Five New Cryptocurrency Startups You Should Know for 2018

By: Luke Roth

here’s no denying that in the world of cryptocurrency, there are four main coins people think of: Bitcoin, Bitcoin Cash, Ethereum and Litecoin. These are the most visible coins, they are worth the most, and they are the most easily accessible via Coinbase, the most widely used exchange. While these coins are all successful in their respective ways, it is not the coins themselves, but the way these coins can be used that makes them truly successful. Now that there are several established coins, the market is blooming with new startups looking to utilize those coins, as well as the blockchain technology behind them.

In the coming year, we will begin to witness a societal shift towards cryptocurrency, especially with online payments. Right now, many developers realize the great potential for cryptocurrency to help their ideas grow, and want to incorporate cryptocurrency into their startups. As we journey further into the age of information, it seems our new technology is advancing much quicker than our governments can regulate it, and cryptocurrency will widen the gap between technology and regulation even wider. From its ability to provide users with a bank in their pocket, to providing an avenue for those who have lost faith in the federal financial systems, cryptocurrency has many reasons why coins are the next gold rush, and there are several promising startups helping make that a reality.

Here are five knew startups you need to know about for 2018:

Cypherium

Cypherium is a cryptocurrency-based startup run by a team of developers with histories at Amazon, Google and Microsoft. This startup sees many flaws in the current blockchain, and wants to address it, not through patching up the current blockchain, but by creating their own superior version in the hopes that it will be widely adopted. Advised by cryptocurrency industry leaders Emin Gun Sirer and Jeremy Gardner, this project seems to be headed in the right direction. Their new blockchain will be widely scalable and permissionless for users.

Cypherium will become the only blockchain designer to implement a multi-level governance design aims to make this blockchain more secure than any other. They will be separating governance both at the protocol and applications layers. Cypherium shows real promise to compete in the blockchain market, especially as it actively seeks regulation so it can be most easily adopted for mass use, and is certainly a startup to keep an eye on for the coming year.

Rentberry

This decentralized, long-term rental platform has been disrupting the rental industry since 2015, and seems poised to take off in the next year. Rentberry uses the blockchain to automate steps in the renting process, from finalizing contracts to paying monthly rent, saving both the landlord and the tenants time and money, while expediting legal agreements between both parties. Most importantly, Rentberry’s blockchain and enhanced contracts technology allows tenants to save thousands of dollars in security deposits.

Rentberry began with $4 million in investments from 11 international investors, and has since gained another $3 million in crowdfunding. Their initial coin offering is currently live, and they are hoping to raise an additional $10 million during their sale. The platform has over 120 thousand users and growing. As the market for rental properties continues to grow, Rentberry provides a trustworthy solution to potential renters and landlords alike, wishing to make the rental process as seamless as possible. With interest from the likes of Forbes, NBC, Wall Street Journal and almost every major cryptocurrency news source, I see this platform exploding over the next several years.

Loci

Loci is a venture-backed technology startup best known for their patent research tool, InnVenn, is finishing a platform expansion which will allow it to include the ability to buy and sell intellectual property. Users do this via Loci’s native coins, called LOCIcoin. Loci aims to improve and update the patent process by posting creation and disclosure of new claims for IP onto the Ethereum blockchain.

Loci understands that patenting ideas and creations can be a very confusing and expensive roadblock to creating, especially for individual inventors as opposed to large corporations equipped with teams of lawyers. They see blockchain technology as the answer, since it can provide a much quicker, safer and more cost-effective way of procuring a patent. Overall, this could encourage more growth and competition on the global market, which is always healthy, and should be a great startup to watch grow over the next year.

Coinlancer

Coinlancer sees a problem within the existing online freelancing markets, and wants to address the problem through the integration of blockchain technology and cryptocurrency. Built on the Ethereum platform, Coinlancer addresses the problems currently faced by many online freelancers, such as unexplained account suspension, unaddressed and prolonged disputes, and failure to make payment, with the implementation of a safe, secure and transparent blockchain. Coinlancer will act as the host for job postings and freelancer accounts, as well as a wallet for transactions. For a project to begin, Coinlancer will need the agreed upon payments in escrow with them, offering security to both the client and the freelancer. These projects are paid out in Coinlancer tokens, of which the initial sale is happening now, which can be easily converted to or from over twenty different cryptocurrencies.

Among the technologies used by the Coinlancer platform are distributed ledgers, an open application programming interface, smart contracts, the blockchain and digital signatures. Each of these innovative technologies allow for further growth and optimization of the Coinlancer platform. If you are a freelancer, or in need of a freelancer, this is the platform you should be using, although you’ll have to wait, as full development is expected to finish in October of 2018.

Trippki

Trippki, created in September of 2017, sees a disconnect between hotels and the people that stay in them. They want to bridge that divide in terms of rewards. The Trippki platform is essentially a travel-rewards program that allows hotels to reward guests for staying with them. The platform is decentralized, and offers increased flexibility to hotels when compared with the already offered rewards programs, thanks to its masterful integration of the blockchain. Hotel-stayers can use their earned rewards tokens, called Trip tokens, to pay for hotel stays in the future.

This platform understands that travelers are constantly bombarded with offers for rewards based on their travel, but often these rewards come at a price. With Trippki, travelers will be rewarded for their stay, rather than rewarded because they chose from a list of preferred hotels with deals offered by their travel agent. The Trippki presale is open now, but the technology will not be complete until 2018. When it is ready to be used, I predict it will become a major player in the travel industry.

Are there any other startups you think I need to know about? Let me know in the comments below!

Source:
https://medium.com/wespostdotcom/five-new-cryptocurrency-startups-you-should-know-for-2018-b94e7bf8a2fe

Patenting intellectual property for artificial intelligence as complex as some AI code

By: Denise Deveau

Benjamin Alarie, co-founder and CEO of Blue J Legal, says the patent for its AI software for legal and accounting firms is filed and pending. But in an AI world, he’s the first to admit it is far from a simple process.

“Patents take three to five years to process. At the same time, technology is moving very, very quickly. If you wait too long to patent something that’s truly innovative, it’s likely someone else will file.”

Securing intellectual property (IP) can be a major hurdle for startups at the best of times. But software – and in particular AI — brings its own unique challenges.

“There are specific complications compared to mechanical patents that are more straightforward,” Alarie says. “For example, there are a lot of nuances there in terms of what is patentable. If you have a relatively small startup, it may be advantageous to have some IP protection in order to defend your work, but it can be very expensive. The key is, how much do you want to bite off to protect yourself?”

Organizations such as TD Bank Group are recognizing the challenges facing the startup community on the IP front. It has recently announced a $30 million investment pool that will provide patent funding and expertise to new fintech ventures, so they can focus on rapid growth and innovation. “The AI domain is exploding and there is lots of potential out there,” says Tim Hogarth, vice-president, Innovation Framework & Strategies. “This program is intended to help them move faster and get done more quickly.”


Speed is only one part of the equation, however. Guy Levi, principal with Levin Consulting Group in Wyckoff, N.J., notes that the first question on the part of investors, or anyone interested in a merger and acquisition of a startup or its technology, is whether they wholly and solely own its IP. Yet the answer is not that straightforward with AI.

“Why AI is so challenging is that patent law progresses linearly, while advances in AI move more quickly creating an accelerating return situation,” he explains. “In other words, the gap between issues created by advances in AI technology and the ability of the law to address them is getting wider. Three to five years is pretty much an eternity in the AI world and any time in that process, you could be stepping into someone else’s IP.”

The disturbing problem at Canada’s Patent Office: It’s suddenly denying medical test patents
Carmakers are trying to steer past patent wars in bid for integrating Silicon Valley tech
One major issue is that AI startups typically use one or multiple open source software resources to build their solutions. But not all licence agreements are the same, Levi notes. “Some don’t allow you to protect your IP; others exclude you from excluding others using the source codes; while still others allow you to get a patent, but restrict you from enforcing any claim. The problem is, most companies do not know what open source they have.”

A second and intriguing challenge is that machine learning by its nature constantly writes its own code to improve itself. So who is the owner or inventor and how do you know if that code infringes on someone else’s IP?

The third conundrum is, what exactly do you protect, whether through copyright, patent or classifying it as a trade secret? Is it the source code, data set, test data sets, or other component of the process?

“These are issues we are always talking about,” Levi says.

Patents take three to five years to process. Technology is moving very, very quickly. If you wait too long to patent something, someone else will file

While it may seem insurmountable, there are some steps a startup can take when considering their IP options.

Be very clear who owns the resulting intellectual property before embarking on anything. “Sometimes people get so excited about discovering things and moving the field ahead, they can get caught unawares further down the line,” Alarie says. “If you’re part of a hackathon team for example, have a common agreement amongst the team members before you start.”

Then take the time to understand the licence agreement for the open source software you are using.

