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How Virtual Offices Work

How Virtual Offices Work

Virtual offices operate as one unit to serve customers but do not exist in a fixed location. This type of set up is especially popular with startups and small businesses that want to minimize overhead. The creation of web-based office productivity software and services, such as videoconferencing, has helped drive the growth in virtual offices.


  • A virtual office is a company that operates as one unit and has a physical mailing address, but does not exist in one specific location.
  • The development of tools such as videoconferencing and messaging services has led to the increased usage of the virtual office.
  • The costs of operating a virtual office are much less than a traditional office, and that's why this type of set up is popular among small businesses and startups.
  • A virtual office arrangement expands job options for employees and hiring options for businesses.
  • While the virtual office is typically a less expensive option for business, some services, like phone answering and videoconferencing, might have limited accessibility.
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