Meet Becky Zoellner, Cash Management Specialist

 

ZoellnerBecky

Get to know Becky Zoellner, one of our Cash Management Specialists. At Merchants, we offer a variety of Cash Management services to help businesses improve efficiency, security and more. Our options include tools for collection, disbursement, security and management.

When did you start your banking career?

Becky: I started my banking career in 2009. When I started in banking, I did not plan on it being my career.  However, it wasn’t even a year and I realized I had a passion for working with customers on each of their unique financial situations that brought them into the bank.

What do you like most about your job?

Becky: Every business is very unique.  My favorite part of my job is working with my customers to understand their business. I want to understand where they’re looking to grow and figuring out their strengths and weaknesses and developing a cash flow plan that fits their specific needs. In addition to learning about my customers’ businesses, I enjoy sharing my knowledge of cash management.  You don’t need to be an expert in cash management, that’s my job, but I want you to feel comfortable and have a good understanding of solutions available to help meet your business goals.  

Can you help businesses assess which cash management services make sense for them? How does this process work?

Becky: Absolutely.  I like to talk to owners and managers, preferably within their work environment.  I want to learn about the business and its processes.  What works well?  Where are the struggles?  From there, we can talk about cash management services that can help along with putting together a plan of how to implement them. 

What does community banking mean to you?

Becky: Community bankers take the time to get to know you and your business.  As a community, we’re all working together towards being the best for ourselves and all those around us. I was drawn to a community bank because I firmly believe in having strong, service-oriented values. The most important thing for me is to be able to give customers my best service and that of my team of co-workers.

What are some of the biggest benefits to a business using Cash Management services?

Becky: With cash management services, you get control and understanding of your account activity. The various products and services help with maximizing cash flow and monitoring for fraudulent activity. 

What are your tips for wrapping up your fiscal year?

Becky: Use a trusted expert. My expertise is cash management, your expertise is in your industry and a CPA has expertise in tax law. We have experts so that we know these very important business functions are done correctly. Also, early on, write your financial goals for the next year down! Many individuals and businesses forget that step, but it is so important. After you have your goals defined, writing down a concrete plan to reach those goals is just as important. As the year goes on, set aside time to analyze your progress and see if any adjustments need to be made and what needs to be done to reach those goals.

What do you do to work with businesses around year end?

Becky: Year end is a good time to think about successes and where there are opportunities for improvement.  I’m generally busy meeting with businesses on how to obtain their goals for the following year. Questions I usually ask are:

  • Do you want your staff to be more efficient with their time?  Remote deposit capture will allow your staff to make deposits right at their desk.
  • Are you looking to improve cash flow?  Processing receivables and payables through ACH will provide a better handle on when funds are crediting and debiting your account.
  • What are you doing to ensure your business isn’t faced with the consequences of fraud?  Let’s talk about how our online banking can assist with separation of duties and how ACH Filters and Positive Pay can assist you with daily activity monitoring. And the list goes on.

If you could snap your fingers and own your own business, what would you want it to be?

Becky: I would love to be a travel consultant because I would assume it would require me to travel more!

What’s your favorite thing about supporting local business?

Becky: I love that local businesses genuinely care about their customers’ experience, and that makes it feel like you’re supporting a friend.  Who doesn’t love that?    

 

If you are interested in finding out how your business could benefit from cash management services, contact one of our Cash Management Specialists.

 

Some Cash Management services may have fees that apply.

Industry Snapshot: Food Manufacturing & Wholesale

FoodManufacturing-Blog

Get the industry data and financing solutions to make 2018 a success.

In each edition of our Business eNewsletter this year, we’ll be highlighting a different industry to bring you useful data and research. In our January edition, we’re providing a snapshot of food manufacturing and wholesale – an industry we’re proud to serve through both our bank and leasing company.

As a seasonal industry, your food wholesale or manufacturing business may have ended the year on a busy note. But, how optimistic should you feel about 2018?

Here are the latest industry indicators, including data on growth opportunities and potential challenges. Plus, learn how our experienced team of Commercial Banking advisors can help you prepare for another successful year.

2018 Food Manufacturing & Wholesale Forecast

While food manufacturers and wholesalers will face challenges due to the rising cost of fuel and commodity prices, both areas should expect growth in the coming years.

