humm®pro brings ‘buy now, pay later’ to small businesses

The rise of ‘buy now, pay later’ (BNPL) options has empowered consumers to purchase products and services with flexible and convenient payment terms. BNPL allows consumers to make purchases and pay for them in multiple instalments, typically with zero interest and no lengthy application process required. With its flexibility, it is no surprise that the BNPL industry has grown globally, with Australia at the forefront of driving BNPL innovation and growth.

According to ASIC, BNPL transactions in Australia nearly doubled from 16.8 million in 2018 to 32 million in 2019. The industry is growing tremendously even amidst the pandemic, with the number of transactions, users, and total value of transactions each increasing by more than 20% from June 2019 to June 2020.

Whilst there are a number of BNPL offers available for retail consumers, small and medium businesses do not have the same options that allow them to better manage their cash flows. hummpro aims to fill this gap and offer the same cash flow flexibility for businesses, including those in the QSR sector.

Business now, pay later

hummpro is redefining BNPL for businesses with a unique app-based cash flow solution that allows business owners immediate access to funds and flexible payment options.

“BNPL isn’t just for consumers; there’s a strong case for using BNPL in a business context to help improve cash flow,” says Alan Yeo, Head of Innovation Deliveryat hummgroup. 

Managing cash flow is one of the most challenging issues that small businesses face. According to Xero Small Business Insights, just over 50% of small businesses in Australia are cash flow positive in 2019. This is exactly what hummpro aims to address as it enables users to buy the things they need to run their business and pay for them later, without racking up hefty interest or having to fill out tons of paperwork.

QSRs can access up to $30,000 in just a few minutes using a mobile phone. Once approved, their hummpro digital card is immediately available to use with anyone that accepts Mastercard in-store, online, or with an invoice.

“Like consumer-oriented BNPL solutions, hummpro offers small businesses flexibility and convenience. You can use hummpro to buy things immediately when you need them, such as a new piece of equipment or extra stock, with the confidence that you can pay it off later, interest-free, and in a flexible timeframe that works for you,” says Yeo. 

All purchases made in a month are grouped into a single balance that makes it easy to track and manage repayments. You always get a full month before this balance needs to be repaid. “If cash flow is tight and you need more time, hummpro lets you hit Pause for an extra month, or you can Plan your repayments by breaking them into smaller, more manageable monthly instalments over six, nine, or 12 months,” Yeo explains.

With hummpro, users get new terms each month so they can continue making purchases even if they are still repaying previous monthly balances through a Pause or Plan. New purchases are managed independently from any previous month, so these transactions don’t impact the business’ existing payment obligations.

Even with this extensive flexibility, businesses need not worry about any hidden fees or sneaky compounding interest traps with hummpro. “Besides the fees to Pause (3.5% of your Paused balance) or Plan (1.5% of your Plan balance each month, for as long as the Plan is open), the only other fees you’ll ever pay are a $15 monthly fee for the months you transact and a flat $20 late fee if you miss a repayment,” Yeo says.

hummpro’s core advocacy is supporting and empowering businesses and treating businesses fairly. If a repayment fails, there is a grace period to retry the repayment again before charging the $20 late fee. hummpro will only charge a single late fee each month, even if the business misses multiple repayments due for that month.

With immediate access to funds being one of the greatest pain points for small businesses, hummpro is a gamechanger by providing quick, flexible, and convenient cash flow solutions that are available with just a few taps on a smartphone.

If you want to learn more about the amazing cash flow solutions available for your business, get in touch with the hummpro team here.