As the name suggests, First Farmers Bank & Trust originally started out as an agricultural bank in 1885, serving local businesses, families and farms. Since its inception, the bank’s mission has been to deliver personalized financial services that foster a commitment to the relationships that serve and grow their communities.
“We’re extremely proud of the bank’s tradition and history; however, the organization has changed quite a bit in the last 20 years, particularly as we have moved into larger markets,” says Tade Powell, senior vice president of communications and public relations.
Over time, a number of significantly larger banks retracted from key market areas like Kokomo, Marion and Peru. Although First Farmers is still heavily involved in agricultural lending and agricultural deposits, the evolution of the organization has allowed them to enter major metropolitan markets like greater Tippecanoe County, greater Vigo County and northern metro Indy.
“Our ag roots and farming culture stretch back nearly 140 years,” says Powell. “The stability of a bank in a farming/ag community is one of the key determinants for success.”
The business cycles in agriculture are different than traditional banks, as they look at ups and downs of business cycles over a 10-year rather than a three-year stretch. This means that six years out of 10, a family farm is going to be healthy and stable and make a modest margin. Two years out of 10, there’s going to be a financial windfall because perhaps commodity prices are fantastic or growing conditions are optimum. There may be a circumstance where that entity is prepaying expenses, investing in equipment, growing the operation or acquiring more land. However, in that 10-year cycle, most of the time those operations are going to have two years in which they experience a significant struggle due to a number of external factors that could affect profitability. An agricultural bank is used to economic swings much better than a traditional bank.
“We’re able to stomach the ebbs and flows in a much more managed way,” Powell says. “Customers appreciate that we provide a significant amount of stability.”
The largest banks in the country have changed their service models to become primarily focused on e-commerce, which translates to being less centered on customer communication. That’s not the case at First Farmers. While First Farmers offers e-commerce capabilities that can compete with the national banks, the community bank continues to put an emphasis on personal relationships and community engagement to set itself apart.
“The style of service we provide is very attractive, particularly in a post-COVID environment, as there is a high degree of communication,” Powell says.
This is because First Farmers is a community bank that’s committed to building relationships.
“We hire great people who have built relationships with community members through the years,” says Mark “Doc” Holt, president and CEO of First Farmers Bank & Trust.
Over the last 30 years the bank has been most successful when they have found a key leader in their respective communities and brought that person under the First Farmers umbrella, then built the operation, both literally and figuratively, around that person.
“That’s been the sweet spot,” Powell says. “Finding a key individual who understands, is committed to, and is tied into a community.”
The leadership team and board listens to and learns about the community through the activity and involvement, rather than taking a structure from a corporate office model and applying it to a market that’s an hour or two away. When First Farmers decided to open a new branch in Lebanon, they chose a local leader with the addition of Rick Isenhower, vice president, senior commercial and ag lender. He is steering the ship for the bank’s Boone County operations and growth, and he’s just the man for it, as he is very visible in the community.
“We are fortunate that Rick joined us and allowed us the opportunity to expand into a city that fits well into our footprint,” says Holt.
Isenhower, who has been involved in different of agricultural and commercial aspects since 1986, is a staple in Boone County. He’s fourth generation on the same family farm.
“My mom and dad were pillars in the community, and they taught me and my sister how to be highly involved as well,” Isenhower says.
He’s on the board for Boone County Economic Development Corporation. He also works with school systems and at civic events, and is highly involved in the Boone County Chamber. Plus, he sits on the Boone County Extension board and has been heavily involved in 4-H programming all his life. His dad was a FFA member, and he is excited his youngest daughter is now a member of the Lebanon FFA.
“My mom and dad were in 4-H, I was in 4-H, and so are my daughters,” says Isenhower, who has a genuine love of people.
“We are all about building a customer base one relationship at a time, nurturing those one-on-one relationships with our clients,” says Isenhower, who maintains that 100% of his clients on the loan side, whether ag, commercial, or mom-and-pop businesses, have become his good friends.
“We like giving back to communities,” says Holt. “We want to help communities grow and be a part of that story.”
First Farmers is taking over the Grains to Grants program, through which folks can donate grain and/or cash. The bank recently signed the papers on this investment in a fund called First Farmers Fund for the Future of Boone County.
“We’ve pledged money to it, others have already pledged money through the Community Foundation of Boone County, and it’s going to be matched by Lilly Endowment,” says Isenhower, who is grateful to his phenomenal banking team.
“At First Farmers Bank & Trust, we all work in our perspective specialties and as a team to wrap our arms around the needs of the client and deliver over and above their expectations, and we are so excited for our new Lebanon branch,” he says.
The bank also recently signed an agreement to be the official banking partner of the nearby Indy Fuel, the Fishers Freight, and the Fishers Event Center.
First Farmers Bank & Trust’s newest branch in Lebanon will be located at 1511 West South Street in Lebanon.
