Why You Should Never Use a Free Virtual Business Address as an Entrepreneur

Many people see the word “free” and are immediately interested—especially ambitious entrepreneurs starting their businesses. If you want to save money anywhere you can, a free virtual business address may seem like the best business move. But it can be a big mistake.

Keep reading to learn why a free virtual business address isn’t the value you think it is.

What Is a Free Virtual Business Address? 

A free virtual business address is a professional address you rent for free. It allows an entrepreneur to operate their business anywhere in the world, even if they work out of their home. 

Why You Don’t Want a Free Virtual Address for Business

A free virtual address may be tempting—especially if you’re starting out and want to save money everywhere possible. There are many cons of free virtual business addresses than the single pro of saving money.

1. Nothing Is Ever Really Free

As an entrepreneur, you know that “free” services aren’t actually free, so you should ask yourself, “What does this free virtual business address service want from me?” There can be many hidden aspects of the service’s “free” price tag, including:

Lacking security for your personal information

Requiring additional fees for basic services

Requiring much personal information

Using you to build up their reputation

2. An Unprofessional Address

Most free virtual office address businesses don’t have access to many properties. It’s simple math: How can they afford various property expenses if they give their product away for free? 

If you use a free virtual business address, see what your address will be. Your business may end up in an empty lot or a slightly better P.O. box—which will ruin the reputation you’re trying to build for your business. 

3. Lack of Access to Physical Spaces

Since a free virtual address service will most likely not own buildings, you won’t have access to physical workspaces. No physical space means an additional cost when renting a coworking space or meeting room at full price.  

But even more than that, a lack of a physical address will cause problems in the future when trying to incorporate your business. Incorporation requires a physical address where mail can be picked up and delivered. 

4. No Physical Place to Receive Mail

Free virtual addresses for business providers don’t have mail services. You’ll need to find another solution for business mail. Most business owners don’t want to use their home address for business mail due to security concerns and blurring the lines between work and life. 

You’ll need to rent a P.O. box or find a mail service to hold and sort your business mail. 

5. Lack of Amenities 

Many paid virtual office address providers offer additional services to assist entrepreneurs with growing their businesses. Using these amenities under one service is often less expensive than going to different services like you would with a free virtual office provider.

6. Potentially Having to Switch Addresses

If you hope to grow your business, you’ll outgrow your free virtual business address and need to change addresses. Doing this after establishing a company will be almost as much work as starting over without actually starting over. 

You’ll need to change your business card, website, and directory listings, update current customers, and change your address with vendors and suppliers. This is much extra work and will ultimately cost you time and profits. 

Why Paying for a Virtual Business Address Is Worth It

Let’s discuss why using a paid service for a virtual business address is an investment in your business instead of an extra cost.

1. Professional Address 

Paid virtual office address services have actual office addresses, meaning you can access professional addresses. You can place your business in the area that best suits your industry—and even be neighbors with well-known companies. 

For example, Davinci has thousands of virtual offices around the globe. 

Getting a professional address for your business can give you a competitive advantage. Appearance is everything in business, and if you have a business address in the right area, you can appear more established than you are—leading to more interested investors, partners, and customers. 

2. Coworking Spaces and Meeting Rooms 

As mentioned, most paid virtual office address providers have access to office buildings, which means you also have access to these buildings. Most providers will offer their clients discounted rentals for coworking and meeting spaces. 

Davinci has over 20,000 meeting spaces fully equipped with the tools you need to run a meeting or spend the day working.

3. Mail Services

Mail services are a standard for proper virtual business address providers. You’ll have a safe space to receive mail and get it sorted and forwarded to you. 

4. Additional Services 

Most virtual office address providers offer additional amenities to their services. These can vary depending on the provider, but all will help you run your business more efficiently. 

Additional services Davinci offers include:

Lobby directory listing: Get your business name on the lobby directory of your office building when you have important business meetings.

Lobby greeter: Greet potential partners and investors with a smile before a meeting and leave them with a good impression of your business. 

Registered agent service: Get help incorporating your business with Davinci’s registered agent service.

Virtual/Live assistants: Organize and forward calls to the right people with our virtual or live assistant service. 

Why Choose Davinci as Your Virtual Business Address Provider

Davinci is an established virtual address provider that views clients as business partners. We want to help make running your business as easy as possible—which is why you can get a new virtual business address within two business days.

Find the right virtual address for your business today.

About Coco Quillen

Coco is the Chief Operating Officer at Davinci Virtual Office Solutions. She manages the strategic development and operational implementation of services for Davinci. She works closely with all teams to ensure customers are well taken care of.