A lot of small businesses don’t have a unique address for their business. It’s logistically simple and doesn’t cost owners any extra money. For many, using a home address as the business address isn’t a problem. But for others, there are significant disadvantages and possible legal consequences for doing this. Here are some:

Liability matters

LTDs and corporations should think twice about using a home address for a small business. One of the major benefits of these business entities is limited liability for business debts. However, this protection only applies if you keep your business and personal activities diverse. Using a personal address for a business could make you personally liable for business debts and obligations. You could have a legal liability if someone receives the documents for your company and does not notify you of being served legal documents.

Privacy issues

If you use your home address as your business address, you need to provide your personal address whenever a customer needs contact information. Using your home address may compromise your privacy. The last thing you want is for a disgruntled customer to be able to show up at your doorstep. Using your residential address gives less of a professional appearance and broadcasts to others where exactly you live.

Reputation

Many clients are pretty accepting of companies who don’t have a unique business address. Still, a distinct business address provides certain benefits that can boost your reputation. Without a distinct business address, you normally can’t list a physical address on your company website, which may concern prospective customers. Prospective customers and clients may not take you as seriously if they can tell that your address is a personal one. Another thing to consider is that many entrepreneurs will not want residential addresses to be found in public records either out of privacy concerns or in some cases because they just sound too residential.

Getting a Business Address

There is a low-cost way to obtain a unique business address – Voffice provides legal address in prestigious city business center for only 600 USD annually which includes assistance of an administrator who will handle your post. Voffice offers a legal street address and accepts packages from all carriers. It is worth mentioning that when business nature does not require physical premises and operates online Virtual Office is the best solution.

Every business starts somewhere and for many of us, it’s our home office, the kitchen table, or the local coffee shop. Even if you end up with a multi-million-dollar company, it may be awhile before you can afford office space.