Can I use a shared office for address use or corporate registration?Explanation of advantages and points to note

• Update:2023/11/14

This article introduces the features and advantages of address use and corporate registration services offered at serviced offices and coworking spaces.

In the latter half of the article, we will also explain whether it is possible to use an address and corporate registration at a shared office. If you are considering registering an office or location where you will work when starting a business, please take a look at this article.

Difference between Address Use and Corporate Registration

Address usage and corporate registration are services offered by serviced offices and coworking spaces. There are some differences between them as follows.

What is Address Use?

Address usage is a generic term for address rental services, whereby an address, such as a serviced office, is made available for use in the following places.

• Users’ business cards
• Flyers
• Brochures
• Promotional materials
• Web sites, etc.

Address facilities also receive, store, and forward mail, courier services, and other packages addressed to users.

What is Corporate Registration?

First of all, legal entity registration is a system to have the outline of the company to be established officially recognized as a corporation.

When a corporation is registered, a certificate of registered matters is issued by the Legal Affairs Bureau. This certificate is proof that the corporation has been officially registered, which increases the company’s external credibility and makes it easier to obtain loans from banks and other financial institutions.

On the other hand, corporate registration at a serviced office is a service that allows users to use the address of the facility as the location of the head office when registering their own company as a corporation.

Advantages of Address Use

First, the following three advantages in address use are presented.

Lower initial start-up costs

One of the biggest advantages of using an address is that it can significantly reduce the initial cost of starting a business. Shared offices and serviced offices are available at considerably lower rates than when business owners rent their own office space.

The facilities are also equipped with chairs, desks, Wi-Fi, and other amenities and features that make them easy to use when starting a business quickly at a lower initial cost.

No need to disclose home address

For example, if you work from a home office that doubles as your home office, you may not want to disclose your home address as much as possible due to privacy concerns.

In such cases, using a shared or serviced office address will make it easier for those who normally work from home to distinguish between their public and private lives.

Easier to go on business trips, etc

When a business owner works alone, without hiring an office staff, etc., he/she must receive mail and courier services. This makes it difficult to coordinate appointments with clients and travel schedules.

On the other hand, if you use an address such as a serviced office, the facility will take care of receiving, storing, and forwarding mail and courier services.

Advantages of Corporate Registration

The advantage of corporate registration services is that a prestigious address, such as in a business district or in front of a terminal station where top companies gather, can be used for registration at a low cost. In this day and age, anyone can use applications such as Google Maps to find out the building where the location is located.

Therefore, in order to make a good impression on customers to whom you hand out your business cards or brochures, it is recommended that you register your company using an address in a well-known business district where many famous companies are concentrated.

Can I use an address or register a corporation in a shared office?

Freelancers, sole proprietors, and start-up companies may consider using an address or corporate registration at a shared office where they can use free address or fixed seating. When using these services in a shared office, the following points should be noted.

Corporate registration is not a legal issue

First, it is not illegal to use an address or register a corporation in a shared office. However, shared offices tend to be less trustworthy, as many of them have free-address seating that can be used freely by a wide range of users.

Therefore, when considering corporate registration in a shared office, it is advisable to compare and consider the following points.

• Awareness of shared office space
• Location of the shared office
• Track record of corporate accounts opened by users, etc

Some positions are not permitted in shared offices

However, please note that the following occupations have specific office requirements for opening and operating a business.

• Employment agency business
• Temporary staffing business
• Professional business (lawyers, judicial scriveners, tax accountants, labor and social security attorneys, etc.)
• Real estate business
• Detective agency
• Construction
• Used equipment sales, etc.

For example, in the case of a staffing business, there are office requirements such as “must have an area of at least 20 square meters” or “must exist in an appropriate location for the operation of job placement”.

There is no clear statement in these regulations for each type of business that shared offices are not acceptable. However, in the case of a free-address shared office, even if you are able to register as a corporation, there is a possibility that you will not be approved to open a business due to a judgment such as “lack of office space” as in the case of a virtual office.

Depending on the regulations of the shared office, this may not be possible

The services offered by shared offices vary from business to business. Therefore, if there is no mention of address use or corporate registration in each facility’s service description, it may be difficult to use the facility for such purposes. Also, detailed terms and conditions of use vary from facility to facility, so please be careful when signing a contract.

For Tensho Office

Tensho Office does not provide address rental service only. If you want to use an address in Tensho Office, you must actually sign a contract for a room. The address of the contracted office can also be used for corporate registration.

Please note that all rooms at Tensho Office are private serviced offices. Therefore, many professionals such as judicial scriveners, tax accountants, and administrative scriveners, who have strict office requirements when they start their business, also use this office. In addition, all of Tensho Office’s buildings are located in prime locations, making it highly recommended for those who choose to rent offices based on trust and credibility.

Summary

Address usage is the general term for address rental services offered by shared offices, serviced offices, and coworking spaces. This service allows you to use a prestigious address in a well-known business district or in front of a train station for business cards, envelopes, websites, etc.

Corporate registration, on the other hand, is a service that allows you to use the address of the facility you have contracted with as the location of your head office when registering at the Legal Affairs Bureau.

The following advantages can be expected when using the address use and corporate registration services at a prime location.

• Reduce initial start-up costs when starting a business
• No need to disclose your home address
• Easier to go on business trips, etc
• Increases your company’s credibility

In the case of shared or serviced offices, even if there are no legal problems in corporate registration, address use and corporate registration may not be possible due to the regulations of each facility.

In the case of Tensho Office, you can rent out your address and register your company by signing a room contract. If you are looking for a location address that is highly credible to your clients, please contact Tensho Office.