Partnership between HELM do Brasil and Agrolend should generate more than R$50 million in financing for rural producers

HELM do Brasil and Agrolend signed a partnership to finance rural producers throughout the national territory with the potential to generate more than R$50 million in operations by next year, through Agrolend's digital platform that offers quick, easy and without bureaucracy, using the rural producer's CPF number, further boosting HELM do Brasil's business. The financing model is expected to serve more than 200 rural producers, including direct sales and sales from their distributors.

A survey carried out this year by the Confederation of Agriculture and Livestock in Brazil (CNA) with more than 4 thousand producers across the country showed that there are still many difficulties in accessing rural credit for a considerable portion of the sector, especially in family farming. Despite the accelerated contracting of more than R$190 billion in the first 10 months of the current Safra Plan (21/22), excessive bureaucracy continues to be an obstacle, allowing Agrolend to innovate in its credit model, bringing a new experience to rural producer in his credit taking.

Among the 4.336 respondents, 38% responded that they had never accessed any type of rural credit. Last year, 8,4% needed financing and tried to obtain resources from banks or cooperatives, but were unable to do so. The main difficulties highlighted were the excess of “paperwork” and bureaucracy, the guarantees required in operations, the delay in releasing credit and the lack of information.

In addition to direct sales, the partnership also intends to reach HELM do Brasil's indirect customers, so that the brand's distributor participates in sales to rural producers, as explained by HELM do Brasil's Head of Credit and Collections, Carlos Fernandes. According to him, the credit provided by Agrolend will finance the purchase of HELM products for producers of different crops and segments such as soybeans, corn, cotton, coffee, fruit and vegetables, etc.

Quality in credit analysis

With an application that plugs into the database of information providers, Agrolend makes an almost instantaneous assessment to grant the loan. The credit fintech already has a license from the Central Bank of Brazil (BCB) as a Direct Credit Society (SCD).

According to Carlos Fernandes, the credit quality analysis process is simple and practical. The farmer registers, in a process that lasts around 3 minutes, via cell phone through a link sent via WhatsApp and waits for the credit analysis within 3 business days. The process is the same for farmers who are customers of HELM or the distributor.

If the credit analysis, which is fully automated, is approved, the Rural Financial Product Certificate (CPRF) is sent for signature on the producer's WhatsApp. As there are no real guarantees in the CPRF, this process is 100% digital, fast and there is no need for registration with a notary. Subscription through the application is done in a modern way for Agro, similar to the process of opening accounts in urban digital banks. The average time between requesting a financial transaction and disbursing funds is up to 10 calendar days, a period faster than existing alternatives in the sector.

Carlos highlights that HELM do Brasil is constantly looking for new tools to enable sales that benefit customers. There are currently several financing programs in place, but none are as simple and easy as Agrolend's. “This model is extremely innovative. Credit is offered to rural producers in a much simpler and faster way, at a very adequate cost. It is a financial product that has a lot of growth potential. We are experiencing true innovation in the sector”, he assesses.

“The partnership with HELM is our first with a multinational of this size. HELM is a giant in the Agro sector, with a brand that is highly recognized among rural producers”, comments the co-founder of Agrolend, Andre Glezer. His brother, who is also co-founder of fintech, Alan Glezer, adds: “The partnership between Agrolend and HELM will help rural producers in Brazil to increase their productivity and profitability, using HELM's innovative products and Agrolend's hassle-free financing. ”.

For the Senior Vice-President Crop Protection Brazil, Mr. Sebastian Lüth, the partnership between the two companies brings interesting benefits especially for rural producers. “Innovation goes beyond products, it also includes services. In this way, the Agrolend tool will allow, in a simple, agile and practical way, access to credit so that the producer can be more competitive. In addition to direct sales, the possibility of indirect sales via HELM distributor brings us even closer to our partners. Expectations are great”, comments Lüth.