Mango Credit & Yanis Derums – An Aussie Success Story

In this week’s company spotlight, we take a look at Mango Credit, and the fascinating background of their founder, Yanis Derums.

Mango Credit is a privately-owned, short-term commercial lender based in New South Wales, Australia. Mango Credit was first established in 2001 and is headquartered in North Sydney. Mango Credit, along with its sister company, Mango Mortgages, works collaboratively to provide a suite of loans for business use (Mango Credit) and personal use (Mango Mortgages).

The company offers a range of financial products, including caveat loans, 2nd mortgages, 1st mortgages, and home equity short-term loans. People typically use these loans when traditional funding isn’t available due to timeframes that finance is required, or circumstance (i.e. not having financials in order, but having equity in real estate).

For example, Mango Credit and Mango Mortgages’ customers often need funds to renovate or prepare a property for sale, pay off personal debts, complete a small land sub-division, or get a quick cash injection to help smooth the ‘ups and downs’ of business cash flow. In particular, clients appreciate that minimal documentation is required for loan approvals and that loans are typically processed within a week.

Loan Features

Mango Credit and Mango Mortgages’ loans have a number of distinct features. First of all, these loans are quite short-term in length, usually ranging from around 2 to 24 months. The approval process is streamlined as well, with funding usually available within 5 days. The majority of loans issued are between $25,000 and $500,000. In addition, Mango Credit and Mango Mortgages have flexible underwriting and a customised approach for each loan written.

Short-Term Caveat Loans

One of the company’s key financial products is a short-term caveat loan. These are also known as “unregistered 2nd mortgages.” In this instance, “caveat” is another word for “collateral,” and this loan requires the client to put their existing property holdings down as security. Caveat loans are very fast because they can be lodged instantly on title, behind the existing mortgage (with no consent required from the bank to do so).

A Mango Credit or Mango Mortgages short-term caveat loan is well aligned to individuals and companies that are trying to take advantage of financial opportunities quickly, without extensive paperwork.

For example, an individual may need money in a hurry to do home renovations in preparation for sale, or require working capital for their business regardless of credit history. Similarly, borrowers may want to take advantage of an amazing real estate deal, even though they’re still a few months away from having the total down payment. On the other hand, an owner of a manufacturing business might need to replace a vital, expensive piece of machinery within days in order to stick to tight schedules.

In cases such as these, individuals and companies could lose either money or an opportunity if they do not find financing in a matter of days. This means that the cost of getting a short-term caveat loan is preferable when compared to the overall earning potential from the investment. In the financial world, this is known as “opportunity cost.”

2nd Mortgages

Mango Credit and Mango Mortgages are well-known for their 2nd mortgages. Like short-term caveat loans, 2nd mortgages also require property to secure the loan. These loans are often chosen when borrowers require funds reasonably quickly for personal bridging loans or short-term business loans. In most cases, customers must obtain consent from their bank before obtaining a 2nd mortgage from Mango Credit or Mango Mortgages.

1st Mortgages

Mango Credit and Mango Mortgages also provide 1st mortgages for customers who don’t meet mainstream lenders’ increasingly stringent loan criteria. Mango Credit and Mango Mortgages also assist customers with refinancing their mortgage when equity (cash) is required from their property, or they simply want a better deal.

Home Equity Loans

In addition, Mango Credit and Mango Mortgages offer home equity loans – when a borrower uses property as security for the loan. Customers often obtain home equity loans from Mango Credit or Mango Mortgages for one-time, large purchases for things like college tuition, home renovations, investments, personal or business debts (including ATO or medical bills). 

Company Mission

Mango Credit and Mango Mortgages’ mission is to assist clients to achieve their personal and/ or business financial goals.

Another major priority for Mango Credit and Mango Mortgages is transparency, to ensure each client understands the important details about their loan before making a commitment. This includes being open about fees and charges, and being clear in all communications to ensure there are no misunderstandings or surprises. Throughout this process, the company is focused on understanding the borrower’s priorities, use of funds, and serviceability (i.e. how the loan is going to be paid off). A loan plan is then customised to ensure clients are being offered adequate funds that reflect their requirements – and importantly, to prevent clients from overstretching themselves financially.

These policies reflect the company’s prioritisation of moral, legal, and fair business practices.

Yanis Derums

Yanis Derums is the owner and founder of Mango Credit and Mango Mortgages. Since the company’s inception in 2001, Derums has taken a direct role in the management of its general business operations and finances. Derums brings extensive levels of experience to the table, having spent years working in roles related to finance, loans, and investing, prior to founding the company.

After graduating from secondary school, Yanis Derums attended Charles Sturt University, studied marketing, and graduated with a Bachelor of Business degree.

