Compare Business Bank Accounts

Find The Right Business Bank Account Today. Compare rates, fees & overdraft deals from a range of banks. 

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Types of Business Bank Accounts

There are close to six  million private sector businesses in the UK, if you run one of them then you will almost certainly need a business bank account.  We have a range of competitive accounts which you can compare in seconds without the nonsense. You’ll typically have a choice of six types of accounts.

Free business account

No monthly fees
Customer support by app
No Charges for UK Payments

small business account

Ideal for small businesses
Usually a free banking period
Access to overdrafts
Integrates easily (usually)

start-up account

Ideal for new businesses
Great for self employed
Usually lower fees/charges
Free banking period (usually)

high volume account

Perfect for those processing high volume
Allows more deposits & withdrawals
Better value for transacting a lot.

traditional business account

Offered by all banks
Access in branch services
Business Support & Advice (usually)

foreign currency account

Conduct business in different currencies with less charges.
Available for most currencies.
Usually* exempt from exchange rate fees.

What To Look For When Comparing Business Bank Accounts

There are close to 6 million private sector businesses in the UK, if you run one of them then you will almost certainly need a business bank account.  We have a range of competitive accounts which you can compare in seconds without the nonsense. You’ll typically have a choice of six types of accounts.

fees and charges

Does the account have a monthly fee? Also, compare fees and charges for things like debit card use, cash withdrawals, and deposits.

overdraft

An overdraft can help your business to manage short-term cashflow challenges. Compare overdraft terms as many banks offer 0% or low-cost overdraft facilities.

interest

Does the account pay interest if you maintain a positive balance? If your firm is in the black, look for an account that rewards you for this.

service

Many low-cost business current accounts are managed through an app or online. Does this work for your firm, or do you need in-branch support?

transactions

Some accounts levy fees if you exceed a certain number of transactions over the course of a month. If you make regular payments or withdrawals, look for an account that supports this.

support

Does your business current account integrate easily with your accounting software, like Xero or QuickBooks? And can you easily access support from a business banker if you need it?

how to compare business bank accounts

1

Compare offers from providers

Use our search to see great business bank account choices from trusted providers

2

Filter your search

Use the helpful filter to find the accounts that offer the right benefits for you. Easily compare fees, interest rates, overdrafts and other important features

3

Apply online in minutes

Click through and apply online in minutes. You’ll need a valid identity document, a valid proof of address for both you and your business.

Finding The Best Business Account For Small Businesses

CHOOSE_A_BUSINESS_BANK_ACCOUNT

Don't Give Yourself a Headache.

The right bank account can make managing your small business much easier. Whether you’re just starting out or already established, a well-chosen account should be simple to use, cost effective, and tailored to your needs. Here are five key things to look out for:

1. Accounting Integration Choose an account that works with software like Xero or QuickBooks. This can save time on bookkeeping and make tax season far less stressful.

2. Customer Service Think about how you prefer to bank. Do you want a fully digital experience, or would you value access to branch support when needed?

3. Overdraft Facility If managing cashflow is a concern, look for an account that offers a 0% or low-cost overdraft to provide a bit of breathing room.

4. Fees Keeping costs down matters. Compare monthly charges and transaction fees – many banks offer competitive deals for small businesses.

5. Security Make sure your money is protected by the Financial Services Compensation Scheme (FSCS), which covers deposits up to £85,000. Taking the time to compare accounts now can help your small business stay financially healthy in the long run.

Pros & Cons of Business Bank Accounts

Reasons why a bank account is a great choice

1. Keeps business and personal finances separate
Separating your finances makes bookkeeping easier, helps with accurate tax reporting, and can reduce personal liability – particularly if you operate as a limited company.

2. Builds your business credit profile
A dedicated account helps establish a credit history for your business, which could be valuable if you need to apply for finance or credit in future.

3. Enhances professionalism
Using a business account for payments and invoices helps you appear more credible to clients, customers and suppliers – it shows you’re serious about your business.

4. Access to specialist support and tools
Many banks provide added services to business customers, including accounting software integration, invoicing tools, and expert advice to help you manage and grow your business.

Things to think about before opening a business account

1. Added costs
Business accounts often come with monthly fees, transaction charges and other service costs, which can be higher than a standard current account.

2. More admin to manage
Running an additional account means more paperwork – including separate statements, cards, and logins – adding to your financial admin.

3. Low or no interest on balances
Most business current accounts offer little to no interest on positive balances, so they’re not ideal for earning a return on surplus funds.

4. Not always legally required
If you’re a sole trader, there’s no legal obligation to have a separate business account. Depending on your setup, you might find a personal account still meets your needs – though it’s rarely the best long-term solution.

Frequently Asked Questions

Most frequent questions and answers

A personal bank account is used to manage your individual finances, such as receiving your salary, paying household bills, and covering everyday expenses.

A business bank account, on the other hand, is designed to handle the financial activities of a business. This includes processing payments from customers, paying suppliers, managing payroll, and tracking business-related expenses and invoices.

Keeping your personal and business finances separate provides greater clarity and simplifies financial management. It also makes accounting and tax reporting much more straightforward, helping you stay organised when dealing with income tax, corporation tax, and VAT.

In addition, if you operate as a limited company, most banks will require you to open a dedicated business account. Even for sole traders, having a business account can improve professionalism and credibility when dealing with clients and suppliers.

Yes, most business bank accounts charge a monthly account fee. You may also incur additional charges for common transactions such as card payments, cash deposits, withdrawals, and bank transfers.

Some providers offer business accounts with no monthly fee, although these accounts often come with limited features or usage restrictions. Many banks also provide an introductory period of free banking, typically lasting between six and twelve months. After this period, standard fees usually apply.

When choosing a business bank account, it is important to look beyond the headline costs and consider which services are included, to ensure the account suits your business needs effectively.

Yes, you can. Simply use our comparison service to find the business account that best suits your needs, then apply online.

To help speed up the process, make sure you have the following documents ready, as they are commonly required during the application:

  • A valid form of identification, such as a passport or driving licence

  • Proof of address for both yourself and your business, such as a utility bill dated within the last three months

  • Your Companies House registration documents, if your business is a limited company

Having these details to hand can help ensure a smooth and efficient application process.

While it’s not a legal requirement for sole traders to have a business bank account, it is highly recommended. Keeping your business finances separate from your personal funds makes it easier to manage cash flow, track expenses, and prepare for tax returns. It also presents a more professional image to clients and suppliers.

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