LLC vs Trademark – The Top Five Differences But, registering your name with the state has no impact on what happens in the other 49 states. Once your LLC or corporation application is approved, your name is protected in the state: No other business will be able to form an LLC or corporation with the same name in that state. Patent and Trademark Office (USPTO), you will have official ownership and the legal right to use it nationally.Īn LLC, or limited liability company, is a type of business entity that offers its owners limited liability protection from claims and debts arising from the business.Īn LLC does not protect the distinctive names, logos, and slogans used to project a company’s brand. The most popular types of trademarks are words, phrases, symbols, and designs.Ī trademark does not protect a business owner’s personal assets from liability in the event of a lawsuit or bankruptcy.Īfter your trademark is registered with the U.S. An LLC protects your finances by shielding your personal assets, while a trademark distinguishes your product or service from others in the market.Ī trademark is a type of intellectual property that protects a brand or logo from being used by other businesses. What is the difference between an LLC and a trademark? The answer is what they protect and how they protect it. These are the five top differences between LLC vs trademark Trademark vs LLC Difference #4: CostĪ trademark can cost over $1000 to register, while an LLC usually costs less than a few hundred dollars Trademark vs LLC Difference #5: Time to RegisterĪ trademark can take over a year to get from the USPTO, while an LLC typically takes just a few days to register. Patent and Trademark Office (USPTO), while an LLC is granted by your state’s Secretary of State. Trademark vs LLC Difference #3: Federal vs. Trademark vs LLC Difference #2: Scope of ProtectionĪ trademark offers national protection, while an LLC offers protection in a single state. Trademark vs LLC – The Top Five Differences Trademark vs LLC Difference #1: Type of ProtectionĪ trademark protects names, logos, and slogans from imitation, while an LLC protects the personal assets of business owners. So, for complete protection, you need both. LLCs and trademarks work together to protect a business. In the end, it is not a question of whether you should get a trademark or llc, but rather which one should come before the other. So, you need a trademark if you want to protect your brand from copycats or imitators, while you need an LLC if you want to shield your personal property and assets. So, an LLC protects you financially, while a trademark distinguishes your product or service. The main difference between a trademark and an LLC is that a trademark prevents competitors from using your name or logo whereas an LLC shields your personal assets from lawsuits and bankruptcies. LLCs are granted at the state level and separate personal assets from business assets to protect them from business debts and liabilities. Patent and Trademark Office (USPTO) and give the owner the exclusive right to use their trademark throughout the United States. Trademarks are granted at the national level by the U.S. Trademarks distinguish and protect brands. They function differently, offer different protections, and serve different purposes.
LLCs and trademarks are important business tools. Yes, an LLC can own a trademark and many trademarks are owned and registered by LLCs. LLCs protect personal assets from financial liability while trademarks protect the brand name and logo of a company. An LLC is a type of business formation, while a trademark is a type of intellectual property. No, a trademark and LLC are not the same. A trademark that protects brands is not the same as an LLC that protects personal assets from financial liability.
An LLC is a type of business formation that protects personal assets, while a trademark is a type of intellectual property that protect brands.
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