🏠 Business Banking» Best Online-Only Business Bank Accounts UK (2026)
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Best Online-Only Business Bank Accounts UK (2026)
Tide leads on features at zero monthly cost: invoicing, receipt scanning, and accounting integrations in one app. Starling is genuinely free with no per-transaction charges and UK banking-licence deposit protection.
We ranked eight accounts on what matters if you are running a digital-first business: real monthly cost (not headline pricing), per-transaction fees, cash deposit route, FSCS protection status, and Making Tax Digital readiness. Every provider on this list operates without branches.
Tide leads on feature breadth at zero monthly cost. Starling is the only genuinely free option for domestic payments at any volume. Revolut wins for multi-currency operations. Zempler is the one that opens without a credit check, under its own UK banking licence.
If you transact digitally and handle cash only occasionally, any provider on this list works. If cash is daily operational reality, you probably need a different primary account; the two-account approach below covers it. Verified July 2026.
Quick Compare
Best Online-Only Business Bank Accounts at a Glance
Best Online-Only Business Bank Accounts at a Glance: Monthly Fee · Best For · Integrations
Fees, features, and cash deposit routes verified against provider websites, 27 August 2026.
Our Top Online-Only Business Account Picks
Best Overall
Pick Tide for the broadest online-only feature set: invoicing, receipt scanning, expense categorisation, and native Xero, QuickBooks, and FreeAgent integrations.
Free plan costs nothing; Tide Smart at £12.49/month lifts the free-transfer allowance to 30 a month, though on transfer fees alone it never undercuts the free plan. We rate it the strongest all-in-one digital account.
Starling is the only genuinely free online-only option at any volume: no monthly fee, no per-transaction charge, no minimum balance. UK banking licence so deposits are FSCS-protected up to £120,000.
If volume is high and features are secondary, Starling costs less than every other provider on this list.
Revolut wins for multi-currency operations: hold GBP, EUR, USD in one account with interbank FX. Basic costs £10/month with 10 free UK payments, then 20p each.
Grow removes per-transfer fees and adds higher FX allowances, at £35/month billed monthly or an effective £30/month if you pay £360 for the year. We rate it best if you run 10+ international transfers monthly, and only worth pre-paying if you are sure you will stay.
Zempler runs no credit check to open, and it does that while holding a full UK banking licence, so deposits sit under the statutory FSCS guarantee up to £120,000.
For a business with a county court judgment against it, or a thin file that the high street keeps turning away, that combination is genuinely hard to find elsewhere.
One thing to be clear about, because Zempler is often sold on it: the account pays no interest on your balance.
Its 0.5% savings pot sits on the £19-a-month Business Pro plan only, so if earning on cash is your aim, a dedicated business savings account will beat it comfortably. Verified against zemplerbank.com, 3 August 2026.
Which online-only business account is best for you?
The right account depends on your payment volume, how often you handle cash, what you need from accounting, and how much FSCS protection matters given your typical working balance. Use the grid below to find your fit, then follow the specialist guide for your situation.
Which online-only business account is best for you?
A Closer Look at Each Online-Only Business Account
We assessed each provider on five criteria: real monthly cost at typical volumes, accounting integrations, cash deposit route and fee, app support quality, and FSCS protection status. All eight operate without branches.
The focus is what differentiates them from each other, not from traditional banks.
Tide Free Business Account
Tide Free Business Account
A free, app-based business account with built-in invoicing and a direct Sage bank feed.
Watch out: After the first 5 free transfers each month, every bank transfer in or out costs 20p, and the free plan caps invoicing at 3 a month. Overseas card use carries a 2.75% FX fee on the free plan (0% on paid plans).
Not ideal if: Businesses needing an overdraft, branch access, or a multi-currency account that holds foreign-currency balances
Free plan£0/month. 5 free transfers in or out per month, then 20p each. 3 free invoices per month.
Smart plan£12.49/month (or £99.99/year). 30 free transfers then 20p each.
Pro plan£27.49/month (or £219.99/year). Unlimited transfers.
Max plan£69.99/month (or £559.92/year). Unlimited transfers and invoicing.