Since patent rights are based on first to file, getting an early filing date is also essential, Hogarth says. “That claim date is applicable worldwide. Hence it is critical for startups to file as early as possible, which is often when money is the tightest.”

Things could  get even more complicated as the industry evolves from narrow, single task AI applications such as a cancer diagnosis or parking, to general AI that will perform more than one task (e.g. improving the quality of life on Mars), Levi says. “When we get to general AI, all bets are off.”

Source: 
http://business.financialpost.com/executive/patenting-intellectual-property-for-artificial-intelligence-as-complex-as-some-ai-code

6 Startup Strategies That Turn Off Most Investors

By: MartinZwilling

Based on my own experience as an angel investor, and feedback I get from many other investors, here are a collection of answers that we often hear instead, from the least credible to at least reasonable:

 1. Insist you have no competitors. Leading with this answer will likely terminate      any further investment opportunity with this investor. He or she will assume      your comment means there is no market for your product or service, or you      haven’t looked. Neither speaks well for you or your startup. Even if you hedge      by saying no direct competitors, we all know that existing cars are still big      competition to your new flying automobile.

 2. Claim the first mover advantage. This is one of the most frequent responses I      hear, and is rarely convincing. The problem is that startups have limited      resources to keep them ahead of big companies. If your early traction      highlights an opportunity they have missed, they can mobilize their huge      resources and run over you. First mover advantages are only sustainable by      large companies, or founders with deep pockets.

 3. Proclaim your solution as a paradigm shift. If you insist that your technology      is so new and unique that it will disrupt your competitors and the whole      market, investors will fear that neither they nor you can afford the time and      marketing required to weather the change. They will likely decline on the      basis that historically, pioneers get all the arrows.

 4. Highlight your world-class team as the secret sauce. Insisting that your team      is better than any other, giving you a sustainable competitive advantage for      the long term, will likely come across as naiveté or arrogance. Investors know      that no startup has a lock on the best people and processes, and investors      don’t deal with unrealistic founders.

 5. Declare that you will offer the product or service free. Free is a dirty word      to investors, since they need a return on their investment. Perhaps you intend      to collect money from advertisers, but this requires a large investment to get      the audience you need before monetization can work. Facebook spent over $150       million before revenue.

 6. Intellectual property as barrier to entry. I like patents, trademarks, and      trade secrets, so this answer is a better sustainable competitive advantage      than the other five answers. Now all you have to do is defend your position,      and we all know that patents can break a startup in court battles, and will      have alternative implementations if the price is right.

Thus, there is no perfect answer to this question, so the best entrepreneurs see it as an opportunity to highlight their own advantages, rather than put down a competitor. Being negative is never the answer. For example, it’s tempting to say that your worst competitor has poor quality products, requiring costly maintenance, but it’s much better to say that you provide a five-year free warranty that no competitor can match.

After highlighting your best competitive features and your intellectual property barriers to entry, I encourage you to put on your humble face, and proclaim your determination to never stop improving your products and processes to out-distance competitors. You want investors to believe that you are a realist, but have the confidence and determination to win.

Investors know that winning in today’s highly competitive environment is more a mindset than a product feature. Competitor bashing is not a skill that you need to hone. I look for entrepreneurs that can sell themselves and their offering to discerning customers. Money from customers and investors is the same color.

Martin Zwilling

Source:
http://blog.startupprofessionals.com/2015/08/6-startup-strategies-that-turn-off-most.html

How Intellectual Property Can Give Your Business an Edge

By: Charles T. Collins-Chase, Ryan H. Ellis, Michael E. Kudravetz, Justin E. Loffredo

Picture this: It’s the first powder day of the season. You’re in the lift line, ready to go, and you overhear the person in line behind you explaining her idea for an improved snowboard binding she’s developing—the exact idea you spent the last year perfecting at your company. Despite the cold, you have to open your jacket vents as you consider the implications, which haunt you all the way down your first run of the year.

Later that morning you’re warming up with a coffee when you spot your company’s brand name on a ski helmet you didn’t make, with a strange logo next to it. Suddenly, the first powder day of the year is feeling pretty slushy. What should you have done? What can you still do?

What Is Intellectual Property?
Both scenarios illustrate the importance of protecting one of the most important assets your company has. But what exactly is intellectual property (IP)? Simply put, IP is the ideas that drive businesses. If you or your company put resources (time, money, blood, sweat, tears) into developing a product or service, chances are you won’t look kindly on copycats. Protect your innovations and your brand name and help advance or secure your position in the industry.

The various tools used to protect your intellectual property—such as patents, trademarks, copyrights, and trade secrets—each have a different purpose and protect different things.

Patents give you the right to exclude others from practicing your useful inventions, such as Thomas Edison’s revolutionary “Electric-Lamp” (light bulb).
Trademarks are words, names, symbols, or devices that a business uses to identify its goods and distinguish them from others, such as McDonald’s two golden arches or the name “Google.”
Copyrights protect original works of authorship, and can apply just as much to a PistenBully owner’s manual as it does to a Hemingway novel or Tom Petty song.
Trade secrets protect any valuable business information, such as a formula or compilation of information, that is not generally known, is subject to reasonable efforts to maintain its secrecy, and has economic value (think Coca-Cola’s secret recipe).
These are all types of IP, and protecting them has been the life blood of all of these successful enterprises.

How Can You Protect Your Inventions?
When you hear that person in the lift line talking about her idea for an improved snowboard binding that you have already patented, a patent may offer several ways to help you keep her—and any other potential infringers—from harming your business. You could file a lawsuit asking the court to award damages for infringement or prevent an infringer from continuing to make bindings covered by your patent.

But a lawsuit is not the only way to leverage your patent rights. You could also use your patent to generate an income stream by licensing your invention to the infringer or even by offering to sell your patent outright to the competitor. And sometimes, just holding a patent scares potential competitors away from infringing activities out of fear of a lawsuit.

So how do you get a patent on your invention? The U.S. Patent and Trademark Office grants patents only after conducting an examination of your patent application, carried out by a U.S. patent examiner knowledgeable in the relevant technology, to determine if your application meets all the requirements, including that it is novel and non-obvious compared to the existing state of art. A “utility patent” protects the functional or technical aspects of your invention for 20 years from the date you file your patent application. You can also obtain a “design patent” to protect the decorative features of your invention for a period of 15 years.

If you have a secret manufacturing process (e.g., a particular way of making a composite laminate ski core or a high-fluoro ski wax), trade secrets may be a useful way to protect those inventions. Better still, trade secrets never expire as long as they have value and remain a secret.

How Can You Protect Your Brand?
Trademarks and trade dress are a powerful tool to help you protect your company’s name, product names, logo, and even product packaging. Trademarks also make it easier for customers to find you and can make your products stand out in a crowded field.

And like a patent, you can assert trademarks in court to stop infringers. So when you see someone in the lift line wearing a ski helmet with your name or logo on it, having a trademark is vital to stopping the rival company from stealing the goodwill you have built in your brand.

Similar to patents, trademarks also undergo examination by the U.S. Patent and Trademark Office. But unlike patents, trademarks may be protected in perpetuity as long as you continue to use them.

Learn More About How to Use IP
In future posts, we will dive deeper into IP issues including: an overview of the process of obtaining a patent from the U.S. Patent and Trademark Office; using design patents to protect ornamental aspects of your products; how to choose between patent and trade secret protection; licensing and selling patents to generate income; and what to do if someone is using your trademark.

Don’t be the person in the lift line thinking about anything other than how to get the most and best runs possible on that perfect day. Protect your IP in advance and carve the perfect line on this valuable business asset.

Tags
Intellectual Property Rights

Source:
https://www.finnegan.com/en/insights/how-intellectual-property-can-give-your-business-an-edge.html

Intellectual property strategies for startups

By: Benjamin Lehberger

Intellectual property protection is an important consideration for most startups. Obtaining intellectual property protection, such as patents, can minimize competition and act as a defensive mechanism against infringement claims from others. Intellectual property also can attract or solidify funding and partnerships. In formulating an intellectual property strategy for your startup, consider the following.

File early, and keep quiet
Your time to file for patent protection is limited and patents should be contemplated early on in development. In the United States, an inventor has a one-year “grace period” from first publicizing an invention to filing for patent protection, after which it is too late. However, you should not wait even that long. In 2013, the U.S. patent system switched from a first-to-invent to a first-inventor-to-file system. This subtle difference in terminology could mean dire consequences for those who delay seeking patent protection.

Under the old first-to-invent system, you could be the first to conceive of an invention and still obtain patent rights over an earlier filer by showing that you conceived first and continued to diligently work on your invention. Today, it is a race to the patent office. Regardless of who conceived of the invention first, the first one to file their patent application “wins.”

Also, it is important to note that the one-year “grace period” to file a patent application is not available in most countries outside of the United States. If you plan to seek patent protection abroad, publicizing your invention at any time before filing a patent application could put your foreign intellectual property rights in jeopardy. Therefore, file early and keep quiet until you do.

