Alumak to provide working capital loans to Lazada’s online sellers

Lazada has partnered with Southeast Asian fintech startup Alumak to provide online merchants with working capital during the Covid-19 pandemic.

Business owners selling through Lazada for at least six months can apply online using their Lazada account in place of the need to submit formal paperwork, in a process that takes less than 10 minutes.

Alumak says it can provide working capital of up to 75 million IDR (US$5000) within three hours, sourcing funds from its credit partners. That’s a vastly shorter time frame from the industry standard of one-to-two weeks processing time.

Once approved, the funds can be downloaded in full or in part with interest charged only on drawn funds.

Stefan Hadjidetschev, co-founder and GM of Alumak, says the program, which has no end date at this time, is intended to help businesses operate in the “new normal” of Covid-19 and during Ramadan.

Haikal Bekti Anggoro, senior VP, traffic operations at Lazada, said the company wants to support the economy through its sellers.

“Lazada aims to ensure that our sellers will be able to have a sustainable business and our Service Market Place offerings are geared towards that goal, providing services that sellers need to build, boost and strengthen their business. The cooperation with fintech companies like Alumak, enables our sellers to get access to funding and keep their business going.”

Alumak describes itself as an SME-focused fintech company serving digital-savvy businesses with a mobile-first digital business account across four countries: Singapore, Indonesia, Thailand and Vietnam).