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November 2019

Guide & Tips

Three Reasons Why a Company Seal is Still Important

by Brian Torres November 4, 2019
written by Brian Torres

Although more commonly used by medium to large companies that are proper, a company stamp is a tool that can be used by anyone. A company stamp used to hold great importance. Unfortunately, now it has lesser importance because the law no longer requires company seal for document authorizing before they are released anymore. Instead of a company seal, a signature of the company’s CEO or president would be sufficient.

Despite gradually losing its importance, seals are still useful around the office. Here are several reasons why you need a Singapore company seal from Kiasu.

1. Mark of the corporation

A company seal represents the company. It is a mark that shows the existence of the company toward the world. A document with the mark of the company seal will be able to show its authenticity and dismiss the possibility of it being a fake. By leaving the mark of the company on documents that are authorized, the recipient will be able to understand any decision taken by the company and be assured that they will take responsibility for the taken conclusion.

2. Financial purposes

A company seal may still be required by banks if a company wishes to open an account for the business. There can be a separate seal that is specifically beneficial for this matter, namely the financial seal and the legal representative seal. It is best to always be ready in case they are needed. It is a good idea to make separate seals for financial related problems and have the finance department handle the seal for their needs. Click here to find out about the details.

3. Business transaction

A company seal is also important for business transactions. The seal is needed for approving contracts and legal representation. If your company wants to make a deal with a foreign company that still regards a company seal as utmost importance, then you have to be able to provide it. You must do some research and know whether your prospects require a company seal or not. You must also make sure that you understand the types of seals that they will most likely need.

4. Appear more proper

A company seal that is given along with the signature of the company’s authorized person will enhance the power and significance of it. Moreover, it will make your company look more appropriate as well as more professional. It gives the authorized document an elegant look and it is always pleasant to be presentable whenever possible.

A company seal is not as powerful as it used to be. However because it represents the company after all, it still is important and must be kept safely from people who might misuse it and tarnish the image of the company and other troubles and complications that are unwanted. That is also why each and every use of the company seal that has been approved must be kept track in the Articles of Association. Make sure that your company seal is in the highest quality you can get in order to present the best positive impression that is desired.

November 4, 2019 0 comment
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