Reviewed by the Legal Foundations editorial team. Last updated: March 2026.
Intellectual property is often a business’s most valuable asset — and the one most founders least understand. Your brand, your software, your designs, your content, your confidential processes: all of these may be protected by IP law, often automatically, without you needing to do anything. But knowing what’s protected, how it’s protected, and what to do when someone infringes it is what separates businesses that capitalise on their IP from businesses that lose it.
This guide covers the four main types of IP relevant to UK businesses, how to protect them, and what to do when something goes wrong.
Table of Contents
- 1 Why IP Matters for UK Businesses
- 2 The Four Types of IP
- 3 Trade Secrets and Confidentiality
- 4 IP in Employment: Who Owns What Your Employees Create
- 5 IP When Buying or Selling a Business
- 6 Cease and Desist Letters: Your First Line of Defence
- 7 IP Licensing: Generating Revenue From Your IP
- 8 IP in the Digital World
- 9 When to Instruct a Solicitor
- 10 FAQ
- 10.1 Does copyright need to be registered in the UK?
- 10.2 How do I protect my business name?
- 10.3 Can I patent software?
- 10.4 What do I do if someone is using my trade mark?
- 10.5 Does my EU trade mark still cover the UK?
- 10.6 Who owns IP created by a freelancer I paid?
- 10.7 What’s the difference between an NDA and an IP assignment agreement?
- 11 Next Steps
- 12 Related Articles
- 13 Free Templates & Documents
Why IP Matters for UK Businesses
Intellectual property rights give you the legal ability to:
- Prevent competitors copying your brand, products or content
- Licence your IP and generate revenue from it
- Attract investment — investors routinely ask about IP ownership before funding a round
- Sell your business at a higher valuation — IP is an asset on your balance sheet
- Protect your confidential information from being used against you by former employees or partners
For startups in particular, IP is often the core of what you’re building. Failing to protect it — or failing to own it properly — can be catastrophic.
The Four Types of IP
1. Copyright
Copyright protects original creative works: written content, software code, designs, music, photographs, films, and more. In the UK, copyright arises automatically — there’s no registration process. As soon as a qualifying work is created, it’s protected.
What copyright covers:
- Written work (articles, contracts, website copy, marketing materials)
- Software code
- Graphic designs, logos, illustrations
- Photographs
- Audio and video content
What copyright doesn’t cover:
- Ideas, concepts or information — only the specific expression of them
- Functional items (a product’s shape is usually better protected by design rights or patents)
- Facts, names or titles (though a collection of facts in a database may qualify for database rights)
Duration: Generally the life of the creator plus 70 years for most works; 25 years for published editions.
Key issue for businesses: Copyright in work created by an employee in the course of employment belongs to the employer. But copyright in work created by a freelancer or contractor belongs to the contractor — not you — unless you have a written agreement transferring it. If you’ve paid someone to design your logo, build your website or write your content and haven’t signed an IP assignment agreement, you may not own that work.
Use our free IP assignment agreement template →
2. Trade Marks
A trade mark is a sign that distinguishes your goods or services from those of other businesses. It’s most commonly your brand name or logo, but can also include slogans, shapes, sounds, and even colours in some cases.
Unlike copyright, trade mark protection in the UK requires registration to be fully effective. Unregistered trade marks do have some protection under the law of passing off, but this is harder to enforce and requires proving reputation and damage.
Registering your trade mark:
Trade marks are registered with the Intellectual Property Office (IPO) in the UK. The process:
1. Search the trade mark register to check your mark is available
2. File an application specifying your mark and the classes of goods/services you want it to cover
3. The IPO examines the application (typically 4–8 weeks)
4. If accepted, it’s published for 2 months for opposition
5. If unopposed, the mark is registered
Registration costs from £170 for one class online. Registration gives you exclusive rights to use the mark in the UK in relation to the registered goods/services, and the right to use the ® symbol.
Post-Brexit: UK trade mark registrations cover Great Britain only. EU trade marks (EUTMs) no longer cover the UK — you need separate UK registration.
Duration: 10 years, renewable indefinitely.
Key issue: Register early. A competitor can file before you do and block your use of your own brand name. Even if you’ve been using a name for years, a registration by someone else complicates your position significantly.

3. Patents
A patent protects new inventions — products or processes that are novel, involve an inventive step, and are capable of industrial application.
Patents must be registered. In the UK, you apply to the Intellectual Property Office. An international application under the Patent Cooperation Treaty (PCT) can secure protection in multiple countries.
What can be patented:
- New products (physical devices, chemical compositions, etc.)
