The deep tech founder’s guide to protecting your IP
Deep tech is all about big ideas, so protecting your intellectual property is one of the foundations of your future success. Bridgewest Ventures GM, John Robson shares strategies to protect your most valuable asset.
The importance of safeguarding your unique proposition
John explains: “Growing your deep tech venture into a viable hi-tech business means adopting sound business process. Protecting your ideas is key.”
“There are too many sad stories of smart people who didn’t protect their IP. As a founder, you must understand that being first to invent something does not give you any rights unless you can prove it was your invention and you have the providence to support your claim.”
John is passionate about this topic. He sees founders sharing ideas and IP with investors, peers and employees every day. And while socialising your ideas is a critical part of the development process, this needs to happen in a way that minimises your risk.
As a founder, you have two critical areas to consider: Implementing an IP strategy to avoid losing valuable IP, and protecting your digital systems from intrusion. Both work together to safeguard your big idea.
Manage your IP to enable growth and reduce risk
The Technology Transfer Offices in our main universities do a superb job of educating IP creators how to protect their ideas legally. These organisations also help students take their developments to market, connecting them with commercial opportunities.
If you’re no longer a student, Callaghan Innovation’s IP programme is an affordable and accessible way to secure your IP. If your business is investing in R&D, generating valuable IP and looking to commercialise your ideas, this programme can help you minimise risk of infringement.
New Zealand start ups can learn how to:
Manage infringement risk.
Avoid losing valuable IP.
Identify important IP assets like patents, trademarks, know-how and copyrights.
Leverage IP for faster growth and contractual arrangements.
Find out more about the Callaghan Innovation IP programme here.
Adopt a Non-Disclosure Agreement
NDAs safeguard your confidential information. Founders pitching for investment and negotiating with potential partners use NDAs to legally protect their IP from theft.
John explains how Bridgewest uses NDAs to protect deep tech ventures in our incubator.
“We ensure we have a simple NDA in place to cover all disclosures. We enforce our NDAs across any related party. We also extend the protection to those people we work with, who need access to material to assist in our investigations, but who fall outside of our direct control.”
NDAs don’t need to be long complex documents. It’s better if they’re short, clear and to the point. If you don’t have an NDA, work with your legal advisor to develop one, and use it when you’re in situations that expose your IP to risk.
Protecting your digital assets from hackers
Once you’ve legally secured your IP, your next priority is to defend your systems from intrusion. This is part of your due diligence to your investors, your insurers and your customers.
John describes the role that cyber security plays in our relationship with the ventures Bridgewest supports. “We’re taking a financial interest in your future, So we work with you to secure your perimeter. It’s critical your systems and practices adequately protect your IP.” John admits that when it comes to cyber security, he’s happy to be called obsessive.
“The question is not, ‘Are you paranoid?’ it’s ‘Are you paranoid enough?’. You may be surprised how many major businesses have open ports and no valid security certificates. In August, the NZX had their website blocked for two days by a crude cyber-attack. Not taking basic precautions is like a giant neon sign saying to hackers, ‘steal our stuff’.”
Secure file storage and other protocols
Moving to secure file storage is another way to protect your data. Bridgewest use a number of online secure data repositories including Microsoft Teams and SuiteFiles; Teams allows us to compartmentalise access to documents and confidential material. SuiteFiles gives us secure digital signing and a protected set of libraries.
Other ways to protect your IP include:
Adopting strong password policies.
Storing hard copies of files in a secure place.
Restricting physical access to your office and your equipment.
John concludes: “Growing a deep tech venture involves managing the risks inherent in developing valuable technology. If you partner with Bridgewest we’ll help you safeguard your ideas with powerful legal protection and digital security. But you don’t need to work with us to get those basics right. Your IP is priceless. Protect your most precious asset.”