Virtual Office in Australia

A virtual office in Australia refers to a physical place for doing business that can be rented by persons who engage in a business activity (our specialists in company formation in Australia provide this service).

The virtual office is used by investors with the purpose of having a professional business presence on a foreign or local market and it can be the ideal solution for those who work as sole traders or freelancers and who do not have the possibility of purchasing or renting a brick-and-mortar office.

When should an investor opt for a virtual office?

It is recommended to opt for the services of a virtual office in Australia if you need to have a business presence here, but you do not need a large office with numerous employees in order to carry out your operations.

It is important to know that if you develop a business here, a part of the process of company formation in Australia is to have an official business address, and the virtual office can be the ideal solution for this incorporation step.

The services of a virtual office in Australia can vary based on your current needs and they can be upgraded in the case in which your business activity expands and you need additional assistance. For the costs associated with this service, you can always address our team of specialists in company incorporation in Australia, who can help you in selecting the most suitable services at affordable prices.

Quick Facts
Definition of a virtual office	A virtual office provides the opportunity of having a registered business address, which is part of the mandatory company formation process in Australia. It also offers certain benefits (such as mail forwarding).
Main services offered by a virtual office	The main services are: the business address, mail colecting and forwarding, collection of bank statements, phone number.
Situations when it is recommended to purchase the services of a virtual office	A virtual office in Australia is ideal for investors who do not have or do not want to invest a large capital in the start-up costs of a business.
Main advantages	– low costs (a fraction of the costs associated with renting a traditional office); – flexible contracts; – the possibility of modifying the services purchased in accordance with the needs of the business; – prestigious address (business centers).
Average monthy costs of a virtual office	Below AUD 100, but it can vary based on the region, services and the Australian territory of choice.
Average monthly costs in Sydney	Around AUD 70, for the standard virtual office package.
Additional services	Additional services of a virtual office in Australia can be: a receptionist, the usage of a meeting room, the possibility to use a private office.
Receptionist services	The receptionist can answer phone calls, redirect them to the client’s phone, redirect SMS and book meetings.
Types of clients usually renting the services of a virtual office	The virtual office in Australia is ideal for sole traders, small business owners or investors who can carry a business activity online.
Contractual advantages	The possibility of modifying the services initially purchased.
Types of contracts	Monthly, for 6 months, 12 months or 24 months.
Services provided by our team	Our team can help you select a virtual office plan that is best suited for your business. Our team can help clients in preparing the documentation required by the service providers.
Lowest monthly costs	AUD 45
Highest monthly costs	AUD 600
Can business owners have a virtual office and a traditional office at the same time?	Yes

The virtual office is a very flexible solution for those who want to open a company in Australia, both in terms of pricing policies and in the services one can opt for throughout the time. The costs are definitely lower than in the case of a regular office and in some cases, one can even receive the first month of services without any costs. It is highly recommended to first-time businessmen.

Please mind that if you will set up a company in Australia through the services of a virtual office, there will be advantageous conditions regarding the contract with the service providers. For a regular office, the rental contract is generally signed for 6 months or 1 year, but for the virtual office, the contract is renewed on a monthly basis in most cases (however, it is recommended to sign contracts for a specific period of time – 6, 12, 24 months, as you can get better offers).

Another way to start a business rather fast (the virtual office does provide certain benefits, but the incorporation procedure will still be necessary for your business) is through a shelf company in Australia. This refers to a legal entity that is ready to start its operations and it can be purchased from prices starting at $1,500 but it can increase up to $4,500.

What are the main benefits of a virtual office in Australia?

A virtual office has multiple benefits for investors who have a more flexible business activity. It can be used as a meeting point with business partners, clients or company’s employees. Investors can also opt for a receptionist and the place where you can receive your official business correspondence.

For more details on this subject, as well as on the steps for opening a bank account in Australia from overseas, our team is at your disposal. You can watch a short presentation on the virtual office in Australia in the video below:

In all cases, virtual offices in Australia will be situated in an office building, in a location that is suitable for business purposes. A virtual office will always have meeting rooms of various sizes, which can be used if needed to organize a more important meeting with your employees (fees are charged). Our team can also help you on matters related to employment.

How much does it cost to rent the services of a virtual office in Australia?

You can find out below the major differences in the costs associated with a regular office and a virtual office in Australia:

depending on the facilities the virtual office has, its location, the city where it operates, the virtual office package selected by the customer, one can pay a minimum of AUD $49/month (this is applicable only when the investor wants to have an official business address, as required by the steps for company incorporation in Australia);
virtual office packages signed for a contractual period of 6 months start from $600;
for contracts signed for a period of 12 months, clients will pay $960 (for the same services as the one selected in a 6 months contract);
contracts concluded for a period of 2 years start from $1140;
please know that the above mentioned are average prices, but you can find more advantageous packages (from a financial point of view) based on the Australian territory you want to invest in and the business center selected (for instance, virtual offices in Brisbane can cost $420 or $480, depending on the package selected and the business center).

Individuals who plan to open a company in Australia in the state of Tasmania have the opportunity of renting the services of a virtual office for a shorter period of time – the contractual periods start from 3 months (at a rate of $300 for the entire duration of the contract).

To have a clear image as to why the virtual office in Australia is a cost-saving solution when starting a business here, we mention that the rental price of a regular office ranges from $600 to $1,500 per square meter/year, depending on the type of office and the region.

The lowest prices for a traditional office can be found in Adelaide, Perth or Canberra, while in Sydney, prices per square meter per year start from $900-1,000. Below, you can read an infographic on the Australian virtual office:

Why is the virtual office in Australia an useful solution for business purposes?

If you want to set up a company in Australia, you will need to take care of numerous aspects. You must select a legal entity, prepare the incorporation documents, register the business form with the Australian Securities and Investments Commission and with the tax authorities, obtain various licenses and permits, to name just a few of the basic requirements.

You must also have an official business address, this being a compulsory formality and the virtual office can easily be used for this purpose. After this, in order to have your business operational, you must hire employees (where it is the case) and establish the necessary means of communication with the local authorities, clients, partners, workers and other collaborators.

For this, you can ask for a local phone number, phone answering and mail forwarding, voicemail services, management services or a receptionist, these being very useful aspects when we refer to quick and reliable corporate communication.

So, if you want to open a company in Australia, this service can definitely be of help, especially if you are working at developing your first business or when you want to open an LLC in Australia as a small business.

Is it possible to have more virtual office addresses?

Yes, investors, both locals and foreigners, have the right to own more virtual office addresses, just as they have the right to be the owners/shareholders of more businesses in Australia.

Provided that a businessman plans to complete the process of company formation in Australia for more legal entities, he or she can obtain more virtual office addresses that can be used as the official place of correspondence for the said businesses.

We also mention that virtual office service providers have very advantageous policies for those who set up more virtual office addresses with the same provider, as they offer attractive discounts (for instance, the contract signed for a 2nd virtual office address can be 40% lower than the contractual conditions established under the 1st contract, while for a 3rd address, prices can be reduced by 60%).

For more information on how to select the services of a virtual office, please address to our team of consultants in company formation in Australia. Our specialists can also guide you through the entire process of registering a local company with the Australian institutions.