The Philippine Chamber of Commerce and Industry (PCCI), the largest business organization in the country, calls on government to establish a valuation and financing mechanism to facilitate the use of intellectual properties (IPs) as a commercial tool.
A staunch advocate of IP promotion and protection and a champion of small and medium enterprises (SMEs), PCCI said the establishment of IP valuation and financing mechanism can foster innovation that will in turn enhance MSMEs’ competitiveness, and facilitate their participation in the regional and global markets.
At the workshop on Promoting Innovation through a Mechanism for IP Valuation, IP Financing, and Leveraging IP Assets Workshop organized by the APEC IP Experts Group and the IPO Philippines, experts stressed that intangibles, particularly IP, have gained ground in the economic system. Creations of the mind from IP to business models have changed and revolutionized businesses and industries. “This shows how the values of intangibles have increased overtime vis-à-vis the value of tangible assets”, Allan B. Gepty, Project Overseer said.
PCCI President George Barcelon said the establishment of a policy framework allowing the use of IP as collateral for business loans provides an additional tool for SMEs to establish their credit worthiness. This will help improve their access to formal lending from banks and other financial institutions.
The business group encourages MSMEs to protect their intellectual property and take note of the value and potential it can generate in their businesses. “Valuation of IP is important not only in financing but even in mergers and acquisitions, licensing, branding, and even litigation” said Jesus Varela, Chairman of PCCI IP committee. “We hope that APEC economies will continue to carry this project at the national level.” Varela added. (PCCI Press Release)