In today’s digital age, finding the best online-only business bank account can be a game-changer for your business. These accounts are perfect for businesses that don’t require branch access and prefer to manage their finances online and through an app. With numerous options available in the market, it can be challenging to determine which online-only business bank account is the best fit for your needs. To help you make an informed decision, NerdWallet has ranked the top online-only UK business bank accounts based on essential criteria such as low monthly fees, easy account access, quick account set-up, and the ability to deposit cash and cheques.
The list exclusively features providers that are digital-only, meaning they do not have physical branch access. One of the top contenders is the Virgin M Account for Business, catering to businesses with a turnover of less than £1 million. This account offers free day-to-day online business banking for all your everyday needs.
Among the top 10 best online-only business bank account providers, Monzo Lite Business Account stands out. This account has no monthly fees and offers free basic transactions. While being online-only, Monzo allows cash and cheque deposits, with a small fee for cash deposits. Additionally, a small overdraft of £2,000 is available to Monzo customers with no annual fee. However, the overdraft is restricted to sole traders. Integration with third-party accounting software is available with Monzo’s paid accounts.
Another notable provider is Starling, offering a single account with no monthly fees or charges for basic UK transactions. Customers can access a sizeable overdraft of up to £50,000 with Starling, along with integrated accounting software from Xero, QuickBooks, and FreeAgent.
Mettle’s business account is completely free, with no monthly fees or transaction charges. Cash deposits can be made at the Post Office, but cheque deposits are not supported. Mettle does not offer overdrafts or loans to business customers, but it allows integration with accounting software from FreeAgent.
Allica Bank’s Business Rewards Account is an online-only option with no monthly fee and free basic UK transactions. While cash and cheque deposits are not available, Allica Bank offers business loans of up to £10 million and integration with accounting software.
Tide Business Account offers a choice of four different business bank accounts, including a Free account with no monthly fee. Cheque deposits can be made via the Tide app, but cash deposits come with a fee. Tide does not offer a business overdraft, but it provides lending options and integration with accounting software.
Zempler Bank’s Business Go account is available with no monthly fee, though transaction fees apply. Cash deposits can be made at the Post Office, but cheque deposits are not supported. Zempler offers a modest business overdraft and integration with accounting software.
SumUp offers a free online business bank account with no monthly fees and free basic UK transactions. However, cash and cheque deposits are not supported. SumUp does not offer a business overdraft but allows integration with accounting software.
ANNA Money’s Pay As You Go account charges no monthly fee and offers free basic UK transactions. Cash deposits carry a fee, and cheque deposits are not possible. ANNA Credit allows customers to draw down from a pool of credit up to £10,000.
Revolut’s Basic account has no monthly fee, but local transfers come with a fee. Cash and cheque deposits are not supported, and no borrowing options are available. Integration with accounting software is possible with Revolut.
CountingUp offers tiered pricing based on monthly deposits, with transaction fees for all transactions. Cash deposits can be made at the Post Office, but cheque deposits are not supported. CountingUp does not offer overdrafts or loans but provides built-in accounting software.
When choosing the best online business bank account, consider factors such as branch access, FSCS protection, fees, transaction types, deposit options, international payments, borrowing options, and multiple user access. Opening an online business bank account is a straightforward process that involves selecting the best account for your needs, gathering necessary documentation, filling out an application form, and waiting for approval.
Switching business bank accounts online can be simple if both your old and new banks are covered by the Current Account Switch Guarantee. Pros of online business accounts include easy application, innovative features, and convenient access, while cons include lack of branch access, limited deposit options, and reliance on apps and websites.
In conclusion, online-only business bank accounts offer a range of benefits for modern businesses. By choosing the right account that aligns with your business needs, you can streamline your financial management and enjoy convenient access to essential banking services.
