You’ve developed your business idea, you’re business plan is ready to go, and there’s work lined up in your calendar. If you’ve not yet thought about where you’re going to keep your income then now’s the perfect time. We take a look at the best small business bank accounts there are to help you take the next step.
The small business startup has a number of choices available to them and naturally they will want the best bank account for a small business. One of the concerns of a brand new start up is affordability. It’s likely there won’t be an incredible amount of money in the coffers – especially if there are not even any coffers yet – therefore, most startups will be looking for a period of free banking, that means not being charged for transactions.
It might be worth trying a start up package thats available to businesses that have been trading less than a year and have an annual turnover of under £1 million. In accounts like these there’s not usually a credit card fee for the first 12 months and you can arrange for a fee-free overdraft should you need it. Of course, one of the main attractions is the 18 months’ free banking, which will help you make the most of your income in those early days.
Small and middle-sized enterprises will be looking for similar benefits to the microbusiness. Start up and SME accounts offer similar benefits to those above. Some banks facilitate new businesses with support of business matters, offering financial health checks or guidance for the fledgling entrepreneur.
If your new business has really hit the ground running, it’s possible you need to raise some funds to help you along to the next stage of your business’ development. A fast and flexible small business loan can assist. Good lenders will offer you advice and guidance from professional business managers, to help you to make an informed decision about the process and ideally you’ll be looking for a loan from a lender that won’t charge you an arrangement fee. Some lenders enable you to borrow amounts from £1,000 to £35,000 at a fixed rate, so you can plan effectively for the monthly repayments. Terms vary from a year to 10 years and are suitable for most types of new businesses from small to medium businesses, to sole traders, partnerships and limited companies.
Of course, not all startups are in the business of making profit. A number of organisations and enterprises are not-for-profit organisations, but nevertheless these still require robust financial planning and sometimes the support and investment that helps them to thrive. Charities and non-profits can take advantage of ‘community accounts’ . Organisations that might make use of these accounts could be clubs and societies, voluntary organisations, charities and charitable incorporated organisations to name a few.
Good community accounts give customers a cheque book and paying in book as standard, along with monthly statements and the option for online banking and a debit card. Some accounts are free, subject to the status of the organisation, as long as annual credit turnover across accounts does not exceed a certain amount.
All that remains once you have found the ideal business bank account is to keep business ticking over. Your business or organisation needs more than just money to keep it healthy: time, enthusiasm, and effort are all essential ingredients. Look after your investment by ensuring you have the right level of insurance cover. Contact us for a quote today.