Owning a remote business, working as a freelancer, or a digital entrepreneur of any kind? This type of business model is the new ideal. Flexibility, freedom, growth potential. But have you ever considered the importance of having a physical address for my business?
It begs the question “Why would anyone go through the effort of having a physical business address?” It seems like a waste of time and resources. A distraction from money making activities.
There are a few circumstances in which having a physical business address is necessary or makes things easier. But don’t worry, you don’t have to have a ‘real’ office. Some solutions go hand in hand with a remote business model.
Keep reading to find out why you might consider or need to, have a business address, and what options are available to you.
When Do You Need A Physical Business Address?
There are several reasons why you might need to consider creating a commercial address for your business.
Entity Formation
If you haven’t already gone through company formation, when you eventually decide to do it, you’ll most likely need a business address.
Company formation in the US can be beneficial for you in terms of taxes and liability protection. Even if you don’t live in the US, and don’t have residency in the US, you can form your company in the US and take advantage of the benefits.
Most states require that you provide a business address. This is so that you’re easy to locate, and so that any official correspondence/ notices can be delivered directly.
The good news is that you can continue to travel/ live abroad. A registered agent can receive your official documents on your behalf.
The states differ in terms of their requirements, privacy, and tax regulations. So take your time choosing which state you’ll register a business in.
Correspondence
Many organisations still use traditional paper mail. What this means is that you need a place to receive your correspondence and keep an eye on it.
If you’re travelling full time, changing from place to place, you won’t be able to receive the snail mail. Even if you were willing to update all relevant parties every time you change your address, it’d be impossible to keep up with the redirecting etc.
Having a stable address that’s considered your business address is your perfect option for receiving traditional mail. You can be sure that things aren’t getting lost in the post or being delivered with a delay.
Professional Image
Businesses that are based out of P.O Boxes or home addresses seem unprofessional and unreliable. Somehow they seem less likely to stick around. I mean you can just pack up the whole thing and disappear with no trace.
Technically any business can do that, but for consumers, a professional looking address adds to the credibility.
Business Address Solutions for Remote Businesses
So, now that you understand why you might want a business address in the first place, let’s look at what solutions are available.
Relatives/ Friends
Your first thought might be to ask a friend or a family member if you can have your business mail delivered to their address.
This is the cheapest option, most likely free. The most it’ll cost you is some patience.
It’s not the most reliable way to deal with official correspondence for your business, sorry to say. And it’s probably annoying for your relatives.
But the biggest danger is missing a filing/ court deadline because your relative forgets to tell you or loses the letter.
This won’t happen with paid services like a registered agent or a virtual mailbox.
P.O Box
A P.O Box is pretty much useless if you want to be location independent. You’ll need to recruit somebody to pick up your mail for you or do it yourself.
Some states don’t even allow a P.O Box as a registered business address.
It also looks unprofessional for business correspondence.
In summary, if you’re going for a paid service, you should go for a virtual mailbox instead.
Virtual Mailbox
The best solution for small to medium businesses is signing up for a virtual mailbox service.
For a small monthly fee, all your mail will be scanned and uploaded to a web based dashboard. You’ll have access to all your mail, whenever and wherever you are.
You’ll have a business address that looks professional and credible in the eyes of your customers.
It’s a hassle free solution.
It’s easy to sign up for a virtual mailbox, you can do it here. Within minutes you’ll have everything set up.
A modern, easy-to-use dashboard that acts as your virtual back office. From there you’ll be able to manage all your mail and access other business services like a remote notary.
