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Published 09 May 2024
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Virgin Money Business Account Review: Pros, Cons & Features

Virgin Money offers both free and paid business bank accounts. Read more about the bank’s pros, cons and key features.

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Whether you are a start up with a small annual turnover, a bigger company bringing in millions of pounds a year, or an organisation that needs to manage client funds, Virgin Money likely has an account to suit your needs if your business is based in Great Britain.

Its M Account for Business offers an account with no monthly fees to start ups and small businesses with an annual turnover of less than £1 million, complete with overdraft option (on application) and cashback on debit card purchases.

Virgin Money M Account for Business

Virgin Money M Account for Business
  • Monthly Fee
    Free
  • UK Card Purchase Fees
    Free
  • UK Bank Transfer Fees
    From free
  • Offer
    3 months’ free QuickBooks or Xero

This product may be one of a range offered by this provider. Always check terms & conditions for suitability before applying.

Eligibility Criteria
  • 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

Learn more about how we bring you our review.

Key features

  • Free and paid accounts
    Virgin Money offers accounts with no monthly fee and accounts with a monthly charge
  • Deposits protected by FSCS
    Eligible deposits are protected up to a total of £85,000 by the Financial Services Compensation Scheme
  • Business loans and overdraft facilities
    Virgin Money offers both business loans and overdraft facilities
  • FCA regulated
    Virgin Money business banking is regulated by the Financial Conduct Authority (FCA

Virgin Money Business Account pros & cons

Pros

  • Virgin Money offers a free business account, M Account for Business.
  • Eligible deposits of up to £85,000 will be protected by the Financial Services Compensation Scheme (FSCS).
  • Over a third of customers were able to open a Virgin Money business account on the same day as their application.
  • Virgin Money’s dedicated current account for charities carries no fees for everyday banking for charities with annual turnover under £1 million.

Cons

  • Although Virgin Money offers 24-hour self-service over the phone, it does not offer 24/7 customer support.
  • Virgin Money’s completely free M Account is only available for businesses with an annual turnover of less than £1 million.
  • Virgin Money accounts are not available to customers in Northern Ireland, the Channel Islands, or the Isle of Man. A lack of branches in Wales and the South of England might also make business owners in these regions reconsider getting an account.

The pros and cons featured here are chosen by us based on a combination of our expert, research-based opinions and an exclusive survey of UK business owners and decision makers. The survey was conducted on behalf of NerdWallet UK in December 2022 to identify the business bank account features that people feel are most important. They are unlikely to be the only product features and restrictions that you should consider. Pros and cons are subjective and you should align them to your own personal and business circumstances. Information was correct at the time of publication but may have changed since.

Virgin Money business account full review

Launched in 1995, Virgin Money is a UK-based retail bank, which claims it’s on a mission to make you happier about money. Virgin Money merged with Clydesdale Bank and Yorkshire Bank in 2018 and both banks began operating under the Virgin Money brand in 2020. 

Virgin Money offers accounts that can be used by start ups, sole traders, partnerships, limited liability partnerships and limited companies.

M Account for Business

This is Virgin Money’s free business account for organisations with a turnover of less than £1 million a year. This means it may be a good option if you are a start up or smaller business.

The M Account for Business has free day-to-day online banking, including standing orders, direct debits, and ATM deposits. You can apply for an overdraft and also get 0.25% cashback on eligible debit card purchases, and discounts on selected business merchants.

Business Current Account

If your annual turnover is less than £6.5 million, you can open a Virgin Money Business Current Account. It offers free banking for new customers for the first 25 months and comes with free day-to-day banking during that period. 

After the introductory offer has ended, it costs £6.50 a month, while you will be charged a transaction fee for certain functions, such as standing orders and direct debits. You can also get 0.35% cashback on eligible debit card purchases and receive Mastercard discounts at selected merchants.

Business Choice Account

If your business’s turnover is more than £6.5 million a year, you are eligible for a Virgin Money Business Choice Account. It costs £6.50 a month, and you will be charged transaction fees for certain banking functions. As with the current account, you can get 0.35% cashback on certain debit card purchases and discounts on select business merchants.

Professional Firms Client Account

Virgin Money also offers a Professional Firms Client Account for businesses that need to hold client money. This account has no monthly fees or transaction charges.

