Compare Business Bank Accounts with Overdrafts
- Some business bank accounts come with overdraft facilities to aid flexibility in your day-to-day operations
- Business bank overdraft rates and charges very between products and lenders so check before applying
- Compare business accounts with overdraft features from UK providers and apply direct online
- Instant Account Number and Sort Code
- No credit checks to open an account
- Business cash advance facility available to eligible customers
- UK Businesses
- Application to be made by UK Director over age of 18
- Overdraft available subject to eligibility
- Savings account available with instant access – 0.30% AER variable for balances over £5,000, subject to eligibility and application
- Contactless payments, with free Square Reader on request, no fees on your first £1,000 sales
- Business Debit Card allows you to withdraw money from an ATM and you pay no fees on transactions using your Debit Card
- Available for Sole Traders, Partnerships and Limited UK Businesses, 18+
- Arranged overdraft available subject to approval
- Business use only
- No monthly fees or fees overseas
- Automate expenses and link your account with QuickBooks, Xero and FreeAgent
- Deposit cash easily at your local Post Office and deposit cheques of £500 or less via the Starling app.
- User must be 18 or over
- Must be a UK resident
- Must have been trading for a minimum of 18 months to apply for an overdraft
- No monthly account fees for 18 months
- Same-day overdraft on application
- Savings account with instant access - 0.01% AER, subject to eligibility and application
- Available to Limited Companies and Sole traders. Applicants must be 18 years or older
- Identity and credit checks apply
- You cannot apply for a HSBC Kinetic Current Account IF the sole purpose of opening the account is to access a Bounce Back Loan (BBL). See website for full eligibility requirements.
Our comparison service features a selection of providers from whom we receive commission. This table is initially ordered according to our commercial arrangements. Use the drop down menu at the top of the page to order by other criteria.
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Business Bank Accounts with Overdrafts
What are business bank accounts with overdrafts?
Business bank account providers often offer account-holders the option of using an unsecured arranged overdraft. An overdraft facility allows you to borrow up to your arranged limit and interest charges are usually payable on the amount you borrow, which are often paid on a monthly basis. Interest charges will vary between accounts, so it is important that you carry out some research to make sure you are happy with the overdraft terms and charges before borrowing. Arrangement fees and other charges are also often payable when setting up a business bank account with an overdraft.
Who might want to open a business bank account with an overdraft?
Business owners or sole traders who would like help with their cash flow might desire access to a business bank account with an overdraft facility. Alternatively, an arranged overdraft could help you to meet the costs involved with growing your business or dealing with seasonal fluctuations in income. For example, if you need to pay wages through a quiet period for your business, an overdraft may be useful as you can repay the money during busier periods when your income increases.
Will I be subject to a credit check when opening a business bank account with overdraft?
Yes, you will usually be credit checked before being offered an arranged overdraft. As well as your own credit history, providers could also take those of other directors into account.
Opening business bank accounts with overdrafts can sometimes be slightly more time-consuming and complicated than opening a simpler online business bank account as a result of the extra checks, but you can still often arrange an overdraft and get access to the cash within a matter of days.
Is an overdraft a secured loan?
Not usually. In most cases business overdrafts do not require security, much in the same way as personal overdrafts are unsecured. As a result, they are often limited in terms of value when compared to secured business loans, for example.
In some cases, you may be required to offer some security in order to access an arranged business overdraft.
Do all business bank accounts offer overdrafts?
Many do, especially those offered by the larger banks. However, online-only business bank accounts, and those aimed at small businesses and freelancers are often more limited in their offering and may not carry credit facilities of any kind.
How long can I take out a business bank account with overdraft for?
Business overdrafts sometimes have term limits and it’s important to consider whether you will be able to repay the money borrowed within that timeframe.
What other services do business bank accounts with overdrafts offer?
Most business bank accounts with overdrafts will offer the full range of banking services. However, this will vary a little from provider to provider, so check the details of your account. Services offered by business bank accounts with overdrafts usually include:
- Accepting deposits
- Providing debit/credit card
- Bank transfers
- Cash withdrawals
- Direct debits
- Standing orders
- Chequing facilities
- Online banking
- Phone banking
- Money management apps
Acorn Business Bank Accounts
The Acorn Business Account provides straightforward online business banking that is suitable for people with poor credit ratings.Read more
ANNA Business Bank Accounts
App-based business current account with a debit Mastercard from Absolutely No Nonsense Admin Ltd.Read more
CardOneMoney Business Bank Accounts
App-based business current account designed for small businesses with a prepaid Mastercard and no credit checks required.Read more
Cashplus Business Bank Accounts
Alternative to traditional business bank account that can be opened with instant online decision and no credit check.Read more
Countingup Business Current Accounts
Business current account mobile app with automated bookkeeping features and corporate contactless MasterCard.Read more
HSBC Business Bank Accounts
Major high street bank offering comprehensive business banking services with full online, telephone and in-branch access.Read more
Mettle Business Bank Accounts
A digital business account by NatWest and provided by Prepay Solutions.Read more
Revolut Business Bank Accounts
Global, multi-currency business current account with a range of price plans for businesses of different sizes.Read more
Starling Bank Business Current Accounts
Straightforward, app-based business banking service for UK firms and sole traders.Read more
Tide Business Bank Accounts
Business current account app with contactless business Mastercard, quick setup and straightforward fees.Read more
TSB Business Bank Accounts
Business banking products and services from the well-known UK high street bank.Read more