Talking Intellectual Property on Going Global Panel Discussion

Article by Stevens Hewlett & Perkins (SH&P), sponsors of the SW Investment Summit Autumn 2024.

Last week, our very own Richard Turner, a partner and patent attorney at Stevens Hewlett & Perkins (SH&P), joined an insightful panel discussion on “Going Global” at the Tech South West Investment Summit. The panel discussed key aspects of scaling tech businesses internationally, from attracting investment to navigating common pitfalls when expanding overseas. Representing SH&P, Richard provided expertise and advice on the critical role of intellectual property (IP) in both securing investment and facilitating smooth entry into new markets.

Here, we’ve summarised the key questions, insights, and essential considerations Richard shared during the discussion to help businesses understand the IP landscape as they take their ventures global.

1. Why is IP crucial when expanding into overseas markets?

Answer: Entering a new market can expose businesses to new competitors, potential infringements, and a unique set of regulatory requirements. A strong IP portfolio ensures that your brand, inventions, and unique processes are protected from local competitors looking to imitate or undercut your success.

Takeaway: Securing IP rights in target countries gives you a legal edge and protects your market share from potential copycats.

2. What are the common pitfalls in IP for businesses entering foreign markets?

Answer: A key pitfall is assuming that IP protection in one country covers rights worldwide, which isn’t the case. Each country has its own IP laws, so businesses must apply for protection separately. Another risk is encountering similar or identical IP owned by others in that region, which can lead to costly legal battles or forced rebranding.

Takeaway: Always conduct clearance searches to ensure your IP doesn’t conflict with existing rights, and tailor your IP strategy to each market.

3. What is IP clearance searching, and why is it essential?

Answer: IP clearance searching involves checking for existing patents, trade marks, or designs that might conflict with your own business plans. It’s a critical step before market entry to avoid infringing on someone else’s IP rights, which can lead to lawsuits, fines, or even barring your product from the market.

Takeaway: Proper clearance searches reduce the risk of costly legal conflicts and ensure your brand or technology can be legally used in the target country.

4. When should companies apply for IP protection in new markets?

Answer: The ideal time is during the early stages of planning market entry. Almost all countries follow a “first-to-file” rule, meaning the first person to register an IP asset, regardless of origin, holds the rights. Failing to register early could allow a local business to beat you to it, potentially blocking your entry or forcing a purchase of rights.

Takeaway: Early IP applications provide peace of mind and protect your position in the new market, preventing opportunistic registrations by local entities.

5. How does a strong IP portfolio attract external investors?

Answer: Investors seek businesses with unique assets, brand credibility, and a clear advantage over competitors—qualities a robust IP portfolio provides. Patents, trade marks, and design rights demonstrate that a company is serious about protecting its innovations, which can enhance investor confidence in the brand’s long-term value.

Takeaway: An IP-rich portfolio signals to investors that the business is well-prepared, forward-thinking, and has taken steps to secure its competitive edge.

6. What role does IP play in negotiations with investors?

Answer: IP assets can be powerful bargaining tools, as they often hold significant market value. A registered trade mark or patented technology can reassure investors of exclusivity in the market, and these assets can sometimes even be used as collateral in funding deals.

Takeaway: Strong IP rights give businesses more negotiating power, making them more attractive to investors and securing better funding opportunities.

If you have any questions about intellectual property, expanding overseas, or entering new markets, please feel free to reach out. We’re here to support your journey to global success.

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