Slovenia launches IP-backed finance initiatives via state-backed SID Bank

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Slovenian companies will now be able to use intellectual property (IP) as collateral for loans through new financing programmes from state-backed export and development bank, SID.

The Slovenian Intellectual Property Office, with support from both the World Intellectual Property Organisation (WIPO) and the European Intellectual Property Office (EUIPO), has been developing both intellectual property (IP) valuation skills and IP-backed finance in the country.

In a statement, the Slovenian Intellectual Property Office (SIPO) says:

“SID Bank's four new financing programmes, with a total value of one billion euros, provide companies with new financing opportunities. Intellectual property is now included among the eligible forms of loan collateral. The programmes support research and development projects, investments, financing of permanent working capital and the management of specific liquidity needs.”

SIPO adds that the move

“represents an important development, particularly for innovative, technology-based and fast-growing companies. Their greatest value often lies in patents, trademarks, industrial designs, trade secrets and other intellectual assets rather than in real estate or other tangible assets. As a result, these companies have often faced greater challenges in obtaining financing. The possibility of using intellectual property as loan collateral opens up new opportunities to secure growth capital, accelerate business development and implement investment plans.”

Developing Slovenia's IP-backed finance system has been a key priority for SIPO for the past few years, and was identified as a priority in the country’s National Intellectual Property Strategy 2030 (adopted by the government in June 2024) and the supporting Action Plan. These called for the creation of “an environment in which companies can make better use of intellectual property as a strategic development, business and financial asset.”

In June last year, SIPO, the World Intellectual Property Organization (WIPO), and the Korean Intellectual Property Office (KIPO – now the Korean Ministry of Intellectual Property) jointly organised a conference in Slovenian capital Ljubljana to discuss the possibilities and the practicalities behind IP valuation and the use of IP as collateral to obtain financing, especially for small and medium‑sized enterprises (SMEs) that often face limited access to capital.

SIPO says that Slovenia is also contributing to the development of a common European framework for IP disclosure, a harmonised approaches to IP valuation, the advancement of IP-backed finance, and pilot projects aimed at putting these solutions into practice.

SIPO concludes that the launch of SID Bank’s IP-finance initiatives

“marks an important shift in the perception of intellectual property. It is no longer viewed solely as a legal tool for protecting innovation but is increasingly recognised as a strategic business and financial asset that enables companies to improve access to capital, accelerate growth and increase investment in research, development and innovation.”