Legal Update: Why intellectual property (IP) deserves a place on the agenda of every business

While IP rights offer a means to protect what makes a business distinctive – such as branding, content, designs, products or technology – many organisations fail to engage with the topic, assuming it’s too complex, too costly or simply not relevant to them. That assumption is often wrong and can result in missed commercial opportunities, increased risk exposure and a lack of readiness for future growth.

IP rights exist to help businesses resist unfair competition. They provide a legal basis to stop third parties copying important aspects of a business’s identity, product offering or creative work. Some such rights (e.g. trade marks, patents or design rights) can be registered, but some may arise automatically, in the form of unregistered rights like copyright or unregistered designs. Businesses often hold valuable IP without realising it, and with some strategic thinking, these rights can be enhanced, better protected, and more extensively exploited.

A sensible first step is for a business to conduct an IP audit. This means identifying what rights exist, where there may be gaps in protection and whether certain assets would benefit from formal registration. Unregistered rights may already be enforceable, but proper documentation substantiating the existence and scope of the right is essential. Businesses should ensure that contracts with employees and contractors clearly establish ownership of IP created in the course of work. Without this clarity, disputes over ownership can arise, particularly where external contributors are involved.

Once IP rights are properly identified and documented, they can become powerful commercial tools. A clearly defined IP portfolio can help attract investors, increase business valuations or support exit planning. Some businesses may also be able to license their IP to third parties, generating royalty income. Others may wish to use their IP as security to access finance. Registered rights, in particular, are visible and easily verified, which often makes them more attractive from a commercial perspective.

Enforcement is another important consideration. A common misconception is that enforcing IP rights inevitably means litigation. In reality, the vast majority of IP disputes settle early, often through a well-drafted legal letter. A tiered enforcement strategy helps businesses act proportionately, focusing resources on high-impact infringements while preserving budgets. In cases where formal proceedings are necessary, specialist forums such as the Intellectual Property Enterprise Court offer lower cost, streamlined alternatives to High Court litigation, making enforcement more accessible. Businesses can also register their rights with customs authorities, enabling border agencies to seize counterfeit goods before they enter the market.

Registration of IP rights can play a significant role in deterrence and enforcement. While patent applications can be complex and expensive – and may not be relevant to all businesses – trade mark and design registrations are generally straightforward and affordable. These registrations provide legal certainty as to the scope of protection and can help to prevent infringement at an early stage.

Unregistered rights also have a valuable role to play. Some, such as UK unregistered design right, can be more difficult to invalidate than registered equivalents. Unregistered rights also have the advantage of greater flexibility: their scope can often be defined in a way that closely matches the alleged infringement, increasing the chance of successful enforcement. However, they rely on clear records of ownership and creation, so good internal documentation is critical.

Another practical consideration is clearance searching. Before launching a new product or brand, businesses should check whether their proposed name, design or content could infringe third-party rights. Simple internet searches can identify obvious conflicts, but more detailed analysis of IP registers is often needed. This is particularly important where businesses operate in, or plan to expand into, multiple jurisdictions. Many countries operate on a “first to file” basis, meaning the first person to register a right will own it – regardless of who used it first. Failing to clear a new product or brand properly can lead to reputational harm, business disruption and costly rebranding exercises.

International strategy should not be an afterthought. Businesses with growth ambitions should consider registering IP in significant target markets early on. Centralising IP management through a trusted advisor, such as a UK-based IP lawyer, can help coordinate filings across multiple territories while ensuring consistency in approach. A centralised portfolio also enables harmonised enforcement, minimising management time and legal spend over the long term.

Technology continues to reshape the IP landscape. New innovations such as AI, software platforms and NFTs continue to emerge, and IP law is evolving to meet the challenge. Courts and legislators are increasingly willing to interpret existing frameworks in a way that accommodates emerging technologies. For example, UK and EU trade mark systems now recognise protection for digital assets such as NFTs, while changes to design law are underway to ensure protection extends to virtual products. Businesses operating in this space should seek advice early to ensure their rights are properly protected and commercialised.

Intellectual property is not just a technical or legal issue – it is a strategic one. Businesses that take the time to identify and protect their IP are often better equipped to grow, adapt and compete. By making a modest initial investment in an IP strategy – including audit, registration, documentation and enforcement planning – organisations can reduce risk, realise commercial value and improve readiness for future developments.

Furthermore, IP is not something that only applies to tech companies or creative industries. Most businesses have ideas, products, designs or branding worth protecting. Understanding how to harness those rights can make a meaningful difference – not just to legal risk, but to long term business success.

The content of this article is not legal advice, which it may be sensible to obtain before you take any decisions or actions in the areas covered.

‍Peter Workman, CEO

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