8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported)		November 6, 2013
MARLIN BUSINESS SERVICES CORP.
(Exact name of registrant as specified in its charter)
Pennsylvania	000-50448			38-3686388
(State or other jurisdiction of incorporation)	(Commission File Number)			(I.R.S. Employer Identification No.)
300 Fellowship Road, Mount Laurel, NJ				08054
(Address of principal executive offices)				(Zip Code)
Registrant’s telephone number, including area code			(888) 479-9111
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

The Registrant issued a press release on November 6, 2013, announcing its results of operations for the third quarter ended September 30, 2013.  A copy of the press release is being furnished as Exhibit 99.1 to this report.

The information in this Current Report, including the Exhibit hereto, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section.  The information in this Current Report shall not be incorporated by reference into any registration statement or other document filed with the Securities and Exchange Commission.

Item 5.02 Departure of Directors or Principal Officers; Election of Directors; Appointment of Principal Officers; Compensatory Arrangements of Certain Officers.

(b) On November 6, 2013, the Registrant announced that George D. Pelose is retiring from his position as Executive Vice President and Chief Operating Officer of Marlin Business Services Corp. (the “Company”), but will remain with the Company through at least January 15, 2014 in order to ensure a smooth transition.  Also on November 6, 2013, Edward R. Dietz, the Company’s current Vice President and General Counsel, was appointed as Vice President of Administration and will add the Business Operations, Asset Recovery, Human Resources and Insurance functions to his existing reporting lines, which include the Legal and Compliance functions.  Daniel P. Dyer, the Company’s Chief Executive Officer, will assume reporting responsibility for the Company’s Credit Underwriting and Portfolio Management functions.

A copy of the press release announcing the Company’s management realignment is attached as Exhibit 99.2 hereto.

(e) In connection with Mr. Pelose’s retirement, the Company and Mr. Pelose have entered into an amendment, dated November 6, 2013 (the “2013 Amendment”) to Mr. Pelose’s employment agreement with the Company, dated as of October 14, 2003 and amended on May 19, 2006 and December 31, 2008 (as amended, the “Employment Agreement”).  Under the 2013 Amendment, Mr. Pelose’s employment with the Company will terminate between January 15, 2014 and March 31, 2014, with the exact date of termination to be mutually agreed upon by Mr. Pelose and the Company (the “Separation Date”).  Further, effective upon the Separation Date, all outstanding equity awards held by Mr. Pelose will become fully vested and Mr. Pelose will have two years from the Separation Date to exercise his outstanding stock options.  In addition, the 2013 Amendment clarifies that Mr. Pelose’s retirement on the Separation Date will be treated as a termination “without cause” or resignation “for good reason” for purposes of determining the severance benefits payable to Mr. Pelose.  All other material terms, including the amount of severance benefits payable under the Employment Agreement, remain unchanged.  A copy of the 2013 Amendment is attached hereto as Exhibit 10.1 and is incorporated into this Item 5.02 by reference.

Item 9.01. Financial Statements and Exhibits.

(d)  Exhibits.

10.1  Amendment 2013-1 to Employment Agreement dated as of November 6, 2013 between Marlin Business Services Corp. and George D. Pelose.

99.1  Press Release issued by Marlin Business Services Corp. on November 6, 2013 in connection with Item 2.02.

99.2  Press Release issued by Marlin Business Services Corp. on November 6, 2013 in connection with Item 5.02.

SIGNATURES

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

	MARLIN BUSINESS SERVICES CORP. (Registrant)
Date: November 6, 2013	/s/ Daniel P. Dyer
	Daniel P. Dyer Chief Executive Officer

INDEX TO EXHIBITS

10.1  Amendment 2013-1 to Employment Agreement dated as of November 6, 2013 between Marlin Business Services Corp. and George D. Pelose.

