HSBC launches Digital Receivables Finance capability

Digital application process slashes approval times from months to days

LONDON, Oct. 19, 2022 /PRNewswire/ -- HSBC has cut the approval process for new Receivables Finance (RF) customers from one to two months to under 48 hours, using a new technology platform.

Using the new online application journey, co-created with Trade Ledger, with a few clicks HSBC customers can now transfer data directly through an API from their accounting software package. They also have the option to upload their data through a user-interface.

The Digital RF solution, built on the Trade Ledger platform, automatically generates a survey and risk report using a rule-based decisioning engine which is then submitted to the underwriters within hours of the application being received. The client is kept updated of the status of their application and a final decision is typically received within two days, including an indicative offer.

Commenting on the roll-out Vinay Mendonca, Chief Growth Officer, Global Trade and Receivables at HSBC said: "The last three years have seen an unprecedented shift to digital – 88% of trade finance transactions are now originated online!"

"Digitising our Receivables Finance approval process makes it simpler, faster, and more secure to apply for working capital. The launch of Digital RF eliminates time consuming and labour-intensive manual processes for our customers. What's more, they can find out whether their application is likely to be successful within hours rather than months and get quick access to liquidity."

Martin McCann, CEO of Trade Ledger, said: "Our partnership with the world's largest commercial bank has been highly productive. The platform has enabled HSBC to offer its customers fast, easy access to working capital. Digital Receivables Finance is the result of a significant team effort to utilise enterprise-grade technology in order to drive customer convenience and tackle the funding gap for businesses across the world."

The Digital RF application process is now available in eight countries and territories including the UK, Hong Kong, USA and India. The proposition will go live in a further three countries by the end of the year.

Trade Ledger Press Office:Wendy Harrison wendy@harrisonsadler.com07850 372469 

About Trade Ledger  

Trade Ledger was founded in 2016 to help the financial services sector reimagine complex business finance for SMEs and mid-market corporates in the digital economy. 

The lending-as-a-service (LaaS) platform supports all working capital lending products, transforming data sources from the supply chain into actionable insights and tasks. This enables the right lending products to be created and offered at the right time, over the right channel, quickly, at low risk. Its clients boost their profitability, realising on average a 60% origination cost reduction, a 50% reduction in dropouts and 10x loan book growth potential through embedded finance. 

Backed by venture capitalists Point72 Ventures, Foundation Capital and Hambro Perks, and other notable investors such as Court Lorenzini (founder of DocuSign), Trade Ledger is currently scaling globally to accommodate a fast-growing client base of global trade banks, regional and national banks, and alternative finance providers. To date it has raised £16.6 million. 

Trade Ledger was awarded LendTech Initiative of the Year 2020, Lending Platform of the Year 2019, and Startup of the Year 2019. 

To find out more about Trade Ledger, see www.tradeledger.io 

About HSBC

HSBC Holdings plc, the parent company of HSBC, is headquartered in London. HSBC serves customers worldwide from offices in 63 countries and territories in: Europe, Asia, North America, Latin America, and Middle East and North Africa. With assets of US$2,985bn at 30 June 2022, HSBC is one of the world's largest banking and financial services organisations.