Best Business

Compare Sole Trader Business Bank Accounts

Tide Business Banking
  • Monthly Fee
    Free
  • Bank Transfers
    20p
Compare Now
Revolut Business Banking
  • Monthly Fee
    Free
  • Bank Transfers
    20p
Compare Now
Zempler Bank Business Banking
  • Monthly Fee
    Free
  • Bank Transfers
    30p
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Countingup Business Banking
  • Monthly Fee
    £3
  • Bank Transfers
    30p
Compare Now
ANNA Money Business Banking
  • Monthly Fee
    Free
  • Bank Transfers
    20p
Compare Now

35 Best Business Bank Accounts for Sole Traders in 2024

Editorial Team
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Sole traders can benefit from a separate business bank account, although it’s not a legal requirement. You can easily separate your business and personal life, at least financially, and get better insights into your incomings and outgoings.

Find the best sole trader bank account for your side hustle with deals from the UK's top high street and online business banking providers.

Tide Business Bank Accounts

  • Accounts suitable for small businesses including sole traders
  • Get a £50 voucher when you sign up with code: £50VOUCHER (T&Cs apply)
  • Can be opened in under 10 minutes
  • Connect your favourite accounting software with ease
  • 24/7 account management with their app
  • Create, send & track invoices all from the Tide app
  • Offer business savings with market-leading instant access rate
  • Paid accounts with extra features from £9.99 to £49.99 plus VAT
  • Trusted by more than 450,000 UK businesses
Tide Business BankingWebsiteRead our in-depth Tide review

Zempler Bank Business Accounts

  • Available to sole traders & single director businesses
  • Charges no monthly fees with three free payments every month, then 30p each
  • Sync with Xero or QuickBooks accounting software
  • 24/7 account management with their app
  • Categorise transactions, attach receipts & leave notes on payments
  • Open an account in no time with no need for a credit check
  • Access to finance including business overdrafts
  • Fully regulated UK bank protected by the FSCS
  • Friendly UK-based customer service team
Zempler Bank Business BankingWebsiteRead our in-depth Zempler Bank review

Countingup Business Accounts

  • Accounts designed for sole traders, freelancers & self-employed
  • Three months free banking offered to all new customers
  • Account fees range from £3 to £18 afterwards, depending on how many deposits are made monthly
  • Enjoy their integrated accounting & invoicing tools
  • 24/7 online & mobile banking
  • Contactless Mastercard, with free purchases, sent out upon approved application
  • Capture digital receipts & automatically match to expenses
  • Rated an excellent 4.4 stars on Trustpilot
  • Customer support is available seven days a week
Countingup Business BankingWebsiteRead our in-depth Countingup review

Cynergy Bank Business Current Account

  • Account available to small registered businesses & sole traders
  • No monthly fee for the first 12 months available to new customers for a limited time only, then £25pm covering all standard electronic transactions (excludes cash, CHAPS, SWIFT & SEPA), T&Cs apply
  • Manage the account online with 24/7 access
  • Cash can be deposited at HSBC branches
  • Access to Faster Payments, CHAPS, SWIFT, SEPA & FX, fees apply
  • Get 2.50% AER variable on balances to £25,000 & 0.25% AER on anything over
  • Business savings with better easy access rate available to sole traders
  • FCA regulated UK bank benefitting from FSCS protection, on eligible deposits
Cynergy Bank Business BankingWebsiteRead our in-depth Cynergy Bank review

Airwallex Business Account

  • Multi-currency account for sole traders registered with HMRC as self-employed
  • Sign up online for free & pay no monthly fees for an account
  • Offer local bank details in 20+ currencies, in more than 60 countries
  • Local transfers are free while SWIFT payments cost £10-£20
  • Get market-leading FX rates with fast money transfers in 40+ currencies
  • Get 10% cashback on the first $1,000 of international transactions (T&Cs apply)
  • Integrates with a suite of financial tools, including popular accounting software
  • Have a TrustScore of 3.9 out of 5 on Trustpilot
  • Not a bank or covered by the FSCS but protected by safeguarding rules to protect deposits
Airwallex Business BankingWebsite