File again as the invention evolves
As your startup continues to develop its product or products, consider each new feature as a possibility for patent protection. Startups that file one early patent application and stop may find that, once the patent issues, the product has moved far beyond what was in the original patent application. The product may end up being under-protected or not even covered by the patent at all.

It is important to reevaluate patent protection on a regular basis and consider filing on new features of the invention when applicable. If the product is evolving quickly, consider filing a provisional patent application or a series of provisional patent applications within a year before filing a utility patent application.

Do not wait for your patent to issue
Patents take time. While there are avenues available to expedite examination, on average it takes more than two years for a patent to be granted by the U.S. Patent Office. About 30 percent of patent applications do not make it through at all.

Having an issued patent may help to get funding for your startup and secure your place in your market. But, do not wait until your patent issues to commercialize your invention. Keep your startup moving forward and keep developing. Chances are, you will solve additional problems along the way, which may lead to even more important inventions. In the meantime, you will be building your brand, reputation and revenue.

Consider design patents
When discussing patents, the focus is often on utility patents, but design patents should also be considered as part of a well-rounded intellectual property strategy. In general, a utility patent protects the way a product is used and works, while a design patent protects the way the product looks. By the end of 2015, the U.S. Patent Office had issued more than 9.2 million utility patents, but only about 746,000 design patents.

Design patents can provide significant value as a supplement to utility patents or as a replacement when utility patent protection is unavailable. Software utility patents are still available in the United States. But, following the U.S. Supreme Court’s decision in Alice v. CLS Bank, obtaining utility patent protection for software-related inventions has become more difficult and less predictable. Design patents provide a viable option to protect certain features of software-related inventions, particularly the graphical user interfaces.

The term of a design patent is slightly less, 15 years from grant for a design patent versus 20 years from filing for a utility patent, but so is the cost. Also, design patents often can be obtained much quicker than utility patents.

Do not rely solely on patents
While patents are a valuable asset to any startup, they are only one piece of the puzzle. First and foremost, a startup needs a good product or service to be successful. The Patent Office awards patents for new and non-obvious inventions. Receiving a patent does not mean, however, that it is necessarily a good invention or one that anyone will want to buy. Make sure what you are protecting is worth protecting.

Second, build a unique brand and protect it with registered trademarks. A trademark is a word, phrase, symbol or design that identifies and distinguishes the source of the goods of one party from those of others. Having a strong and recognizable trademark can be extremely valuable for distinguishing you from the competition. And, unlike patents, a registered trademark never expires as long as you keep using it. Trademarks do not have strict filing deadlines like patents, but it is best to start early and have a trademark clearance search done to ensure that there are no conflicts that could prevent your use of the trademark.

Finally, depending on the type of business your startup is in, copyright and trade secret protection also should be considered in your intellectual property strategy. Talk to an intellectual property professional as you begin building your startup to discuss what types of intellectual property protection will work best for you.

Source:
https://techcrunch.com/2016/10/31/intellectual-property-strategies-for-startups/

Protect Your Startup’s Intellectual Property By Avoiding These Costly Mistakes

By: MURIEL VEGA

Copyright, trademark, patents, and licensing — all words that are important knowledge for startup founders with innovative products, but ones that are often used in the wrong context. That can be dangerous, as your intellectual property, the ownership right on ideas or creations from somebody’s mind, may not be as protected as you think.

If your startup has specific branding and/or unique technologies that are essential to your product and growth, it’s time to explore options to protect your intellectual property. Adding legal counsel early on can help you skip some of the pitfalls that may stop your business on its tracks.

One of those big, easy-to-miss intellectual property pitfalls? Your company’s name, says John Lyon, a senior associate at Thomas Horstemeyer, LLP, an Atlanta-based intellectual property law firm.

“It’s easy and cheap to re-brand before you launch,” says Lyon. “Not so after. If you’ve already launched your company and then a year later, after you’ve built up a customer base and received funding, you receive a letter saying, ‘Please stop doing this under this name because I’m already using that company name and I have a federal trademark,’ — I can’t tell you how many times that’s happened.”

Lyon’s main focus is electrical/computer patent prosecution, litigation, and open source software licensing. Here, he breaks down the importance of exploring copyright issues and trade secrets as you scale your company and what you should keep in mind.

Intellectual Property concepts
Trademark: Branding falls under trademark. It can be a word, name, or symbol or any combination which is used to identify the goods or products of one company from others. For example, you know when you see the Nike ‘swoosh’ on a t-shirt, it will conform to Nike standards and quality. It’ll probably have certain designs and certain features. That’s valuable.

Copyright: Copyrights are the rights granted to creative types regarding the ability to control who can make copies of their creation or expression, whether it be art and marketing materials, written code, computer code, or music.

Patents: Government-sanctioned monopolies protecting an inventor’s rights to make use of their invention. With a patent, your invention receives 20-year protection from the government in exchange for revealing the inner working to the public.

Start by searching Google for your prospective company name
“I can’t tell you how many times someone has come up with a great company name or logo, become emotionally attached to it, and they don’t look to see if anyone else is already using that name or a similar logo,” says Lyon.

It’s cheaper to re-brand before you launch, shares Lyon. He suggests googling every prospective startup name you have in mind before landing on one and checking available trademarks.

Don’t skip the copyright, software startups
Avoiding admin costs and legal fees can become an issue down the line if you have an informal partnership in place and haven’t taken the steps to make sure your product is formally protected by copyright. While product development or launching may be at the top of your to-do list, Lyon warns founders about forgetting to copyright their intellectual property.

“Things like who owns the copyright to the code gets overlooked,” says Lyon. “You can get into an awkward situation where the startup ends up not owning the copyright for the code that forms their product.”

“It may be that a contractor or developer owns it and it was never assigned to the company because they didn’t do all the paperwork that needed to be done. Or, one of the co-founders owns the code instead of the company itself, so if you have a falling out between cofounders, the company can go under because the company doesn’t own the copyright and the code for their program or their product.”

It’s an easy fix, says Lyon. All you have to do is complete a one-page, form document assigning the copyright and the code from the developer or a co-founder to the company. You can grab this form off of Legal Zoom or via your legal counsel.

Be aware of the patent timeline
“Everyone’s aware of what patents are, but not very many people are aware of all the rules that surround patents and how you could forfeit your rights accidentally,” says Lyon.

“If you think you might want to patent this, pull up a calendar and start highlighting some critical dates here. If you want to file a patent application, you may want to wait before you start offering it for sale, or you may want to wait before you go do a demo.”

If you wait until after it goes public, you have 12 months to file a patent application. However, the lengthy process includes several steps such as finding a patent lawyer, doing a disclosure, and several rounds of edits.

Patents are not a one-time done deal
Often startup founders make the mistake of thinking that patents are a one-and-done deal. This is not true, as products are always evolving and improving.

“As their product evolves, they need to ask themselves whether or not any of those new features they’re adding might be worth trying to protect with a patent,” says Lyon.

“A lot of companies, when they’re small and growing, they may file one patent application, based off of their prototype. Two years later, they’re at version 4.0 and things have changed quite a bit. That’s something to consider so they don’t overlook things and  can make sure they’re always protected.”

Source:
https://hypepotamus.com/community/intellectual-property-mistakes/

When do you think startups need to take care about cybersecurity?

By: Lusha.co

When should startups need to think about cyber security?

Answer: From day one.

Just a few years ago, technology strategy followed business strategy. Often, it was just a footnote in the business plan. That changed dramatically as technology has evolved into a disruptive advantage that enables a new startup to move faster than entrenched competitors. Today, the technology strategy often dictates the business strategy. It’s the cornerstone for communication and collaboration for all of your employees, partners, suppliers, and customers.

Even if you aren’t a tech startup, your emails, documents, communications with customers, financial records, intellectual property, strategic plans, budgets, marketing materials, etc. are all valuable to you - and may be even more valuable to someone else.

Let’s imagine a common scenario that I’ve seen a hundred times as a consultant:

Your early stage startup is working on getting a product prototype to the MVP phase. You are seeking startup funds, and are working on a detailed business plans and pitch deck. Somewhere along the way, one of the early employees or co-founders has had their email password compromised- either via a weak password, social engineering, or by clicking malware. It doesn’t matter - someone is reading every email sent from the account, as well as every attachment. They may also have access to cloud document storage accounts and SaaS apps.

For weeks the attackers do nothing - they just watch silently collecting data. Over a period of days or weeks they work to quietly move laterally and gain more access. They may install a remote access tool on the employees laptop or compromise another users email account. They don’t delete or destroy anything, and they cover their tracks as they go. At the same time, they look for potential buyers for your information - perhaps a firm overseas who sees the potential of the business and had an interest in replicating it. After all, the startup team is doing all the hard work for them.

