Intellectual property: the basics

Intellectual property (IP) exists in many forms. From the name of your business to an innovative new process or product, IP can help you stand out from your competitors, enhance your market value and turn ideas into profit-making assets.

Examples of intellectual property

Your business may already have a range of IP. IP can be any of the following:

• brands and logos
• product names
• inventions and products
• original software
• designs
• shape and appearance of a product
• music
• books
• poems
• paintings
• photography
• other kinds of creative work

IP can be very valuable and should be protected. The type of IP protection you can get depends on what you have created.

Types of intellectual property rights

There are four main types of IP rights:

• patents
• trade marks
• copyright
• designs

It is important to understand exactly how these different types of IP rights can apply to your business. Browse our detailed guides on patents, trade marks, copyright and design to find out more about each.

Find out what IP you own

If you own a business, you likely own some type of IP. You can carry out an intellectual property audit to determine what IP assets you have and their value to your business.

To get a better understanding of IP and how to manage it, you can also use the Intellectual Property Office's IP for Business toolkit. It offers:

• IP Equip tool - covering four main types of IP rights
• IP Health Check tool - offering a confidential report tailored to your business
• B2B toolkit - an IP checklist for businesses wishing to collaborate with others
• IP for investment tool - for IP-rich businesses that are seeking equity finance to grow

You can also watch the IPO's video below to gain a greater understanding of IP basics.

Intellectual property (IP) rights protect genuine business assets that can be vital to your products or services, or the success and profitability of your business.

There are many advantages to securing your intellectual property rights. 

Enhance the market value of your business

IP can generate income for your business through licensing, sale or commercialisation of protected products or services. This can, in turn, improve your market share or raise your profits. In case of sale, merger or acquisition, having registered and protected IP assets can raise the value of your business.

Turn ideas into profit-making assets

Ideas on their own have little value. However, IP can help you to turn ideas into commercially successful products and services. Licensing your patents or copyright, for example, can lead to a steady stream of royalties and additional income that can boost your business' bottom line.

Market your business' products and services

IP is essential in creating an image for your business. Think trade marks, logos or the design of your products. IP can help you differentiate your products and services in the market and promote them to your customers.

Access or raise finance for your business

You can monetise your IP assets through sale, licensing or using them as collateral for debt financing. As well as this, you can use your IP as an advantage when applying for public or government funding, eg grants, subsidies or loans.

Enhance export opportunities for your business

IP can increase your competitiveness in export markets. You can use brands and designs to market goods and services abroad, seek franchising agreements with overseas companies, or export your patented products.

While some IP rights are automatic, others will need formal application and registration before you can claim them. Read more about the different types of intellectual property and the importance of protecting them.

You can also watch the Intellectual Property Office's video below that explains why IP is important to your business.

Most businesses create and own some type of intellectual property (IP). Depending on what you create, you can use patents, trade marks, design right and registration, or copyright to protect your intellectual property assets.

Different rules apply to different types of intellectual property.

Protection through patents

Patents protect inventions, including the features and processes that make things work. You have to apply for and register a patent to secure protection. See more on IP rights: patents.

Protection through copyright

Copyright protects published artistic work, including writing, film, music and computer software. Unlike most other forms of IP, copyright applies automatically when the work is first published. Read more about IP rights: copyright.

Protection through trade marks

Trade marks are signs that distinguish between goods and services (eg words, logos, brand names, pictures, shapes, sound etc). You don't have to register a trade mark to use it, but registration grants you exclusive rights for its use. Read more about IP rights: trade marks.

Protection through designs

A design refers to the features of shape, configuration, pattern or ornamentation that give a product its unique appearance. You can protect designs through automatic unregistered design rights or design registration. Find out more about IP rights: designs.

Other types of IP protection

Depending on the IP assets that you wish to protect, you may also want to look at:

• confidentiality agreements
• non-disclosure agreements

Find more tips and advice on protecting intellectual property.

Patents are one of the four basic intellectual property (IP) rights. Patents protect the methods and processes that make things work. There are strict rules that determine what you can and can't patent.

Can you patent an idea in the UK?

You cannot patent an abstract idea. You must be able to put the idea into practice, eg turn it into an invention, in order for it to be patentable.

You can only patent an invention if it is:

• new - not already known to the public before the date a patent is applied for
• inventive - not an obvious modification of what is already known
• capable of industrial application - ie can be made or used in any kind of industry

For examples of what you can and can't patent, see can I patent my idea or invention.

How do you get a patent?

To protect your right to exclusive use of your invention, you must apply for a patent. Patent application procedures can be complicated and take significant time. Some inventions may need more than one patent to secure full protection. You may also need to seek patent protection in more than one territory.

Find out how to apply for a patent.

Patent attorneys can help you search for existing patents, prepare patent applications and make sure that you are not infringing anyone else's intellectual property rights.

Patents are a valuable form of intellectual property, and like all property, you should protect them. If you have a patent and someone uses it without permission, you have the right to claim for compensation. Read more about patent protection and enforcement.

For a quick introduction to patents, watch the Intellectual Property Office video below.

Copyright is an automatic intellectual property (IP) right that you get when you create an original piece of written or recorded literary, dramatic, musical or artistic work.

Copyright applies to any medium and can cover many types of work. If you create a lot of original work, copyright can generate important income for your business.

Find out more about copyright for your business and read about your economic rights from owning copyright.

How to use copyright?

