Small and Medium Enterprises (SMEs) are a priority of the UAE government as they are considered vital for the country’s economy and growth. SMEs represent over 94 per cent of all companies operating in the UAE. They account for 60 per cent of the country’s GDP and employ 86 per cent of the private sector. However, it is disheartening that most SMEs ignore the importance of trademark registration in the UAE.
Failing to register a trademark in the UAE can be a big hurdle in the growth of a company as it can make them vulnerable to infringement. A registered trademark is key to building the reputation of your brand and winning a loyal customer base. Trademark agents in the UAE can help SMEs register their trademarks. In this blog, we will discuss why SMEs ignore the importance of trademark protection. Let’s dive deeper into this subject:
i) Lack of awareness and insufficient information
Most small businesses are not aware of the importance of securing their brands through trademark registration in the UAE. Most SME owners concentrate on increasing their revenues, making a profit and attracting new investors. However, they do not realise that having a registered trademark is key to making profits and attracting new investors.
ii) Budget Issue/ Financial Constraint
Many SME owners delay the trademark registration process due to the lack of budget. However, most of them allocate adequate resources for marketing and advertisement. All of the money spent on marketing and advertisement will go to waste if they for not conduct brand registration. If a competitor registers a similar trademark, you will lose a significant amount of your customers. In effect, the money you saved by not conducting trademark registration will be lost. Moreover, you will be spending more money on trademark litigation. Consult with trademark agents in the UAE to register your trademarks fast.
iii) Lack of vision and thinking that Trademark is for Big Companies
Many brands avoid trademark registration falsely believing that trademark registration is beneficial for only big companies. Big companies have the resources and budget to secure trademark registration for a wide range of their brands. They even have the resources to engage in lengthy trademark battles. However, trademarks are equally important for both big and small companies. Small companies can grow and become big at any time and the lack of a registered trademark will mute their progress.
iv) Underestimating their brands and believing that no one will infringe on their mark
SMEs think that no one will infringe on their brand name or logo as they are not well-known in the market. This is a wrong perception as small companies are also vulnerable to infringement and counterfeiting. Moreover, if your brand name is similar to the registered mark of another company, you can attract a trademark dispute.
v) Thinking that Trademark will not Generate Money
Apart from building a reputation, a registered trademark creates opportunities to make money. You can generate money from trademarks by licensing them to other parties, co-branding with other companies, creating franchise agreements and using them as collateral. Consult with trademark agents in the UAE for further advice.
What can be done?
SMEs need to inculcate a strong IP culture within their organisations. They can take a leaf from the brand success stories of big companies to understand the importance of trademark registration. Moreover, they can consult with trademark agents in the UAE for more information.
How can JIP help SMEs to protect their trademarks in the UAE?
Developing a strong, recognizable and reputable brand through trademark agents in the UAE is highly important for SMEs. However, most SMEs lack a strong IP culture and suffer losses and damage to the brand image as a result. This can be avoided by consulting with the best trademark agents in the UAE such as Jitendra Intellectual Property (JIP). Our IP agents in the UAE can help SMEs to wisely invest their time or resources into building an easily recognisable trademark powerful enough to protect them from others trying to take credit for their hard work.
Our experienced and trusted IP experts in the UAE can help you safeguard your company’s brands, which is the first step to creating strong and undeniable value for your business. JIP’s highly qualified team of trademark agents assist brand owners with all the valuable services including trademark application, trademark search, trademark classification, and trademark assignment. JIP has helped thousands of clients in ensuring their intellectual property rights remain protected in the UAE and Middle East countries.