Virtual offices offer flexibility, professionalism, and accessibility, all without the cost of a full-time lease. For coworking spaces, they’re a smart, scalable way to reach new audiences and make better use of existing infrastructure. But as with any professional service, virtual offices come with real legal responsibilities.
Before you start advertising your address for business registrations or handling member mail, it’s important to understand what’s legally required. While a blog post can't replace a proper legal counsel, this guide covers essential regulations in:
(click on the country you want to jump to 👇)
🇩🇪 Germany (auf Deutsch hier lesen)
🇨🇭 Switzerland (auf Deutsch hier lesen)
🇫🇷 France (translation to French in progress ⚒️)
🇪🇸 Spain (translation to Spanish in progress ⚒️)
🇬🇧 United Kingdom (UK)
🇨🇦 Canada
🇺🇸 United States (USA)
Legal Requirements for Virtual Offices by Country
🇩🇪 Germany (auf Deutsch hier lesen)
Business Registration and Legal Use: Permitted with a business address that can be legally used. To be used as a business address in accordance with § 10 HGB and § 5 DDG, the address must be a real space with rooms (no problem for coworking), which is used by the business (coworking service contract should be enough, occasional meeting room usage is even better) with the company sign at the entrance/post box.
Mail Handling and Signage: Mail must be stored in a locked place, only accessible by the manager or in separate boxes that are accessible by customers for self-service. There are no documentation requirements for receiving mail. Germany advises virtual office providers to inform local trade offices (Gewerbeamt) when offering mail-handling services, ensuring that the virtual office address is a physical location suitable for official correspondence. For full usage, you have to get an appointment with an authorized agent for service of process. This is required if mail has to be handed directly to a representative of the company (important for legal matters).
Know Your Customer (KYC) and Anti-Money Laundering (AML): Background checks and record keeping are required according to Geldwäschegesetzt (GWG), the German AML law, as stated in §2 (1) 13 d. GWG.
Terms of Service: Clearly describe what's included in the virtual office package (e.g., address use, mail handling, meeting room credits), the duration for mail storage, cancellation and renewal policies, and responsibilities of both parties (e.g., handling legal documents, mail pick-up rules).
Data Privacy and Cybersecurity: Ensure compliance by collecting only necessary client information, securely storing records in accordance with GDPR, and using secure software to manage user data, IDs, and communications.
Local Notifications and Registrations: It's not mandatory to notify local authorities when offering virtual office services. (double-check local regulations)
🇨🇭 Switzerland (auf Deutsch hier lesen)
Business Registration and Legal Use: An explicit agreement (Domizil Vereinbarung) is required. You must confirm to the Handelsregister that an agreement exists between you and the businesses that use your space actively.
Mail Handling and Signage: Mail should be stored in a locked space, and only opened, e.g. for scanning with expressed permission. (Art. 13 BV, Postgesetz). Opening a client's mail without prior written consent is prohibited to safeguard client confidentiality. No Documentation requirements for receiving mail.
Know Your Customer (KYC) & Anti-Money Laundering (AML): Not required unless offering fiduciary services (e.g., company formation, asset management). General due diligence and customer identification are recommended for business purposes.
Terms of Service: Clearly describe what's included in the virtual office package (e.g., address use, mail handling, meeting room credits), the duration for mail storage, cancellation and renewal policies, and responsibilities of both parties (e.g., handling legal documents, mail pick-up rules).
Data Privacy and Cybersecurity: Ensure compliance by collecting only necessary client information, securely storing records in line with the Swiss Federal Act on Data Protection (FADP), and using secure software to manage user data, IDs, and communications.
Local Notifications and Registrations: Regulations are specific for each Canton, some are stricter to fight tax fraud. The Handelsregister may ask you to confirm that a company using your address has a valid agreement with you.
🇫🇷 France (translation to French in progress ⚒️)
Business Registration and Legal Use: A Contrat de domiciliation (minimum 3 months) is required. Your space must be registered to provide domiciliation services. Greffier du tribunal (company register court) must be informed about the ending of the contract or if no pickup happens for more than 3 months. (Code de commerce Art. L123-11 s. and R123-166 s.).
Mail Handling and Signage: The contract includes an appointment for service of process to receive all messages on behalf of the customer. You should record all mail handling to fulfill reporting guidelines as a registered Virtual Office Provider.
Know Your Customer (KYC) & Anti-Money Laundering (AML): You need to do background checks on customers according to KYC and report suspicious behavior to the financial oversight TRACFIN (Code monétaire et financier).
Terms of Service: Clearly describe what's included in the virtual office package (e.g., address use, mail handling, meeting room credits), the duration for mail storage, cancellation and renewal policies, and responsibilities of both parties (e.g., handling legal documents, mail pick-up rules).
Data Privacy and Cybersecurity: Ensure compliance by collecting only necessary client information, securely storing records in accordance with GDPR, and using secure software to manage user data, IDs, and communications.
Local Notifications and Registrations: You must report all “contrat de domiciliation” clients quarterly. (Article R.123-168 Code de commerce).
