A company may have a common seal and use it to execute documents under its constitution. Order your customised 42mm self-inking Common Seal stamp today.
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Company seal rubber stamps are customised with the company’s name and Australian Company Number or ACN. It is the same thing as a common seal or a corporate seal.
Before 1988, the execution of documents was only possible with a common seal and it was compulsory that a seal was affixed to deeds. The Company Law Review Act 1988 abolished both requirements.
While company seals are not compulsory, constitutions of companies established prior to 1988 may still require their use. Company constitutions predating 1988 may have been updated, the company is required to follow the rules set out at the time of its registration. Company constitutions must place references to the manner in which the company will execute its documents.
Many companies still choose to use a company seal. reasons Include, a company seal may appear to give more legitimacy to documents for people unfamiliar with the Australian way of document execution. If a company has many overseas clients, this may be a way to show legality and validity.
In order to be valid a company seal must include:
- the company’s name, the expression ‘Australian Company Number’ and the company’s ACN, or
if the company uses its ABN instead of the ACN -the company’s name, the expression ‘Australian Business Number’ and the company’s ABN
ACN or A.C.N. are acceptable abbreviations for Australian Company Number and ABN or A.B.N. are acceptable for Australian Business Number.
If your company has an Australian Business Number (ABN), you may use the ABN in place of the ACN on documents. You must make sure that:
- your ABN includes your nine-digit ACN, and
- the ABN is used in the same places that the ACN is used.
For more information about Australian Business Numbers, contact the Australian Taxation Office.