Luminating the engine of the Australian economy.
Who is Lumi?
At Lumi Finance, we’re passionate about supporting the growth of Australian SMEs. We provide working capital to businesses that are often neglected by major lenders — those with $10 million or less in annual revenue. With our flexible line of credit and term loans of up to four years, we’re excited to offer lending options ranging from $5,000–$500,000.
How are you different from other SME lenders?
Many of our friendly competitors trumpet the same things — approvals in as little as a few hours; minimal documentation; and tailored, risk-based pricing — and we’re no different. However, our key difference is that we don’t conduct a credit check upfront. Instead, we’re happy to provide brokers with an indicative approval before credit checks are necessary so they can discuss the options with their clients and continue to nurture the relationship they already have with them. With ATO debts now appearing on clients’ credit files, brokers are increasingly focused on avoiding multiple credit inquiries that ultimately don’t proceed.
How do you work with brokers?
Brokers are the lifeblood of our business! Working with brokers who have an innate understanding of their clients’ cash flow cycles, industry niches, and the issues keeping them up at night is what enables our sales and credit teams to rapidly assess loan applications. Brokers can sign up at lumi.com.au/partners and there is no better time than now, as we have recently launched our exclusive EOFY partner offers for Lumi partners and their clients. In addition to our traditional EOFY rewards for partners, qualifying clients could benefit from a business loan with no repayments for the first six weeks if they settle before 30 June 2023.
What’s the latest news at Lumi?
As a lender, we have been closely monitoring the local and global economy and adjusting our risk appetite accordingly. Our loan book is performing well and we have a strong appetite for all of our preferred industries. There are thousands of excellent Australian SMEs in need of working and growth capital that will emerge from this uncertain period stronger than ever.
What are your thoughts on the fintech lending space?
In Australia, lenders leveraging technology are increasingly commonplace and those with appropriate risk appetite and strong funding are well set to endure. At Lumi, we continue to have strong institutional backing to support our lending and count some of the most reputable financiers in the country as early-stage investors.
What are the typical loan sizes and terms?
We offer loans up to $500,000 for established businesses and up to $150,000 based on bank data alone. Our average loan size is around $70,000 and we can often approve loans of this size within a few hours. Funds are typically disbursed on the same day.
How easy/difficult is it to introduce Lumi’s services into a client conversation?
As I often say (I’m trying to freshen up my material, I promise!), if your client is well established, with strong credit, big revenue, with all their financials up to date and they’re not in a hurry for funding… take them to the bank. However, for most Australian SMEs they will fall short in at least one aspect, and that’s when you ask them what an injection of funds would do: would it enable them to hire more staff, buy more stock, upgrade their premises… in essence, can you alleviate their headaches?