Specification of Patent Financing
  1. The platform provides the service of financing for the purpose of implementing a patent or patents.

  2. The implementing a patent or patents, under the platform rule, means one actually manufactures a patented product and earns profits from marketing them.

  3. The patent financing parties are limited to companies at present.

  4. The patent financing ways available at the platform are:

    1. Financing by issuing company's priority equities. The priority equities holders take precedence over ordinary stock owners to allocate profits, and withdraw from the project after the financier repays the investment and pays the last profits.

    2. Financing by selling company equities. The financing money corresponds to certain part of the company shares. The investor becomes the real stock owner of the company.

    3. Debt financing by holding tangible property in pledge.

    4. Debt financing by holding intellectual property (e.g. patent) in pledge.

  5. A financier who wishes to funding through the platform should provide the required information like the information of the implementing patent, information of the implementation plan, information of the budge of implementing the patent, the information of the financier, the information of the guarantor, the information of escrow party, the information of the expert who provides the expert's opinion, etc.

    The informations of the financier, the guarantor, the escrow party and the expert must be correct and reliable. The responsible person may be held liability for any false information and responsible for any damages caused by the false information.

  6. The platform will not have the responsibility to examine and verify the truthfulness and legality of those informations submitted by the financier, but the platform examines the relevance and integrety of those informations. If an information is apparently irrelevant or imcomplete, the platform will ask the financier to delete or complete it. If the financier fails to correct it, or after correction it still meet the requirement, the platform has the right not to publish it.

  7. The financier can either permit or not permit the investor to resell his purchased investment product, at the time financing. If yes, the company equities, priority shares, the creditor's rights or the patent shares in the hands of the investor can be resold at any time on the platform without further aquiring the financier's permission.

  8. The funds that the financing project recruited can only used for implementing the patent according to the patent implementing plan.

  9. The financier is liable to implement the patent, and should not stop, up-hold, or terminate the implementation of the patent. In case the financier has sound reasons to up-hold or terminate the implementation, the termination should be agreed by more than 2/3 investors, or the financier buy back all the company equities, priority shares creditor rights and patent shares.

  10. The patent shares or company equities in the hands of financier can not be further transfered before finishing the patent implementing plan, but the financier can increase his shares.

  11. The Procedures of Patent Financing:

    The financier registers at the platform and logs in it.

    He shall submit relevant financing information, upload certified documents and introduction materials.The platform staff will examine the relevance and integrety of them.

    The financier work together with the platform staff to decide the publication period and subscription period.

    Before the subscription period expires, if the subscribed amount of money meets the financing sum, the financing succeeds.

    At the closing time of subscription period, the funding amount does not meet the financing quota, the financing fails.

    In the subscription period, the financier can not withdraw his financing project.

  12. When financing with collarteral security by tangible or intangible property, the properties should be held in pledge with the guarantor, if not garator, with the escrow party, if not escrow party, withe the platform.

  13. The platform provides services of helping input financing informations, uploading relevant documents, preparing certain documents, referring experts, providing expert's opinions, translating foreign documents, etc.