Start Up Business Bank Accounts
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Your one stop authority on business bank accounts for small businesses and SMEs
Promoted Accounts – April 2024
Best Start-Up Business Bank Accounts
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Monthly Fee
£14.90- £14.90 + VAT per month
- or £149 + VAT a year if billed annually
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Card Purchases
Free -
Bank Transfers
50 free per month- Domestic: 50 free per month, then 20p thereafter
- International: 1 free per month, then £5 per SWIFT transaction (+1% currency conversion fee)
- Free direct debits
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Overdraft
-
Access Methods
App/Online- No cheque facilities
- Cash accepted via PayPoint (£300 per month free, then 1% commission fee)
Product Features
- Up to 5 debit card included (£3 per extra card) – 1% cashback on selected categories
- Personal payment link for accepting payments online (£200 per month free, then 1% commission fee)
- Instant invoice generator and savings pots facility (fees apply)
- Landlords / property investors get a free 12 month subscription to the National Residential Landlords Association (NRLA)
- FastTrack to Credit – Boost your credit score and get access to credit after 3 months activity
Eligibility Criteria
- Must be a Sole Trader, Director of a Limited Company (and listed on Companies House), or a Partner in a Limited Liability Partnership
- Business must be located within the UK and you also need to have a UK residential address
- Not available to charities
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Monthly Fee
£19 per month -
Card Purchases
Free -
Bank Transfers
100 free per month- 100 free local transfers per month, then 20p thereafter
- International transfers: £5
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Overdraft
-
Access Methods
App/OnlineNo cash or cheque facilities
Product Features
- Multi-currency accounts – recieve payments and exchange in 25+ currencies
- Control and monitor team spending with multiple debit and virtual cards, manage permissions and levels of access and more
- Various payment facilities including Tap to Pay on iPhone (fees apply)
- Earn annual interest daily with a linked business savings account
Eligibility Criteria
- Available for limited companies, PLCs, LLPs, Partnerships & unlimited companies
- Currently available for companies registered in and with a physical presence within the European Economic Area (EEA), Switzerland, UK and US
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Monthly Fee
£79 per month -
Card Purchases
Free -
Bank Transfers
1000 free per month- 1000 free local transfers per month, then 20p thereafter
- International transfers: £5
-
Overdraft
-
Access Methods
App/OnlineNo cash or cheque facilities
Product Features
- Multi-currency accounts – recieve payments and exchange in 25+ currencies
- Control and monitor team spending with multiple debit and virtual cards, manage permissions and levels of access and more
- Various payment facilities including Tap to Pay on iPhone (fees apply)
- Earn annual interest daily with a linked business savings account
- 2 complimentary metal cards
Eligibility Criteria
- Available for limited companies, PLCs, LLPs, Partnerships & unlimited companies
- Currently available for companies registered in and with a physical presence within the European Economic Area (EEA), Switzerland, UK and US
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Monthly Fee
£49.99 -
Card Purchases
Free -
Bank Transfers
FreeUnlimited free bank transfers -
Overdraft
-
Access Methods
App/Online- No cheque facilities
- Cash deposits via Post Office (0.5% fee, minimum £2.50) and PayPoint (3% fee)
Product Features
- Create and send invoices for free
- 3 free expense cards included
- 0.5% cashback on Tide card spend (T&Cs apply)
Eligibility Criteria
- For registered business account: you must be registered with UK Companies House as a director of that company or partnership
- For sole trader account: you must be a UK based sole trader/freelancer
- For all accounts: you must be aged 18+, have a valid UK phone number and address, and hold compatible device registered to a UK App or Google Play store
3 FREE Expense Cards for co-workers
Unlimited transfers per month
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Monthly Fee
FreeNo monthly fee for first 3 months, then £18 thereafter -
Card Purchases
Free -
Bank Transfers
£0.30 -
Overdraft
-
Access Methods
AppNo cheque facilities
Cash paid in via Post Office (0.5% fee – £2 minimum) and PayPoint (3% fee)
Product Features
- Monthly subscription fees that go up and down in line with your business performance
- Rated ‘Excellent’ based on over 2,000 reviews on Trustpilot
- Built-in accounting software with receipt capture and live business insights
Eligibility Criteria
- Available to sole traders and limited companies
- You must be 18+ and a UK resident
- Unlimited monthly deposits
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Monthly Fee
FreeNo monthly fee for first 3 months, then £9 thereafter -
Card Purchases
Free -
Bank Transfers
£0.30 -
Overdraft
-
Access Methods
AppNo cheque facilities
Cash paid in via Post Office (0.5% fee – £2 minimum) and PayPoint (3% fee)
Product Features
- Monthly subscription fees that go up and down in line with your business performance
- Rated ‘Excellent’ based on over 2,000 reviews on Trustpilot
- Built-in accounting software with receipt capture and live business insights
Eligibility Criteria
- Must be a UK resident, at least 18 years old and running a small business (Sole Trader/Director of a limited company)
- If your maximum monthly deposit is exceeded, then your account will automatically upgrade to the appropriate subscription plan. You will not be able to downgrade from this plan.
