How to open a business account in UK?

2 years ago   •   .4 min read

.By Laine Redpath
.Table of contents

If you are running a company or self-employed business in the UK, then you need to have a business account. Opening a business account is not particularly complex or difficult, but there are some important things to know and consider before you set out trying to apply for one as it can become time-consuming and even frustrating if you’re not prepared. In this article we will explain what documents you should provide and how to open a new account.

This article highlights the importance of having a business account in the UK, provides useful tips on what documents to prepare and how to open a new account.

Why do you need a business account in the UK?

If you are running a company or are self-employed with a business in the UK, it is important to have a business account. Some smaller and micro business owners do try to run their business through their personal accounts but this can be problematic for a number of reasons, not least of all tax reasons! Among other things, you can use a business account to:

  • Transfer money from your personal account to your business.
  • Pay your suppliers and employees through the same account.
Keep your personal and business bank account separate
Separate your business bank account from your personal account. For detailed information about business bank accounts, read the wamo blog.

3 things you should know before opening a business account

  • Know the features of the business account
  • Know about the charges for using the business account
  • If you’re a non-resident, know whether you’re eligible for an account

Which institutions provide the best business accounts in the UK?

This is a tough question to answer as there are so many options in the UK. Generally the traditional ‘high street’ banks tend to have more draconian restrictions and processes that challenger companies have been able to solve for and offer easier access as a result. Then there is the option of choosing between licensed challengers (like Revolut), that again tend to be slightly restrictive by their licence and financial solution providers (like wamo) that are able to be more flexible while still being as secure. So there is no lack of options but the benefits of choosing one can vary depending on what type of business you have and what your goals are. The key is to choose a business account provider that is accessible to you and your circumstances (for example if you’re a non-resident of the UK) and that suits your needs as well as possible. There are many different kinds of business account providers available in the UK, so it pays to spend time researching which ones will be right for you and your business.

How to open a business account in the UK from abroad?

If you would like to open a business account in the UK from abroad, you will need to complete a ‘Business Banking Application Form’. This form requires information about your company or self-employed business details, personal details and passport details as well as your address in the UK. The application form can be obtained from any Lloyds Bank branch and should be completed by someone who is authorised to sign on behalf of your organisation. Once submitted, the information in the form will be used to run a credit check and then issue an alert with a fraud prevention department to ensure that all applications are processed correctly.

Required documents to open a business account in UK

To open a business account in the UK you will need to provide the following documents:

  • Passport (as well as a copy of it)
  • Proof of address
  • Bank statement(s) from the last three months showing an active account.
  • Proof of income - salary slips or contract.
  • Proof of capital - business plan, financial statements and details about loan or grant applications made by you/your business.

Open your business account with wamo just in 10 minutes!

If you are looking for a fast, secure business account, why not try wamo? wamo makes it possible to easily open a business account in the UK, wherever you currently are. It takes just 10 minutes to register and you can be up and running with a full-service business account within 24 hours.

Opening an account with wamo takes the unnecessary paperwork, and time wasting out of the equation. It also means that you don’t have to go to a physical location in order to open an account. What’s more, it’s possible to open multiple accounts with either EUR and BGP IBANs so you can really take your business further without paying exorbitant international fees. Download wamo app from Google Play and App Store - better business is waiting for you.


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