Each is an intangible property right or asset that provides protection for what is covered by the asset. Patents protect ideas and concepts relating to products, processes, and business models, or designs, depending on the type of patent. Trademarks protect names and other indicators of source of products and services.
Copyrights protect artistic expressions fixed in a tangible medium.
Trade secrets protect business secrets. Patents, trademarks and copyrights are grants from the government giving an owner rights to exclude others from using what is covered. IP can be very important and valuable to a start-up company. Patents can provide a barrier to entry to competitors of a company, particularly where the company can patent its business model or an important feature or features of its main product or service. Such a barrier may give the company just the competitive advantage it needs to become a success in this free marketplace in which we live.