- New processes or methods of manufacture
- Software may be patentable if it has a “technical effect” beyond normal computer operations — this is a grey area in UK/European law
What cannot be patented:
- Discoveries, scientific theories or mathematical methods
- Mental acts, rules for games, business methods (as such)
- Aesthetic creations
- Naturally occurring organisms
Duration: Up to 20 years from filing date, subject to annual renewal fees.
Costs: UK patent applications cost £310+ with the IPO, but the real cost is professional fees. A properly drafted patent application — and you need it properly drafted to be enforceable — typically costs £3,000–£10,000+ in attorney fees. International filings cost substantially more.
Key issue: You must not publicly disclose your invention before filing. Once you’ve publicly described it, you’ve lost the right to patent it in most jurisdictions. If you’re pitching to investors or discussing with potential customers, use an NDA first.
4. Design Rights
Design rights protect the appearance of a product — its shape, configuration, pattern, or ornamentation.
In the UK there are two types:
Registered design rights — you register the design with the IPO, giving you monopoly protection against anyone using a similar appearance, whether or not they copied you. Protection lasts up to 25 years (in 5-year renewable blocks). Costs from £50 per design.
Unregistered design rights (UDR) — arises automatically for original designs of the shape or configuration of an article. Narrower than registered rights (only protects against copying, not independent creation) and shorter (10 years from first marketing, or 15 years from creation, whichever is shorter).
UK vs EU: The UK now has its own unregistered design right system (UKUDR) post-Brexit, separate from the EU’s (EUDR). Protection needs to be considered for both territories if you trade in the EU.
Trade Secrets and Confidentiality
Not everything valuable can be formally registered. Often the most important IP is information that’s valuable precisely because it’s secret: a manufacturing process, a customer list, a pricing model, a formula.
Trade secrets are protected in the UK by the Trade Secrets (Enforcement, etc.) Regulations 2018 and by the common law of confidence. To benefit from protection, you need to take active steps to keep information confidential — it won’t be treated as a trade secret if you share it freely.
Practical steps to protect confidential information:
- NDA before any sensitive discussions — with potential partners, investors, customers and suppliers. Use our free NDA template →
- Confidentiality clauses in employment contracts — employees should be contractually bound to protect confidential information
- Post-termination obligations — non-disclosure obligations that survive the end of employment or a business relationship
- Document and limit access — only share confidential information with people who need it, and keep records of what was shared when
IP in Employment: Who Owns What Your Employees Create
This is one of the most commonly misunderstood areas of IP law.
The general rule for employees:
- Copyright in works created by an employee in the course of their employment belongs to the employer
- Inventions made by an employee in the course of their normal duties belong to the employer
Important qualifications:
- If an employee creates something outside of work — even using work equipment or time — ownership is less clear
- Inventions with “outstanding benefit” to the employer can entitle the employee to compensation under the Patents Act
- Senior employees may have stronger claims to ownership of inventions than junior ones
The rule for contractors and freelancers:
- Copyright in work created by a contractor belongs to the contractor by default, even if you commissioned and paid for it
- You need an explicit written assignment to transfer ownership to you
This matters enormously when:
- You’ve had a freelancer build your website or app
- A contractor has created designs or marketing materials
- You’re buying a business and the IP was developed by contractors
Use our IP assignment agreement template →
IP When Buying or Selling a Business
IP is typically one of the most scrutinised areas in any business acquisition.
If you’re buying a business, you need to:
- Identify all IP assets (registered and unregistered)
- Verify ownership — is it registered in the company’s name, or in a founder’s personal name?
- Check for any licences in or out
- Check for any disputes or infringement claims
- Ensure the IP transfers to you properly in the purchase documentation
If you’re selling a business, you need to:
- Have clean IP ownership — anything in a founder’s personal name should be assigned to the company before sale
- Be able to produce documentation of ownership
- Disclose any known IP disputes or third-party claims
Share purchase agreement template →
Asset purchase agreement template →
Cease and Desist Letters: Your First Line of Defence
When someone infringes your IP — copies your brand, uses your copyrighted content, infringes your registered design — your first step is usually a cease and desist letter.
A cease and desist letter:
- Puts the infringer on formal notice that you own the IP
- Sets out what they must stop doing
- Gives a deadline for compliance
- Warns of legal action if they don’t comply
Many IP disputes are resolved at this stage without going to court. The letter creates a record of the infringement and your response — important if you later need to seek an injunction or damages.
Use our free cease and desist letter template →
IP Licensing: Generating Revenue From Your IP
Owning IP doesn’t just mean preventing others from using it. It also means you can licence it — allowing others to use it in exchange for payment — and generate ongoing revenue.