After leaving Charles Sturt University, Yanis entered the Graduate Intake Program at BHP – one of the largest mining companies in the world. He spent three years at the company as a full-time member of this intake program, learning about management, investing, and general business operations.

Following this experience, Yanis Derums started his entrepreneurial career by founding Maxisteel in 1994, where he oversaw all aspects of operations and management. Incidentally, today, there is another Australian-based company called Maxisteel, but it isn’t related to the company started by Derums in 1994.

After leaving Maxisteel in 2001, Yanis Derums quickly established a number of companies under one umbrella. These companies were Mango Credit, Mango Mortgages, and Mango Media. All three entities eventually became prominent in the Australian investment, lending, and media industries.  Over the next few years, Yanis Derums expanded the reach of these companies.

Although Yanis Derums oversees the issuing of short-term caveat loans and other forms of home equity loans, he also plays an important role in other aspects of the business. As the founder and owner of Mango Credit and Mango Mortgages, Dermus’ responsibilities are wide-ranging.

Yanis Derums takes a direct management role in the following aspects of Mango Credit and Mango Mortgages:

• Credit Assessment: Because of Derums’ experience as a lender, he oversees the credit assessment process when Mango Credit and Mango Mortgages assesses various individuals and companies. Derums manages the company’s team members who can determine what kinds of loans are best suited for different applicants.
• Product Structuring: Yanis Derums helps Mango Credit and Mango Mortgages customise its return stream with product structuring methods. Structured products often meet specific needs that are not possible with standardised financial instruments in mainstream markets.
• Financial Analysis: Derums is also involved in conducting financial analysis within Mango Credit and Mango Mortgages to ascertain its viability, stability, and profitability. This process involves assessing financial statements and using ratios to reach conclusions.
• Industry Liaison: Yanis Derums often acts as an industry liaison when Mango Credit deals with various companies and businesses. In this role, Derums offers advice and helps connect the business with the financial products they need to grow and expand.
• Client Liaison: When acting as a client liaison, Yanis Derums helps customers understand the loan process and guides them towards the most suitable financial products. This role also involves providing clients with updates on their loan status.
• General Management: Yanis Derums is active in the general management of Mango Credit and Mango Mortgages. This involves setting long-term goals, expanding into new niches, and overseeing the business operations of the entire company.
• Operations and Logistics: When overseeing the operations and logistics process of Mango Credit, Yanis Derums manages the flow of capital, goods, property, and information through various accounts and revenue streams.
• Human Resources: Yanis Derums is also involved in the human resources department of Mango Credit and Mango Mortgages. This involves managing team members, recruiting new employees, and making sure individuals are using their skills and experiences in the most efficient way possible.
• Marketing: Mango Credit has continuous exposure due to shrewd marketing strategies put in place by Yanis Derums. For many years, advertisements for Mango Credit have appeared on the front page of the prominent financial services publication, Australian Broker magazine. In addition, Mango Credit maintains a racing team and increases its brand exposure by placing its ads and banners on the livery of racing automobiles.

Racing Career

Yanis Derums himself is no stranger to auto racing, having been a professional race car driver for many years. In fact, he continued to race full-time until the tail-end of the 2010s, when he finally stepped away from a career that spanned over 20 years. Over the decades, Yanis Derums earned nicknames such as “Excalibur,” “Caviar,” and “Dynamite” for his distinct driving style.

Yanis amassed three wins, one fastest lap time, and six podiums over the course of his career, which included 150 total races. He competed in the Lotus Trophy Series Australia, the Australian V8 Ute Series, the Yokohama V8 Ute Series, and many other competitions. During his time behind the wheel, Derums developed a love for Australian cars, and he developed a love for driving the 2017 V8 Holden Ute Magnum on the track.

The Mango Credit Racing Team was established while Derums was still racing professionally, and the team competes regularly in the Auto One V8 Ute Racing Series. In 2015, it was announced that Mango Credit was backing Dave “Sideways” Sieders in his bid to win the Australian V8 Ute Racing Series. At that point, Sieders was a three-time runner up for the competition, and he had previously been one of Yanis Derums’ teammates on the Sieders Racing Team.

Conclusion

Mango Credit and Mango Mortgages occupy an important niche within the finance industry and provide customers with an alternative to traditional lenders.

In some cases, people may not have the start-up cash to start a business, even if they have an innovative idea that can make a genuine impact. In other cases, individuals may require additional funding to own property for the first time, escape the “trap” of continuously renting, and start building equity. And of course, sometimes hard-working individuals simply require help to get out of a challenging situation.

Whatever the case may be, companies like Mango Credit and Mango Mortgages ensure that individuals and businesses are given another option – without simply being limited to dealing with mainstream lenders.