Are you having a bit of trouble with foreign companies asking for your common seal on your documents? Australia, for example, has done away with the requirement of having common seals for companies but not all countries are like Australia. If you’re confused about the difference between a common seal stamp and a company logo, then this article is for you. We’ll discuss what company logos and common seals are, the difference between common seals and company logos and lastly discuss why having a company/common seal is essential.
What is a Company Logo?
A company logo is a symbol or image that represents your company. It can be plain text, meaning it can just be your company name, or it can have pictures like shapes, trees, animals and people. It all depends on what you want. Now, the company logo is found on all your documents usually in the headlines. And there are many custom rubber and self-inking stamps found in the market that sells company logo stamps.
Your company logo helps consumers identify your brand from the numerous competitors you have. So, it’s like your company’s ID.
What is a Common Seal?
A company/common seal, on the other hand, is your company’s signature. It’s like a logo with your name on it and other details such as company registration number, and the word common seal. You can even have one that has your logo incorporated within the company/common seal. It is stamped on to the document creating an embossed surface.
Similar to your signature, company logo authenticates any business document you exchange with other companies. Similar to company logos there are a lot of companies that sell company/common seals.
When is the company logo used?
The company logo is used on a wide variety of company materials such as business cards, letterhead, your website, in your print ads and other documents that send out. It can be put in your invoices, your business proposals, your receipts and even outside your company building. It can even be placed on a wall behind your chair.
When is Common Seal used?
A company/common seal, unlike the company logo, is used sparingly. It’s only for special documents that like the company acquiring property, or execute company-wide memorandums like putting out a new policy and electing new board members. It is also required on the minutes of the meeting, on the vendor and employment contracts, stock bonds and business agreements.
It serves as the authorising mark and certifies that any document bearing it is legal and is approved of by the board of directors as well as company owners and CEOs. Without a common seal, the document’s validity and legality in jurisdictions where common seals are mandatory, it will not be recognised.
What’s the difference between a company logo and a common seal?
Common seals are only used for super important documents, there can only be one common/company seal stamp, and the stamp design is regulated by the law to include only details that are relevant.
A company logo, on the other hand, can be used on any document. It can be made using personalised stamps, self-inking stamps and custom rubber stamps designed for your company. You can either buy these rubber stamps online or through a physical shop. And you can have multiple company logo stamps unlike common seals which must only be one stamp, and it’s a stamp that you must safely keep stored away.
Why Should You Have a Common Seal?
Common seals prove that your documents are legit and authentic, many businesses, especially in the Asia Pacific, require official documents to have company seals or common seals on them. So, if you’re planning to do business in those markets, you should consider having a common seal made for your business.
Where can you get a common seal made?
Most companies who sell stamps are able to make common seals. You can browse their catalogues to check if they make company seals. Once they do, you can choose from existing templates they have or choose from, or you can have someone design one for you.
Company/common seals and company logo are both different, and they both play a specific role in a company and understanding when to use each one is very important. Going into a business contract overseas without having a company/common seal can result in problematic situations for you, especially if overseas court begins questioning your signed document’s validity. So, it would be better if your company has both the company logo stamp and the common/ company seal stamp to avoid confusions and dispute.