Compare Joint Business Bank Accounts

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 this 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, then 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?

Can I add someone to my business bank account?

It may be possible to add someone to your business bank account, making it a joint business account in the process. Banking providers may allow you to do this online.

When you add someone to your business bank account, you can give them varying levels of access. This could include allowing them to make payments, but not allowing them to apply for loans or make changes to the account itself.

How to open a joint business account

When opening a joint business account, each person you intend to have access to the account may need the following documents:

• proof of identity, such as a passport or driving licence
• proof of UK address, such as a paper driving licence, credit card or mortgage statement
• partnership agreement (if this applies)
• contract of co-partners (if this applies)
• certificate of formation (if this applies)
• evidence of the partnership trading address (if this applies)
• previous business banking details
• Companies House registration number

You will also need to provide information on your business, such as the number of employees, estimated annual turnover, and the full business address.

Though it is possible to open a joint business account online, especially with online challenger banks that have no high street presence, many providers will require you to come into a branch in person.

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 disadvantages of a joint business bank account?

Joint business bank accounts will usually give each account holder the same level of access and therefore your partner could withdraw cash or even run up debts without your consent.

If you are going into business with someone, it’s likely that you already trust them – but it goes without saying that you need to be able to trust the person you open a joint business bank account with.

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 looking to change from one business account to another, you may be able to benefit from the switch.

» COMPARE: Business bank accounts for switchers

And 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