The 8 Best Free Business Bank Accounts Compared 2024

Tide’s Free Business Account is a digital business bank account serving 10% of the UK’s small business market, particularly suited for small businesses and freelancers looking for minimal costs.

It offers free UK and international transfers, invoicing tools, card payments, and real-time expense tracking, with optional integration into accounting software.

Tide is FCA regulated, though not a licensed bank, and has recently introduced a business savings account.

With the acquisition of Funding Options, Tide also provides users with quick access to financing, making it a top contender for cost-conscious entrepreneurs.

• You must be at least 18 years old.
• You must have a valid UK phone number.
• You must have a device that can access the UK Apple App Store or Google Play Store.
• You must be either the director of an active company registered with UK Companies House or a sole trader/freelancer registered with HMRC.
• Charities/trusts and other high-risk industries are not eligible.
• Businesses operating from outside the UK are excluded.

Mettle by NatWest is a free digital business bank account that truly stands out as the only account on this list that is 100% free, with no hidden charges.

It’s an excellent option for small businesses and freelancers who want a completely free service, though it comes with limitations like the inability to make or receive international payments.

Mettle is FCA regulated and operates under NatWest’s banking license, offering integration with accounting software and invoicing tools.

This makes it a straightforward, cost-effective solution for domestic business banking needs.

• You must be a UK resident and at least 18 years of age.
• You must be a sole trader or a limited company with a maximum of two owners.
• You must have a main account balance not exceeding £1m.
• You must have a UK phone number.
• You must have an iOS device running iOS 13 or later or an Android device running Android 7.0 or later.
• You must pay tax and only be a tax resident in the UK.
• Businesses operating from outside the UK are excluded.
• PLCs, charities and high-risk organisations are not eligible.

ANNA Money is an e-money service, not a traditional bank, tailored for startups and freelancers.

Its Pay As You Go account offers free UK and international transfers, a built-in tax app, and the ability to set up direct debits and standing orders.

ANNA also includes invoicing tools and can integrate with accounting software, along with access to various business resources.

Although it is FCA regulated, ANNA is not a licensed bank, making it a practical, low-cost option for small business owners.

• You must be at least 18 years old.
• You must be a sole trader, a director of a limited company (and listed on Companies House) or a partner in a Limited Liability Partnership (LLP).
• You must have a UK residential address.
• Charities/trusts and other high-risk businesses are not eligible.
• Businesses not based in the UK are excluded.

Zempler Bank’s Business Go account is a fully regulated, free business bank account designed for freelancers, sole traders, SMEs, and growing businesses.

It comes with FSCS protection and features a full UK banking licence, which contributed to a 60% increase in customer accounts in 2023.

The Business Go account offers seamless integration with accounting software like Xero, QuickBooks, and Sage, 24/7 online and app access, instant payment notifications, and the ability to deposit cash at any UK Post Office.

As an FCA-regulated and licensed bank, Zempler provides a secure and efficient solution, though it does not include invoicing tools.

• You must be at least 18 years old and have a UK residential address.
• You must be a sole trader, director of a limited company, a charity or a partnership based in the UK.
• Sole traders cannot be registered at UK Companies House. Limited Companies must have no more than 4 PSCs registered with Companies House.
• High-risk organisations are not eligible.
• Businesses operating from outside the UK are excluded.

The Revolut Business Basic account is a free banking solution ideal for businesses looking to support growth and manage global operations.

It offers support for over 25 currencies and allows payments in more than 100 countries, making it perfect for international businesses.

The account includes tools for instant payments to suppliers and employees, easy worldwide payment acceptance, and quick access to funds.

Additionally, it provides smart company debit cards, automated expense management, and detailed analytics, with seamless integration into popular accounting software like Xero and QuickBooks.

While FCA regulated, Revolut is not a licensed bank, and the account does not include invoicing tools.

• You must be at least 18 years old.
• Your business must have a physical presence in the UK, EEA or Switzerland.
• You must be a private limited company, public limited company, Limited Liability partnership or partnership.
• Charities/trusts and other high-risk organisations are not eligible.
• Businesses operating from outside the supported countries are excluded.

The Starling Bank Business account is a free option that’s highly suitable for limited companies, limited liability partnerships, and sole traders, including startups.

As a fully licensed bank, Starling offers FCA-regulated services with seamless integration into accounting software, making it a robust choice for businesses seeking a reliable and straightforward banking solution.

This account is particularly well-regarded for its ease of use and comprehensive features tailored to small businesses and entrepreneurs.

• All directors with access to the account must be at least 16 years old and UK residents.
• All Persons of Significant Control must be UK residents and natural persons.
• You must be either a sole trader or the director of a limited company or LLP registered with Companies House.
• The business must not be a holding company, dissolved, or in liquidation.
• Businesses operating from outside the UK are excluded.
• Charities/trusts and high-risk businesses are not eligible.

The Monzo Business Lite account is a free, fully licensed, and FCA-regulated digital banking option, ideal for small businesses.

It offers free UK and international transfers, real-time expense tracking, and the ability to issue invoices and take card payments.

Monzo’s commitment to quality banking services was recognized when it won the Best Business Banking Provider at the British Bank Awards 2022.

While it’s a strong contender for small businesses, it does not support integration with accounting software.

• You must be at least 16 years of age.
• You must be a sole trader or the director of a limited company registered with Companies House, you must be based in the UK.
• You must be a tax resident in the UK only.
• LLPs, PLCs, charities and high-risk organisations are not eligible.
• Businesses operating from outside the UK are excluded.

The Allica Bank Business Rewards Account is a free business account tailored for established businesses with a minimum turnover of £500k per year, making it unsuitable for startups.

It offers a relationship manager for personalised service, a 4.08% AER variable interest rate on instant access Savings Pots, and up to 1.5% cashback on eligible card spending.

This account is FCA regulated, backed by FSCS protection up to £85,000, and supported by UK-based customer service.

It also integrates with accounting software, providing a robust solution for growing businesses without monthly fees.

• You must be a UK resident and aged 18 or older.
• You must have a minimum balance of £50,000 or more in your account or must have a loan product with Allica.
• Your business must be incorporated for at least 12 months.
• Businesses operating from outside the UK are excluded.

1. Research and compare: Research the different free business bank account options available to you.
2. Application: Once you’ve identified a bank that meets your needs, open an account.
3. Notify your current bank: Once you’ve opened a new account, inform your current bank that you’ll be closing your old account.
4. Transfer Payments and Funds: Ensure all pending transactions with the old account are completed and transfer all funds to your new account.
5. Close Your Old Account: Confirm there are no pending transactions in your old account, then contact your old bank to close the account and be sure to get a confirmation.
6. Update your payment details: Once you’ve switched your account, ensure you change your payment information for suppliers, customers, and other stakeholders.

1. Double check if the account is truly free: Some accounts may be advertised as free but have features that incur fees, such as a certain number of monthly transactions or minimum balance.
2. Is all the functionality you need covered? Some free business bank accounts may not have monthly maintenance fees, but they may not offer specific features you need, such as the ability to deposit cash.
3. Read the fine print carefully and understand the terms and conditions of the account; this will help you to identify any hidden fees or charges.

Yes, free business bank accounts may still have fees for certain transactions or services.

While the basic account functions might be free, banks often charge for additional services such as wire transfers, exceeding a certain number of transactions, depositing more than a set amount of cash monthly, or using an overdraft facility.

It’s important to read the account’s terms and conditions carefully to understand any potential fees.

Most free business bank accounts have limitations, such as a limited number of monthly transactions per month or ATM fees. Some accounts are only free for a certain period before the monthly fee kicks in.