99.1  Press Release issued by Marlin Business Services Corp. on November 6, 2013 in connection with Item 2.02.

99.2  Press Release issued by Marlin Business Services Corp. on November 6, 2013 in connection with Item 5.02.

EX-10.1

EXHIBIT 10.1

AMENDMENT 2013-1

TO THE

EMPLOYMENT AGREEMENT

AMENDMENT, dated as of November 6, 2013, between Marlin Business Services Corp., (the “Company”) and George D. Pelose (the “Executive”).

RECITALS

WHEREAS, the Company and the Executive previously entered into that certain Employment Agreement, dated as of October 14, 2003, as amended pursuant to Amendment 2006-1, dated as of May 19, 2006, and further amended pursuant to Amendment 2008-1, dated as of December 31, 2008 (collectively, the “Employment Agreement”), which sets forth the terms and conditions of Executive’s employment with the Company; and

WHEREAS, Section 18 of the Employment Agreement provides that the Employment Agreement may be amended pursuant to a written agreement between Executive and the Company; and

WHEREAS, the Executive and the Company desire to amend the Employment Agreement to provide that the Executive shall terminate employment with the Company during a specified period in 2014, on a date to be mutually agreed upon by the parties and provided the Executive remains employed until such date, the Executive shall be entitled to such severance and other benefits as if had voluntarily terminated for good reason or was terminated by the Company without cause.

NOW, THEREFORE, the Company and the Executive hereby agree that, effective as of the date set forth above, the Employment Agreement shall be amended as follows:

1.Section 7(a) of the Employment Agreement is hereby amended by adding immediately after Section 7(a)(viii), a new Section 7(a)(ix) to read as follows:

“(ix) Termination During Specified Window.  Notwithstanding any other provision of this Agreement, unless earlier terminated under this Agreement for any reason, Executive’s employment shall terminate between January 15, 2014 and March 31, 2014, with the exact date of termination to be mutually agreed upon by the Executive and the Company.  Absent an agreement of the parties as to the exact date of termination, the Executive’s employment shall terminate on March 31, 2014.   A termination by the Company for Cause, a termination due to death or a termination due to Disability on or before March 31, 2014 shall not be considered a termination under this Section 7(a)(ix) even if such termination occurs during the specified window."

2.Section 7(b)(iv) of the Employment Agreement is hereby amended by adding the following immediately after subsection (E):

“or (F) Executive’s employment terminates pursuant to Section 7(a)(ix),”

3.Section 7(b) of the Employment Agreement is hereby amended by adding a new Section 7(b)(v) to read as follows:

“(v) Termination During Specified Window.  Provided the Executive remains employed with the Company until the mutually agreed upon date of termination as provided in Section 7(a)(ix) and terminates employment under Section 7(a)(ix),  the Executive shall be entitled to receive the severance set forth in Section 7(b)(iii) as if the Company terminated Executive’s employment without Cause pursuant to Section 7(a)(iv) or Executive resigned for Good Reason pursuant to Section 7(a)(v).”

4.Section 9(e) of the Employment Agreement is hereby amended by renaming it "Non-Solicitation of Company Personnel and Non-Disparagement" and by adding a new paragraph at the end of Section 9(e) to read as follows:

"In further consideration of the promises contained in the Agreement, as amended, the Executive agrees that neither he nor any of his representatives will make any disparaging or defamatory or untrue remarks to any third party concerning the Company, any parents, subsidiaries or affiliates or any of their officers, employees or agents (the “Company parties”). Such third parties include, but are not limited to, the press and public media (i.e., any employees or agents of newspapers, television stations, radio stations or other media), any organizations or associations, any Internet websites, home pages, MySpace pages, Facebook pages, social networking sites, blogs or chat-rooms, any of the Company parties’ former employees, current employees or prospective employees. The Company agrees that it will not make any disparaging or defamatory or untrue remarks to any third party concerning the Executive. Such third parties include, but are not limited to, the press and public media (i.e., any employees or agents of newspapers, television stations, radio stations or other media), any organizations or associations, any Internet websites, home pages, MySpace pages, Facebook pages, social networking sites, blogs or chat-rooms, any of the Company’s former employees, current employees or prospective employees. The Executive and the Company agree that any breach or threatened breach of these non-disparagement provisions would cause irreparable harm to the other party and that remedies at law or in damages and would be inadequate to remedy such a breach or threatened breach, and that these non-disparagement provisions may be enforced by way of a restraining order and/or injunction in addition to any other remedies which may be available at law or in equity."

