Properti Adalah Kepemilikan Bangunan – Di era modern saat ini , salah satu bisnis yang di lirik oleh masyarakat adalah properti. Hal itu dapat di lihat dari banyak nya kemunculan pembicaraan topik seputar rumah atau tanah. Tidak jarang juga pembicaraan tersebut berkaitan dengan istilah bisnis atau investasi properti. Properti bisa menjadi pilihan favorit bagi anda yang ingin berbisnis dan ber investasi dalam jangka waktu panjang.
Penjelasan Singkat Properti
Properti Adalah Kepemilikan Bangunan, Meski topik properti sering di perbincangkan di dalam lingkungan masyarakat, namun banyak orang yang mengartikan istilah ini secara sempit.
Pengertian properti adalah bangunan mewah atau tanah yang luas merupakan hal yang kurang tepat. Pasalnya, satu petak tanah pun sudah bisa di katakan sebagai properti apabila telah memiliki hak milik yang sah secara umum.
Properti adalah penyebutan untuk bangunan atau tanah yang di miliki oleh seseorang. Bisa di katakan bahwa, properti tidak hanya sebatas bangunan yang berdiri di atasnya.
Selain itu menurut Kamus Besar Bahasa Indonesia (KBBI), properti adalah harta berupa tanah, bangunan serta sarana dan prasarana yang tidak terpisahkan dari tanah milik atau bangunan yang di maksud. Dari seluruh pengertian tersebut, dapat di simpulkan bahwa pengertian properti adalah suatu hak, baik itu hak milik , hak guna, maupun hak sewa untuk memanfaatkan sebuah bangunan serta sebidang tanah dan apapun yang ada di atas lahan tersebut.
Alasan Memilih Properti Sebagai Aset
Mengapa menjadikan properti sebagai aset menjadi penting? Karena properti memiliki kalian erat dengan ke pemilikan. Oleh sebab itu, Anda akan di hadapkan dengan banyak dokumen dokumen penting yang harus di urus.
Properti dengan kepemilikan yang tidak jelas rawan mengalami sengketa dan perselisihan. Itu karena, properti adalah aset berharga dan mahal, sehingga penting untuk memastikan segala sesuatunya legal dan jelas.
Aneka Macam Produk Properti
Setelah memahami istilah properti, berikutnya adalah pembahasaan dari produk properti. Pemanfaatan produk properti adalah hal yang tidak terbatas pada lahan atau rumah saja. Berdasarkan tujuan, produk properti disklarifikasikan menjadi empat macam , antara lain
1. Memenuhi kebutuhan Komersial
Properti dalam bentuk bangunan juga bisa di manfaatkan untuk kebutuhan komersial seperti perkantoran atau pertokoan.
2. Menjadi Tempat Tinggal
Manfaat lain dari properti adalah sebagian residensial. Hal itu dapat di artikan sebagai bangunan yang di manfaatkan sebagai tempat tinggal dan hunian.
3. Sebagai Bangunan Industri
Menjadi bangunan industri yang di manfaatkan dalam kegiatan pabrik, pergudangaan atau laboraturium pengembangan.
4. Properti dengan Tujuan Khusus
Bangunan dengan tujuan khusu ini pada properti adalah gedung yang di manfaatkan sebagai fasilitas umum seperti sekola, terminal, bandara, tempat hiburan, tempat ibadah dan sebagainya
5 Mitos Keliru Investasi – Dalam setiap lini bisnis selalu ada mitos dan atau persepsi keliru yang menempel. Padahal mitos tersebut pada kenyataannya tidaklah selalu benar, begitu pula dengan bisnis properti. Ada banyak pertanyaan di benak investor baru yang ingin mulai investasi di properti
Minimnya informasi yang di dapat bisa sangat menyulitkan anda memisahkan fakta dan mitos. Daripada harus menyusun seluruh fakta yang ada, beberapa mitos yang sering di temui dalam beberapa bisnis properti di bawah ini, seperti di kutip
1. Berinvestasi Di Properti Hanya Untuk Orang Kaya
Memang benar, uang bisa menggerakan dunia. dan pastinya sangat membantu orang meraih imipian. Tapi instrumen investasi properti terkenal memulai bisnisnya kecil kecilan. Namun, secara perlahan mereka menanjak ke posisi puncak dengan kerja keras
2. Berinvestasi di properti berisiko tinggi
Beberapa orang beranggapan begitu karena biasanya membutuhkan modal cukup tinggi, sehingga jika gagal di tengah jalan, kerugiannya pun cukup tinggi. Padahal sebenarnya, risiko berinvestasi di properti termasuk salah satu yang paling rendah. Apalagi jika di bandingkan pasar modal atau lembaga keuangan lainnya. Memang ada risikonya, tapi semua bisa di perhitungkan.
