While forming a corporation, the board of directors may adopt a corporate seal for the corporation. However, the appendage is superfluous in business operations. The validity of a corporate seal on an instrument or document is nil. Traditionally corporate seals were used to validate or authenticate legal documents of a company or corporation. The use of seals as a mark of authenticity has been abolished by all states. Some financial institutions or banks may insist on the corporate seal on documents or you may affix the corporate seal on share certificates or debentures to give them an appearance of authenticity.

Corporate seals may lend an appearance of authenticity to the corporation’s documents. You may use the corporate seal as you would use the company logo or trademarks. Some states stipulate the use of corporate seal in certain circumstances. State of Alaska has an interesting statute about the usage of corporate seals. There is a reference to corporate seal in Delaware Division of Corporation’s Certificate of ownership and merger. You may find other references in some state statutes but the reality is that corporate seals are no more a legal necessity in official documents.

Use your corporate seal to give credence to your official documents. Many start-up corporate kit providers include corporate seal as a part of the start up kit. Some of them actually make corporate seals look as if it is a necessity in forming a corporation.  But if you read the small print, you will understand that the use of corporate seal is no more a legal necessity. Use of corporate seals can help you as an advertising tool. Beyond that it is only the corporation’s board of director’s interest in promoting a corporate seal that makes any difference. Of course, a corporate seal will lend an appearance of legitimacy to all documents it is affixed to.