Small businesses need to improve awareness of Intellectual Property
A new study suggests that cost and a lack of awareness are the two main barriers faced by small companies when looking at the issue of Intellectual Property (IP).
The study, undertaken by Said School at Oxford University, for the ACCA, offers recommendations for entrepreneurs and smaller businesses to improve their IP awareness, while also recommending that professionals dealing with SMEs – including accountants – also raise their own awareness of IP.
Interviewing around 50 small enterprises, the report found that SMEs were also reluctant to consider IP due to not understanding its true value to their business.
When it comes to seeking advice, some respondents said they simply picked an IP adviser out of Yellow Pages, while others deliberately ignored IP issues saying “We just try to be quick into the market, just keeping ahead by being faster.”
The report says that business solicitors have an important ‘bridging role’ in encouraging SMEs to embrace IP, because they have links with accountants and patent attorneys. Venture Capitalists may also play a crucial role in enforcing higher standards of IP management as part of the endeavour to protect their investment with the small business.
"Every business owns some form of intellectual property"
Rosana Mirkovic, Senior Policy Adviser at ACCA’s SME Unit, commented:
“Every business owns some form of intellectual property – an artistic design, shape, technology, process or brand. Big firms tend to know that. But smaller companies are often too preoccupied with the day to day running of their business to really take stock of what they have and the need to protect it. This report highlights an important opportunity for accountants to help raise awareness of this need, and enhance their service to their clients in the process. Often, accountants are the first advisers small firm owners consult, and this first point of contact can provide a very useful basis to heighten IP awareness early on.
“Intellectual property is a significant issue for an increasing numbers of companies, but many know very little about how to protect or manage it. Business advisers, from Business Links to Accountants to Solicitors all have a part to play here in helping SMEs consider what it means to them.”
Posted May 27, 2009
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