Trademarks help distinguish products within the legal and business systems—and just as significantly—with consumers. They are used to identify and protect words and design elements that determine a product or service's source, owner, or developer. They can be corporate logos, slogans, bands, or the brand name of a product. Similar to a trademark, a service mark identifies and distinguishes the source of a service rather than a product. The term trademark is often used to refer to trademarks and service marks.

Using a trademark prevents others from using a company or individual's products or services without permission. They also prohibit any marks that have a likelihood of confusion with an existing one. This means that a business cannot use a symbol or brand name if it looks or sounds similar or has a similar meaning to one already on the books—primarily if the products or services are related. For instance, a soft drink company can't legally use a symbol that looks like that of Coca-Cola and can't use a name that sounds like Coke.

1. Exclusive use of the trademark: A federal trademark registration gives the owner the exclusive right to use the trademark in relation to the goods or services specified in the registration.
2. Evidence of validity and ownership: A federal trademark registration provides evidence that the trademark is valid and that the owner has the legal right to use it.
3. Deterrent to others considering using a similar trademark: The existence of a registered trademark may discourage others from using a similar trademark.
4. Increased brand value: A strong and well-known trademark can be a valuable asset for a company, and a federal registration can help reinforce and enhance the trademark's value.
5. Easier for consumers to identify and distinguish the company's goods or services: A federal trademark registration can make it easier to identify and distinguish the company's goods or services from those of others.
6. A helpful tool for licensing or franchising the trademark: A registered trademark can be licensed or franchised to others who want to use it in connection with their goods or services.