Business bank accounts

Last updated on 23 November 2023

Are you looking for business banking accounts that suit your needs, but don’t know where to start? Whether you’re just starting out as an entrepreneur in the UK or are expanding your current business, it’s important to find the right bank account that won’t take away from what matters most — running and growing your company.

Compare business bank accounts What are you looking for?

In partnership with Tide

Co-Op Business Banking
✓ Business Current Account
✓ Online, App & High Street Banking
✓ Quick & Easy Application Process

HSBC Business Banking
✓ Business Current Account
✓ In-Branch, Online & App Banking
✓ FSCS Protected

Metro Business Banking
✓ Business Current Account
✓ High Street Presence
✓ FSCS Protected

Mettle Business Banking
✓ Business Bank Account
✓ Online & App
✓ Quick & Easy Application Process

Monzo Business Banking
✓ Business Current Account
✓ Dedicated mobile app experience
✓ FSCS Protected

Tide Business Bank Accounts
✓ Free, Plus, or Pro Account
✓ iOS & Android Mobile App
✓ Upload & Auto-Match Receipts

Virgin Money
✓ Business M Account
✓ In-Store, Online & App Banking
✓ Insights & Forecasting Platform

Let us help guide you through some of the best business bank accounts available in the UK and provide insight into finding one that fits all your requirements.

Video: Getting started with business bank accounts

Best business bank accounts UK

BankLowest monthly feeOffers current accountOffers savings accountOverdraft available

3S Money


Acorn Account






Allica Bank


Allied Irish Bank




Anna Bank


Atom Bank


Bank of Scotland





€ 4.99YesNoNo

Cambridge Building Society






Cater Allen Private Bank


Charity Bank


Clydesdale Bank


Co-operative Bank




Cumberland Building Society


Cynergy Bank


Danske Bank UK


Fair Everywhere




Hampshire Trust Bank



€ 9YesNoNo






€ 9YesNoNo

Kent Reliance




Lloyds Bank




Metro Bank
















Redwood Bank


Revolut Business


Royal Bank of Scotland




Shawbrook Bank




Starling Bank


State Bank of India (UK)




Triodos Bank




Ulster Bank


United Trust Bank


Virgin Money




Yorkshire Bank

Top 56 business bank accounts compared

What is a business bank account?

A business bank account is a financial tool designed to help businesses manage their finances. It is distinct from an individual’s personal banking account and allows for greater flexibility when dealing with larger sums of money, such as those generated through sales or investments.

Business bank accounts also offer access to additional services tailored to the needs of a particular organisation, including loans and lines of credit, overdraft protection, and online accounting software.

By utilising a business bank account to manage their finances, businesses can ensure that they are in compliance with the legal requirements associated with running a business. Additionally, it can help businesses better track their income and expenses and make more informed decisions about the direction of their company.

Why have a business bank account?

Business bank accounts offer a number of advantages for businesses, including:

  • Access to financial services – Business bank accounts offer access to a range of financial services that are tailored specifically for business activities. This includes access to overdrafts and credit, as well as payment solutions such as online banking, payment cards and more.
  • Improved cash flow – By separating personal and business income and expenses, businesses can more easily keep track of their financial activity. This helps with budgeting as well as understanding where money is coming from and going to in the business.
  • Easier tax preparation – With all business transactions recorded in one place, it’s much easier to prepare accurate and timely tax returns.
  • Enhanced credibility – Having a business bank account creates the perception that your business is legitimate, which can help when dealing with customers, suppliers and other stakeholders.
  • Higher savings interest rates – Businesses may be able to access higher interest rates on deposits than those offered on personal accounts.

How to open a business bank account?

Opening a business bank account is one of the first steps to starting a successful business. Having a dedicated bank account will help you manage your finances and keep track of where your money is going. It’s important to shop around for the right banking solution that best suits your specific needs.

Once you have decided on your banking provider, follow these steps to open a business bank account:

How to open a business bank account

  1. Choosing the right bank and account type

    Research and compare various banks and the types of business accounts they offer. Consider factors like fees, overdraft facilities, interest rates, online banking options, and additional services that could benefit your business, such as a business savings account or a business credit card.

  2. Preparing the necessary documents

    You will need several documents to open a business bank account in the UK. These typically include:

    • Proof of identity (e.g., passport, driving licence)
    • Proof of address (e.g., recent utility bill or council tax bill)
    • Business details (e.g., business name, address, contact information)
    • Companies House registration documents (for limited companies)
    • Partnership agreement (for partnerships)
    • Business plan (may be required by some banks)
    • Estimated annual turnover

  3. Completing the application

    Most banks offer the option to apply online, by phone, or in person. Choose the method that suits you best. Fill out the application form with the required information, ensuring accuracy to avoid any delays.

  4. Verification process

    The bank will verify your identity and assess your application. This process includes checking your credit history and ensuring your business meets their criteria. Be prepared for the bank to request additional information or documentation.

  5. Account approval and setup

    Once your application is approved, the bank will set up your account. You will receive your account number, sort code, and any necessary online banking details. Some banks may also provide cheque books and debit cards.

  6. Understanding and managing your account

    Familiarise yourself with the terms and conditions of your account, including any fees, charges, and the services included. Set up any required online banking and ensure you know how to use it effectively for your business needs.

Once you have opened your business bank account, make sure to monitor your account regularly. Ensure that all transactions are accurate and familiarise yourself with the banking services offered by your provider so you can make the most of them.

Remember to also keep all records related to business banking in a secure place for future reference.

What do I need to open a business bank account?

To open a business bank account in the UK, you’ll need several key documents and pieces of information.

Firstly, provide proof of your identity and address, typically through a passport or driving licence and a recent utility bill or council tax bill. You’ll also need to present detailed information about your business, including its name, address, and contact details.

For limited companies, registration documents from Companies House are required, while partnerships should provide their partnership agreement.

Some banks may ask for a business plan, especially for new businesses, and information about your estimated annual turnover.

It’s important to prepare these documents in advance to ensure a smooth and efficient account opening process.

What business bank account is best?

The best business bank account will depend on your individual needs. Before you choose a provider, take the time to compare different banking services and products offered by various banks.

Consider factors such as fees, interest rates, customer service, and online banking features.

Also consider your legal status, such as sole trader, freelancer or limited company.

Additionally, make sure to assess the terms and conditions of each bank account to ensure that it meets your specific needs.

How to close business bank account?

Closing a business bank account is not as straightforward as opening one. Before you close an account, ensure that all outstanding payments have been made and that no additional deposits are due.

Additionally, it is important to keep in mind that closing your business bank account may affect your credit score and other relationships with the banking institution. To close a business bank account, follow the steps below:

  1. Contact your bank and inform them that you would like to close the account.
  2. Provide all necessary documentation such as a letter of request, proof of identity, and details about the account closure.
  3. Sign any required paperwork or submit documents online if applicable.

How long does it take to open business bank account?

The amount of time it takes to open a business bank account varies from one institution to another. Generally, the process can take anywhere from a few days to several weeks depending on the complexity of your application and the documents you need to provide. For example, if you are applying for an online banking solution, approval may be granted within a few days.

Compare ⓘ


Business Financed provides general information, but not financial advice. Always speak to a qualified expert to get personalised advice for your business.

Advertising disclosure

We may be paid a commission by our FCA-regulated partners when you click on the links in our articles. This does not affect our independent journalism.

Learn more

You can learn more about how this website operates by clicking here.