Startups Intellectual Property Protection Scheme – One of the Government of India’s most prominent initiatives, the (Start-Ups Intellectual Property Protection) SIPP scheme seeks to encourage and support innovation and entrepreneurship throughout the nation. In order to protect and manage their intellectual property (IP) assets, this program offers Startups both financial and legal support. The Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, is in charge of managing the SIPP scheme, and a network of facilitators is used to carry it out. Read below to check the detailed information related to SIPP Scheme.
Startups Intellectual Property Protection Scheme 2024
In order to make it easier for startups to submit applications for designs, patents, and trademarks through authorized facilitators, the government introduced the Start-ups Intellectual Property Protection (SIPP) system in 2016. The SIPP program initially ran through March 31, 2017. It was extended for an additional three years, from 01.04.2024to 31.03.2024, after being extended for three years till 31.03.2020. Startups can file and submit their applications for designs, patents, and trademarks using facilitators provided by the CGPDTM. By paying only the required fees, the registered facilitators under this program will assist the startups in submitting their intellectual property rights (IPR) applications to the relevant intellectual property (IP) offices. The facilitators’ professional fees will be reimbursed by the CGPDTM office.
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SIPP Scheme Details in Highlights
| Name | Startups Intellectual Property Protection Scheme |
| Initiated by | Government of India |
| Department | Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry |
| Objective | to encourage and support innovation and entrepreneurship throughout the nation |
| Official Website | https://dpiit.gov.in/ |
Startups Intellectual Property Protection Scheme Objective
The goal of the Startups Intellectual Property Protection Scheme is to encourage startups to embrace and be cognizant of IPRs. It has the propensity to mentor and support new and innovative ideas, and it helps startups secure and commercialize their innovations by giving them access to top-notch IP resources and services. It promotes creativity and innovation among entrepreneurs by encouraging and making it easier for them to file IPR applications.
Eligibility Criteria for Startups Intellectual Property Protection Scheme
The applicants applying for Startups Intellectual Property Protection Scheme must fulfill the following eligibility criteria:
- Under the Companies Act of 2013 or the Limited Liability Partnership Act of 2008, the startup should be incorporated as a Private Limited Company, Registered Partnership Firm, or Limited Liability Partnership (LLP).
- The start-up’s annual revenue shouldn’t have surpassed 100 crores in any of the previous financial years.
- A start-up cannot be older than ten years from the date of incorporation.
- The start-up should have an original concept for a business or a cutting-edge product that has the ability to develop a scalable business model with a high level of wealth or employment creation.
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Startups Intellectual Property Protection Scheme Facilitators
Facilitators must be appointed by the CGPDTM for the Startups Intellectual Property Protection Scheme to be implemented successfully. The activities and behavior of the impaneled facilitators are governed by the CGPDTM. These organizations can act as a facilitator:
- Registered members of the CGPDTM are patent agents.
- Recognized as trademark agents with the CGPDTM
- An institution, department, agency, or Central Public Sector Undertaking (CPSU) of the government, such as TIFAC, NRDC, BIRAC, MeitY, CSIR, etc
- Any attorney who complies with the requirements set forth by the Bar Council of India for the practice of law and actively participates in the submission and decision of trademark applications.
Facilitators’ Roles and Responsibilities
According to the CGPDTM, the facilitators’ responsibilities are as follows:
- Offering entrepreneurs general advice on the various IPRs on a volunteer basis
- Helping the CGPDTM dispose of and file IP applications connected to designs, patents, and trademarks under the relevant Acts at the national IP Offices.
- Delivering free knowledge on the promotion and protection of IPRs to startups in other nations
- Filing and putting together responses to any notices, questions, or letters from the IP Office, including examination reports.
- Drafting comprehensive and temporary patent specifications for beginning companies’ ideas
- Making an appearance at hearings on behalf of the startups
- Contesting any opposition submitted by outside parties
- Making sure that IPR applications are finally disposed of
Startups Intellectual Property Protection Scheme Duration
The Government of India’s flagship program, the SIPP plan, offers start-up businesses financial and legal support for protecting and maintaining their intellectual property assets. A network of facilitators is in charge of helping start-ups file and pursue their patent, trademark, and design applications as part of the scheme’s implementation. The SIPP plan now has a five-year term that began in 2016 and is scheduled to finish in 2024. Nevertheless, the government can decide to continue the program based on how well it works to encourage innovation and entrepreneurship in the nation.
Operation of the Startups Intellectual Property Protection Scheme
The program, which was originally intended to last through March 2020, has now been extended by three years to expire on March 31, 2024. As of 24 February 2024, the Department for the Promotion of Industry and Internal Trade (DPIIT) had already approved 44,534 startups. Additionally, the government has appointed IP facilitators (patent agents and trademark lawyers), who will assist entrepreneurs in submitting and pursuing patent applications. The strategy calls for expedited patent application review and fee reductions.
