They tried with my place - I told them we had under 50 employees and they had no right to visit. That stopped the shop floor playing fucking Radio 1 all day though, thank Christ (when they moan I remind them they can have them back if they club together the £600 per year for the licence).
They rang back a week later saying that I had
hold music on my phone system so had to have a licence

I told them the CD was non-copyright (which it was; I specifically bought a non-copyright one for that very reason). They wouldn't accept this. Okay, I said, I'll knock something up in GarageBand - I'm the artist and I don't want any royalties. They finally admitted defeat
It amazes me sometimes - if you have a talk radio station on all day you still need a PRS licence for the jingles and any music in any adverts. Madness.