All About Common Seal
A common seal is needed to authorize documents in a formal company setting. Even though it is not mandatory, it can really give a sense of authenticity and emphasize its importance as well as propriety. A document that is marked with a common seal can prove credibility and exude professionalism of the company. When a company gives the mark of a common seal, it means that it holds full responsibility regarding everything that is stated in the document.
A common seal is very important and is not a tool that can be used by just anyone. It is to be kept safe and everyone's uses should be recorded because it is the official mark of the company. It represents the whole corporation and works as the official signature that has legal power. Thus, not just anyone can use a common seal. It is only to be used by the company’s directors or a person that has already been granted access and use of it.
In the past, a common seal was mandatory, thus it was more important. Now, the company director’s signature is already enough to get a document approved for release from the company. Even though its significance has watered down now, a lot of company directors still use it along with their signature as they authorize a document because of its many benefits, whether in the country as well as overseas. At the very least, the use of a common seal can give off a better impression toward the recipient of the document.
Not only for authorizing and authenticating a document, but a common seal is also beneficial for various business transactions, from minor to major purposes. For example, it can be used to approve contracts for the purpose of legal representation. Aside from that, a common seal can also be used to open a bank account since some request the company to prove the mark of a common seal to get approved. In general, it is very important for various corporate accounts.
To get a common seal, a company must first register its business with the government. After getting successfully registered, the company will receive a registration number. This registration number is to be included in the design of the common seal before it gets submitted to a common seal manufacturer. This is mandatory because only the mark of a common seal that has the registration number of the company can be regarded as valid and authentic. After receiving the design, a common seal manufacturer will begin the process of making a common seal. This process usually does not take long.
A tip for the design of a common seal is to keep it simple. A simple design is best for a common seal because it looks clean and professional. Simply use the logo of your company along with the registration number. This is more than enough. A design that is too intricate will be difficult to manufacture, and it may not look nice later on.