ChoiceOne Financial Services, Inc. (COFS): Business Model Canvas [Jan-2025 Mis à jour]

Dans le paysage dynamique de la banque communautaire, ChoiceOne Financial Services, Inc. (COFS) apparaît comme une puissance stratégique, tissant ensemble des solutions financières innovantes et une expertise localisée. Cette toile complète du modèle commercial dévoile comment les COF transforment les paradigmes bancaires traditionnels, tirant parti personnalisé Service, infrastructure numérique de pointe et connexions communautaires profondes pour offrir une valeur exceptionnelle sur plusieurs segments de clients. Des petites entreprises aux clients bancaires individuels, la COFS élabore une approche unique qui transcende les offres financières conventionnelles, créant un récit convaincant d'autonomisation financière et de croissance stratégique.

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: partenariats clés

Réseaux bancaires locaux et régionaux

En 2024, ChoiceOne Financial Services maintient des partenariats avec les réseaux bancaires locaux et régionaux suivants:

Partenaire de réseau	Type de collaboration	Zone de couverture
Association bancaire du Michigan	Services financiers collaboratifs	État du Michigan
Réseau financier de West Michigan	Coopération bancaire régionale	Région de l'ouest du Michigan

Institutions financières communautaires

ChoiceOne Financial Services collabore avec les institutions financières communautaires grâce à des partenariats stratégiques:

• Cornerstone Community Financial
• Alliance locale de crédits
• Réseau de banque communautaire du Michigan

Fournisseurs de services technologiques

Les partenariats technologiques clés comprennent:

Fournisseur de technologie	Type de service	Valeur du contrat annuel
Jack Henry & Associés	Solutions de logiciels bancaires	1,2 million de dollars
Fiserv, Inc.	Plateformes bancaires numériques	$850,000

Partenaires d'assurance et d'investissement

ChoiceOne Financial Services maintient des partenariats avec:

• Compagnie d'assurance des propriétaires automobiles
• Assurance agricole d'État
• Services financiers Raymond James

Consultants en conformité réglementaire

Détails du partenariat de conformité:

Cabinet de conseil	Focus de la conformité	Valeur d'engagement annuelle
Baker Tilly	Conformité réglementaire financière	$475,000
Kpmg	Conseil de gestion des risques	$325,000

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: activités clés

Services bancaires commerciaux et grand public

Au quatrième trimestre 2023, ChoiceOne Financial Services a déclaré un actif total de 1,38 milliard de dollars. La banque exploite 26 centres bancaires à travers le Michigan.

Catégorie de service bancaire	Volume total (2023)
Portefeuille de prêts commerciaux	638,4 millions de dollars
Portefeuille de prêts à la consommation	412,6 millions de dollars
Dépôts totaux	1,21 milliard de dollars

Prêts hypothécaires et origine

En 2023, ChoiceOne Financial a créé 187,3 millions de dollars en prêts hypothécaires.

• Volume d'origine hypothécaire résidentiel: 142,5 millions de dollars
• Prêts hypothécaires commerciaux: 44,8 millions de dollars

Gestion des produits de dépôt et d'investissement

Type de produit	Solde total (2023)
Comptes chèques	412,7 millions de dollars
Comptes d'épargne	276,5 millions de dollars
Comptes de marché monétaire	189,3 millions de dollars

Développement de la plate-forme bancaire numérique

Transactions bancaires numériques en 2023: 3,2 millions de transactions totales.

• Utilisateurs de la banque mobile: 42 600
• Utilisateurs bancaires en ligne: 58 300

Gestion des risques et avis financier

Marge d'intérêt net pour 2023: 3,45%

Métrique de gestion des risques	Valeur
Ratio de prêts non performants	0.87%
Réserves de perte de prêt	15,6 millions de dollars
Ratio d'adéquation des capitaux	12.3%

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: Ressources clés

Réseau de succursales au Michigan

Au 31 décembre 2023, ChoiceOne Financial Services, Inc. opère 26 bureaux bancaires Situé principalement dans les comtés de Kent, d'Ottawa et d'Ionia dans le Michigan.

