A virtual office can help an SME give a professional image and usually offers a "good service", one expert believes.
Sarah Ellis, a director of officesplease.com, said: "It [having a virtual office] qualifies you, makes you look bigger than you are and it's a really good service."
Ms Ellis added that included in a virtual office is a telephone answering service, something she said could prove crucial to helping SMEs grow their business.
She explained: "You do lose business should your mobile phone or landline go onto answering machine. If you pay for a virtual office telephone answering service then you get your calls answered by a real-life person".
This meant SMEs would not lose business if they were not able to answer a call for any reason, she said.
According to architectural firm Caruso St John the growing influence of technology could eventually render the traditional office "obsolete".