- £7,500 maximum monthly deposit
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Monthly Fee
£12.50Plus one-off £55 application fee -
Card Purchases
Free -
Bank Transfers
From 30p- Direct Debits: 30p
- Faster Payments (next day online): 30p
- Faster Payments (instant online): £7.50
- CHAPS: £30
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Overdraft
-
Access Methods
App/OnlinePay in cash and cheques via Barclays branches
Product Features
- No credit checks or signatures required
- Up to 4 additional cards for business use
- UK-based customer support.
- International payments in a range of currencies
Eligibility Criteria
- Available to Limited Companies, Sole Traders and Partnerships
- Your business must be registered in the UK and have an annual turnover of less than £2m
- You must be 18+ and a UK resident. Card One Money need to be able to verify your identity & residency.
- Card One Money is no covered by the Financial Services Compensation Scheme. See product FAQs for more info
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Monthly Fee
FreeNo monthly fee for first 3 months, £3 per month thereafter -
Card Purchases
Free -
Bank Transfers
30p -
Overdraft
-
Access Methods
AppNo cheque facilities.
Cash paid in via Post Office (0.5% fee – £2 minimum) and PayPoint (3% fee)
Product Features
- Monthly subscription fees that go up and down in line with your business performance
- Rated ‘Excellent’ based on over 2,000 reviews on Trustpilot
- Built-in accounting software with receipt capture and live business insights
Eligibility Criteria
- Available to sole traders and limited companies
- You must be 18+ and a UK resident
- £750 maximum monthly deposit
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Monthly Fee
Free -
Card Purchases
Free -
Bank Transfers
FreeSWIFT payments vary £10-£20 -
Overdraft
-
Access Methods
App/Online
Product Features
- Open domestic and foreign currency accounts with local bank details around the world with no monthly fees within minutes.
- Make international transfers to 150+ countries – save up to 80% on FX fees, app. 70% of funds arrive within a few hours / same day
- Accept payments worldwide via 160+ payment methods – no coding required
- Issue multi currency corporate cards
- Integrates with platforms like Xero, Amazon, Shopify, WooCommerce & more
- Automate your domestic and international bill pay workflows
Eligibility Criteria
- You must be at least 18 years old
- Be a sole trader, partner in a partnership, or company
- Your business is registered in the UK. More markets are available with different Airwallex entities. Details can be found on the Airwallex website.
