Why you need a business bank account

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When you start a business, there are so many exciting things to focus on from getting the word out there and building your website to choosing the perfect business name. The admin side of setting up a business can drop to the bottom of the list but it’s important to get that right from the outset

That includes opening a business bank account. For a start, a business bank account will allow you to keep all your business transactions separate from your personal spending. This can be invaluable when it comes to tackling your end of year accounts and completing your tax return as you’ll be able to clearly see what were business expenses that you can potentially claim for.

There are other practical considerations to bear in mind. A business bank account will allow you to process salary payments, receive credit and debit card payments, carry out transactions in foreign currencies and do credit checks on potential business partners and suppliers.

You may also want to consider the appearance of your new company. Providing customers and suppliers with a dedicated business bank account rather than your own personal account details can help your business look more professional from day one.

What to look for in a banking partner

Most banks will offer a suite of core services and products that will allow you, for example, to run your business on a day-to-day basis, make and receive payments, arrange an overdraft, and so on.

However, your bank should do more than simply provide basic products – it should be a true partner to your business as it grows. Competitive rates and excellent products are important, but your bank should have a real understanding of your business, the industry you’re operating in and the challenges you may be facing.

Committed to playing an active role in your business ambitions, your bank should be able to provide insight and advice on key business issues as well as helping you make the connections you need to prosper and grow. Running a business can be quite lonely so your bank should give you access to a network of fellow business owners where you can share your experiences and learn from your peers.

How a dedicated bank account can support your business

Life as a business owner is fast-paced and non-stop, so an account that you can use on the go, with the information you need at your fingertips can be useful. It’s all about convenience, ease of use and being able to do your banking wherever your business takes you.

HSBC Kinetic brings you more than just a business bank account – it aims to make business banking simpler and faster, giving you the freedom to run your business. It’s designed around the small business owner and alongside the features you’d expect such as making and receiving payments, and managing standing orders, it also gives you control of your business finances with categorised spending and cash flow insights. HSBC Kinetic also offers customers a little help to kick start their business, by teaming up with some great partners that offer everything from discounted broadband to inspirational office space. Full details available in the HSBC Kinetic app.

You can apply for a new business account in minutes with HSBC Kinetic. So if you’re a sole trader or single director shareholder limited company, find out more at business.hsbc.uk.

Simply download the HSBC Kinetic app and apply in minutes. With most accounts opened in 48hrs.

HSBC Kinetic is subject to eligibility and Credit Check. Terms and conditions and fees apply.

This article was written as part of a paid-for advertising content campaign with HSBC.

Read more

5 benefits of using a business bank account over a personal account

Related Topics

Small Business Banking