Trade Ledger Launches Invoice Finance-as-a-Service

Open Banking platform Trade Ledger is introducing an invoice financing solution for banks and alternative lenders, the company announced this week.

A press release on Wednesday (June 19) noted that Trade Ledger has debuted its Automated Invoice Finance Platform, designed to help financial service providers more easily integrate enhanced technology without the friction associated with back-end IT overhauls. Based in the cloud, the invoice financing tool will be available to financial institutions (FIs) in Australia, Europe and Asia.

Using Trade Ledger’s application program interface (API)-based Lending-as-a-Service, the invoice financing capability was built for an Open Banking ecosystem, the company noted. The platform has also attained ISO 27001 cloud security compliance.

“Lenders in the invoice finance sector must start paying more attention to the advancements in the provision of cheaper, faster and more intelligence business finance solutions,” said Trade Ledger CEO Martin McCann in a statement. “New tech-driven entrants like MarketInvoice, iwoca and OakNorth are challenging the incumbents’ stranglehold on this market. As a specialist B2B technology company, Trade Ledger can provide the same capabilities ‘as-a-Service’ to lenders looking to transform their credit operations, and supercharge their ability to compete.”

The invoice financing functionality joins Trade Ledger’s existing suite of as-a-Service offerings to banks, which currently include commercial loans, receivables finance, supply chain finance, asset finance, import/export finance, inventory finance, reverse factoring and more. The platform integrates with other API-enabled services, including Xero, Sage, Intuit, Microsoft Dynamics 365, Equifax and others.

In April, Trade Ledger announced another integration with Nimbla, a trade credit insurance platform. Their connectivity enables lenders to link directly into Nimbla to access insured trade finance solutions for their corporate customers.

Trade Ledger also entered the European market last year, following the rollout of PSD2 and Open Banking in the European Union and U.K.

“It’s a perfect storm of opportunities for a corporate banking credit platform like us,” McCann said in a statement at the time.