While looking for information on IPs in the creative industries and how they are used in cultural enterprises, I found a very interesting initiative by the Malaysian government called “MyCreative Ventures”. MyCreative is “a government investment arm to spur Malaysia’s creative industry via strategic and innovative funding in a form of equity or debt investments.”
In the article entitled “ELEVATING THE CREATIVE INDUSTRY IN MALAYSIA” the author explains how “unlike other types of businesses, creative industry entrepreneurs have nothing solid to show. They lament that it is almost impossible for them to obtain the funding they need in order to expand their operations.
This is mainly because banks are reluctant to accept or recognize intellectual property (IP) as loan collateral because of the lack of Certified IP Valuers who are able to place a monetary value to the IP assets concerned.”
The article further explains how MyCreative Venture was “incorporated by the Minister of Finance Incorporated ‘MOF(Inc)’ on April 20, 2012 to overcome this valuation lacuna and spur development in the creative industry by providing avenues for IP financing. Top on the MyCreative Venture’s agenda is to convince banks and financial institutions on the viability of accepting IPs as collaterals for loans.”
MyCreative Venture Chief Executive Officer Johan Ishak says that the creative industry in Malaysia “has generated an abundance of IPs which could be turned to valuable assets. […] MyCreative Venture’s mission then is to bring the Malaysian creative industry to the next level by achieving a sustainable future that is rewarding from the social, cultural and economic perspectives,” he said.
More articles to come on Intellectual Property in cultural enterprises in the coming weeks.