Table of Contents

If you’re a business owner or entrepreneur looking for ways to establish a credible business presence, you’ve come to the right place. If you weren’t sure about taking the plunge and using a virtual office address for your business in the UK, in this article we are going to give you 11 uses that will save you time, money and administration and stress.

These simple ways of capitalising on all the benefits of having a professional virtual office address without the hassle and expense of maintaining a traditional office will convince you to sign up.

Understanding virtual addresses

A virtual address is a real street address that is used as a business address without physically occupying that space. Owning a virtual office allows businesses to use a professional address without the need to rent an office at a physical address. Your virtual office in London will still have a real address, but as far as you’re concerned, you can continue to operate your business from the comfort of your own home.

In recent years, the popularity of virtual addresses for business use has skyrocketed. This is because more and more businesses are opting for flexible, cost-effective solutions. In fact, Glimps reports a 23% increase in demand compared to the previous year, but this figure doesn’t even compare to the surge in demand that was observed during lockdown, and that demand continues even after COVID.

You may already be aware of some of the perks that virtual addresses can offer your company in the UK, and we are going to cover them in detail here, but let’s go through the big ones briefly:

• Cost savings;
• Flexibility to work from anywhere;
• Compliance with legal and regulatory requirements;
• Enhanced scalability;
• Access to additional support services.

11 different ways of using a virtual address

Read on as we explore eleven ways you can use a virtual address in the UK to help your business. There are probably a few options you haven’t considered.

1. Registering a business (corp) address

Let’s start with compliance: As per UK law, every company must have a registered business address that is used for receiving legal correspondence and official notices from Companies House and HM Revenue & Customs. A virtual office address is compliant for this, but a PO Box isn’t. 

Using a virtual address for a corporate address is a great way to launch a UK-based company and comply with the legal requirements without needing a UK-based office. Bear in mind that this address will be publicly accessible via the Companies House website. 

When you need to register your business with HMRC depends on whether you’re a sole trader or limited company.

Sole traders must register with HMRC by 5th October following the completion of their first tax year of trading (5th April). By contrast, you must register your limited company with HMRC as soon as you start trading.

2. LLC registration

imilar to registering a company, UK law requires that limited companies have a registered office address in the country. And similarly, using a virtual address for LLC is a cost-effective, quick and, importantly, legally compliant solution.

When you register your new company with HMRC you’ll receive a 10-digit Unique Taxpayer Reference (UTR), which is required to file your tax return. Without a valid UTR your tax return won’t be submitted correctly, potentially leading to fines or other penalties.

3. Registration as an agent

Next on the list of ways to use a virtual address in the UK is another type of registration: registered agent. These are individuals or companies that act as a point of contact between a business and official government agencies. The registered agent is responsible for ensuring that any official correspondence is received and forwarded to the correct person in the company. Their address can be different from your home address.

4. Registering as self-employed

Whether you’re a freelancer or a solo entrepreneur, registering as self-employed is important for legitimising your business activities and complying with UK tax laws. However, as a self-employed individual, you may not have a physical office or storefront, making a virtual office ideal for providing customers and suppliers with a professional business address.

When registering as self-employed with HMRC you’ll also receive a Unique Taxpayer Reference.

5. Virtual mailing address

If your company is already formed and registered, perhaps to your home address, you can still benefit from a virtual office address by using it for all of your business post. That’s because your virtual office address can double as your virtual mailing address, allowing you to send business correspondence from customers, suppliers and other third parties to this address rather than your home.

A virtual address service provider, like Hoxton Mix, will receive all your mail and packages on your behalf and notify you via email or text message when something arrives. All mail items are digitised and sent to you directly. You can also then choose if you want your post securely stored until you can collect it or forward it to your residential address, and after 30 days it will be securely shredded.

6. Opening a bank account

Banks require an actual address for account holders, and a virtual address works for bank account purposes, too. This is helpful for non-UK residents or those who don’t have a physical address in the country.

It’s important to note that banks may require additional documentation to verify the account holder’s identity and address.

