Free Business Bank Account

If you are familiar with business accounts, you will probably be aware of the many account options available. Many of the business accounts available will charge fees, such as:

• A monthly fee for holding an account

• Transaction fees for card payments, electronic transfers, cash payments and cheque payments, both in and out of your account

• Transactions involving foreign currencies

• Getting change from the bank

However, we have good news! There are free business bank accounts available! Some business banks will charge for some of these facilities, while others could be completely free for your business. To find a free business bank account, the first step is to look at how you will use your account. Next, you should search for the accounts which do not charge for the transactions you make. For example, paying a small charge for your account each month could provide you with free business bank account transactions.

If you have compared accounts and found the perfect fee free business bank account, it is a simple process to open an account. For the online banks, the whole process is completed online.

If you are looking to open a traditional account, you will be able to open an account in branch or online. Although, once the online application form is completed, you will need to arrange an appointment to provide some key documents. At least one representative must sign a bank mandate to complete the account application.

Whichever account you choose, you will need to provide proof of ID and proof of address. The documents need to be provided for each company director or shareholder. To speed up the application form it can be useful to have the following available:

• A passport, ID card or driving license to prove your identification

• A utility bill, bank statement or council tax statement to prove your address

If you are not a UK resident, it may still be possible to open a free business bank account in the UK. In recent years many banks have provided greater flexibility to non-UK residents which need to open a UK account. By discussing the situation with the bank, they may provide a list of other acceptable forms of ID.

You will also need to provide some key company information:

• The full business address

• Your contact details

• For limited companies and partnerships, the Companies House registration number

• The estimated annual turnover

• For accounts which require a credit check, you may be required to show proof of your personal financial situation

Once you complete the application, the time it takes to open the account will depend on the individual bank. For example, some accounts will be open in less than 7 days, while others could take several weeks.

How do business banking switches work?

If you are searching for free business banking for existing businesses, you will probably be looking for a switching service. Many people are worried about moving bank accounts, as they are concerned that it may be difficult. However, the new bank will manage the whole process so switching to a free business bank account is very simple.

There are many banks which are members of the current account switch guarantee scheme, that promises that your account will be switched within 7 days. Although, it is possible to choose an exact transfer date. The bank will move everything across, including your regular payments. Once complete, your old bank will pass any accidental payments across to your new account for up to 13 months.

To use the switching service, you will need to provide details of your old bank account and the ideal switch date. Once the switch is complete, all you need to do is update your bank details on your business invoices and any parties who sends payments to you.

If you would like to discuss any of the free business bank accounts listed on our website, our team are available to help, contact us today.