Strategies to Revitalize Intellectual Property Financing for Food Companies

This study examines the need for intellectual property (IP) financing for agricultural and food companies and proposes strategies to revitalize this financing model. Recognizing that IP is essential for enhancing corporate value and competitiveness, especially in R&D-intensive food companies, the study identifies key challenges such as limited financing options and high volatility in R&D investment due to financial constraints. By categorizing IP finance into guaranteed loans, collateral loans, and investments, the study evaluates how financial support impacts R&D and company performance. To address existing gaps, the study recommends expanding access to IP financing by diversifying funding channels, including regional and commercial banks, and extending eligibility to cover various IP types, such as utility models, trademarks, and copyrights. Further, given the unique production cycles in agriculture, repayment schedules should align with seasonal cash flows. The study also highlights the need for direct financing methods, such as food crowdfunding, to ease fundraising for smaller firms. Additionally, strengthening IP protection, including technology guarantees and IP insurance, can reduce infringement risks and attract financial institutions. These revitalization measures aim to create a supportive IP finance ecosystem that encourages R&D, supports market competitiveness, and fosters technological advancement in the food sector.