When setting up a new business, finding the right office space can be a significant challenge. From securing a prime location to managing within a tight budget, the hurdles are many. As a result, it might be tempting to register your home address as your business address. However, this decision comes with several disadvantages that could impact your business and personal life. Here, we explore the key disadvantages of using your home address as a business address and offer a solution for new start-ups.
Using Your Home Address As A Business Address
If you’re starting a business, using your home address as your business address may seem like a convenient option. However, as both a business owner and a homeowner, there are important considerations you need to be aware of:
1. Privacy Concerns
Listing your home address as a business address means your home address becomes public. For your business to be recognized as legitimate, it must be registered on Companies House, making your home address accessible to anyone. This exposure can jeopardize the privacy of your home.
Additionally, you would need to display your address on the “Contact Us” page of your website and publish it on Google to appear in Google My Business listings. This further compromises your privacy, and not listing an address may create suspicion and damage your company’s credibility.
2. Family Safety
Linking to the above point, having your home address as a business address may put the safety of your family in jeopardy too. Listing your home address means anyone can find out where you or your family live – not only may they have their own concerns about this and disagree with it, but it may put their privacy in danger.
3. Uninvited Guests
If you are utilising your home address as a business address, you could be opening yourself up to a host of uninvited visitors, such as:
- HMRC
- Clients
- Prospects
Companies such as HMRC can provide visitation warnings to virtual offices, yet with a home address, they may appear at the door at any time – which could be stressful if you are not prepared. As well as this, clients and prospects who have seen the listed address on Companies House, your website or Google may turn up at any hour of the day unexpectedly.
4. Legal Issues
When registering your home address as a business address, you may run into a few legal issues along the way. If you’re looking to set up a business in England but your home address is listed in Scotland, this will stop you from listing your home as the business address – due to being in a separate country. Once you’ve chosen a registered office address in your own country, all statutory mail from Companies House, HMRC and any legal notices for your business will be delivered to this address.
5. Mail Mishaps
Tying in with the above point, having all your business mail and your personal mail delivered to the same address can get overwhelming. As a homeowner, you’ll be aware of the amount of paperwork that comes through the letterbox each week – it’s already too much! Now, expect to double if not triple the amount of mail you’re set to receive by listing your home as your business address. It can often be difficult to stay on top of.
Yet, with one of our virtual offices, you can have your Mail Handling completely taken care of in a professional manner by our helpful team.
6. Cold Callers
Cold callers turning up on your doorstep is never an ideal situation when you’re relaxing at home. This could have an impact on your time spent in the house – for example, cold callers interested in your business may interrupt family dinner time or call at all hours of the night or day. Your partner or members of your family may not be too impressed at having to entertain cold callers.
7. Professional Image
Having your home address as a business address may also give off a sense of lack of professionalism. It may also mean you’ll struggle to instil trust in prospects – as they can clearly see the business is in a home residential area.
Having your business listed in a respected, busy, city centre location is much more appealing to clients – and adds a level of credibility and authority to your company. Not only would it be more beneficial for prospect and client growth, but it will help showcase your business as a brand in an established area.
The Solution? Virtual Business Addresses
That’s why having your virtual business address registered with Grosvenor House is the perfect solution. With tailor-made solutions, no long-term contracts and prices starting from just £25pm, avoid any complications with listing your business at home. Let our experts take care of everything with our services, such as registered office, mail forwarding and premium business packages.
For more information, get in touch with a member of our helpful team today. Alternatively, read our helpful guide on how virtual offices can help new start-ups for more advice.