Protecting Your Startup's IP: A Founder's Guide

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For startups, intellectual property is often the most valuable asset. Protecting it early can prevent costly disputes and strengthen your position with investors.

Trademarks: Register your company name, logo, and product names with the USPTO. Federal registration costs $250-$350 per class and provides nationwide protection. File as early as possible — trademark rights are based on first use in commerce.

Patents: If your startup has a novel invention or process, consider filing a provisional patent application ($320 for small entities) to establish a priority date. You then have 12 months to file the full application.

Trade secrets: Implement confidentiality agreements (NDAs) and limit access to proprietary information. Under the Defend Trade Secrets Act, you can pursue federal claims for trade secret misappropriation.

Employment agreements: Ensure all employees and contractors sign IP assignment agreements. In California, remember that Business & Professions Code §16600 restricts non-competes, but IP assignment clauses are generally enforceable.

Copyright: Software code is automatically copyrighted upon creation, but registration ($55-$65 online) provides additional legal protections including statutory damages and attorney fees in infringement cases.