2017-12-05 00:00:00 Running a Business English Protect your trade secrets as part of a general defence of your small business' intellectual property. https://quickbooks.intuit.com/ca/resources/ca_qrc/uploads/2017/12/Small-business-owner-reviews-intellectual-property-and-trade-secrets-in-office.jpg https://quickbooks.intuit.com/ca/resources/business/small-business-trade-secrets-intellectual-property/ To Succeed, Keep Your Intellectual Property Secret

To Succeed, Keep Your Intellectual Property Secret

1 min read

Small businesses thrive on innovation. For many, a groundbreaking invention or new way of doing things is the very reason the founders went into business in the first place. That makes it essential to protect a small company’s intellectual property. While trademark and copyright protection are fairly straightforward affairs, there’s one type of intellectual property you may not be adequately protecting: your trade secrets.

Canada’s Intellectual Property Office defines trade secrets pretty broadly. Basically, a trade secret is any bit of information that gives (or might give) your business a competitive edge over its competition and which you have taken some steps to keep confidential. Put this way, a unique way of approaching customers via social media could be a trade secret, as could a secret method for preventing wear on machines or tracking company investments. Almost anything you don’t want your competitors to know about is probably a trade secret.

Protecting your company’s trade secrets is a big deal. Even if you depend on them to a relatively small degree, a trade secret is by definition something that helps your company gain an edge, so protecting it is almost always worth the effort.

One way to do this is to require all employees to sign nondisclosure agreements as a condition of employment. These are contracts that impose some kind of penalty, usually civil, on current or former workers who spill the beans about your revolutionary method for making pizza dough or picking the winning derivatives in which to invest.

The World Intellectual Property Organization has rules that are almost as inclusive as the Canadian government’s. According to WIPO rules, you do not even need to register or patent your trade secret for it to be covered. That alone confers a huge advantage over other kinds of intellectual property. Patents and copyrights, for instance, almost always expire some set period after they’re filed. Your trade secrets, however, may potentially live forever. . . assuming nobody leaks them.

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

Related Articles

4 Ways to Help Your Employees Set Attainable Performance Goals

Set goals with your employees to keep them on track and provide…

Read more

How to Conquer the Critical Stages of the Sales Cycle

Ask any sales expert about the sales cycle, and they’ll testify to…

Read more

What Is Venture Capital?

Venture capital represents funding provided to small businesses or startups by individuals…

Read more