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Why Businesses Need To Register A Trademark?


If you are planning to start a business in Dubai, you need to take care of certain aspects and fulfill many requirements that your business requires. After you have gone through company registration process, another aspect upon which people generally do not put much emphasis on, but it is quite vital to business success; is the trademark of your company. In this article, we will explain you in detail the definition of trademark and why its registration is important for the company.

Trademark Definition

Trademark is an integral type of intellectual property that plays significant role in business formation process. Intellectual property is the result of human mind’s creation. You can refer it as property or asset. It can be an idea, invention, design, data or program etc. so trademark is a part of intellectual property.

Trademark is a unique indicator that businesses or legal entities use to identify their products and services in the mind of their consumers. It can consist of a letter, word, sign, figure or any of the combination which will distinguish a business’s products and service from those of its competitors.

Importance of Trademarks for Businesses in Dubai

Entrepreneurs usually spend quite a lot of time in choosing their company name, spend huge amount of money designing their company’s logo, go through the process of business registration and obtaining its license and put much efforts in initiating their company and gaining identity for it. But most entrepreneurs do not pay attention to an aspect which is the security of their identification. How can you assure that no other business takes advantage of goodwill of your business? How sure is an entrepreneur for the credibility of his company?

This is why registration of trademarks is essential. You may or may not have realized it but you come across trademarks on a daily basis. You can say it is another mean to refer to a brand. A company’s reputation and customers buying decisions are affected by trademarks. In an indefinitely expanding market such as that of Dubai, understanding the importance of business trademarks is must which will eventually help in the business growth. In this article, we have listed down seven reasons on why businesses need to register a trademark in Dubai.

1.Exclusive Ownership Of Business

How would you feel when you realize you are the sole owner of your company? Of course you would be very delighted and feel secure. Trademark registration gives you that guarantee that you have entitlement to the resources and investment that you have made on your business. Trademark registration is an affordable way which will legally ensure you the name or logo which you use for your business.

2.Global Ownership Rights

Registering of business trademark not only covers nationwide protection but it applies for all over the world. This gives you a unique identification not only in few selected location but around the globe. You have an opportunity to spread your wings and expand your business.

3.Prevention Of Duplicity

Trademark protects your ownership rights and secures duplicity. If other entrepreneurs are searching for logos in official records, your trademark symbol will appear thus preventing re-use. If however certain person tries to use your logo for their business as against the law, you have all the right to sue them for illegal creation of duplicate trademark.

4.Valuable Asset for Your Brand

Brand value of a company increases once trademark is registered. Also the more good your company’s reputation becomes, more is the brand value. It will be easy for you to expand from one area to another such as from clothing to shoes or accessories.

Even at a certain point you decide to sell your business, your trademark will bring a higher compensation for it.

5.Effective Communication Tool

Trademarks deliver intellectual and emotional elements of your company, its reputation, products and services. Trademark can merely be a design irrespective of the language. For example, Nike’s “swoosh” is globally recognized irrespective of the language of person whether Chinese, Lebanese or Arabic.

6.Easy Identification

In a crowded market such as that of Dubai which is increasing day by day, it is difficult to distinguish your products from that of your competitors. According to Dubai Chamber of Economy and Commerce statistics, Department of Economic Development has issued record number of 26,707 new business licenses in 2016. These figures emphasize upon the fact that in such an increasing and competitive market, you have to take your game a little notch up.

Trademarks make your products stand out and get customer attention. Upon seeing it, customers immediately know about your company and what is its reputation therefore their buying decision is influenced by it.

7.Trademarks Ease Hiring Process

If your company has good reputation, it will create positive feelings in minds of people. Candidates will be more attracted towards your company and will be willing to be a part of it making hiring process easier for you.

If you need further clarification on business trademarks or having difficulties in understanding its implementation, contact our experts at KWSME. We provide all the services for new company formation in Dubai. Our specialists have more ten years of expertise which will help your company in its trademark registration in Dubai correctly and in less time.

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