A trademark serves in the form of a business identifier protecting the ownership of a tagline, name, logo or whatever mark that a business owner uses for identifying his or her business services and products to the consumers. Here, we will be having a look at the reasons why it is important to register a business.
Brand Loyalty
Business or trademark registration shows a business owner’s commitment to his or her brand and the customer also gets a clear understanding of this commitment. Goodwill can easily be developed by way of this commitment which can prove to be invaluable to a business.
Notice of Business Ownership
Registering a business offers each and every member organization in the industry and also the consumers a constructive notice of the fact that you are the owner of a certain business. This is one of the most important reasons behind registering a business. With proper notice of business ownership, a third party carrying out a certain search on a similar or identical business like yours will get a clear idea of the fact that you already own the same mark. This way the third party gets the notice that its use of a similar or identical mark like yours might result in trademark infringement. This will have the third party going through the necessity of finding a different and exclusive trademark that does not match your business trademark. This way, registering a trademark helps in preventing potential conflicts between similar businesses in the near future.
Cyber Squatting can be Avoided
Cybersquatting is the procedure of registering domain names that are similar or identical to the trademarks of the known brands or other parties. Cyber squatters do this with the objective of selling such domain names to their rightful owners at high prices. However, business owners who register their businesses can avoid cyber squatting instances. This is because of the Anti-Cybersquatting Consumer Protection Act in place that allows the owners of registered businesses to sue and even collect damages from parties registering similar or identical domain names.
Fraudulent Activities on Social media can be Avoided
Social media works in the form of one of the most important resources for businesses. There are a large number of people who search for different brand and business names on different social media platforms like Twitter, Pinterest and Facebook. All the major social media platforms have their individual policies for protecting against fraudulent activities and improper marketing. The social media sites also do not take a second in suspending the social media accounts of the wrongdoers. When the social media platforms receive complaints of fraudulent activities and wrong doings or claims that a brand is being used without permission, they request for proof of business ownership. Business registration offers compelling proof of business ownership.
The above mentioned reasons are some of the most important ones stressing on the fact that it is very important for business owners to register a business. Business registration helps in protecting a business in the best possible.