Lumi provides unsecured business loans from $5,000 to $300,000 for Australian small and medium businesses. No property security is required, which makes the product accessible to businesses that do not own real estate. The application is done online, takes a few minutes, and uses bank statement data to assess the business's cash flow and repayment capacity.
Loan terms run from 3 to 24 months. Lumi structures repayments on a weekly or fortnightly basis. The pricing model uses a factor rate rather than an interest rate, meaning the total cost is calculated as a fixed amount at the start rather than accruing over time. This makes early repayment less beneficial from a cost perspective.
Lumi is best suited to businesses that need working capital, equipment, or short-term cash flow support and cannot or do not want to use property as security.
