How to Set up a Simple Small Business Account
Like personal current accounts, good business accounts will be covered by the Financial Services Compensation Scheme up to a certain amount (check before opening an account). In most cases, you can use each bank’s easy switching service.
- You’ll have to verify your identity (a full passport (read photo rules) – post offices can take your photo on a smartphone if you don’t have one, and send it all off on your behalf.
- A full birth certificate and full driving licence are also good to help acceptance.
- Other options are Citizen Card and Post Office Pass Card.
Most simple business bank accounts these days are app-based:
- Starling offers a free digital business account, used by over 500,000 UK businesses.
- Monzo again has over 500,000 customers. 92% of accounts are opened the same day.
- Tide lets you open a free business current account in minutes.
- Anna lets you open a UK business account with sort code in minutes, if you have ID to hand.
If you prefer a more ‘traditional’ bank account, Reliance Bank gives up to 75% of profits to the Salvation Army (to help homeless people).
And Unity Trust Bank offers current and savings accounts to help businesses that help communities.
It’s not good to get loans if you don’t need them. But Co-operative & Community Finance offer help for people setting up co-ops and social enterprises (community pubs, charities and community energy)
