Researches On Enterprises Intellectual Property Financing: Theories, Model And Applications

Intellectual Property Financing is one of the ways to achieve intellectual property value. Intellectual property rights are important assets or core assets of related businesses, with characters as invisible, dedicated, regional, timing, reproducibility, and so on. Thus, holding intellectual property has higher risk comparing with holding physical assets and other tangible assets. A more common way for Intellectual property translating into cash flow is to go into the factors of production through the commercialization process (such as becoming knowledge products) to achieve "materialized." Engel and Radcllife have talked about high-tech corporate finance by using intellectual property since 1986, intellectual property financing had become an important topic of corporate finance, and intellectual property financing generate cash flow is another way, of its "materialization".Matter of intellectual property financing is not plain sailing. First, high-risk characteristics of intellectual property are easy to make risk-averse investors and creditors to be deterred. Second, the value of intellectual property is difficult to determine. It need be recognized by professional, credible evaluation agency. Third, the intellectual property itself is a product of institutional economics; it depends heavily on intellectual property financing policies, and it need good policy environment supporting. Fourth, the scale of intellectual property financing is small, especially for debt financing, so it has strong selective such as financing body and involved participants.Therefore, the research paper on intellectual property financing is based on the finance theory and institutional economics, studying corporate financing capacity along the main line of intellectual property, establishing evaluation model for intellectual property financing from both theoretical and practical aspects, and analyzing how to improve intellectual property financing capacity. The paper is divided into seven chapters, as follows:Chapterâ… is an introduction. It describes the research background, research premise, motive and meaning, ideas and methods, the main research and innovation points, and so on.Chapterâ…¡is Literature Review. The concept of intellectual property rights related to financing, technical environment, evaluation and financing of a typical application (the relationship between Intellectual Property Financing and corporate performance), and other aspects of the research are reviewed here. Then it sorts out existing literature results and makes a brief assessment.Chapterâ…¢is about Intellectual Property Financing Theory. It makes analysis on intellectual property financing from the economic and policy aspects based on new economic theories, knowledge based economic theories and related financing theories. Meanwhile, it focuses on the asymmetry of the financing of intellectual property issues by using financing constraints, externality theory, and law and economics analysis framework based on analyzing the feasibility and achieving routing problem on intellectual property financing.Chapterâ…£is about intellectual property financing factors. On the base of theoretical analysis and policy analysis, it makes summary of intellectual property financing capacity systematically. It collects practitioners'views on intellectual property financing factors through interviews, field survey and study and disseminates the questionnaire, and makes the digital information processing. It selects and re-classifies affecting factors preparing for building evaluation model of intellectual property financing capacity by using factor analysis method and analytic hierarchy process.Chapterâ…¤is about construction of evaluation model of intellectual property financing. After theoretical study, it makes treatment indicators for filtered and re-classified factors, and establishes evaluation index system of enterprise intellectual property financing. It assigns for indexes by distinguishing qualitative indicators with quantitative indicators using of expert opinion method and the relevant technical methods of mathematical. It determines the weight relationship between the indexes by using statistical analysis. On this basis, it builds evaluation model of enterprise intellectual property finance, and computes corporate intellectual property financing index (EIPFI), and prepares reports about corporate intellectual property financing.Chapterâ…¥is researches on applications of EIPFI. It analyzes intellectual property financing capacity comparing, intellectual property portfolio financing, relationship between i EIPFI and corporate performance, and other applications through case studies, empirical research and theoretical methods and practical outlook.Chapterâ…¦is conclusions and recommendations. It makes relevant recommendations, and explains the limitations of the study and further research through summing up and sorting out main researches.The paper gets the following basic knowledge and conclusions after research: (1) The subject of intellectual property financing is enterprises, moreover, the small science and technology enterprises which have dominant intellectual property assets, but are lack of security by physical assets. It is often corporate in start-up and growth stage that uses intellectual property financing.(2) Intellectual property financing has the character of asymmetry which need be solved through institutional innovation and financial innovation.(3) Financing evaluation is the premise to manage intellectual property financing capacity. The paper provides a set of evaluation indicators and constructs evaluation model.(4) The financing capacity by intellectual property can be compared with enterprises. EIPFI is important tool for comparing; intellectual property portfolio will help to improve the financing capacity.(5) There is a certain degree of positive correlation between corporate performance and EIPFI; and the paper proposes an idea, that is "there is a linear relationship among EIPFI, assessment values of intellectual property, and financing rate".At the same time, the paper has done new attempt listed in the following (innovations):(1) It constructs the intellectual property financing evaluation model. It summarizes and put forward asymmetric theory of intellectual property financing, and guides modeling intellectual property financing index.(2) It testes to the relationship between corporate performance and EIPFI.(3) At the same time, it proposes that there is a linear relationship among EIPFI, assessment values of intellectual property, and financing rate, and tries to substitute intellectual property assessment value and financing ratio financing banks and other financial institutions with EIPFI.(4) The paper makes initial collection and sorting some data for intellectual property financing. This is the basis of building database on intellectual property financing, and makes empirical data support on he disclosure of intellectual property information based on financing purpose.In short, the paper studies enterprise intellectual property financing around the core of EIPFI. It constructs IP financing model and afford some application samples based on the theoretical analysis, policy analysis and empirical analysis. The research results supply scientifically basis for enterprise intellectual property management, in particular for intellectual property financing management. Therefore, the follow-up study space is opened; meanwhile, the foundation is built.