Comté	Nombre de branches
Comté de Kent	12
Comté d'Ottawa	9
Comté d'Ionia	5

Équipe de gestion financière expérimentée

L'équipe de direction est composée de 7 membres de la haute direction avec un mandat moyen de 15 ans dans les services bancaires et financiers.

• Dennis Klipa - Président et chef de la direction
• Michael Tercek - directeur financier
• Mark Mikkelsen - directeur des prêts

Infrastructure bancaire numérique robuste

Les investissements totaux de plateforme bancaire numérique pour 2023 étaient 1,2 million de dollars, Soutenir les services bancaires en ligne et mobiles.

Service numérique	Utilisateurs actifs
Banque en ligne	31,500
Banque mobile	22,700

Solides réserves de capital et de liquidité

Depuis le quatrième trimestre de l'information financière:

• Actif total: 1,46 milliard de dollars
• Équité totale: 146,7 millions de dollars
• Ratio de capital de niveau 1: 13,42%
• Ratio de couverture de liquidité: 185%

Systèmes de gestion de la relation client

L'investissement dans la technologie CRM pour 2023 était $450,000, Soutenir une gestion complète des données des clients et des expériences bancaires personnalisées.

Métrique CRM	Valeur
Comptes clients totaux	54,300
Taux de rétention de la clientèle	87.5%

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: propositions de valeur

Expérience bancaire communautaire personnalisée

Au quatrième trimestre 2023, ChoiceOne Financial Services, Inc. dessert 13 comtés du Michigan avec un actif total de 1,47 milliard de dollars. La banque maintient 33 centres bancaires dans la région.

Métrique bancaire	Valeur 2023
Actif total	1,47 milliard de dollars
Nombre de centres bancaires	33
Les comtés servis	13

Solutions financières complètes pour les entreprises locales

ChoiceOne fournit des services financiers ciblés pour les petites et moyennes entreprises.

• Portfolio de prêt commercial: 386,2 millions de dollars
• Taux d'approbation des prêts aux petites entreprises: 78%
• Taille moyenne des prêts commerciaux: 247 500 $

Taux d'intérêt concurrentiels et produits bancaires

Produit	Taux d'intérêt
Compte d'épargne personnelle	0.45%
CD de 12 mois	4.25%
Vérification des affaires	1.10%

Canaux bancaires numériques et physiques pratiques

Mesures bancaires numériques à partir de 2023:

• Utilisateurs de la banque mobile: 42 500
• Pénétration des services bancaires en ligne: 68%
• Volume de transaction numérique: 2,3 millions par trimestre

Prise de décision locale et service basé sur les relations

Statistiques locales de prêt et de prise de décision:

• Décisions de prêt local: 92% dans la région de service
• Durée moyenne de la relation client: 7,6 ans
• Employés locaux: 312

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: relations avec les clients

Gestion des relations bancaires personnelles

En 2024, ChoiceOne Financial Services maintient 44 emplacements bancaires à travers le Michigan, avec une clientèle d'environ 37 000 clients bancaires personnels et commerciaux.

Segment de clientèle	Nombre de clients	Solde moyen du compte
Banque personnelle	28,500	$24,375
Banque d'affaires	8,500	$157,600

Assistance bancaire en ligne et mobile

Les mesures bancaires numériques pour les services financiers ChoiceOne révèlent:

• Utilisateurs de la banque mobile: 22 500
• Utilisateurs bancaires en ligne: 31 200
• Volume de transactions numériques: 1,2 million de transactions mensuelles

Engagement communautaire et événements locaux

Statistiques d'interaction communautaire pour 2024:

Type d'événement	Nombre d'événements	Participants à la communauté
Ateliers de littératie financière	36	1,450
Réseautage d'entreprises locales	24	980

Représentants dédiés au service à la clientèle

Infrastructure de service client:

• Personnel total du service à la clientèle: 85
• Temps de réponse moyen: 3,2 minutes
• Évaluation de satisfaction du client: 4.6 / 5

Consultation financière personnalisée

Métriques du service de consultation:

Type de consultation	Volume annuel	Durée moyenne
Planification financière personnelle	2,750	75 minutes
Stratégie financière d'entreprise	620	120 minutes

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: canaux

Emplacements de branche physiques

Depuis 2024, ChoiceOne Financial Services exploite 26 succursales physiques à travers le Michigan. Le réseau de succursales couvre 5 comtés avec un total de 78 membres du personnel bancaire à temps plein desservant les communautés locales.

Type de succursale	Nombre d'emplacements	Les comtés servis
Branches à service complet	22	Newaygo, Mecosta, Ottawa
Succursales de service limitées	4	Kent, Muskegon

Plateforme bancaire en ligne

ChoiceOne Financial Services fournit une plate-forme bancaire en ligne complète avec les fonctionnalités suivantes:

• Suivi du solde du compte
• Historique des transactions
• Services de paiement de factures
• Transferts de fonds
• Dispositions électroniques

Base d'utilisateurs de plate-forme en ligne: 18 750 utilisateurs actifs au Q4 2023.

Application bancaire mobile

Statistiques d'application des banques mobiles pour 2024:

Métrique	Valeur
Téléchargements totaux d'applications mobiles	12,345
Utilisateurs actifs mensuels	8, représentant 976
Volume de dépôt de chèque mobile	14,2 millions de dollars par trimestre

Réseau ATM

Les services financiers de ChoiceOne maintient:

• 17 emplacements ATM propriétaires
• Accès gratuit à plus de 30 000 distributeurs automatiques de billets réseau AllPoint
• Volume de transaction ATM mensuel moyen: 22 500
• Retraits totaux en espèces ATM: 8,6 millions de dollars par trimestre

Services bancaires téléphoniques

Métriques des canaux bancaires téléphoniques:

Catégorie de service	Interactions mensuelles
Informations sur le compte Renseignements	4,250
Assistance aux transactions	1,875
Appels de support client	3,100

Représentants totaux du service à la clientèle: 22

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: segments de clients

Petites et moyennes entreprises

Au quatrième trimestre 2023, ChoiceOne Financial Services sert environ 387 petites et moyennes entreprises du Michigan. Portfolio total de prêts commerciaux pour ce segment: 124,3 millions de dollars.

Caractéristiques du segment d'entreprise	Nombre de clients	Valeur totale du prêt
Commerces de détail	156	47,2 millions de dollars
Entreprises de services	129	38,6 millions de dollars
Entreprises manufacturières	102	38,5 millions de dollars

Résidents de la communauté locale

Clients bancaires personnels totaux: 22 413 au 31 décembre 2023. Solde moyen du compte de dépôt personnel: 17 642 $.

• Comptes de chèques personnels: 14 203
• Comptes d'épargne personnels: 8,210
• Âge du client moyen: 45,3 ans

Professionnels du secteur agricole

Portefeuille de prêts agricoles: 93,7 millions de dollars. Nombre de clients agricoles: 214.

Sous-secteur agricole	Nombre de clients	Valeur du portefeuille de prêts
Agriculture des cultures	87	42,6 millions de dollars
Élevage	64	31,2 millions de dollars
Agriculture laitière	63	19,9 millions de dollars

Clients bancaires de détail individuels

Total des clients de la banque de détail individuels: 16 829. Valeur totale de dépôt personnel: 287,4 millions de dollars.

• Clients de prêt personnel: 3 412
• Porte-cartes de crédit: 2 987
• Utilisateurs bancaires en ligne: 11 246

Clients commerciaux

Portfolio total de prêts commerciaux: 276,5 millions de dollars. Nombre de clients de prêts commerciaux: 512.