3. Jual-beli rumah merupakan cara investasi terbaik
House flipping yaitu membeli rumah dengan niat untuk di jual kembali bisa jadi cara yang baik untuk berinvestasi di properti, tapi jelas bukan yang terbaik karena masih ada pilihan-pilihan lain. Dalam situasi ekonomi seperti ini, harga rumah sudah cukup tinggi, dan anda harus menunggu cukup lama untuk bisa mendapatkan keuntungan tinggi lewat menjual kembali rumah tersebut. Menyewakan properti anda bisa jadi jalan yang lebih baik ketimbang menjualnya begitu saja.
4. Anda perlu banyak pengalaman
Mitos ini lebih masuk akal di bandingkan mitos lainnya. Akan tetapi, jika di pikir baik-baik, jika semua investor perlu banyak pengalaman sebelum memulai maka tidak akan ada yang namanya instrumen investasi properti. Pengalaman memang sangat membantu, dan hanya bisa di raih sejalan dengan waktu dan jam terbang. Yang paling anda perlukan adalah keinginan untuk belajar.
5. Banyak yang gagal berinvestasi di properti
Layaknya sebuah instrumen investasi, properti juga punya risiko, tapi janganlah membuat anda takut sebelum memulai. Pikiran seperti ini biasa terjadi akibat kurangnya informasi setelah mengambil keputusan. Sebaiknya, jika anda merasa tidak mampu berinvestasi di sektor ini, lebih baik tidak usah. Tapi jangan sampai anda batal berinvestasi hanya karena masukan dari orang lain, terutama nasihat dari mereka yang belum pernah masuk ke sektor ini.
Itulah 5 Mitos Keliru Investasi yang sering terjadi
Fortunately there are tools to help make managing your properties easier.
Largest Property Management Companies – One is hiring a property manager or property management company who can manage one, multiple, or all aspects of your property’s management.
There are other tools, which we’ll touch on later, if the cost of hiring a property management company isn’t to your liking.
But first, let’s look at who the biggest property management companies are in the U.S.
To simplify things, we’ve broken down the list based on some notable property types:
Multifamily
Commercial
All (master list)
First, let’s start by looking at the largest multifamily managers.
Largest multifamily property management companies
There are a number of large property management companies, but who are the biggest?
According to an independent self-reported survey by Multi-Housing News, these are the 10 largest multifamily property management companies of 2021:
Greystar Real Estate Partners: 728,910
Lincoln Property Co.: 210,183
Cushman & Wakefield: 171,713
Bozzuto: 80,317
BH Cos: 90,926
Morgan Properties: 73,428
Avenue5 Residential: 75,872
Edward Rose Building Enterprise: 67,016
Cortland: 63,915
Essex Property Trust: 61,554
The above list is in order according to the number of units the company managed.
Greystar sits at #1 with Lincoln Property Co. and Cushman and Wakefield coming in second and third respectively.
The portfolios of most companies in the top 10 stayed relatively the same, with Greystar the outlier at a large 35%+ growth.
Keep in mind that the above data is subject to some variance depending on the reporting source.
Largest commercial property management companies
Next, let’s take a look at the largest commercial property management companies.
These are all primarily commercial-based companies, but many of those on this list handle other property types so you will see some crossover with the list above.
According to a survey by commercial property management platform Commercial Search, these are the top 10 commercial property management companies (based on square footage, by the millions):
CBRE Group, Inc.: 6,800
Colliers International: 2,060
JLL: 659
Newmark Knight Frank: 753
Avison Young: 368
Cushman & Wakefield: 760
Hines: 232
Stream Realty Partners: 200
The RMR Group: 98
Kidder Mathews: 74
Keep in mind that the above list was self-reported, and several firms that may have made the list did not respond to Commercial Search’s survey.
In addition, because these numbers are self-reported they may not be 100% accurate (though they are the most accurate list available online).