FX fee (free plan)2.75% on overseas card use
FX fee (paid plans)0% on overseas card use
International paymentsSend and receive supported (SEPA and SWIFT); not a multi-currency holding account
FSCS protectionYes, up to £120,000 (new accounts via ClearBank)
Eligible entitiesSole traders and freelancers, and UK limited company directors (not partnerships or LLPs)
Eligibility: UK sole traders and freelancers, and directors of UK limited companies. Partnerships, LLPs, CICs and charities are not eligible. Fast online application with photo-ID and selfie verification; standard KYC checks apply. New accounts are provided by ClearBank and are FSCS-protected up to £120,000. Some legacy accounts issued before the ClearBank switch remain on an e-money safeguarding model.
Not ideal if: Businesses needing an overdraft, branch access, or a multi-currency account that holds foreign-currency balances
Watch out: After the first 5 free transfers each month, every bank transfer in or out costs 20p, and the free plan caps invoicing at 3 a month. Overseas card use carries a 2.75% FX fee on the free plan (0% on paid plans).
No monthly fees on free plan
New accounts FSCS-protected up to £120,000 via ClearBank
Only 5 free transfers a month on the free plan, then 20p each way
Free, Smart and Pro cap invoicing at 3 a month; only Max is unlimited
2.75% FX fee on overseas card use on the free plan
No overdraft facility, and not a multi-currency account for holding foreign balances
Some legacy e-money accounts are safeguarded, not FSCS-protected
No branch access; partnerships and LLPs not eligible
Integrated invoicing: create, send and track from the app (3 a month on Free, Smart and Pro; unlimited on Max)
Automatic expense categorisation and receipt scanning
Direct integrations with Xero, QuickBooks, FreeAgent and Sage
Company formation from £1 with the Company Secretary subscription, or £14.99 stand-alone
Revolut Business Basic Account
Revolut Business Basic Account
Revolut suits incorporated businesses that pay across borders: interbank FX inside a monthly allowance, multi-currency accounts, and team expense cards with per-person limits.
Best for: Incorporated UK businesses that want one account for UK banking, multi-currency wallets, team expense cards, and FSCS protection
Watch out: Revolut’s own UK eligibility information is inconsistent on sole traders: its Help Centre lists them as unsupported, while its Revolut Bank UK Business Terms include “new sole traders”. Check the eligibility shown during sign-up before relying on either. Some businesses that applied during the phased rollout were opened with Revolut Ltd rather than the bank; Revolut says that rollout is complete and any such account transitions automatically. Check the entity named on your own statement.
Not ideal if: Businesses that need branch access, cash deposits, or an overdraft, and anyone whose monthly FX volume regularly spikes above the plan allowance
Basic plan£10/month (no annual discount)
Grow plan£35/month billed monthly, or £30/month effective on annual billing (£360/year)
Scale plan£125/month billed monthly, or £90/month effective on annual billing (£1,080/year)
FX allowance (Basic)£1,000/month at interbank rate, then 0.6% markup
FX allowance (Grow)£15,000/month at interbank rate, then 0.6% markup
FX allowance (Scale)£60,000/month at interbank rate, then 0.6% markup
Currencies held25+
Local account detailsGBP, EUR, USD
Team cardsYes (physical and virtual, with spend limits and controls)
FSCS protectionUp to £120,000 on eligible deposits held by Revolut Bank UK Ltd. Check your account terms for your contracting entity.
Eligible entitiesLimited companies, LLPs and partnerships; sole traders unclear, Revolut’s own sources disagree
Eligibility: Limited companies, LLPs and partnerships registered in the UK are eligible for Revolut Business. Sole traders are a genuine open question: Revolut’s Help Centre lists them as unsupported, while its Revolut Bank UK Business Terms effective 28 April 2026 include “new sole traders”. We have not found a definitive answer in Revolut’s current published material, so check the eligibility shown during sign-up before relying on either page. Revolut Pro is the product Revolut points unincorporated individuals to. Revolut is also available to businesses in many EU and EEA countries. Restricted and prohibited industries include gambling, adult content, and certain financial services. Standard KYC and company document checks apply on opening. FSCS protection up to £120,000 applies to eligible deposits held by Revolut Bank UK Ltd; some accounts may still be on the older Revolut Ltd e-money entity during the phased migration. Check your in-app terms to confirm your contracting entity.
Not ideal if: Businesses that need branch access, cash deposits, or an overdraft, and anyone whose monthly FX volume regularly spikes above the plan allowance
Watch out: Revolut’s own UK eligibility information is inconsistent on sole traders: its Help Centre lists them as unsupported, while its Revolut Bank UK Business Terms include “new sole traders”. Check the eligibility shown during sign-up before relying on either. Some businesses that applied during the phased rollout were opened with Revolut Ltd rather than the bank; Revolut says that rollout is complete and any such account transitions automatically. Check the entity named on your own statement.
