My home as someone else's registered office address

Discussion in 'General Business Forum' started by NS001, Feb 20, 2021.

  1. NS001

    NS001 UKBF Newcomer Free Member

    1 0
    I run a company and use my home address as my registered office address.
    My friend is setting up a company and would like to use my home address as his registered office address (to keep his own confidential). I know there are companies that provide this, but I am happy for him to do so.

    I wondered if I am allowed to do so - allowing a friend to use my home address as his registered office address.
    I would do this for free, as a friend - but he has also offered to pay for the privilege. This then looks like he is 'renting' an office space from my home.

    I wondered if anyone could offer advice on this, as I am thinking about the tax and also premises use/license issues?
     
    Posted: Feb 20, 2021 By: NS001 Member since: Feb 20, 2021
    #1
  2. Interestedobserver

    Interestedobserver UKBF Ace Free Member

    1,564 205
    I would imagine you could do it. But I wouldn't.
     
    Posted: Feb 20, 2021 By: Interestedobserver Member since: Apr 15, 2020
    #2
  3. tony84

    tony84 UKBF Big Shot Free Member

    5,893 1,097
    I had to move offices at the back end of last year. My accountant altered my registered address on companies house to his home address - I asked if that was ok and he said it is fine, occasionally he has bailiffs turning up for customers.
     
    Posted: Feb 20, 2021 By: tony84 Member since: Apr 14, 2008
    #3
  4. Mark T Jones

    Mark T Jones UKBF Big Shot Free Member

    5,390 2,198
    I'd be rather confused as to why they are reluctant to use their own address but happy to use yours?

    However, that's your call.

    Legally and practically it's fine
     
    Posted: Feb 20, 2021 By: Mark T Jones Member since: Nov 4, 2015
    #4
  5. Mr D

    Mr D UKBF Legend Free Member

    27,285 3,347
    Any debt collectors turn up at your address rather than his?
    You get all his company's official letters at your address rather than his?

    Yes, its fine so long as you allow it.

    Can't quite see how him keeping his address confidential and putting your address instead is a good thing for you but its not wrong.
     
    Posted: Feb 20, 2021 By: Mr D Member since: Feb 12, 2017
    #5
  6. JEREMY HAWKE

    JEREMY HAWKE UKBF Legend Full Member

    5,571 1,993
    I wonder why they do this It is easy to explain the situation to the bailiff but would you really want this going on at home
    OP bad idea
     
    Posted: Feb 20, 2021 By: JEREMY HAWKE Member since: Mar 4, 2008
    #6
  7. Felixkoch2312

    Felixkoch2312 UKBF Newcomer Free Member

    11 1
    Any obligation gatherers turn up at your location instead of his?

    You get all his organization's true letters at your location as opposed to his?

    Indeed, its fine inasmuch as you permit it.

    Can't exactly perceive how him keeping his location private and putting your location rather is something beneficial for you however its not off-base.
     
    Posted: Feb 20, 2021 By: Felixkoch2312 Member since: Feb 20, 2021
    #7
  8. Darren_Ssc

    Darren_Ssc UKBF Ace Free Member

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    My previous office tenant was a book keeper and I lost count of how many companies were registered there. I never had anyone 'turn up' but, if they did, it would have been immediately apparent none of these businesses were actually based there.

    I think this is fairly normal for certain kinds of business but, with it being your home, it may need more caution than usual?
     
    Posted: Feb 20, 2021 By: Darren_Ssc Member since: Mar 1, 2019
    #8
  9. Ozzy

    Ozzy UKBF Founder Full Member - Verified Business

    3,417 161
    Personally, as your friend is happy to pay for it then I'd recommend they pay a company for the service rather than a friend, because it can effect your own credit rating if a company at your home address goes into administration with debts, and you can get all sorts knocking at the door for a company you have no control over.
    I used to own a company that provided this service and the worse experience I had was elderly and vulnerable people turn up looking for their money after they had been ripped off by a scam. Ended up having the police and journalists involved as it made it onto Rogue Traders.
     
