With its 300-year legacy, Barclays Bank stands as a cornerstone in the UK banking sector, serving more than 900,000 business clients.
This review delves into the suitability of the Barclays Business Bank Account for small to medium-sized enterprises (SMEs) across the UK, spotlighting its varied account options, cutting-edge digital banking tools, and bespoke industry support. The detailed analysis will provide the essential insights to determine whether this account aligns with your business’s operational needs and strategic goals.
Barclays Business Account for Startups
Monthly Fee
£8.50
Bank Transfers
£0Card Purchases
£0Overdraft
YesFSCS Protection
YesAccessibility
You can access your account online, through the mobile app, through telephone banking, or in person at a Barclays branch.
– You are at least 18 years old.
– You have the right to live in the UK permanently.
– As of August 2024, Barclays only accepts applications for current accounts from sole traders and limited companies.
– You have been trading for less than 12 months.
– You have at least 12 months of UK address history.
– If your business is a limited company, it can’t have more than 10 (including you) directors, shareholders or company secretaries.
Barclays Business Account for Established Businesses
Monthly Fee
£8.50
Bank Transfers
£0.00Card Purchases
£0.00Overdraft
YesFSCS Protection
YesAccessibility
You can access your account online, through the mobile app, through telephone banking, or in person at a Barclays branch.
– You are at least 18 years old.
– You have the right to live in the UK permanently.
– As of August 2024, Barclays only accepts applications for current accounts from sole traders and limited companies.
– You have been trading for more than 12 months.
– You have at least 12 months of UK address history.
– If your business is a limited company, it can’t have more than 10 (including you) directors, shareholders or company secretaries.
Our Verdict
Barclays Business Account stands out as a robust banking solution tailored for UK businesses. It particularly benefits those engaged in international transactions and seeking bespoke support networks. Including complimentary FreshBooks software and access to Eagle Labs markedly boosts its appeal, especially for startups aiming to enhance operational efficiency and growth.
However, due to the higher costs involved, its fee structure could be a deterrent for businesses that frequently handle large volumes of cash or cheque transactions. Despite this, Barclays’ digital banking and security strengths firmly establish it as a preferred option for businesses prioritising stable and integrated financial management.
Barclays Business Account At a Glance
This table concisely outlines the Barclays Business Bank Account’s essential features, focusing on the benefits and specifics relevant to UK small business owners, facilitating quick and informed decision-making.
| Feature | Details |
|---|---|
| Account Types | Business Current Account |
| Monthly Fees | No fees for the first year, £8.50 thereafter |
| Overdraft Options | Available, conditional on application approval |
| Main Features | Complimentary FreshBooks software, mobile banking, access to Eagle Labs |
| Currency Support | GBP only |
| App Ratings | Highly rated on Apple App Store and Google Play Store |
| Learn More | Visit Barclays Business |
Barclays Business Bank Account Pros & Cons
- Global Expansion and Specialist Support: Barclays excels with its extensive services tailored for global expansion and specialist financial needs, positioning it as a top choice for businesses aiming to operate internationally or requiring bespoke financial guidance.
- Enhanced Security: The bank provides robust 24/7 fraud protection and an Online Banking Guarantee, ensuring secure and worry-free financial management for your business.
- Complimentary FreshBooks Integration: Barclays offers free integration with FreshBooks, simplifying financial management and reducing bookkeeping costs.
- Established Trust: With over 300 years in the banking industry, Barclays offers a level of reliability and trust that newer banks struggle to match, appealing to businesses valuing long-standing financial partnerships.
- Costly Cash Handling: Businesses that handle a lot of cash or cheques may find Barclays’ fees, including 60p per £100 for cash deposits and 60p per cheque, relatively high.
- Monthly Fees After Initial Year: Introducing a £8.50 monthly fee following the first fee-free year may financially strain smaller businesses or startups with limited budgets.
- Restricted Software Integration: Although Barclays integrates with FreshBooks for free, the absence of direct links to other major accounting software like Xero may hinder some businesses from efficiently managing their finances.
FreshBooks Integration and Business Tools
Barclays Business Account offers free access to FreshBooks accounting software, saving businesses over £260 annually. This integration simplifies invoicing, expense tracking, and compliance with Making Tax Digital, significantly enhancing financial management efficiency.
Additionally, Barclays’ Eagle Labs offers mentorship, networking, and growth programmes, supporting entrepreneurs through various development stages and thereby promoting innovation and expansion.
