When setting up a company, the question often arises as to where the registered office of the limited liability company, partnership or limited liability company should be. Many people do not want it to be located at their family home, some do not mind and some move it to another municipality for “tax optimisation” reasons.
Every entrepreneur encounters the term “headquarters service” when setting up or running a business. But what exactly does it mean and what legal pitfalls can it present?
What is a seat service?
The idea of a registered office service is that the company designates the address of a specialised service provider as its official registered office. This address is entered in the company register and is where official documents and official mail are sent.
This can be particularly useful for companies that:
- do not have their own office,
- often change the place of operation,
- or simply do not want their address to be the company’s registered office.
What does the legislation require?
Under the Companies Act, the registered office must be located where:
- the official documents of the company are available for inspection,
- ensure the preservation of documents,
- the authorities can contact the company if necessary.
Seat providers must therefore meet strict standards.
What to look out for?
Seat services are legal and widespread, but only safe if you choose the right provider. It is important to check:
- whether the service provider is actually entitled to provide a domiciliary service,
- ensure the receipt and transmission of documents,
- comply with the requirements of the tax authorities and other authorities.
Otherwise, the company may be exposed to serious risks: the tax authority may even initiate a legality procedure during a tax inspection.
Seat services are a useful option for businesses, but only if you choose a reliable, legally operating partner. A wrong choice can cause serious problems in the long run.
If you are about to set up a company or service a registered office, it is worth taking legal advice to make sure you choose the right solution. Dr. Tamás Ökrös Law Office is available to clients in both company formation and company modification procedures.
