According to data, young people are more entrepreneurial than ever. The trend of the Millennipreneur (Mennial Entrepreneur) will have inspired the 2022 World IP Day - IP and Youth: Innovating for a Better Future.

These young entrepreneurs may be set apart by a more collaborative approach to Leadership or the notable inclusion of social responsibility at the heart of the business, but they are still active in traditional sectors and IP can still play a major role in helping to achieve their goals.

From a branding perspective, the protection of trademarks from the outset can be of huge advantage to new businesses. Whilst it seems to be the perennial dilemma - when to start investing in IP particularly if the business is not yet profitable-taking steps to protect creativity, help generate income and ensure the safeguarding of reputation is a worthwhile, and arguably essential investment.

Branding considerations include:

  • Clearance searching - This is to ensure that use of a new brand is not going to infringe any existing third-party rights if use is deemed infringing, not only would the prior owner be able to prevent continued use, but they may also be entitled to financial compensation.
  • Registered protection - Registering a brand provides the owner with the exclusive right to prevent third parties using the same for confusingly similar trade mark in the same or adjacent field, as of the date of filing usually. Whilst there is scope to prevent third party use even if a trade mark has not been registered, it is more difficult to establish and it will invariably be more costly Registering without delay will limit the chances of a conflicting mark getting there first.
  • Business assets - A registered trade mark becomes a business asset which can be sold or licensed to generate income or can even be used to obtain tax relief in certain Circumstances. They can also be used as security to borrow money from financial institutions. Assuming a trade mark continues to be used in the way in which it was registered and the renewal is paid every 10 years, it is possible to maintain the registration indefinitely, making it one of the most enduring business assets.
  • Enforcement - monitoring any infringing use of later brands and taking steps to enforce trade mark rights will help protect the brand's impact and positioning, and avoid dilution.

It may be difficult to budget for IP at the start of a new business, but given that a brand is the communication with and quarantee to the target market, it is worth securing.

Originally published by London Business Matters.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.