Do I Have To Trademark My Business Name?

Do I Have To Trademark My Business Name?

Managing your own business can pose significant challenges for even the smallest entrepreneur. As a small business owner, you are likely aware of the numerous demands on your time and finances, including various legal issues that occasionally arise. Ignoring these issues can cost you more time and money in the long run, making it important to consider addressing them earlier in the establishment of your business. One important question you may face is whether to trademark your business name or logo. Ultimately, you may ask: Do I have to trademark my business name? Learn why you should apply to protect your intellectual property and ensure your legal and financial rights remain protected. Learn more by scheduling an appointment with the Jennifer V. Abelaj Law Firm by calling 212-328-9568.

What Happens If You Don’t Trademark Your Business Name?

The United States Patent and Trademark Office issues trademarks. When a company does not trademark its name, it will not have these specific legal protections under the law. Someone else could use their logo, brand name, or other identifying marks without as much legal recourse. As a result, the dilution of a brand can also confuse consumers in the market. A customer may believe they are purchasing a product or service from one company, but it is a competing brand selling a similar item. 

Without a legally enforceable trademark, the process to defend and protect the company’s intellectual property from infringement may be more complex and challenging. Additionally, the infringed business is not always successful in its legal claims. 

Should I Copyright or Trademark My Business Name?

When forming an LLC or corporation, the USPTO will only grant an applicant the proposed business name if it is not already used by another business. If the business name is approved but remains unregistered, it will receive common law trademark protection, preventing other companies from registering under the same name in the state. However, unregistered businesses, such as sole proprietorships and partnerships, can still use that business name. 

Do I have to trademark my business name? While registering your business name can offer some protection against others using a specific business mark in an operating area, more is needed for any business with an online and/or nationwide presence. In those instances, it is advisable to consider trademarking a business name to protect against unauthorized use throughout the United States. The USPTO grants trademarks that will hold precedence over business names and state-level marks. Trademarking a business name gives the holder a significant brand reputation and presence. Many companies may want to consider trademark registration to safeguard their identity and reputation. Trademark registration offers several advantages, including:

• Nationwide protection
• Legal presumption of ownership
• The ability to sue for infringement
• The ability to use the ® symbol

Should I Trademark My Business Name Before Forming My LLC?

When starting a business, protecting both personal liability and brand reputation are often two common priorities. According to the Internal Revenue Service, a limited liability company (LLC) is an effective way to protect personal liability. On the other hand, trademark registration safeguards brand identity. However, which should come first, an LLC formation or a trademark registration?

While there is no definitive answer, it is generally recommended to form an LLC first because the trademark needs an owner, typically the entity that will use the intellectual property within the course of business. If the plan is to operate the business using the trademark under the LLC, the LLC should be the trademark owner. Therefore, the LLC needs to exist before the trademark application is filed. Filing for the trademark first could result in the individual filing the application and owning the trademark, which may not match the intended trademark owner, i.e., the LLC. The trademark would then need to be assigned to the LLC later, which can only be done during specific phases or used by the individual before assignment to the LLC. Failure to do so may lead to cancellation or invalidation of the trademark. Forming an LLC or business entity before filing a trademark application could be advisable to avoid these issues. Schedule an appointment with the experienced intellectual property Jennifer V. Abelaj Law Firm to learn more about which option is right for you. 

Do I Need to Trademark My Logo and Business Name? 

It is often recommended to trademark both the name and the logo of a company since they protect different aspects of the brand. While the name protects the literal part of the brand, the logo protects the graphic representation of that name. However, if a company has a limited budget and can only afford to file for one, there are specific considerations to remember.

If the logo is just an image or icon without a name, some companies may want to protect the name as it is usually more important than the logo. If the logo contains both the icon and the name, it is called a combined mark, and if the company can only file for one, it should be the combination of the image and the name. However, if the name registration is problematic, companies may opt for the logo to make their brand distinctive from others. In this case, the logo would be used as a trademark to make the brand stand out, while the name might not be registered. If the name and logo are perfectly registrable, the name may be more important than the logo.

Reach Out to a New York Intellectual Property Attorney

Do I have to trademark my business name? Trademarking your business name and logo is vital in protecting your brand and ensuring its long-term success. While deciding whether to trademark your name or logo may depend on your specific circumstances, you will want to understand the basics of each and make an informed decision. As a small business owner, you will want to address legal issues as they arise to avoid potential complications down the line. You can focus on growing your business and achieving your goals by taking the necessary steps to protect your brand. If you would like to learn more about trademarks and how they can fit into your estate plans, please consider scheduling an appointment with the Jennifer V. Abelaj Law Firm by calling 212-328-9568.