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Internet Security | How To Protect Your IP In Initial Phase

How To Protect Your IP In Initial Phase
In the present global economy, for providing quality products and winning a competitive edge in the market, innovation plays a key role.
Globalisation and interaction amongst the international markets have put excessive pressure on businesses all over the world to improve their efficiency, effectiveness and innovativeness. It is vital to protect the intellectual property in the companies at the initial phases itself as it will attract investors and in turn bring in capital, developing a competitive business strategy. Basically protecting intellectual property plays an important role in protecting innovation.

Intellectual property can be understood as the outcome of human intellect. In this increasingly competitive market, companies critically evaluate every investment opportunity to maximise the returns for further benefit. Both the large corporate houses as well as the budding new-age start-ups need to understand the necessity of protecting their inventions by way of intellectual property rights.
As many start-ups are bootstrapped, the cost of obtaining intellectual property is the main cause of concern for them. Therefore, they spend a lot of time and effort in carving out an efficient and effective IP strategy, wherein they review their major innovations and focus obtaining patents on core technologies, or the unique business idea with led to the start-up. 

This evaluation stage is quite critical as in this subject matter of the claim is identified and thorough research is conducted. The businesses are advised to understand the quantum of risk associated with the whole process of intellectual property protection and make appropriate business decisions as per requirements. As both the market and technology is progressing over the period of time, such businesses must engage the professionals of the field to have an expert opinion as procuring intellectual property rights, maintaining and exploiting them is an expensive affair so it should be done under the expert’s guidance.

• Competitive Edge

Strong IP portfolio has the ability to weaken and even exclude the competition. Ranging from trademarks and patents to copyrights and trade secrets, each one of the intellectual property right has the ability to protect one or the other aspect of the business. 
This is crucial in today’s globalised world where the competing businesses leave no stone unturned to make their position in the market. So it is vital to protect the IP and that too at early-stages is the need of the hour as being in the market is one thing and making your presence felt is a completely different aspect of the business world.

• Probability Of Success

Preliminary research for intangible assets such as patents, trademarks, copyright and trade secrets, gives the owner of the business insight regarding the success prospects of his venture and its underlying business model. For example, if during the similarity search, the entrepreneur comes across a similar business IP asset, he will become aware about the similar competitive businesses running in the market. 
Moreover, he will be in a better position to evaluate the risks and avoid conflict of interest in the future. They can also decide about the amount of financial resources to be spent on this aspect of the business and whether to go ahead with it or not.

• Prevent Litigation

Acquiring intellectual property rights and at the same time protecting them from infringement is a costly affair, the companies which are at their initial phases or the start-ups are always recommended to protect their inventions and innovations from the big companies as they might misuse them and it will drain the small company’s limited wealth in protecting them later. Similarly, it is essential to protect the goodwill and brand value built by these start-ups from the rivals. 
So, they should procure trademark at the right time before it is too late and they end up in a legal battle to safeguard their hard work and intellect. This will help the young entrepreneurs in creating legal security for their business and channelizing its resources towards business development.

• Monetary Resource

Apart from the legal scenario, intellectual property is a valuable intangible asset which can be materialised during unfavourable conditions in the business. When a business specifically the bootstrapped companies are facing a financial crunch, they can monetise their IP assets by selling, franchising, licensing and earning royalties from the IP assets for their budding business. 
A strong IP portfolio puts the start-up in a safer position where it can attract the capitalists to invest in their business and innovative products and services give them a winning edge in the market.

Conclusion

To sum up, the start-ups and young businesses should review their intellectual property strategy, critically evaluate its value and take steps to enhance their IP portfolio that too in the initial phases of their business. They should take into consideration the competitive environment and study the trends prevailing in the market as per the new innovations and technologies. 
The businesses should look into the money-minting alternatives associated with IP such as licensing, franchising or through royalties.
In fact with the rise in the awareness rates and government policies, IP protection various benefits associated with it are bringing in a positive impact. As we can see that under the Start-up India initiative, the government is trying to provide various benefits to the start-ups such as rebates and easy and fast application process.

Thanks a lot for reading along. What do you think? Kindly drop us a comment and share to your friends.
Author Bio - Sheena Gupta is a Law Post Graduate specialising in Corporate Law. She has been a Lawyer, Assistant Professor, and an Academic Writer. She has a flair for writing on contemporary legal topics. Presently, she is associated with quickcompany.in as a Legal writer.
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