5.In all respects not modified by this Amendment 2013-1, the Employment Agreement is hereby ratified and confirmed.

2

IN WITNESS WHEREOF, the Company and the Executive agree to the terms of the foregoing Amendment 2013-1, effective as of the date set forth above.

MARLIN BUSINESS SERVICES CORP.
By:	/s/ Daniel P. Dyer
Its:	Chief Executive Officer
EXECUTIVE
/s/ George D. Pelose
George D. Pelose

3

EX-99.1

EXHIBIT 99.1

Marlin Business Services Corp. Reports Third Quarter 2013 Earnings Growth and a Cash Dividend of $0.11 Per Share

Third Quarter Highlights:

• Net income of $4.7 million for the third quarter of 2013, an increase of 37% compared to the third quarter of 2012
• New lease originations of $86.1 million for the third quarter of 2013
• Risk adjusted net interest and fee margin of 11.78% for the quarter
• $477.4 million of insured deposits, up 40% year-over-year
• Strong capital position, equity to assets ratio of 23.77%
• Total risk-based capital ratio of 27.43%
• Return on average equity of 10.32%

MOUNT LAUREL, N.J., Nov. 6, 2013 (GLOBE NEWSWIRE) -- Marlin Business Services Corp. (Nasdaq:MRLN) today reported third quarter 2013 net income of $4.7 million, or $0.36 per diluted share. Net income improved 37%, or $0.09 per diluted share over third quarter 2012. For the nine-month period ended September 30, 2013, net income was $12.8 million, or $0.99 per diluted share.

"We're pleased with the steady growth momentum of the business," says Daniel P. Dyer, co-founder and Chief Executive Officer. "Our service-oriented, focused strategy aimed at serving the credit needs of the small business marketplace continues to deliver profitable growth and attractive returns on capital," says Dyer.

Third quarter 2013 lease production was $86.1 million based on initial equipment cost, compared to $91.4 million in the second quarter of 2013 and $81.6 million in third quarter of 2012.

Net interest and fee margin of 13.44% is up 8 basis points from the second quarter of 2013 and is down 7 basis points from the third quarter of 2012. The Company's cost of funds improved 13 basis points from the second quarter of 2013 and 58 basis points from the third quarter of 2012. The improvement resulted from the Company's use of lower-cost insured deposits issued by the Company's subsidiary, Marlin Business Bank, its primary funding source.

The allowance for credit losses as a percentage of total finance receivables is 1.23% at September 30, 2013, and represents 241% of total 60+ day delinquencies.

Leases over 30 days delinquent were 0.83% of the Company's lease portfolio as of September 30, 2013, 12 basis points lower than the second quarter of 2013. Leases over 60 days delinquent were 0.45% of the Company's lease portfolio as of September 30, 2013, down 5 basis points from 0.50% at June 30, 2013. Net charge offs as a percentage of total finance receivables were 1.55% for both the third quarter ended September 30, 2013 and the second quarter ended June 30, 2013 compared to 0.89% for the third quarter ended September 30, 2012.

The Company's efficiency ratio was 49.8% for the quarter ended September 30, 2013, compared to 53.0% for the quarter ended June 30, 2013 and 56.4% for the quarter ended September 30, 2012.

The Company's consolidated equity to assets ratio is 23.77%. Our risk based capital ratio is 27.43%.

