Being your own boss offers the freedom and flexibility to make your own decisions. That includes making informed choices about banking.
Top of your to-do list is deciding if entrepreneur you needs to open a business current account. It sounds tricky but if you want to save time, money (and your sanity) the answer should probably be yes.
Here are some reasons why:
1. It’ll ease your HMRC headache
HMRC needs to know how much money your business is making. Keeping things separate to your personal bank account will make completing your quarterly VAT returns, annual tax returns and expenses a breeze.
2. It looks more professional
First impressions are vital in business. You’ll look a lot more credible to clients if they are paying into a dedicated account in your business name.
3. You might be required to by law
If you are operating your business as a limited company (rather than as a sole trader) you are required by law to open an account to keep its finances separate from your personal ones.
Things to look out for
So now you know the benefits, how do you choose a business current account that will work for you?
1. Watch out for hidden costs… and add-on fees
Banks may offer you a great deal on a business current account, but most will start charging you after an initial free trial – so shop around.
Tide offers no monthly fees and free purchases on the Tide Mastercard at home and abroad, and transfers cost just 20p.
2. Eliminate admin… from day one
Form-filling is time-consuming and tedious, and there are more important things you could be doing to get your business off the ground.
Tide understands this, which is why you can get your sort code and account number in minutes. We also automatically categorise your transactions and can create and pay invoices with just a tap to help you out.
3. Opt for flexible features… which grow with you
As your business evolves, you need a current account that will continue to innovate.
Tide’s nifty tools currently include categorising of payments and expenses in real-time and new features such as full-team access and international currency accounts on the way.
And have a safety net… just in case
Banking with a fully secure and FCA-regulated organisation is a no-brainer.
But Tide goes even further by offering in-app support 24/7, and vibrant online community of users who already prefer doing things the Tide way.
Get started with modern business banking
Tide gives you an account number and sort code in just five minutes
If you’re just starting out on your own, we’re ready and rooting for you. And if your business is already up and running, just try us out alongside your old bank account.