Why is a Corporate Seal Essential? How to Obtain One?
Corporate seals have a long history, dating back to ancient times. In the past, when literacy was limited, seals were used to verify documents. These seals were created by pressing wax onto paper to leave a mark.
Today, corporate seals have evolved; businesses now use stamps to imprint or emboss their legal information onto documents. You can acquire a corporate seal from office supply stores or stationery shops.
What is a corporate seal in the modern era?
A corporate seal is a tool used to validate or legalize your company’s documents. These seals come in two main types;
The key distinction is that an embosser creates a raised impression on the paper. Both types of seals must include essential details about your company. When signing legal documents, the seal is placed near the signature, ensuring its authenticity. Therefore, corporate seals play a crucial role in handling a company’s legal paperwork.Are corporate seals still relevant?
In many states, the use of corporate seals is not mandatory, but they still hold legal significance. They validate documents by permanently imprinting your company’s name and other details. Here are two primary reasons why corporate seals are important and why your business should have one:
Document authentication – A corporate seal embosses your company’s name and jurisdiction, ensuring the document’s validity. This eliminates concerns about the document’s legitimacy if questioned. Corporate seals serve as a mark of your company’s authenticity and identity.
Convenience for stakeholders – Corporations often have multiple officers and executives who need to sign documents. Using a corporate seal alongside signatures helps prevent fraud and malpractice.
Read More: How to Select the Ideal Professional Rubber Stamp
What purposes does a corporate seal serve?
A corporate seal can be used to mark various official documents. A company seal is often used when issuing certificates, signing contracts, and during meetings. The board of directors uses the seal to authorize documents on behalf of the company. Other documents that may require a corporate seal include:
- Resolutions
- Stock/interest certificates
- Meeting minutes
- Contracts, bills of sale, and agreements
How can I obtain a corporate seal?
The first step is to register your corporation in the state where you plan to operate. Since corporations are state-based, your seal will include the name of the state where your business is incorporated.
Next, you’ll need to design the digital corporate seal. With corporate seals not being widely used, you have significant flexibility in creating your seal. However, certain details must be included, such as:
- Your company’s name
- The state of incorporation
- The year of incorporation
Once you’ve drafted your design, you can either find an online corporate seal maker with a template or visit an office supply store to create your seal. If you choose an online vendor, simply follow the steps provided on the website to place your order. If you opt for a physical store, a representative will assist you with the design process.
The seal typically resembles a stapler and can be applied to any document. Before designing your corporate seal, consider the following factors:
- Cost
- Design
- Quality
Regulations regarding corporate seals vary by state. We strongly recommend consulting a business attorney before obtaining a custom corporate seal.
Explore More Blogs:
Are Electronic Notary Stamps and Seals a Myth or a New Reality?
How to Use an Identity Theft Protection Stamp to Safeguard Yourself?
Ordering a Stamp Online: How to Get a Document Stamp Online
Company Seal Production for Entrepreneurs Using Online Design Tools
Personalizing and Processing Paperwork with Initial Personalized Stamps
Published on 2024-02-10
