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Starting a business and choosing the right address for your correspondence

Updated on October 31, 2015

Choosing an appropriate address

Now that the economy is starting to bounce back quite nicely, there are more and more people that are deciding to start their own business. The reason for this is perfectly acceptable; in the event that there is another financial crisis, by starting a business just now individuals can insure their future rather than living in fear that they might be paid off by their employer.

For anyone starting their own company business however, there is a need to have a registered office address for it. This is part of the legal criteria for the formation of all companies to ensure that the business is legitimate and not part of any organised crime or money laundering effort. This is in accordance with HMRC rules and there is no way that a business can be legal with it being registered.

Outsource your address to a professional company

There are numerous registered office address services on the market. However, many of these in the UK are dubious at best. Some companies however do offer the chance to register your company away from your actual location. For example, your company may reside in Bristol, but the address service allows you to register it in London instead. There are various reasons for this.

Firstly, since many small businesses actually operate out of their home, it is a way of ensuring that your privacy is maintained. This is actually pretty important when your business starts to expand and become popular. The reason for this is that there is always the chance that less than scrupulous competitors would find out your address and try and tarnish your company.

Also, in situations where your chosen registered office address service is located in London, this in turn means than any company you choose to register will also be legally be based in London, despite the actual base being elsewhere.

The benefit of this is in the fact that securing a registered address I London already shows that your company is highly reputable and that expecting the company to be successful since you’re offering a high quality service. By having the address on paper listed as London it does show that you’re professional and this leads an instilled confidence in your customers. It’s pretty logical when you think about it; the big banks have their headquarters in the heart of London because they know that that’s where the big boys play, and to have a headquarter in London it shows that you’re a serious player to you clients.

A whole list of benefits

Apart from having your company address listed in the capital, various registered address services also offer a whole range of other benefits to help supplement your company. One such benefit is the fact that you can have any business correspondence forwarded from your registered office to your home address.

By doing this, it prevents you having to make trips to the actual office where your company is registered. Many people may think that to get around this, you can simply set up a PO Box. However, to be registered as a company, you’re not legally allowed to do this and your registration will be rejected.

Even better, some of these companies even help you to create a business bank account. This can normally be pretty time consuming and laborious with the bank going into intricate details about your business transactions and will scrutinise every little detail. By having your registered office address service do this for you, it’s saving you a lot of time and hassle to do this.

Is it expensive to have this service carried out?

In this Hub, the example has been used that the registered office will be in London. Due to this, you’d be forgiven for thinking that this is actually going to cost you a lot of money to have this carried out. In reality though, it actually works out to be cheaper than a family trip to the cinema. For the basic registered office address service, you’re most likely going to be looking at £45-£50 to have your address registered at a London address. In all honesty, this is actually a pretty small price to pay for such a great investment in your company, and something which will see you well in the years to come.


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