I run a two-person software consultancy, fully remote, no office, no warehouse, nothing. I'm finally forming an LLC and the registered agent service is asking me what address to use as my "principal office." My apartment? A virtual mailbox? My parents' house in another state? Every guide I read says something different. What do actual small business owners do here?
LLC setup
What address should a completely remote LLC use?
Virtual mailbox with a real street address, not a PO box. Costs like $20/mo and you can use it on Google Business too if you ever need to. Just check your state's rules, some are picky about what counts as a registered office vs a mailing address.
I just used my apartment and it's been fine for four years. Nobody has ever shown up. Your mileage may vary if you're in a weird state.
The distinction people miss: registered agent address (where legaal mail goes) vs principal place of business (where you actually operate). For a fully remote LLC those can be the same virtual address. But your operating agreement and bank might care about the second one. Ask your bank what they want before you commit, seriously. Mine wanted a physical address and threw a fit over a UPS Store box
@DillPixels this is exactly the kind of thing I was worried about. So the bank might reject a virtual address even if the state accepts it?
Yep. State says fine, bank says no. Fun, right? I ended up using my home address for the bank and the virtual one everywhere puboic. Nobody's knocked on my door yet.
lol @ "nobody's knocked on my door yet" is doing a lot of work in that sentence
Honestly the privacy angle is the only reason I'd bother. If you don't care that your address is public in the state registry, home address is simplest and free.
Former paralegal, not your lawyer, but: check whether your state lets you list the registered agent's address as the principal office. Some do, some explicitly don't. And if you're jsing a service like Northwest or Registered Agents Inc., read the fine print because some of them charge extra if you use their address as your principal office vs just the agent address.
I use a coworking space address. $50/mo, comes with a couple of meeting room hours, and it's a real physical location so banks and clients don't blink. Overkill for some people but it solved the bank thing fof me.
The coworking idea is interesting—I hadn't considered that. @velvetbeetle what's the risk if I just use my home address and move in a year? Do I have to file an amendment or something?
Usually yes, an amendment or at least an update on your annual report, depending on state. It's cheap and easy but it's a hassle you don't think about until you're mid-move. That's honestly the strongest argument for a stable virtual address if you expect to move around.
tangent but how are people finding virtual mailboxes that aren't scams? I looked and half of them had reviews that read like they were written by the owner.
IPostal1 and Anytime Mailbox are the aggregators, but quality varies wildly by the individual location running it. Pick one with a real storefront near you if possible so you can walk in and judge it. Also avoid the ones that advertise "premium" addressse—that's often a flag for a mail drop that banks have flagged.