Catégorie de prêt commercial	Nombre de clients	Valeur totale du prêt
Prêts immobiliers	203	132,6 millions de dollars
Financement de l'équipement	156	84,3 millions de dollars
Prêts de fonds de roulement	153	59,6 millions de dollars

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: Structure des coûts

Succursale des dépenses opérationnelles

Depuis le rapport annuel de 2022, ChoiceOne Financial Services, Inc. a déclaré des dépenses opérationnelles totales de 6 784 000 $. La répartition de ces dépenses comprend:

Catégorie de dépenses	Montant ($)
Frais d'occupation	2,345,000
Services publics	412,000
Entretien	687,000
Équipement de succursale	1,340,000

Maintenance de la technologie et des infrastructures numériques

Les coûts d'infrastructure technologique pour 2022 ont totalisé 3 456 000 $, avec l'allocation suivante:

• Matériel informatique: 1 200 000 $
• Licence de logiciel: 892 000 $
• Systèmes de cybersécurité: 764 000 $
• Maintenance de plate-forme numérique: 600 000 $

Salaires et avantages sociaux des employés

La rémunération totale des employés pour 2022 était de 18 234 000 $, structurée comme suit:

Catégorie de compensation	Montant ($)
Salaires de base	13,456,000
Assurance maladie	2,345,000
Prestations de retraite	1,678,000	Bonus	755,000

Coûts de conformité réglementaire

Les dépenses de conformité réglementaire pour 2022 s'élevaient à 2 345 000 $, notamment:

• Coûts d'audit et de rapport: 876 000 $
• Services de conformité juridique: 654 000 $
• Dépenses de dépôt réglementaire: 415 000 $
• Formation en conformité: 400 000 $

Frais de marketing et d'acquisition des clients

Les dépenses de marketing pour 2022 ont totalisé 1 987 000 $, réparties:

Canal de marketing	Montant ($)
Marketing numérique	687,000
Impression et médias traditionnels	412,000
Commanditaires des événements communautaires	345,000
Programmes d'acquisition de clients	543,000

ChoiceOne Financial Services, Inc. (COFS) - Modèle d'entreprise: Strots de revenus

Intérêt des prêts

Au quatrième trimestre 2023, ChoiceOne Financial Services a déclaré un revenu total d'intérêts de 50,3 millions de dollars. La répartition du portefeuille de prêts comprend:

Catégorie de prêt	Solde total	Revenu d'intérêt
Prêts commerciaux	345,6 millions de dollars	22,1 millions de dollars
Prêts hypothécaires résidentiels	212,4 millions de dollars	15,7 millions de dollars
Prêts à la consommation	87,2 millions de dollars	6,5 millions de dollars

Frais de service bancaire

Les frais de service bancaire pour 2023 ont totalisé 8,7 millions de dollars, avec la structure des frais suivante:

• Frais de maintenance du compte: 3,2 millions de dollars
• Frais de transaction: 2,5 millions de dollars
• Frais de découvert: 1,6 million de dollars
• Frais de guichet automatique: 1,4 million de dollars

Commissions de produits d'investissement

Les commissions de produits d'investissement pour 2023 ont atteint 4,5 millions de dollars, réparties:

Produit d'investissement	Revenus de commission
Fonds communs de placement	1,8 million de dollars
Planification de la retraite	1,3 million de dollars
Gestion de la richesse	1,4 million de dollars

Frais d'origine hypothécaire

Les frais d'origine hypothécaire en 2023 ont totalisé 3,6 millions de dollars, la ventilation suivante:

• Originations hypothécaires résidentielles: 2,7 millions de dollars
• Originations hypothécaires commerciales: 900 000 $

Services de gestion du Trésor

Les services de gestion du Trésor ont généré 2,4 millions de dollars de revenus pour 2023, notamment:

Catégorie de service	Revenu
Gestion des espèces	1,1 million de dollars
Traitement des paiements	$800,000
Services marchands	$500,000

ChoiceOne Financial Services, Inc. (COFS) - Canvas Business Model: Value Propositions

You're looking at the core reasons clients choose ChoiceOne Financial Services, Inc. over other options. It boils down to a specific blend of local presence and broad capability.

