This month guest post is from Jamie White. Jamie is an Intellectual Property Lawyer, Registered Trade Marks Attorney and Managing Director of Expand IP. As a special offer for NBM clients Expand IP is offering a free offer for a Website Legal Audit which is valued at $595. It's limited to only the first 5 NBM clients so get in quick, we highly recommend Jamie and his service. Click here for more info.

As business owners become more familiar with intellectual property (IP) and the potential value that it can bring to their business, it becomes increasingly important to ensure that IP is identified
and protected upon its creation.

However, business owners do not always have the necessary skills to identify the IP in their business, know how to protect it, or know how to exploit its potential value.

There are 3 main stages in turning the IP of a business into profit.

Identification

Due to the intangible nature of IP, many business owners are not aware of what constitutes IP and will often seek the services of a professional to undertake an IP audit. An IP audit is a review of
business structures and activities within a business with the objective of identifying existing IP assets.

Upon completion of an IP audit, a business owner should have:

• valuable information about the IP assets that the business owns;
• identification of any risks to the IP or title defects;
• an outline of any other risks such as infringement of third party rights; and
• a developed IP register which can be used to identify the IP of their business and implemented in business strategies.

An IP audit will also identify the importance of the IP to the current and future profitability of a business, through proper management and exploitation of commercialisation opportunities.

Protection

Sound protection of IP will afford a business owner the exclusive legal right to commercially exploit their IP for a certain period of time. Some forms of IP are automatically protected upon creation,
such as copyright and circuit layout rights. Others, like trademarks, patents, confidential information and designs require practical steps to obtain protection.

Securing IP rights can create lucrative business opportunities for business owners. This is because IP ownership provides unique rights of commercial leverage and affords protection against
competitors. An owner of IP can create relationships with other parties to commercialise it and prevent others from exploiting their IP without consent.

Once a business's IP is adequately protected, strategies for commercial exploitation of the IP are considered.

Commercialisation

Commercialisation is the process of turning an idea or invention into a marketable product or service. The commercialisation of a business owner's IP can lead to new business opportunities and increased profitability. There are many ways to commercialise IP, the most common being via licensing and franchising arrangements, or a complete assignment of rights.

Alternately, a business owner may develop their IP into a marketable state without external involvement. This means taking on the entire workload and risk associated with launching new
products and services derived from their IP. Despite such inherent risks, a business owner will enjoy all the rewards and benefits if the commercial exploitation of their IP is successful.

The commercialisation strategy which best suits your business will depend on your IP, existing core business capabilities, understanding of the market, ability to secure finance and other ircumstances
that are inherent in your business. Personal and professional circumstances should also be taken into account to ensure the preferred option enables maximisation of potential profit. A commercialisation strategy determines how the exclusive rights associated with your IP can be commercially exploited best.

So, are you ready to cash in on your IP?

Jamie White is an Intellectual Property Lawyer, Registered Trade Marks Attorney and Managing Director of Expand IP.

For further information visit www.expandip.com.au