were 25%
and  24%,  respectively.  The bank has been able to keep its tax rate consistent
due  to  the  effect  of  income  earned  on  tax  exempt investment securities.

NET EARNINGS
------------

The  combination  of  the above factors resulted in net earnings of $296,476 for
the  six  months ended June 30, 2004 compared to net earnings for the six months
ended  June  30, 2003 of $384,708.  Net earnings for the quarters ended June 30,
2004  and  2003  were  $152,812  and $180,465, respectively.  Basic earnings per
share  were  $.32  for  the  six  months  ended  June 30, 2004 compared to basic
earnings  per  share  of  $.42  for the same period in 2003.  Basic earnings per
share  were  $.17 for the quarter ended June 30, 2004 compared to basic earnings
per  share  of  $.20  for  the  quarter  ended  June  30,  2003.

ASSETS AND LIABILITIES
----------------------

During  the first six months of 2004, total assets increased $15,351,146 or 15%,
when  compared  to December 31, 2003. The primary source of growth in assets was
net  loans,  which  increased $14,926,711 or 21%, during the first six months of
2004.  Investment  securities available-for-sale decrease $854,215 from December
31,  2003 to $16,164,326 at June 30, 2004.  Total deposits increased $12,802,988
or  15%,  from  the  December  31,  2003  amount  of  $83,747,992.

INVESTMENT SECURITIES
---------------------

Investment  securities available-for-sale decreased $854,215 from $17,018,541 at
December  31,  2003 to $16,164,326 at June 30, 2004.  The decrease is due to the
Bank  having  a  higher  percentage  of its earning assets in loans.  All of the
Bank's marketable investment securities were designated as available-for-sale at
June  30,  2004.

PREMISES AND EQUIPMENT
----------------------

Premises  and  equipment,  net  of  depreciation, totaled $2,666,652 at June 30,
2004.  The  increase of $298,388 from the December 31, 2003 amount of $2,368,264
was  due to the purchase of fixed assets to support the Bank's branching efforts
offset  by  normal  depreciation  of  the  Bank's  premises  and  equipment.


                                     - 11 -
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS  --  continued
--------------

LOANS
-----

Gross  loans totaled $87,012,606 at June 30, 2004, an increase of $15,101,931 or
21%  since  December 31, 2003.  The largest increase in loans was in real estate
mortgage,  which  increased  $7,574,305  or 16% to $53,978,376 at June 30, 2004.
Balances  within  the  major loans receivable categories as of June 30, 2004 and
December  31,  2003  are  as  follows:

                                             June 30, 2004   December 31, 2003
                                             --------------  -----------------
     Commercial, financial and agricultural  $   10,693,238         10,957,599
     Real estate - construction                  17,507,113         11,905,865
     Real estate - mortgage                      53,978,376         46,404,071
     Consumer                                     4,833,879          2,643,140
                                             --------------  -----------------

                                             $   87,012,606         71,910,675
                                             ==============  =================


ALLOWANCE FOR LOAN LOSSES
-------------------------

Activity in the Allowance for Loan Losses is as follows:

<TABLE>
<CAPTION>
                                                                June 30,
                                                           2004          2003
                                                       -------------  -----------
<S>                                                    <C>            <C>

 Balance, January 1,                                   $    899,151      812,507

 Provision for loan losses for the period                   155,000      170,000

 Net loans (charged off) recovered for the period            20,220      (93,618)
                                                       -------------  -----------

 Balance, end of period                                $  1,074,371      888,889
                                                       =============  ===========

 Gross loans outstanding, end of period                $ 87,012,606   67,544,430
                                                       =============  ===========

 Allowance for loan losses to gross loans outstanding          1.23%        1.32%
                                                       =============  ===========
</TABLE>

DEPOSITS
--------

At  June  30,  2004 total deposits increased by $12,802,988 or 15% from December
31,  2003.   Noninterest-bearing  demand  deposits  increased $266,596 or 1% and
interest-bearing  deposits  increased  $12,536,392  or 20%.  Balances within the
major  deposit  categories  as  of  June  30,  2004 and December 31, 2003 are as
follows:

<TABLE>
<CAPTION>
                                           June 30, 2004   December 31, 2003
                                           --------------  -----------------
<S>                                        <C>             <C>
Noninterest-bearing demand deposits        $   20,355,390         20,088,794
Interest-bearing demand deposits               25,559,405         25,941,961
Savings deposits                                2,212,953          2,962,890
Certificates of deposit $100,000 and over      19,255,071         14,538,706
Other time deposits                            29,168,161         20,215,641
                                           --------------  -----------------

                                           $   96,550,980         83,747,992
                                           ==============  =================
</TABLE>


                                     - 12 -
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS  -  continued
--------------

LIQUIDITY
---------

The  Company's  liquidity  needs  include  the funding of loans and purchases of
operating assets.  Liquidity needs are met by us through scheduled maturities of
loans  and  investments  on  the  asset side and through pricing policies on the
liability side for interest-bearing deposit accounts.  The level of liquidity is
measured by the loan-to-total borrowed funds ratio, which was 81.25% at June 30,
2004  and  78.40%  at  December  31,  2003.

The  Company  is a party to financial instruments with off-balance-sheet risk in
the  normal  course  of  business  to meet the financing needs of its customers.
These  financial  instruments  consist of commitments to extend credit and loans
sold with limited recourse.  Commitments to extend credit are agreements to lend
to  a  customer as long as there is no violation of any condition established in
the  contract.  Commitments  generally  have  fixed  expiration  dates  or other
termination clauses and may require payment of a fee.  A commitment involves, to
varying  degrees,  elements  of  credit  and interest rate risk in excess of the
amount  recognized in the balance sheets.  The Company's exposure to credit loss
in  the  event  of  non-performance  by  the  other  party  to the instrument is
represented  by  the  contractual  notional  amount  of  the  instrument.

Since  certain  commitments are expected to expire without being drawn upon, the
total  commitment amounts do not necessarily represent future cash requirements.
The Company uses the same credit policies in making commitments to extend credit
as  it  does  for  on-balance-sheet  instruments.

Collateral held for commitments to extend credit varies but may include accounts
receivable,  inventory,  property,  plant,  equipment,  and  income-producing
commercial  properties.

The  following  table  summarizes  the  Company's  off-balance-sheet  financial
instruments  whose  contract  amounts represent credit risk as of June 30, 2004:


      Commitments to extend credit            $     22,237,000
      Standby letters of credit               $        288,000


Management is not aware of any significant concentrations of loans to classes of
borrowers or industries that would be affected similarly by economic conditions.
Although  the Bank's loan portfolio is diversified, a substantial portion of its
borrowers'  ability  to  honor  the  terms  of  their  loans is dependent on the
economic  conditions  in  DeKalb  County  and  surrounding  areas.

We  also  have  obtained  lines  of credit available with correspondent banks to
purchase  federal  funds  for  periods  from  one  to  fourteen  days.

CAPITAL RESOURCES
-----------------

Total  shareholders'  equity  increased from $10,690,294 at December 31, 2003 to
$10,700,792  at  June  30, 2004.  This increase was attributable to net earnings
for  the  period offset by a decrease in accumulated other comprehensive income.

Bank  holding companies, such as us, and their banking subsidiaries are required
by  banking regulators to meet certain minimum levels of capital adequacy, which
are  expressed  in the form of certain ratios.  Capital is separated into Tier 1
capital  (essentially  common  shareholders'  equity less intangible assets) and
Tier  2  capital  (essentially the allowance for loan losses limited to 1.25% of
risk-weighted  assets).  The  first two ratios, which are based on the degree of
credit  risk  in  our  assets, provide the weighting of assets based on assigned
risk  factors  and  include off-balance sheet items such as loan commitments and
stand-by letters of credit.  The ratio of Tier 1 capital to risk-weighted assets
must be at least 4.0% and the ratio of total capital (Tier 1 capital plus Tier 2
capital)  to  risk-weighted  assets  must  be  at  least  8.0%.

Banks  and  bank  holding  companies are required to maintain a minimum leverage
ratio  of  Tier  1  capital  to adjusted quarterly average total assets of 3.0%.