Based on survey data of property management companies of all property types, the largest property management company is Greystar Real Estate Partners.
Depending on the survey source, Greystar likely manages somewhere between 600-800,000 doors, making them by far the largest property management company based on self-reported data.
Do you need a property management company?
It’s no secret that paying for a property management company isn’t cheap.
Typically, property management companies charge a percentage of rental income, usually around 10%.
That’s a pretty large chunk, especially if your profit margin is already small.
Fortunately, no you don’t need a property management company.
If you’ve been looking into property management because the stress of managing multiple properties has become too much, there are other options.
Namely, property management software like DoorLoop is designed to save you time and money in every area of property management.
With the time and money you save, you’re able to not only handle the stress of managing multiple properties or a whole portfolio but find ways to become more efficient that you never knew existed.
DoorLoop
Exactly how does DoorLoop do that?
Let’s look at a few common timesinks and how DoorLoop allows you to simplify or streamline them:
Rent collection takes too long, or late payments are a problem?
With DoorLoop you have a tenant portal where tenants can pay their rent and other responsibilities each month and even set up automatic recurring payments.
Did we mention late payment reminders?
Maintenance calls are inconvenient and keeping up with repairs is time-consuming?
Access a complete maintenance management system that allows you to set up workflows with automatic reminders for regular maintenance jobs.
Plus, with DoorLoop you can give your tenants the ability to submit maintenance requests via the app which all funnel into one convenient platform, where you can then assign a vendor and track progress seamlessly.
Finances are getting complicated?
DoorLoop offers a full suite of accounting tools that allows you to track, manage, receive, and pay everything from one single, convenient dashboard:
View everything with a complete chart of accounts and robust reporting tools
Print checks for vendors and owners
Receive rent automatically each month
Reconcile bank accounts
Set up integration with QuickBooks online in just minutes
And a whole lot more.
Tenant communications are dispersed and hard to track?
Why not bring it all together with DoorLoop’s convenient communications tools and full CRM platform where you can keep track of all communications from– you guessed it– one convenient, central location.
All of this and more, including:
Owner portal
Automatic listings
Leasing tools
Tenant screening
So, while you can hire a property manager and cut 10% off your rental income, you can also get DoorLoop and get access to all of these features and more for a few dollars a month.
Best Property Management Companies of 2023 anaging multiple rental properties can become cumbersome, particularly as different property types and locations are regulated by different rules, laws, codes and ordinances. A property management company can take care of building upkeep and tenant occupancy, thereby maintaining your good reputation and profitability as a landlord.
If you decide that outsourcing your property management is best, bear in mind that not all property management firms are created equal. We’ve curated a list of the top property management companies in the U.S. today to help you compare options.
Our Top Picks for Property Management Companies
Greystar — Best overall
Lincoln Property Company — Best for client support
Cushman & Wakefield — Best management tools and teams
BH Management Services — Best for residential properties
CBRE — Best for commercial buildings
Colliers International — Best for international properties
WinnCompanies — Best for sustainable initiatives
Vacasa — Best for vacation properties
Buildium — Best budget option
Best Property Management Companies Reviews
We looked at cost structures, customer service metrics, features, location and availability to find the best property management companies to work with. Here’s our list below.
Best Overall: Greystar
PROS
Reasonable pricing
Offices in the U.S., Europe and Latin America
First in the 2022 National Multifamily Housing Council’s Top 50 Apartment Managers list, for three years running
Online portal helps keep you informed
CONS
Some tenant reviews suggest unreasonable fees charged at the end of leases
Some tenant reviews suggest long waits for repairs
Low customer review rating on Better Business Bureau (most reviews are from tenants, and there are no complaints from real estate investors)
Greystar is our best overall pick for rental property management companies. Whether you’re renting single-family housing, apartments or even commercial real estate, Greystar has you covered. Founded in 1993, the company has been providing high-quality services and exceptional customer service to match for nearly three decades.
The company offers reasonable pricing and services that span the entire U.S. as well as Europe and some Latin American countries.
Aside from property management, Greystar is one of the largest apartment building operators in the world. The company also provides reasonably priced investment management solutions.
