Smart Opinion | Intellectual Property Securitization Alleviates Financing Difficulties for Innovative Small and Medium Enterprises

Compared with traditional pledge financing, intellectual property securitization separates intellectual property from the enterprise itself, breaking through the limitations of traditional financing methods. It has a larger financing scale, lower costs, and lower investment risks, making it a superior choice for innovative small and medium-sized enterprises to turn "intellectual property" into "assets".

Intellectual property securitization is an important way to alleviate the financing burden of innovative small and medium-sized enterprises. The Small and Medium Enterprises Research Institute of CCID Research Institute believes that promoting the securitization of intellectual property rights for small and medium-sized enterprises can focus on exploring five models, namely financing leasing model, supply chain model, patent licensing fee model, pledge loan model, and supporting bill model. Three suggestions are proposed to address existing problems: strengthening the construction of systematic laws and regulations, and supplementing and improving supporting policies; Intensify the promotion of intellectual property securitization and expand regional and corporate coverage; Improve the service system for intellectual property securitization and optimize the development environment.

01

Innovative small and medium-sized enterprises carry out knowledge

The necessity of intellectual property securitization

Currently, financing for small and medium-sized enterprises still relies mainly on bank loans that provide physical collateral. The core assets of most innovative small and medium-sized enterprises are mainly intellectual property and human capital, which cannot provide collateral that matches the existing credit financing needs. Compared with traditional pledge financing, intellectual property securitization separates intellectual property from the enterprise itself, breaking through the limitations of traditional financing methods. It has a larger financing scale, lower costs, and lower investment risks, making it a superior choice for innovative small and medium-sized enterprises to turn "intellectual property" into "assets".

From a global perspective, intellectual property securitization has been proven to be a relatively mature financing method through practical verification. Intellectual property securitization originated in the United States, and developed countries and regions such as Europe and Japan also attempted it earlier. The securitization of intellectual property rights in the United States and Europe is mainly aimed at large enterprises, while Japan has opened up new financing channels for innovative enterprises. After more than 20 years of development, the scope of basic assets for intellectual property securitization in the United States, Japan, and Europe has continuously expanded, and typical cases have emerged, forming many mature and distinctive models. From its development experience, the potential for intellectual property securitization is enormous and has important reference significance for China.

Intellectual property securitization is an important supplement to the financing methods of innovative small and medium-sized enterprises in China. In recent years, the support of relevant policies has been continuously increasing, and the practical process in various regions has been continuously advancing. The "2018-2021 Statistical Report on China's Intellectual Property Securitization Market" released by the China Technology Exchange shows that as of December 31, 2021, a total of 59 intellectual property securitization products have been established and issued on the Shenzhen Stock Exchange and Shanghai Stock Exchange, with a cumulative issuance scale of 14.918 billion yuan, providing financing services to over 800 enterprises, with an average financing amount of about 18 million yuan per household.