Using a virtual address for LLC creation is a low-cost and simple solution for company owners to have a physical address without physically being there. A virtual address may also offer owners with more professional credibility as well as privacy.
Our How to Get a Virtual Address for LLC Formation tutorial explains how to get a virtual business address for your LLC and how it varies from other kinds of company addresses.
Using a Virtual Address to Form an LLC
To incorporate an LLC using a virtual address, you must first engage a virtual address provider and then follow the processes in your state to form an LLC.
If you use an LLC creation service, you will provide the service provider your virtual company address. When you finish the Articles of Organization for your LLC, you will enter your virtual company address.
How to Configure a Virtual Address
A actual street address should be registered with a virtual address provider. This will include choosing a monthly service plan.
Fill out the USPS Form 1583 and get it notarized. You will be required to produce two pieces of identification (one of which must be a photo ID), allowing a third-party Commercial Mail Receiving Agency (i.e., your virtual mailbox service provider) to take mail and parcels on your behalf.
Begin getting mail. You may have it scanned and sent, or you can have it forwarded to another address.
The Benefits of Using a Virtual Business Address
A virtual business address is a physical postal address where your firm may receive mail without having to be physically present.
There are several advantages to using a virtual business address rather to a standard USPS PO box. The most crucial reason is that in order to form an LLC, you must have a physical location. A USPS PO box cannot be used to establish a limited liability business or a corporation, and virtual addresses are often less expensive than USPS PO boxes.
You may perform the following using a virtual address:
Establish a company in a different nation, state, or area from where you live.
Open a bank account for your company in the United States.
Create a tangible business location without renting commercial space. This is particularly beneficial if you want to establish a new business without revealing your home address.
Create an ecommerce company, a service business with no physical address, a home-based business, or a contractor business from home.
Mail may be retrieved at any time and from any location. Your virtual address provider will take your mail, scan it, provide email alerts, and route physical mail to you. You’ll be able to digitally preserve your mail, arrange it rationally, and simply locate it (similar to how email works).
Set up a prominent location (for example, in a big city) to depict your company as more professional and successful, giving your brand more credibility and authority.
Maintain your privacy. Nobody can access your mail, and your home address is safe. For example, if you leave on vacation, you may still check your mail and be certain that it is secure in your virtual mailbox.
Work from many places. As previously stated, a virtual business address does not bind you to a specific place. With a virtual company structure, you may work from anywhere in the globe and even function as a “solopreneur.”
Registered Agent Address vs. Virtual Address
When establishing a company in the United States, you must have both a physical postal address and a registered agent address.
A registered agent is a person or organisation designated to accept service of process on behalf of an LLC or company. Registered agents must be accessible at their registered office during regular business hours (Monday through Friday, 9 a.m. to 5 p.m.), and their registered office address must be a physical location in the state of operation.
Your virtual address, on the other hand, is utilised to receive incoming mail and to develop your company presence (e.g., online business citations, Google Map location, etc.).
Services for Registered Agents
A registered agent service handles key responsibilities such as legal notifications, corporate records, and receiving legal paperwork on behalf of the corporation. Registered agent services often have agents situated throughout the nation, allowing you to establish a company in any state regardless of where you live.
A annual fee is normally charged for registered agent services, however many give at least one year of free services as part of an LLC formation package.
Many registered agent services, in addition to giving a registered agent address, also provide virtual address services. This implies you may create a virtual address while still using the same registered agent service.
To register your company with a registered agent service, you must submit the following information:
The company’s name
Physical location where the company will be located
Name and email address of the person in charge of running the company
Business type (e.g., LLC, partnership, corporation, etc.)
The state in which the company is incorporated
After that, you must wait for the registration procedure to be completed, which might take anything from a few days to several weeks depending on your state.
Private Mailbox vs. Virtual Address
A virtual address and a private mailbox (PMB) function similarly. They provide a physical address for a firm that does not have a physical presence and are ideal for ecommerce and home-based enterprises that operate as limited liability companies (LLCs) or corporations.
A virtual address differs from a private mailbox in that a company owner must pick up their mail from a private mailbox. With a virtual address, the supplier scans the mail and makes it accessible in digital format, eliminating the need for the company owner to travel in person to pick up their mail.
The Difference Between a Virtual Address and a US Mailing Address
A US mailing address, as the name implies, is one that can receive postal mail. This might be the same as your company’s physical address, a PO box, a PMB, or a virtual address.
A virtual address serves as a real postal address in the United States. Setting up a virtual address avoids several postal address requirements in the United States.
LLCs Must Have a US Mailing Address
The qualifications for a legitimate US business postal address for an LLC are as follows:
It must be an actual address, not a post office box.
The address cannot be empty or unoccupied.
You do not need to bother about these criteria if you have a virtual address.