ChoiceOne Financial Services, Inc. delivers full-service community banking with a local focus. This isn't a distant corporate entity; it's a Michigan-centric operation. The combined organization, post-merger, manages total assets exceeding $4 billion as of September 30, 2025. The physical footprint supports this local commitment, operating 56 offices across Michigan.

The value extends to comprehensive financial solutions: banking, wealth, insurance. ChoiceOne Bank provides the core services-time, savings, and demand deposits, alongside commercial and consumer loans. Furthermore, the firm offers investment products and insurance through its subsidiary, ChoiceOne Insurance Agencies, Inc..

You get personalized service combined with modern digital tools. This means the high-touch relationship you expect from a community bank is backed by modern infrastructure, such as the partnership to offer Metriciti, a commercial lending platform built for community banking.

A key differentiator is the strong asset quality. This is not just talk; the numbers back up prudent lending. The annualized net loan charge-offs to average loans stood at a very low 0.03% as of September 30, 2025. The nonperforming loans to total loans ratio was 0.69% at the same date.

For your more complex needs, ChoiceOne Financial Services, Inc. offers high-touch advisory for commercial and wealth clients. This advisory strength is supported by solid operational performance, with a GAAP Net Interest Margin reaching 3.73% in the third quarter of 2025. The firm posted net income of $14,681,000 for the third quarter of 2025, excluding merger-related items.

Here is a quick look at the financial metrics that underpin these value propositions as of late 2025:

Metric	Value (as of 9/30/2025)	Relevance to Value Proposition
Annualized Net Loan Charge-offs	0.03%	Strong Asset Quality
Total Assets	$4.3 billion	Scale of Community Focus
GAAP Net Interest Margin (Q3 2025)	3.73%	Financial Health/Service Offering Strength
Number of Offices	56	Local Focus/Reach
Nonperforming Loans/Total Loans	0.69%	Asset Quality

You can see the commitment to quality through the firm's capital position, with a total risk-based capital ratio of 12.8% as of September 30, 2025.

The value proposition is further supported by:

• Diluted Earnings Per Share (EPS) of $0.97 for Q3 2025.
• Efficiency Ratio improvement to 54.76% year-over-year in Q3 2025.
• Uninsured deposits at 33.2% of total deposits, with a liquidity backstop of approximately $1.2 billion in secured lines.
• Shareholders' equity totaled $431.8 million as of June 30, 2025.

Finance: draft 13-week cash view by Friday.

ChoiceOne Financial Services, Inc. (COFS) - Canvas Business Model: Customer Relationships

You're looking at how ChoiceOne Financial Services, Inc. (COFS) connects with and keeps its customers, especially after the big March 1, 2025, merger with Fentura Financial, Inc. The core of their approach is maintaining that community bank feel, even as they've grown to control total consolidated deposits of approximately $\text{3.6 billion}$ in Michigan as of September 30, 2025.

Dedicated relationship management for commercial clients.

ChoiceOne Financial Services, Inc. continues to emphasize full relationship banking, focusing heavily on local commercial clients. They pair modern technology, like their Treasury Management program offering cash management and fraud prevention, with personalized service tailored to each business. This focus is key to retaining and growing their commercial loan book, which saw core loans grow organically by $\text{40.1 million}$ or $\text{10.6%}$ on an annualized basis in the first quarter of 2025.

Here's a quick look at the scale of their commercial and retail relationship footprint as of late 2025:

Metric	Value as of Late 2025	Context/Date Reference
Total Offices (Post-Merger)	56	As of March 2025 consolidation
Total Assets (Post-Merger)	$\text{4.3 billion}$	As of September 30, 2025
Michigan Deposit Rank (Post-Merger)	$\text{11th}$ largest	As of September 30, 2025
Customer Service Charges (9 Months)	$\text{4,311}$	Nine months ended September 30, 2025

Community-focused, high-touch service model.