FSCS protection up to £120,000 on bank entity accounts
Interbank FX rate inside the monthly allowance
Team expense cards with per-card spend limits and controls
Invoicing on every plan including Basic
API access on Grow and Scale plans
No cash or cheque deposits at all, which rules it out as a sole account for takings
Grow is £35/month and Scale is £125/month when billed monthly
FSCS cover follows the entity, so it is worth checking which one your statement names rather than assuming
No overdraft facility
FX carries a 0.6% markup above the monthly allowance
Multi-currency accounts with interbank FX inside monthly allowances
Team expense cards with custom spending limits and merchant controls
Batch payment processing for payroll and supplier runs
Invoicing on every plan; card payments via separate Merchant account
ANNA Money Pay As You Go Account
ANNA Money Pay As You Go Account
ANNA scans your receipts and works out your tax as you go, so it suits sole traders who would rather the bookkeeping ran itself than log into a separate tool.
Watch out: 20p per transfer after the first 20 free each month; international SWIFT payments cost £5 plus 1% currency conversion.
Not ideal if: Businesses making many daily transactions or needing FSCS deposit protection
Pay As You Go (PAYG)£0/month. 20 free transfers/month, then 20p each. 0.95% commission on all incoming payments other than transfers from your own accounts. £5 per SWIFT payment.
Business plan£22.90/month + VAT. 60 free local transfers/month, then 20p each.
Big Business plan£59.90/month + VAT.
+Taxes add-on£29.00/month + VAT. For limited companies only.
Incoming-payment cost exampleA freelancer receiving £5,000/month in client payments on PAYG pays £47.50 in incoming-payment commission alone (0.95%), before any other fees.
FX fee1% currency conversion on card payments abroad
International SWIFT transfers£5 per payment
Accounting integrationsBuilt-in tax and expense tools (limited third-party integrations)
OverdraftNot available
FSCS protectionNo on the main account (e-money, safeguarded under the Electronic Money Regulations 2011). ANNA’s separate Griffin easy-access savings account is FSCS protected up to £120,000.
Eligibility: UK sole traders, limited companies, and LLPs are eligible. Fast app-based setup. Standard KYC and identity checks apply. ANNA is an e-money account (not a bank), so funds are safeguarded at partner banks rather than covered by FSCS.
Not ideal if: Businesses making many daily transactions or needing FSCS deposit protection
Watch out: 20p per transfer after the first 20 free each month; international SWIFT payments cost £5 plus 1% currency conversion.
AI-powered receipt scanning and tax calculations
Automatic expense categorisation
Built-in invoicing with payment chasing
Company formation through the app
Pay As You Go pricing suits low-volume businesses
0.95% commission on incoming payments on PAYG makes it expensive for freelancers with regular client revenue: £47.50/month on £5,000 of receipts
20p per transfer after the first 20 free each month on PAYG
No FSCS protection on the main account (e-money safeguarded; only the separate Griffin savings account is FSCS protected)
Not a Current Account Switch Service participant
Limited third-party integrations
No overdraft facility
AI receipt scanning, photograph and auto-categorise expenses
Integrated invoicing with automatic payment reminders
Automatic VAT and self-assessment preparation
Zempler Bank Business Go Account
Zempler Bank Business Go Account
One of the few digital banks to offer an overdraft facility on a free account, alongside built-in accounting, invoicing and Making Tax Digital tools that most app-only accounts charge for or don’t offer.
Best for: Free banking with built-in accounting and an overdraft option
Watch out: Only 3 free bank transfers a month on the free Business Go plan, then 35p each (20 free on Extra, 500 on Pro). Built-in accounting, invoicing and Making Tax Digital tools are free; third-party integrations are fewer than Tide or Starling.
Not ideal if: Businesses needing deep third-party accounting integrations like Xero or QuickBooks
Business Go (free)£0/month. 3 free UK bank transfers/month, then 35p each.
Business Extra£9/month. 20 free transfers/month, then 35p each.
Business Pro£19/month. 500 free transfers/month, then 35p each. Includes 0.5% interest-earning savings pot.
Card purchasesFree
OverdraftUp to £10,000 subject to eligibility. Limited companies can apply at account opening; sole traders qualify after 3 months. First £5 interest-free.
