From Ideas to Assets: Why Ownership Matters for Black Creators and Entrepreneurs
"Building wealth is not only about earning income. It is also about understanding, protecting and retaining the value of what you create."
By Dr. Tara S. Merchant, J.D.
Black creativity and entrepreneurship have always played an important role in shaping culture, creating businesses and generating economic opportunity.
From entrepreneurs and inventors to authors, artists, entertainers, designers, consultants and small business owners, Black professionals continue to turn ideas into products, services, brands and businesses.
But there is an important question that deserves greater attention:
Who owns what you create?
It is easy to focus on earning money from an idea, product or service. It is equally important to understand the rights connected to that work and whether you are building an asset that you can control over time.
Income and ownership are not necessarily the same thing.
You can be paid for your work without owning the intellectual property associated with it. You can build a brand for a company without owning the trademark. You can create content for a business without necessarily retaining the rights to that content. You can develop an idea that becomes commercially successful while someone else controls the underlying asset.
Understanding that distinction can change the way you approach business.
Before signing a contract, accepting an opportunity or entering into a partnership, ask questions about ownership and control.
Who owns the work?
Who owns the intellectual property?
Who has the right to use it?
Is that right exclusive or nonexclusive?
How long does the agreement last?
Can the other party transfer the rights to someone else?
Can the work be modified?
Can it be licensed to another company?
What happens if the relationship ends?
These questions may seem complicated, but they can have long term consequences.
