What’s the fastest way to open a business bank account?
A separate business account is a good way to keep professional earnings apart from your personal everyday spending – making it easier to track your profits and loss, and to total up your expenses when it comes to filing your tax return.
So when you’re setting up a new business, it’s normal to set up a new business account specifically for that venture, even if you already have another business account for other professional income.
But it can be a long process to get a business bank account with a high street bank, especially if you don’t have an order book for your new venture yet, or you haven’t drawn up a formal business plan with earnings forecasts for up to five years.
If you’re just starting out with a new idea and want to track its finances separately right from the start, you might want to open a business account as quickly as possible – so what are the ways to make it faster?
Business banking with your current account provider
It’s often easier to open a business bank account with your current account provider, especially if they think you might be trying to run professional accounts through your personal bank account.
This usually sounds the alarm bells for the high street banks, as they like you to manage personal and professional finances separately – they might even suggest a business bank account to you, without you having to ask.
But it limits your choice, as it means you can’t shop around for the best business bank account, and this can leave you paying whatever transaction fees your bank chooses to charge you, no matter what they are.
It’s also a sign of how the high street banks like to give you more and more business accounts, savings accounts, credit cards and loans, making it more difficult for you to move your banking somewhere else.
The 3-minute Arro Business Account
If you’d prefer to take your business finances elsewhere – recognising that the best high street bank for current accounts might not be the best business bank account provider – the Arro Business Account is worth considering.
Arro Money is not a bank, but an electronic money services provider, which means we do things differently. Our application process takes place entirely online, with just a quick Fair Fit test of eligibility – no need for lengthy meetings with a business banking advisor, as you might experience on the high street.
You can apply and get an Arro Business Account in just three minutes, and we only need your name, company name if you have one, UK trading address and date of birth, plus the contact details to send you your account information.
There’s no credit card, business loan or overdraft, so your credit status does not matter – we will not reject applications based on financial status, and we will not access your credit file at all.
A separate business account fast
There can be benefits to having your personal and business accounts with the same provider, so if you prefer, you can open an Arro Personal Account to use as your current account and an Arro Business Account for professional purposes.
Each account comes with a sort code and unique account number to receive payments, the Arro Money online dashboard to make Faster Payments and Direct Debits (not currently available, but it’s coming soon!), and a MasterCard® debit card – in the case of Arro Business Accounts, this is a designated Business MasterCard® so it looks even more professional in use.
To qualify for either type of account, you must be over 18 and currently live in the UK. There’s a quick check that you meet our Fair Fit criteria, but we promise to accept everyone we can – and for an Arro Business Account, you should be in business, but it’s fine if you’re a sole trader.
What about business account fees?
We publish our fees list upfront so you can always see what you will be charged for a particular transaction, and in some cases there might be no fee for a transaction at all.
Arro Money want you to be able to manage your money in an informed way – so we never hide our transaction fees from you.
You can always check the current list of fees online or in your account terms, and we work hard to make sure that the overall cost of running business finances through an Arro Business Account stays as low as possible, so you keep as much of your profit as possible.