Zurich-based lender TradePlus24 has chosen fintech company Trade Ledger to roll out its new trade insurance wrapped lending product in Australia.

TradePlus24 cited the ability of the Trade Ledger platform to automate the entire SME credit assessment process, as well as calculating the risk of individual invoices in real time.

Trade Ledger chief executive Martin McCann said banks and lenders around the world are currently grappling with the cost, effort and perceived higher risk of loan origination in the SME sector.

"This sector has long been plagued by outdated credit assessment technologies that prevent lenders from easily or cost effectively acquiring real-time information about persistent risk, individual transactions, or trade document updates," Mr McCann said.

"The result is enormous uncertainty, leading lenders to either applying a premium, or avoiding lending to individual SMEs altogether.

"We are extremely excited to partner with TradePlus24 because we feel their secured global receivables financing solution is unmatched in the Australian market, and allows SMEs and mid-market companies to leverage their domestic and export accounts receivables in a completely new and unique way."

TradePlus24 chief executive Ben James said the company expects to select an Australian banking partner, but Trade Ledger will remain its solution for its technology requirements.

"To realise our growth ambitions, it was imperative to find a comprehensive technology solution that could be seamlessly applied across our entire global value chain," Mr James said.

"It’s our opinion that the Trade Ledger platform is the key to cracking this market for us."