Grow Your Business

Farmers and ranchers have unique financial challenges, and the National Bank of Arizona Agribusiness Banking team is ready to help.
 
Though NB|AZ has had a presence in the agricultural market for a while, Agribusiness Banking as a specialized department was established just last year.
 
“The group was started through the vision of Mark Young, Brent Cannon and John Lewis as an extension of NB|AZ’s commitment to servicing the needs of our rural markets,” says Matt Eyrich, Senior Vice President and Regional Commercial Manager for Agribusiness Banking at NB|AZ. 
 
“Business and commercial lending is knowing your customer and being able to provide the financial services tailored to their needs,” he continues. “Our customers deal in commodity markets and face production challenges—such as weather and pests—that are not in their direct control. This makes no two years or crop seasons exactly the same and leads to financial positions and operating results that don’t provide simple trend lines.”

 Brian Rhodes appreciates that level of understanding about how his business operates. He and his wife April farm more than 18,000 acres throughout Pinal County. Their company A & B Farms, with about $18 million in annual revenue, grows primarily cotton, but also alfalfa, corn, roses and grains, including Durum wheat that’s used in pasta products.

“The transition to NB|AZ was the most fluid and easiest that I’ve ever been through. I really immediately felt that they’re on my side,” says Rhodes. “We were considering other financial institutions, too, and it became apparent that NB|AZ is the right place to go.”

Relying on NB|AZ’s Treasury Management services that can transfer money quickly, he says that function saves him time and expenses. The business also has a revolving line of credit through NB|AZ.

The Agribusiness team provides short-term (operating), intermediate-term (equipment) and long-term (real estate) financing. “There are only a handful of banks and finance companies that provide financing to the ag sector in Arizona. And only three or four that have dedicated teams,” Eyrich says. “So first, we provide a full line of financial services to the ag sector and second, we do it through a dedicated and knowledgeable team.”

Agribusiness Banking offers a blend of asset-based lending and cashflow lending, Eyrich notes, adding that agriculture commodity markets are volatile.

“The markets set the price the producer ultimately receives for their production,” he explains. “This contrasts with a widget manufacturer or service entity that can set their price based on what they desire as a return. Granted, they may have to adjust the price based on competition or other factors, but they still can set the price.”

For Rhodes, it’s about the personal attention and service. “NB|AZ has a very personal touch and we have had multiple points of contact through the process of becoming a client,” he says. “We appreciate that they visited the farm and really got to know our business,” adding that agriculture has always been relationship-based.

“Yet these days, that’s gone away with a lot of the bigger banks. It’s great to deal with NB|AZ. They know agriculture and they know the right questions to ask. It’s enjoyable working with them.”