Barclays Business Account Pricing
Barclays’ business accounts offer an attractive starting point with a 12-month fee-free period, particularly appealing to new customers. After this introductory period, a monthly maintenance fee of £8.50 is charged. T
he bank actively promotes digital transactions by offering free electronic payments, including Faster Payments, Direct Debits, and standing orders, essential for efficient business operations. However, it’s important to note that cash deposits incur a fee of 60p per £100, and cheque transactions are also charged at 60p each. For businesses considering an overdraft, variable interest rates apply.
The table below breaks down the fees associated with the Business Current Account for startups and established businesses.
| Service | Fee |
| Account fee | £8.50 (free for 12 months for new Business current account customers) |
| Simple electronic payments like Faster Payments, Direct Debits and standing orders | Free |
| Debit card payments | Free |
| Cash withdrawals | Free |
| Paying cash in | 60p per £100. Additional charges may apply for using the Barclays Collect service. |
| Cheques (in and out) | 60p per cheque |
| Assisted transactions initiated by a Barclays employee | £1.50 per transaction |
| SEPA transactions | £1.50 |
| International Payments (BIPS) | £25.00 |
| CHAPS payments | £25.00 |
| Using your debit card abroad (non-sterling) | 2.99% of the transaction amount |
| Receiving SEPA and Eurp payments from the EEA | Free |
| Receiving international payments of £100 or less | Free |
| Receiving international payments over £100 | £6.00 |
While the fees for certain services like cash and cheque handling may be higher than those of some digital-only banks, Barclays’ comprehensive service offerings and robust banking infrastructure provide significant value. This positions the Barclays Business Bank Account as a compelling choice for UK-based small—to medium-sized businesses that require a blend of traditional and digital banking services.
Ease of Use
The Barclays Business Account provides a seamless online and mobile banking experience, supported by an extensive branch network across the UK. Here are the key user-friendly features:
- Mobile Banking App: The Barclays app enables on-the-go management of business finances with capabilities like fund transfers, payment scheduling, and mobile cheque deposits. It is highly rated on the Apple App Store and Google Play Store, underscoring its user-friendliness and reliability.
- Online Banking: Barclays’ online platform offers a robust suite of financial management tools, including real-time transaction tracking and instant account balance updates, streamlining daily financial operations.
- Branch Network: The widespread presence of Barclays branches ensures easy access to in-person support, adding convenience for businesses needing face-to-face service.
These features collectively position the Barclays Business Account as a top choice for UK businesses seeking a comprehensive blend of traditional and digital banking solutions.
How Secure Is Your Business Account with Barclays?
Barclays prioritises the security of your business account with a robust security framework, adhering to regulations set by the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA). Your deposits are safeguarded up to £85,000 by the Financial Services Compensation Scheme (FSCS), providing a safety net against bank failure.
The bank implements 24/7 fraud monitoring to protect your account from unauthorised access and employs PINsentry for secure online banking logins, generating unique codes for enhanced security. Barclays’ digital platforms also comply with the British Standards Institute’s rigorous security standards, ensuring transaction safety.
Regular external audits further underscore Barclays’ commitment to security, establishing its reputation as a dependable banking partner for UK businesses focused on protecting their financial assets.
How Does Barclays Support Its Business Customers?
Barclays offers a comprehensive suite of customer support options tailored to the diverse requirements of your business. Whether you prefer digital communication or face-to-face interaction, Barclays ensures accessibility across various platforms. Support services are available through in-app chat, phone, or direct branch visits, catering to different urgency levels and preferences.
- In-app Chat: Ideal for quickly resolving straightforward queries, this option provides a rapid response, allowing you to address issues efficiently without significant wait times.
- Phone Support: Available from 7 a.m. to 11 p.m., phone support is equipped to handle more complex issues. Be aware that during peak hours, wait times may be longer. To streamline your call, having all necessary information ready beforehand is advisable.
- Branch Visits: For immediate concerns, visiting a Barclays branch is the most direct approach to obtain support. This option ensures you receive personal assistance and can resolve urgent issues promptly.
Each support avenue offers optimal convenience and efficiency, ensuring your business operations run smoothly with minimal disruption.
Barclays Business Account Customer Reviews
The Barclays Business Account attracts a range of opinions across major review platforms, reflecting its performance in digital banking and customer service.
Trustpilot: Users frequently praise the bank for its extensive range of services. However, there are also concerns about slow response times and delays in resolving issues, which suggest areas for improvement in customer support.
Apple App Store: The Barclays mobile app is often highlighted for its intuitive design and comprehensive features. Nonetheless, users occasionally encounter technical issues that impact their banking experience.
