Which came first? The chicken or the egg … or the banker?
Alaso USA manufactures equipment for the poultry and egg industry in Lakeland, Florida. And partners Luis Delgado and Vincenzo Marconi are passionate when it comes to their success.
“It’s the only thing I’ve ever done,” Marconi laughed, “It started as my father’s business. And today we create everything here, including design and manufacturing. That only comes from a love for the business.”
Meanwhile, Delgado plays a valuable part as well, ensuring operations run smoothly and Alaso USA’s sales keep climbing upward.
Together, the two partners share big dreams for expanding sales and geographic reach. However, growth meant needing to shore up cash flow, as well as overhauling the company’s existing debt.
That required more than chicken feed. As well as a bank not cooped up by traditional thinking.
As Marconi puts it, “Banking is a relationship with people. When the relationship isn’t there, when people are not responding, it’s not good.”
Regions SBA Lending: Making the Difference
Enter Ivonne Alvarez, Regions SBA Lending Specialist. Working in partnership with Chuck Youngerman, Regions Trade Finance Relationship Manager, the two rolled up their sleeves. Learning both Alaso USA’s business and its objectives inside and out, they hatched a long-term strategy for the company’s growth.
“Regions first pitched our business in 2021,” Marconi offered. “Yet, even though we went a different direction at the time, Ivonne stayed in touch.”
Staying connected for Alvarez meant more than just an occasional email or phone call. Instead, she continued to think deeply about how to put Alaso USA squarely on the path towards stronger growth.
“We were disappointed in 2021 when Alaso choose an export working capital opportunity with another bank,” Alvarez pointed out, “But we kept our conversation going, always following up with new ideas and solutions.”
One of those solutions is found in the financial tools Regions provides to make exporting easier. Always a complex process, exporting requires coordinating several specialized products and financial services in perfect synchronization. The kind of coordination where Alaso USA’s previous lender came up short.
“We knew that the client’s export efforts needed to work better,” said Alvarez. “Yet the other lender simply didn’t have the platform — export working capital, global trade financing and commercial services — to help Alaso meet its goals.”
So, when Delgado and Marconi called Regions, Alvarez, Youngerman and the rest of the Regions SBA team flew into action.
Alaso USA was recently honored by John M. Turner, Regions CEO, at a recent small business lunch in Tampa. From L to R: Paola Elias, VP, commercial Relationship Manager; Luis Delgado, Alaso USA; John Turner; Vincenzo Marconi, Alaso USA.
More than Lending: Solutions
Regions began with a close look at Alaso USA’s financials. They quickly realized how reconfiguring the company’s loans could make an enormous difference in cash flow.
“We wanted to see the totality of what Luis and Enzo were doing,” Alvarez added, “not just their existing line of credit. We looked at Alaso’s entire business from top to bottom. As a result, we found real world answers to solve many of their challenges.”
According to Delgado, Alvarez was as dedicated to the business’ success as they were.
We looked at Alaso’s entire business from top to bottom. As a result, we found real world answers to solve many of their challenges.
“Ivonne was really proactive,” Delgado said. “She worked closely with us and asked about our cash flow. The previous July, we had a big project and needed to refinance large pieces of equipment to reduce our monthly payments and improve cash flow. So, to fix that, she came back to us with several options and competitive interest rates.”
To Alvarez, the key to success required being fully conversant in every aspect of the client’s operations. Working hand in hand with Youngerman and Paola Elias, Commercial Relationship Manager, the team began developing a tailor-made solution.
“Once we clearly understood Alaso’s overall business priorities,” Alvarez said, “we offered an export working capital LOC and 504 SBA loan to refinance existing equipment as well as their owner occupied commercial real estate solutions to help their cash flow and working capital. That move alone saved our client close to $210,000 a year. Then those resulting savings could be deployed for other purposes.”
Those initial monthly savings went to pay off other, smaller equipment debt also weighing on the company books.
The result? Cumulative savings snowballed over time to $60,000 a month.
And that’s the kind of nest egg that fuels real growth.
Now? Free Range Growth Ahead
When Delgado and Marconi sought a banker with a shared passion for growing the business, they played for keeps.
“For our equipment refinance, Ivonne found a very good interest rate,” Delgado said. “It was really a result of her diligence. As a result, 90 percent of our operation is now with Regions.”
What’s more, the relationship is getting deeper with time. As one example, Regions isn’t just providing financial solutions to Alaso USA, but to their customers as well.
“When a poultry farm buys our equipment, they often must finance the purchase. Regions’ team is helping us start a relationship with Ascentium Capital (A division of Regions Bank) when it comes to our customers’ equipment purchases.”
That’s what can happen when a banker invests time and energy knowing the client. And, when it comes to a shared passion for success, Alaso USA and the Regions SBA team are truly birds of a feather.