Virtual Office
A virtual office is a third-party service that gives businesses professional support—such as a physical address, mail sorting, and reception staff. Small businesses, remote companies, and entrepreneurs often use virtual offices instead of renting a physical office space for administrative support.
What is a virtual office?
A virtual office can broadly describe any service that provides businesses with solutions normally handled in an in-person office. Here are some features you might find in a virtual office.
- Virtual mailbox: A business address for sorting mail, forwarding, and scanning.
- Reception services: Phone answering, message taking, and client correspondence.
- Meeting spaces: Access to conference rooms and professional office spaces.
Virtual offices can offer additional services to meet different business needs. In all cases, they’re made for businesses that prefer not to maintain a traditional office or can’t—from startup founders and freelancers to remote teams and international companies.
FAQs
Why would someone need a virtual office?
No one ever “needs” a virtual office, but businesses and individuals must have a physical address for important correspondence like taxes and legal documents. Virtual offices can fill this need, which makes them particularly useful for those who travel frequently, work remotely, or need a professional address separate from their home.
Does the IRS accept virtual office addresses?
Yes, the IRS typically accepts virtual office addresses for businesses, provided they can reliably reach the business through that address. However, individuals usually must use their residential address for personal tax matters and correspondence with the IRS.
How much does a virtual office cost?
Virtual office costs depend on the services included. For reference, LegalZoom’s Virtual Mail plans start at $29/month—whether for individuals or businesses. Other virtual office services can cost more or less, and it’s fair to expect to pay in the hundreds for solutions like virtual office spaces or receptionists.
Can I use my virtual address as my physical address?
Virtual addresses work for general mailing purposes, but they’re not substitutes for residential addresses. Government agencies, banks, and other institutions typically require individuals to provide their actual living address for official purposes.
Do banks accept virtual business office addresses?
Most banks accept virtual office addresses for business accounts, but policies vary by institution. It’s best to check with your bank before using a virtual office provider to confirm the rules.
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