Built-in bookkeepingYes, free on all plans: receipt scanning, invoicing, expense categorisation
MTD for Income TaxBuilt in on all plans
Tap to PayFree in-app via Stripe (iPhone XS+ / Android NFC). No Zempler fee; standard Stripe rate applies.
Cash depositsPost Office: £4 minimum or 0.55% of deposit, whichever is greater
FSCS protectionUp to £120,000 (Zempler Bank Ltd)
Phone supportUK line on all plans: 8am-6pm Mon-Fri, 8am-4pm Sat, closed Sun. Lost or stolen cards 24/7.
Eligibility: Sole traders, LTDs, LLPs, partnerships
Not ideal if: Businesses needing deep third-party accounting integrations like Xero or QuickBooks
Watch out: Only 3 free bank transfers a month on the free Business Go plan, then 35p each (20 free on Extra, 500 on Pro). Built-in accounting, invoicing and Making Tax Digital tools are free; third-party integrations are fewer than Tide or Starling.
Built-in accounting, invoicing and MTD tools at no extra cost
FSCS protected up to £120,000
No monthly fees
Overdraft facility available, rare for a digital bank
UK phone support on every plan, including the free Business Go tier
Free in-app Tap to Pay for accepting contactless card payments, no separate reader or Zempler fee
Only 3 free bank transfers/month on the free Business Go plan, then 35p each
Third-party accounting integrations more limited than Tide or Starling
Fewer digital features than Tide or Starling
Relatively small user base
Free business current account with built-in accounting, invoicing and MTD tools
FSCS deposit protection up to £120,000
No monthly account fees
Free payments a month by plan: 3 on Business Go, 20 on Extra (£9), 500 on Pro (£19), then 35p each
In-app Tap to Pay (via Stripe) to accept contactless card payments, free of any Zempler fee
Countingup Bank Account
Countingup Bank Account
Countingup Bank Account combines a full bank account (powered by Griffin) with built-in bookkeeping and real-time tax estimates.
Best for: Sole traders who want banking, bookkeeping and tax tools in one app
Watch out: Monthly fee from £5 (deposit-tiered); 27p per transfer after the first 3 free each month; fewer integrations than dedicated accounting tools
Not ideal if: Businesses needing advanced accounting, multi-user access, or overdraft facilities
Monthly fee (deposits £0–£750)£5/month
Monthly fee (deposits £750.01–£7,500)£12/month
Monthly fee (unlimited deposits)£20/month
UK bank transfersFirst 3 free per month, then 27p each
Tax pot interest1.2% AER (Variable) on tax pot balance. Rate tracks BoE base rate.
FSCS protectionEligible deposits FSCS-protected up to £120,000. Bank account powered by Griffin.
Built-in bookkeepingFull bookkeeping, HMRC and invoice management at no extra charge
HMRC statusHMRC recognised partner
Tax estimatesReal-time income tax and VAT estimates based on your transactions
InvoicingBuilt in with payment tracking
Cash depositsAccepted via Post Office
Accounting integrationsCSV export; no native Xero or QuickBooks connection
CASS switchingNot a participant; manual migration required
Eligible entitiesSole traders, limited companies
Eligibility: Sole traders, LTDs
Not ideal if: Businesses needing advanced accounting, multi-user access, or overdraft facilities
Watch out: Monthly fee from £5 (deposit-tiered); 27p per transfer after the first 3 free each month; fewer integrations than dedicated accounting tools
FSCS-protected up to £120,000 (powered by Griffin)
Banking and bookkeeping combined in one app
1.2% AER (Variable) earned on tax pot balance
HMRC recognised partner
Real-time tax estimates and invoicing included
Full bookkeeping and HMRC management at no extra charge
Monthly fee from £5 (rises with deposit volume)
27p per transfer after first 3 free per month
No Xero, QuickBooks or Sage integration
No overdraft facility
Limited to sole traders and LTDs
Bank account powered by Griffin. FSCS-protected up to £120,000.
1.2% AER (Variable) on tax pot balance
HMRC recognised partner with built-in MTD tools
Full bookkeeping, invoicing and HMRC management included
Real-time profit, loss and tax estimates
Starling Bank Business Current Account
Starling Bank Business Current Account
Free UK transfers, free ATM withdrawals and an optional overdraft make Starling the most complete free digital account for a business that wants a proper bank, not just a payments app.
