In the virtual world of today, it is really surprising that physical offices and stores still exist. Availability of the modern technology, it gives the impression of a real office could be abandoned by just about every business and chooses a virtual office instead.
However, hundreds of companies open up every month, but only a few stay alive doing business. One of the main weaknesses that startups have to put up with is not having a physical business address. In developed countries like Singapore, it is mandatory for any legal entity to register a business address, in order to obey regulatory requirements.
While it is essential to have a registered business address, this is often not a feasible option for startups. New entrepreneurs might not have the required funding to invest in a business address. Using a residence address, as a company address becomes one of the satisfactory alternatives. However, this is not all the time the best choice, especially when trying to show a professional image to prospective clients. Keep in mind, the image is everything in business, and having a professional image can make all the difference between making a reputation and attracting new customers.
A virtual office provides communication services, including phone and address, to persons and companies without the cost of a physical office. Most virtual offices comprise mail collection, normally a shared receptionist who signs and accepts letters and packages, scanning and storage, and disposal services.
Benefits of a Virtual Office
A valid business address may be required for various reasons. Initially, when registering a business in Singapore, it is compulsory for a company to provide a valid office register address. Some companies will use a virtual address because they need a prominent address. There are many reasons a company would need a prominent address. It could be that a company wants to be connected with other companies within its industry that are commonly located in the same area. For a Singapore Company with no physical office, having a virtual office will make the business better image and better manage their important business documents.
Subscribing to a virtual office service is much cheaper than renting a physical office space. Significantly, startups that use virtual offices only pay for what they want. Entrepreneurs do not have to invest in office furniture or equipment and they do not have to worry about paying rent and utility bills. Services such as mailing, meeting space can be added to a package when the need arises. The ability to pay for a service only when the need arises makes hiring a virtual office cost effective.
Issues with legitimacy may arise if a company does not have a registered business address. Nonetheless, by using a virtual office, issues with legitimacy will not be a problem. A virtual office provides services similar to a conventional office, including a prestigious address. Amusingly, clients seem to have more trust in a business that has an impressive address. Having a prestigious address deal with not only the issue of legitimacy but also handles the query of customer trust.
Having a virtual office is a viable option for realizing business continuity. It is better than move to a different office; a virtual office put up extra services that a business might require.
The advantages of using a virtual office are many. Startups have since blossomed into large companies, by simply using virtual offices.