The determinants of patent value in the environment of patent pledge loan

Xue Minggao; Liu Linlin

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Science Research Management ›› 2013 ›› Issue (2) : 120-127.

The determinants of patent value in the environment of patent pledge loan

Xue Minggao, Liu Linlin

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Abstract

Patent pledge loan is an innovation for financial derivative product, and has become the most important measure for mitigating the SME’s financing difficulties. However, the literatures describing the determinants of patent value in the environment of patent pledge loan are very rare. By analyzing a dataset of 176 patent pledge loans with 618 patents involved from 2004 to 2010 in China, how patent attributes, firm specific characteristics, and other control variables relate to patent collateral value is examined. The results show that patent specific attributes remain key factor for determining patent collateral value. Firm specific characteristics could reveal the risk level and have a significant effect on the amount of credit.

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patent pledge loan / patent value / SME financing / pledged loan risk

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Xue Minggao, Liu Linlin. The determinants of patent value in the environment of patent pledge loan[J]. Science Research Management. 2013(2): 120-127

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