Registering a trademark for a company during its creation: good or bad idea?

When a company is in the process of being created, protecting its trademark from the start is a strategic challenge. But should you register the trademark in your own name before registration, or anticipate and register it in the name of the company being formed? This approach has several advantages and avoids some legal complications. Here's what you need to know.

Why register a trademark for a company in formation?

Registering a trademark in the name of a company in the process of formation allows you to:

• Secure commercial identity immediately before registration.
• Avoid a later transfer and associated formalities.
• Preparing for future operation without the risk of personal claims.
• Facilitate legal procedures during the final creation.

When a trademark is registered in its own name and then transferred to the company once registered, this involves additional costs and administrative procedures that can delay its exploitation. There is also a risk of forgetting to make this transfer, if you are not accompanied, leading to legal risks.

Points of attention not to be overlooked in case of trademark registration for a company in formation

While filing in the name of the company in formation is advantageous, certain precautions must be taken:

• Check the availability of the name prior to filing to avoid conflicts with third parties.
• Quickly finalize registration, because the society in formation has only a temporary existence.
• Ensure that the deposit mentions the company in formation, and not simply the name of the future partner.
• Resume trademark registration by the company either in the articles of association when the company was created, or by a minutes of General Assembly. This is the part that is most often forgotten.
• Register at the INPI to register the takeover by the company, once created.

Comparison with a trademark registration in your own name or in the name of the company

Registering a trademark in your own name before the creation of the company may seem easier, but it has its drawbacks:

• Transferring the trademark to the company involves fees and formalities.
• In the event of a dispute prior to the transfer, the partner remains personally liable, including after the establishment of the company.
• A poorly supervised transfer can cause legal problems. The transfer must comply with a specific formalism - contract then registration with the trademark office.

It is also possible to register the trademark only once the company is created. This approach avoids having to manage a trademark transfer or formalize the takeover by the company. However, it may cause a delay between the creation of the business and the effective protection of the brand. If another company registers a similar trademark before you, you may lose your business name or be forced to negotiate. This choice must therefore be balanced with the need to quickly secure your commercial identity.

Conclusion

Anticipating trademark registration for a company in formation is an effective solution to avoid legal and financial complications. This approach ensures a smooth transition to commercial exploitation upon registration. If you want to secure your brand from the start of your project, I can help you optimize your filing and avoid mistakes.