The high-touch model is deeply rooted in the heritage they brought into the combined entity-both ChoiceOne Bank and the acquired State Bank were $\text{126-year-old}$ community banks dedicated to community engagement. This translates to a service style where you likely deal with familiar faces. The merger itself added significant scale, but management has been focused on leveraging operational efficiencies while maintaining this local commitment across their expanded network in West, Central, and Southeast Michigan.

Multi-channel support: in-person, online, and video meetings.

While the emphasis remains on the personal touch, ChoiceOne Financial Services, Inc. uses technology-driven platforms to enhance efficiency and the banking experience. The $\text{56}$ offices provide the in-person channel, and the bank offers a range of financial services, implying standard online and mobile banking access for day-to-day transactions. The commitment to personalized service suggests that for complex needs, you can expect access to bankers for scheduled online or video meetings, though specific adoption metrics for video meetings aren't publically available. Still, the goal is to deliver an improved banking experience for clientele.

Trust-based advisory for wealth and estate planning.

For clients needing more specialized services, ChoiceOne Financial Services, Inc. has a wealth management division. This division delivers investment advisory, trust, and estate planning services. The success of integrating new relationships is evident in the financial results; for instance, trust income increased as a result of higher estate settlement fees and customers obtained through the March 2025 Merger. This indicates that the advisory services are actively being utilized by the newly combined customer base, building that trust-based relationship in high-value areas.

You should track the organic growth in deposits, which was $\text{48.7 million}$ in Q1 2025, as a direct indicator of new, non-merger-related customer acquisition success.

Finance: draft a 13-week cash view by Friday.

ChoiceOne Financial Services, Inc. (COFS) - Canvas Business Model: Channels

You're looking at how ChoiceOne Financial Services, Inc. (COFS) connects its value proposition to its customers as of late 2025, post-merger with Fentura. The channels are a mix of traditional physical presence and modern digital access, all anchored in Michigan.

The primary physical touchpoint is the expanded branch network, which solidified after the March 2025 consolidation. ChoiceOne Financial Services, Inc. now operates a 56 office footprint across West, Central, and Southeast Michigan. This scale is a direct result of the merger, moving the company to approximately $4.3 billion in assets. The combined entity is now the third largest publicly traded bank holding company headquartered in Michigan based on asset size.

The physical network is supported by specialized, non-branch sales/lending locations and self-service technology:

• - Physical branch network of 56 offices.
• - Loan Production Offices (LPOs).
• - Automated Teller Machines (ATMs).

Before the merger, ChoiceOne Bank operated 3 loan production offices, and The State Bank operated 1 loan production center. The combined entity's total physical footprint is now reported as 56 offices, which encompasses the branch network.

For self-service and digital access, ChoiceOne Financial Services, Inc. relies on its established digital infrastructure. This includes:

• - Online and mobile banking platforms.

The digital capabilities are also leveraged through its wealth management channel, which recently transitioned its service provider. This channel is now branded as ChoiceOne Wealth Management, operating as a financial advisory practice under Ameriprise Financial Services, LLC, following a transition from Osaic Institutions, Inc. in August 2025.

Here are the concrete numbers detailing the direct financial advisor channel:

Channel Component	Metric	Value
Advisors	Number of Financial Advisors	10
Support Staff	Number of Support Staff Members	2
Assets Under Management (AUM)	Approximate Assets Managed	$780 million

This Ameriprise partnership gives ChoiceOne clients access to services like personalized advice, financial planning, robust investment products, and digital capabilities for advisor interaction.

ChoiceOne Financial Services, Inc. (COFS) - Canvas Business Model: Customer Segments

You're looking at the customer base for ChoiceOne Financial Services, Inc. following the major integration with Fentura Financial, Inc. and The State Bank, which closed in March 2025. The resulting entity, with total assets of $4.3 billion as of September 30, 2025, serves a mix of retail and commercial clients primarily across Michigan.

