How different is humm®pro from traditional lending facilities?

Learn more about how hummpro changes the game in providing businesses with immediate access to finance. 

Having access to financial solutions is vital for small and medium businesses, including those in the QSR industry. While traditional financial institutions like banks offer products specially designed for these businesses, accessing these products has not always been easy — from complicated application processes to sky-high interest rates. 

hummpro aims to address these pain points with its app-based facility providing businesses with immediate access to funds, and at the other end, flexible and fair payment options. With a quick and convenient application process, hummpro saves QSR owners from the tedious process of securing loans from banks to finance their business needs.

“Our focus is not the competition, but our customers — understanding their needs, their pain points, and how we can offer a solution for the challenges they face. When we were designing hummpro, the inspiration was really to walk in the shoes of our customers and address one by one the obstacles to their success,” says Alan Yeo, Head of Innovation Delivery at hummgroup. 
 

hummpro has subsequently steered away from the traditional, often complicated application process that businesses would normally have to undergo just to get access to funds. hummpro empowers businesses to take control of their cash flow with utmost flexibility and convenience – two things that you won’t usually get when seeking funding from traditional financial institutions.

Paperwork and security

The first step in most loan applications is the paperwork. Banks require several documents to identify the business owner/s and prove existence and stability. They usually ask for the business' registration details, financial statements, business plans, and personal financial information of the business owner/s, among other things.

With hummpro, there is no need to produce all these documents. To create an account, the applicant, who must be an authorised person for the business (e.g. a sole trader, director, partner or trustee), only needs to provide their email address and mobile number, as well as one ID (either an Australian driver license or Australian passport). The App will then ask for the Australian business number (ABN) and a bank statement, which can be done by linking the business bank account to the App.

Banks typically require security or a personal guarantee against the loan. This is a major issue for small business owners who may be forced to risk their home and personal assets to obtain the loan. With hummpro, no security or guarantee is required so business owners will have peace of mind knowing that their cash flow solution does not come at the price of risking their personal assets.  

Paperwork required: virtually nothing. 

Approval process

Thanks to digitisation, banks have made loans more accessible by offering an option to do online applications, but with the same documentary requirements. While the process seems faster and more convenient, approval could still take weeks or even months. For businesses without alternative resources, the waiting game could mean delaying important business purchases. hummpro offers a far different scenario. 

With the App, the entire application process just takes minutes using a mobile phone. Applications are instantly decisioned. In case an application needs further review, hummpro is committed to providing a decision within just one business day. 

Waiting period: just minutes (or one business day at most).

Flexibility of payment 

Securing a loan from traditional financial institutions can entail a rigorous application process, and overcoming this hurdle is just the start. The challenge of meeting the loan repayment terms, which is fixed once the loan is approved, comes next. Banks don’t usually offer flexibility in terms of payment with these terms committed to upfront. If circumstances change, there is no flexibility to defer or amend terms, and missing one or two means piling up interest and other charges. 

hummpro offers flexible repayment options that allow customers to either “pause” or “plan” their repayments. When cash flow gets tight, clients can choose to “pause” their payment for a month for a low fee of just 3.5% of their paused balance. hummpro users can also “plan” their repayments and convert their monthly balance to a 6, 9, or 12-month plan for a fee of just 1.5% per month. No shocking interest fees, no hidden charges. Businesses can also choose new repayment terms (Pay, Pause, or Plan) every month without affecting the previous month’s repayment arrangements.

Payment terms: highly flexible

Small businesses are the backbone of the Australian economy, yet they have been neglected in terms of accessing easy and immediate funding. hummpro aims to address this gap and help small businesses get through financial troughs, especially amidst challenging times.

“At hummpro, we really believe in ‘feeling our customers’ world’. Our solutions address our customers’ financial hurdles to help them not only stay afloat but ultimately succeed,” concludes Yeo.