Revolut Freelancer Accounts

  • Three multi-currency accounts made for sole traders & freelancers
  • Free account available with restrictions such as no access to rewards or Revolut's API
  • Paid accounts for £5 or £19 per month
  • Connect accounting software & other convenient apps via the marketplace
  • Manage the account with online & mobile access
  • Send money to other Revolut accounts for free
  • Handle more than 28 different currencies with just one account
  • Track or spend in real-time & automatically categorise payments
  • Rated 4.2 stars on Trustpilot
  • Priority support included with the freelancer paid plans
Revolut Business BankingWebsiteRead our in-depth Revolut review

ANNA Money Business Accounts

  • Account created for freelancers & small businesses in mind
  • Free forever, just pay transaction fees on what you use
  • Paid accounts available for £14.90 to £49.90, plus VAT
  • Built-in invoicing & accounting software
  • Manage the account 24/7 online
  • Automated expense categorisation & receipt matching
  • Get 1% cashback on eligible purchases
  • Trustpilot rating of 4.6 stars
  • Refund of month's subscription if support take longer than 10 minutes to reply within app
ANNA Money Business BankingWebsiteRead our in-depth ANNA Money review

Card One Money Business Account

  • Accounts available to sole traders that turnover less than £2 million
  • Opening charge of £55 with a monthly fee of £12.50
  • Integrates with accountancy software, from Xero to Sage
  • 24/7 account management with their app
  • Apply in 10 minutes with no credit checks & open within 24 hours
  • No late or missed payment fees apply
  • Contactless Mastercard with free UK purchases is included
  • Whenever you pay someone, or they pay you you'll get a text alert
  • Trustpilot rating of 4.5 stars
  • Responsive customer service team, averaging answering the phone in four seconds
Card One Money Business BankingWebsiteRead our in-depth Card One Money review

Wise Business Account

  • Digital business account suitable for sole traders
  • Costs £45 for banking details, no monthly fee thereafter just pay for transactions
  • Integrates with accounting software such as QuickBooks or Xero
  • Manage whenever or wherever with online & mobile banking
  • Apply within minutes & open an account in 4-7 days, on average
  • 19x cheaper to send money than with PayPal
  • £3 debit card with no transaction fees except for converting currencies
  • Hold 50 different currencies & transfer to more than 80 countries
  • Trustpilot rating of 4.2 stars
  • Friendly support team available 24/7 via live chat
Wise Business BankingWebsiteRead our in-depth Wise review

Fair Everywhere Business Account

  • Suitable for sole traders that operate internationally
  • Applications cost £55 & the monthly fee is £12.50
  • Open an account same-day with no hard credit checks
  • Earn up to 8% in cashback from over 50 retailers
  • Online-only, multi-currency account with 24/7 access
  • Offers wallets in EUR, GBP & USD currencies
  • Fair Everywhere Mastercard accepted in more than 200 countries
  • In-branch services offered at Barclays branches
  • Customer support team available Monday to Saturday
Fair Everywhere Business BankingWebsiteRead our in-depth Fair Everywhere review

Starling Sole Trader Account

  • An account specifically for sole traders & freelancers
  • No management fees with free UK transfers, ATM withdrawals & card purchases
  • Awarded Best Business Banking Provider 2023 in The British Bank Awards
  • Accounting integrations for Xero, QuickBooks & more
  • 24/7 account management via the web or their award-winning mobile app
  • Application take roughly 10 minutes, with verifications taking a day on average
  • No card fees in the UK or abroad, with automated expense categorisation
  • Rating of 4.4 stars on Trustpilot
  • Deposits protected by the FSCS up to £85,000
  • Friendly UK-based customer support team available 24/7
Starling Bank Business BankingWebsiteRead our in-depth Starling Bank review

