Lumi Finance Review
|Amount||$5,000 – $200,000 (Unsecured up to $100,00)|
|Loan Term||3 months – 18 months|
|Requirements||Trading for at least 6 months|
|Turnover greater than $50,000 annually|
|ABN:||47 154 775 667|
|Credit License:||75 627 897 625|
|Response||2h for approval.|
|Documents:||Driving License Number|
|Business Bank Account Number – either integrate automatically online or send PDF bank statements|
|Minimal Interest Rates:||2.5% establishment fee.|
|The Lumi online loan calculator, suggests a weekly repayment of $2,344 on a $100,000 loan over 12 months. By our calculations $21,388 paid back over 52 weeks in addition to the principal amount of $100,000 originally received from Lumi.|
|General Feedback from Clients Online:||Since Lumi only came into inception in 2018 there is only a moderate amount of Lumi Australia reviews but they are all highly positive. Lumi reviews mention the absolute ease and speed to receiving a loan.|
|Awards and Recognition:||None|
Editorial Lumi Australia Review Summary:
Lumi, although relatively new to the market, unlike giants like Capify or Prospa, has received incredibly positive reviews to date. Established in August 2018, Lumi has already made a name for itself in the small business loan sector thanks to the fast and efficient service it prides itself on. The two hour response time is amongst the fastest, if not the fastest, in the online lending industry. Customers so far are unanimously happy with the short turnaround time to get their loan approved and funds in the account.
Submit an Expedited Application to Lumi through Become using the link below.
Credibility & Company Story
In Detail: How Lumi Started
Lumi is new to the online lending scene in Australia for small businesses. But that doesn’t mean the company comes without experience. Lumi was founded in 2018 by its CEO Yanir Yakutiel, the previous founder of the fintech and small business lender Sail Funding. Along with Yanir another 13 team members of Sail have also moved to Lumi. Having generated quite a big buzz in the Australian market for Sail, Yanir has raised even more funding for the ambitious Lumi.
In its first funding round Lumi raised an impressive $31.5m. With $25m funded as debt and provided by the specialist credit investment firm Arbel Fund, based in Israel. The other $6.5m raised as equity, sourced by Australian investors including the Josh Liberman Investment Group and VC firm The Seed.
Lumi’s CEO Yanir Yakutiel has his sights focused on specific Australian industries that he believes require easier access to finance. “We saw a real opportunity for Lumi to carve out a niche in the Australian small business space, particularly among hospitality, retail and professional services sectors, by building an innovative fintech platform that is solving the fundamental challenges in alternative lending: access and speed”.
Shortly after its first funding round, Lumi raised an additional $8m in funding through equity in 2019. Impressively, most of this additional funding came from existing equity holders increasing their support, with only a small percentage actually from new investors. There is no shortage of ambition in the firm with Lumi looking to increase its loan issuance to small businesses by up to $40m a month and double the size of its staff over a one year period. The ultimate aim, to reach the number two spot in the small business online lending market behind Prospa, and a potential IPO.
Headquartered in Sydney, as of October 2019, Lumi employs up to 50 people.
What Finance Options Do Lumi Offer?
Lumi Finance offers unsecured business loans up to $200,000. They don’t overcomplicate things with a variety of lending solutions, just straight-forward business loans designed to be both simple and transparent for its clients. No guesswork and no hassle, just an injection of cash when your business needs it.
Lumi base their interest on the amount of the loan and the time period with which you borrow.
Lumi Client Reviews
- TrustPilot Australia: : 59 Reviews, 93% Excellent, 7% Great, 0% Bad – TrustScore 4.7 / 5.
As absolutely all of the feedback was resoundingly positive about the new startup Lumi, we have taken just some of the great feedback outlined:
As it stands there are no negative reviews of Lumi.
Analysis of Client Reviews
Although Lumi is relatively new to the lending market, the Lumi reviews are very positive, with almost all clients rating them as excellent and no negative reviews received to date.
The positive reviews all have one common theme. Lumi’s service is flexible, efficient and fast. And all of this is backed up by excellent customer service. Some borrowers have even stated in their reviews that they switched lenders to Lumi and haven’t looked back since.
One of Lumi Finance’s reviews marked as ‘great’ states that they believe their interest rate to be a little high. However none of the other reviews mention this and with interest obviously being calculated on an individual and case-by-base basis, customers should ensure they’re entirely happy with the rate prior to agreeing to the loan. From what we can see there’s nothing to suggest Lumi’s rates are above the norm in this sector and they’ll often lend to companies the banks are not prepared to.
Overall, it’s evident clients love the service provided by Lumi. The efficiency of the company and ease in working with Lumi coming through strongly in every review.
Lumi’s Online Platform
Lumi’s website, Lumi.com.au, backs up its company values and what it’s trying to achieve with its funding process. Slick, straightforward and simple. Users can easily understand the requirements to apply, what solutions Lumi offer and get started with their loan application in no time.
If you delve a little deeper you can also find more information providing clear advice on the differences between secured and unsecured loans as well as an online repayment calculator, so users can get an indication on their repayment schedule. All further vouching for its transparency.
Lumi Loan Compatibility
- Startup: Not immediate but Lumi only requires that you’ve been trading for 6 months, better than the industry average.
- Bad credit: Lumi will take all applications into consideration.
- Sole trader: Yes, Lumi works with sole traders.
- Established business: Yes, Lumi accepts established businesses.
- Turnover: Lumi requires at least $50,000/year turnover.
Lumi’s minimum requirements are some of the fairest in the industry. With a lower time in business and lower annual turnover required than the majority of other online lenders. The only drawback to their compatibility is the fact they only offer straightforward business loans so they may not be relevant for businesses looking to review a variety of lending solutions. However for businesses looking for a simple and hassle-free business loan, Lumi is perfect.
Lumi Review Summary
Credibility - 88%
Client Reviews - 87%
Website - 90%
Compatibility - 90%
Lumi is new to the Australian online lending scene but supported by a team with a strong pedigree in the online lending space. We usually like to see a long track record to vouch for a company’s credibility but similarly we can’t ignore the overwhelmingly positive reviews from its clients to date and its impressive support from both local and international investors.
Everything about Lumi is designed for simplicity, with the ultimate aim to save business owners time. There’s no doubt Lumi does that and we conclude Lumi is one of the most straightforward and easy to use lenders in Australia. Both smaller and well established businesses have a high approval rate.
We hope this Lumi review has helped you to understand the benefits of using Lumi as a lending provider, who the company is and ultimately help you decide whether to take a small business loan from Lumi. For any inaccuracies or more information you’d like to know please contact us.