In a recent fireside chat hosted by Giovanni Amodeo, Angus Sedgwick, CEO of OptiPay, shared key insights into trends in non-banking finance in Australia. Here are the main topics discussed:

Angus Sedgwick’s Career Path: Sedgwick began his career in life insurance before moving into non-banking finance, eventually founding OptiPay. His experience spans Australia, the UK, and South Africa, where he played a pivotal role in creating secondary life insurance markets.

AI and Automation in Finance: Sedgwick highlighted the growing role of AI in credit assessment and invoice verification, improving fraud detection and operational efficiency. AI can identify anomalies in invoicing patterns and ensure security through blockchain technology.

E-invoicing and Blockchain: The future of e-invoicing, powered by blockchain, was a major focus. Sedgwick explained how blockchain can secure invoicing by creating an immutable record, reducing fraud risk and increasing transparency in transactions.

The Role of Banks and Non-banking Financial Services: Sedgwick discussed the retreat of traditional banks from SME lending, creating opportunities for non-banking financiers like OptiPay. He noted banks now primarily serve larger corporates, leaving a gap for fintechs to address smaller business needs.

Key timestamps:

00:09 Introduction to the Fireside Chat
01:08 Introduction to Secondary Life Insurance Market
01:58 Expansion to South Africa
03:00 Challenges During the Financial Crisis
04:01 Return to Australia and Shift in Focus
04:45 Exploring Invoice Financing
06:25 Transition from Peer-to-Peer to Traditional Financing
07:24 Growth Potential in Invoice Financing
08:31 Understanding Client Relationships
09:15 Assessing Business Viability for Financing
11:00 Data Integration and Financial Monitoring
11:46 Criteria for Suitable Businesses
14:20 Predicting Trends from Aggregated Data
14:58 The Role of Insurance in Invoice Financing
16:03 Industries Utilizing Invoice Finance
16:50 Debtor Awareness in Financing Agreements
18:23 Risks of Fraud in Invoice Financing
20:33 Ownership and Verification of Invoices
21:40 International Expansion of Invoice Financing
22:47 Future of the Australian Invoice Financing Market
26:39 Automation and AI in Invoice Financing
28:24 The Evolving Role of Banks in Financing
29:49 The Role of Non-Bank Financing