Monzo Business Lite

  • Free account for sole traders with restrictions like no access to exclusive offers or multi-user access
  • No monthly account fee with free & instant UK bank transfers
  • Accounting integrations & savings pots available with paid accounts
  • Manage your funds wherever you are with 24/7 mobile & web access
  • Applications take 10 minutes with signup or switching via the app
  • Get notified when you pay someone or someone pays you
  • Eligible deposits are protected with the FSCS
  • Awarded Best Business Banking Provider 2022 in The British Bank Awards
  • Rated 4 stars by Trustpilot customers
Monzo Business BankingWebsiteRead our in-depth Monzo review

Mettle Business Bank Account

  • Completely free bank business account, made for UK sole traders
  • Account balance is limited to a maximum of £50,000
  • Access FreeAgent accounting software for no charge
  • Manage 24/7 online with their mobile app
  • Apply in-app within minutes
  • Contactless Mastercard included, with free card transactions
  • Create, customise & send invoices on the go
  • Integrated savings pots available for deposits up to £1 million
  • Rated 4.6 stars on Trustpilot
  • Designed for small businesses, by NatWest
Mettle Business BankingWebsiteRead our in-depth Mettle review

Virgin M Account for Business

  • Available for startups, small businesses & sole traders that turnover less than £1 million
  • No monthly account fees, just pay for what you use
  • 24/7 online access with their mobile app
  • Part of the Current Account Switch service
  • Earn 0.35% cashback on debit card payments
  • Savings & business finance available
  • £1,000 overdraft available on account opening
  • Currently has over 130 branches in the UK
  • Friendly UK-based customer support team
Virgin Money Business BankingWebsiteRead our in-depth Virgin Money review

HSBC Kinetic Current Account

  • Designed for sole traders or limited companies with one director
  • New sole traders or those that switch receive 12 months of free banking. Usually £6.50 per month
  • Apply for a credit card or arrange an overdraft in-app
  • Access the account on desktop or mobile app 24/7
  • Most accounts are opened the same day
  • Offered HSBC Kinetic Savings Account upon application
  • Switch in 7 days with the Current Account Switch service
  • Monthly cashflow breakdown reports with expense tracking
  • Leading UK bank, part of the big four in the UK
  • Get support whenever in-app or call up Monday to Friday, 9am-5pm
HSBC Business BankingWebsiteRead our in-depth HSBC review

NatWest Start-up Business Account

  • Account available for sole traders, freelancers & startups
  • New businesses pay no fees for 18 months. Pay-as-you-go transactions thereafter, with no monthly fee
  • Free sole trader bank account with Mettle
  • Includes free access to their FreeAgent accounting software
  • Access your money 24/7 online with their award-winning app
  • You can apply in as little as 10 minutes
  • Business overdrafts & credit cards available
  • Switch your current account in 7 days
  • Large number of branches across England, including mobile ones
  • Experienced UK-based support team
NatWest Business BankingWebsiteRead our in-depth NatWest review

Metro Business Bank Account

  • Available for small businesses & sole traders
  • Monthly account fee of £6, waived for balances of more than £6k, with 30 free transactions for the month too
  • Bank whenever with online & mobile banking
  • Can be opened in 2-3 working days
  • Switch your account in 7 days
  • Free expert advice from Enterprise Nation
  • No charge for card purchases across Europe
  • Access to a range of borrowing options
  • 77 branches available with some drive-thru stores
  • Top rated bank for customer service
Metro Bank Business BankingWebsiteRead our in-depth Metro Bank review

