Do I need a business bank account?

[balaplus]

I was wondering if incurring company expense on a personal cahback credit card and reclaiming the expense make sense...

[Ardesco]

Yes..but you do miss out on cash back options that you get with personal credit cards

A company Visa debit card is not a credit card.

[balaplus]

Abbey National Business are good.

Make sure you open two accounts: normal business account and a business reserve account. Save yourself the hassle of filling out two forms.

You should also apply for a company Visa debit card as soon as you're able. This will save on paperwork when buying things through the company (don't have to claim it back and put it on form P11D).

Also get a business mobile phone

Yes..but you do miss out on cash back options that you get with personal credit cards

[Ardesco]

Cater Allen is the way forward. I have a LLoyds account and while it all started out great the bank charges keep going up, I constantly have them on the phone trying to offer me loans that don't want and I don't even know who my business account manager is any more. The only time I have talked to her was to ask for a £1000 overdraft to be set up just in case I needed to dip into it when I was buying some equipment for plan B because I hadn't been paid by an agent and she refused, but offered me a £10,000 load instead .

I mean £1000??? Do any contractors bring in less than £1000 a week???

I'm in the process of moving everything across at the moment and cater Allen have been a breath of fresh air, phone banking at silly hours, lots of postage paid envelopes so I can send off cheques to them without having to find time to stop off at a branch, etc.

Definetly worth a look (And you can get the account fee's taken off if you have under £5000 in the account if you apply throug CUK)

[Jason]

I was going to open Abbey business accounts when I started up, but they bolloxed me around for so long I said stuff it, talked to Lloyds TSB and had both opened next day.

[swamp]

Abbey National Business are good.

Make sure you open two accounts: normal business account and a business reserve account. Save yourself the hassle of filling out two forms.

You should also apply for a company Visa debit card as soon as you're able. This will save on paperwork when buying things through the company (don't have to claim it back and put it on form P11D).

Also get a business mobile phone

[balaplus]

Barclays have an attractive Instant Access Savings on business accounts..

Getting a good manager ... hmm.... not sure about it!

[fzbucks]

Plus, you'll surely be getting paid NET interest. Business Banking is Gross.

correct

[KevinT77]

I am entering the contract market and am ready to set up a limited company.

Am I required to use a business bank account to manage the company finances or can I set up and use a new (personal) current account with my current bank?

Thanks
Tim

Barclays are very good if you get the right manger.

[rawly]

when i first started I created an online saver account - named the same as the company and gave the sort code account number and name to agency - they paid into it - I managed it just by doing transfers to my current account - did this for ever a year.

As far as I am aware there is no rule that says the bank account must be a "business" account.

Plus, you'll surely be getting paid NET interest. Business Banking is Gross.

[malvolio]

when i first started I created an online saver account - named the same as the company and gave the sort code account number and name to agency - they paid into it - I managed it just by doing transfers to my current account - did this for ever a year.

As far as I am aware there is no rule that says the bank account must be a "business" account.

Dunno if it's an actual law, but ISTR the bank will not be happy if you are using a personal-style account for business purposes. They have different risk profiles and have to meet different regulatory requirements on things like disclosure.

[fzbucks]

when i first started I created an online saver account - named the same as the company and gave the sort code account number and name to agency - they paid into it - I managed it just by doing transfers to my current account - did this for ever a year.

As far as I am aware there is no rule that says the bank account must be a "business" account.

[BrowneIssue]

Most (all?) agencies will only pay into a business bank account.

[Crossroads]

The former.

For lots of reasons, not least:

1. Company money is just that. It is not yours.
2. Payment will be made to your company, not you personally, (so depending upon the payment method) payee name and bank account name will need to match!

[timmyc]

I am entering the contract market and am ready to set up a limited company.

Am I required to use a business bank account to manage the company finances or can I set up and use a new (personal) current account with my current bank?

Thanks
Tim