A trademark provides the same legal protection whether it's owned by an individual or a company — the Trade Marks Act doesn't treat one as stronger than the other. What changes is what happens when a proprietorship later incorporates: the trademark doesn't automatically move to the new company. Since the company is a separate legal person, ownership has to be formally transferred through an assignment deed, recorded with the Registry via Form TM-P.
In This Article
Plenty of founders register their first trademark personally, before the business is even formally incorporated, and never think about it again. That's usually fine — until the day the business becomes a private limited company, and the trademark quietly stays registered to a person, not the company that's now actually running the brand.
Same Protection, Different Owner
A trademark registered to an individual carries exactly the same legal weight as one registered to a company. The Trade Marks Act, 1999 doesn't grant companies stronger rights or individuals weaker ones — the protection, the 10-year term, the right to use ®, and the ability to enforce against infringement all work identically regardless of applicant type. The only real difference at filing time is which fee category applies.
What Happens When You Incorporate
Here's the part that surprises people: a company is a distinct legal person from its founder, even when the founder is the sole director and shareholder. If you personally registered a trademark as a sole proprietor and later incorporate a private limited company to run the same business, the trademark doesn't automatically become the company's property. Legally, it's still owned by you as an individual, until that ownership is formally moved.
The Assignment Route: Form TM-P
Moving a registered trademark from an individual's name to a company's name is a change of ownership, not just a name update — which means it goes through the assignment process, not a simple correction. This requires:
- A formal assignment deed, properly executed between the individual (assignor) and the company (assignee)
- Filing Form TM-P with the Registry to record the assignment against the existing registration
- A separate government fee for recording the assignment, on top of whatever the original registration cost
This is the same TM-P form used for other post-registration changes — updating an address, correcting a name, or recording any change to a mark that's already registered. Assignment is simply one of the specific purposes it covers.
Fee Categories by Applicant Type
| Applicant Type | Government Fee (Online, Per Class) |
|---|---|
| Individual / sole proprietor | ₹4,500 |
| DPIIT-recognised startup | ₹4,500 |
| MSME (valid Udyam Registration) | ₹4,500 |
| Company / other entity | ₹9,000 |
Swipe to see all columns
As covered in our Form TM-A guide, the fee category and its supporting certificate must be uploaded during the original filing session and cannot be changed after submission. This is worth factoring in if you're deciding whether to file as an individual now versus waiting to incorporate first.
Which Should You Choose?
There's no universally correct answer — it depends on timing:
- If incorporation is imminent — filing directly in the company's name avoids the later assignment step entirely, at the cost of the higher ₹9,000 per class fee from day one.
- If the business is staying a proprietorship for now — personal registration is simpler and cheaper, and can be assigned to a company later if and when incorporation happens.
- If you're not sure yet — personal registration keeps costs lower in the short term, with the understanding that a future assignment is a real, budgeted extra step, not an afterthought.
Whichever route you choose, it's worth running a free trademark search first — availability doesn't change based on who the applicant is, so confirming the name is genuinely free is a useful step before deciding whose name it should be filed under.
The Mistake to Avoid
The most common version of this mistake isn't malicious, it's just easy to miss: a founder incorporates, updates the company's bank account, GST registration, and every other piece of paperwork, and simply never gets around to the trademark. Years later, if the company is raising funds, being acquired, or licensing the brand, a buyer's or investor's due diligence can flag that the trademark is still owned by an individual, not the company being invested in — creating a scramble to execute and record an assignment under time pressure that could have been handled calmly, years earlier.
Frequently Asked Questions
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