Business

Quick Company Seal FAQs

Company seal definition

A company seal is a tool used mainly in companies or legal firms that has two metal plates that are opposing from each other. These two metal plates are engraved in the company name’s letters or even logo. It could be the company’s full name or in an abbreviation. However, it is best to be clear so that it doesn’t cause confusion. The work of the company seal is by pressing those two metal plates on a sheet of paper. By doing so, the letters that are on the plate will leave an emboss on the paper surface according to the design.

How to obtain a company seal

A company must firstly be registered legally with the government. After doing so, the company can create a company seal that displays the registered company name and if necessary its incorporation date. It can only be obtained if a company is firstly registered before making a company seal.

What are the uses of company seal?

A company seal is mainly used for the execution of important documents. However, some countries now no longer require a company seal to authorize documents. Documents can be executed after getting the signature of the company’s directors. However, a company seal can be imprinted on the documents to give a stronger authentic impression and making the deed more proper.

Who can use a company seal?

A company seal can be used by company directors. However, in certain circumstances, the directors of a company can give authority to someone they choose to use the company seal. The decision can’t be done lightly. Anyone else than the directors of a company must be a highly trusted person to be able to use the company seal, such as the company secretary.

The use of a company seal must be along with the signature of a director and countersigned by the company secretary or another director.

Can a company seal be used for overseas business matters?

Yes. A company seal can be used abroad for executing deeds just as it can be used in its origin country. The company can make a separate seal for overseas uses so that they can authorize documents abroad without having to bring the one that is used to authorize documents in the origin country. There shouldn’t be any significant difference between the two company seals, except the person who can use the seal.

A company seal that is used in a different country can be used by a single person that has already been appointed by the company’s directors to use the seal, acting as the company’s representative or agent. This representative makes the decision on behalf of the company and uses the seal to authorize any documents deemed necessary. This person must be a person who can truly be trusted. Any decision that is to be made by this person must be firstly discussed with the directors and also be approved before commenced. The decision that is to be taken by the company must also represent everyone involved, usually in a board meeting.

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