Joint Business Accounts
Best Joint Business Bank Accounts
A joint business bank account can be a great way for multiple business partners to get involved with the management of your company’s finances. But which joint account is right for your business? Compare our best joint accounts below.
- Some business banking products can be opened as joint accounts
- A joint business account offers business partners equal access to an account
- Compare joint commercial banking products from leading UK specialists and apply direct
If you run your own business, it may be wise to consider opening a dedicated business bank account. And as with normal bank accounts, it is possible to open a joint business account.
This allows you and your business partners shared access to your business’s finances, as well as the various banking benefits that come alongside a business account.
By setting up a joint business account, it can help keep your personal and professional finances separate. This makes it quicker and easier to pay your taxes while building a credit profile for your business at the same time.
There are many different joint business accounts out there, each with their own advantages. Our comparison table below will help you select the right one for your needs – that’s whether you want free bank transfers, no monthly fees, or even an overdraft.
Or read on to find out more about how to open a joint business bank account, when you need a joint business account, and what services it can provide.
Our Best Joint Business Bank Accounts
Each of these products may be one of a range offered by the provider. Always check terms & conditions for suitability before applying. Only affiliated products are shown. Other products are available. Read our guide to ratings.
Compare Joint Business Bank Account Providers
Virgin Money M Account for Business
- Available for eligible businesses with up to £1m annual turnover
- Must be based and operated in the UK (excluding Channel Islands, Isle of Man and Northern Ireland)
- All owners, directors, senior managers and account signatories must be over 18 years old
NerdWallet's Review Summary
Virgin Money offers several business accounts, including the M Account for Business, aimed at start ups and small businesses with an annual turnover of under £1 million. The absence of a monthly fee and basic transaction fees is its major appeal. Virgin Money’s accounts can be converted into joint accounts by appointing new nominated users and giving them various permissions.
For further details, read NerdWallet’s Virgin Money Business Account review.
Virgin Money key features:
- Low cost: No monthly fees and no basic transactions fees.
- Account access: Bank online, via app, over the phone or in branch.
- Added extras: Including free Xero trial and potential to earn cashback on spending.
- FSCS protection: Deposits of up to £120,000 are protected by the Financial Services Compensation Scheme.
NerdWallet's Pros & Cons
Pros
- Can be jointly operated with nominated users.
- No monthly fee and no charges for UK transfers.
- Dashboard to track cash flow and other data.
- Enhanced benefits if you work in a construction trade
Cons
- M Account is only for businesses with an annual turnover of less than £1 million.
- No branches in the South of England, Wales or Northern Ireland.
This product may be one of a range offered by this provider. Always check terms & conditions for suitability before applying.
Barclays Business Account
- Must have an annual turnover between £400k- £6.5m
- Must have a straightforward and clearly defined ownership structure
- Must be at least 18 years old and be based and operate in the UK – including business owners
NerdWallet's Review Summary
Barclays offers accounts for start ups and established businesses, as well as charities and community groups. With no monthly fees for 12 months, and plenty of ways to bank and borrow, Barclays is a great option if you want a more traditional banking experience. Set up a joint business account to allow other people within your business to help manage everyday finances.
For more details, read NerdWallet’s Barclays Business Account review.
Barclays key features:
- Free basic transactions: No charge for Faster Payments, Direct Debits, standing orders, debit card payments or cash withdrawals.
- Account access: Manage your account online, via the app, over the phone, or at a branch.
- Credit facilities: Can offer access to credit facilities, including loans, mortgages and overdrafts.
- FSCS protection: Eligible deposits up to £120,000 are protected by the Financial Services Compensation Scheme (FSCS).
NerdWallet's Pros & Cons
Pros
- No monthly account fees for the first year.
- No charge on basic account transactions.
- Free access to Freshbooks accounting software.
- Branches across the UK.
Cons
- Monthly £8.50 fee after first year.
This product may be one of a range offered by this provider. Always check terms & conditions for suitability before applying.