This is no surprise to Shawn Sackman, Merchants Bank Commercial & Ag Lender in Onalaska, “[t]he businesses we serve have always done an outstanding job of meeting customer demands, while still being innovative in a tight industry.”

Predicted Growth between 2017 and 2021

Growth for your industry depends on both food consumption and population growth.

So, what do the numbers say? According to data from Hoovers and First Research:

  • Revenue for US food manufacturers is forecast to grow at an annual compounded rate of 4%, based on changes in physical volume and unit prices.
Food manufacturing growth graph

From Hoover’s/D&B subsidiary First Research. Revenue (in current dollars) for US food manufacturers is forecast to grow at an annual compounded rate of 4% between 2017 and 2021, based on changes in physical volume and unit prices. Data Published: September 2017.

  • Domestic demand for food, an indicator for food wholesalers, is forecast to grow at an annual compounded rate of 3%.
Food wholesalers growth trend graph

From Hoover’s/D&B subsidiary First Research. Domestic demand for food, an indicator for wholesalers, is forecast to grow at an annual compounded rate of 3% between 2017 and 2021. Data Published: September 2017.

Key Industry Indicators

In addition, these indicators provide a more comprehensive picture. This data can help you determine areas of potential progress or risk for the coming months and years depending on your specific products.

Food Demand:

  • US retail sales for food and beverage stores increased 2.2% in the first ten months of 2017 compared to the same period in 2016.
  • Total US wholesale sales of nondurable goods rose 4.7% in September 2017 compared to the same period in 2016.
  • US retail sales for food services and drinking places increased 2.8% in the first ten months of 2017 compared to the same period in 2016.

Food Distribution: US tourism spending for food services and drinking places increased 3.2% in the second quarter of 2017 compared to the same period in 2016.

Food Manufacturing Demand: US nondurable goods manufacturers’ shipments of food products rose 5.3% year-to-date in September 2017 compared to the same period in 2016.

Product Values: The consumer price index for food rose 1.3% in October 2017 compared to the same month in 2016.

Industry Competition

Several large companies, including Sysco, McLane, Nestle S.A. and COFCO, dominate the industry when it comes to sales and output. But, small businesses still make up 68% of food manufacturing* in the United States.

As a small sausage producer in La Crosse, WI, Bakalars Sausage Company has seen many changes to the industry in their 53 years of business. “Over the past several years, the industry has gotten tighter with smaller producers getting out of the business,” said Mike Bakalars, Owner. “I’m proud to say that we’re one of the survivors and through a lot of hard work our business has doubled over the past 15 years.”

So how can you differentiate yourself from other businesses in the industry? According to Hoover’s research, here are your best opportunities to stand out in a competitive market:

Product Mix – Food manufacturers typically have one or two extremely successful products or brands, in addition to a mix of specialty items. Identify which of your products constantly produces income and which products may become less popular as consumer tastes change.

For Bakalars, this means a mix of 35 different products overall, including the Schweigert sausage brand and specialty products. “We were fortunate to acquire Schweigerts several years ago. As the official hot dog of the Minnesota Twins and Vikings, it’s been a very stable product line for us while we continue to produce other specialty sausage with smaller demand,” said Mike.

Competing with Chain Distribution – Larger companies, like Wal-Mart, have benefitted from owning the entire process from purchasing to operations. Small wholesalers should consider the cost and time-saving benefits of controlling the entire production process. For example, Bakalars produces, packages and ships their entire product line from their headquarters in La Crosse, WI.

How Merchants Bank Can Help

As a community bank, we work hard to help local businesses – like Bakalars – succeed with the expertise and financial resources you need. We believe that when businesses in our communities thrive, everyone benefits. Merchants is proud to serve many in the food industry from producers to manufacturers to wholesalers, across our footprint.

“We’ve had a longtime partnership with Merchants – since 2003. Their bankers understand how our industry works, and so they understand the banking services we need to be successful,” said Mike Bakalars. “As an industry, we can be seasonal, so they have helped us with understanding and meeting our cash flow needs.”

In addition traditional financing in the form of business loans and lines of credit, we also offer services in the areas of cash management and security.