Best for Client Support: Lincoln Property Company
PROS
Abundant positive reviews from investors and property owners
Top-notch customer service
Nationwide company with a 50+-year track record
CONS
Several negative reviews from tenants
No information is available on pricing
Some tenant complaints suggest lacking maintenance
When it comes to nationwide property management companies that offer exceptional customer support for their property owners, Lincoln Property Company takes the cake. The company has an A+ rating with the Better Business Bureau and several positive reviews on Facebook.
Unfortunately, Lincoln Property Company doesn’t share any pricing information online, but after a quick call, we were able to determine that the company’s pricing is about average for the services it offers.
Moreover, the company is happy to help you manage all of your investments, whether they are investments in real estate, stocks or even cryptocurrency, making it a one-stop shop for the busy investor with a diversified portfolio.
A+ rated with the Better Business Bureau without paying to be accredited
Services are available in more than 60 countries
Quality management tools make it easy to keep tabs on your real estate investments
CONS
Some complaints suggest the company takes too long to pay its service providers
Teams tend to provide the best services to those who own high-value properties
Cushman & Wakefield is a massive real estate investment management firm with offices in more than 60 countries around the world. The company has been in business for more than 26 years and has only received three complaints, according to the Better Business Bureau.
Aside from traditional property management services, Cushman & Wakefield goes above and beyond in a few ways:
Customer care. The company’s customer care team is one of the best in the world, earning a perfect score in the 2022 Global Outsourcing 100’s “Customer Reference” category.
Management tools. Cushman & Wakefield’s management tools make it easy to keep track of your investments.
Availability. The company’s services are available in more than 60 countries.
Finding investments. Unlike other property management firms, Cushman & Wakefield will help you find the best real estate investments for your portfolio.
There are a few drawbacks to consider. The negative reviews about the company are all from service providers like plumbers and electricians who talk about getting the runaround when it’s time for them to be paid. The company is also most in-tune with high-value investors.
Best for Residential Properties: BH Management Services
PROS
Reasonable pricing
Specializing in residential real estate
Quality customer support
CONS
Poor Better Business Bureau reviews from tenants
Reviews suggest tenants are charged too much upon ending their leases
Reviews suggest a lack of quality maintenance
If you’re renting single-family homes or any other form of residential real estate, BH Management Services is the way to go. The company owns a network of apartment buildings and has been providing property management services for well over two decades.
BH Management Services’ specialty in residential real estate makes the company the perfect option if you have a network of homes or apartments to rent out. Moreover, the pricing is reasonable, so you won’t have to give up too much of your returns.
The company isn’t perfect, though. According to several reviews, maintenance takes longer than it should, and tenants may be unhappy with the fees they’re charged throughout and at the ends of their leases.
Best for Commercial Buildings: CBRE
PROS
Specializing in commercial property management
Quality research tools to help you make real estate investments
Successfully relocates client facilities when needed
CONS
Some property owners have complained about a lack of note-taking, requiring more time for customer support than necessary
On the higher end of the pricing spectrum
Some service providers have written complaints about delayed payments
CBRE is one of the largest and longest-lived commercial property management companies in the U.S. The company has been around since the early 1900s and has made a science out of managing properties like office buildings, retail strip malls and manufacturing warehouses.
As a commercial property management company with more than a century of experience serving its community, CBRE’s fees are slightly higher than those of discount competitors, but the added expense is worth the service.
The company provides quality research tools that help you make real estate investments with accurate expectations. Moreover, if something happens and your client needs to be relocated, the company takes care of the entire process.
There are a few disadvantages to consider. Some service providers have complained about waiting over 90 days for payment. Moreover, some customers have written complaints about having to re-explain who they are and what they’re trying to do every time they talk to a new customer service representative, suggesting the company lacks customer relationship management skills.
Top Property Management Companies Of 2023 – The best property managers efficiently run large multifamily investment properties, maintaining efficiencies and maximizing returns. If you have student housing, senior housing, income-based apartments, or any other type of multifamily investment property, these are the top 20 property management companies according to the National Multifamily Housing Council. The NMHC has ranked these companies for 2022 in the following order, and included some basic details about them.
Top Property Management Companies
The list of top rated property management companies includes the largest ones in the country. Most of these companies manage properties regionally or nationally, and they all are responsible for 60,000 to 600,000 units.
Commercial Property Management Company
1. Greystar Real Estate Partners
Greystar Real Estate Partners is the largest property management company with almost 700,000 managed units in 2022. That’s up slightly from the 669,00 units managed in 2021. The company is headquartered in Charleston, South Carolina, but has offices throughout the country and properties in all 50 states.