Google Play Store: The app receives commendations for its effective functionality and ease of use. However, some reviews point out that the service can lag during peak times, indicating a need for better scalability in high-demand periods.
What Are the Eligibility Requirements for Opening a Barclays Business Account?
Opening a Barclays Business Account requires meeting specific criteria to ensure the bank can offer effective support tailored to UK-based businesses:
- UK Residency: The business must be registered in the UK, with at least one director or partner who is a UK resident. This is crucial for ensuring that the account operations align with local financial regulations and practices.
- Business Structure: Eligible entities include sole traders, partnerships, limited companies, and limited liability partnerships. Understanding the variety of business structures Barclays supports can help potential customers determine if this account suits their specific business needs.
- Relevant Documentation: To verify identity and address, applicants must provide a passport or driving licence and a utility bill or bank statement. This documentation helps Barclays maintain high security and compliance standards.
- Restrictions: The number of directors or partners who can access certain account features may be limited. Businesses need to consider these restrictions when planning how they will manage their accounts.
These criteria ensure that the Barclays Business Account is accessible to many businesses while maintaining a secure and compliant banking environment.
How to Apply for a Barclays Business Account: Step-by-Step
Applying for a Barclays Business Account is streamlined for UK businesses. Here’s how to navigate the application process effectively:
- Gather Required Documents: Assemble all necessary documents, including a form of identification (passport or driving licence) and proof of address (recent utility bill or bank statement). Ensure these documents are up-to-date and valid.
- Business Information: Compile your business details, such as your registered business name, address, contact information, and, if available, your Companies House registration number.
- Online Application: Access the Barclays website, locate the business account section, and start your application by entering your personal and business details.
- Identity Checks: Expect Barclays to perform identity checks with your provided documents. Be ready to supply additional information if requested.
- Address Verification: Barclays will need to confirm your business address matches official records. Ensure the information you provide is accurate.
- Submit Application: After filling in all required fields and uploading necessary documents, submit your application for review.
- Await Approval: Barclays typically takes a few business days to review your application. Upon approval, you will receive a confirmation and instructions for setting up your account.
Barclays Business Bank Account vs Competitors
When evaluating the Barclays Business Bank Account, it must consider how it stacks up against its competitors regarding fees, features, and customer feedback. Here’s a comparative overview:
| Bank | Barlcays | HSBC | TSB |
|---|---|---|---|
| Monthly Fee | £8.50 (Free for first 12 months for new customers) | £10 (Free for first 12 months) | £5.00 (Free for 30 months) |
| Key Features | Free FreshBooks, Eagle Labs, FSCS protection | Free banking for 12 months, mobile app | Free business advice, online banking |
| Customer Feedback | Strong digital tools, robust support | Reliable service, competitive fees | Good customer service, lower fees |
| Learn More | Visit Barclays | Visit HSBC | Visit TSB |
Barclays distinguishes itself with a rich array of services, offering free FreshBooks and Eagle Labs access, which are particularly valuable for startups and expanding businesses seeking comprehensive support.
Its monthly fee, however, is higher than TSB, which offers lower fees and complimentary business advice. HSBC provides a balance with its competitive initial fee and robust mobile app, making it a strong contender in the market. Although Barclays is praised for its superior digital tools and support, its higher fees could be a drawback compared to digital-only banks.
Barclays Bank FAQs
What documents are required to open a Barclays Business Account?
To open a Barclays Business Account, you will need the following documents:
– A valid form of identification, such as a passport or driving licence
– A recent proof of address, which can be a utility bill or bank statement from the last three months
– Business registration details, including the company number for limited companies
– Information on business directors and shareholders, to comply with financial regulations
How long does the application process take?
The process of setting up a Barclays Business Account typically takes 5 to 10 working days. This timeframe can vary depending on how quickly you submit the required documents and any additional verifications that Barclays may need to conduct.
Are there transaction limits on the account?
Barclays has set daily transaction limits on its business accounts for security reasons. Online payments are capped at £50,000 per day. If you need to adjust these limits for your business needs, it is advisable to contact Barclays support directly to discuss your options.
Can I deposit cash at the Post Office?
Yes, Barclays Business Account holders can deposit up to £10,000 per transaction at any Post Office branch across the UK. Simply use your Barclays debit card to make the deposit.
Does Barclays offer mobile cheque deposits?
Barclays supports mobile cheque deposits through their banking app. To deposit a cheque, photograph it using the app, and follow the on-screen instructions to complete the deposit. This feature adds convenience by allowing cheques to be deposited without visiting a branch.
