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If starting your own company wasn’t easy enough, the task of getting it registered under the government isn’t a cakewalk either. The process isn’t smooth but the benefits following it are worth taking the pain for.

A registered company is a company which is legally recognized and protected by the law. It enjoys various advantages like the right to file a lawsuit, protection of personal property because of limited liability, government facilities, more customers etc. But the legal processes don’t end with registration, here are three things you need to do after your company is registered.

Trademark Registration

A trademark is that element of a company which gives it its identity. It can be the company’s name (Word Mark), logo or tagline/ slogan. Sometimes companies incorporate the brand name in the logo. This is called Logo Composite Mark. A company needs a trademark to distinguish itself from other competitors and create its own unique identity. It helps in better advertisement of the product and also protects the consumers from bogus, sub-standard products. A good trademark is short, catchy and easy to remember. Once you have an idea about the trademark you would want, you can do a quick search on the Indian Trademark Registry’s website to see if similar trademarks exists or not.

Trademark search & registration is usually a process best handled through a lawyer. The process usually consist of firstly, searching through the database of approved trademarks to check the uniqueness. Once, the lawyer deems the trademark fit for filing, the paperwork is submitted for inspection. An examination form is filed within three months from application after which a report is issued which tells whether the application has been passed or not. If it gets the green signal, then the application is published in trademarks journal stating that it has been accepted and inviting applications for opposition. If there is no opposition within four months of advertisement in the journal then the application proceeds for registration.

Shareholders Agreement

Shareholders are investors who through the signing of this agreement become equity partners and jointly manage the company as per the Companies Act of 2013. Shareholders Agreement is an agreement between the shareholders of the company which establishes a fair relationship between them and highlights their mutual roles and obligations, protects their investments and decides how the company will run. It explicitly states the relationship between minor and major shareholders and is beneficial to both. It also defines the type of business activity undertaken by the company for which the investors have come together. Appointment of Directors for the Company Board, right to sell shares, right to vote on resolutions and invoking arbitration in case of dispute are some of the rights and obligations a shareholders’ agreement bestows on the shareholders.

Becoming friends with a lawyer

Newly established companies or business are usually apprehensive of hiring lawyers. They put it off until litigation knocks on their door. The most common reason for this delay is the high cost the attorney’s charge. However, the legal help they provide is more beneficial to the company in comparison to the amount spent on it. Their assistance can range from filing for copyright and trademark to lawsuits and liabilities. Hiring a lawyer at the start of the business justifies the adage- prevention is better than cure. The cost of prevention may seem high but it is undoubtedly meager if one considers the cost of cure (court costs, attorney’s fee, settlements etc). The aim should be to prevent litigation and not handle it after the damage has happened.