Common seals or corporate seals are items that widely used by companies or organizations. This generates embossed mark from pressing the two halves of the seal together. You may find it rare to see documents with an affixed common seal as its application is quite restricted. Because of that, if you are not really familiar with the common seal, that is pretty normal. The seal also cannot be accessible for everyone because only certain people who have the authority that can access it. If some questions come to your mind such as “if the application is limited, what documents can be signed using it?” or any other questions regarding the common seal, you may need more information about it! Well, you can read some of them below!
1. Why Do People Use Common Seals?
There must be a reason why companies and organizations affixed seals on their documents. Some people call the seal as the company’s official signature because it uses to verify and certify documents. Once the seal is affixed on the documents, that means the act and deed were under a company or organization.
2. Required Information on The Seal
As previously mentioned, that the seal creates embossed information on the document. But what information is needed? Here are some of the information that is required to be carved on the seal!
- The official name of the company
- Registration number
- Incorporated year
- The state where the company is legally filed
The common seal has a special role for verifying and certifying documents. But its application is limited only to the high-level and most vital documents. Because of that, the seal can only affix after obtaining prior approval from the decision-maker or the board of directors. Here are some documents which can be affixed using the common seal.
- International business documents
- High-level deeds and contracts
- Company resolution
- Loan mortgages and documents
Tips: Before using the seal make sure you have read the state laws on common seals and understand how to apply it.
4. The Benefit of Using a Common Seal
If you are wondering what you can get by using a common seal, here are some of the benefits you can get from using it!
- Reducing the risk of documents forgery since signature and company stamp more likely easier to be imitated today.
- In some countries, a common seal is mandatory! So, you need to have it if you do a business with international companies.
- Common seals can substitute a signature for a certain occasion after obtaining prior approval from the authorities.
5. The Way to Get the Seal
To have a common seal, you can follow a few steps below.
- First, register your company as you will need the name of the state where your company is registered.
- You will not be offered a common seal by the secretary of the state when registering a corporation, so you need to get it by yourself at a common seal retailer.
- Last, have the necessary information and design (if necessary) to include on your seal.