For SBA lenders
Short answer
Perfecting a lien on intellectual property requires filing with the U.S. Patent and Trademark Office (USPTO) or U.S. Copyright Office, in addition to a UCC-1 filing. Specific assignment agreements are also needed.
While a UCC-1 filing generally perfects a lien on most personal property, intellectual property like patents, trademarks, and copyrights require additional steps. Security interests in these assets are perfected by recording the assignment or security agreement with the relevant federal agency (USPTO for patents/trademarks, Copyright Office for copyrights). This ensures the lien is enforceable against third parties.
For a business leveraging its patented technology as collateral for a $2 million 7(a) loan, the lender obtains a security agreement specifically identifying the patent, files a UCC-1, and also records the security interest with the USPTO to properly perfect the lien.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
7(a) Loan Program — Terms, Conditions, and Eligibility
U.S. Small Business Administration · Official SBA source
SOP 50 10 - Lender and Development Company Loan Programs
Last checked 2026-06-13. Official sources control — verify before relying on any rule for a live deal.
Last reviewed 2026-06-13 · SBA sources checked through 2026-06-13. DealRoom analysis of public SBA 7(a) lending records (FY2020–present). Grounded in the current SBA rulebook; verify against the official sources above before relying on it for a live deal. Not legal, tax, or financial advice, and not an approval decision.
More on collateral & lien requirements
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