Uniquely, the company invests in property development in addition to property management. Greystar was listed in NMHC’s Top Owner, Top Developer and Top Builder listings for 2022.
2. Lincoln Property Company
Lincoln Property Company is a distant second, with a stable 210,000 managed units in 2022 and 2021. The Dallas, Texas company has a sizeable portfolio of military properties. It was also a 2022 Top Owner.
3. Cushman & Wakefield
Cushman & Wakefield is also based in Dallas, and has a stable portfolio of ~170,000 units in 2021 and 2022. Current unit counts approximately match those from 2008. This is the largest listed company that’s steady but not growing quickly.
Asset Living continues to grow under CO Ryan McGrath’s 35+ years of leadership. The Houston, Texas company jumped from 103,000 units in 2021, to 159,000 units in 2022. A number of these units are student housing.
5. FPI Management
Based in Folsom, California, FPI Management has ~140,000 units throughout the United States, excluding the Northeast. That’s up from 129,500 in 2021. The company has been expanding into the Southeast.
6. Apartment Management Consultants, LLC
Apartment Management Consultants, LLC is from Cottonwood Heights, Utah. The company grew approximately 13% from 2021 to 2022, increasing its unit count from 100,300 to 113,700. These are all market-rate units.
7. RPM Living
RPM Living is among the newest large property managers, having started in just 2020. The company grew from 81,500 units in 2021, to 112,000 units in 2022. The Austin, Texas company is mostly in the Central and Southeast U.S.
8. BH
BH is a well-established property management company from Des Moines, Iowa. The company has steadily been increasing its portfolio for more than 20 years. The portfolio went from 100,000 units to 106,000 between 2021 and 2022.
9. WinnCompanies
WinnCompanies from Boston, Massachusetts manages 103,000 properties throughout all 50 states. That’s nominally up from 101,000 in 2021. More than one-third is military housing. The company’s growth has been slow for the past ~10 years.
10. MAA
MAA from Germantown, Tennessee has 100,000, which is the same as in 2021. These are all market-rate units throughout the Midwest, Central, and Southern U.S. The company was also a 2022 Top Owner, as it manages many of its own properties.
Best Property Management Companies – Greystar is our top pick overall for best property management company Hans Daniel Jasperson has over a decade of experience in public policy research, with an emphasis on workforce development, education, and economic justice. His research has been shared with members of the U.S. Congress, federal agencies, and policymakers in several states.
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Property management companies take on the daily stresses of commercial and investment real estate management on behalf of owners. Because different localities and property types are governed by different regulations, codes, and laws, a property management company can be essential for most landlords. The best property management companies aim to ensure the profitability, good reputation, building upkeep, and tenant occupancy of a residential or commercial investment property. They also keep owners updated on the key performance metrics of their real estate assets.
To compile this list of the best property management companies, we reviewed 18 companies and rated them based on services, cost structure, reporting capabilities, communication with owners and tenants, and more.
Best Property Management Companies of 2023
Best Overall: Greystar
Best for Residential Properties: BH Management Services
Best for Commercial Properties: Colliers International
Best for Customer Service: Lincoln Property Company
Best Onboarding System: Apartment Management Consultants
12 October 2021 – This webinar is open for anyone who has an interest in the strategic importance of the creative industry and would like to explore more about its innovative and IP value and become familiar with EIT´s new Knowledge and Innovation Community “Culture and Creativity”.
Background
The Importance of Intellectual Property in the Creative World – Cultural and Creative Sectors and Industries (CCSIs) are key drivers of sustainable growth and job creation across Europe and the world. CCSIs contributed to around 3% of global GDP and created employment opportunities for 29.5 million people in 2013[1]. The World Intellectual Property Organization (WIPO) estimates suggest that copyright industries, intrinsically linked with creative industries, contributed over 5% to global GDP and generated 4-7% of national employment. But CCSIs have been hit hard by the COVID-19 pandemic and ensuing crisis. With a loss of 31% of its turnover, the cultural and creative economy is one of the most affected in Europe. Supporting these sectors on their way to recovery and growth is more critical than it has ever been.
