Using Dutch data we empirically investigate how financing and innovation vary across firm characteristics. We find that … when firms face financial constraints, debt financing and innovation choices are not independent of firm characteristics …

-in-difference regressions on firms' debt allows deducting treatment effects of using patents as collateral. We find that patent pledging enables …We investigate how intangible capital in form of intellectual property, such as patents, might mitigate financing … constraints. While scholars have already argued that patents might have a signalling value reducing information asymmetries …