UK Bank Account
UK Business Bank Account Opening Service
Europe offers an abundance of business and investment opportunities which many people like to tap into by incorporating a business in the same region. Companies that incorporate in Europe have the opportunity to access a 500 million consumer market for their goods and services.
For these reasons, the UK has become one of the most popular regions to incorporate a new business. For these opportunities to be fully utilised, the business will need to run as efficiently as possible. Business transactions will need to take place quickly and efficiently so that your business is not put on hold while waiting for technicalities to sort itself out. One of the simplest ways to achieve a higher level of efficiency is to open a bank account in the same jurisdiction as your business.
Advantages of a UK Bank Account
- The UK has some large and well-established banks that span globally which potentially allows your business to engage with a broader audience.
- Most banks in the UK are familiar with UK incorporation policies and will have many account types suited for companies established in the UK region.
- UK banks will ensure that all your business records are organised so that you can access them quickly in case you ever need to refer to them.
- Most businesses take payment from customers via credit and debit card. Having a UK business bank account will allow you to facilitate these transactions and ensure they are completed securely.
- Making use of a local bank for your business enhances your relationship with the bank making it easier to apply for business loans if needed.
Eligibility to hold a non-UK resident bank account
- There can be confusion when it comes to setting up a UK business bank account, primarily as a non-UK resident. While it is possible to open a bank account in the UK region as an international client of the bank, there are still specific guidelines that one must follow so that the bank can approve your account application:
- The number one priority for every bank in the UK is compliance. They have to ensure that no business bank account is being used for illegal activities such as money laundering. This is why the bank account opening process might be scrutinising.
- Leaving a substantial amount of funds in your business bank account will further prove that you are serious about your business and that the business account will only be used for business transactions.
- Having one or two main contacts at the company will make the process simpler rather than having various points of contact within the incorporation.
Business bank accounts for non-UK residents
There are two options available to open a business bank account for non-UK residents. The type of bank account that you opt for will depend on how frequently you are willing to travel to the UK as well as the nature of your business transactions. The two options available are a UK Virtual Bank Account and a UK High Street Bank Account.
A virtual UK bank account acts as a standard bank account at a basic level. There are a few banks that offer this option and is often an excellent solution for businesses. A UK virtual bank account will give you a UK bank account number, sort code and IBAN. You will be able to use this bank account to receive payments in GBP via credit card or bank transfer. You can use this account to connect to HMRC to pay taxes, as well as receive payments from marketplaces like Amazon. You will also have the option to send payments through bank transfer, use ATM cards, or withdraw funds to your local bank account in your country. There are, however, certain restrictions to a UK virtual bank account and it may not be offered to high-risk countries.
A UK high street bank involves opening an account with a bank such as Lloyds, Barclays, or HSBC. You will need to physically visit one of the bank’s branches to submit the relevant documents to open a business bank account.
Requirements for a UK Bank Account
The procedure for opening a new business bank account is mostly the same for all banks. The documents which are usually required are:
- Proof of ID for all company directors, which includes passports, driving licenses, and national ID.
- Proof of address, such as a recent utility bill, bank statement, or council tax statement.
- Full business address including the postcode.
- Contact details of an official representing the company.
- Companies House registration number (only required for limited companies and partnerships).
- Estimate of annual turnover for the company.
- In some cases, the applicant’s personal credit history might be necessary to prove that they are risk-free and that they have a clean credit and banking history.
How More Group can help you
More Group has successfully helped several clients establish a business as well as helped them open a business bank account in the UK.
We will assess your business type and make the best recommendation for you regarding bank choice, bank account type, as well as the best offers available for your business.
Contact us now to book your free consultation.