    Posted: Feb 20, 2021 By: Ozzy Member since: Feb 9, 2003
    #9
  10. billybob99

    billybob99 UKBF Regular Free Member

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    I don't trust your friend.
     
    Posted: Feb 20, 2021 By: billybob99 Member since: Apr 23, 2013
    #10
  11. JEREMY HAWKE

    JEREMY HAWKE UKBF Legend Full Member

    5,571 1,993
    Ha Ha Nice one for sharing that Ozzy

    That's what makes this forum what it is because it not about getting rich . It's about learning from those that have seen it all before
     
    Posted: Feb 21, 2021 By: JEREMY HAWKE Member since: Mar 4, 2008
    #11
  12. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    3,692 487
    This raises a red flag to me. Get them to sort out their own registered office - you do not want angry crediotrs and bailiffs knocking on your door if things go wrong....
     
    Posted: Feb 22, 2021 By: Lisa Thomas Member since: Apr 20, 2015
    #12
  13. WaveJumper

    WaveJumper UKBF Enthusiast Free Member

    750 149
    Big red flag if he's willing to pay then why does he not pay and use his accountants address my prediction is you will not remain friends for long once people start knocking on your front door
     
    Posted: Feb 22, 2021 By: WaveJumper Member since: Aug 26, 2013
    #13
  14. ecommerce84

    ecommerce84 UKBF Regular Free Member

    922 325
    What an odd post.
     
    Posted: Feb 22, 2021 By: ecommerce84 Member since: Feb 24, 2007
    #14
  15. namesweb

    namesweb UKBF Regular Full Member

    142 17
    Except if it's a limited company...?
     
    Posted: Feb 22, 2021 By: namesweb Member since: Jan 27, 2015
    #15
  16. Ozzy

    Ozzy UKBF Founder Full Member - Verified Business

    3,417 161
    Even if it's a Limited Company, as credit reference agencies can will often link you by association. Same reason why someone else (a friend or flat mate) living at your address who has bad debt can effect your own credit rating even if you don't have any bad debt yourself. You can get it cleared if you can prove to the credit reference agencies their debt does not have any effect on your, like you are not bailing them out, etc, but it does go on your credit record until you remove it.
     
    Posted: Feb 22, 2021 By: Ozzy Member since: Feb 9, 2003
    #16
  17. japancool

    japancool UKBF Big Shot Full Member

    3,766 725
    Is that actually true, or is it a myth?

    Everything I've ever read suggests that someone else's debt at your address will only affect you if you are financially tied to them, eg you have joint borrowing. The burden is not on you to prove it, although obviously, you should always keep an eye on your credit file.
     
    Posted: Feb 22, 2021 By: japancool Member since: Jul 11, 2013
    #17
  18. namesweb

    namesweb UKBF Regular Full Member

    142 17
    That is certainly not my understanding. A ltd co credit reference has nothing to do with your personal credit file unless you default under a personal guarantee.

    https://www.businessrescueexpert.co.uk/can-company-liquidation-affect-my-personal-credit-rating/

    If it appears under your personal credit report that would be filed against the wrong entity and I'd expect that to be removed no?
     
    Posted: Feb 22, 2021 By: namesweb Member since: Jan 27, 2015
    #18
  19. Mark T Jones

    Mark T Jones UKBF Big Shot Free Member

    5,390 2,198
    mostly myth. Credit score systems won’t do it, nor will any professional.

    there is a tiny risk that an over-zealous, clueless person will get their hands on the information and make wild assumptions
     
    Posted: Feb 22, 2021 By: Mark T Jones Member since: Nov 4, 2015
    #19
  20. Ozzy

    Ozzy UKBF Founder Full Member - Verified Business

    3,417 161
    In the past I have found this to not be the case. I used to own a business that registered companies for people, and some of them were registered to my home address in the early days. I then found out when I came to move house that my credit score was chopped and when I wrote to Experian for my credit report it was because they'd associated the closed companies to my credit record.
    I then, as I mentioned above, had to ask them to remove the association and once that was done my credit score was normal and I was able to get a mortgage again to move house.
     
    Posted: Feb 28, 2021 at 11:54 AM By: Ozzy Member since: Feb 9, 2003
    #20