Importance of trademarks in start-ups: 7 reasons

In present world, a trademark is quite essential for any goods, services, advertisements, etc. That is the reason why consumers are exposed to this term daily. If we take some brands example like a band-aid, pampers, chapstick, etc. then people are treating them as the real product rather respective brands.

When a company newly start its business or a start-up, then it needs to register its properties as a trademark. If you look into a large company, then that company is not only thinking about its services, company name, product design, type of product, tagline, etc. before starting the business but also register its properties as the Trademark. Now its states that the benefits of a Trademark will be helpful throughout your journey and also Trademark contributes a lot in start-ups to become successful.

Following are seven reasons which state the importance of Trademark for start-ups:

1. Spread brand awareness

Trademark provides a right granted by start-up securities. Through Trademark, a brand owner can prevent others from using his brand in an identical form. Also, by Trademark, a company can create brand recognition for its products and services which can help that owner to leg up with market completion.

2. Attracts employees to join

A trademark helps a start-up to create a reputed brand image. When your business can create a reputed image in market, then people will show more interest to join that organization. If the number of employees rates are growing, then it`s a positive sign for company as well as its growth. Suppose you need a loan for your business then, your bank will consider your Trademark as an asset.

3. It prevents future legal issues

If your business is not registered for its Trademark, then that business may face legal issues in future. In case you do not register your business then in future legal actions may take against your business in case the same products, design, tagline, brand name, etc. as others. In such case company will require to change its website, campaign, advertisement, design, etc.

With trademark registration, a start-up can prevent another company from using the same brand name, products and services.

4. Trademark is for a lifetime

A trademark only needstimely renewal, but it`s for your entire lifetime. Once you register, then it`s like a permanentasset for you. We can take the example of behemoths as mentioned earlier, such as Pampers and Jacuzzi, though they have power-houses in their respective domains; still, they are working to grow their quality. It`s an importance of Trademark, and there a governing body can never refuse for application of that start-up.

5. Company`s large asset

It will increase the value of your business which is essential for a start-up. Along with that if you have brand value, then your customers will automatically attract towards you, which results in great brand recognition. Also, it will help you to adopt required strategies for marketing, campaigning and advertisement, etc.

Once a start-up gained a reputation, then consumers will start assuming the business trademark from its growth. Trademarks are beneficial for a business in following situations:

1- Product line diversification
2- Franchising will develop through proper licensing
3- Sales volume and brand value can increase

6. Improve people faith towards your business

Trademark will bring customers credence towards your business, and a business name can grow. If a business has not done its Trademark, then that business would ensue various unfavourable results.

Moreover, if a business has a proper trademark, then people have faith for its brand quality and success as well. Along with that, competitors also believes this business success and feels something worth copying, take reference, adopting, etc.

Do you want to make your business worthy for its brands? Then puts a little extra effort and register your business for Trademark and give a turning point to your business towards success. It will also attract targeted customer for your business.

7. Create an autonomy sense for business

It is not something new that market highly fluctuates as well as saturated based on different market niches such as size, growth, volume, quality, etc. Start-up is like being a small fish in a large pond where thousands of bigfishes have already existed. So it`s quite tough for a start-up to become sustainable. In this case, a trademark can help a business or new start-up to bring recognition.

Trademark will protect a business by being a protective cover. It protects your business directly and indirectly. Also helps to establish a brand reputation for your business.

Wrapping Up

For a newly started business, a trademark should be a significant priority. It will protect the business in all adverse situation and helps to sustain the business in the long run. It`s quite essential from the beginning days, which will help you to keep away from all financial losses.


1- What is a Trademark for a company?

If you are at the initial phase, then there are seven reasons which can describe the importance of your business. It will provide legal protection to a brand and also provides lifespan forever.

2- What does it offer to an employee?

A trademark will provide a reputation to your business which will boost the employee`s morale. Along with that, it increases your company value which will convince more employees to join.

3- How can Trademark increase the value of my company?

It diversified the company portfolio and other intellectual properties or invisible assets. Interestingly the massive part of company value will come from these intangible assets.

4- How to register for a trademark?

Previously the registration process is quite hectic and full of lengthy processes. But now we are at the growing edge of technology, and the online registration is free of hassle.

5- When I have a registered trademark need, then whom should I call?

A reputed firm with dedication towards trademark registration should be your first choice.

Important: Please note that the information on this page / site is provided as general information for better understanding for the user and does not constitute tax, legal, or other professional advice and must not be used as such. Please consult your professional adviser(s) if you have any questions / doubts regarding the above.


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