🇪🇸 Spain (translation to Spanish in progress ⚒️)
Business Registration and Legal Use: A contract and confirmation of business presence are required. You’ll need to notify the Registro Mercantil.
Mail Handling and Signage: There are no legal documentation requirements to receive mail for virtual office clients. If you do mail forwarding, you have to register your activity as a mail forwarder and fall under postal service regulations (Ley 43/2010)
Know Your Customer (KYC) & Anti-Money Laundering (AML): A Background Check needs to be performed according to the Know Your Customer Standard. The operator needs to store this information and report to the FIU (Financial Intelligence Unit) (Ley 10/2010)
Terms of Service: Clearly describe what's included in the virtual office package (e.g., address use, mail handling, meeting room credits), the duration for mail storage, cancellation and renewal policies, and responsibilities of both parties (e.g., handling legal documents, mail pick-up rules).
Data Privacy and Cybersecurity: Ensure compliance by collecting only necessary client information, securely storing records in accordance with GDPR, and using secure software to manage user data, IDs, and communications.
Local Notifications and Registrations: Inform the Registro Mercantil about your service.
🇬🇧 United Kingdom (UK)
Business Registration and Legal Use: You must register with HMRC (Her Majesty's Revenue and Customs) as a Trust or Company Service Provider (TCSP) to legally offer virtual office services.
Mail Handling and Signage: Virtual office providers must obtain explicit written authorization from clients before opening their mail, ensuring compliance with privacy laws. No special authorization is required to receive legally relevant mail, but recommended. We would also recommend documenting the reception of legal mail, although it is not mandatory by law.
Know Your Customer (KYC) & Anti-Money Laundering (AML): Background checks on customers are required by law, according to KYC, as well as documenting all business relationships. (Money Laundering Regulations 2017).
Terms of Service: Clearly describe what's included in the virtual office package (e.g., address use, mail handling, meeting room credits), the duration for mail storage, cancellation and renewal policies, and responsibilities of both parties (e.g., handling legal documents, mail pick-up rules).
Data Privacy and Cybersecurity: Ensure compliance by collecting only necessary client information, securely storing records according to UK GDPR and the Data Protection Act (DPA), and using secure software to manage user data, IDs, and communications.
Local Notifications and Registrations: There is no specific requirement to notify the local authority every time someone moves into a virtual office. The primary obligation is to register the virtual office service and keep accurate records of clients.
🇨🇦 Canada
Business Registration and Legal Use: Canadian businesses are required to have a registered office address within the jurisdiction of incorporation. Coworking spaces are allowed as long as they provide a physical location where official documents can be received.
Mail Handling and Signage: You must obtain explicit client authorization before handling your clients' mail.
Know Your Customer (KYC) & Anti-Money Laundering (AML): Not explicitly required by Canadian AML laws (PCMLTFA) for virtual office providers unless additional regulated services (e.g., financial, accounting) are offered. General due diligence and customer identification are recommended for business purposes.
Terms of Service: We recommend clearly describing what's included in the virtual office package (e.g., address use, mail handling, meeting room credits), the duration for mail storage, cancellation and renewal policies, and responsibilities of both parties (e.g., handling legal documents, mail pick-up rules).
Data Privacy and Cybersecurity: Ensure compliance by collecting only necessary client information, securely storing records according to the Personal Information Protection and Electronic Documents Act (PIPEDA), and using secure software to manage user data, IDs, and communications.
Local Notifications and Registrations: The burden of notifying local authorities falls on the company changing its address (your customers), not the virtual office provider (your space).
🇺🇸 United States (USA)
Business Registration and Legal Use: A registered agent with a physical address (not a P.O. Box) is required. Many coworking spaces provide this as part of their services.
Mail Handling and Signage: Providers must have a notarized USPS Form 1583 from each client, authorizing them to receive and handle mail on the client's behalf.
Know Your Customer (KYC) & Anti-Money Laundering (AML): Not explicitly required for virtual office providers under federal AML regulations unless offering additional financial services. General due diligence and customer identification are recommended for business purposes.
Terms of Service: We recommend clearly describing what's included in the virtual office package (e.g., address use, mail handling, meeting room credits), the duration for mail storage, cancellation and renewal policies, and responsibilities of both parties (e.g., handling legal documents, mail pick-up rules).
Data Privacy and Cybersecurity: Ensure compliance by collecting only necessary client information, securely storing records according to applicable local privacy laws (such as CCPA), and using secure software to manage user data, IDs, and communications.
Local Notifications and Registrations: The burden of notifying local authorities falls on the company changing its address (your customers), not the virtual office provider (your space).
Why It Matters
Virtual office services can add stable revenue and expand your coworking community beyond physical desks. However, offering them comes with legal responsibilities, from data security to AML compliance.
Getting it right means protecting your business, supporting your members professionally, and building long-term trust.Cobot Can Help
Want to manage your virtual office services professionally and efficiently?
Cobot’s all-in-one coworking software supports invoicing, secure member records, and GDPR-compliant data handling, so you can confidently offer flexible services without extra admin work.
📄 Check out our article, Legal Requirements to Open a Coworking Space (+1-Page Checklist)
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