Intellectual Property (IP) are those properties which make references to the creations of the human minds for which complete rights are identified. Innovators, creators, artists and business owners are allowed/granted certain exclusive rights to various intangible assets for a given time period.
- Business owners are allowed some exclusive rights on the utilization of their trademarks and geographical indications which were established by the business owners
- Creative artists are given copyrights on musical, literary, dramatic and artistic works for their creations and
- Innovators are given protection for their patents, industrial designs, trade secrets, and designs of integrated circuits for their creations.
Types of Intellectual Property (IP)
- Copyright– This is a legal term which is used to describe the rights that the creators have over their work.
- Patents– This is a special right granted for an invention. Generally, a patent provides the owner with the right to decide how or whether the invention can be used by others or not.
- Trademarks– This is a sign which has the potential to distinguish the goods or services of one enterprise from those of other the other business organizations. Trademark registration was used in ancient times when the creators used to put their signature or “unique mark” on their products.
- Industrial Design– An industrial design constitutes the decorative or attractive aspect of an article. A design may consist of 3-D attributes, such as the shape or surface of an object, or of two-dimensional features like patterns, lines, dots or color etc.
- Geographic Indications– Geographical indications of origin are special signs used on goods that have a particular geographical origin and possess qualities of that region, a reputation, and features that are important attributable to that place of origin. Commonly, a geographical indication has the name of the place of origin of the goods.
Importance of IP(Intellectual Property) for Start-ups
When entrepreneurs begin on their unique business idea, they have no doubt that their idea would be a commercial success in the market; their main focus is initially to start giving the appearance to the venture.
In the middle of so many different things that go into starting and building a startup from a single idea, the word ‘Intellectual Property’ (IP) is generally not just their main focus. And even if they think about IP protection, it seems to be too costly for a startup to work on.
Entrepreneurs should remember that evaluating IP implications is not just about protecting the work you are doing but, it is also very essential to check whether someone else has an IP for the same work. Very often, there could be people in different parts of the world working on the same idea.
Importance of IP protection
In today’s competitive and fast growing environment, IP can be a Unique Selling Proposition (USP) of the goods or services which will help to create a sustainable and protective differentiator for the company.
By owning an IP, a high obstruction is created, thereby helping you to develop your venture faster and more efficiently. IP is always given high weightage by the investors and therefore, it creates a good reputation for your venture. Moreover, IP has been identified as the main ingredient for startups across the world to get a competitive benefit in the market.
IP presume even greater importance for technology startups, where new innovations are being made almost every day. There is a very significant brand value devoted to IP, in both the manufacturing and technology fields. It gives creators, clients, and other stakeholders a great sense of confidence in your dedication, passion, and commitment to not just succeed, but also become a market leader in your field of business.
There are three significant ways in which a startup can protect its intellectual property:
Intellectual property is an asset for it’s the creator and has a commercial value with it.
Protecting IP requires power, idea, and strategy. In many situations, it may be feasible to seek a trademark protection or simply conserve through a trade secret. This can be done by investing in the marketing and generating a recall between the product and the owner. There are various different strategies which are available for different type goals and ideas. Intellectual property can be very valuable for a start-up. If IP is correctly and strategically conserved, it can take the valuation of a company to a completely another level.
If someone else happens to do so before you, then you are likely to be out of the competition even if you had started working on the idea first.