Best for: Free banking with built-in invoicing and an overdraft; MTD accounting is a paid add-on
Watch out: No branch access and limited human support options. International SWIFT transfers cost 0.4% currency conversion plus £5.50 delivery fee each. The free invoicing and Accounting Essentials features are confirmed on Starling’s sole trader account; verify feature parity before assuming an identical set on the limited company account.
Not ideal if: Businesses that need face-to-face banking, complex lending, or Sage integration
Monthly feeFree
UK bank transfersFree
Native invoicingFree (sole trader account)
MTD for Income TaxHMRC-recognised, built into Accounting Essentials, free
Accounting integrationsXero, QuickBooks, FreeAgent, Penfold, SumUp, all free
FX rateMastercard exchange rate
International SWIFT transfers0.4% currency conversion + £5.50 delivery fee per payment
OverdraftAvailable (subject to eligibility)
Multi-currency accountsEuro and USD sub-accounts available
CASS switchingSupported for business accounts
FSCS protectionYes, up to £120,000
Eligible entitiesSole traders, limited companies, LLPs (general partnerships not supported)
Eligibility: UK sole traders, limited companies, and LLPs are eligible. General partnerships are not currently supported. Standard identity and business verification required. FSCS protection up to £120,000 applies to eligible deposits.
Not ideal if: Businesses that need face-to-face banking, complex lending, or Sage integration
Watch out: No branch access and limited human support options. International SWIFT transfers cost 0.4% currency conversion plus £5.50 delivery fee each. The free invoicing and Accounting Essentials features are confirmed on Starling’s sole trader account; verify feature parity before assuming an identical set on the limited company account.
Completely free with no monthly fees and no UK transfer fees
Free invoicing and free Accounting Essentials (HMRC-recognised MTD tool) on the sole trader account
Free integrations with Xero, QuickBooks and FreeAgent
FSCS protected up to £120,000
App scored 86% for online service (Ipsos 2026)
Overdraft available subject to eligibility
Supports the Current Account Switch Service
No branch access
Limited human support options
Overdraft not guaranteed
Free business current account with no transaction fees
Free native invoicing and free Accounting Essentials (HMRC-recognised MTD for Income Tax)
FSCS deposit protection up to £120,000
Overdraft facility (subject to eligibility)
Euro and USD sub-accounts
Current Account Switch Service participant
Monzo Business Lite Account
Monzo Business Lite Account
The app leads the 2026 Ipsos service survey, scoring 90% for online banking, with pots that ring-fence money for tax and VAT.
Best for: Clean mobile banking with smart budgeting
Watch out: Free plan is very basic; most useful features require Pro (£9/month, first month free). Incoming foreign currency payments incur a 1% conversion fee (capped at £1,000 per transaction) on all plans.
Not ideal if: Businesses needing branch access or complex lending products.
Lite plan£0/month. Unlimited free UK bank transfers. Very basic feature set.
Pro plan£9/month (first month free). Adds invoicing, Xero and QuickBooks integrations, and multi-user access.
FX on card spendMastercard exchange rate; fee-free abroad on paid plans
Incoming FX payments1% conversion fee (capped at £1,000 per transaction) on all plans
Cash deposits£1 per deposit via PayPoint. Monthly limit: £3,000 (sole trader), £10,000 (limited company).
Accounting integrationsXero, QuickBooks (Pro plan only). FreeAgent (Lite plan, via Monzo’s partnership).
FSCS protectionUp to £120,000 on eligible deposits (Monzo Bank Ltd, all plan tiers)
CASS switchingFull participant
Eligible entitiesSole traders, limited companies
Eligibility: Sole traders, LTDs
Not ideal if: Businesses needing branch access or complex lending products.
Watch out: Free plan is very basic; most useful features require Pro (£9/month, first month free). Incoming foreign currency payments incur a 1% conversion fee (capped at £1,000 per transaction) on all plans.
Regulated UK bank account, FSCS protected up to £120,000 on eligible deposits (all plan tiers)
Budgeting pots; app scored 90% for online service (Ipsos 2026)
Tax pot automatically sets aside estimated tax
Free Lite plan available
Instant spending notifications
Fee-free spending abroad on paid plans
Free plan is very basic
Most useful features require Pro (£9/month)
1% conversion fee on incoming foreign currency payments (capped at £1,000 per transaction)
Overdraft subject to eligibility; not guaranteed
No branch access
Pots for ring-fencing tax, savings, and expenses
Tax pot with automatic percentage set-aside
Integrations with Xero, QuickBooks, FreeAgent
Fee-free spending abroad (paid plans)
Mettle Business Bank Account
Mettle Business Bank Account
Backed by NatWest, Mettle offers completely free banking with native invoicing and a free FreeAgent subscription included.
