This chapter addresses the existing issues and opportunities in utilizing intellectual property rights as collateral from both legal and economic perspectives. The authors analyze the role and consequences of this type of financing for investment development and intellectual property law. It is noted that limitations related to the lack of financial security are one of the factors negatively impacting the growth dynamics of enterprises. In this case the enterprises in the small and medium-sized business sector are most at risk. To attract additional resources, companies are often compelled to resort to borrowed funds, securing their obligations with tangible assets owned by the company. The absence of tangible assets is proven to be one of the main reasons for slow growth in most companies. Recently, however, increasing importance has been placed on intangible assets, and many states are actively striving to develop new strategies to support small and medium-sized enterprises. The authors justified the need to improve existing legislation regulating access to additional financing secured by intellectual property rights, as well as the existing mechanisms for valuing intangible assets. © 2025 Elsevier B.V., All rights reserved.