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The company seal is a tool used to stamp or emboss your company's important documents in order to show the document is certified by, and agreed upon by, the Board of Directors of the company.
The company seal contains the company’s name, its year of incorporation and the state in which the company was filed. Think of the corporate seal as the official signature of your company.
Any company may adopt a company seal, change it as it sees fit and use it as needed by affixing, impressing or reproducing it onto documents. This decision is usually made in the organizational meeting called by the initial director of the company; this meeting is normally held as soon as possible after the company is incorporated.
Once this meeting is held and the proper documents are signed, sealed and placed in the minutes book, the corporation or LLC possesses the authority to conduct the day-to-day operations of the business.
One of the first orders of business in this meeting is the issuing of stock (for a corporation) or issuing of membership certificates (for an LLC). The company seal can be used to stamp the stock or membership certificates, in tandem with the signature of the president.
This is important because the certificates and the Board of Directors' resolution authorizing the issuance of the certificates are the evidence that prove ownership in the business entity.
Be sure the stock certificates are properly stamped and signed by the president, as this can make it harder for someone to claim ownership with fraudulent certificates, which does happen from time to time.
Do you need a company seal? It’s not legally required, but many companies have chosen to adopt and use a company seal. Harvard Business Services, Inc. offers a free digital seal to all new Delaware corporations and LLCs we form on behalf of our clients. For more information on obtaining a company seal, or to order additional seals for you company, contact Harvard Business Services, Inc. via phone (800-345-2677) or live chat.
THE AUTHOR OF THIS BLOG ARTICLE IS NOT A LAWYER AND HARVARD BUSINESS SERVICES, INC. IS NOT A LAW FIRM. THE ARTICLE ABOVE IS NOT INTENDED AS LEGAL ADVICE AND SHOULD NOT BE TAKEN AS LEGAL ADVICE. THIS SHORT ARTICLE IS STRICTLY TO MENTION SOME ASPECTS OF DELAWARE’S CORPORATION LAWS AND/OR LAWS RELATING TO OTHER FORMS OF ENTITIES WHICH YOU MAY NOT BE FAMILIAR WITH. WE RECOMMEND THAT YOU CONSULT WITH A LAWYER BEFORE FORMULATING A STRATEGY WHICH WILL BE SUITABLE FOR YOUR SPECIFIC CASE.
There are 17 comments left for Requirements for a Company Seal (also known as Corporate Seal)Aaron Willis said: Tuesday, July 23, 2019
What's all included with the seal package?HBS Staff replied: Wednesday, July 24, 2019
Aaron, we provide a free digital seal to all of our clients who form their company through us. If you're looking for a physical seal embosser, we include that with our Standard package. You can find more on that here - https://www.delawareinc.com/ourservices/compare-domestic-packages/. Please note the cost is for domestic (U.S.) formations.Nlemeke Kingsley Tochukwu. said: Wednesday, July 17, 2019
I have a newly registered company last year August 2018, and wants to keep off with good and legitimate business especially with importations of goods and services, I need the corporate seal and a mentor. Could you kindly help me out? From Nigeria, West Africa.HBS Staff replied: Friday, July 19, 2019
Nlemeke, thank you for contacting us. If you filed your company with Harvard Business Services, we would be happy to provide you with a free digital corporate seal. Just reach out to us by phone, email, or live chat for assistance. Unfortunately, we cannot assist with locating a mentor for you.Teesa said: Tuesday, March 19, 2019
What do I use the certificates for and how do I use the seal to stamp my papersHBS Staff replied: Wednesday, March 20, 2019
Teesa, typically our clients will use certificates to show ownership in a company. If you have questions about how to use the seal, you are welcome to call or chat with us and we'll be happy to assist.Dhiren Mehta said: Friday, February 22, 2019
We paid a company cash for a transaction and they used Company Seal to confirm payment. A month later we were asked to pay the amount as they had not received payment.Who is correct in this instance?HBS Staff replied: Monday, February 25, 2019
Hi Dhiren - This seems like a matter for which you will want to consult with an attorney as we are unable to advise on your specific transaciton.Anil Wadhwa said: Wednesday, November 7, 2018
Need a seal ManuelHBS Staff replied: Wednesday, November 7, 2018
Anil, please call 1-800-345-2677 or email firstname.lastname@example.org during normal business hours, 9-5 Eastern, Monday - Friday, in order to request your digital seal. Thank you.