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Is it quite a simple thing to use a residential property as a Business address, or is there anything more to it?

 

All I am trying to do is help out a friend who is living in a rented property and cannot use his own address as his Business address as his landlord is not allowing this. My friend is trying to set up a business as a merchandiser, in which he will be simply coordinating over phone and email with the manufacturers and the buyers. He needs an address that can be registered to the business. While I am happy to help out my friend, I am not benefiting in any way out of this. At the same time, I also need to ensure that I don't end up losing out in any way. My landlord is willing to let me set this up at my rented property, so long as there are no implications to him.

 

So if my friend was to register the business and give the address of my rented house as the address of the business that will be either in my friend's name or my own name, will it affect any of the below :

 

1. Council tax rates?

2. Home insurance rates

3. Mortgage rates

4. Income tax

5. Anything else?

 

I will add here that the house will not be used to store anything, nor will there be any employees working there. There will also not be any computers or desks etc related to the business within the house. There will also be no official visitors. It is just a registered address.

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Just because it is only a registered address will not stop people turning up and of course if court papers were to be issued for any reason they would be sent to your address.

 

It is not your income it is theirs so they would be liable for any tax on it. It should not effect your mortgage or rates. Only possibility is if you were to allow clients in your home and they were to have an accident, your normal contents/building insurance would not cover any claim.

 

They other thing I can think of is debts of course you wouldn't owe anything yourself but that would not stop letters or court enforcement officers coming to your address.

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He needs an address that can be registered to the business.

 

For what purpose is the address being registered? For company registration or for vendors to invoice to?

 

For company registration (with companies house), it does not really matter. However for invoicing purposes, it could affect your landlords credit rating, in the future, if your friend defaults.

 

I'm surprised that your Landlord is allowing this; have you checked the terms of the lease you signed? He could be using this as a way to get you out of his property!!!

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For what purpose is the address being registered? For company registration or for vendors to invoice to?

 

For company registration (with companies house), it does not really matter. However for invoicing purposes, it could affect your landlords credit rating, in the future, if your friend defaults.

 

I'm surprised that your Landlord is allowing this; have you checked the terms of the lease you signed? He could be using this as a way to get you out of his property!!!

 

How do plumbers, other trades folk or even web designers etc get on then?

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For what purpose is the address being registered? For company registration or for vendors to invoice to?

 

For company registration only. I have made it very clear that there will be no visitors/clients. I don't foresee there being any clients anyway, as I am not giving my friend any keys to the property.

 

I'm surprised that your Landlord is allowing this; have you checked the terms of the lease you signed? He could be using this as a way to get you out of his property!!!

 

My landlord lives abroad and is a very chilled-out character. I can see why, because I have been a very good tenant for him for quite a very years :) And there is nothing in the contract regarding this. The contract was signed many years ago, and is just a Word document specifying the rent, deposit and one month notice on either side.

 

---------- Post added 21-07-2016 at 11:26 ----------

 

Only possibility is if you were to allow clients in your home and they were to have an accident, your normal contents/building insurance would not cover any claim.

 

I am not handing over or sharing any keys to the property, so I don't foresee any clients coming over.

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Is it quite a simple thing to use a residential property as a Business address, or is there anything more to it?

 

All I am trying to do is help out a friend who is living in a rented property and cannot use his own address as his Business address as his landlord is not allowing this. My friend is trying to set up a business as a merchandiser, in which he will be simply coordinating over phone and email with the manufacturers and the buyers. He needs an address that can be registered to the business. While I am happy to help out my friend, I am not benefiting in any way out of this. At the same time, I also need to ensure that I don't end up losing out in any way. My landlord is willing to let me set this up at my rented property, so long as there are no implications to him.

 

So if my friend was to register the business and give the address of my rented house as the address of the business that will be either in my friend's name or my own name, will it affect any of the below :

 

1. Council tax rates?

2. Home insurance rates

3. Mortgage rates

4. Income tax

5. Anything else?

 

I will add here that the house will not be used to store anything, nor will there be any employees working there. There will also not be any computers or desks etc related to the business within the house. There will also be no official visitors. It is just a registered address.

 

why would you even bother to mention this to your landlord?? unless its specifically mentioned in your lease or agreement?? if its your residential address you can register any business and that registration moves with you when you move.

now if you are operating as a retail outlet which you are not then it would affect other things.

i have registered company addresses at home and at my accountants, you can also use a mailing address for a reg co.

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why would you even bother to mention this to your landlord?? unless its specifically mentioned in your lease or agreement?? if its your residential address you can register any business and that registration moves with you when you move.

now if you are operating as a retail outlet which you are not then it would affect other things.

i have registered company addresses at home and at my accountants, you can also use a mailing address for a reg co.

 

Because I don't want to fall out with my landlord if he were to find out some other way. Why take a risk when I don't stand to gain anything by not telling him?

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Because I don't want to fall out with my landlord if he were to find out some other way. Why take a risk when I don't stand to gain anything by not telling him?

 

its none of his business as long as its not illegal, what risk? he cant kick you out unless you broke the terms of the lease, why would it bother him anyway as long as the rent is paid??? think you are overthinking this, it affects nothing inc rates, insurance etc if you are just using it a base and a telephone base.

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This may help, but also google your question as I'm sure last year, the government stated they were going to make life easier for tenants who wanted to run a business from home but I don't know when this takes effect.

 

http://www.jmw.co.uk/blog/my-tenant-wants-to-run-a-business-from-home-considerations-for-residential-landlords/

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Do they or will they have an accountant? Many will allow their address to be the companies registered address.

 

You could use a virtual office that has offices and meeting rooms. If the person ever needed to have a meeting they could use the registered office meeting rooms(s).

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This may help, but also google your question as I'm sure last year, the government stated they were going to make life easier for tenants who wanted to run a business from home but I don't know when this takes effect.

 

http://www.jmw.co.uk/blog/my-tenant-wants-to-run-a-business-from-home-considerations-for-residential-landlords/

 

This is very informative - thanks :)

 

---------- Post added 22-07-2016 at 16:18 ----------

 

Do they or will they have an accountant? Many will allow their address to be the companies registered address.

 

You could use a virtual office that has offices and meeting rooms. If the person ever needed to have a meeting they could use the registered office meeting rooms(s).

 

I believe it will just be a companies registered address. As for the accountant, I don't know about that, but what I do know for a fact is that he would not be coming over to my place.

 

After reading the earlier post by poppet2, I am going to point my friend in that direction to see if that is a feasible option.

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