Trademark Registration for MSME
The Micro, Small, Medium Enterprises (MSME) scheme encourages establishing and developing small organizations in our country. The scheme, also known as Udyog Aadhaar, offers several benefits to organizations. Manufacturing and service sector companies with investments of less than 10 crores and 5 crores, respectively, can register under this scheme.
The Government offers several supports to companies registered in MSME. It assists in market development, quality, and technology up-gradation. It also provides subsidies on power tariffs, capital investment, etc. Additionally, trademark registrations for MSMEs are relatively cost-effective, and it is a simple trademark process that can be done online.
Overall, the MSME scheme fosters the growth and development of these enterprises and assists them in flourishing among existing top brands.
Trademarks help your business stand out from the crowd where many look-alike products exist. Companies must use this option to protect themselves against infringement. Let us look into how trademark registration can be an added advantage to a company registered as MSME.
Every trademark is unique. Hence, no other organization will be able to use it for its products or services. This will offer MSMEs protection from any infringers.
Businesses are becoming more and more customer-oriented. Trademarks will build trust and increase the brand’s reputation in customers’ minds. This will enable MSMEs to stand out among large-scale corporate brands.
Besides, it is an intangible asset to a company. MSMEs can also use it as a source of revenue by selling or lending it on a contract basis to a third party.
MSMEs can use the trademark as a source of advertisements, popularizing the brand and enabling customers to associate effortlessly with their services or products. As a result, it will aid them in expanding their business nationally and internationally.
Registration fee
The 2017 amendment to the Trademark rules has reduced the registration cost significantly. Generally, the Trademark office charges Rs.4500/- per class per application for proprietorship firms and Rs.9000/- per class per application for non-proprietorship companies. However, companies with MSME registration have to pay a registration fee of Rs.4500/- per class per application. Similarly, the trademark registration fee for a proprietorship is also only Rs.4500/- per class.
The registration process is relatively simple and requires few documents. The documents required for trademark registration of MSMEs are identity and address proof of the applicant, address proof of the organization, partnership deed or incorporation certificate, MSME registration certificate, and the trademark to be registered.
Points to remember
a) The companies should carefully consider the class under which they wish to apply for a trademark. Hence, a thorough understanding of the NICE classification is necessary.
b) Trademarks are valid for 10 years. Hence, companies should ensure to renew it on time to enjoy its benefits.
c) Companies should also understand that a trademark registered in India is only valid within the country and does not offer protection abroad. Hence, if you consider taking your business international, you should ensure to file for a trademark in the respective territory.
d) Companies can use the symbol TM above their logo after applying for registration. Meanwhile, they can use the symbol ® once they register the trademark.
e) One must not delay applying for trademark registration, as it may take up to 18 months for the registration process to be complete. Besides, the further you wait, the greater the chances for infringement.
f) One can take legal action against unauthorized use of their trademark to protect their brand and identity.
g) Companies can always seek the guidance of trademark experts to understand the classes under which they can file the application and walk them through the process.
Empowering your organization and creating a solid forte is of utmost importance in this competitive world. Indian MSMEs could avail of this opportunity to establish and protect their identity across the market.