Many people think that registering a business or company name means they own the name and can protect themselves from business identity theft, but this is not the case. Protection and ownership of your business or company name requires a trademark registration.

This is a common area of confusion and can easily result in huge financial stress and loss if not managed well. If you want protection and ownership, you need a trademark registration. If this comes as any sort of surprise, please spend five minutes of your time reading further to make sure you’ve not inadvertently left yourself and your business vulnerable. Having a solid understanding of what is a trademark could be what keeps your business afloat or shipwrecks it completely.

One of our clients thought she was protected by her business name registration. Out of the blue she got a ‘cease and desist’ letter to stop using the brand she had been using for nearly 8 years! She wasted time, money and energy (away from her business) to fight the action, but in the end she had to give in because the other company had a trademark registration and had it before she started trading. She had not known about trademarking her business, nor had her business advisors told her she should consider it before going into the marketplace with the brand. The bottom line for her was then to spend additional money and resources on rebranding. What Is A Trademark If It’s Not The Company Name That I’ve Registered?

The key to a trademark and to registration is it generally has to be a word/s, logo or combination of those that are unique to your industry. A trademark is a way of clearly establishing the source of the product or service, and building an identifiable brand that becomes synonymous with your company, rather than that a competitor. Think of some well-known brands like Apple®, Nike®, Revlon®, Telstra® – none of these brands describe the products or services which are branded with those names.

In order to register a trademark it has to undergo a rigorous application process to make sure it’s not the same or similar to any existing registered trademarks in the industry. Similarities between trademarks can create confusion in the marketplace, which needs to be avoided. A company name is a simply a government requirement so a person, or people, can be linked to the company under which they’re trading. Registering as a business or company does not automatically give you ownership of the name, and leaves you with very few legal rights against others. A company/business name can be issued almost instantaneously and can be similar to another company name.

At What Point Do I Need To Be Thinking About Trademarks?

It’s important you’re serious about your intellectual property from the start. The question ‘do I need a trademark registration?’ needs to be one of the first considerations when you’re starting on a business journey. If you think you have a brilliant idea for a name for your service or product, chances are someone else will think so too. A trademark is a valuable asset that adds weight to your business. It encompasses all the hard work, equity, relationship building, the service, development, the integrity and effort you’ve put in to building your reputation. A trademark is something you can sell / transfer with your business or as a franchise. A trademark is the most surefire way to prevent business identity theft.

I Haven’t Registered A Trademark Before. What Should I Do?

If you’re worried about whether another business is capitalising on your success, or you would like to know that you’re not unknowingly infringing on someone else’s trademark, and vulnerable to being sued out of the blue, the time to act is now. To assist you negotiate the minefield that can be trademark researches, classifications and applications you should use the services of a dedicated trademark professional. Consider the ramifications of getting a trademark registration wrong. You may not be able to rely on it if you needed to stop a competitor copying your brand.

The process takes the best part of a year, so it’s not worth lengthening that time by missing vital details, not having the time or knowledge to conduct due diligence research properly, or failing to register your trademark in all the necessary classes (there are a 45 different classes and your trademark may need to be covered in more than one).

Many business owners don’t realise they need to trademark their business before they spend money on graphic design, website development and marketing. Unfortunately this means they risk having to spend additional money and resources on rebranding if caught out.

Protect your brand today by contacting Suzanne Harrington, Trade Mark Specialist and Best-Selling Author, at Pinnacle TMS Pty Ltd.

Call 0425 558 867, email Suzanne or visit the Pinnacle TMS website.