The webinar
Ultimately, ideas and knowledge are everything in the cultural and creative industries, a sector that includes a range of activities from architecture to fashion, to the production of films and video games and many more. It is all about intellectual property, i.e. about brands, designs, and ideas and as such one of the most valuable assets of that industry that requires protection so that it can generate the appropriate revenues. Intellectual property (IP) rights play an important role in supporting a thriving creative economy as they protect creativity and control the commercial exploitation of the products of scientific, technological and cultural creation. The ability to develop and use such products is indeed a key driver of economic growth and for international competition, especially for the production and trade of technology-intensive goods and services.
To support CCSIs, the European Institute of Innovation and Technology (EIT) will launch a new Knowledge and Innovation Community (KIC). The KIC will create new opportunities for innovation, education, business creation and acceleration and most important power the next generation of innovators and creatives across Europe. The Call for Proposals will be launched in October 2021. An important aspect during the evaluation will be the future KIC’s plan for the management and exploitation of intellectual property supporting the KIC’s business model as well as plans to generate other type of revenues aiming at financial sustainability.
The EIT´s plans for supporting innovation in the CCSIs via a new KIC: EIT Culture & Creativity.
What is IP? What role does it play in the creative sectors and industries? What are the main IP rights and how do they empower SMEs in the creative industry? Which are EUIPO´s culture-related activities and initiatives and how do they serve SMEs?
After the webinar you will have discovered:
How can I participate in the EIT´s Call for Proposals for the new KIC EIT Culture & Creativity?
How do I protect my ideas during the creation and pitch process?
How do IP rights support generating revenues in the creative and cultural industry?
How to protect my brand and designs from infringers (copycats) and competitors?
How can EUIPO´s Ideas Powered initiative and other culture related activities support my business in setting up my IP strategy?
Agenda:
10h00-10h05 Introduction to the webinar and welcome (EUIPO moderator)
10h05-10h15 Introduction to EIT and the Call for Proposals for a new KIC in the cultural and creative sectors and industries (Sylvia Jahn, Strategy Officer, EIT)
10h15-10h50 Protecting creativity through IPRs (EUIPO speakers)
Introduction to the EUIPO and its culture-related initiatives and activities – Claire Castel, Head of Service, IP in the Digital World and Awareness, Observatory Department
The main IPRs and its benefits for SMEs in the creative industry – Maria Baldares, Enforcement&SME Service, Observatory Department
What Is Intellectual Property, and What Are Some Types? – Intellectual property is a broad categorical description for the set of intangible assets owned and legally protected by a company or individual from outside use or implementation without consent. An intangible asset is a non-physical asset that a company or person owns.
The concept of intellectual property relates to the fact that certain products of human intellect should be afforded the same protective rights that apply to physical property, which are called tangible assets. Most developed economies have legal measures in place to protect both forms of property.
Understanding Intellectual Property
Companies are diligent when it comes to identifying and protecting intellectual property because it holds such high value in today’s increasingly knowledge-based economy. Also, producing value intellectual property requires heavy investments in brainpower and time of skilled labor. This translates into heavy investments by organizations and individuals that should not be accessed with no rights by others.
Extracting value from intellectual property and preventing others from deriving value from it is an important responsibility for any company. Intellectual property can take many forms. Although it’s an intangible asset, intellectual property can be far more valuable than a company’s physical assets. Intellectual property can represent a competitive advantage and as a result, is fiercely guarded and protected by the companies that own the property.
Types of Intellectual Property
Intellectual property can consist of many types of intangibles, and some of the most common are listed below.
Patents
A patent is a property right for an investor that’s typically granted by a government agency, such as the U.S. Patent and Trademark Office.1 The patent allows the inventor exclusive rights to the invention, which could be a design, process, an improvement, or physical invention such as a machine. Technology and software companies often have patents for their designs. For example, the patent for the personal computer was filed in 1980 by Steve Jobs and three other colleagues at Apple Inc.2
Copyrights
Copyrights provide authors and creators of original material the exclusive right to use, copy, or duplicate their material. Authors of books have their works copyrighted as do musical artists. A copyright also states that the original creators can grant anyone authorization through a licensing agreement to use the work.3
Trademarks
A trademark is a symbol, phrase, or insignia that is recognizable and represents a product that legally separates it from other products. A trademark is exclusively assigned to a company, meaning the company owns the trademark so that no others may use or copy it. A trademark is often associated with a company’s brand. For example, the logo and brand name of “Coca-Cola,” is owned by the Coca-Cola Company (KO).4
Franchises
A franchise is a license that a company, individual, or party–called the franchisee–purchases allowing them to use a company’s–the franchisor–name, trademark, proprietary knowledge, and processes.
