Key benefits: how a trademark helps build and protect your business
Trademarks uniquely identify and build your brand.
Even a simple trademark can pack a lot of information. That’s because they can consist of words, a phrase, a logo or even a design (such as packaging), any of which can be combined into a single trademark. This makes trademarks a highly effective communications tool. They not only identify your business, but get you started in communicating your story or product line. A trademark identifies you at a glance, helping you stand out from the competition and providing a strong competitive edge for your brand.
Trademarks add value to your business.
That strong brand identity, of course, helps increase revenue and adds value to your business. But the trademark itself grows in value too. Consider Amazon.com as an example. The trademark appears simple: the word amazon with an arrow leading from a to z, which also doubles as a smile. Furthermore, the word “amazon” serves as the domain name of the public-facing company website. That’s a lot of information and meaning in a small space. Without the trademark, the company would be far less recognizable. In fact, some design elements have been carried over to other Amazon enterprises such as Amazon Web Services.
Registering your trademark provides legal protections.
According to the United States Patent and Trademark Office, “You become a trademark owner as soon as you start using your trademark with your goods or services.” Those rights are, however, limited. For instance, they apply only to the geographic area where your goods or services are provided. That fact alone presents challenges should you ever hope to expand, and the issue is further complicated by e-commerce businesses that exist entirely or chiefly on the world wide web. Additionally, not registering your trademark leaves you open to others copying or mimicking it. Without proper registration, the burden of proof of initial ownership would likely lie on you. If it’s your opening day, that may mean going back to the drawing board, contracting another designer or even changing the company name. That’s bad enough by itself, but imagine how much worse it would be if it happened after 10 years of reputation building!
You ensure your trademark is not already in use.
Registration also provides another major legal protection—by registering your trademark, you ensure that something similar is not already in use. Does it seem likely that someone will use the exact same logo? Maybe not, but what about the same catchphrase or company name? Any of these may lead to legal action which costs money both in legal fees and lost business. You may even have to pay the claimant for damages. And remember, all of this comes on top of having to start over with your established brand identifier—your trademark. Registration helps ensure that every element of your trademark lies within your legal rights to use.