“In order to make the most of your accounts receivable and payable, we help your company understand how various types of transactions function – which is especially important in the food industry. Each transaction type is unique,” said Becky Herrmann, Cash Management Specialist at Merchants Bank in Onalaska. “Another key is knowing how to protect your funds with the best monitoring and management tools. Our Cash Management team is here to advise you on the solutions that fit your business and answer your questions.”

To learn more about how our Commercial Bankers and Cash Management Specialists can work with your business, contact your local expert.

Additional Resources:

 

*https://www.ers.usda.gov/topics/food-markets-prices/processing-marketing/manufacturing.aspx

** You will be linking to another website not owned or operated by Merchants Bank, NA. Merchants Bank, NA is not responsible for the availability or content of this website and does not represent either the linked website or you, should you enter into a transaction. We encourage you to review their privacy and security policies which may differ from Merchants Bank, NA.

Gina Miller Joins Merchants Bank as Vice President and Commercial Banker

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Gina Miller, Commercial Banker

Gina Miller has joined Merchants Bank as a Vice President and Commercial Banker, according to Shawn Sackman, Senior Lending Officer and Senior Vice President for Merchants Bank’s Southeast Region.

“We are excited to have Gina join our team,” Sackman said. “With her experience, ability and connections, as well as our increased presence in the La Crosse area, we know she will contribute to our continued growth.”

Miller had been with the Wells Fargo organization for the past 17 years, most recently as a Business Relationship Manager/Commercial Banker.

“Merchants is a great match for me because it is a community bank that is built on and values the relationships with its customers,” Miller said. “Building and maintaining those relationships has been my goal throughout my career, and I look forward to continuing that career with Merchants as it gains more market share in our area.”

Miller is a graduate of Viterbo University. She is active in the community. She is a member of the Coulee Region Young Professionals, a member of the Women’s Alliance of La Crosse, and a participant in the Chamber of Commerce’s La Crosse Area Community Leadership Program.

Onalaska is one of the fastest growing of all 21 Merchants’ locations. In 2016, Merchants reported record income of $14,154,891. The Onalaska location was one of the leaders in productivity, with nearly $2.2 million in net income.

In addition to Onalaska, Merchants has Minnesota locations in La Crescent, Rushford, Lanesboro, Caledonia, Spring Grove, Winona, St. Charles, Goodview, Rochester, Cannon Falls, Red Wing, Hampton, and the southern Twin Cities metropolitan suburbs of Apple Valley, Cottage Grove, Hastings, Lakeville and Rosemount. Merchants has an additional Wisconsin location in Eau Claire. All banks are FDIC members and equal housing lenders. Loans are subject to approval. Twin Cities-based Merchants Bank Equipment Finance is a division of Merchants Bank, N.A.

SBA Loans: Frequently Asked Questions

Merchants Bank Small Business Loans, Commerical Lenders

Are you thinking about starting a small business? Have you heard about the Small Business Administration and the loan programs it offers? You might be wondering if an SBA loan is right for you or simply how SBA loans work. Here are answers to frequently asked questions about SBA loans

1. What is an SBA loan?

While the Small Business administration oversees a number of loan programs, the SBA does not lend money itself. When you apply for an SBA loan, you’ll work with a local bank to receive financing for your project and a portion of the loan is guaranteed by the SBA.

SBA Loan programs include:

  • 7(a) Loan Program – The most common general small business loan offered by the SBA.
  • Microloan Program – Small, short-term small business loans.
  • Real Estate & Equipment Loans or CDC/504 Loan Program – Loans for real estate and equipment.
  • Disaster Loans – Low interest loans to repair or replace items damaged in a disaster.

Learn more about these SBA loan programs and eligibility on the SBA website.

2. Should I apply for an SBA loan or traditional bank loan?

Which loan is right for your business depends on a number of factors. First, you’ll want to know which SBA loan programs you may or may not qualify for. In addition, you’ll want to compare the SBA loan programs versus a traditional commercial loan. While an SBA loan might not be a fit for every business, it may provide certain benefits over traditional loans, in certain situations, including:

  • Longer terms
  • Lower down payments
  • Increased cash flow
  • Flexible repayment options

As an SBA Preferred Lender, Merchants Bank has experience helping businesses choose between SBA and traditional commercial loans. Your local Merchants Bank Commercial Banker can guide you through our options to find the right loan program for you.

