What are the best bank accounts for small businesses?

Last updated: September 2025. Banking products and pricing may change, so please check each provider’s website for the most up-to-date information.

Running a small business is demanding enough without worrying whether your bank account is helping or holding you back. The right account can make everyday finances simpler, from paying suppliers to managing tax returns. The wrong one can leave you stuck with high fees, poor support, and tools that don’t match how you actually work.

So, which bank accounts are worth considering if you are a sole trader or small business owner in the UK? Let’s look at some of the main factors to weigh up, how providers compare, and how you can choose an account that fits your business.

Why small businesses need a business bank account

Is a separate account really necessary? For sole traders, the law does not demand it, but separating business and personal money is usually the smarter choice. It makes record-keeping clearer and reduces headaches at tax time. For limited companies, it is not optional:; the company is a separate legal entity and must have its own account.

There is also compliance to think about. HMRC’s Making Tax Digital programme already requires VAT-registered businesses to keep digital records and use compatible software. Having a business bank account that integrates smoothly with accounting tools can make that transition much easier. (For the latest requirements, see GOV.UK).

Related reading: Do I need a business bank account?

What to look for in a small business bank account

Not every account is built the same. Here are some of the main things worth checking before signing up:

• Fees and transparency - Low or no monthly fees are attractive, but watch out for transaction or ATM charges. Look for clear, upfront pricing.
• Ease of setup - Opening an account should not take heaps of paperwork. With Zempler Bank, you can apply for an account in minutes.
• Online access and tools - Mobile apps, real-time notifications, and simple dashboards can save hours of admin.
• Integrations - Linking directly with your accounting software can reduce errors and speed up reporting.
• Customer service - Good support is vital if something goes wrong. How easy is it to speak to someone who’s willing to go the extra mile?

Comparing the best bank accounts for small businesses in the UK

Choosing a business bank account isn’t just about headline fees.

The features behind the account – from accounting integrations to customer support – can make a big difference to how smoothly you manage day-to-day finances. 

To help you weigh up the options, we’ve compared some of the UK’s leading small business accounts against the features business owners often care about most. 

How to choose the right account for your business

There is no single “best” account. The right choice depends on how you operate. A sole trader with just a few monthly transactions will have different needs to a retailer handling high volumes of payments. Ask yourself:

• How many transactions do I expect each month?
• Which tools will save me time - for example, accounting software integration?
• What level of support will I want if something goes wrong?

Assessing your needs first will help you narrow down the options. For detailed comparisons, review providers’ websites and consider independent reviews.

Final thoughts

Finding the best small business bank account, most suited for your needs, means balancing cost, convenience, and the features that matter most to your business. High street banks remain useful for some, but many sole traders and small businesses are turning to digital-first providers for speed and control.

Because providers update their offers regularly, it is always worth checking the latest features and fees directly on their websites before making a decision.

If you want an account designed from the ground up for small business needs, Zempler Bank is worth a closer look. It combines fast setup with smart tools and transparent pricing, helping you focus on running your business rather than managing your bank.