Barclays business accounts

Barclays can make a solid choice for your business account.

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Barclays’ business current accounts cover most business needs and come with all the advantages of a big bank, from an extensive network of bank branches to dedicated business customer service.

What types of business account does Barclays offer?

Barclays offers four types of business accounts:

  • Startup business account. If you’re just starting your business, this account comes with 12 months of free business banking. You’re eligible if it’s your first business account and your business has been operating for less than 12 months.
  • Business account for turnover of up to £400,000. This is for established businesses that have a turnover of up to £400,000.
  • Business account for turnover of between £400,000 and £6.5 million. This is for all other established businesses that have a maximum turnover of £6.5 million.
  • Community account. Free everyday banking for not-for-profit organisations.

Barclays business account charges

Barclays charges two main kinds of fees on its business accounts:

  • Monthly fee. As you may have guessed, this is a fixed fee that is charged every month, no matter how much you use the account. The fee is £6 a month under the Mixed Payments Plan and £6.50 under the e-Payments Plan (see below).
  • Transaction fees. These charges depend on how many transactions you make; you’ll be charged for card payments, bank transfers, ATM withdrawals, cash loads and cheques.

Depending on how you plan to use the account, you can choose between two types of plans:

  • Mixed Payments Plan. With this plan, all transactions are charged a fee, but cash and cheque payments are cheaper.
  • e-Payments Plan. In return for a slightly higher monthly fee, you get free card payments and bank transfers. Cash payments and cheques are more expensive than with the mixed payments plan though.

You can see the full list of charges and compare the two plans on Barclays’ business charges sheet.

The benefits of a Barclays business account

  • Multiple ways to bank. In person, on the phone, online or through the mobile app.
  • A wide range of related financial products available. From savings accounts to business loans to insurance, Barclays allows you to manage all your business finances in one place.
  • Money back on your fees. After the first year, you’ll be eligible for Loyalty Reward, a Barclays loyalty programme that pays you back part of your business account fees. Depending on how long you’ve had the account for and on your business’s turnover, you can get between 5% and 50% of your fees back.
  • Solutions to accept card payments available. With Barclays there is the option to set up your own portable card terminal or e-commerce portal and accept your customers’ card payments.
  • Customer support. If you need help, you can contact Barclays’ business account customer service team through a live web chat (during working hours) or by phone (until 9pm Monday to Friday, and until 6pm on weekends and bank holidays).
  • Accounting software integrations. The free Smart Dashboard from Barclays allows you to connect your business account with Quickbooks, Xero and PayPal.

How to apply for a Barclays business account

You can apply online, on the phone or in person at a Barclays branch. If you don’t have a personal account with Barclays already, you may need to pop into a branch anyway at some point in order to be able to complete your application.

Here’s a basic list of the information and documents you’ll need:

  • Your personal details, proof of identity and proof of address
  • Three years of address history
  • Details of any other director of your business
  • Your business’s details, including a proof of address
  • Business registration number
  • Date and certificate of incorporation
  • Business turnover and tax information
  • Previous banking details if you have them and are looking to switch

How to compare business accounts

  • Cost. This is an obvious one. Business accounts often have complicated pricing structures, so ideally, before starting your comparison you should study your past banking behaviour. Do you prefer cash or card payments? How many transactions do you make in the average month? Will you need to load cash into the account very often? This is all important information to figure out how much your business account will cost you in fees.
  • Type of business. It’s a good idea to look for something that’s as tailored to your business as possible. A small independent bakery in Scotland will not have the same banking needs as a law firm in London, for example.
  • Cash. If you take a lot of cash payments and need to load cash into your account, you’ll want to make sure that you have a bank branch nearby.
  • Ways to bank. Some business owners prefer to discuss banking in person, while others would rather have a great mobile app that makes banking slicker on the go. Not all banks will provide both.
  • Travelling/trading abroad. This goes back to what we were saying about tailoring your bank account to your business. Trading and travelling abroad usually proves expensive with a traditional business account, so you may want to look for a dedicated deal.
  • Accepting payments. Do you need to set up card payment terminals as well as a business account?
  • Accounting software integration. Especially if you’re managing a small business, being able to do banking and accounting from the same place makes things much easier.
  • Related products. Do you also need a savings account, insurance or help with financing your business?

Pros and cons of Barclays business accounts

Pros

  • Different business accounts and pricing plans to choose from.
  • Multiple ways to bank – via online, mobile or telephone.
  • Big branch network, if you need to visit the bank in person.
  • Dedicated business support team.
  • Loyalty programme means an eventual reduction in account fees.
  • Option to apply for other financial products, such as business loans.

Cons

  • Might be able to find a cheaper business account elsewhere.
  • Not 24/7 business customer support.

Our verdict

Barclays offers a range of business accounts and pricing plans to cater for all types of businesses, plus the ability to manage your account through online, mobile and telephone banking. It also operates a large branch network, which is a big advantage if digital-only banking is not for you.

There are some digital-only business accounts on the market that don’t come with a monthly fee, but if you’re looking for an account at a high street bank, then Barclays represents a solid choice.

Compare Barclays against its competitors

Data indicated here is updated regularly
Name Product Account fee Bank transfers Accounting integrations Non-Sterling transactions Overdraft Account management Key benefits
Tide
Free
£0.20
Free if both accounts are with Tide
Xero, QuickBooks, FreeAgent, ReckonOne, Kashflow and Sage
Free
App
Free spending abroad and at home in any currency, instant payment alerts, automatic categorisation
ANNA
Free
Free up to a max. balance of £5,000 (or up to £500 paid in per month)
Free
2 free transfers per month and unlimited free transfers to Anna accounts
Coming soon
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Earn 1% cashback for paying with your ANNA card in selected categories. Enjoy premium benefits free for the first 6 months.
Cashplus business
£69
First year's annual fee refunded.
£0.99
Free transfers in first 3 months
FreeAgent, Xero
2.99%

On invitation
App, Online
First year's annual fee refunded.
Amaiz
£9.99 per month
Free in first month
Free Starter plan available
£0.20
FreeAgent, Xero, Sage, Reckon One, Kashflow, QuickBooks
1%
0.5% in Europe, 1% elsewhere
App, Online
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