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BUSINESS TIPS

Business Bank Account – Do I need one?

You will most likely need to open a business bank account if you decide to set up a company as personal finances must be kept separate from business finances. Without a separate bank account for your business transactions, your personal and company money may get mixed up especially when your company starts to grow and develop. Although it takes time to set up a new bank account, it can save time and confusion in the future.

Not only is it required to keep your own and business finances separated, it will make management of your company transactions and finance a lot easier.

For example, tax regulations are already complex, but if your money is combined with personal statements, it will become much more difficult to identify all business-related expenses surrounded by non-business expenditure.

Having accurate company records is essential for completing tax returns and annual accounts. With a business bank account, this will be a lot quicker and simpler and it will help you to stay compliant with company and tax law and avoid penalties.