Expanding to a New Location? Here’s Why Using Virtual Headquarters Makes Sense

Is your company poised for expansion? If your plan is to create a new, additional location in a new area, then you probably still have a lot of questions. For instance, how do you know you’re setting up in the right location? How much support staff do you need there? What systems will you need on-hand? Many companies create new locations or headquarters in a new country only to soon realize they’ve made a mistake. Creating a new headquarters isn’t an exact science, but companies are getting it close by using virtual headquarters.

Virtual headquarters are sought after by small and growing companies, most commonly startups, who want to launch a new location in an exciting new area. Without the capital or necessarily the need to lease an office building or build a new office, a company can use a virtual headquarters to gauge how well a market will work for them before pulling the trigger.

Business team meeting in a Virtual Headquarters

In this article, we will shine light on the reasons why using a virtual headquarters service like VirtualHeadquarters.com makes sense. If you aren’t familiar with virtual office space, keep reading!

What is Virtual Office Space?

A virtual office space is simply a leased office space within a building with other such office spaces. All of these spaces are leased to various companies and come with a plethora of benefits and services. Virtual offices are a prime choice for startups who want to scale up.

Why Would You Want to Use Virtual Headquarters?

Well, there are several reasons why virtual headquarters are a great decision for many startups and companies in general.

1. Low-risk opportunity to test a new market

For companies wanting to expand into a new market, virtual headquarters give them a low-risk way to see if the area is truly for them. There are few strings attached with virtual headquarters, but companies still have the advantage of a professional appearance in a distinct region.

2. Enjoy shorter lease periods

Virtual headquarters have the advantage of not having long lease periods. If things just aren’t working out for the business, they can pull out of the lease when it’s expired. This is a flexible, efficient way for a growing company to see if the area will work for them.

3. Save money with virtual headquarters

When a company sets up an independent physical location, either by leasing or building it, the money invested in much higher than if the company had used a virtual headquarters. Virtual offices are much cheaper up-front than other alternatives. It’s important to note that over time, virtual offices aren’t going to be cheaper than a bigger investment.

If a company sees that growth is positive, they can better plan their future when using a virtual headquarters.

4. Take advantage of support services

Perhaps one of the most alluring features of virtual headquarters are the services that come with them. Virtual headquarters come with more than just meeting space. In fact, virtual offices feature office and meeting space plus receptionist and virtual assistant services. In addition, kitchens and conference rooms are typically shared by all tenants.

Auxiliary services, such as printing and internet, can often be found in virtual headquarters services. All of these support services are invaluable to a startup or growing company planning to launch a headquarters.

Skyscrapers in Marina Bay, financial district of Singapore

5. Get an address in a sought-after location

Virtual headquarters include address services. These addresses are usually located in sought-after areas, which make the headquarters seem even more appealing and professional. Of course, these addresses offer other benefits. For instance, if the headquarters wants to be listed on Google, having a full address is one way to make sure that happens. Companies need a professional address to help curate their brand, and that’s one way virtual headquarters can help.

6. Leverage possible tax advantages

Areas around the world have various tax incentives, and creating a virtual headquarters in a specific area could yield major tax advantages. Before you settle on a location for your virtual headquarters, be sure to do some research and talk to a professional to ensure that you’re picking the best jurisdiction for tax advantages!

7. Target niche markets exclusively

There are certain cities in which certain industries thrive. If your company is in a specific niche and you want to grow among the elite, then you might already have a clue as to what city you’d like to launch your virtual headquarters. As you can see, a virtual headquarters allows you to more accurately target niche markets.

8. Demonstrate a multi-area presence

As part of your company’s mission to build authority, having a multi-area presence is key. For most companies, creating physical headquarters in various places isn’t feasible due to cost concerns. When you choose a virtual headquarters, however, you can more cost effectively demonstrate a multi-area presence – domestically and/or globally.

You can enjoy all of the benefits of having a headquarters in a new location without having to pay hefty prices for it!

Meeting room in a virtual office


If your company is on the brink of expansion, then you want to enjoy growth without maxing your budget. One way to do this is to leverage virtual headquarters.

With virtual headquarters, you can test or target markets while increasing the credibility of your company. If things simply don’t work out, short lease terms on virtual headquarters make it relatively easy to pull out of the lease and go somewhere else.

No matter what size your company is, virtual headquarters can give you a viable way to judge whether or not an expansion is going to be the answer for your needs. Working from a virtual headquarters gives plenty of opportunities for growth and expansion, and when a company is ready to move to the next level, they can do so after having conducted a real-life case study of their company’s growth.