Countingup
The Countingup Bank Account is an all-in-one business bank account that brings banking, built-in accounting software, and tax tools all together in one handy app.
To help you get started, Countingup offers a free 3-month trial, so you can experience the app and all its features with no subscription fees up front.
The account includes automated bookkeeping tools such as receipt capture, auto-saving tax into a tax pot, customisable invoicing, real-time profit and loss every time you’re paid, and direct HMRC submission.
Countingup is HMRC- recognised and eligible deposits are FSCS protected up to £120,000. You can also earn 1.2% AER (variable) on your tax pot balance with no extra fees for this feature.
Operating on a tier-based monthly subscription model, Countingup scales with your business deposits. This means your fee automatically drops during quieter months.
- £5 a month if you deposit up to £750
- £12 a month if you deposit between £750.01 and £7,500
- £20 a month unlimited deposits
You also get three free faster payments per month, then 27p per transfer.
Bank account powered by Griffin. T&Cs apply. Interest rate is variable and tracks Bank of England base rate. Eligible deposits FSCS protected up to £120,000.
Revolut Business
Revolut Business is a good shout for business owners who travel and trade overseas. Customers can hold, exchange and transfer over 25 currencies with the real exchange rate., and can spend in over 150 currencies.
You can issue physical and virtual cards and track your employees spending in real time, take payments from your customers with Revolut Pay, and control everything from a single app.
Revolut Business integrates with 45+ other platforms including Xero, Quickbooks, Sage, Shopify and WooCommerce.
The more premium your account, the greater allowances you get in terms of how much you can exchange at the interbank rate, global transfers, and your savings rate.
Pricing
- Basic (from £10 a month)
- Grow (from £30 a month)
- Scale (from £90 a month)
- Enterprise (bespoke – speak to Revolut Business)
Freelancers can have a Revolut Pro account, which costs £0-£45 a month, depending on which plan you go for.
Right now, Revolut Business are running a promotion in association with Smallbusiness.co.uk. You can earn £100 if you click on the link below and complete the following steps:
- Follow the steps for opening a Revolut Business account;
- Successfully complete the KYC (Know Your Customer) and KYB (Know Your Business) checks.
- Top-up your account by a minimum of £0.01.
You must use the link below to receive this promotion. Offer ends 31 December 2026.
ANNA Money
ANNA Money is open to any UK resident who is a sole trader.
It takes three minutes to set up and you’ll get a personal webpage with a link to put on your online profiles or to send to someone directly. You can give your employees their own debit card with a spending limit and it’ll sort out their expenses automatically. It also has a receipt capture feature that ANNA automatically categorises and stores digitally.
You can set up free direct debits as well as scheduled and recurring payments.
There are two packages suitable for sole traders, the free Pay As You Go option and the Business plan (£22.90/month), which includes essentials like local transfers and expenses cards. A Big Business package is also available for £59.90/month + VAT with unlimited local transfers and ATM withdrawals. See full prices here.
Packages
Pay as you go (£0 per month)
- Free card in any country and currency
- 1 per cent currency conversion fee
- 20p per local transfer in and out of your account
Business (£22.90 per month plus VAT – first month free)
- Pay in cash with one per cent commission
- 60 free local transfers
- Up to five debit cards included, then £3 per card per month
Taxes add-on (£29 per month plus VAT – first month free)
- Tax calculation and filing, auto-bookkeeping and expert tax support
Traditional banks
High Street Banks offer accounts that are suitable for sole traders. Many have a free banking period, which is a huge bonus if your business is new and you’re trying to cut costs. Take a look at the summary below.
Frequently Asked Questions
Can I use a personal account as a sole trader?
In some cases you can, but it is helpful to have a business bank account for a number of reasons. It’ll be easier to split your business and personal expenses, for starters.
Business bank accounts have greater functionality such as cashing cheques into your account and it’s easier to manage expenses and do your tax return.
A business bank account will build a credit rating for your business so that you can access loans and other financing that you may need later down the line.
Bear in mind as well that some banks simply won’t let you have a personal account for your banking, even if you’re a sole trader. They might even close your account if they cotton on that you’re using your personal account for your business.
The best part? Business bank accounts often offer handy freebies like free accounting software or a free 12 months of banking, for example.
Do I legally need to have a business account?
As a sole trader, you are not legally required to have a business bank account. However, it is recommended to help keep your personal money separate from your business’s money, which will help with tax returns and spending insights.
What documents do I need to open a sole trader business account?
Requirements vary from banking provider, but generally you will need to provide the following:
- Proof of identity (driver’s licence/ passport)
- Proof of address (bank statement/ utility bill)
- Your trading name (if it is different from your personal name)
- Information about your business activities (having a business plan to hand is a good idea)
What is the difference between a sole trader and a limited company?
A sole trader is opened in your name or your trading name because you and the business are the same legal entity.
A limited company is a separate legal entity from you.
What features should I look for in a sole trader business account?
While this will depend on your business and its activities, generally you should consider:
- Monthly fees (if any)
- Transaction costs
- Overdraft availability
- Additional features such as invoicing software of Making Tax Digital software
- International payments options
Will opening a business account affect my credit score?
Most banks and banking providers will perform identity and credit checks, although typically this will not affect your credit score.
Get a business bank account quote today – click here.
Important Information – Some of the products promoted are from our banking and affiliate partners from whom we receive compensation. While we aim to feature some of the best products available, we cannot review every product on the market.
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