Lloyds Bank Business Account
- To qualify for this account you need to be a sole trader, partner or company director and be aged 18 or over
- You must have a turnover of less than £25m
- Must not already have a Lloyds Bank business account for this business
NerdWallet's Review Summary
Lloyds Bank business accounts offer a range of useful features, including free debit cards, overseas transactions, and free accounting tools. If it’s your first business account with Lloyds, you’ll pay no account fee for a year. To let others see and perhaps manage your account, you can add partners and employees, and set the level of access you wish them to have.
Lloyds Bank key features:
- Lending: Account holders can apply for overdrafts, credit cards and business loans.
- Account management: Head to a branch, use the mobile app, go online, or pick up the phone to manage your account.
- Community accounts: Schools, credit unions and non-profits can use Lloyds community accounts.
- FSCS protection: Eligible deposits up to £120,000 are protected by the Financial Services Compensation Scheme (FSCS).
NerdWallet's Pros & Cons
Pros:
- No monthly fee for 12 months.
- Set access levels for other users.
- International payments.
- Branch access across UK.
Cons:
- £8.50 monthly fee after first year.
- Some transactions have fees.
This product may be one of a range offered by this provider. Always check terms & conditions for suitability before applying.
What is a joint bank account and how does it work?
A joint business bank account is a business bank account that is opened and accessed by more than one person. Much like a personal joint account, a joint business bank account allows two or more people in business together to pay in cash, withdraw money and use all the other facilities offered by the business account.
The only difference between a joint business account and a regular business bank account is that more than one person can access the former. Other than that, they function in the same way.
When searching for a joint business account, you should also look out for terms such as partnership bank account or joint venture checking account.
Do I need a business account for a partnership?
If your business is a limited liability partnership (LLP), you must set up a business bank account. This is because your business is a legally separate entity, and must be managed as such.
On the other hand, if your business is a general partnership, meaning that you’re running a business with one or more other people, you are not legally required to set up a business account. This is because, in a general partnership, all partners are personally responsible for business profits, losses or debts – the partnership is not created as a separate legal entity.
» MORE: Do I need a business bank account?
When is a joint business bank account worth it?
If your business has multiple owners, then a joint business account will allow each partner equal access to the business account. It will also allow you greater flexibility and clarity when it comes to your financial management.
It could make your business appear more professional and will save you time when it comes to submitting your tax returns to HM Revenue & Customs (HMRC) by separating your personal and professional finances.
As your business grows, having a dedicated business account that multiple partners in the business can access will help you keep on top of expenses, invoices, transactions and cash flow all in one place.
As well as this, it may improve your business’ credit score, making it more likely that you will be able to access business loans and finance if you need to.
» COMPARE: Business loans
Can I add someone to my business bank account?
It may be possible to add someone to your business bank account, and give them an agreed level of access and certain permissions, for example, to make payments. But this doesn’t necessarily mean the account then becomes a joint business account.
If you want to grant others access to your account, providers often allow you to do this online.
How to open a joint business account
When opening a joint business account, the provider will need details and documents from all partners on the account. This is likely to include:
- proof of identity, such as a passport or driving licence
- proof of UK address, such as a utility bill, or credit card or mortgage statement
- partnership agreement (if applicable)
- contract of co-partners (if applicable)
- certificate of formation (if applicable)
- evidence of the partnership trading address (if applicable)
- previous business banking details
- Companies House registration number (if you have one)
You will also need to provide information on your business, such as the date it started trading, the number of employees, estimated annual turnover, and the full business address.
It is normally possible to open a joint business account online, especially with online challenger banks that have no high street presence. Some more traditional banks may also allow you to apply in a branch.
What services does a joint business bank account usually offer?
One of the biggest benefits of a joint business account is the number of services that come attached to the account. These can include, but are not limited to:
- mobile and web access to your business account
- specialist support and advice from your banking provider
- integrated accounting software
- ability to automatically set aside money to cover taxes
- creating, sending and tracking invoices
- instant UK bank transfers
- automated expenses
- flexible business bank account overdraft
- IBAN and SWIFT codes for international payments
- Financial Services Compensation Scheme (FSCS) protection
These services are in addition to the usual features of a bank account, such as cash deposits, ATM withdrawals, standing orders, direct debits and more.
