A business current account is integral in helping you organise and manage your small business finances. It can separate your business finances from your personal finances to be more aware of what you earn and spend for your business. But if you have bad credit, you may wonder how to find a business current account that will accept you and help you improve your finances. 

This guide will cover the best business accounts for bad credit, including: 

  • What are some business accounts that accept people with bad credit?
  • What should business accounts for bad credit include? 
  • How can you open your business account?
  • How to improve your business finances with Countingup 

What are some business accounts for people with bad credit?

If you have bad credit, many banks may reject your application for a business account. But, some options don’t require checks, which can be great if you worry about your credit getting in the way.

There are a few reliable UK bank accounts that don’t require credit checks, including:

  • Tide – free to start, free card purchases
  • Cashplus – free to start, free card purchases
  • Starling Bank – free to start, free card purchases
  • Countingup –  free to start, free card purchases, built-in accounting software

These accounts are all options if you have bad credit. But, the best business account for bad credit should have features that allow you to improve your bookkeeping and money habits as Countingup’s does. Targeted at single person small businesses, Countingup is a business account app with built-in accounting software that can streamline your finances and help you better understand them. 

With Countingup, not only do you not need a credit check to start an account, but it’s also free to use for the first three months with a £500 maximum monthly deposit. It only takes five minutes to sign up. 

Thousands of business owners enjoy Countingup, and it’s easy to use, which is no wonder it’s rated ‘Excellent’ on TrustPilot. With reviews like ‘Amazing app’ and ‘Excellent approach,’ Countingup is a great choice for small businesses with bad credit. 

What should business accounts for bad credit include?

Finding the right business account for bad credit is more than picking the first one that will approve you. Consider looking for an account that helps you grow your financial management skills and better understand your money. Countingup offers tools that will improve your financial practices to improve your credit in the long run. 

Cash flow insights

The Countingup app generates ongoing cash flow insights so you can be more aware of the cash coming in and out of your business. This tool will help you analyse your performance and plan for better budgeting. If you have poor cash flow, you can cut down on expenses to cover financial obligations and earn more. Plus, when you have good cash flow, you’ll know when to set money aside for growth or emergencies. 

Understanding your small business’s cash flow can help you prepare for necessary expenses and payments, such as credit payments or loans. This way, you can pay what you need on time to improve your credit. The more aware of your finances, the more you can plan for and make better decisions with that money.   

Tax estimates

On top of cash flow insights, the app also generates year-round tax estimates so you can always be aware of what you’ll likely owe in taxes. This feature helps you avoid surprises when it’s time to pay those expenses. Plus, you can use these estimates to plan ahead, so you don’t struggle to cover your tax requirements. 

Countingup also lets you instantly share your financial data with your accountant. When you do this, the information will be accurate and updated, simplifying your tax process. 

Invoicing on the go 

Countingup also allows you to create and send unlimited free invoices from anywhere on the app. You can even add your business logo to these invoices to look customised and professional. To better track the money you earn and ensure you convert those earnings to cash, Countingup will also notify you when you receive invoices. Then, it’ll automatically attach those invoices to payments. 

Automatic expense categorisation and receipt capture 

If you have bad credit, you may struggle to track and control your business spending. With automatic expense categorisation, the app labels charges with HMRC approved categories. This way, you can find proof of business expenses, including tax-deductible purchases, which can reduce how much you owe for taxes. 

Aside from this, the receipt capture tool instantly reminds you to take a picture of your receipt when you make a business purchase. This tool helps you store proof of transactions without having to keep messy piles of receipts. Overall, these expense tools can help you be better aware of what you spend. This way, you can spend with purpose. 

How can you open your business account? 

Countingup only takes five minutes to open, so it’s fast and easy. Simply download the Countingup app and follow the prompts to get started. 

You’ll need some information available, like: 

  • Full legal name
  • Residential address
  • Date of birth
  • UK mobile number 
  • UK email address
  • Business name
  • Business type 
  • VAT registration

You may also need to do evidence of your identity to verify your account. Once you set up, Countingup will send you a Mastercard and provide you with an account number and sort code. 

Learn more about Countingup’s eligibility requirements here

Improve your business finances with Countingup

Financial management can be stressful and time-consuming when you’re self-employed, especially if you have bad credit and want to improve your business finances. That’s why thousands of business owners use the Countingup app to make their financial admin easier. 

Countingup is the business current account with built-in accounting software that allows you to manage all your financial data in one place. With features like automatic expense categorisation, invoicing on the go, receipt capture tools, tax estimates, and cash flow insights, you can confidently keep on top of your business finances wherever you are. 

You can also share your bookkeeping with your accountant instantly without worrying about duplication errors, data lags or inaccuracies. Seamless, simple, and straightforward! 

Find out more here.

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