Does my company need a corporate seal?

May 01, 2014

If you’ve recently incorporated your business, you may be wondering if your newly-formed company needs its own corporate seal. Although it’s not a mandatory requirement for a corporation to have a corporate seal, it can be beneficial.

What is the purpose of a corporate seal?

Since your business has been established as a separate entity such as an LLC, C-Corp, S-Corp or Non-profit, the corporate seal serves as the signature of the corporation itself. This signature is usually created with a hand-press metal seal used to emboss paper documents. It can be used on documents that need to be executed as deeds. It may also be used on share certificates. When you open a corporate account at a bank, you may have to provide a corporate seal on some documents.

A corporate seal is a metal seal used to create a raised imprint when applied to paper. Often the corporate seal is used on official documents like contracts and legal documents. It is affixed to the signature of an officer of the corporation. Although corporate seals used to be commonly required on corporate documentation, advances in technology have changed this aspect of business. A corporate seal may no longer be required on every single document, but it still has the effect of adding an authoritative and official look to any document it is applied to.

Fortunately, a incorporation services company can make it easy for you to obtain a corporate seal for your business. When incorporating your business, it may be recommended to acquire a corporate kit that will help you keep track of important documentation related to your company. When you order a corporate kit, it may include company documentation, share certificates, member certificates and other important documents you may want to apply a corporate seal to.