If you own a copyright, you can decide whether to:

• allow other businesses or people to use the copyrighted work
• allow work to be copied, adapted, published, performed or broadcast
• allow other businesses to use work for a royalty or licence fee
• sell the copyright

If someone you employ creates copyrighted work for you during their normal course of employment, you will own the copyright unless you agree otherwise. It is possible for two or more people to be joint creators and/or joint owners of the copyright.

See more on contractors and copyright.

How can you copyright your work?

Unlike most other IP rights, you don't have to apply for copyright. There is also no official register of copyright holders in the UK. To help protect your work and identify yourself as the owner of the copyright, you should mark it with:

• the © symbol
• the name of the copyright owner
• the year in which the work was created

Find out more about managing your copyright.

For a quick introduction to copyright, watch the Intellectual Property Office video below.

Trade marks are common intellectual property (IP) assets. They are signs used in trade to identify products and services in the market, or the business that supplies them.

What can be trademarked?

Trade marks can take many forms. They can be:

• symbols
• logos
• words
• names
• colours
• gestures
• a combination of these elements

You may not be able to register all your identifying marks as trade marks. There are rules on what makes acceptable marks - see what is a trade mark.

What does having a trade mark mean?

For nearly all businesses, trade marks are highly valuable. They can protect your brand, prevent counterfeiting and fraud, and increase your recognition in the market place.

You can register your trade mark to get exclusive rights to use, licence, franchise or sell it. Trade marks are territorial rights, so bear in mind you may need to protect your mark in multiple markets if you trade overseas. See how to register a trade mark.

How to protect your trade marks

Whilst you don't have to register your trade mark to use it, registration will give you the strongest protection. If someone is using your registered trade mark without authorisation on competing or related goods or services, this may constitute trade mark infringement.

Read more about protecting registered trade marks.

Even without registering your trade mark, you may still be able to take action against someone who uses your mark on their goods or services without your permission. This is known as 'passing off'.

For a quick introduction to trade marks, watch the Intellectual Property Office video below.

Designs protect the visual appearance of a product or a part of a product. This appearance can be affected by shape, contour, arrangement, textures, materials and colours.

There are two ways of protecting designs in the UK: unregistered designs and registered designs.

Unregistered designs

Unregistered designs protect:

• the shape and configuration of a 3-dimensional object (this is known as 'design right')
• the appearance of a 2-dimensional or 3-dimensional product (this is known as 'supplementary unregistered design right' or 'continuing unregistered community design' if you made your design public in the UK or the EU before 1 January 2021 )

Registered designs

Registered designs protect any aspect of your design, for example the product's appearance, shape, configuration and decoration.

There are important differences between unregistered and registered designs:

• registration gives you the right to prevent others from using your design for up to 25 years, provided you renew your registered design every five years
• design rights are automatically protected in the UK for whichever ends first – either 10 years after the design was first sold or 15 years after it was created
• supplementary unregistered design right is protected in the UK for 3 years from the date you make your design public

Registration also makes taking legal action against infringement and copying more straightforward. See how to register a design.

Your design can be an important business asset and - since you can sell or license it - an additional source of revenue. See more about the advantages of protecting your design.

For a quick introduction to registered designs, watch the Intellectual Property Office video below.

Even the smallest of start-ups may have intellectual property (IP) worth protecting. From your business name to the innovative design of your product, you will have assets that set you apart from other businesses in the market. The importance of these IP assets will only grow as your business matures, so it is important to get things right from the start.

This checklist provides an overview of some of the key IP considerations for start-up businesses and the steps you should follow when setting out.

1. Carry out clearance searches

Before you invest time and money in building up your business under a particular name, check that this name isn't already in use. Search for trade marks that are in use, both registered and unregistered, and remember to check names as well as logos. This will help avoid unnecessary conflict with any pre-existing rights. Find out how to search for trade marks.

2. Check if a domain name is available

Before you decide on your trade mark, you may want to check if a suitable domain name is available. You will want one that relates to your chosen trade mark and hasn't already been taken up. You may want to check for and register variants of your chosen domain name. This may help you avoid some common domain name and trade mark conflicts.

3. Register your trade name, brand and logo

Registration will help you to secure your rights and protect your assets from misuse. Trade marks are territorial, so you will need to register them in territories that are relevant to your business. Find detailed guidance on trade marks.

4. Identify other types of IP assets you may have

As well as trade marks, you may have other types of intellectual property worth protecting. For example, design assets that you can register or innovative processes and equipment which you can patent. Carry out an intellectual property audit to help you identify the IP that you have and its value to your business.

5. Keep information confidential

Take care not to disclose information about any new ideas or inventions before you've applied for protection. This is especially important when it comes to patents, as disclosure can make your application invalid. Consider different ways of securing confidential information - for example, through non-disclosure agreements.

6. Protect your unregistered IP

Certain rights arise automatically - ie you don't need to apply for protection. For example, copyright and unregistered design rights. Since there is no registration with these rights, it may be difficult to prove ownership or argue infringement if someone is misusing your rights. It's good practice to keep documented evidence about the creation of your work to prevent possible conflict in the future.

7. Avoid infringing other people's rights

If you wish to use IP rights that you don't own, make sure that you seek necessary permissions in advance. You can license the rights or buy them outright. Take great care not to infringe other people's rights, since this can lead to reputational damage, legal action as well as potential fines and penalties.

See more on protecting intellectual property.