World IP Day was initiated by the World Intellectual Property Organisation (WIPO) and takes place annually on 26 April. This year the focus is on the “critical role of SMEs in the economy and how they can use Intellectual Property rights to build stronger, more competitive and resilient businesses”.
For background, there were six million SMEs in the UK in 2020, being over 99% of all businesses. The biggest of the service industries in terms of the number of businesses was the professional, scientific and technical sectors which accounted for 15% of businesses.
In 2019, the European Union Intellectual Property Office (EUIPO) and the European Patent Office (EPO) published a report on the relationship between IP activities and the growth prospects of SMEs. The report found that:
Companies that own intellectual property rights have 20% higher revenue per employee than companies that do not.
Correcting for relevant factors such as sector, company size and country, this revenue premium rises to 55% and even higher for SMEs.
Although less than 9% of small businesses own intellectual property rights, the firms that do have 68% more revenue per employee than firms that do not.
So it makes sense for SMEs to devote some time and effort in developing and managing their IP.
Patents together with other IP rights can be used in various ways by SMEs, not only to create exclusivity for their products and services, but also to structure licensing activities, attract investment, and market a product or a service as being innovative.
At Scintilla, we help innovative companies get a grip on their intellectual property. Our unique commercial approach combines registration of patents and trade marks with strategic input so that IP can be a springboard for business growth. If you would like to discuss your IP needs, do contact us or book a free initial consultation!