Lloyds Small Business Account

  • Account for new, small & self-employed businesses that turnover up to £3 million
  • 12 months free banking for new businesses, including individuals. £7 monthly fee after
  • Access to financial support including arranged overdrafts & more
  • Bank whenever with online & mobile banking
  • Accounts are usually opened 4 weeks after applying
  • Part of the Current Account Switch service
  • Access to suite of useful business guides & tools
  • Business debit card with free payments included
  • One of the big four banks in the UK
  • Experienced UK customer support with a dedicated business management team
Lloyds Bank Business BankingWebsiteRead our in-depth Lloyds Bank review

Barclays Start-up Business Account

  • Accounts for startups & sole traders with annual turnover of less than £400,000
  • No-fee banking for 12 months for new businesses, £8 or £8.50 monthly fee thereafter, depending on tariff
  • Electronic & mixed-payment tariffs are available
  • You'll always be moved onto the best tariff with Barclay's Price Plan guarantee
  • 24/7 banking online or via mobile app
  • Can be opened in an average of 5 days of application
  • Specialist advice from entrepreneur & startup experts
  • Multiple savings accounts available
  • One of the leading big four banks
  • 7 day Current Account Switch Guarantee
Barclays Business BankingWebsiteRead our in-depth Barclays review

SumUp Business Account

  • Business account suitable for sole traders & freelance sellers
  • With no monthly or annual fees, plus free UK transfers
  • Online-only account managed through the web or mobile app
  • Create invoices easily with their integrated accounting features
  • Apply in minutes & start using the account once verified
  • Includes three free ATM withdrawals each month
  • Contactless Mastercard with free transactions
  • Manage expenses & track spending with the SumUp app
  • Access their suite of products to help accept payments or sell online
  • Email, phone or live chat support available
SumUp Business BankingWebsiteRead our in-depth SumUp review

TSB Business Plus Account

  • The account is suitable for sole traders
  • 25 months free day-to-day banking for new customers, £5 monthly thereafter
  • Choose from their electronic payments or mixed-transaction tariffs
  • Manage the account 24/7 online with internet or mobile banking
  • Account can be opened after 5 days of submitting an application
  • 7 day Current Account Switch Guarantee
  • Get specialist support to help progress your business
  • Savings & finance solutions are available, criteria applies
  • There are more than 290 branches currently
  • Business banking call centre available Monday to Friday, 8am-6pm & Saturday, 9am-2pm
TSB Business BankingWebsiteRead our in-depth TSB review

The Co-operative Directplus Account

  • Account available for startups & sole traders
  • All new customers get 30 months of free banking if balance is kept above £1,000
  • Monthly fee of £7 outside the introductory period criteria
  • Bank whenever with online & mobile banking
  • Ethical bank with community & customer focused values
  • Easily switch your account in 7 days
  • Overdrafts & savings solutions are available
  • Deposits protected by the FSCS
  • There are 50 branches available across England, Scotland & Wales
  • Friendly UK-based customer support team
The Co-operative Bank Business BankingWebsiteRead our in-depth The Co-operative Bank review

Unity Trust Bank Business Current Account

  • Accounts for like-minded sole traders
  • Quarterly account fee of £6, charged quarterly
  • Manage your money 24/7 with online & mobile banking
  • Counter services available at NatWest Banking Group branches
  • No debit card is issued with their current accounts
  • Business credit cards & savings are available
  • Switch your account in 7 days with the switch service
  • Ethical bank with a focus on helping to solve social & community issues
  • Deposits up to £85,000 are covered by the FSCS
  • 90% of all customer support issues are resolved by the first person spoken to
Unity Trust Bank Business BankingWebsiteRead our in-depth Unity Trust Bank review

Santander Business Current Account

  • 2 accounts available for sole traders, small & large businesses
  • Reduced monthly fees for switchers (12 months) & new businesses (18 months). Account fees from £7.50 after
  • Moneyfacts Best Business Current Account Provider 2021
  • 24/7 online & mobile banking with text or email alerts
  • Lengthy application & opening process
  • Savings accounts & borrowing products available
  • Part of the Current Account Switch service
  • Receive up to £300 cashback per year
  • Currently has over 450 branches in the UK
  • UK customer support team
Santander Business BankingWebsiteRead our in-depth Santander review

