Importance of Intellectual Property in Startups

According to the Global Innovation Index (GII) 2015, India ranks 81 out of 141 countries. Globally, Switzerland, followed by the United Kingdom, Sweden, Netherlands and the US are ranked as the most innovative countries in the world. To boost up entrepreneurship and innovation in India, Hon’ PM Shri. Narendra Modi provided a prime spotlight on Startup in India.

Startup India is a flagship initiative of the Government of India which aims to empower Startups to grow through innovation and design. In the Startup Action Plan announced on January 16, 2016, a major focus was given on scheme for Startup Intellectual Property Protection (SIPP) which shall facilitate filing of Patents, Trademarks and Designs by innovative Startups. Startups with limited resources and manpower, can sustain in this highly competitive world only through continuous growth and development oriented innovations and for this, it is equally crucial that they protect their IPRs.Various measures taken in this regard are as under:

• IPR procedure to be made transparent

• Faster patent registration and protection for Intellectual Property rights

• Recommendation by incubator recognized/funded by RBI not required

• Patent applications of the startups shall be fast tracked for examination and disposal

• Government shall appoint facilitators who shall provide assistance for startups in filing and disposal of patent applications related to patents, trademarks and design under relevant Acts

• Government to bear facilitation cost

• 80 per cent rebate in filing patents vis-à-vis other Companies