                                     - 13 -
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

ITEM  2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
--------------------------------------------------------------------------------
OF  OPERATIONS--  continued
--------------

CAPITAL RESOURCES, CONTINUED
----------------------------

The  following  table  summarizes  our consolidated risk-based capital ratios at
June  30,  2004:

   Tier 1 capital (to risk-weighted assets)                           11.06%
   Total capital (to risk-weighted assets)                            12.18%
   Tier 1 capital (to total average assets)                            9.45%


REGULATORY MATTERS
------------------

From  time  to  time, various bills are introduced in the United States Congress
with  respect  to  the  regulation  of financial institutions.  Certain of these
proposals,  if  adopted,  could significantly change the regulation of banks and
the  financial  services  industry.  We  cannot  predict  whether  any  of these
proposals  will  be adopted or, if adopted, how these proposals would affect us.

RECENT ACCOUNTING PRONOUNCEMENTS
--------------------------------

Accounting  standards  that  have  been  issued  or  proposed  by  the Financial
Accounting  Standards Board that do not require adoption until a future date are
not  expected to have a material impact on the consolidated financial statements
upon  adoption.

ITEM 3. CONTROLS AND PROCEDURES
-------------------------------

At  the  end  of  the  period covered by this report, the Company carried out an
evaluation,  under  the  supervision and with the participation of the Company's
management,  including  the  Company's  Chief  Executive  Officer  and Principal
Financial  and  Accounting  Officer,  of  the  effectiveness  of  the design and
operation  of  the  Company's  disclosure  controls  and  procedures pursuant to
Exchange  Act  Rule  13a-14.  Based  upon  that  evaluation, the Company's Chief
Executive  Officer and Principal Financial and Accounting Officer concluded that
the  Company's  disclosure  controls  and  procedures  are  effective  in timely
alerting  them  to  material  information relating to the Company (including its
consolidated  subsidiaries)  that  is  required  to be included in the Company's
periodic  filings  with the Securities and Exchange Commission.  There have been
no  changes  in  the Company's internal controls over financial reporting during
the quarter ended June 30, 2004 that have materially affected, or are reasonably
likely  to  materially  affect,  the  Company's  internal control over financial
reporting.


                                     - 14 -
<PAGE>
                           PART II.  OTHER INFORMATION

                         DECATUR FIRST BANK GROUP, INC.



ITEM  1.   LEGAL  PROCEEDINGS
           ------------------
           None

ITEM  2.   CHANGES  IN  SECURITIES  AND  PURCHASES  OF  EQUITY  SECURITIES
           ---------------------------------------------------------------
           None

ITEM  3.   DEFAULTS  UPON  SENIOR  SECURITIES
           ----------------------------------
           None

ITEM  4.   SUBMISSION  OF  MATTERS  TO  A  VOTE  OF  SECURITY  HOLDERS
           -----------------------------------------------------------
           None

ITEM  5.   OTHER  INFORMATION
           ------------------
           None

ITEM  6.   EXHIBITS  AND  REPORTS  ON  FORM  8-K
           -------------------------------------

     (a)   Exhibits

          31   Certification Pursuant to Rule 13a - 14(a), as Adopted Pursuant
               to Section 302 of the Sarbanes-Oxley Act of 2002

          32   Certification of the Chief Executive Officer and Principal
               Accounting Officer pursuant to 18 U.S.C. Section 1350, as adopted
               pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

     (b)   Reports  on  Form  8-K
           None


                                     - 15 -
<PAGE>
                         DECATUR FIRST BANK GROUP, INC.

                                   SIGNATURES



     In accordance with the requirements of the Securities Exchange Act of 1934,
the  registrant  has  caused  this  Report  to  be  signed  on its behalf by the
undersigned,  thereunto  duly  authorized.

                              DECATUR FIRST BANK GROUP, INC.



                              By:  /S/ JUDY B. TURNER
                                   --------------------------
                                   Judy B. Turner
                                   President, Chief Executive Officer and
                                     Principal Financial and Accounting Officer


                              Date:  August 11, 2004


                                     - 16 -
<PAGE>