Small businesses not protecting their intellectual property

Survey results released last month show that over two thirds of UK SMEs are not protecting their intellectual property, says law firm Thomas Eggar.

The term intellectual property can cover everything from a company's name, logo and colour scheme through the design of its specific products to its business processes.

However, a startling 67 per cent have not protected their intellectual property by registration where available leaving it open to infringement. Trade marks are an excellent way of protecting the intellectual property in product and service names.

A trade mark distinguishes a product, service or brand, and provides legal protection for the owner. This can be a cost effective way of ensuring competitors cannot copy a successful brand name. Companies can also record confidential information in an ‘Innovation Logbook'*. Created by the DTI and the Patent Office, this document allows businesses to record chronologically their work, thereby helping to provide legal evidence of ownership.

Michael Camps, partner at Thomas Eggar, is concerned by these survey results: “Innovation is a key element of maintaining a successful economy. By failing to register their intellectual property, UK SMEs are not only threatening their own profitability but also the country's ability to compete on an international scale.

“Entrepreneurs should also be aware that safeguarding intellectual property can help to attract potential investors. Registering their intellectual property can be simple and affordable, so we would urge more companies to take advantage of this protection.”