Where to place the headquarters for the company? You have 4 options
When you register your company, you provide the address where you plan to formally establish your business. However, you can't use any location - there are legal criteria for the registered office too. Read on to find out what they are.
What is the purpose of a registered office?
The registered office is the place from which you officially run your business. It is also the contact address for communicating with the authorities. It is compulsory to have a registered office not only for legal entities, but also for sole traders. Its details are entered in the public register. In connection with the registered office, you will sometimes also come across the term place of business, which was previously used to refer to the registered office of a natural person (self-employed).
In addition to the registered office, many companies also have a place of business, which is the place where they actually carry out their business activities. This is typically a shop or workshop. However, you may have a formal registered office at a different address than the place of business.
What conditions must the registered office meet?
The registered office of your business can only be a property that you have a legal reason to use. You can prove this by obtaining written and certified consent from the owner of the property to locate the registered office (or from another person authorised to deal with the property, e.g. a tenant or agent). You do not need to provide this consent if the business is located at your permanent home address.
You must also visibly mark the registered office with the company number and the name of the company (or, in the case of a self-employed person, the name and surname). An exception is made for sole traders who operate their business from their own residence.
Although you do not have to physically conduct business at the registered office address, it is necessary to receive correspondence there. Therefore, if you "miss", for example, a court summons at the registered office address, the blame will fall on your head.
Where can I have my registered office?
You can locate your registered office in residential or non-residential premises - provided you meet the above conditions. You can have your registered office in the following ways:
- at your home (apartment, family house),
- in your own property,
- in a rented office,
- in a virtual office.
Residency in a permanent residence
Many entrepreneurs use their permanent address as their company headquarters, whether it is their own or a rented apartment or family house. This is an easy solution because you don't need to find a property or pay additional costs. However, it has its drawbacks. Your home address will be on the register for all to see. You'll also start receiving work correspondence - and, in extreme cases, checks from the tax office.
Beware! In addition, you can only place your business in a flat if your business will not disturb the peace of the house.
Another option is to own another property, such as an office. This will save you the cost of rent and you don't even need planning consent for the location of the registered office. However, not everyone can afford their own property.
Renting office space is also a popular option. In this case, however, you must obtain written consent to locate your business headquarters. And, of course, pay regular rent, which is nowadays quite expensive.
The last option is a virtual office. If you do not need to use a physical office regularly, you do not have to pay for it unnecessarily, but instead, for a few crowns a month, you can get a seat at a prestigious address, for example in the centre of Prague - at the same time you can comfortably run your business from your home in Pilsen. The price of virtual offices usually includes the owner's consent to the location of the office, mail acceptance and company signage on the building.
Looking for a headquarters for your business? Choose from our range of virtual offices. Or leave us a message and let our specialists advise you.