How licensing works
A licence is permission to use IP. The IP owner (licensor) grants the licensee the right to use specified IP on specified terms. Licences can be:
- Exclusive — only the licensee can use the IP (not even the licensor)
- Sole — only the licensor and licensee can use it (no sub-licences to third parties)
- Non-exclusive — multiple licensees can use the same IP simultaneously
Licence terms typically cover: territory (which countries), duration, permitted uses, sublicensing rights, royalty rates, and what happens on breach or termination.
IP as a business asset
Well-protected and documented IP increases your company’s value. Investors and acquirers look for:
- IP registered in the company’s name (not a founder’s personal name)
- Clear ownership of all software, designs, and content (including work done by contractors)
- Licences properly documented and assigned
- No pending disputes or third-party claims
Cleaning up IP ownership before a fundraising round or exit is one of the most common — and expensive — last-minute exercises. Do it early.
IP in the Digital World
Several IP issues arise specifically in digital and online businesses.
Website and app content
If you’ve paid a web developer or designer to build your website or app, you need an IP assignment agreement. Without one, the developer may retain copyright in the code, design, and assets. Use our free IP assignment agreement template →
Open source software
If your product incorporates open source code, understand the licence terms. Some open source licences (particularly the GPL family) require you to open-source your own code if you distribute software incorporating them. This can create significant problems for commercial software businesses.
Social media and user-generated content
Content created by third parties (customers posting photos of your products, user reviews, etc.) is copyright owned by the creator. You need either a licence (often granted by the platform’s terms of service) or an explicit permission before using it in your own marketing. See our guide to commercial contracts for how T&Cs and website terms interact with content ownership.
Domain names
A domain name registration doesn’t give you trade mark rights, and owning a trade mark doesn’t automatically give you the domain name. If someone has registered a domain name corresponding to your trade mark in bad faith, you can use the Uniform Domain Name Dispute Resolution Policy (UDRP) process or the Nominet DRS (for .uk domains) to challenge the registration — often more quickly and cheaply than litigation.
When to Instruct a Solicitor
Some IP matters you can handle yourself — registering a straightforward trade mark, drafting an NDA. Others really do need a specialist:
- Patent applications — these must be professionally drafted to be effective
- IP litigation — trade mark infringement, copyright claims, passing off
- Urgent injunctions — see our injunctions guide
- IP due diligence in M&A — buying a business and need IP properly assessed
- International IP strategy — protecting IP in multiple jurisdictions
Legal Foundations connects businesses with specialist IP solicitors.
Get connected with a specialist IP solicitor →
Need a bespoke NDA or IP assignment agreement reviewed by a lawyer? Find out about our bespoke document service → from £395.
FAQ
Does copyright need to be registered in the UK?
No. Copyright arises automatically in the UK as soon as a qualifying original work is created. There’s no registration system. You don’t need to use the © symbol either, though it’s good practice as it puts people on notice.
How do I protect my business name?
Registering your company name at Companies House does not protect your brand. To protect your brand name, you need to register it as a trade mark with the IPO. Companies House and trade mark registers are completely separate.
Can I patent software?
In the UK and Europe, software “as such” is not patentable — but software that produces a technical effect can be. This is a complex area that requires specialist advice. Much software functionality is better protected by copyright and trade secrets than by patents.
What do I do if someone is using my trade mark?
Start with a cease and desist letter. If they don’t comply, you can bring a trade mark infringement claim, seek an injunction to stop them, and claim damages. If the infringement is ongoing and causing serious harm, you may need an urgent injunction — see our injunctions guide.
Does my EU trade mark still cover the UK?
No. Post-Brexit, EU trade marks (EUTMs) no longer cover the UK. If you had an EUTM registered before 1 January 2021, it was automatically cloned into a UK trade mark registration. But any EUTM filed after that date doesn’t cover the UK — you need a separate UK filing.
Who owns IP created by a freelancer I paid?
By default, the freelancer owns the copyright in work they create, even if you paid for it. To own it yourself, you need a written IP assignment agreement. Use our free template →
What’s the difference between an NDA and an IP assignment agreement?
An NDA (non-disclosure agreement) keeps information confidential — it stops the other party sharing what you’ve told them. An IP assignment agreement transfers ownership of IP from one party to another. They serve different purposes and you often need both.
Next Steps
- Download our free NDA template →
- Download our free IP assignment agreement template →
- Download our free cease and desist letter template →
- Get connected with a specialist IP solicitor →
For related topics:
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