Virgin Money business account features: at a glance

M Account for BusinessBusiness Current AccountBusiness Choice Account
Monthly feeFreeFree for 25 months, then £6.50 a month£6.50 a month
Transaction feesNo, for day-to-day banking. Yes, for other transactionsNo for day-to-day banking for the first 25 months. Yes, for other transactionsYes
Account management At a branch, in-app, online and over the phoneAt a branch, in-app, online and over the phoneAt a branch, in-app, online and over the phone
FSCS protectionYesYesYes
Set-up time4 days4 days4 days
Cash depositsYes (90p per £100)Yes (65p per £100)Yes (65p per £100)
Cheque depositsYes (free via app, 55p in branch)Yes (30p per cheque)Yes (30p per cheque)
Access to other banking servicesYes (overdrafts and business loans)Yes (overdrafts and business loans)Yes (overdrafts and business loans)
International paymentsYesYesYes
Customer service0800 756 0800 (8am to 6pm Monday to Friday)0800 756 0800 (8am to 6pm Monday to Friday)0800 756 0800 (8am to 6pm Monday to Friday)
Multiple user access/Joint account capabilitiesYesYesYes
Create and send invoicesYesYesYes
Integration with accounting software toolsYesYesYes

Where Virgin Money business account stands out

  • FSCS protection: Your eligible deposits, up to £85,000 across all accounts, are covered by the Financial Services Compensation Scheme (FSCS). 
  • Account perks: Virgin Money offers a number of account perks, including cashback per transaction on your business debit card, free three-month trial periods with QuickBooks and Xero, as well as discounts with selected business merchants.
  • Free UK bank transfers: Virgin Money offers free UK bank transfers – something that isn’t the case with all business bank accounts.
  • Charities: Virgin Money offers dedicated current accounts to charities. Charities with a turnover of less than £1 million a year are also eligible for free day-to-day banking.

Where Virgin Money business account falls short

  • Customer service options: While Virgin Money offers a 24-hour telephone self-service option, its full customer service phone lines are only open from 8am to 6pm Monday to Friday. 
  • Customer reviews: According to Virgin Money, only 51% of its business current account customers would recommend the service to other organisations. Similarly, the provider as a whole has a ‘Poor’ Trustpilot score of 1.9 out of 5 (as of 8 May 2024).
  • Turnover requirements for free accounts: Although the standard Business Current Account is free for 25 months, Virgin Money’s permanent free account is only for businesses that have a turnover of less than £1 million a year.
  • Regional restrictions: You cannot open a Virgin Money business bank account if you are based in Northern Ireland, the Channel Islands, or the Isle of Man. In addition, there are no Virgin Money branches in Wales or the South of England, though businesses based there can still open an account.

Virgin Money business account customer reviews

Virgin Money’s customers have left reviews on a range of sites. Generally, these reviews are mixed.

It is worth remembering that these reviews are from all Virgin Money customers, and not just for its business banking services.

  • App Store: 4.6 out of 5, based on over 131,800 reviews
  • Google Play: 3.9 out of 5, based on over 24,400 reviews
  • Trustpilot: 1.9 out of 5, based on over 7,400 reviews

This information is correct as of 8 May 2024.

Virgin Money business account eligibility 

In general, to be eligible for a Virgin Money business account, you will need to:

  • be based and operating in the UK (excluding Channel Islands, Isle of Man and Northern Ireland) 
  • be over the age of 18
  • not be currently bankrupt
  • have never been disqualified as a company director

There are then specific turnover requirements for each business current account:

  • M Account for Business: Your turnover needs to be less than £1 million a year.
  • Business Current Account: Your turnover must be less than £6.5 million a year.
  • Business Choice Account: Your turnover needs to be more than £6.5 million a year.

How to apply for a Virgin Money business account

To apply for a Virgin Money business account, you will need to take the following steps:

  1. Submit an application, either online or at a branch.
  2. Provide Virgin Money with the information and documentation required, including Companies House name or registration number (if applicable), business turnover, business contact details, and your personal address history.
  3. Virgin Money will share your information with credit reference agencies to help determine what services they can provide to your business. 
  4. Wait to hear back if you have been approved for an account.

Warning: The Financial Conduct Authority (FCA) is warning there is a Virgin Money ‘clone firm’, where fraudsters use the details of the genuine, authorised company to mislead customers. If you are not sure you’re dealing with the genuine company, its official website and contact details can be found at https://www.virginmoneyukplc.com/

Review methodology

At NerdWallet UK, we base our reviews and our ‘Best’ pages on the results of surveys we undertook about what was important to people who use these products. This allows us to look at products impartially of any commercial arrangements we have and fairly rate the products on the same set of criteria.

Best means our ‘Best’ and is based only on what products we have aligned to our surveys, which form the basis of our reviews and ratings. This means that there will be other products on the market that we have not included in our ‘Best’ pages. Best does not mean it’s best for you, nor does it mean the ‘cheapest’.

Our reviews may display lenders’ rates. This additional information has not been included in our evaluations but is still very important when choosing a product. Rates offered can depend on circumstances, amount and term. Always check details before proceeding with any financial product.

Product details reflect the information that was available at that time but may have changed since. We strive to give you a review on as many products as possible, but there will be products not included on the market. The review is our opinion, but it does not constitute advice, recommendation or suitability for your financial circumstances.

You can view our full review methodology here.

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