In conjunction with this release, static pool loss statistics and a vintage delinquency analysis have been updated as supplemental information on the Investor Relations section of the Company's website at www.marlincorp.com.

The Board of Directors of Marlin Business Services Corp. today declared a $0.11 per share quarterly dividend. The dividend is payable December 2, 2013, to shareholders of record on November 18, 2013. Based on the closing stock price on November 5, 2013, the annualized dividend yield on the Company's common stock is 1.66%. This is in addition to a $2.00 special dividend paid on September 26, 2013.

Conference Call and Webcast

We will host a conference call on Thursday, November 7, 2013 at 9:00 a.m. ET to discuss the Company's third quarter 2013 results. If you wish to participate, please call 877-312-5414 approximately 10 minutes in advance of the call time. The conference ID will be: "Marlin." The call will also be webcast on the Investor Relations page of the Company's website, www.marlincorp.com. An audio replay will also be available on the Investor Relations section of Marlin's website for approximately 45 days.

About Marlin Business Services Corp.

Marlin Business Services Corp. is a nationwide provider of innovative equipment financing solutions for small and mid-size businesses. Since its inception in 1997, Marlin has financed a wide array of commercial equipment and software for a quarter of a million business customers. Marlin's mission is to offer convenient and cost-effective financing products while providing the highest level of customer service. Marlin is publicly traded (Nasdaq:MRLN) and owns and operates a federally regulated commercial bank, Marlin Business Bank. For more information, visit www.marlincorp.com or call toll free at (888) 479-9111.

Forward-Looking Statements

This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements (including statements regarding future financial and operating results) involve risks, uncertainties and contingencies, many of which are beyond our control, which may cause actual results, performance or achievements to differ materially from anticipated results, performance or achievements. All statements contained in this release that are not clearly historical in nature are forward-looking, and the words "anticipate," "believe," "expect," "estimate," "plan," "may," "intend" and similar expressions are generally intended to identify forward-looking statements. Economic, business, funding, market, competitive, legal and/or regulatory factors, among others, affecting our business are examples of factors that could cause actual results to differ materially from those described in the forward-looking statements. More detailed information about these factors is contained in our filings with the Securities and Exchange Commission, including the sections captioned "Risk Factors" and "Business" in the Company's Form 10-K filed with the Securities and Exchange Commission. We are under no obligation to (and expressly disclaim any such obligation to) update or alter our forward-looking statements, whether as a result of new information, future events or otherwise.

MARLIN BUSINESS SERVICES CORP.
AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(Unaudited)
	September 30,	December 31,
	2013	2012
	(Dollars in thousands, except per-share data)
ASSETS
Cash and due from banks	$ 2,688	$ 2,472
Interest-earning deposits with banks	73,129	62,498
Total cash and cash equivalents	75,817	64,970
Restricted interest-earning deposits with banks	1,600	3,520
Securities available for sale (amortized cost of $5.8 million and $4.8 million at September 30, 2013 and December 31, 2012, respectively)	5,459	4,845
Net investment in leases and loans	576,377	503,017
Property and equipment, net	2,502	1,970
Property tax receivables	4,861	397
Other assets	6,535	23,629
Total assets	$ 673,151	$ 602,348
LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits	$ 477,423	$ 378,188
Long-term borrowings	—	15,514
Other liabilities:
Sales and property taxes payable	6,396	4,505
Accounts payable and accrued expenses	12,536	12,062
Net deferred income tax liability	16,817	17,829
Total liabilities	513,172	428,098
Stockholders' equity:
Common Stock, $0.01 par value; 75,000,000 shares authorized; 13,004,687 and 12,774,829 shares issued and outstanding at September 30, 2013 and December 31, 2012, respectively	130	128
Preferred Stock, $0.01 par value; 5,000,000 shares authorized; none issued	—	—
Additional paid-in capital	90,610	87,494
Stock subscription receivable	(2)	(2)
Accumulated other comprehensive income (loss)	(198)	55
Retained earnings	69,439	86,575
Total stockholders' equity	159,979	174,250
Total liabilities and stockholders' equity	$ 673,151	$ 602,348

