Creating a business bank account

[B.L.B Beauty]

Hello

I have registered my mobile/home salon beauty business, in regards to an account, could I just use my own and set up a Pay pal card machine so clients can pay that way? Or do I have to open a business account with my bank?
Thanks in advance x

 

[lilyloukatiekoo]

I set up a business account when I first went self employed as my bank told me you weren't allowed to use any other account

The first year was free then the charges were a lot!

So after 3 years I've gone back to using a separate current account
When I went to cancel my business account they said as a sole trader your allowed to use a current account
I could have saved a fortune

 

[BannerPenguin]

It makes accounting a lot easier plus, in the unlikely event of a tax investigation (they happen at random), then it's a lot easier too.
A bank account should be free for 1-2 years and shouldn't cost much after that period. Ours is £5.50 a month as we don't go in branch and do everything online generally.

 

[Trinity]

My accountant advised me that either is acceptable as long as you can clearly show business funds from personal. If you are meticulous about paperwork and record keeping you should be ok, if not a separate account would be advisable.

Your bank will say you need a business account because they come with costs, normal accounts are mostly free

 

[CFBS]

Have a basic separate bank account - much easier and keeps funds away from hubby.. lol!! [emoji12]

 

[B.L.B Beauty]

Thank you all for your advice [emoji51]think a separate account will do?... I have a savings account I could use that?.... x

 

[B.L.B Beauty]

Have a basic separate bank account - much easier and keeps funds away from hubby.. lol!! [emoji12]

Hahahaha love that[emoji23][emoji23][emoji23]

 

[Cindy2021]

Hmrc accept either but do expect regular deposits. My bank closed all the local branches which is a nightmare now.

 

[CFBS]

I went with classic account with lloyds bank. I can process payments on line, set up direct debits but best of all I can pay in at the village post office next door. The app is handy too.
Very convenient! [emoji106]