What are the benefits of a joint business bank account?
A joint business account can come with many advantages. These include:
- the ability for more than one person to access the business’s finances
- specialised financial advice and support from your banking provider
- simplified bookkeeping by separating your personal and professional expenses.
- building a credit profile for your business, potentially opening up access to business finance.
- making your business look more professional in the eyes of customers and suppliers.
What are the disadvantages of a joint business bank account?
Joint business bank accounts will usually give each account holder the same level of access and control. This makes it essential you are comfortable sharing that control and trust your joint account holder.
If you get into debt as a partner, you can be held liable for that debt, even if you weren’t the person to agree to it.
How much does it cost to open a joint business account and are there any ongoing fees or charges?
There tends to be no initial cost to opening a joint business account. However, depending on your provider, you may be subject to an ongoing monthly fee to keep your account active.
You may also incur other fees, such as on bank transfers or cash withdrawals, but again, this will depend on the terms of your provider agreement.
Some banks may offer fee-free accounts for an introductory period, such as the first 12 months.
» COMPARE: Free business bank accounts
How to choose the best joint business bank account for me?
To be eligible for a joint business bank account, all persons associated with the account may need to be UK residents and over 18 years old.
You will need to pass the provider’s anti-money laundering, know your customer (KYC) and credit checks, and provide evidence of your trading activities.
Providers may not offer business bank accounts to certain kinds of businesses.
In order to decide which joint business account to apply for, you will need to work out what exactly you are looking for from your account.
Do you want free bank transfers and no monthly fees? Is it important to have an overdraft? Will you be accessing your account via desktop and mobile banking?
What are the alternatives to a joint business bank account?
Of course, if you are a sole trader, you won’t necessarily need a joint business account. Instead, you can use a standard business bank account or your own personal account, depending on your business.
» COMPARE: Business bank accounts for sole traders
There are numerous other forms of business bank account you could also consider.
If you are a start up, you may want to look into a business bank account designed around your needs.
» COMPARE: Business bank accounts for start ups
If you are concerned about how your credit history may affect your ability to open a business account, then you can find providers that won’t conduct a credit check.
» COMPARE: No credit check business accounts
You might also just want to see an overview of the best overall business bank accounts, as this can help you to work out what features are right for your business.
» COMPARE: Best business bank accounts
Joint Business Bank Account FAQs
If you are in a general partnership – where two or more people are working together on a business venture – you do not need a business bank account. This is because each partner is personally responsible for the business, its profits or losses, and the partnership is not a separate legal entity.
If your business is a limited liability partnership, however, you are legally required to manage your finances through a business bank account.
To compare joint business bank accounts, you can use our comparison table above to find a bank account that suits your needs.
When opening your joint business account, you can set a mandate on the account to specify who runs it.
This means you can have an account where any spending, withdrawals or changes require both signatures, or one where anyone with access to the account can do so independently.
Opening a business bank account will help you start building a credit profile for your business, improving your chances of accessing credit down the road.
Some banking providers will also offer business bank accounts with overdrafts.
If you are worried about the spending on your joint business account, then it might be possible to contact the bank and ask them to freeze your account.
However, this is only a short-term solution. At some point, you will need to discuss the situation with your business partner.
While many banking providers will conduct a credit check when you apply for a joint business account, it is possible to open a business bank account without a credit check.
It is possible to remove yourself from a joint business account. Depending on your provider, this could be online, over the phone, or in person.
You will need to check if there is any debt outstanding on the account, as banking providers tend to be reluctant to remove names from a joint account if that is the case.
It can be quite simple to close a joint business account. Many providers will have an account closure form.
Depending on the mandate on your account, closing the account may require the signature of each owner or authorised signatory on the account.
You will also need to make sure you have no debit balance outstanding on the account.