Smartfinancial Inc. (NYSE: SMBK)

Smartfinancial Inc. operates as a bank holding company, primarily facilitating the operations of SmartBank, a Tennessee-chartered commercial bank. The company's core business activities revolve around providing a wide array of financial services, including attracting deposits from the general public and investing these funds in various loan and investment portfolios. Smartfinancial Inc. operates within the banking and financial services industry, focusing on both retail and commercial banking services. The company's strategic plan involves growing through organic loan and deposit growth, as well as disciplined merger and acquisition activities.

Smartfinancial Inc. generates revenue through interest and fees collected on loans and leases, fees collected on deposit accounts, and interest and dividends collected on other investments. The company's primary products and services include commercial loans, commercial and residential real estate loans, leases, consumer loans, and residential and commercial construction loans. SmartBank, the company's subsidiary, offers a full range of deposit accounts and services to both retail and commercial customers, including checking accounts, savings accounts, money market accounts, individual retirement accounts, and certificates of deposit. Additionally, Smartfinancial Inc. provides investment services through its wholly-owned subsidiary, Fountain Equipment Finance, LLC, which offers loans and leases for heavy equipment, semi-trucks, and trailers to small and medium-sized businesses throughout the Southeast.

• SmartBank: SmartBank is the primary subsidiary of Smartfinancial Inc., offering a comprehensive range of banking services. It attracts deposits from the general public and invests these funds in a diversified loan portfolio, including commercial loans, commercial and residential real estate loans, leases, consumer loans, and residential and commercial construction loans. SmartBank also invests in obligations of the U.S. Government, U.S. Government agencies, and various states and their political subdivisions. The bank operates 42 full-service bank branches and two loan production offices in select markets in East and Middle Tennessee, Alabama, Florida, and Georgia.

• Fountain Equipment Finance, LLC: This subsidiary of Smartfinancial Inc. specializes in providing loans and leases for heavy equipment, semi-trucks, and trailers to small and medium-sized businesses. It maintains offices in Knoxville, Atlanta, Memphis, Nashville, and Birmingham, catering to the equipment financing needs of businesses throughout the Southeast.

Smartfinancial Inc. competes in a highly competitive banking and financial services industry. Its profitability depends principally on its ability to effectively compete in the markets in which it conducts business. The company faces competition from both bank and non-bank competitors, including national banks, super-regional banks, smaller community banks, and non-traditional internet-based banks. Additionally, Smartfinancial Inc. competes with other financial intermediaries and investment alternatives such as mortgage companies, credit card issuers, leasing companies, personal and commercial finance companies, financial technology (fintech) companies, money market mutual funds, brokerage firms, governmental and corporation bond issuers, peer-to-peer lending businesses, crowdfunding, stablecoins, cryptocurrency exchanges, and other securities firms. The company's competitive advantages include its ability to provide a broad range of commercial and retail lending services, its diversified loan portfolio, and its strategic focus on organic growth and disciplined merger and acquisition activities.

Smartfinancial Inc. serves a diverse customer base, including individuals and businesses in its market areas. The company's customers include retail customers seeking personal banking services, as well as commercial customers requiring business loans, commercial real estate loans, and other financial services. Smartfinancial Inc. also caters to small and medium-sized businesses through its Fountain Equipment Finance, LLC subsidiary, providing them with essential financing for heavy equipment, semi-trucks, and trailers. The company's customer base spans multiple states, including Tennessee, Alabama, Florida, and Georgia, reflecting its regional focus and strategic expansion efforts.