As the startup team works on, the hackers monitor and mirror the progress. They see the code the startup developed to make the product work. The R&D for the product. The patent application draft being passed around for review. The results of the market surveys. They take all of it silently in the background and the startup team is none the wiser.

At some point the startup finally does get funded, and the team is close to perfecting the final product before launch. When they file the patent application, they discover that someone has already filed a nearly identical document. A search discovers that an identical product is for sale on a foreign website with near identical marketing. The competitor even took the logo design and product photos.

The startup team works to make improvements, and decide on the strategy forward. While they are busy, a ransomware attack encrypts the most critical documents and they get an email demanding payment to get the data back. To make things work, someone has also logged into the payroll system and redirected a few paychecks to a burner card. The startup is bleeding cash, and investors are concerned.

The following week the suppliers begin receiving emails from the company canceling or modifying orders. The customers are receiving requests to redirect purchase orders to a new bank account. Malware is being sent to customers from your email addresses. High value customers also receive emails from a competitor offering a similar product. Amazon is flooded with nearly identical products at a cheaper price. The customer credit card database from the startup website is compromised. Then they get a letter from a law firm alleging you are violating their clients patent seeking damages. Unable to deal with the onslaught, they shut down the business.

This isn’t fear mongering: I’ve seen every one of these attacks scenarios in person. Cybercrime is rapidly becoming a major reason that small businesses fail. This happens to firms of every size, but smaller firms are becoming a preferred target as they don’t have robust security capabilities.

The hard reality is that the vulnerability to the business starts as soon as you have an email address.

Startup founders need to think about information security needs right from the start. Cyber security planning needs to start with your business planning. You’ll be far too busy to work on it “later”, and trying to implement security controls once you’ve been breached is a nightmare. Every time you add a technological capability, you need to think about how you are securing it: email, sensitive documents, online accounts, bank accounts, SaaS applications. You have to think about detection, remediation, and recovery and have those capabilities in place before you need them.

Otherwise, you’re just handing your business over to someone else.

Hope this was helpful.

Read More >> https://www.quora.com/When-do-you-think-startups-need-to-take-care-about-cybersecurity

INTELLECTUAL PROPERTY – A GROWING CONCERN FOR MANY TYPES OF BUSINESSES

By: articlesly

A few weeks ago, a prospective client approached our company seeking Intellectual Property Coverage. He did not fully understand the coverage but was adamant that a policy be issued as quickly as possible. Of course this raised some red flags. Upon further discussions, it was noted that his software company was being sued for copyright infringement from a US based company. Since there was a pending litigation in place, we were unable to assist in providing coverage and suggested he contact law firms that specialize in Intellectual property disputes. This unfortunate incident could have been avoided if his current insurance broker and the client took the necessary time to fully understand the business model and possible exposures. The policy issued to this client was a standard CGL policy covering concessions liability and specifically excluded trademark, patent and copyright infringement. In today's fast paced & uncertain economic environment, intellectual property claims involving infringement of trademark, copyright and patents are being filed and litigated at alarming rates with crippling costs to both parties involved.

So what exactly is Intellectual Property? It can be broken down as follows:

Industrial property – includesventions (patents), trademarks & industrial designs
Copyright – includes literary & artistic works such as articles, novels, drawings, paintings, designs.

These exclusive legal rights allow the owners of intellectual property to prosper from the property they have created, so allowing a financial incentive for the creation and investment in their intellectual property. However, many new start-ups in addition to small and medium sized companies do not fully understand their benefits or potential implications. These organizations may have very valuable rights but are unable to use them effectively while others are unintentionally violating intellectual property rights of others without being aware of costly legal ramifications.

Some important terminology was used above and should be explained further.

Patents – Cover newventions including process, machine, manufacture or any new and useful improvement of an existing invention.

Trade-marks- Provide exclusive rights to word (s), symbols and designs to distinguish goods or services from others in similar marketplace.

Copyright – Only the copyright owner, often the creator of the work, can produce, reproduce, or grant permission to others to do so.

As technology moves ahead at lightning speed, it has made it increasingly easy to reproduce countless types of materials that are subject to copyright. Companies must be very careful not to infringe on the rights of others. Penaltyies for trademark, patent and copyright infringement have become very costly and will damage the reputation of these companies on a world wide scale. Up until the mid 1990's, the primary assets of most companies was their building, equipment, stock etc. Not anymore. Although these items still are very valuable, intellectual property, computer data, customer information are just as valuable and could lead to financial hardship if they are not protected with proper security measures and specific insurance coverage's.

When dealing with the various forms of IP, it is advisable to seek out a lawyer / law firm that specializes in copyright, patents, trademarks, or trade secrets. They should fully understand your business model and your technology as well as you do while being able to explain the legal issues in this complex field in clear, practical language that you can understand.

Another important way to protect IP is to obtain Intellectual Property Insurance. This coverage protects companies for copyright, trademark or patent infringement claims arising out of the company's operation. An Intellectual Property policy will pay the costs to defend you if someone tries to claim the rights to the same business model, process, or application. As long as the company is not aware of any pending litigation, infringements or violations, one can apply for insurance to protect your trademark or patent. Very few standard insurance policies protect businesses from loss or damage to their intellectual property. Similar to seeking out a prudent lawyer, it is just as important to seek out a company that specializes in this type of insurance. Make sure the policy is not limited to your specific province or state but rather on a worldwide basis. With more and more insurance companies entering this market, it should be rather easy to obtain a policy that fits your exposure.

Source:
https://articlesly.com/intellectual-property-a-growing-concern-for-many-types-of-businesses/

19 Reasons for Startups to Cheer!

By: StoreHippo

Ever tried your hands at starting an online business? Have ideas but feel faint at heart to pursue it due to the various policy and paperwork hurdles? Sounds like your story? Still thinking how to work around to make your start-up dreams a reality?

Cheer up, for this year the government has come up with many policy and regulation changes to help foster growth of startup up environment in India. The Startup India action plan is the government’s gift for enthusiastic Indians who wish to use innovative ideas and technology to become entrepreneurs.

India is a hub of as many as 4200 startups and the government of India has set the wheels of growth rolling for them. PM Modi had coined the slogan “Startup India, Standup India” from the ramparts of the Red Fort during his Independence Day speech in August 2015. This was followed by the government’s action plan for all the stakeholders - venture capitalists, angel investors, incubators and startups.

The Changes and how will they help the Indian Start-Up Ecosystem
If you are launching your webstore this year, you can use the following announcements to your advantage. The Indian Government is playing the role of the enabler for start-ups and this can mean a much smoother launch of your online business. Have a look what’s in store for you and your business:

1. Compliance regime based on self certification

Startups shall be allowed to self-certify compliance with labour and environment laws. The objective is to reduce the regulatory burden on startups. This self-certification will apply to laws like payment of gratuity, contract labour, employees’ provident fund, water and air pollution acts.

2. Startup India hub

It will be single-point of contact and hand-holding for startups to enable knowledge exchange and access to funding.

3. Simplifying the startup process

A startup can easily set up by just filling up a short form through a mobile app and online portal.  A mobile app will be launched on April 1, 2016 through which startups can be registered in a day.

4. Patent protection

The government will work to fast-track patent examination at lower costs. It will promote awareness and adoption of Intellectual Property Rights (IPRs) by startups and help them protect and commercialize IPRs.

5. A corpus of Rs 10,000 crore

 In order to provide funding support to startups, the government will set up a fund with an initial corpus of Rs 2,500 crore and a total corpus of Rs 10,000 crore over four years.

6. Credit Guarantee Fund

To promote entrepreneurship through credit to innovators, a National Credit Guarantee Trust Company is being envisaged with a budgetary allocation of Rs 500 crore per year for the next four years.

7. Exemption from Capital Gains Tax

Exemptions shall be given in case capital gains are invested in the fund of funds recognized by the government. In addition, existing capital gain tax exemption for investment in newly formed MSMEs by individuals shall be extended to all startups. 

8. Tax exemption for startups

To spur the growth of startups, profit of startups which are set up after April 1,2016 shall be exempted from income-tax for a period of three years.

9. Legal support and assistance in filing of patent application by facilitators

Facilitators shall provide assistance for startups in filing and disposal of patent applications related to patents, trademarks and design under relevant acts.

10. 80% rebate on filing patent applications

To enable startups to reduce costs startups shall be provided an 80% rebate in filing patents.

11.  Relaxed norms of public procurement

Startups (in the manufacturing sector) shall be exempted from the criteria of prior ‘experience/turnover’ without any relaxation in quality standards or technical parameters.

12.  Faster exits for startups

A 90-day window period has been provided to make it easier for startups to exit.

13. Tax exemption on investments above Fair Market Value

In line with the exemption available to venture capital funds to invest in startups above fair market value (FMV), investments made by incubators above FMV shall also be exempted.