MARLIN BUSINESS SERVICES CORP.
AND SUBSIDIARIES
Condensed Consolidated Statements of Operations
(Unaudited)
	Three Months Ended September 30,		Nine Months Ended September 30,
	2013	2012	2013	2012
	(Dollars in thousands, except per-share data)
Interest income	$ 16,286	$ 13,688	$ 47,075	$ 38,571
Fee income	3,410	2,966	9,733	8,854
Interest and fee income	19,696	16,654	56,808	47,425
Interest expense	1,036	1,496	3,458	5,417
Net interest and fee income	18,660	15,158	53,350	42,008
Provision for credit losses	2,303	1,414	6,360	3,546
Net interest and fee income after provision for credit losses	16,357	13,744	46,990	38,462
Other income:
Insurance income	1,186	1,029	3,572	3,059
Gain (loss) on derivatives	—	1	(2)	(1)
Other income	386	452	1,200	1,119
Other income	1,572	1,482	4,770	4,177
Other expense:
Salaries and benefits	6,601	5,988	19,543	18,683
General and administrative	3,475	3,390	10,918	10,174
Financing related costs	296	250	809	637
Other expense	10,372	9,628	31,270	29,494
Income before income taxes	7,557	5,598	20,490	13,145
Income tax expense	2,870	2,183	7,685	5,093
Net income	$ 4,687	$ 3,415	$ 12,805	$ 8,052
Basic earnings per share	$ 0.37	$ 0.27	$ 1.00	$ 0.63
Diluted earnings per share	$ 0.36	$ 0.27	$ 0.99	$ 0.63
Cash dividends declared and paid per share	$ 2.11	$ 0.08	$ 2.31	$ 0.20