The franchisee is typically a small business owner or entrepreneur who operates the store or franchise. The license allows the franchisee to sell a product or provide a service under the company’s name. In return, the franchisor is paid a start-up fee and ongoing licensing fees by the franchisee. Examples of companies that use the franchise business model include United Parcel Service (UPS) and McDonald’s Corporation (MCD).
Trade Secrets
A trade secret is a company’s process or practice that is not public information, which provides an economic benefit or advantage to the company or holder of the trade secret. Trade secrets must be actively protected by the company and are typically the result of a company’s research and development (which is why some employers require the signing of non-disclosure agreements, or NDAs).
Examples of trade secrets could be a design, pattern, recipe, formula, or proprietary process. Trade secrets are used to create a business model that differentiates the company’s offerings to its customers by providing a competitive advantage.
Digital Assets
Digital assets are also increasingly recognized as IP. These would include proprietary software code or algorithms, and online digital content.
Type of IP
IP
Protection
Duration (in the U.S)
Patents
Inventions, industrial designs, computer code
20 years
Trademarks
Unique identifiers for a business or its products or services (e.g., logos, brand names)
As long as the trademarked material remains active
Copyrights
Works of authorship, including books, poems, films, music, photographs, online content
Attached to intellectual property are certain rights, known as Intellectual Property Rights (IPR), that cannot be infringed upon by those without authorization to use them.6 IPRs give owners the ability to bar others from recreating, mimicking, and exploiting their work.
Patents infringement occurs when a legally-protected patent is used by another person or company without permission. Patents filed before June 8, 1995, are valid for 17 years, whereas patents filed after this date are valid for 20 years.7 After the expiration date, the details of the patent are made public.
Copyright violations occur when an unauthorized party recreates all or a portion of an original work, such as a work of art, music, or a novel. The duplicated content need not be an exact replica of the original to qualify as an infringement.
Similarly, trademark infringement occurs when an unauthorized party uses a licensed trademark or a mark resembling the licensed trademark. For example, a competitor might use a mark similar to its rival’s to disrupt business and attract their customer base. Also, businesses in unrelated industries may use identical or similar marks in an effort to capitalize on other companies’ strong brand images.
Trade secrets are often protected by non-disclosure agreements (NDA). When a party to the agreement discloses all or parts of a trade secret to uninterested parties, they have violated the agreement and infringed upon the trade secret. It is possible to be guilty of trade secret infringement when an NDA is not present.
Penalties for intellectual property infringement range from fines to prison sentences.
Tips to Avoid IP Infringement
Many times, infringement is done unwittingly. To avoid being sued for infringement on intellectual property, make sure that your business is not using copyrighted or trademarked material, and be sure your brand or logo is not too similar to that of others that it could reasonably mislead somebody to think it was the other brand. Also, do a patent search to ensure that any ideas are your own, and if not that you are able to license them through the proper channels. There are IP lawyers that specialize in this process to make sure that you are not using anybody else’s protected IP.
If you hire somebody to do creative work for you or your company, make sure the contract explicitly states that any creative works generated would become the property of the company and not the person you hired.
Special Considerations
Many forms of intellectual property cannot be listed on the balance sheet as assets since there aren’t specific accounting principles to value each asset. However, the value of the property tends to be reflected in the price of the stock since market participants are aware of the existence of the intellectual property.
Some intangible assets are recorded as property, such as patents because they have an expiration date. These assets are recognized by a numerical value through the process of amortization. Amortization is an accounting method that decreases the value of an intangible asset over a set period of time. This process helps the company to reduce its income by expensing a set amount each year for tax purposes as the useful life of the intangible asset winds down.
For example, a patent might only have 20 years before it’s registered as public domain. A company would assign a total value to the patent. Each year for 20 years, the patent would be expensed or amortized by the same amount by dividing the total value by 20 years. Each year the amortized asset amount would reduce the company’s net income or profit for tax purposes. However, intellectual property that is considered to have a perpetual life, such as a trademark, is not amortized since it doesn’t expire.
