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2. Legal Provisions for Establishment of NewVenture

Entrepreneurs need to establish their business ventures underthe certain legislative framework. Such framework creates bothopportunities and threats for the business venture. Successfulentrepreneurs carefully monitor changes in laws and regulations inorder to take advantages of the opportunity they create and counterthe threats they pose.

Entrepreneurs need to follow prevailing laws, rules,regulations and rulings of the courts of law. Besides these, thefollowing legal provisions are also needed to follow forestablishment of new venture:

Registration of Intellectual roperty Rights: patent, trademark,copyright, and trade secrets.

!icensing

roduct Safety and !iability

Insurance

"ontracts

3. Registration of Intellectual Property Rights

!teps " #actorsEntrepreneurship and intellectual property go hand in hand.

Intellectual property is a valuable asset for an entrepreneur. Itconsists of certain intellectual creations by entrepreneurs or theirsta#s that have commercial value and are given legal propertyrights. E$amples of such creations are a new product and its name,a new method, a new process, a new promotional scheme, and anew design. % fence or a lock cannot protect these intangible assets.Instead, patents, copyrights, and trademarks are used to prevent

competitors from bene&ting from an individual's or &rm's ideas.%ccording to $illiam  %ygrave and &n'rew (achara)is  (

)Intellectual property refers to creations of the mind, such asinventions* literary and artistic works* and symbols, names, images,and designs used in commerce. Business intellectual propertyincludes patents, trade secrets, trademarks, and copyrights.)

rotecting intellectual property is a practical businessdecision. +he time and money invested in perfecting an idea mightbe wasted if others could copy it. "ompetitors could charge a lowerprice because they did not incur the startup costs. +he purpose of intellectual property law is to encourage innovation by givingcreators time to pro&t from their new ideas and to recoverdevelopment costs. Intellectual property rights can be bought, sold,licensed, or given away freely. Some businesses have made millions

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of dollars by licensing or selling their patents or trademarks. Everyentrepreneur should be aware of intellectual property rights in orderto protect these assets in a world of global markets. %n intellectualproperty lawyer can provide information and advice.

Intellectual property rights are creations of the mind. +heycan neither be seen nor touched. +he main forms of business

intellectual property rights are: atents +rademarks "opyrights +rade Secrets

Such kinds of intellectual property rights need to beregistered and protected. +he -/s 0orld Intellectual roperty1rgani2ation 30I14 was created to administer internationalproperty treaties, as was +rade Related %spects of Intellectual

roperty %greements 3+RIS4, a 0+1 agency with a similar purpose.