Fees Paid to Facilitators
The SIPP program is intended to give start-up businesses financial support for protecting their intellectual property assets. Up to 80% of the total expense expended by the start-up in submitting and pursuing patents, trademarks, and designs is covered by the government. The start-up is responsible for paying the facilitator’s costs, which make up the remaining 20% of the cost. Depending on the IP asset’s type, the application’s complexity, and the services the facilitator offers, the fees paid to the facilitator may change. The fee schedule is set by the government and is periodically subject to modification.
Patents, Designs, and Trademarks Application Fees
Under the SIPP scheme, fees are based on the price structure that has been approved by the government for filing and prosecuting patent, design, and trademark applications. According to the type of application and the number of asserted claims, the fee structure for patent, design, and trademark applications differs. The government will cover up to 80% of the start-up’s overall costs associated with submitting and pursuing patent, design, and trademark applications. The start-up is responsible for covering the remaining 80% of the cost, including the fees owed to the facilitator who helped them.
| Payment Stage | Patent (INR) | Trademark (INR) | Design (INR) |
| At the time of application filing | 10,000 | 2,000 | 2,000 |
| At the time of application final disposal | 10,000 | 2,000 | 2,000 |
| At the time of application final disposal | 15,000 | 4,000 | 4,000 |
Steps for Filing Application for IPR by Startups under Startups Intellectual Property Protection Scheme
A government program called SIPP helps new businesses protect and manage their intellectual property assets. Under the SIPP scheme, a start-up must follow the following process:
- Finding the intellectual property asset that has to be protected is the first step. This could apply to brands, designs, or inventions.
- It’s crucial to conduct a prior art search before submitting an IPR application to ascertain whether the invention or design is new and non-obvious.
- Based on the prior art search, the start-up should draft a detailed specification for the patent or design application, which includes the claims, drawings, and description of the invention or design.
- The start-up can file the patent or design application either online or offline, depending on the preference of the start-up and the facilitator providing assistance.
- Once the application is filed, it goes through the prosecution process, which includes examination, objections, and responses to objections. The start-up and the facilitator should work together to respond to objections and ensure that the application is granted.
- The start-up should create a thorough specification for the patent or design application, which contains the claims, drawings, and description of the invention or design, based on the previous art search.
- Depending on the option of the start-up and the facilitator offering support, the application for a patent or design may be submitted offline or online.
- The prosecution process, which involves examination, objections, and responses to objections, begins as soon as the application is filed. Together, the facilitator and start-up should address any concerns and make sure the application is approved.
Steps for Filing Patent Application by a Startup under Startups Intellectual Property Protection Scheme
Patents are a crucial tool for protecting intellectual property and giving the inventor temporary exclusivity. Under the SIPP scheme, a start-up can file a patent application by following these steps:
- Finding the invention that needs to be protected is the first step. The invention must be original, obscure, and useful in industry.
- It’s crucial to carry out a previous art search to ascertain whether the invention is new and not obvious before submitting a patent application.
- The start-up should create a thorough specification for the patent application that contains the claims, illustrations, and description of the invention based on the previous art search.
- Depending on the option of the start-up and the facilitator providing assistance, the patent application can be submitted either online or offline.
- The prosecution process, which involves examination, objections, and responses to objections, begins as soon as the application is filed. Together, the facilitator and start-up should address any concerns and make sure the patent is approved.
Steps for Filing Designs Application by a Startup under Startups Intellectual Property Protection Scheme
Designs are a crucial type of intellectual property protection because they grant the designer temporary exclusivity. The following steps must be followed for a start-up to submit a design application under the SIPP scheme:
- Finding the design that has to be safeguarded is the first step. The design must be unique and should have never been made public.
- The start-up should create a precise specification for implementing the concept, complete with drawings and a description, based on the design.
- Depending on their preference and that of the facilitator helping, the start-up may submit the design application either online or offline.
- The application proceeds through the prosecution procedure after it is submitted, which involves inspection, objections, and responses to objections. To address criticisms and make sure the design is approved, the start-up and the facilitator should collaborate.
Steps for Filing Trademark Application by a Startup under Startups Intellectual Property Protection Scheme
Trademarks are a crucial tool for protecting intellectual property and giving brand owners temporary exclusivity. Under the SIPP programme, a start-up can file a trademark application by following these steps:
- Finding the trademark that needs to be protected is the first step. The trademark must not infringe on already registered trademarks and must be distinct and distinctive.
- It’s crucial to carry out a trademark search before submitting a trademark application to find out if the mark is eligible for registration.
- The start-up should create a thorough specification for the trademark application based on the trademark search that includes the mark, the class of products or services, and a description of the mark.
- Depending on the option of the start-up and the facilitator aiding, the application for a trademark may be submitted either online or offline.
- After being submitted, an application goes through the prosecution procedure, which involves inspection, objections, and responses to objections. In order to address criticisms and make sure the trademark is registered, the start-up and the facilitator should collaborate.