Real-World Example
In 2017, there was a widely publicized intellectual property case in which a company called Waymo sued Uber over alleged stealing and implementation of technology relating to Waymo’s self-driving car program. The plans for the technology, although not yet completely viable, constituted significant intellectual property for Waymo. When they alleged that Uber had obtained their intellectual property, they were able to take action through the court system to attempt to keep Uber from utilizing the information to enhance their own self-driving car program.
What Are the 4 Main Types of Intellectual Property?
The four main types of intellectual property are patents, trademarks, copyrights, and trade secrets.
Who Owns Intellectual Property?
Generally, the creator of a work is deemed its owner. However, intellectual property ownership can be determined differently for different types of property and under varying circumstances. For example, if work is created for an employer, the employer is the owner of that intellectual property. Also, ownership rights can also be transferred to other parties.
What Is Intellectual Property Used for?
Intellectual property can be used for various reasons, such as branding and marketing, as well as to protect assets that give a competitive advantage.
What are intellectual property rights? – Intellectual property rights are the rights given to persons over the creations of their minds. They usually give the creator an exclusive right over the use of his/her creation for a certain period of time.
Intellectual property rights are customarily divided into two main areas:(i) Copyright and rights related to copyright.
The rights of authors of literary and artistic works (such as books and other writings, musical compositions, paintings, sculpture, computer programs and films) are protected by copyright, for a minimum period of 50 years after the death of the author.
Also protected through copyright and related (sometimes referred to as “neighbouring”) rights are the rights of performers (e.g. actors, singers and musicians), producers of phonograms (sound recordings) and broadcasting organizations. The main social purpose of protection of copyright and related rights is to encourage and reward creative work.
(ii) Industrial property
Industrial property can usefully be divided into two main areas:
One area can be characterized as the protection of distinctive signs, in particular trademarks (which distinguish the goods or services of one undertaking from those of other undertakings) and geographical indications (which identify a good as originating in a place where a given characteristic of the good is essentially attributable to its geographical origin).
The protection of such distinctive signs aims to stimulate and ensure fair competition and to protect consumers, by enabling them to make informed choices between various goods and services. The protection may last indefinitely, provided the sign in question continues to be distinctive.
Other types of industrial property are protected primarily to stimulate innovation, design and the creation of technology. In this category fall inventions (protected by patents), industrial designs and trade secrets.
The social purpose is to provide protection for the results of investment in the development of new technology, thus giving the incentive and means to finance research and development activities.
A functioning intellectual property regime should also facilitate the transfer of technology in the form of foreign direct investment, joint ventures and licensing.
The protection is usually given for a finite term (typically 20 years in the case of patents).
While the basic social objectives of intellectual property protection are as outlined above, it should also be noted that the exclusive rights given are generally subject to a number of limitations and exceptions, aimed at fine-tuning the balance that has to be found between the legitimate interests of right holders and of users.
Protect Your Intellectual Property – Intellectual property (IP) refers to creations of the mind: inventions; literary and artistic works; and symbols, images, names and logos used in commerce. Businesses are often unaware that their business assets include IP rights.
Your intellectual property is a valuable intangible asset that should be protected to enhance your competitive advantage in the marketplace.
Stopfakes.gov is a one-stop shop for U.S. government tools and resources on intellectual property rights (IPR). You will find business guides, country toolkits, upcoming training events, and more on the site.
How to Protect your IP
Copyrights, which cover works of authorship, such as books, logos and software, is part of intellectual property protection, as are patents, which protect inventions. Other types of IP include trademarks, designs and trade secrets.
The first thing you need to do to safeguard your intellectual property is to file for protection in the United States. Your state’s bar association can recommend experienced lawyers who can help you with that.
Then you must be the first inventor to file for protection in the countries in which you currently do business, or are certain to do business in the future. You should also consider filing for protection in countries that are well-known for counterfeit markets.
If you do business in nations that have free trade agreements with the U.S., IP protections are built into those agreements, but you’ll still need to file in each country to get those protections.
Conversely, if you do business in any country in the European Union, you only need to file for protection with the EU – not every individual nation.
If you have a registered IP right in the United States, these protections are territorial and do not extend to foreign countries. Additionally, most countries are a “first to file” country for trademark registration and “first inventor to file” for patent registration and therefore grant registration to the first filer regardless of first use in the market.