SUPPLEMENTAL QUARTERLY DATA
(Dollars in thousands, except share amounts)
(Unaudited)
Quarter Ended:	9/30/2012	12/31/2012	3/31/2013	6/30/2013	9/30/2013
Net Income:
Net Income	$3,415	$3,645	$3,651	$4,467	$4,687
Annualized Performance Measures:
Return on Average Assets	2.50%	2.48%	2.38%	2.74%	2.73%
Return on Average Stockholders' Equity	8.08%	8.44%	8.35%	9.98%	10.32%
EPS Data:
Net Income Allocated to Common Stock	$3,270	$3,497	$3,516	$4,292	$4,537
Number of Shares - Basic	12,186,832	12,238,081	12,301,998	12,365,622	12,429,065
Basic Earnings per Share	$0.27	$0.29	$0.29	$0.35	$0.37
Number of Shares - Diluted	12,280,123	12,331,766	12,394,959	12,461,892	12,516,186
Diluted Earnings per Share	$0.27	$0.28	$0.28	$0.34	$0.36
Cash Dividends Declared per share	$0.08	$0.08	$0.10	$0.10	$2.11
New Asset Production:
# of Sales Reps	112	114	118	121	115
# of Leases	6,227	6,500	6,293	6,931	6,223
Leased Equipment Volume	$81,623	$87,771	$80,944	$91,448	$86,146
Approval Percentage	67%	67%	67%	67%	65%
Average Monthly Sources	1,117	1,207	1,132	1,247	1,146
Implicit Yield on New Leases	12.97%	12.56%	12.29%	12.34%	11.86%
Net Interest and Fee Margin:
Interest Income Yield	12.20%	12.15%	11.98%	11.86%	11.73%
Fee Income Yield	2.64%	2.63%	2.52%	2.38%	2.46%
Interest and Fee Income Yield	14.84%	14.78%	14.50%	14.24%	14.19%
Cost of Funds	1.33%	1.24%	1.00%	0.88%	0.75%
Net Interest and Fee Margin	13.51%	13.54%	13.50%	13.36%	13.44%
Average Total Finance Receivables	$448,691	$474,225	$502,850	$530,463	$555,422
Average Net Investment in Leases	$448,211	$473,699	$502,330	$529,910	$554,783
End of Period Net Investment in Leases	$471,545	$502,496	$525,381	$555,701	$575,718
Portfolio Asset Quality:
Total Finance Receivables
30+ Days Past Due Delinquencies	0.87%	0.92%	0.99%	0.95%	0.83%
30+ Days Past Due Delinquencies	$4,713	$5,296	$5,974	$6,033	$5,472
60+ Days Past Due Delinquencies	0.40%	0.42%	0.57%	0.50%	0.45%
60+ Days Past Due Delinquencies	$2,173	$2,444	$3,415	$3,179	$2,941
Net Charge-offs - Total Finance Receivables	$1,003	$1,493	$1,568	$2,058	$2,147
% on Average Total Finance Receivables Annualized	0.89%	1.26%	1.25%	1.55%	1.55%
Allowance for Credit Losses	$5,608	$6,488	$7,084	$6,919	$7,075
% of 60+ Delinquencies	258.08%	265.47%	207.44%	217.65%	240.56%
90+ Day Delinquencies (Non-earning total finance  receivables)	$989	$1,395	$1,628	$1,610	$1,697
Expense Ratios:
Salaries and Benefits Expense	$5,988	$6,179	$6,587	$6,355	$6,601
Salaries and Benefits Expense Annualized % of Avg. Fin. Recbl.	5.34%	5.21%	5.24%	4.79%	4.75%
Total personnel end of quarter	258	265	272	281	275
General and Administrative Expense	$3,390	$3,374	$3,543	$3,900	$3,475
General and Administrative Expense Annualized % of Avg. Fin. Recbl.	3.02%	2.85%	2.82%	2.94%	2.50%
Efficiency Ratio	56.36%	53.51%	54.67%	52.97%	49.80%
Balance Sheet:
Assets
Investment in Leases and Loans	$468,722	$500,203	$523,475	$553,296	$573,325
Initial Direct Costs and Fees	8,945	9,302	9,510	9,932	10,127
Reserve for Credit Losses	(5,608)	(6,488)	(7,084)	(6,919)	(7,075)
Net Investment in Leases and Loans	$472,059	$503,017	$525,901	$556,309	$576,377
Cash and Cash Equivalents	70,025	64,970	75,537	85,830	75,817
Restricted Cash	10,747	3,520	2,161	1,786	1,600
Other Assets	26,206	30,841	36,041	35,614	19,357
Total Assets	$579,037	$602,348	$639,640	$679,539	$673,151
Liabilities
Deposits	341,993	378,188	419,598	461,516	477,423
Total Debt	$33,083	$15,514	$5,413	$1,021	$0
Other Liabilities	32,462	34,396	37,194	35,727	35,749
Total Liabilities	$407,538	$428,098	$462,205	$498,264	$513,172
Stockholders' Equity
Common Stock	$127	$128	$129	$129	$130
Paid-in Capital, net	87,359	87,492	88,312	89,161	90,608
Other Comprehensive Income (Loss)	66	55	41	(152)	(198)
Retained Earnings	83,947	86,575	88,953	92,137	69,439
Total Stockholders' Equity	$171,499	$174,250	$177,435	$181,275	$159,979
Total Liabilities and Stockholders' Equity	$579,037	$602,348	$639,640	$679,539	$673,151
Capital and Leverage:
Equity	$171,499	$174,250	$177,435	$181,275	$159,979
Debt to Equity	2.19	2.26	2.40	2.55	2.98
Equity to Assets	29.62%	28.93%	27.74%	26.68%	23.77%
Regulatory Capital Ratios:
Tier 1 Leverage Capital	31.22%	29.35%	28.70%	27.67%	23.20%
Tier 1 Risk-based Capital	33.30%	31.76%	30.85%	29.73%	26.27%
Total Risk-based Capital	34.40%	32.95%	32.09%	30.86%	27.43%
Notes:
Net investment in total finance receivables includes net investment in direct financing leases and loans.

