15 Best Free Business Bank Accounts (2024)

15 Best Free Business Bank Accounts in 2024

·Updated 21/02/2024·

If you're looking to keep your overheads down a free business bank account can help do just that. Since account and transaction fees add up, choose from accounts that offer free periods, free plans or no fees at all for a cheaper banking experience.

Find the best free business bank account from the UK's top high street and online challenger banks and see how much your business could save.

Tide Business Current Account

Digital business bank account with no monthly fees, pay for what you use
Dedicated to freelancers, sole traders & limited companies
Get a £50 voucher with code £50VOUCHER when you sign up (T&Cs apply)
Charge 20p per transfer, in or out, & ATM withdrawals cost £1, while card payments are always free
Hold up to five business accounts, get cashflow insights & access business loans, if eligible
Create, send & track invoices in-app
Try Tide Accounting free for two months or integrate other popular software
Access to company name check services, virtual office address & company formation for £9.99
Tide is not a bank, they offer e-money accounts & FSCS-covered accounts provided by ClearBank

Website Read our in-depth Tide review

Cashplus Business Go

Online free business bank account with no credit checks & fast opening
Available to freelancers, sole traders, SMEs & growing businesses
You'll get three free transfers each month, then they cost 30p each
UK cash withdrawals cost £2, while withdrawals abroad cost £3
Card payments are free but your first card will cost £9.95, any additional are £5.95 each
Cash can be deposited at any Post Office branch for a 0.5% fee
Integrate with accounting software, schedule payments, categorise spend & capture receipts all online
And you register your company for free if you're a new business
Full UK bank offering FSCS protection, up to £85,000

Website Read our in-depth Cashplus Bank review

Allica Bank Business Rewards Account

Free business bank account with cashback & high interest savings pot
Available to businesses that have are at least a year old & have balance of £50k, or a business loan with Allica
There are no monthly fees & transfers are free
You'll get 1% cashback on card payments, 1.5% once you spend over £10k in a month
You won't be able to deposit cash or cheques
Manage online or by mobile app with multiple director access
Get a dedicated relationship manager to help with any banking needs
Earn 4.33% AER variable with their integrated instant access savings pot
Fully licenced bank with FSCS protection up to £85,000

Website Read our in-depth Allica Bank review

Revolut Business Basic

Free account for companies & freelancers available with restrictions
Send five local payments for free per month, 20p each thereafter
No charge for sending money to other Revolut accounts
Manage the account 24/7 online, via the web or mobile app
Rated 4.2 stars out of 5 on Trustpilot
Hold & exchange in more than 25 different currencies
Track spend in real-time & automatically categorise payments
Integrates with accounting software such as Xero or QuickBooks
Deposits are not protected by the FSCS, accounts are authorised by the FCA as e-money accounts

Website Read our in-depth Revolut review

Airwallex Business Account

Free online multi-currency account with lots of extras & perks
Get local accounts in 60+ countries to collect funds in 23+ currencies
No setup fees, monthly account fees or any hidden fees
Local transfers are free while SWIFT payments cost £10-£20
Which can be made to 150 countries in more than 40 currencies
All with access to market-leading FX rates, 24/7
Connect leading accounting software for full financial visibility
Have a TrustScore of 3.9 stars, out of 5, on Trustpilot
Deposits are not protected under FSCS, however Airwallex UK is bound by safeguarding requirements that ensure your funds are protected at all times

Website

ANNA Money Pay As You Go

Business account with no monthly fees, just pay for what you use
Local transfers cost 20p each & withdrawals cost £1
Completely free transfers to other ANNA accounts
Rated 4.6 stars on Trustpilot
Refund of month's subscription if support take longer than 10 minutes to reply within app
Multiple plastic & virtual cards, with 1% cashback, included
Instant payment notifications & expense matching
Built-in invoicing & accounting software
Not a bank, offer e-money accounts not covered by the FSCS