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Monthly Fee
£49.90
£49.90 + VAT per month
Or £499 a year +VAT if billed annually
-
Card Purchases
Free -
Bank Transfers
From free- Domestic: unlimited free transfers
- International: 4 free SWIFT payments per month, then £5 per payment
-
Overdraft
-
Access Methods
App/Online- No cheque facilities
- Cash accepted via PayPoint with no fees
Product Features
- Unlimited free debit cards – 1% cashback on selected categories
- Personal payment link for accepting payments online with no fees
- Instant invoice generator and savings pots facility
- Landlords / property investors get a free 12 month subscription to the National Residential Landlords Association (NRLA)
- FastTrack to Credit – Boost your credit score and get access to credit after 3 months activity
Eligibility Criteria
- Must be a Sole Trader, Director of a Limited Company (and listed on Companies House), or a Partner in a Limited Liability Partnership
- Business must be located within the UK and you also need to have a UK residential address
- Not available to charities
-
Monthly Fee
Free -
Card Purchases
Free -
Bank Transfers
From 20p- Domestic: 20p per bank transfer
- International: £5 per SWIFT transaction (+1% currency conversion fee)
- Free direct debits
-
Overdraft
-
Access Methods
App/Online- No cheque facilities
- Cash accepted via PayPoint (1% commission fee)
Product Features
- 1 debit card included (£3 per extra card) – 1% cashback on selected categories
- Personal payment link for accepting payments online (1% commission)
- Instant invoice generator and savings pots facility (fees apply)
- Landlords / property investors get a free 12 month subscription to the National Residential Landlords Association (NRLA)
- FastTrack to Credit – Boost your credit score and get access to credit after 3 months activity
Eligibility Criteria
- Must be a Sole Trader, Director of a Limited Company (and listed on Companies House), or a Partner in a Limited Liability Partnership
- Business must be located within the UK and you also need to have a UK residential address
- Not available to charities
-
Monthly Fee
FreePlus a one-off card issue fee of £9.95 -
Card Purchases
Free -
Bank Transfers
3 free per month3 free per month, then 30p thereafter -
Overdraft
-
Access Methods
App/Online- No cheque facilities
- Cash paid in via Post Office (0.5% fee)
Product Features
- 24/7 app and online account facilities
- FSCS protection – up to £85,000
- UK-based customer services team
- Invoicing tools that allow you to create and send invoices easily
Eligibility Criteria
- Available to UK registered companies or UK-based sole traders
- Application made by UK Director
- UK Director 18 years old plus
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Monthly Fee
Free -
Card Purchases
Free -
Bank Transfers
20p -
Overdraft
-
Access Methods
App/Online- No cheque facilities
- Cash deposits via Post Office (0.5% fee, minimum £2.50) and PayPoint (3% fee)
Product Features
- Create and send invoices for free
- Multi-business – hold up to 5 business accounts
- Automated 30-day cash flow forecasts
Eligibility Criteria
- For registered business account: you must be registered with UK Companies House as a director of that company or partnership
- For sole trader account: you must be a UK based sole trader/freelancer
- For all accounts: you must be aged 18+, have a valid UK phone number and address, and hold compatible device registered to a UK App or Google Play store
Earn up to 4.33% AER (variable) with the Tide Instant Saver Account (interest paid monthly).
Award-winning business account
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Monthly Fee
£9.99 -
Card Purchases
Free -
Bank Transfers
20 free per month20 free per month, then 20p per transfer -
Overdraft
-
Access Methods
App/Online- No cheque facilities
- Cash deposits via Post Office (0.5% fee, minimum £2.50) and PayPoint (3% fee)
Product Features
- Create and send invoices for free
- Multi-business – hold up to 5 business accounts
- 1 free expense card included
Eligibility Criteria
- For registered business account: you must be registered with UK Companies House as a director of that company or partnership
- For sole trader account: you must be a UK based sole trader/freelancer
- For all accounts: you must be aged 18+, have a valid UK phone number and address, and hold compatible device registered to a UK App or Google Play store
-
Monthly Fee
Free -
Card Purchases
Free -
Bank Transfers
5 free per month- 5 free local transfers per month, then 20p thereafter
- International transfers: £5
-
Overdraft
-
Access Methods
App/OnlineNo cash or cheque facilities
Product Features
- Multi-currency accounts – recieve payments and exchange in 25+ currencies
- Control and monitor team spending with multiple debit and virtual cards, manage permissions and levels of access and more
- Various payment facilities including Tap to Pay on iPhone (fees apply)
- International payments – Send and receive money from 200 countries
Eligibility Criteria
- Available for limited companies, PLCs, LLPs, Partnerships & unlimited companies
- Currently available for companies registered in and with a physical presence within the European Economic Area (EEA), Switzerland, UK and US
Exchange money in 30+ currencies at interbank rates
Refine Your Search
- Freelancer Bank Accounts
- Best Business Bank Accounts
- Free Business Bank Accounts
- Joint Business Bank Accounts
- Small Business Bank Accounts
- Sole Trader Business Bank Accounts
- Multi Director Access Business Accounts
- No Credit Check Bank Accounts
- Switcher Business Bank Accounts
- Online Business Bank Accounts
- Bad Credit Business Bank Accounts
- Corporate Business Bank Accounts
- Self Employed Business Bank Accounts
- Start Up Business Bank Accounts
How to compare business bank accounts…
Step One
Understand your requirements
How you do business will effect the type of account you need. How many transactions will you have each month? Do you need to pay in cash? Do you need a local branch?
