Financing has become a bottleneck restricting the survival and development of small and medium sized cultural enterprises which lack collateral securities. Recently, on a Financial Innovation and Enterprise Financing Meeting held in Jinchang District of Suzhou City, the People' Insurance Company of China (PICC) listed Jinchang District as the first national cultural industry insurance pilot area as well as the new product development and test base. Such an initiative is aimed to help small and medium sized cultural enterprises to apply for financial assistance from related financial institutions by means of intellectual property pledge and credit loan. 

Jinchang District is rich in historical and cultural heritage; meanwhile, it accommodates about 700 cultural enterprises. For a long time, especially in 2011, small and medium sized cultural enterprises have been confronted with financing problem.

Art marketing enterprises are unable to bear the losses caused in the process of exhibition and transportation. Actor's personal safety is also a major economic undertaking for entertainment companies. Collaborated with PICC, Jinchang District Government finds way out by providing enterprises with financing and insurance.

In addition, the meeting also discussed the financing problem confronted by five major economic pillars, that is, commerce and trade, logistics, tourism, science and technology, and culture. As called on by Jinchang Government, Bank of China, Bank of Communications Shilu Branch, and PICC launched a series of financing services and products for SMEs in Jinchang District, which attracted more than 100 SMEs to seek self-tailored financing products or services.

(Source:IPR in China)