Reliance Bank Business Current Account

  • Account suitable for sole proprietor businesses
  • Six months of free everyday banking available on positive balances of £5,000 or more, £5 per month otherwise
  • Manage the account on the go with 24/7 internet banking
  • Counter services available at NatWest & RBS branches
  • Business debit card & chequebook included
  • Part of the Current Account Switch service
  • Arranged overdraft & more available
  • Fully licenced bank covered by the FSCS
  • Official bank for The Salvation Army
  • Ethical bank with friendly customer support available by phone, fax or email
Reliance Bank Business BankingWebsiteRead our in-depth Reliance Bank review

Handelsbanken Business Current Account

  • Suitable banking solution for sole traders
  • Fees vary for every business, call up for a quote
  • Best rated bank for account & relationship management
  • 24/7 online & mobile banking
  • Applications need to be done over the phone or in-branch
  • Business overdrafts & other finance options available
  • 7 day Current Account Switch Guarantee
  • Direct line to a dedicated business account manager
  • Currently there are over 200 branches in the UK
  • 24/7 customer-favourite support team
Handelsbanken Business BankingWebsiteRead our in-depth Handelsbanken review

Cater Allen Reserve Account for Business

  • Account suitable for sole traders, freelancers & contractors
  • No monthly account fee with 30 free transactions each month
  • Manage the account 24/7 online
  • Option to bank by telephone or post
  • 7 day Current Account Switch Guarantee
  • Balances over £500,000 generate interest
  • Free debit card included, also available in euros & US dollars
  • No overdrafts offered but other finance options are available
  • Eligible deposits are protected by the FSCS
Cater Allen Private Bank Business BankingWebsiteRead our in-depth Cater Allen Private Bank review

The Cumberland Business Current Accounts

  • Accounts suitable for sole traders that live within their branch operating area
  • 2 account options for businesses depending on preferred transaction type
  • Both with 12 months free banking for those with turnover up to £250,000
  • Option A (£5pm) for those that work with cash & Option B (£3) for those that make more digital payments
  • 24/7 online & mobile banking
  • Integrates with Xero accounting software
  • eSavings account exclusively available for Internet Banking customers
  • Deposits up to £85,000 are safe thanks to the FSCS
  • Experienced & friendly UK customer support team
Cumberland Building Society Business BankingWebsiteRead our in-depth Cumberland Building Society review

Bank of Scotland Small Business Account

  • Accounts for new, small & self-employed businesses
  • 12 months free banking for new businesses, £7 monthly fee after
  • Arranged overdraft & more available
  • 24/7 online & mobile banking
  • Usually opened after 4 weeks after applying
  • 7 day Current Account Switch Guarantee
  • Access to suite of useful business guides & tools
  • Business debit card with free payments included
  • All 184 branches are located across Scotland
  • Experienced & friendly UK-based customer support
Bank of Scotland Business BankingWebsiteRead our in-depth Bank of Scotland review

Royal Bank of Scotland Start-up Business Account

  • Account available for sole traders, freelancers & startups
  • New businesses pay no fees for 24 months. Pay-as-you-go transactions thereafter, with no monthly fee
  • Includes free access to their FreeAgent accounting software
  • 24/7 online & mobile banking
  • Applications take as little as 10 minutes
  • Savings, overdrafts & business finance available
  • Switch your current account in 7 days
  • Branches can be found in Scotland, England & Wales
  • Experienced UK-based support team
Royal Bank of Scotland Business BankingWebsiteRead our in-depth Royal Bank of Scotland review