Best for: Genuinely free banking for sole traders, with native invoicing and free FreeAgent
Watch out: FreeAgent stays free only if you make at least one transaction a month from your Mettle account; the optional Mettle+ upgrade (£4/month) is needed to convert quotes into invoices. Not a CASS participant, so switching in or out is a manual process.
Not ideal if: Businesses needing overdraft, multi-owner access, or CASS switching
Standard planFree. No monthly fee, no transaction fees.
FSCS protectionUp to £120,000 (provided by NatWest)
CASS switchingNot a participant; manual migration required
Eligible entitiesSole traders, limited companies (up to two owners; one account holder only)
Eligibility: Sole traders, LTDs with up to two owners (only one owner can access the account).
Not ideal if: Businesses needing overdraft, multi-owner access, or CASS switching
Watch out: FreeAgent stays free only if you make at least one transaction a month from your Mettle account; the optional Mettle+ upgrade (£4/month) is needed to convert quotes into invoices. Not a CASS participant, so switching in or out is a manual process.
Completely free, no monthly fees, no transaction fees
Native invoicing included free, with automatic payment matching
Free FreeAgent subscription included (subject to a monthly-transaction condition)
FSCS protected (backed by NatWest)
Simple, no-frills interface
No hidden charges
FreeAgent stays free only if you transact at least once a month from the Mettle account
Converting quotes to invoices needs the paid Mettle+ upgrade (£4/month)
Not a CASS participant, switching is a manual process
No overdraft facility
Only one owner can access the account, even on a two-owner LTD
Genuinely free business banking with zero transaction fees
Free FreeAgent accounting software subscription (conditional on monthly account activity)
FSCS deposit protection (NatWest-backed)
Optional Mettle+ (£4/month) for quote-to-invoice conversion
What Online-Only Business Accounts Really Cost
Headline “free” pricing hides per-transaction fees that compound with volume. We modelled actual cost at 100 UK faster payments a month across all eight providers and confirmed the numbers from each provider’s published pricing in July 2026.
Traditional UK banks charge 1.5% to 3% on the same FX conversion, which is why Revolut pays back fast for regular international payments.
We modelled a £10,000 monthly USD-to-GBP conversion: Revolut costs £40 to £100, a traditional bank £150 to £300. Over a year that is £1,200 to £2,400 in avoidable FX markup.
Starling has no paid tier and its free plan covers the basics. If you need invoicing or receipt scanning, a Tide Smart or Monzo Pro account alongside Starling beats switching.
Cash Handling With Your Online-Only Business Account
Cash handling is the biggest practical limit of online-only banking. Every provider routes cash deposits through PayPoint or the Post Office network, or refuses cash entirely. We verified deposit routes and fees with each provider in April 2026.
Cash Deposit Routes by Provider
Tide accepts cash at PayPoint at 3% of the deposit; Monzo at £1 per deposit. Starling uses the Post Office network at 0.7% of the deposit (minimum £3). ANNA supports Post Office deposits. Revolut does not accept cash deposits at all.
For providers supporting cash, you generate a paying-in slip in the app before visiting the deposit location. The process takes minutes but only works at participating locations. Check coverage near your trading address before picking a provider.
Break-Even Cash Volume
At £500 of cash a month, Starling costs £3.50 (0.7%, minimum £3 per deposit), Tide costs around £4 (four bags). Negligible against zero monthly fees. At £5,000 a month, Starling’s 0.7% reaches £35, above the £8/month traditional bank fee. The break-even is roughly £3,500 a month in cash deposits.
If your cash volume sits below that, online-only is cheaper than a high-street account. Above it, either accept the premium for digital features or run the two-account approach.
The Two-Account Approach
For businesses with daily cash takings, the cleanest setup is two accounts: online-only as the primary for digital income and accounting; a traditional bank account for cash deposits that sweeps weekly to the online-only account. Starling and Tide both allow multiple accounts without restriction.
Which Features Matter Most for Online-Only Business Accounts
Features that matter at a traditional bank (branch access, relationship manager, wet-signature forms) are unavailable by definition. What matters instead is app quality, integration depth, and whether FSCS protects your balance when something goes wrong.
