The importance of patentsMay 24, 2016 3:04 pm Leave your thoughts
As an exclusive right for an inventor or innovator, a patent is one of the most important business assets that you can secure. But understanding how patents generate income can be tricky. With only 2 to 3 percent of all patented products making it to market, it may seem as though filing a patent is unnecessary at best – or, at worst, an expensive hassle and possible delay before you can begin selling a product. Still, by filing a patent with the government, you are securing your invested time and resources and setting yourself up for future dividends.
"Registering a patent secures your market position."
Registering a patent essentially secures your market position for a particular product of your design. It creates a government record of you as the creator of a particular product as well your exclusive right to market that product. This means that if your product is copied by a competitor, you have legal recourse to compel them to remove that product from the market, obtain a portion of the income generated by the copycat, or sue your competitor for damages.
Even if a competitor is marketing a dramatically different product than the one you patented – such as a streamlined and updated version with additional features – a patent can still protect your investment. So long as you can prove that the knock-off features proprietary design elements that you innovated and registered as part of the patent, you have a legal claim to the market share of the modified product.
Finally, even if you have no intention of selling your invention yourself, a patent is an asset that can be sold or licensed as a form of income. You could be generating money without having to produce a single thing outside of the prototype.
The Law Offices of Donald W. Hudspeth, P.C., have years of experience handling asset protection. To find out more, get in touch today.
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