The franchisor's intellectual property is the heart of the franchise. This is what is being sold. Without the "Big Idea" the franchise is nothing, it is the biggest asset the business has. Thus the franchisor needs to take careful steps to protect their IP and ensure that others know it belongs to them.
The fundamental items that can be registered as IP are:
- The name of the company or business. This must be registered before the franchise can be marketed. Make sure that no one else uses this or similar names.
- Trade Marks. These are symbols that identify the business. They can be a logo, letter, shape, image, brand, package design, caricature, photograph, process and many other things. Registering a trademark prevents others from using it without a licence. The trade mark should be registered in all geographic that the franchise will operate in.
- Domain Names. These should be registered as soon as possible to forestall any hijack attempts.
- Copyright. All published written materials should be marked as copyrighted; this is particularly true of the Operations Manual.
- Patents and Designs. If the franchise depends on a particular invention or design then this should be legally patented. The franchise agreement should reflect this by terminating the right of use if the franchisee ends their relationship with the franchise.
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