The cultural and creative industry features its variety, dispersion and its small-scale staff, but the number of employment and the industry value of it have kept on growing, which enriches the life of quality. In order to upgrade its economy, Taiwan government has been fostering local cultural and creative industries. Among these potential industries, the design sector relies mostly on its knowledge and skill to create value. Nonetheless, little is known about the intellectual capital of the design industry in Taiwan. This study thus examines the interrelationships among intellectual capital components and their influence on business performance respectively. Also, recommendations are provided to assist design companies in managing their intellectual capital, and to help the government in making industrial policies.