Protection of intellectual property was considered for a long time to be a dull and technical subject and something that most people in the white heat of creation would worry about later, writes Yvonne Dunn.
Increasingly, though, there has been recognition that ideas have value and that, as a first stage, that value must be protected. The second stage is how to exploit that value.
Commercialisation of ideas is not simple. Far more than in other industries, it involves investors taking a leap of faith, simply because the product is intangible. It?s no surprise that financiers prefer bricks and mortar ? they?re easier to see, touch and take security over. The growth of the ?ideas economy? means that financiers are beginning to take note of creativity as a product. However, to get results, creative industries businesses should try to meet investors halfway, putting in place appropriate business structures and ring-fencing the valuable intellectual property within those structures is the best way to do this.
Taking ideas to market is best done by creating a properly structured business (whether that be a company, a partnership or otherwise) and attracting some core funding. It is this core funding, rather than only project-based funding, that avoids the hand to mouth existence that besets so many creative industries businesses. Financiers understand traditional business structures and, invariably, traditional business structures make sense for the creative industries. Learning to speak the same language as the people that you want to invest in you is an important step in the right direction.
Advisers to creative industries businesses have a role in bridging any gaps between the creative world and the business community. There are some common misconceptions on both sides that frequently get in the way of a good deal. These same advisers also have an educative role. For example, spending some time explaining to a banker how it is possible to take security over a website will make him/her more comfortable about the prospect, and therefore more likely to lend to the next creative industries client who walks through the door.
Yvonne Dunn is an Associate in Wright, Johnston & Mackenzie, Solicitors of Glasgow and Edinburgh and heads the firm?s Creative Industries Group. t: 0141 248 3434 e:yld@wjm.co.uk