The core of the business model relies on attracting and deploying deposits from these segments. Total deposits, excluding brokered deposits, grew by $1.3 billion year-over-year as of September 30, 2025, largely due to the merger. A significant portion of this funding base, $1.2 billion, represented uninsured deposits as of that date, making deposit retention a key focus.

The loan portfolio, which includes $1.4 billion acquired in the merger, is structured to serve these distinct customer groups. The overall loan-to-deposit ratio stood at 80.21% at March 31, 2025, showing how the acquired deposits are being put to work. Organic core loan growth over the twelve months ending September 30, 2025, was $65.3 million, representing a 4.5% increase, though Q3 2025 saw a slight contraction of $10.3M in core loans.

Here is a breakdown of how the customer segments map to the business activities and associated financial metrics:

Customer Segment	Primary Service/Loan Type Reference	Relevant Financial Metric (as of late 2025)
Individuals and families (consumer banking/mortgages)	Consumer loans including residential real property purchasers.	Organic core loan growth was $65.3 million over the twelve months ending September 30, 2025.
Small and medium-sized businesses (SMEs)	Commercial lending products: business, industry, and inventory loans.	Loan interest income increased by $11.9 million in Q1 2025 compared to Q1 2024.
Agricultural enterprises in rural Michigan	Agricultural loans.	The bank is based in Michigan, serving the local economy including this sector.
High-net-worth individuals (wealth and trust services)	Wealth and trust services offered.	The company offers investment products.
Commercial real estate investors and developers	Commercial real estate loans (non-owner occupied).	Commercial Real Estate (CRE)/non-owner occupied loans represented 280.0% of total capital as of Q3 2025.

The business actively manages its funding mix, which directly relates to the consumer and business deposit base. The cost of funds improved to 1.77% in Q3 2025. You should note the composition of the loan book, as the acquired loans from the merger are still being accounted for; 0.39% of total loans as of September 30, 2025, were Purchased Credit Deteriorated (PCD) loans.

The bank's operational focus is clearly on integrating the expanded franchise across Michigan. The successful merger added approximately $1.4 billion in loans and $1.4 billion in deposits. This scale is what supports the current lending appetite across these customer groups.

• Organic core loan growth in the twelve months ended March 31, 2025, was $157.3 million (11.3%).
• The allowance for credit losses to total loans ratio was 1.19% on June 30, 2025.
• The company reported diluted EPS of $0.97 for Q3 2025.

Finance: draft 13-week cash view by Friday.

ChoiceOne Financial Services, Inc. (COFS) - Canvas Business Model: Cost Structure

You're looking at the cost side of ChoiceOne Financial Services, Inc. post-merger, which is heavily influenced by integrating the Fentura operations. The cost structure is dominated by funding costs and the one-time cleanup from the March 1, 2025, acquisition.

The primary cost driver remains the interest paid to depositors and wholesale lenders. For the three months ending September 30, 2025, the annualized cost of funds settled at 1.77%. This is a slight improvement from the annualized cost of funds of 1.84% seen in the second quarter of 2025. To be fair, the cost of deposits is structurally higher post-merger, as the annualized cost of deposits to average total deposits increased by 9 basis points from June 30, 2024, to June 30, 2025. On the wholesale side, interest expense on borrowings for the three months ended June 30, 2025, actually declined by $536,000 compared to the same period in 2024, showing some success in managing that funding source.

Personnel and infrastructure costs are now spread across a larger footprint. ChoiceOne Financial Services, Inc. operates 56 offices across West, Central, and Southeast Michigan. While we don't have the exact 2025 personnel expense figure, the overall cost management efficiency is reflected in the operational leverage achieved.

The merger created a significant, but largely contained, expense spike. Merger-related expenses, net of taxes, totaled $13.9 million for the nine months ended September 30, 2025. Management has stated they do not anticipate additional material merger expenses going forward, which is a key signal for cost normalization. This one-time cost is separate from the ongoing regulatory environment, which includes FDIC insurance costs, though a specific 2025 figure for that line item isn't isolated here.

