Experts in the industry understand that if you’re like most small business owners, you’re always looking for ways to protect your proprietary information and business trade secrets. But do you know what steps to take to document them? Here’s what you need to know about documenting your confidential info and trade secrets.
What Is Proprietary Information?
Proprietary information is any information that is not publicly available and gives your company an advantage over its competitors. This includes product design plans, marketing strategies, and business plans. While this information can be precious, it is also susceptible. If it were to fall into the wrong hands, it could be used to harm your company or give your competitors an unfair advantage.
That’s why it’s essential to document all of your proprietary information. This documentation will help you track who has access to this information and what they are allowed to do with it. It will also help you to protect this information if it is ever lost or stolen. By taking the time to document your proprietary information, you can help to ensure that it remains safe and secure.
How to Document Your Company’s Trade Secrets
Documenting your company’s trade secrets is a critical part of protecting them. But what exactly should you include in these documents? Here are a few things to keep in mind:
Make A List
First, you’ll need to make a list of all of the trade secrets that you want to protect. This list should include formulas, patterns, devices, methods, programs, and systems. Once you have this list, you can begin to create your documentation.
Identify The Owner
You’ll need to identify the owner of each trade secret on your list. This person is responsible for keeping this information safe and secure. In some cases, the owner may be the person who created the trade secret. In other cases, the owner may be the business owner or another senior-level employee.
It’s important to note that more than one person can be the owner of a trade secret. For example, if you have a team of employees working on a new product, each team member may be considered an owner of the trade secret.
The ownership of a trade secret can also be transferred from one person to another. For example, if an employee leaves your company, you may need to transfer the ownership of their trade secrets to someone else. By clearly identifying the owner of each trade secret, you can help to ensure that this information is adequately protected.
Restrict Access
One of the best ways to protect your company’s trade secrets is to restrict access to them. You should only allow people who need to know this information to access it. For example, if you have a trade secret formula for a new product, you should only allow the people working on that product to have access to the formula.
You can restrict access to trade secrets in several ways. For example, you can keep them in a locked safe or file cabinet. You can also store them on a password-protected computer. By restricting access to your company’s trade secrets, you can help to ensure that they remain confidential.
Create A Policy
In addition to restricting access to your company’s trade secrets, you should also create a policy for using this information. This policy should spell out what employees can do with the knowledge and how they are supposed to protect it.
For example, your policy might state that employees are only allowed to use trade secrets for work-related purposes. It might also state that employees must take steps to keep the information confidential, such as storing it in a locked safe or file cabinet. By creating a policy for how trade secrets can be used, you can help to ensure that they are adequately protected.
Why Is It Important to Keep Your Documentation Up-To-Date?
Once you have created documentation for your company’s trade secrets, it’s essential to keep this documentation up-to-date. This is because the people who have access to this information may change over time. For example, an employee with access to a trade secret formula may leave your company and be replaced by someone else.
When this happens, you’ll need to update your documentation to reflect the new situation. This may include adding the new employee’s name to the list of people who have access to the trade secret or changing the policy for how the information can be used. By keeping your documentation up-to-date, you can help to ensure that your company’s trade secrets remain confidential.
What Happens If You Don’t Document Your Company’s Trade Secrets Properly?
If you don’t take the time to document your company’s trade secrets, they may not be appropriately protected. This could lead to them being leaked or stolen, damaging your business. In some cases, you may even be sued if another company can prove that you didn’t take steps to protect your trade secrets.
Final Thoughts
Proprietary information is a valuable asset for any business. By taking the time to document your company’s trade secrets, you can help to ensure that this information is adequately protected.
