What Exactly is a Corporate Seal?
A corporate seal, also known as a company seal or corporate embosser, is a stamp or embosser that is custom-made for your company and usually includes the name of your business, the year of its incorporation, and the state in which your company was incorporated.
While company seals are not always required in many jurisdictions, they provide both formality, finality, and authenticity to agreements and documents. Below, we go through the ins and outs of corporate seals, so you can decide if you need one for your business—and how to go about creating one.
Corporate Seal Uses and What Companies use Them
Corporate seals are typically used to mark documents as official, authentic, or both. LLCs, S Corporations, C Corporations, nonprofits, LPs, and LLPs may opt for a company seal. Virtually any type of company—no matter the industry—can use a corporate embosser. Some common uses are outlined below:
- Stamping ownership certificates
- Signing stock certificates
- Authorizing invoices
- Signing off architecture blueprints
- Finalizing a contract
- Certifying financial transactions
- Signing certificates of authentication
- Signing a lease or agreeing to a sale
- Affirming company commitments
A company seal functions as a signature of a corporation, wherever a seal is utilized, it conveys your businesses’ mark of authenticity.
Corporate seals are also sometimes included as part of a corporate kit, which is a customized binder that holds all-important internal company records, such as stock certificates, transfer ledgers, meeting minutes, and other important company documents in an easily organized way. Traditionally, a corporate seal will be used to authenticate these important documents.
Possible Legal Requirements for Corporate Seals
In many other circumstances, a corporate seal is not legally required. With increases in technology, the mark of a corporate seal may be more of a gesture or symbol at times, rather than a legal obligation.
If a seal is required for your field of work, always check to make sure the manufacturer follows the necessary regulations.
Depending on the state your company is operating in, a corporate seal may hold more or less authority than in other states. Some states, such as California, hold that corporations may use a corporate seal but it does not affect the validity of the document. In New York, a similar stance is held, but the state still notes that the seal holds authoritative value.
Because requirements may differ according to the state, you should check to see if a corporate seal is required, the exact value it holds, the correct formatting, and in which circumstances a corporate seal must be used.
Why Should You Get a Corporate Seal?
Below are several reasons why a company seal is useful to have on hand:
- A corporate seal may be required in certain circumstances, such as when first opening a company bank account.
- A corporate embosser adds another protective layer to prevent fraud. Creating a fully customized seal makes it difficult for others to mimic, protecting your documents and identity.
- A custom embosser impression is a memorable, professional, and appreciated aspect of documents and certificates—even if not required.
- If you’re in the business of producing or selling artwork, crafts, or distinct items, a corporate embosser adds a highly authentic and timeless touch that buyers and customers will remember.
Where Do You Get a Corporate Seal?
You can fully customize your corporate seal with The StampMaker. The first step is to choose between the desktop-style or the hand-held pocket style, and then you can select the specific text to include on your corporate seal stamp. With both gold and silver foil labels available, you can create a high-quality embosser impression in the metallic tone of your choice.
If you’ve just opened a company, you’re likely beginning to coordinate many different facets to increase your success. In particular, you may be double-checking that you’re following all legal requirements. The seal embosser may be a legal necessity in some cases, but it is also a useful feature for minimizing fraud.
With the advent of technology, corporate seals are not required for every document and agreement. One main benefit, however, is its ability to make your business stand apart. Whether you opt to use it to add a layer of professionalism and authenticity—or you create a beautiful seal as a marketing tactic—the power of a corporate seal for your particular business is in its uniqueness.