Government Funds to Good Use: Helping Small Businesses with First-Time Patent Costs
By Randy Marusyk and Deborah Meltzer, April 3rd, 2017
The Quebec government pioneered its “First Patent Program”, which was launched in July 2015, in order to encourage small to mid-size businesses to protect their intellectual property. Under this program, certain businesses will be eligible to have the provincial government subsidize part of the incurred expense from acquiring their first patent. This initiative is extremely promising, particularly in supporting the growth of young corporations. In fact, a US study conducted by the Office of Chief Economist of the USPTO demonstrated a positive economic impact on startup companies that were given an allowance for their first patent. The results included a 52% increase in sales and a 36% increase in employment.
Other provinces have followed; the Government of Ontario intends to finance their new Scale-Up Voucher Program to facilitate the growth of high-impact companies. Notably, one of the possible uses of these vouchers is to fund protection of intellectual property. British Columbia offers an International Business Activity tax refund for International Patent Businesses, but has yet to implement a supporting program that effectively targets first-time corporate patentees.
The Intellectual Property Institute of Canada encouraged the federal government to fund a program similar to that of Quebec. In fact, this was one of the recommendations made in the December 2016 Report of the Standing Committee on Finance. Hopefully small and medium-sized businesses all over Canada will soon be able to benefit from federal intellectual property protection services for first time patentees.
For more information please contact:
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Deborah Meltzer
T: 613.801.1077
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