14. Startup fests

For showcasing innovation and providing a collaboration platform

15. Launch of Atal Innovation Mission

To give an impetus to innovation and encourage the talent among the people. It will grant seed funds and help strengthen existing incubation facilities. It will also offer pre-incubation training to entrepreneurs, among other things.

16. Setting up of 35 new incubators in institutions

PPP model being considered for 35 new incubators, 31 innovation centres at national institutes.

17.  Setting up of 7 new research parks

Government shall set up seven new research parks – six in IITs, one in IISc with an initial investment of Rs 100 crore each.

18. Promote entrepreneurship in biotechnology

Five new bio clusters, 50 new bio incubators, 150 technology transfer offices and 20 bio connect offices will be established.

19. Innovation focused programmes for students

Innovation core program shall be initiated to target school kids with an outreach to 10 lakh innovations from five lakh schools.

Also read: Startup India Stand Up India: How will it change the face of Indian e-commerce Ecosystem?

A good start but more needs to be done

The startup plan will attract both Indian and overseas investors and create a climate of change for Indian entrepreneurs. While all the steps are a welcome move, but it remains to be seen how these policies actually take shape. Apart from the measures announced by the government, startups will need a sound infrastructure like roads and electricity, better internet/broadband capabilities, clean environment, minimal interaction with bureaucracy and curbs on corruption. Until now, startups have faced issues like red tape, poor infrastructure, corruption and requirement of too many clearances. It remains to be seen whether the government sets up a team to ensure flawless execution of all the policies and enable transparency.

Rajiv Kumar, CEO, Hippo Innovations points out, “The startup India action plan is a welcome move but more than exemption on Income tax; the statutory and regulatory compliance related to various filings like Service Tax returns, MCA filings, TDS returns and various state specific compliances are the ones which consume a lot of time and bogs down a startup. Most of the startups do not start making profits for initial few years, so income tax exemption might not help them as much as would be exemption or deferred timeline for various compliances. Govt. also needs to be careful about the misuse of the exemption as it might also act as another channel for tax savings.”

Also read: 'Create a million entrepreneurs rather than a million jobs’

Rajiv further adds, “Dedicated Corpus of Funds will greatly help entrepreneurs and startups as a lot of them struggle with funds in the initial stages. However, Govt. must make sure that the funds are judiciously allocated so that a) there is uniform distribution across different industry sectors b) there is limit on funds allocated to one startup. The goal should be to give million entrepreneurs a chance rather than creating only a handful of entrepreneurs.”

Source: 
https://www.storehippo.com/blog/19-reasons-for-startups-to-cheer

MobilityXlab – interfacing startups with major corporations

By: Business Region Göteborg

"If you talk to startups, what you find is that they lack data and contact with major companies, so that they can present themselves and their capabilities. What MobilityXlab can offer is neutral ground and a creative environment where you can come in and work and gain direct contact with five major companies."

Dennis Nobelius, CEO of Zenuity, leans back in his chair in the meeting room on the eighth floor of the building in Lindholmen and explains how the idea behind MobilityXlab, an innovation hub, was hatched in the autumn of 2016, essentially as a practical necessity. Newly formed company Zenuity, equally owned by Volvo Cars and Autoliv, develops software for self-driving cars and had just settled into Piren2, a brown brick building in Lindholmen, and was mulling over whether they should lease all eight floors of the building.

"What's more, we were considering what was actually missing at Lindholmen Science Park and in the Gothenburg region, and I was convinced that it was a lack of contact with small businesses. If you look around Lindholmen, there are plenty of relatively large companies – but how do you create an interface with small businesses? That was really how it all started."

READ MORE
Link to MobilityXlab
Dennis got in touch with Niklas Wahlberg, CEO of Lindholmen Science Park, who was keen on the idea. Together with Hampus Ahlqvist at Zenuity, they began outlining how such an interface could be put into practice and what you could do with it. They also looked into whether any other partners were interested in getting involved. 

"We soon found that Volvo Cars was interested in the idea, as was AB Volvo. They said that they have Lundby Campus, but one need not exclude the other. And, moreover, if a bridge is built over the intersecting road (Lundbyleden), all the better for eventually merging the two more tangibly. Ericsson was the last partner to join, but when they did they played a very prominent role."

Just before summer 2017, an agreement was entered into by the five partners – Zenuity, Autoliv, Volvo Cars, AB Volvo and Ericsson.

There are two reasons behind the founding companies' involvement in MobilityXlab – to attract startups and to develop joint projects for solutions to the transport of the future, primarily within electrification, connectivity and self-driving vehicles. The entire automotive industry is undergoing immense transformation and new actors such as Google, Tesla and Apple are challenging the established automotive giants. In light of this, MobilityXlab can be seen as a way to scour the region – and the world – for entrepreneurs with new, innovative ideas.

"We can view MobilityXlab as a one-stop shop to truly meet with five companies, pitch ideas and enter into some form of collaboration. Depending on your ideas or needs, you can gain access to various data from the different founding companies. It's also about showing how to break into the city and how to gain access to the resources that are available. MobilityXlab is to provide a hub for just that," says Dennis.

MobilityXlab isn't seeking out a particular mix of startups, that's being left to fate.

"There will be a garage, there will be data, and there will be a prototype cloud. I think those are the fundamentals. Anything beyond that we can add as we go along, depending on needs."

Dennis estimates that the floor ought to be able to accommodate at least 80 people. The idea is to be able to switch guests – every three or six months – to provide openings for new startups with new ideas, and the opportunity to help them on their product journey at MobilityXlab.

Are there any international role models for MobilityXlab?

"No, not really."

So you're the role model…?

"We probably need to think things over a bit more to become a true role model. But when it comes to quickly getting things off the ground and opening a direct line to the small businesses that are actually out there, we'll probably be world class within a few months."

Do you have any thoughts on what technology you want to attract?

"We'd like to see everything from interesting sensor companies to highly technical experts in the fields of cameras and vision, data management and cyber security. And I know that Volvo Cars is interested in augmented reality. The greater the depth, the more interesting it gets. Classic research companies and spin-offs from universities are obviously of interest. Relatively early on we got in touch with Chalmers Ventures to see what they thought about the idea. They're at a very early stage in funding their businesses and we have a good relationship. Once they gain a little more momentum and strength in their businesses, they could spin them off to our interface here at MobilityXlab. So there's definitely potential there."

Who will register the patents and profit from the innovations hatched in the lab?

"The whole IP issue is still open to discussion. We've said that first we'll get things off the ground and then resolve other matters as they arise, and that includes IP issues. We believe in a more open environment rather than locking things down as otherwise no one will be interested in working there."

When we meet in two years, what will have happened?

"By then I think that a number of startups will have been bought up by the founding companies. There could also have been a lot of startups here to test their ideas that realised they weren't worth further investment. Or they might have benefited from the available leverage and broad network and grown big and strong on their own. Then I can imagine that the companies on the entire second floor are intensively involved in networking and cross-fertilisation and using the clearly and well mapped resources available in the region."

What will your role be?

"I work at one of the founding companies, so in that sense I'm involved. And then I also wonder how our expertise and personnel at Zenuity can be used to support a startup or to try to embrace all that's happening downstairs, so I'll always have an active interest. But really, I'm just like any other founder."

In addition to the innovation lab on the second floor, MobilityXlab has a showroom on the ground floor.

"There we face the challenge of getting all five or six partner companies to combine what we do and how we think and then express that in a common vision."

The ambition is to continually update the showroom content so as to attract everyone from high school classes to foreign delegations who are curious about what's happening in Lindholmen. 

"There's great interest in all that's going on here. For example, I was at Michigan University not so long ago and they'd heard about Lindholmen, about the great model we've devised together with Lindholmen Science Park and the partnership between industry, academia and the city. So they're coming here to visit. And it feels quite natural to show them our vision of the future."

Right next door to the showroom and Zenuity's entrance, construction is well under way on the café that is soon to open its doors onto Lindholmsallén and to the public.

"Then we'll suddenly have an open environment where you come in for a cup of coffee and then take a look at the exhibition. And maybe you have an interest in one of the startups on the second floor so you go and speak to them. We're surrounded by so many closed environments, if we can open things up a little more it'll create a larger interface and more will happen."

So it starts with a cup of coffee and ends with a patent…?

"That would be something."

At the time of writing, there are more than 20 startups that want in on the lab without MobilityXlab really having marketed itself.

"We've had one company from New York and one from Germany get in touch out of the blue simply because of all the attention the initiative has received. It'd be fantastic if we could not only attract regional startups, but also international companies. We want to try to broaden and strengthen Gothenburg's position."

So says Dennis, looking out the window towards the plot of land where Geely's future innovation centre will stand.

