Are you thinking of running a small business from the comfort of your home? Depending on where you live, the Housing Development Board (HDB) or the Urban Redevelopment Authority’s (URA) Home Office Scheme are attractive propositions for starting a business at home. However, it does come with several caveats, including privacy concerns once you begin operating.
The good news is that you have several other options for an address you can use for your business. This article will cover all your options, including their pros and cons, and help you make the best choice for your business needs.
Sticking with a Home Office
If you are still interested in a home office, you must first register for the Home Office Scheme. If you live in a private residential property, your registration is with the URA; if you live in an HDB flat, it falls under the HDB’s authority.
The Home Office Scheme allows you to run a small-scale business from home with up to two non-residents, “including employees, partners and directors,” employed. Despite being managed by different agencies based on the residence type, the conditions for applying for the scheme are similar. Additional stipulations outline the types of businesses permitted to operate from a home office.
The Pros
The Home Office Scheme is the fastest way to register your business and is perfect for small-scale companies. Once your application is approved, you can begin operating almost immediately. From there, you can stretch your budget substantially by only spending on what you need for daily operations. Any amount saved goes a long way to help your company grow.
Moreover, you can enjoy plenty of flexibility while running your company. You can divide your time between networking and taking care of young children or elderly family members. You can even have some time off for yourself so you can recharge before you burn out.
The Cons
The main disadvantage of running a home office is losing the privacy you might have enjoyed as a homeowner. Since you work from home, you receive all business correspondence here. Moreover, anyone can look up your business address on ACRA and, thus, find your home address since they are the same. It would mean you will get the occasional call or visit from clients or other partners or affiliates, frequent spam calls, and various junk mail mixed in with your bills and legal letters.
While managing your company from home is convenient, not many people believe one’s personal and work matters should overlap so easily. As a result, your company image might not be considered very professional.
Using a P.O. Box
For those who would much rather avoid receiving a flood of letters, a P.O. Box is a handy service to consider. A P.O. Box is a physical mailbox based in a post office, allowing you to receive mail without giving up your address.
The Pros
On top of protecting your privacy, you also receive your mail much faster than waiting for the postman. The mail goes directly to your P.O. Box, which you can conveniently collect anytime. Rental fees are relatively affordable depending on your needs, though larger P.O. Boxes in high-demand areas will cost more.
When you decide to move your business address, you can continue to use the P.O. Box to receive your mail. The P.O. Box makes it much easier to stay on top of your correspondence without going through tedious paperwork to change your mailing address.
The Cons
The main drawback of the P.O. Box is that you can only use it as your mailing address. Regulatory requirements stipulate that a business address must be a physical address, whereas a P.O. Box is a mailbox. On top of that, you will have to self-collect any mail in your P.O. Box. If it becomes too full to receive mail, it may either be dropped off at the nearest SingPost post office for self-collection, returned to sender, or destroyed if there is no return address.
What About a Private Mailbox?
A private mailbox is a physical address available to rent for a nominal fee. Unlike a P.O. Box, a private mailbox is available from any private mailbox provider within the city. They offer a physical self-collection mailbox to receive all your mail.
The Pros
The private mailbox provider will receive mail on your behalf, ensuring the privacy and safety of your mail. They can also offer additional perks like faxing or digitising your mail. The private mailbox also provides a physical address you can use as your registered office address.
The Cons
While handy, many features of a private mailbox require you to pay additional monthly fees on top of your existing subscription. Your overall costs can increase dramatically solely from the need for these add-ons. Moreover, if you do not subscribe to a mail forwarding service, you must visit the private mailbox provider to pick up your mail. It can feel like a chore if your office is far from the provider’s location.
Renting an Office
A commercial office space would be perfect for a company looking to do business on a medium-to-large scale. Not only do you have an office address for all work correspondence, but you also have an entire space for you and your employees to work from.
The Pros
Owning an office space can lend itself to your brand’s visibility, depending on where you have set up. The choice of location could even give you a helpful boost to your confidence. More importantly, though, you now have a physical space for all your operational needs: holding meetings with your clients, having roundtables with your employees, allowing employees to work closely with one another, and even enabling your employees to bond with one another.
The Cons
The major disadvantage comes from the overall costs of getting your office fully equipped. You will spend a substantial sum on furniture, computers, various equipment, and even renovations for an ideal layout. Startups and small companies with a minuscule budget will feel the pinch thinking about such a phenomenal cost. Then, there is still the matter of paying the rent, utilities, and other associated bills.
Why Choose a Virtual Office?
A virtual office is the best option for your business address and company. The virtual office provides a physical address you can use as a registered office address on top of a well-furnished office space with all the necessary equipment to hold in-person meetings with clients and employees. You do not have to make full use of the office space every day, only when needed. This level of flexibility enables you to work from the virtual office or home whenever you want.
Additionally, you enjoy the benefits of a private mailbox, with a person in charge of receiving mail on your behalf and forwarding it to you when needed. For a small add-on charge, you can even have incoming mail digitised and sent via e-mail, negating the need to drop by and pick it up yourself.
The significant cost savings of renting a virtual office make it a more viable option for small businesses and startups looking to expand their horizons over time. That means being able to divert funds to more important aspects of the company’s growth.
Start With My Office’s Virtual Solutions Today
The future of work is starting to look more flexible and location-independent, and we at My Office believe virtual offices are at the heart of this growing revolution. Take your business to the next level by renting a virtual office in a prestigious business location at a minimal cost.
Whether you are a startup or an established business looking to simplify operations, let us help you embrace the virtual world and unlock the potential of a more agile and flexible business model. Contact us today to discuss your needs and explore our virtual office solutions!