Company Chop and Company Seal: Are They Different?
Perhaps many of us are familiar with stamp marks on various documents, including on business documents. Usually, on the business document, you will see the company name, registration number, logo, contact details, and address stamped using a tool that we call a company chop or stamp. Regularly, in a business, it is one of the must-have offices supplies for the company.
After talking about the company chop, let's move on to discussing company seals. Do you know what it is? Have you ever seen the application of it?
Some people who are not familiar with the company seal may think that it is the same as the company chop. Yes, both of them are needed in running a business. But they are two different tools with different applications and functions.
Well, to help you figure out the differences between the company chop and the company seal, let's talk about them below!
So, What Is Company Chop and Company Seal?
Okay, first of all, let's begin with understanding what the company chop and the company seal is.
Company chop is a tool for stamping certain information on documents issued by the company. It is usually made of rubber which is engraved into a pattern and mounted onto a stable object. Talking about the pattern, it usually contains some of the company information such as the name of the company, registration number or unique entity number, address, logo, contacts, and other information depending on the needs of each company.
A company seal is a tool usually used to create an embossed pattern or design on a surface by pressing two of its halves together. The pattern usually includes company name, registration number, year of incorporation, the state where the company legally filled, official logo, and company can add more information based on their preference.
Functions and Applications
In Singapore, both the company seal and the company chop are not mandatory. But both are still used in business practice now. Why? Because there are lots of functions by applying them even though the applications and functions for both tools are different. To know more about the functions and application of both tools, let's discuss them below!
It is usually applied to various business documents. In Singapore, since the company registration number must be legible in documents issued by the company, the chop is used because it can be a tool to imprint the company name and registration number to business documents. But that is not the only reason why company chop is still being used.
Another reason that makes people decide to keep using the company chop Singapore because it is needed as a tool to authorize documents. Yes, in Singapore, the chop is not mandatory, but there are times when people need it to authorize documents such as when it comes to the grant application or rental agreements.
The application of the company seal Singapore is not the same as the company chop. The company seal is only applied to high-level or vital documents. We mentioned earlier that the seal is not mandatory in Singapore, but there are a few benefits that make people decide to keep using the seal. First, it can be a way to authenticate documents. Then, applying the seal to the vital document can minimize the risk of document forgery. Also, since the seal is still mandatory in some countries, you may need them once you have business with an international company.