"Why do people come to the Gothenburg region to work? I think that some of the appeal, quite naturally, lies in the ties to Geely, Volvo Cars, AB Volvo, Ericsson, SKF and the entire corporate environment that exists here, together with the universities and technical colleges. If you then add to that Sweden's natural surroundings and environment, our high standard of living and everything else associated with living and working in Sweden, then we start to see such an attractive mixed bag that people find it interesting to try their luck here. You might start out at Zenuity, but you know that there's no reason to stop there, that you can move on to another company because there are so many possibilities out there. The region is a melting pot, and we need to highlight that aspect too, not just the individual companies."

Read More >> https://www.businessregiongoteborg.se/en/context/mobilityxlab-interfacing-startups-major-corporations

Bitcoin Startup Blockstream Seeking Patent for Sidechains Design

By: Stan Higgins

The US Patent and Trademark Office (USTPO) has published a patent application submitted by bitcoin startup Blockstream related to its work on sidechains.

The application, submitted on 9th May and published earlier this week, outlines “systems and methods...for transferring an asset from a parent chain to a sidechain”. It names Blockstream CEO Adam Back and Blockstream CTO Greg Maxwell (who is also a Core contributor) as inventors. Sidechains are envisioned as a way to allow the movement of digital assets from one blockchain to another, opening the door to new kinds of applications and experiments using the tech.

The application’s release comes months after the startup announced a patent pledge, saying at the time that it would make its patents and applications available under the Defensive Patent License. The application outlines how assets could be exchange between a primary blockchain and a sidechain to which it is connected, explaining:

Blockstream released its first open-source code for sidechains last summer, later moving to debut a sidechains projects dubbed Liquid aimed at bitcoin exchanges.

The startup raised $55m in a Series A funding round in February, and in July acquired bitcoin wallet startup GreenAddress in a bid to boost its development of sidechains.

Disclosure: CoinDesk is a subsidiary of Digital Currency Group, which has an ownership stake in Blockstream.

Correction: A previous version of this article incorrectly reported that Adam Back was a contributor to the Bitcoin Core development team. The article has been updated to remove this inaccuracy.

Image via Shutterstock

Source: 
https://www.coindesk.com/bitcoin-blockstream-patent-sidechains/

What is Intellectual Property and Why It’s Important to Your Small Business

By Tobin O’Connor & Ewing | Posted on December 14, 2017

Intellectual property (IP) is defined by the World Intellectual Property Organization (WIPO) as “the creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce.”

In some cases, small businesses neglect the basics of intellectual property law, potentially losing out on protecting their creations, or worse, being sued for violating someone else’s intellectual property. If you’re a business owner, consider retaining the services of a knowledgeable Washington D.C. area small business lawyer to ensure your intellectual assets are protected.

Types of Intellectual Property

There are different types of intellectual property, but three of the most familiar categories are trademarks, copyrights, and patents.

Trademarks: A sign that distinguishes goods and/or services of one business apart from those of other businesses.
Copyrights: Legal term used to describe the rights creators have over their creations, which may include books, music, paintings, photos, films, computer programs, ads, technical drawings, and more. Only expressions are covered, not ideas, procedures, operation methods, etc.
Patents: Exclusive right granted for an invention which provides the patent owner rights to decide how or if an invention can be used by others.
Protecting Your Intellectual Property

When it comes to copyrights, it’s generally agreed in most countries that copyright protection is automatic and doesn’t require registration or formal notice. This came about from the Berne Convention for the Protection of Literary and Artistic Works. There are some countries that do have systems in place to allow for voluntary registration, so it’s worth it to check on local requirements if you have specific business ties with another country. One benefit of a copyright is economic rights, which allows the rightful owner to receive financial benefits from the use of his works by others. Protection does have a time limit, which can vary based on law. Member countries of the Berne Convention typically hold that the time limit should be equal to or longer than 50 years after the creator’s death.

To protect a trademark, you’ll need to register and pay fees to the national/regional trademark office. If you’re looking for international protection, you can either file an application with each country you’re seeking protection in, or look into WIPO’s Madrid System, which lets you file a single application and pay one set of fees to receive protection in up to 116 countries. Protection of a trademark offers exclusive rights to the use of the registered trademark. The duration of registration can vary, but 10 years is a common timeframe. It can be renewed when more fees are paid.

Patents give the owner exclusive rights to prevent or stop others from benefiting commercially from your patented invention. This means that others cannot use, make, distribute, import, or sell your invention without your consent. Patents are typically only valid in the country or region where it was filed, and it’s only valid for a limited time, typically 20 years from the filing date.

Hiring a Small Business Lawyer

If you have questions on intellectual property or require other legal assistance, let the experienced team at Tobin, O’Connor & Ewing in Washington D.C. handle all your small business needs. Contact us at 202-362-5900 to schedule a consultation.

Resource:

wipo.int/treaties/en/text.jsp?file_id=283698

Intellectual property (IP) is defined by the World Intellectual Property Organization (WIPO) as “the creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce.”

In some cases, small businesses neglect the basics of intellectual property law, potentially losing out on protecting their creations, or worse, being sued for violating someone else’s intellectual property. If you’re a business owner, consider retaining the services of a knowledgeable Washington D.C. area small business lawyer to ensure your intellectual assets are protected.

Types of Intellectual Property

There are different types of intellectual property, but three of the most familiar categories are trademarks, copyrights, and patents.

Trademarks: A sign that distinguishes goods and/or services of one business apart from those of other businesses.
Copyrights: Legal term used to describe the rights creators have over their creations, which may include books, music, paintings, photos, films, computer programs, ads, technical drawings, and more. Only expressions are covered, not ideas, procedures, operation methods, etc.
Patents: Exclusive right granted for an invention which provides the patent owner rights to decide how or if an invention can be used by others.
Protecting Your Intellectual Property

When it comes to copyrights, it’s generally agreed in most countries that copyright protection is automatic and doesn’t require registration or formal notice. This came about from the Berne Convention for the Protection of Literary and Artistic Works. There are some countries that do have systems in place to allow for voluntary registration, so it’s worth it to check on local requirements if you have specific business ties with another country. One benefit of a copyright is economic rights, which allows the rightful owner to receive financial benefits from the use of his works by others. Protection does have a time limit, which can vary based on law. Member countries of the Berne Convention typically hold that the time limit should be equal to or longer than 50 years after the creator’s death.

To protect a trademark, you’ll need to register and pay fees to the national/regional trademark office. If you’re looking for international protection, you can either file an application with each country you’re seeking protection in, or look into WIPO’s Madrid System, which lets you file a single application and pay one set of fees to receive protection in up to 116 countries. Protection of a trademark offers exclusive rights to the use of the registered trademark. The duration of registration can vary, but 10 years is a common timeframe. It can be renewed when more fees are paid.

Patents give the owner exclusive rights to prevent or stop others from benefiting commercially from your patented invention. This means that others cannot use, make, distribute, import, or sell your invention without your consent. Patents are typically only valid in the country or region where it was filed, and it’s only valid for a limited time, typically 20 years from the filing date.

Hiring a Small Business Lawyer

If you have questions on intellectual property or require other legal assistance, let the experienced team at Tobin, O’Connor & Ewing in Washington D.C. handle all your small business needs. Contact us at 202-362-5900 to schedule a consultation.

Resource:

wipo.int/treaties/en/text.jsp?file_id=283698



Intellectual property (IP) is defined by the World Intellectual Property Organization (WIPO) as “the creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce.”

In some cases, small businesses neglect the basics of intellectual property law, potentially losing out on protecting their creations, or worse, being sued for violating someone else’s intellectual property. If you’re a business owner, consider retaining the services of a knowledgeable Washington D.C. area small business lawyer to ensure your intellectual assets are protected.

Types of Intellectual Property

There are different types of intellectual property, but three of the most familiar categories are trademarks, copyrights, and patents.

Trademarks: A sign that distinguishes goods and/or services of one business apart from those of other businesses.
Copyrights: Legal term used to describe the rights creators have over their creations, which may include books, music, paintings, photos, films, computer programs, ads, technical drawings, and more. Only expressions are covered, not ideas, procedures, operation methods, etc.
Patents: Exclusive right granted for an invention which provides the patent owner rights to decide how or if an invention can be used by others.
Protecting Your Intellectual Property

When it comes to copyrights, it’s generally agreed in most countries that copyright protection is automatic and doesn’t require registration or formal notice. This came about from the Berne Convention for the Protection of Literary and Artistic Works. There are some countries that do have systems in place to allow for voluntary registration, so it’s worth it to check on local requirements if you have specific business ties with another country. One benefit of a copyright is economic rights, which allows the rightful owner to receive financial benefits from the use of his works by others. Protection does have a time limit, which can vary based on law. Member countries of the Berne Convention typically hold that the time limit should be equal to or longer than 50 years after the creator’s death.