Step Two
Check eligibility
Most providers have a range of business accounts to suit different types of businesses. Check the eligibility of each account to make sure if suited to your business.
Step Three
Compare the latest deals and offer
There are numerous offers and deals to attract new customers which can be compared with our handy tool above. Always consider the cost of the account once the free period ends
Start up Business Bank Accounts
Starting a business in the UK is an exciting endeavour, full of possibilities and growth opportunities. As an entrepreneur, you’ll have a long to-do list to ensure your venture’s success, and at the top of that list should be setting up a business bank account. While it might seem like a minor administrative task, having a separate bank account for your business is crucial for several reasons.
Professionalism and Brand Image: Having a dedicated business account solidifies your image as a serious and professional entity. Whether you’re dealing with suppliers, investors, or customers, payments coming from a business-named account will inherently carry more weight and trustworthiness than those coming from a personal account.
Simplified Accounting: Mingling personal and business finances can quickly become a bookkeeping nightmare. By keeping business finances separate, you’ll have a clearer picture of your company’s cash flow, profits, and expenses. Come tax season, having a distinct record of all business-related transactions will save you a lot of time and reduce the risk of errors.
Legal and Tax Implications: If your start-up is registered as a limited company in the UK, it’s legally required to have its own bank account. Additionally, a separate business bank account helps ensure that you meet all HMRC requirements regarding record-keeping for tax purposes. The last thing you want is to face complications with the tax authorities because of commingled finances.
Enhanced Credit Profile: In the future, you might want to take out a business loan or access other financial products. Having a business bank account can help you build a credit profile for your company, distinct from your personal credit.
Additional Features: Business bank accounts often come with features tailored to the needs of businesses, such as higher withdrawal limits, merchant services, business credit cards, and specialized customer support.
Given the clear benefits of having a business bank account, the next question is: how does one choose the right one?
Comparing Business Bank Accounts:
Different banks offer varying features, terms, and fee structures. Therefore, comparing these is essential to find the right fit for your start-up.
Fees and Charges: While some banks offer fee-free periods for start-ups, others might charge for transactions, monthly maintenance, or other services. Ensure you understand all potential fees and how they might change as your business grows. Our brief guide to understanding business banking fees provides further information on this topic.
Introductory Offers: Some banks attract new businesses with promotional offers, such as no fees for the first 12 months or discounted merchant services. While these can be enticing, make sure to also consider the account’s long-term suitability.
Online and Mobile Banking: In today’s digital age, a seamless online and mobile banking experience is crucial. Ensure the bank’s digital platforms are user-friendly, secure, and offer the features your business needs.
Customer Service: Good customer support can make a significant difference, especially if you encounter issues or have queries. Check reviews or seek recommendations to gauge the bank’s reputation in this area.
Additional Services: Think about the future needs of your business. Some banks provide integrated accounting software, business mentorship, or preferential loan rates for account holders.
Local Branch Access: While much of banking is now done online, having a local branch can be beneficial for certain transactions or consultations.
A business bank account is more than just a place to store your start-up’s earnings; it’s a foundational tool for financial management, compliance, and growth. By comparing the options available, you can select a bank that not only meets your current needs but also supports your business as it reaches new milestones. As with all financial decisions, thorough research and due diligence are key.