Opening a business bank account can sometimes be a lengthy procedure, particularly since the introduction of the Money Laundering Regulations (MLR).
Which bank? What are the considerations?
This decision will be affected by a number of factors, ranging from your previous experience with the bank where you hold your personal account, and purely practical considerations. Some people like to have their private and business banking together at the same branch; others prefer to keep them very separate.
When opening a business account, in most instances you will be required to attend a branch with a passport and a recent utility bill to prove who you are and where you live. However, two high street banks offer a quicker service online and over the telephone. They are Royal Bank of Scotland Business Banking Direct and Santander.
Internet banking versus Branch banking
We strongly recommend to our clients that they opt for internet banking in order to speed the movement of funds from one bank to another. With this type of business account, you are not likely to have to go into a branch to seek overdrafts or loans, which makes the internet route even more attractive. It also allows you to operate the account from wherever in the world you have internet access.
Most UK banks now operate a same-day transfer with internet banking, instead of taking 4-5 days as it has done in the past.
Bank mandates are set out as resolutions of a meeting of the directors of the company, and are signed on behalf of the company either by two directors or by one director and the secretary of the company. The mandate may be dated any time after the date of incorporation. Usually, Charles Fowler is required to sign the bank mandate as secretary but he will not be a cheque signatory. Proof of identity for Charles Fowler is held at the local branches of all the major banks.