To protect a trademark, you’ll need to register and pay fees to the national/regional trademark office. If you’re looking for international protection, you can either file an application with each country you’re seeking protection in, or look into WIPO’s Madrid System, which lets you file a single application and pay one set of fees to receive protection in up to 116 countries. Protection of a trademark offers exclusive rights to the use of the registered trademark. The duration of registration can vary, but 10 years is a common timeframe. It can be renewed when more fees are paid.

Patents give the owner exclusive rights to prevent or stop others from benefiting commercially from your patented invention. This means that others cannot use, make, distribute, import, or sell your invention without your consent. Patents are typically only valid in the country or region where it was filed, and it’s only valid for a limited time, typically 20 years from the filing date.

Hiring a Small Business Lawyer

If you have questions on intellectual property or require other legal assistance, let the experienced team at Tobin, O’Connor & Ewing in Washington D.C. handle all your small business needs. Contact us at 202-362-5900 to schedule a consultation.

Resource:
wipo.int/treaties/en/text.jsp?file_id=283698

Source:
https://www.tobinoconnor.com/what-is-intellectual-property-and-why-its-important-to-your-small-business/

Intellectual Property (IP) and Know-how: Defined

By: Taffy Williams

This blog will eventually discuss several key issues relating to your technology, including:  selection, acquisition of rights, due diligence, commercial market, time to market, end users, size of market, and much more. The discussion of IP is sufficiently important to the NewCo that it will take more than one article to get the basics down. As such I want to discuss Intellectual Property (IP), Copyrights, Trademarks, and Know-how by first defining what it means to NewCo.  Most important will be the IP with a brief description of the others.  Wikipedia defines these terms as follows:


Intellectual property (IP) is a term referring to a number of distinct types of creations of the mind for which a set of exclusive rights are recognized—and the corresponding fields of law. Under intellectual property law, owners are granted certain exclusive rights to a variety of intangible assets, such as musical, literary, and artistic works; discoveries and inventions; and words, phrases, symbols, and designs. Common types of intellectual property include copyrights, trademarks, patents, industrial design rights and trade secrets in some jurisdictions.  Although many of the legal principles governing intellectual property have evolved over centuries, it was not until the 19th century that the term intellectual property began to be used, and not until the late 20th century that it became commonplace in the United States. The British Statute of Anne 1710 and the Statute of Monopolies 1623 are now seen as the origins of copyright and patent law respectively.

Know-how (or knowhow as it is sometimes written) is practical knowledge of how to get something done, as opposed to “know-what” (facts), “know-why” (science), or “know-who” (networking). Know-how is often tacit knowledge, which means that it is difficult to transfer to another person by means of writing it down or verbalizing it. The opposite of tacit knowledge is explicit knowledge.  In the context of industrial property (now generally viewed as intellectual property (IP)), know-how is a component in the transfer of technology in national and international environments, co-existing with or separate from other IP rights such as patents, trademarks and copyright and is an economic asset.

Copyright is a set of exclusive rights granted to the author or creator of an original work, including the right to copy, distribute and adapt the work. Copyright does not protect ideas, only their expression. In most jurisdictions copyright arises upon fixation and does not need to be registered. Copyright owners have the exclusive statutory right to exercise control over copying and other exploitation of the works for a specific period of time, after which the work is said to enter the public domain. Uses covered under limitations and exceptions to copyright, such as fair use, do not require permission from the copyright owner. All other uses require permission. Copyright owners can license or permanently transfer or assign their exclusive rights to others.  Initially copyright law only applied to the copying of books. Over time other uses such as translations and derivative works were made subject to copyright. Copyright now covers a wide range of works, including maps, sheet music, dramatic works, paintings, photographs, sound recordings, motion pictures and computer programs.

A Trademark or Trade Mark or Trade-Mark is a distinctive sign or indicator used by an individual, business organization, or other legal entity to identify that the products or services to consumers with which the trademark appears originate from a unique source, and to distinguish its products or services from those of other entities.  A trademark is typically a name, word, phrase, logo, symbol, design, image, or a combination of these elements. There is also a range of non-conventional trademarks comprising marks which do not fall into these standard categories, such as those based on color, smell, or sound.  The owner of a registered trademark may commence legal proceedings for trademark infringement to prevent unauthorized use of that trademark. However, registration is not required. The owner of a common law trademark may also file suit, but an unregistered mark may be protectable only within the geographical area within which it has been used or in geographical areas into which it may be reasonably expected to expand.  The term trademark is also used informally to refer to any distinguishing attribute by which an individual is readily identified, such as the well-known characteristics of celebrities. When a trademark is used in relation to services rather than products, it may sometimes be called a service mark, particularly in the United States.


A trademark may be designated by the following symbols:
 ™ (for an unregistered trade mark, that is, a mark used to promote or brand goods)
 ℠ (for an unregistered service mark, that is, a mark used to promote or brand services)
 ® (for a registered trademark)

Trademarks and Copyrights can be important forms of protection of products or symbols used to recognize a product.  There may be approaches to protecting aspects of computer programs.  But the real bread winners are the IP and Know-how.  IP and Know-how are essential to the success of the company as they are what make NewCo special and provide a moat around the business.  As far as Know-how, it will be a secret as long as you can keep the information secret.  Know-how is the special sauce that goes into your company.  It is something only NewCo knows and now public information is available that a competitor can use to reproduce your special sauce.  For example, try to find out how to make a Coke.  This info has been closely guarded for nearly 100 years. 

The rights associated with the patent portion of the IP help identify markets and potential value. The IP helps keep the competition away for some period of time and provides you a legal monopoly for as much as 20 years.  A patent will define claims which you can use to take an infringer to court and attempt to stop them from making a product you own the rights to.

What is a patent?  Think of a patent as a deed to property, like the deed to your home.  You actually have ownership and rights to keep others out of your home.  You can sell the home, rent it, or just allow the home to just set and do nothing.  It is your home to do with as you please; within the limits of the law.  Patents are similar.  Once the patent issues, it defines the technology or products you have invented and have rights of ownership.  You can develop the technology, license it, sell it, and you have the unique ability to prevent anyone from selling something that is covered by your patent. 

Sometimes when I discuss NewCos with entrepreneurs there is confusion about what a patent does and does not mean to the company.  As just stated, a patent DOES allow you to prevent someone from selling your product.  A patent DOES NOT automatically give the rights needed to sell a product.  When preparing a patent, it is a like blowing a bubble in a rose bush.  You want to blow the bubble as large as you can to fill the empty spaces, but if you blow it too large it will burst.  The first patent issued in completely new field will make every effort to cover as much of the field as possible.  As other inventors file for their new inventions in the field, they will attempt to cover uses, areas, and products not contemplated in the original patent or other issued patents in the field. 

Read More >> http://taffywilliams.blogspot.com/2011/03/intellectual-property-ip-and-know-how.html

Protecting Your Intellectual Property Is More Important than Ever

By: MELINDA EMERSON

When you see or hear the abbreviation “IP,” it stands for Intellectual Property.  IP is a key asset in a small business. Simply put, intellectual property is the ownership of concepts, processes and ideas, as opposed to physical property which characterizes a tangible asset. IP is fast becoming the major delineator among business owners who are competing for market share and customers.

There are four basic types of IP that small businesses often rely on.

Copyrighted Material

This category encompasses everything from literary and artistic works to video and audio recordings to architectural drawings and computer code. Although a copyright is the most common form of IP, it does not cover ideas or concepts unless they are written down, creatively rendered, or recorded in some other fashion. However, you can not copyright a book title unless it’s a book series. Though technically speaking, you don’t have to register a copyright in order for it to be valid, doing so is relatively inexpensive and gives you more solid legal footing should a dispute ever arise.

Trademarks

While copyrights focus mainly on creative works, trademarks protect anything that is related to branding. Things that can be trademarked include company symbols (like McDonald’s golden arches), names (like the Super Bowl), or logos (like the blue and white F for Facebook) – as long as it is distinctive (for instance, the name “AAA Plumbing” probably couldn’t be trademarked). Trademarks can be filed with the U.S. Patent and Trademark Office (USPTO) for a few hundred dollars or a bit more if you utilize a lawyer.

Patents

These days, patents are the least common types of IP among small business owners. That’s because patents only apply to invented products, processes, and methods which are determined to be “novel,” “non-obvious,” and “useful” according to federal statutes. Also, the patenting process with the USPTO can take months or years and cost thousands of dollars, and it always involves securing the services of a patent lawyer.

Trade Secrets

This is a more nebulous classification which covers any type of process, recipe, formula, or design that gives your business a competitive advantage (like a family secret pie recipe, your unique 3D printing process, or Coca-Cola’s secret formula). Here’s the problem: the government doesn’t provide any registration process for trade secrets (which would defeat the purpose, after all), so it’s up to the small business to restrict access to its trade secrets. Legal relief only comes if the IP is leaked or stolen (which is theft) or an employee violates a non-disclosure agreement (which is a breach of contract).