Use SBA’s Online Loans and Grants Search Tool to begin research which government financial programs may help your business.

3. What information do I need to complete my loan application?

Educating yourself on the SBA loan processing and knowing what information you need for the application can save you a lot of time. Use these resources to prepare yourself when applying for an SBA loan:

For more information on SBA loans, talk to a Commercial Banker at your local Merchants Bank. We’re proud to be an SBA Preferred Lender.

Subject to credit approval. Equal Housing Lender.

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Jim Vrchota Joins Merchants Bank in Winona as a Vice President and Commercial Banker

Jim Vrchota, Vice President and Commercial Banker

Jim Vrchota, Vice President and Commercial Banker

Jim Vrchota has joined the team at Merchants Bank as Vice President and Commercial Banker, according to Randy Domeyer, Senior Vice President and Commercial Banking Department Manager

“We are excited to have Jim join our team in Winona,” Domeyer said. “His experience in business development and lending will benefit our customers and our lending team here at Merchants Bank.”

Vrchota has more than 33 years of experience in the banking industry, much of it as a Senior Lender and Market President. Most recently he served as Senior Vice President at United Prairie Bank in Spicer, Minnesota, where he worked in commercial and ag lending. Vrchota also has a great deal of experience in SBA (Small Business Administration) lending.

“I am happy to be a part of a banking organization that has such a tremendous reputation for helping its customers meet their goals,” Vrchota said. “I look forward to becoming a part of the Winona community.”

Vrchota has a long history of community involvement, especially in the areas of economic development and community service.

Concerned About FDIC Insurance Coverage for Your Business?

Merchants Bank, CDARs, ICS

Deanna Ellinghuysen, Merchants Bank Customer Service Representative and CDARS/ICS expert, explains the details and benefits of CDARS (Certificate of Deposit Account Registry Service) and ICS (Insured Cash Sweep) accounts.

Q: How does a CDARS or ICS account work?
Deanna: CDARS, a Certificate of Deposit account, and ICS, an insured cash sweep account, provide additional FDIC insurance for deposits in excess of $250,000 – the standard insurance amount set by the Federal Deposit Insurance Corporation. Your money is automatically deposited in amounts of less than $250,000, which allows for compounding of interest, through a network of pre-selected, highly rated banks. This ensures that your entire amount on deposit is FDIC insured.

Q: Why would my business open a CDARS or ICS account?
Deanna: If your business has over $250,000 worth of excess funds and is concerned about FDIC insurance, a CDARS or ICS account is for you. If you want to protect your large deposits with FDIC insurance…these two products are the tools. It’s really about peace of mind. In addition, if you’re publicly funded, a CDARS or ICS account could help you avoid the extra bookwork associated with pledged funds.

Q: What are the terms rates for CDARS and ICS accounts?
Deanna: CDARS accounts are similar to other certificates of deposit at Merchants Bank. Businesses can choose a term from four weeks up to three years. The rates follow our CD rates by market and can be found at merchantsbank.com.

ICS accounts allow for more flexibility because it works like a savings account. Businesses can make unlimited deposits, there is no minimum balance and six withdrawals are allowed per month. Current rates can be found at merchantsbank.com.

Q: How do I open a CDARS or ICS account for my business?
Deanna: You can contact the Customer Service Representative at your local Merchants Bank to start the process. We open it for you and the distribution of funds to other banks is automatic. We like to say these accounts are great because the customer works with one bank, has one rate and gets one statement. It’s that simple.

To learn more about CDARS and ICS for your business, contact us.

CDARS and ICS accounts are also available for individuals. Ask us for more details.

Commercial, Ag and SBA Lending Trends

The economy continues to improve. One indicator we look at in banking is the increase in our lending portfolio.

GraphOur lending portfolio continues to grow at Merchants Bank.

  • Overall our lending portfolio has increased 15.7% through the first three quarter of 2014 compared to the first three quarters of 2013, where we had a very strong year compared to many other financial institutions.
  • Commercial lending increased 16.3% across all of our locations.
  • Ag lending has increased 12.9% and SBA lending has increased 16.3%.

The increase shows our expertise in and commitment to growing these important segments to help make the places we live better.

Contact a Business Banker today to learn more about business financing and leasing options at Merchants Bank. Subject to credit approval.