Here's a quick look at how costs are being managed relative to revenue, using the efficiency ratio as a key indicator:

Cost Metric / Period End	Value	Context
Merger-Related Expenses (Net of Taxes) - 9M 2025	$13.9 million	For the nine months ended September 30, 2025.
Cost of Funds (Annualized) - Q3 2025	1.77%	Three months ended September 30, 2025.
Efficiency Ratio - Q3 2025	54.76%	Improved from 60.80% in Q3 2024.
Branch Locations	56	Total offices post-merger.
Interest Expense on Borrowings Change - Q2 2025 vs Q2 2024	-$536,000	Decline for the three months ended June 30, 2025.

The technology and infrastructure investment is baked into the overall noninterest expense, which increased by $44.0 million for the nine months ended September 30, 2025, compared to the same period in 2024, with the merger expenses being the primary driver of that increase.

You should watch the trend in deposit costs closely, as the shift in funding mix is a constant pressure point. For instance, in Q3 2025, noninterest-bearing deposits declined quarter-over-quarter, while interest-bearing demand deposits increased by $73.4 million.

• Personnel Cost Component: Tied to 56 offices.
• Technology Investment: Not separately quantified in public filings for 2025.
• Regulatory/FDIC Costs: Included in the overall Noninterest Expense base.
• Core Deposit Intangible Expense (March 2025): $470,000 for the month of March 2025.

Finance: draft 13-week cash view by Friday.

ChoiceOne Financial Services, Inc. (COFS) - Canvas Business Model: Revenue Streams

You're looking at how ChoiceOne Financial Services, Inc. (COFS) brings in the money, and honestly, it's what you'd expect from a bank that just completed a major merger. The biggest driver, by far, is the interest they earn on their assets, which is Net Interest Income (NII). This is the core engine. The growth here is significant, largely due to the assets acquired in the March 1, 2025, merger.

Here's a quick look at the key revenue pieces for the third quarter of 2025, which really shows where the money is coming from right now:

Revenue Component (Q3 2025)	Amount	Context/Source
Total Reported Revenue	$44.74 million	For the quarter ended September 2025
Net Interest Income (NII)	$37.6 million	GAAP NII for Q3 2025
Noninterest Income (Increase Y/Y)	$2.3 million	Increase for the three months ended September 30, 2025

Net Interest Income from loans was reported at $37.6 million for the third quarter of 2025, a big jump from $20.2 million in Q3 2024. A part of that NII story includes accretion income from purchased loans, which added about $3.6 million to loan interest income in that quarter alone. Also, the GAAP Net Interest Margin (NIM) expanded to 3.73% in Q3 2025, up from 3.17% the year prior.

Noninterest income is the second bucket, and it saw a year-over-year increase of $2.3 million for the three months ending September 30, 2025. This fee-based revenue stream is made up of several things, like interchange income from card volume and service fees. You should keep an eye on the components that make up this stream:

• Interchange income, driven by increased volume post-merger.
• Credit and debit card fees, which rose due to increased volume.
• Loan origination and mortgage servicing fees (implied component).

Wealth management and trust fees contribute as well. While the latest AUM figure I have for your model is $780M, trust income specifically increased due to higher estate settlement fees and new customers brought in by the Merger. This is a steady, relationship-based revenue stream that complements the core lending business. To be defintely clear, the actual AUM figure as of late 2025 should be verified against the latest 10-Q, but we are using the $780M figure you provided for this canvas section.

Finally, insurance commissions from ChoiceOne Insurance Agencies are part of the noninterest income mix, though specific commission dollar amounts aren't broken out separately in the high-level summaries. These agency commissions, along with loan fees, provide diversification away from pure interest rate risk. Finance: draft the Q4 2025 revenue projection based on the Q3 run-rate by Monday.