Danske Bank Small Business

  • Choice of two tariffs, one that has benefits for digital businesses (£9pm) & the other a mixed-transaction tariff (£14pm)
  • Suitable for sole traders with yearly turnover of less that £1 million
  • One of the Big Four Irish banks
  • Great customer feedback on their online & mobile banking
  • Counter services at Danske Bank or Post Office branches
  • Setup email or SMS balance & transaction notifications
  • Part of the Current Account Switch Guarantee
  • Protected by the FSCS
  • Experienced customer support, accessible by phone 7 days a week or 24/7 live chat
Danske Bank Business BankingWebsiteRead our in-depth Danske Bank review

Monese Business Account

  • Digital business account for made for sole traders
  • Monthly management fee of £9.95, includes personal account
  • All UK bank transfers are free
  • Bank whenever with online & mobile banking
  • Deposit cash at Post Office & PayPoint locations
  • 24/7 in-app support, available in 14 languages
  • Send money to more than 30 countries
  • Save & separate money with savings Pots
  • Customers rate them 4.3 stars out of 5 on Trustpilot
Monese Business BankingWebsiteRead our in-depth Monese review

Amaiz Business Accounts

  • Three accounts available, all suitable for sole traders
  • Monthly fees range from £0 to £99, plus onboarding fees
  • Integrates with FreeAgent accounting, or export statements
  • Manage the account 24/7 online
  • Free cash services available at Post Office branches
  • Set up your account in just a matter of minutes
  • Receipt & invoice management is automated
  • Business Mastercard, with free purchases, included
  • Commit to your savings goals with separate Jar accounts
  • Rated 4.1 stars out of 5 on Trustpilot
  • Live-chat customer support available 24/7
Amaiz Business BankingWebsiteRead our in-depth Amaiz review

What is the best sole trader bank account?

Here's what we think are the best bank accounts for sole traders and why:

  • Best sole trader account overall: Starling Sole Trader Account · Free
  • Best free sole trader account: Tide Business Bank Accounts · From £0
  • Best for cashless: Revolut Freelancer Accounts · From £0
  • Best for cash & cheques: NatWest Start-up Business Account · Free
  • Best for international payments: Airwallex Business Account · Free
  • Best for bad or no-credit scores: Zempler Business Bank Accounts · From £0

What is a sole trader business bank account?

A sole trader bank account is a type of account specifically designed for individuals who operate their own business as sole traders, this can technically be a personal bank account.

A sole trader is a self-employed individual who runs a business on their own without forming a separate legal entity, such as a limited company.

How much do sole trader accounts cost?

Much like generic business bank accounts, sole trader-specific accounts can charge monthly and transactional fees.

What you're charged varies with each account but monthly fees tend to be between £3 and £12.50, while standard transaction fees are usually less than £1 each.

There are also some free business accounts, like Starling, that are completely free forever, high street banks usually offer free banking periods and others just charge for what you use.

Is there any specific eligibility criteria for sole trader business accounts?

While most accounts are suitable for sole traders, there are a number of business accounts made just for them. These usually come with certain turnover criteria or limits on balances.

Sole trader accounts normally come with single access too, since there is no need for multiple users.

How to open a sole trader bank account

It isn't a legal requirement for sole traders to have a separate account so you may decide you don't need a business bank account.

However, if you do decide to open a business account the application process is usually straightforward for sole traders and can be completed quickly online.

For most accounts you will need to provide:

  • Proof of identification - a passport or driver's licence
  • Proof of address - a recent bank statement or utility bill
  • Business information - basic details like the nature of the business and whether you have a physical office

How to choose the best sole trader account

There is no one best bank account for sole traders as it really depends on what you want and need.

Consider whether you want an online-only account or if you'd prefer the option of branch services.

This will probably be determined by your preferred transaction type; electronic payments, such as bank transfers or direct debits, or cash and card.

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:

No, sole traders are not legally required to have a business bank account.

Yes, sole traders are not legally required to separate their personal and business income for tax so can use their personal bank account.

While it is not a requirement, it may be smart to separate your finances earlier to save yourself hassle should you register further down the line.