CONTACT: Lynne Wilson
         888 479 9111 Ext. 4108
         lwilson@marlinleasing.com

EX-99.2

EXHIBIT 99.2

Marlin Business Services Corp. Announces Retirement of George D. Pelose

MT. LAUREL, N.J., Nov. 6, 2013 (GLOBE NEWSWIRE) -- Marlin Business Services Corp. (Nasdaq:MRLN) today announced the retirement of George D. Pelose from his position as Executive Vice President and Chief Operating Officer of the Company. Mr. Pelose, who began his Marlin career in 1999 as the Company's General Counsel, commented, "It was a very difficult decision to leave Marlin, but I believe it is the right time for me to step away so I can pursue my outside interests. Since joining Marlin in 1999, I have had the opportunity to work with many talented people to help drive Marlin to what it is today, a leader in the small ticket commercial finance arena. It has been a great privilege to have been part of the Marlin team and the Company's track record of success. I plan on working closely with Dan and his team during the first quarter of 2014 to ensure a smooth transition."

"On behalf of the entire organization, I'd like to take this opportunity to personally thank George for his significant contributions and his 15 years of dedicated service. He has led the Company through change and was instrumental in shaping Marlin and successfully growing the Company. We wish him much success as he pursues other interests," said Daniel P. Dyer, Marlin's Chief Executive Officer.

"In conjunction with George's departure, I am pleased to announce changes to the structure of the senior management team. In connection with the transition, Ed Dietz, currently Marlin's General Counsel, will assume additional management responsibilities. Since joining Marlin in 2010, Ed's has been an integral part of the senior management team and has played important roles in many aspects of the Company's business operations. In the newly created role of Vice President of Administration, Mr. Dietz will add responsibility for Business Operations, Asset Recovery, Human Resources and Insurance to his existing reporting lines, which include the Legal and Compliance functions. The Credit Underwriting and Portfolio Management roles, previously reporting to Mr. Pelose, will now report directly to me," added Mr. Dyer.

About Marlin Business Services Corp.

Marlin Business Services Corp. is a nationwide provider of innovative equipment financing solutions for small and mid-size businesses. Since its inception in 1997, Marlin has financed a wide array of commercial equipment and software for a quarter of a million business customers. Marlin's mission is to offer convenient and cost-effective financing products while providing the highest level of customer service. Marlin is publicly traded (Nasdaq:MRLN) and owns and operates a federally regulated commercial bank, Marlin Business Bank. For more information, visit www.marlincorp.com or call toll free at (888) 479-9111.

Forward-Looking Statements

This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements (including statements regarding future financial and operating results) involve risks, uncertainties and contingencies, many of which are beyond our control, which may cause actual results, performance or achievements to differ materially from anticipated results, performance or achievements. All statements contained in this release that are not clearly historical in nature are forward-looking, and the words "anticipate," "believe," "expect," "estimate," "plan," "may," "intend" and similar expressions are generally intended to identify forward-looking statements. Economic, business, funding, market, competitive, legal and/or regulatory factors, among others, affecting our business are examples of factors that could cause actual results to differ materially from those described in the forward-looking statements. More detailed information about these factors is contained in our filings with the Securities and Exchange Commission, including the sections captioned "Risk Factors" and "Business" in the Company's Form 10-K filed with the Securities and Exchange Commission. We are under no obligation to (and expressly disclaim any such obligation to) update or alter our forward-looking statements, whether as a result of new information, future events or otherwise.

CONTACT: Marlin Business Services Corp.
         Media Relations
         mediarelations@marlincorp.com