UK - Business bank account really?
- Started
- Last post
- 8 Responses
- iGin
Hi,
I am London based freelancer. In addition to create my limited company (instead of working under an umberlla one) I've been told that I need to open a secondary bank account to not mix my personal expenses with those related to my business.
Does that secondary bank account have to absolutely be a 'business account' or any 'normal' account will make it? According to my bank (HSBC) there's a difference and a business one is legaly required.
Is that right?
- monoboy0
Yes.
Get yourself an accountant or lawyer to help you with this. Setting up a limited company requires a lot of paperwork and hassle, taking our eye of the creative. Pay somebody to sort it for you if you can.
- kingkong0
Yes.
Setting up a HSBC business account is pretty simple. They are pretty much the best deal as they have no fees for a year etc.
- microkorg0
+1 to both suggestions above.
- Wolfboy0
Do this properly and you'll never look back. I work through my own limited company, I have a business bank account and I pay an accountancy company a monthly fee to deal with my paperwork. Set yourself up like this and you'll never look back.
I can recommend both of the following:
Bank: Cater Allen
Accounts: March Mutual - they don't have the most personal relationships but they have some excellent online tools that really help you stay on top of the business side of things (it never gets in the way of the day to day creative stuff). I believe they do help set up ltd companies too, although I already had mine so I can't vouch for this service.
- microkorg0
LIke wolfboy said, get a good accountant with online tools for accounting, do your own accounts as you go along. you can see all your ins and outs whenever you want and keep track of if you are making money or not! ;)
- iGin0
Cheers guys!
- fadein110
Why a limited company?
But yes if Limited you need a proper business bank account not a personal one. The money is the companies not yours (although is really of course).