Business Bank Accounts
Discussion
A new partner and I are starting up a limited company to market and automotive product.
Is there any significant difference between the offerings of different banks? Neither of us have any strong feelings either way though he has approached HSBC.
The main requirement is a charge card to defer the cost of stock purchases for as long as possible, internet banking and of course low charges!
Is there any significant difference between the offerings of different banks? Neither of us have any strong feelings either way though he has approached HSBC.
The main requirement is a charge card to defer the cost of stock purchases for as long as possible, internet banking and of course low charges!
Hello Eric - a fellow Blatchatter here 
Because it's a product with potential product liability issues so we want the added protection of the limited director liability. From the marketing point of view, we'll be marketing the product to large fleets and I feel the limited company status inspires more confidence and raises less questions than a partnership or something. Finally I understand there are better tax advantages. For example, I was talking to Bacon Butty from Blatchat who has a small business, he pays himself a small salary and larger quarteryl dividends.
"Reg"
Because it's a product with potential product liability issues so we want the added protection of the limited director liability. From the marketing point of view, we'll be marketing the product to large fleets and I feel the limited company status inspires more confidence and raises less questions than a partnership or something. Finally I understand there are better tax advantages. For example, I was talking to Bacon Butty from Blatchat who has a small business, he pays himself a small salary and larger quarteryl dividends.
"Reg"
I currently have an account with Cater Allen for my LTD. The only reason being it was 'sold' by my accountant and is partially tailored for my type of business - IT consultant basically.
No charges so long as the number of transactions per month are <20 IIRC. Of course the rate of interest is appalling which has prompted me to start looking for another account today.
If your embarking on a more 'standard' type of business you need to focus more on the transaction costs - trawling through the big banks websites is probably the best way forward or try www.moneysupermarket.com/BusinessChequeAccounts/CommercialChqAccResults.asp as a starter.
No charges so long as the number of transactions per month are <20 IIRC. Of course the rate of interest is appalling which has prompted me to start looking for another account today.
If your embarking on a more 'standard' type of business you need to focus more on the transaction costs - trawling through the big banks websites is probably the best way forward or try www.moneysupermarket.com/BusinessChequeAccounts/CommercialChqAccResults.asp as a starter.
Hi Reg - fair enough. All valid points. There are some very good tax breaks available to small companies at present. For example, the first £10,000 of company profits attracts 0% Corporation Tax. Also, dividends paid to an individual suffer no income tax at all if the individual's total income for the tax year does not take him/her into the higher rate tax bands.
Did you EVER get to park that Austin 1100 correctly?
Did you EVER get to park that Austin 1100 correctly?
HSBC fees look quite high and interest quite low compared to some of the other accounts on the link I posted. Even the Cater Allen account I have fares better!
Many accountants can offer you 'special deal' accounts that improve on the standard offers - try call www.sjdaccountancy.com.
>> Edited by Mark.S on Monday 4th August 12:37
Many accountants can offer you 'special deal' accounts that improve on the standard offers - try call www.sjdaccountancy.com.
>> Edited by Mark.S on Monday 4th August 12:37
On the tax and general LTD info, its well worth having a read around www.manager.co.uk/content/forums_lim_companies/bonus.html
I use manager.co.uk as my accountant as they take care of literally everything. I decided I didn't want the pain of bothering with accounts/vat/tax for my first year and they literally take the pain away
I use manager.co.uk as my accountant as they take care of literally everything. I decided I didn't want the pain of bothering with accounts/vat/tax for my first year and they literally take the pain away
regmolehusband said:
main requirement is a charge card to defer the cost of stock purchases for as long as possible, internet banking and of course low charges!
Well I've said it before on here but you could do a lot worse than talking to the Bank of Scotland. I've been with them nearly a year now and they are superb. After recently haing my car half inched their different financing options will help me out - fixed loans for 5 years at this interest rate you cant go wrong.
The day to day running of my account is free including transfers AND you get interest on your money. What more could you want?
>> Edited by Broccers on Tuesday 5th August 10:26
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