Intensely Protect Your IP

Though the process for safeguarding or registering various forms of IP can differ depending on the company and the context, here are some general guidelines for how to protect your business:

Do your homework. Identify your IP, categorize it properly, and know your rights and limitations.

Don’t procrastinate. The USPTO operates on a “first to file” system, so even if you come up with the idea first, you’re out of luck if someone else registers it with the USPTO before you do.

Seek expert advice. For complex IP types like patents and trademarks, hiring a who specializes in IP law to help you navigate the process.

Monitor your IP rights. Once you have registered your IP, it’s up to you to watch out for infringements; the government won’t do it for you.

Handle disputes wisely. If you find someone using your IP improperly, don’t automatically run to the courthouse. Consider sending a notification letter to the perpetrator; or if the revelation might actually boost your business, it may be prudent to ignore it altogether.

Overlooking your IP could have negative ramifications for your business. But don’t wait to find out you’re wrong by watching a competitor leverage your creative ideas or logo to make money for their business. When it comes to IP, Prevention is worth a pound of cure.

The End of the Startup Era: 5 Ways to Save Your Business From Acquisition

By: Shakir Akorede

The end of startup economy is here. How many developing companies have to be absorbed by the giants to prove it?

Since 2001, Google has acquired 200 startup companies. That’s more than its 12-per-year acquisition goal. Likewise, Facebook, after a series of striking swallows, continues to terrify Snapchat by mimicking its features, stroke for stroke. As a whole, the implications are apocalyptic. And the problem is far beyond copycats.

Take a look at these five powerful ways to save your brand from the peril of M&A predators.

1. Create a unique brand from the get go.
All startups are equal in terms of nomenclature. But those with the vision of becoming authority brands know they have to be outstanding right from the start. They understand the need to engrave the right impression. They undertstand they don't need to a “build and sell” startup.

To be a unique brand, you have to have a powerful value proposition. You need an unshakeable self-belief, clear vision, a culture of novelty and consistency to set yourself apart. These are traits of thriving businesses. Mark Zuckerberg used these traits to resist the crushing temptations from a giant M&A who applied to buy Facebook at the very early age of four months.

2. Start with innovation; then keep innovating.
What now comes into play is the culture of timeless innovation. The personality of a brand -- your company culture -- and innovation cannot be separated, according to Google. However, innovation is never-ending. So you have to really advance continuously and forever. Google says you should do that 10x, not 10 percent. Continuous innovation is the one-and-only tool to improve growth and retain market loyalty.

3. Limit your liability.
Being a serious founder, it’s instinctive that you’ve fulfilled all legal conditions that surround doing business. Great!

While it's important to expand, either quickly or slowly, you must take precautions. You have to be dexterous at organizing your business such that you don’t lose the capacity to control risks, accrued expenses and other financial obligations. The best way to go about this -- and, most importantly to curtail legal liabilities -- is to incorporate.

4. Get a patent.
In addition to the point above, a greater task lies in protecting your intellectual property (IP). Why so? You exist in a bullying atmosphere where you have all eyes on you. In case you escape all acquisition efforts by the giants, it is less likely to get away without the alternative challenges of idea infringement and/or theft. In this regard, getting a patent becomes an unavoidable need. In fact, it's a one-size-fits-all solution in a situation whereby “an invention is not your own until it is patented.” The U.S. Small Business Administration notes, “others can’t make, use, sell, or offer to sell your invention in the United States or import your invention into the United States” when you’ve secured a patent.

Related: 3 Approaches to Get Your Patent Application Moving Much Faster

A patent does not only preclude the theft of innovation. It equally opens up the access to finance, combined with the freedom to operate in a competitive industry, while increasing market share.

5. Fight off copycats.
You can’t have your cake and eat it too. You cannot innovate, resist acquisitions, and then expect to live freely. Meaning, you’re going to deal with unending frustrating imitations from competitors turned copycats. How do you keep them at bay?

Get used to imitation. The earlier you accept the situation, the better. One way to deal with it is to know your copycats, and offer them what to imitate by continuously getting better. That’s how to stay above the curve.

Treat the market the right way. The market is your best defender. It’s the most critical thing to your success. You have to keep an unbreakable relationship with that asset for you to stay relevant in all senses.

Keep your secrets. From brand ideas to prototypes, marketing plans and expansion strategies, everything about your brand is a confidential property. You must keep the secret watertight, most particularly the next line of your innovations, modifications and updates. “People can only copy the outside of your business because that’s all they can see. So while they’re copying what’s out there right now, you’re hard at work coming up with newer and more amazing things,” says Nathalie Lussier.

Conclusion.
No one said it would be easy for potential startups to bypass M&A hunters. Use these tips to save your head and, more importantly, place it ahead of the competition if your vision is for the long-term.

STARTUP ENTREPRENEURS: WHY YOUR STARTUP NEEDS A PATENT ATTORNEY

By Michael J Foycik Jr. 

Why need a patent attorney for a crowdfunding effort?  Would entrepreneurs benefit?  Will it help you raise funds?  Good questions!

I learned answers to those and other questions while helping a record-setting startup raise funds on a crowdfunding site.  It seems to matter to investors, donors, and others.  Let's see why.

The public – donors, investors, and early adopters – may have concerns:  can they be sure your product or service does not infringe any patents?  Can they be sure you're protected and that no competitor can take away your rights?  Only a patent attorney can help with that.  Having a patent attorney's help – and listing the patent attorney on your web site as an advisor – can impress investors and donors.

The above points do not even mention patentability, which can be very important.  The investing public will wonder if your startup is taking steps to protect its patent rights, both in the US and in foreign countries.  Having a patent attorney as an advisor can be reassuring to the investing public, and helps them feel confident your startup is properly advised on these points.

Other key questions: do the entrepreneurs need a Utility patent application or a Design patent application?  Would a trademark help?  What about international (foreign) patent applications?  Is having a right-to-use study beneficial?  Will trade secret protection work, and if so how can it be secured?

Your patent attorney should – in addition to patents - be able to help you secure rights using trademarks, trade secrets, and copyrights.  Not all patent attorneys have sufficient experience with these types of items.  Courtroom experience helps, too – you'll want to know the risks and rewards, not to mention costs.

And, negotiations are important.  Should you sign that NDA?  A patent attorney can help keep entrepreneurs from unknowingly losing their rights.

The author is a patent attorney who helps clients with startups on crowdfunding sites, including the startup which set a fundraising record on Kickstarter. The author has over 28 years experience in patents and trademarks. For further information, please email at IP1lwyr@gmail.com, or call at
877-654-3336.

Trademark, patent, design applications grow world-wide

By ideas Matter

Trademark applications grew a remarkable 16.4% world-wide last year to nearly 7,000,000 world-wide, followed by design-rights applications (up 10.4%) and patent filings (up 8.3%), according to the World Intellectual Property Indicators (WIPI) report just released. Much of this growth in demand for IP protection has been seen in filings in China by Chinese entities, but other IP offices have also experienced growth in filings from domestic and foreign companies and individuals.

“The number of trademarks being sought around the world has increased three-fold since 2001, reflecting the importance of protecting branding assets in today’s business environment,” said Francis Gurry, Director General of the World Intellectual Property Organization (WIPO) which published the report.

China, the US, Japan, the EU IP Office and India were the top picks for trademark filings world-wide, with applicants based in Switzerland (77%), the US (46%), Germany (45%), the Netherlands (44%) and Sweden (42%) taking the lead in seeking trademark protection outside their home countries.  By contrast, 95% of all filing activity by China-based applicants was in China – which saw the bulk of the world’s growth in trademark filings last year (up to 3.7 million) – but only 5% of Chinese applicants sought trademarks abroad.

Similar growth patterns were seen in patent filings.  US residents continue to lead in filing patents outside their own country (four times as many as Chinese residents), followed by Japan, Germany, and the Republic of Korea.  Chinese patent filings were up 21.5% to 1.3 million, largely attributable to domestic applicants, and patent applications in the US (605,000) also grew last year.  The European Patent Office, Japan and the Republic of Korea each had somewhat fewer patent filings in 2016.

Industrial design applications hit nearly 1 million world-wide last year, again driven by strong growth in China (650,344 applications, or 52% of the world total). This was followed by design applications filed in the EU IPO (104,522), the Korea IPO (69,120), Germany (56,188) and Turkey (46,305). Among the top 20 offices, the fastest growth in design rights applications occurred in Iran (+34.8%), followed by Ukraine (+17.4%), China (+14.3%) and the U.S. (+12.1%).

“We continue to see extraordinary growth in the use of intellectual property, and growth that is way beyond that which we’re seeing in economies around the world,” said Gurry.  “We see Asia and China in particular as increasingly important players in this area.  China is using intellectual property strategically as part of their policy of creating a more innovation-based and value-added economy.”

See the full 2017 WIPI report, launch video, and press release for more information on the report.