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4 Legal Documents Involved in Pivoting Your Online Business

woman thinking about pivoting her online business

By the end of this post you’ll know more about four legal documents that are involved in pivoting your online business. And it’s not as intimidating as it sounds. We’re going to be talking about trademark applications, non-disclosure agreements, work for hire, and a trademark license. So here we go.

Trademark Application

So first, a trademark application. Contrary to what you might think, you can’t add to an existing registration. Once you register your trademark, it’s registered in connection with whatever product or service that you’ve registered previously. What you can do is register the same mark, but in connection with a different offering altogether. Are you registered in connection with podcast episodes, but you’re pivoting your online business and offering e-courses under the mark? Simple. You’ll basically file another application for the same trademark, but under that new category, that educational services/e-course category.

Non-Disclosure Agreements (aka NDAs)

People often refer to non-disclosure agreements as confidentiality agreements, they’re the same thing. It basically protects confidential information from being disclosed to the public. Who might you disclose confidential information to when pivoting your business? Maybe a manufacturer, maybe a contractor, but again, that non-disclosure will help keep that information confidential.

Work for Hire/IP Rights Agreement

You’ve heard me talk about Work-for-Hire/IP Rights Agreements before. (I have one for sale in my Contract Kit™ shop). If you’re pivoting your business, odds are that you’re needing some new, creative content. Essentially, anyone that’s creating any creative content for you — whether it’s graphic designs, slides for a presentation, a logo, a new website — anyone creating something creative, should sign this type of agreement. Under U.S. Copyright law, just because you’re paying somebody to create something for you doesn’t mean that you own it. So the purpose of the work for hire/IP rights agreement is to make sure and reinforce that you own all of the copyright to that work product.

Trademark License

And finally, a License Agreement. A license agreement is meant to help you where someone is already offering something that you want to sell. And rather than reinvent the wheel, and come up with a formula for perfume, let’s say, you go to someone already in the business of making perfume, and you license your brand name to that existing product. You may be a blogger for entrepreneurs and you want to venture out into creating a physical planner for instance. Or you are a podcaster but you are venturing out into your own sound equipment line. Or maybe you’ve built your fame around a little ol’ cooking show and now you and Macy’s partner up on things like sheets. (Hello, Martha Stewart.) You are venturing into a new area but you may be licensing your brand and your reputation in connection with an existing brand.

So there you go. You’ve got your trademark application, your nondisclosure agreement or confidentiality agreement, you have a work for hire or IP assignment agreement, and trademark license.

I hope that helps you understand some of the different documents that go into pivoting your online business.


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