Website Read our in-depth ANNA Money review

Starling Bank Business Current Account

Award-winning free business bank account with no transaction or monthly fees
Made for limited companies & limited liability partnerships, including startups
Free sole trader account available too
Pay nothing for ATM withdrawals, both in the UK & abroad (ATM fees may apply)
Cheques are free to deposit in-app or by Freepost, but cash deposits come with a 0.7% fee at the Post Office
Manage completely online or using the mobile app
With multiple director access but does not support third-party access (accountants for example)
Awarded Best Business Banking Provider in Smart Money People's British Bank Awards 2023
Fully licenced bank, meaning eligible deposits are protected by the FSCS, up to £85,000

Website Read our in-depth Starling Bank review

Mettle Business Bank Account

Completely free business bank account, by NatWest
Made for sole traders & limited companies with up to two owners
Though only one owner can have account access at the moment
Separate balance limits apply for sole traders (£50,000) & limited companies (£100,000)
Get £50 back when you apply with code Mettle50 & make a deposit within 90 days
Use FreeAgent accounting software for free, or connect others
Create and send invoices straight from your phone
Online-only banking with desktop & app access
Full bank account protecting eligible deposits up to £85,000

Website Read our in-depth Mettle review

Monzo Business Lite

Free account available with restrictions like no access to exclusive offers or integrated accounting
No monthly account fee, only pay for usage
Enjoy free & instant UK bank transfers
Accounts for sole traders & limited companies
24/7 account management with their app
Get notified when you pay someone or someone pays you
Award-winning customer support from real people
Switch your account in seven days from your mobile
Eligible deposits benefit from FSCS-protection, up to a total of £85,000

Website Read our in-depth Monzo review

Virgin M Account for Business

Business current account with no monthly fee & free everyday online banking
Made for sole traders, partnerships & limited companies with an annual turnover less than £1 million
There are no fees for UK bank transfers up to £30,000
Nor are there for ATM cash deposits or cheque deposits via the app
Cash withdrawals & card purchase are also free, with 0.25% cashback on card spend
Categorise your business spend automatically & get free insights with M-Track dashboard
Integrate with popular accounting software for a full financial overview
Get three months of QuickBooks or Xero completely free
Eligible deposits are covered up to £85,000 for each business

Website Read our in-depth Virgin Money review

NatWest Business Current Account

Business bank account with no monthly fees & FreeAgent accounting software free
Available to those that turnover more than £1 million but have been trading for less than a year
Or those that turnover less than £1 million and have been trading for longer than a year
Online transfers & ATM withdrawals cost 35p each,
While manual & cash transactions cost 70p per item
All free for 24 months if you switch to NatWest or open their startup account
Bank online whenever with their award-winning mobile app
Access to a dedicated relationship manager & business experts
Also offer business savings, overdrafts & other finance options

Website Read our in-depth NatWest review

SumUp Business Account

Online business account with no monthly fees & free transfers
Receive three free ATM withdrawals each month
Online-only account managed through the web or mobile app
24/7 support available via email, phone or online chat
Contactless Mastercard with free transactions included
Manage expenses & track spending with the SumUp app
Access their suite of products to help accept payments or sell online
Create invoices easily with their integrated accounting features
Not a bank, nor are deposits covered by the FSCS, other safeguarding in place

Website Read our in-depth SumUp review

Royal Bank of Scotland Business Current Account

Business bank account with no monthly fees & FreeAgent accounting software free
Available to those that turnover more than £1 million but have been trading for less than a year
Or those that turnover less than £1 million and have been trading for longer than a year
Online transfers & ATM withdrawals cost 35p each,
While manual & cash transactions cost 70p per item
All free for 24 months if you switch to RBS or open their startup account
Reach your account anytime with online & mobile banking
Access to a dedicated relationship manager & business experts
Also offer finance options, business overdrafts & savings

Website Read our in-depth Royal Bank of Scotland review

The Co-operative Bank Business Current Account

Simple, free business bank account for sole traders & single directors
No monthly fee or any fees for digital transactions
As always, card payments are free & so are cash withdrawals
However, cash paid in or out costs £1.50 per £100, while exchanges cost £1.60 per £100
For every cheque issued or deposited it costs £1.50
Manage online, by secure messaging, by phone, in branch, or in-app
Get free integration with top accounting software
Offer a host of tools, guides & webinars for startups & growing businesses
UK bank offering FSCS protection on eligible deposits up to £85,000

