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Agriculture Finance & AccountsCase 08 of 10

Giving an agri-lending company a monthly view of its portfolio

A rural NBFC focused on farm loans

  • RegionMaharashtra & Karnataka
  • Scope40 branches, loan and collection data from two systems
  • Timeline10 weeks
  • MarketsIndia
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01

Industry overview

What is shaping agriculture

Agriculture supports a large share of rural livelihoods, and its buying decisions are made close to the soil: at the village dealer, the cooperative and the neighbouring lead farmer. Seasonality, weather and credit shape almost every choice a farmer makes.

  • Purchase decisions cluster in short pre-sowing windows
  • Trusted dealers and lead farmers carry more weight than advertising
  • Digital payments, agri-fintech and crop insurance are changing how farmers buy
02

Client background

A rural NBFC focused on farm loans, working in Maharashtra & Karnataka. Client identity is withheld to protect confidentiality.

Organisation
A rural NBFC focused on farm loans
Sector
Agriculture
Team engaged
Finance & Accounts
Services
MIS & financial reporting, Data analytics & dashboards, Virtual CFO services
03

Client challenge

Branch managers sent monthly reports in different spreadsheet formats, and the leadership team spent days reconciling them before board meetings. Seasonal repayment patterns made it hard to tell genuine stress from normal harvest-linked timing.

04

Research objectives

  • Deliver on the brief: giving an agri-lending company a monthly view of its portfolio.
  • Establish accurate, reconciled numbers management can rely on.
  • Put a reporting and compliance rhythm in place that runs on time.
05

Target audience

Scope: 40 branches, loan and collection data from two systems.

Audiences we typically reach in agriculture

Farmers and growersAgri-input dealersCooperatives and FPOsAgronomists and extension workersAgri-fintech users

06

Geographic coverage

Coverage: Maharashtra & Karnataka. Market: India. 40 branches covered.

  • India
07

Research methodology

A structured finance engagement: review the current process, set up controls, run the routine and report.

  1. 1Brief
  2. 2Finance process review
  3. 3Dashboard build
  4. 4Insight

Our finance team agreed standard definitions for disbursements, collections and overdue buckets, then built automated data feeds from the loan and accounting systems. The dashboard showed branch performance against seasonal norms, so a dip during sowing months was not mistaken for a problem.

MIS & financial reportingData analytics & dashboardsVirtual CFO services

08

Sampling strategy

  • Every ledger, entity and transaction stream in scope was covered, with sample-based checks during review.
09

Data collection

Discovery Plan & design Build / execute Test & refine Launch & handover Indicative split of the 10-week timeline.
  • Source documents, bank statements and ledgers were collected through a secure shared workspace.
10

Data quality & validation

  • Maker-checker review on all entries
  • Bank and ledger reconciliations
  • Client approval before every filing or report
  • Supporting documents kept for every figure
11

Data analysis

  • Variance analysis against budget and prior periods
  • Ratio and trend analysis
  • Cash-flow view for management
12

Key findings

  • Board reporting moved from a week of reconciliation to a standard monthly pack.
In agricultural finance, comparing performance against the crop calendar is essential to reading the numbers correctly.
13

Recommendations

  • Build on the core insight: in agricultural finance, comparing performance against the crop calendar is essential to reading the numbers correctly.
  • Keep the monthly routine and review exceptions with management every period.
14

Business impact

  • Management could see early warning signs by branch and crop region, and introduced targeted follow-ups where repayment stress appeared outside normal seasonal patterns.

Impact is described qualitatively.

15

Deliverables & next steps

  • Insight report and management presentation
  • Interactive dashboard
  • Monthly MIS pack and reconciled books
  • Compliance calendar and filings
  • Repeat the measure after changes are in place to track progress.
  • A natural follow-on question: how do credit and insurance shape adoption?

Client identity is withheld to protect confidentiality.

More agriculture case studies

  1. 01caseWhy farmers switched seed brands, and what it took to win them backA national seed company
  2. 02caseMeasuring what farmers really understand about crop insuranceA state agriculture department
  3. 03caseSizing the market for drone spraying services before a national launchAn agri-tech start-up expanding into South-East Asia
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