Business Banking: Who Qualifies and What You Get
Learn how to separate your professional and personal finances using a business bank account in the United Kingdom.
Business banking allows you to set up a dedicated account specifically for your professional transactions. This helps you keep your work money separate from your personal money.
Who it's for
This is for individuals operating as sole traders or for those running limited companies.
What you get
Opening a business account provides a clear separation between your personal and business finances. This makes it easier to track your professional income and expenses.
What it costs you
Many providers offer the account for free for the first 12 to 24 months. After this introductory period ends, you will typically have to pay monthly fees.
The catch to know
You should avoid using a standard personal bank account for your professional activities. Doing so can lead to your bank closing your account.
How to apply
- Decide whether you are operating as a sole trader or a limited company.
- Compare different banks to see which monthly fees and features suit you.
- Gather your identification and business registration details.
- Apply through the bank's website or visit a branch.