National Bankshares is a Virginia-based financial holding company that operates primarily through its subsidiary, National Bank of Blacksburg (doing business as National Bank), a community bank serving individuals, small and mid-sized businesses, non-profits, and local governments across southwest, western, and central Virginia through 28 banking locations. National Bank's core business is taking in deposits and lending that money out at higher rates — the spread between these two rates drives the majority of earnings. Loans are the primary revenue driver, with a focus on commercial and agricultural loans, commercial real estate, and residential real estate. The bank also offers trust, wealth management, and estate services, and a separate subsidiary offers investment products and insurance through third-party partners. National Bank's profitability depends on loan volume and mix, net interest margin, credit quality, and its ability to maintain a low-cost deposit base of checking and savings accounts. Non-interest expenses are primarily employee costs across the branch network. Historically rooted in rural southwest Virginia, National Bank has been expanding into larger central Virginia markets, including Roanoke, Charlottesville, Lynchburg, and surrounding areas. In June 2024, National Bank acquired Frontier Community Bank to accelerate this expansion. National Bank argues it competes by leveraging local relationships and market knowledge, particularly in small business and commercial lending, where local decision-making gives community banks an edge over larger regional and national competitors.