Common errors made by entrepreneurs while filling for IP registration

IPRCORPORATE LAWS

Gargee

6/9/20254 min read

When starting a new business, mistakes are normal and unavoidable, especially for newcomers to the market. However, when it comes to intellectual property (IP), some mistakes can result in significant losses and high risks in the long run. Intellectual property is widely considered one of the cornerstones of a successful business, playing a vital role in protecting innovative products and services. Entrepreneurs and startups secure IP rights through the registration of trademarks, patents, copyrights, and designs. The significance of IP protection is diverse: for instance, patent rights protect your innovative product and its uniqueness, trade secrets ensure protection from competitors, and registration of a trademark protects the quality and originality of a business.

Many entrepreneurs struggle or fail to recognize the full scope of their IP and its protection. They often overlook the legal aspects of IP and do not properly understand the procedures. These mistakes lead to expensive delays, costly and time-consuming legal disputes, and loss of rights. This article explores the common errors or mistakes made by entrepreneurs when filing for intellectual property or IP registrations.

1.Not Doing Comprehensive IP Search-

Failing to conduct a comprehensive search before filing for IP registration is considered one of the most frequent mistakes. This step is crucial for registering an IP and is critical to ensure a full search is done. Most entrepreneurs tend to avoid this step, assuming their brand name, logo, or any invention is innovative and unique and will not create any issues during registration.
A thorough and complete trademark search should include exact matches and similar names, logos, slogans, or taglines in the same class of goods and services in the same industry. This is essential because similar trademarks have the potential to create confusion among customers and also helps ensure that the proposed IP is not infringing any existing rights. To perform a full search for similar marks, inventions, or designs, entrepreneurs may use official databases, e.g., IP India, WIPO, etc. They must consult an IP attorney or seek professional advice for a comprehensive and detailed assessment.

2. Weak or Generic Names-

Entrepreneurs or startups often select product or company names that lack distinctiveness, making the mistake of not selecting a strong mark capable of distinguishing their goods or services from those of others. In the case of generic and weak trademarks, applications may be denied by the office. Suggestive marks may result in registration; for example, APPLE for electronics. These marks do not directly describe the products or services but require imagination to link the two together. Fanciful or made-up marks or words are also considered strong and generally do not create issues in registration.

3.Not Identifying All IP Assets-

One of the common errors on the part of entrepreneurs is failing to recognize the full scope of intellectual property belonging to them. Many startups and entrepreneurs often concentrate on patents or trademarks only and underestimate the registration of other IP assets such as copyrights, designs, or trade secrets. They often neglect the combination of registrations. This mistake can be avoided by taking the simple step of conducting an IP audit in a timely manner and identifying what makes their business different from competitors.

4.Not Seeking Professional Advice-

Registration of intellectual property or IP is usually considered costly by entrepreneurs. When it comes to new startups or enterprises, entrepreneurs face financial constraints, which leads them to adopt a do-it-yourself (DIY) approach and avoid seeking advice from legal professionals who have expertise in the field, to avoid their fees. While entrepreneurs may think this benefits their business, it can create issues or mistakes that are irreversible. The use of generic online forms for contracts or agreements may further complicate the application due to the complexity of IP law. This approach can result in incomplete applications and unenforceable rights. To avoid these losses, entrepreneurs must consult with IP legal professionals and seek their advice to prevent greater loss.

5.Delaying IP Registration-

As the registration of IP is often done on a first-come, first-served basis, registering these valuable IP assets on time becomes necessary. Delay in registration may result in losses to entrepreneurs. Such delay increases the risk of losing rights or even the novelty of products in the case of patents. There are also chances that another competitor files an application for registration of the same or similar IP before you; in this case, all the exclusive rights will be conferred to them and you may face legal disputes.

6.Improper Documentation-

Proper documentation is also a significant and critical step while filing for IP registration, and lacking it can be a common mistake by entrepreneurs. It may have serious consequences as well. Proving ownership over products or services can be difficult without clear, accurate, proper, and complete documentation before the court. This mistake may become the reason for delay in registration or rejection of applications. If you do not have proper documentation, you may lose the right to defend your IP as well. These mistakes can be avoided by documenting in advance and double-checking for accuracy, maintaining detailed records of every IP asset.

7.Public Disclosure of Ideas Before Filing-

People want appreciation from others for their creativity or efforts, and that is why entrepreneurs often get excited to reveal their innovations at shows, pitch competitions, or even very commonly on social media platforms. In this hurry, they often forget to secure protection by way of IP registration. Public use of any invention leads to loss of its novelty, and the entrepreneur loses the right to a patent on their innovation. Similarly, not using non-disclosure agreements while sharing confidential information prevents trade secret protection.


In conclusion, mistakes or errors are part of human life and business. However, errors in IP registration can have significant and sometimes irreversible consequences. Entrepreneurs should prioritize IP protection while making business strategy, and before filing an application for registration, they must consult an expert for advice and guidance and adopt all measures beneficial to safeguard their assets. By avoiding these common mistakes, startups and entrepreneurs can better protect their innovations, minimize legal risks, and build a strong foundation for long-term success.