Website Read our in-depth The Co-operative Bank review

OakNorth Bank Business Current Account

Free digital business bank account with automatic savings access when you open
Not much information online as the product is in beta at the moment
Sign up to the waiting list for exclusive early access
Available for businesses with complex structures or multiple SPVs
Earn Vault savings earns a variable 3.85% AER on idle funds
Deposits & interest can be reached in one working day
Access business loans, OakNorth have already leant over £10 million to UK businesses
Rated excellent on Trustpilot with a TrustScore of 4.8 out of 5
Covered by the FSCS, protecting eligible deposits up to £85,000

Website Read our in-depth OakNorth Bank review

What is the best free business bank account?

Here's a summary of what we think are the best business bank accounts with no monthly fees:

Best free business bank account overall: Tide Business Current Account · Free
Best free account with interest: Cynergy Bank Business Current Account · Free (for the first 12 months for new customers)
Best account with free period: NatWest Business Current Account · Free
Best for registering your business: Tide Business Current Account · Free
Best for established businesses: Allica Business Rewards Account · Free
Best for no credit checks: Cashplus Business Go · Free

What is a free business bank account?

A free business bank account refers to an account that doesn't charge a monthly fee, catering primarily to small businesses and startups. These accounts tend to offer basic banking services such as online and mobile banking, debit cards, and payment capabilities.

While they don't charge a monthly fee, free business accounts may charge fees for specific transactions like deposits and transfers.

Additionally, there are often limitations on the number of transactions allowed within a specific period, and exceeding these limits might incur charges. It's crucial for businesses to carefully review the terms, considering potential fees and transaction limits, before choosing a free business bank account.

Do free business bank accounts have any fees?

This depends on the type of account you choose.

There are some business accounts, like those offered by Starling Bank or Mettle, that are completely free.

While others adopt a pay-as-you-go rate with no monthly account fees, charging for transactions like transfers, card payments or cash withdrawals.

More traditional banks offer free banking periods, to new customers, where no charges are incurred for everyday use. These tend to be for 12 months but can last up to 30 months.

Is there any specific eligibility criteria for free business accounts?

There are a number of business accounts that come completely free and don't require any specific criteria to be met to be eligible, though that doesn't mean all accounts are the same.

Almost all online accounts offer free trials to new customers or offer a free plan that comes with balance or income limits. Its not uncommon to also be restricted in the features you can use, like access to rewards or priority customer support.

While most high street banks do also offer free accounts, they tend to only offer them to new businesses in their first year of trading, with a low projected annual turnover, or as a switching incentive.

How to open a free business bank account

In most cases opening a free bank account is no different from opening any other business bank account, and can be done conveniently online.

During the application you'll need to verify some personal information as well as some basic information about your business.

Depending on your business structure the requirements may vary, but for most applications you'll need to provide:

Proof of identification - a passport or driver's licence
Proof of address - a recent bank statement or utility bill
Business information - the registered address, contact details, expected yearly turnover, credit history, and the Companies House registration details if applicable

How to choose the best free business bank account

If you're looking for a free account to just keep costs down then any of the accounts listed above are suitable.

Otherwise, the best way to choose a free business bank account is to understand exactly what you want the account for and what features will be a must for your business.

It doesn't make sense to choose an online account when you mostly deal with cash (since most online accounts don't have cash services) or a high street bank when all of your dealings are digital.

Frequently asked questions

It's not uncommon to have questions when looking in to business banking, especially for the first time. These are some of the most relevant questions for business bank accounts:

Free forever accounts tend to be e-money accounts, which have safeguarding requirements to operate in the UK. Free periods are usually with banks insured by the Financial Services Compensation Scheme (FSCS), which protects deposits up to £85,000.

Most aren't completely free forever and will either have fees for certain transactions outside of set allowances or charge once the free period ends.

Free plans tend to have less features but better limits and less charges. Free periods offer full feature access, but for a limited period.

Compare Free Business Bank Accounts