The activities of Micro, Small and Medium Enterprises (MSMEs) and the creative economy directly support economic stability and growth in Indonesia. Compared to large-scale businesses, MSMEs are considered to be able to develop more quickly and inclusively. However, in carrying out their business development, MSME players need to pay attention to aspects of legality and regulation, one of which is by registering Intellectual Property Rights (HAKI) in order to obtain legal protection. Then, how important is legal protection of IPR for MSMEs? Well, before knowing the importance of legal protection of IPR for MSMEs, you need to first know the definition of IPR and what is included in MSME IPR.
IPR at a glance
IPR is a legal right granted for the expression of ideas that are manifested in a tangible way. HAKI itself has two characteristics. First, intellectual property rights are exclusive rights, monopoly rights, which include three things, namely the right to use, the right to allow others to use a right, and the right to prohibit others from using a right. The second characteristic of IPR is that it is an intangible asset, meaning that the person who owns the IPR has an asset and often this asset is higher in value than tangible assets. In addition, an IPR that is an expression of an idea must fulfill three conditions, namely:
- The idea in question is not only limited to ideas or notions, but must also be expressed in concrete form;
- The expression of the idea has never been expressed to anyone and anywhere, or it can be called the originality of the idea;
- The expression of these ideas can be manifested in both commercial and non-commercial forms.
In the MSME business, the most commonly used IPRs are copyrights, patents, industrial designs, and brands. It is for these IPRs that SMEs are encouraged as soon as possible to register them with the Director General of Intellectual Property (DJKI) of the Ministry of Law and Human Rights. There are three phases of IPR protection, namely planning, production, and marketing. In the context of business, IPR is indispensable and plays an important role as a means of protecting goods or services produced, as well as a tool for optimizing MSME businesses and creative economy industries. In addition, what else is the importance of legal protection of IPR for MSME actors?
Prevent Competitors from Claiming the Brand
In addition to aiming to find out whether the trademark owned by an MSME can be registered or not, IPR is also important to avoid lawsuits from other parties due to the similarity of trademarks. With the legal protection of IPR, especially trademarks, MSMEs can avoid similarity or plagiarism of other trademarks, and to avoid lawsuits.
Simplify the Transfer and License Process
If your MSME business has grown rapidly and wants to expand such as a franchise, HAKI will make it easier for you in terms of licensing. So that all forms of expansion or transfer of your MSME will be under legal protection.
Streamline the Public Offering or Investment Process
Given that the MSME sector has now been able to penetrate the global market, it is not impossible if one day your business can enter into a public stock offering or initial public offering (IPO). With IPR, your business will have a good valuation in terms of legality.
Adding Value to Products
Having a product whose brand, copyright, and industrial design are registered, original in terms of ideas, and already have legality as IPR is certainly an attraction and added value to the product. Of course, this will generate buyer confidence and increase the value of the products you sell.
IPR Certificates Can Be Financed by MSMEs
Minister of Tourism and Creative Economy Sandiaga Uno said that Government Regulation (PP) Number 24 of 2022 makes it easier for creative economy players (ekraf) who already have HAKI certificates to obtain business financing sources from bank or non-bank financial institutions.
KH Contact
That is the explanation of the importance of legal protection of IPR for MSME businesses. How, very important and profitable isn’t it? Therefore, as an MSME player, don’t miss out on registering your MSME HAKI! Moreover, now MSME players can also register HAKI easily and practically with Kontrak Hukum. Starting from only Rp3 million, you can enjoy brand registration services quickly, efficiently, and with professional services available at Kontrak Hukum. Immediately visit the page https://kontrakhukum.com/kekayaan-intelektual/ or contact Kontrak Hukum through the following link Tanya KH. Kontrak Hukum is ready to help your MSMEs upgrade through legality!
