If you are like a lot of small business owners, you may not have given a whole lot of thought to protecting your intellectual property (IP) assets. You are probably extremely busy just trying to keep the lights on and grow your business into something sustainable. Plus, IP assets may seem like something that only huge companies with well-known brands need to worry about. But those big companies started out small, too. And often one of the reasons they became so big is because the owners understood the value of protecting their IP assets from the very beginning. 

No matter how big your business is, ignoring your intellectual property assets is a mistake. In fact, your company’s IP assets are likely among your most valuable resources. These assets — which include trademarks, domains, copyrights, patents, and trade secrets — are what distinguish your business from competitors, safeguard your innovations, and contribute to your brand’s identity and market value. 

Quite simply, failing to protect your IP can lead to loss of revenue, reputational damage, and even legal disputes. So, what can you do? Here are several actionable steps that we recommend all small business owners take:

Step 1: Identify Your Intellectual Property

Makes sense as a first step, right? After all, you cannot protect your IP assets until you understand what you own. Generally speaking, your intellectual property will fall into one of these categories:

• Trademarks protect brand names, logos, and slogans
• Domains usually contain the company name/trademark
• Copyrights safeguard original works like articles, videos, software code, and artwork.
• Patents apply to inventions, processes, and designs that are novel and useful.
• Trade secrets include confidential information like recipes, formulas, and business strategies.

We suggest conducting an IP audit. This will enable you to inventory these assets and assess their value to your business.

Step 2: Register Trademarks, Copyrights, and Patents

What is the logical next step after figuring out what kind of IP your business has? Registering it!

Formal registration of trademarks, copyrights, and patents is the most valuable form of protection because it enhances your IP rights and makes enforcement easier. 

If you choose to prepare and file your own applications, make sure your applications are done correctly so they are not refused for some minor issue that you do not understand. Usually, hiring an IP attorney to prepare and file trademark, copyright, and patent applications will save you a lot of time and money in the long term.  

Step 3: Use Contracts to Safeguard Trade Secrets

Your trade secrets are only protected if you take reasonable steps to keep them confidential. 

Use non-disclosure agreements (NDAs) and non-compete agreements with employees, contractors, potential investors, and partners who have access to sensitive information. Make sure that your NDAs clearly define what constitutes confidential information and the consequences of breaching the agreement. Finally, limit access to trade secrets so that they are on a need-to-know basis – lock them up in a safe or make sure you are using secure passwords on any computer systems that contain trade secrets.  

Step 4: Monitor for Infringement

Some people believe that registering their IP means that would-be infringers will be caught and stopped automatically. Sadly, this is not the case. If you want to ensure that no one uses your intellectual property without permission, you need to proactively monitor for unauthorized use.

Set up alerts for your trademarks and copyrights online, and periodically review industry publications and competitor activities. Tools like Google Alerts or specialized IP monitoring services can help. If you discover infringement, act swiftly by sending a cease-and-desist letter or consulting an attorney for further action.

Step 5: Educate Your Team

Talk to your employees about the importance of IP protection. Provide training on how to recognize and respect IP rights, and emphasize adherence to your company’s confidentiality policies. Make it clear that breaches of IP protocols will have serious consequences.

Step 6: Maintain Detailed Records

Keeping accurate records of your IP assets can be a lifesaver if a violation occurs. For copyrights, save drafts and publication records; for patents, keep detailed documentation of your invention process; and for trademarks, track where and how you use your marks.

These records will strengthen your position in any disputes or enforcement actions. In addition, maintaining an accurate inventory of your IP assets will be valuable when you decide to sell your business.

Step 7: Consult an IP Attorney

Navigating IP law can be complex. An experienced IP attorney can help you register your assets, manage the filing of maintenance filings with the USPTO, draft contracts, and develop strategies to enforce your rights. Regular consultations ensure you are keeping up with legal developments and protecting your assets effectively.

Do not let your hard work and creativity go unprotected – invest in your IP today to ensure a secure and prosperous future for your business.