For SBA lenders
Short answer
To perfect a lien on intellectual property, a lender must file a UCC-1 financing statement with the appropriate state authority and, for patents and trademarks, also record the security interest with the U.S. Patent and Trademark Office (USPTO).
While a UCC-1 filing in the state of the borrower's incorporation perfects a lien on general intangibles, for certain intellectual property (IP) like patents and trademarks, additional federal filing is required. Recording the security interest with the USPTO ensures proper notice to third parties and priority against subsequent liens or transfers.
A borrower's business relies heavily on a patented technology. The lender secures the loan with a lien on all business assets, including the patent. The lender would file a UCC-1 with the state Secretary of State and also record the security agreement and collateral assignment with the USPTO.
Insider move
Lenders must ensure proper perfection of liens on all significant collateral, especially unique assets like IP, to protect their security interest. Failure to properly perfect can render the lien unenforceable or subordinate to other claims, leading to potential guaranty repair in liquidation.
13 CFR Part 120 — Business Loans
Office of the Federal Register · Federal regulation
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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