When entrepreneurs start their businesses, they don’t always consider trademarking them. However, having one has several benefits for your business. Your trade name is a valuable asset that might make you a fortune. A trademark is also an excellent way to protect your company. As a result, irrespective of how big or small your business is, it’s a worthwhile investment.
In a world where entrepreneurship is booming, small businesses are abundant. Businesses all over the globe are creating products and services intending to get a share of the market. While you could differentiate yourself based on product or service features, differentiating your brand may be far more important. All companies have trade names. However, no two companies should be registered under the same name. You can check the Intellectual Property Laws in your country to learn more about the significance of trademarks.
That said, below are some of the reasons why you should register your business trademark.
1. It’s Inexpensive To Obtain
Unlike other forms of intellectual property, trademarks are usually inexpensive to obtain. You can use platforms such as Trademark Engine to create one from the comfort of your home.
A trademark protects your brand name, but it’ll also save you money if there’s a legal conflict. If you have legitimate proof that you have the trademark for your business, it puts you at a vantage point in legal proceedings. Consequently, it also makes it harder for you to get sued.
2. It Adds Value To Your Business
Registering your business trademark may increase your business value. In this competitive world, businesses realize the power of branding and image. How people perceive your brand is important and may directly correlate to profitability. Brands carry value because they communicate what your company is about. The goal is to create a company perceived as valuable and credible. One way of achieving that is by obtaining a trademark. A trademark may make your business more recognizable and trustworthy.
Your brand name is an intangible asset. It’s hard to measure how much a brand is worth. But a credible trademark could boost your business value as the brand grows. This is good for business because a valuable trademark could increase the selling price if you want to sell your business. It may also help you gain leverage in negotiations if you’re undergoing a merger.
3. Provides Legal Protection
Obtaining a trademark provides legal protection for your business or brand name. A trademark signifies that a specific name, brand, product, or service is legally registered in your name. So, no one else is allowed to use it, or it may be deemed intellectual property infringement. Also, depending on your region or jurisdiction, you may have the option to make your trademark incontestable after a certain period. This adds to the protection of your trademark.
Should any conflicts arise because of your legally registered trademark, you’ll have the law on your side. This also means that if you prevail in a court case, you’ll be able to sue the other company or person for damages.
4. Gives You Operational Freedom
Once you have a trademark, you now have the liberty to conduct business freely. If you don’t have a trademark, there’s a chance that conflicts may arise. Someone in a foreign country could register the exact name (or a similar one) before you do. In such an instance, you may not have leverage should legal proceedings arise because, technically, they legally registered the name.
Most legal disputes unfold in this manner and it’s hardly intentional. Keep in mind that all over the world, hundreds, if not thousands, of trademark applications are submitted daily. You may be shocked to find that the name you had in mind is already taken. This happens often but you’ll be free to operate without worry if you have a distinct registered trademark.
5. Creates Better Relationships
Trademarking your business may increase its credibility. Certain cultures could see you more favorably if your company has a trademark. Prospective partners may be concerned about this because they’ll also be investing in your company. Since they’ll be introducing your products or services into their country, their reputation is also at stake. They also want to be protected. For example, if your product is defective, it may help to have a warranty on your branded products because it shows that you’re accountable for the defect. So don’t underestimate the value of having a trademark.
6. Good For Marketing
The trademark sign is also useful in marketing. You may be familiar with several well-known companies in your area that carry the “R” sign, which represents a trademark. That emblem is useful in marketing since it conveys credibility. This may improve consumer trust and encourage the general public to take your company seriously.
Conclusion
The most significant benefit of registering your company’s trademark is its legal protection. Legal disputes arising from trademarks are often unintentional. But it’s also caused by entrepreneurs that don’t prioritize the legal process of trademarking. If you haven’t registered yet, consider obtaining a trademark for your brand or business as soon as possible. That way, you can operate your business without much worry.