7. International business

If you’re a foreign company looking to expand into the UK, your legal business address must also be in the UK. However, you don’t need to rush to get a physical office to comply with this requirement, as a virtual office address is perfectly legal and acceptable to use.

As an additional perk, it’ll be easier to conduct business with UK-based clients and partners as you can provide a local point of contact.

8. Professional image in a prestigious location

If your business is registered to a residential address it won’t look particularly professional to customers, suppliers or investors.

However, by registering your business with a virtual address in the heart of London or similarly prestigious business location, you can ensure your startup looks more established and professional.

9. Privacy as an individual

Whether you need an address for personal use or business purposes, there is the issue of your own personal privacy. If you’re concerned about giving out your home address, either due to security or avoiding unwanted mail, a virtual address is a better choice. It’s the perfect way to separate work from home, and as a minimum, it means all of your mail and post don’t clutter your home.

Although this option will depend on whether or not it’s offered by the virtual office provider, some (including Hoxton Mix) offer ad hoc meeting room hire by the hour. This is ideal if you primarily operate from your own home, but want someone to conduct face-to-face business meetings.

At Hoxton Mix, our virtual office customers can secure private meeting rooms at our Shoreditch location for just £35.00/hour (ex. VAT).

11. Virtual office phone number

If your virtual office is based in London it makes sense that your office phone number is too.

Here at Hoxton Mix, we offer virtual office phone services for just £6.99/month (ex. VAT), or £69.90 for the year. This service provides your business with a prestigious 020 phone number that can be forwarded to your mobile phone, wherever you are in the world.

Consider Hoxton Mix your trusted virtual address provider

Now, you’re probably wondering how to get a virtual business address. If so, welcome to Hoxton Mix, where you can enjoy a hassle-free experience with no set-up fees and the flexibility to cancel at any time.

When you sign up with our service, you’ll receive a prestigious address in a prime London location. However, how you want to use it—for business correspondence or setting up a bank account—is up to you. But no matter the purpose, you’ll save money on rent, utilities and other overhead costs associated with maintaining a physical office space.

Through working with our closest partners we are able to offer promotions such as Free Business Banking with Tide and 90% off Xero accounting software.  These are just two offers that we offer our clients. See our Marketplace for more amazing offers, all included with your Hoxton Mix Virtual Office plan.

If you’re interested in how to get the most out of a virtual address in the UK, we also offer a range of other services to streamline your operations and improve your efficiency. So why not take advantage of them? Purchase one of our plans or contact us now to get started.

Final thoughts

Virtual addresses are particularly useful for startups and small businesses that need to keep their expenses low but still want to project a professional image. With the various benefits of using a virtual address, there is something for businesses of any size. Whether you’re just launching your company or have been in business for years, you won’t want to miss out on the opportunity.

FAQ

What is a virtual address for business?

A virtual address is a location that businesses can use as their official premises. It allows you to have a physical presence in the UK without the need to buy or rent office space.

How can I use a virtual address in the UK?

Some ways to leverage a virtual office address include registering a business, receiving business correspondence, opening a bank account, and enhancing the professional image of your business. Read the article above to discover further uses of a virtual office.

Can I use a virtual address for an LLC?

When registering your LLC with Companies House, you’re required to provide a physical address in the UK so that official mail and legal documents have a physical destination in the country—and a virtual address works perfectly for this.

Can I use a virtual address for my driving licence?

Unfortunately, no. When applying for a driving licence, you must provide your home address. Using a virtual address for a driving licence would not qualify as a valid residential address.

Does using a virtual address help to avoid tax?

No, businesses are required to pay taxes based on their business activities and income, regardless of their address. There are many exciting ways to exploit the advantages of a virtual address, but tax benefits are just not one of them.

Is a virtual office legal in the UK?

Yes, not only is it easy and cost-effective for startups and small businesses, but a virtual office is also perfectly legal in the UK. You can use your virtual office address as your official registered business address, as well as promote it as your business address to customers and suppliers.