App Quality and In-App Support
Tide, Starling, Revolut, and Monzo all offer real-time in-app chat with priority response on paid plans.
We rate Monzo highest on UX polish, Starling tightest on banking basics, Tide broadest on business features, and Revolut most feature-dense (which can overwhelm if you only need basic banking).
If your support escalation routes matter (disputed transactions, fraud, card replacements), the banking-licence providers (Starling, Monzo, Zempler, Mettle) offer statutory dispute pathways that e-money providers do not.
Accounting Integrations
Tide, Starling, and Monzo Pro integrate directly with Xero, QuickBooks, and FreeAgent. Revolut covers Xero and QuickBooks. Mettle includes a free FreeAgent subscription as an NatWest-backed benefit.
If your accountant reconciles monthly, pick a provider with native depth; manual CSV imports each month cost founder time you do not have.
FSCS Protection vs E-Money Safeguarding
Starling, Monzo, Mettle, and Zempler hold UK banking licences; eligible deposits are FSCS-protected up to £120,000. Revolut holds a UK banking licence and is migrating accounts to the FSCS-covered entity: check in-app to see which entity holds your money.
Tide holds an e-money licence but accounts are held at ClearBank (a UK bank), so Tide balances are also FSCS-protected up to £120,000. ANNA and CountingUp hold e-money licences; funds are safeguarded but do not carry the FSCS guarantee.
The practical difference matters if a provider fails: safeguarding returns your balance from the ring-fenced pool, but without the government guarantee or the statutory seven-working-day payout that FSCS provides. See our guides to bank accounts vs e-money accounts and FSCS vs safeguarding.
Accounting and Making Tax Digital
Making Tax Digital (MTD) for Income Tax is now mandatory for qualifying sole traders and landlords with annual income over £50,000, from 6 April 2026. The threshold drops to £30,000 from April 2027 and £20,000 from April 2028. Your bank account choice affects how you meet this requirement.
If you already use Xero, QuickBooks, or FreeAgent, what you need is a solid bank feed and reliable sync. If you want to ditch the accounting subscription altogether, you need an account with bookkeeping built in.
If your books run on Xero, QuickBooks, or FreeAgent, Tide or Starling give the deepest native connections at no extra cost.
If you want to ditch a separate bookkeeping subscription, Zempler or CountingUp log receipts, calculate tax estimates, and raise invoices from within the account, saving you a £10–25/month app fee.
Mettle’s free FreeAgent subscription is the standout deal for qualifying FreeAgent users (sole traders and single-director LTDs only).
Making Tax Digital for Income Tax does not apply to limited companies at all. It covers sole traders and landlords: from April 2026 where qualifying income tops £50,000, from April 2027 above £30,000, and from April 2028 above £20,000. So it only bears on this choice if you trade as a sole trader (gov.uk, checked 27 August 2026).
How to Choose the Right Online-Only Business Account
The right account depends on four things in this order: your cash deposit volume, your payment volume, whether you trade multi-currency, and which accounting integrations your books need.
Choose by Cash Volume
Under £500 of cash monthly: any provider on this list works, fee impact is negligible. £500–£3,500: Tide or Monzo via PayPoint keeps deposit costs below traditional bank monthly fees. Above £3,500: either a traditional bank primary, or the two-account approach covered above.
Choose by Payment Volume
Under 68 outgoing payments a month: Starling free or Tide (5 free a month, then 20p each). 68–100: Tide Smart at £12.49/month or stay on Starling. 100+: Starling stays free regardless of volume, no other provider matches that at scale without a paid tier.
Choose by Accounting Needs
Xero or QuickBooks user: Tide, Starling, Monzo Pro, or Revolut. FreeAgent user: Tide, Starling, or Mettle (free subscription included). Want native invoicing and VAT without a third-party app: ANNA or CountingUp.
Switching from a traditional bank to an online-only provider adds complexity that a like-for-like switch does not: Current Account Switch Service (CASS) coverage varies, cash deposit routes change, and some historic direct debits need re-authorising. Plan the switch over 30–60 days, not a weekend.
Which Providers Support CASS
Starling, Monzo, Revolut, Tide, and Zempler participate in the Current Account Switch Service: direct debits, standing orders, and incoming payments migrate within seven working days. Mettle, ANNA, and Counting Up do not participate in CASS; you migrate payment mandates manually.
For a non-CASS switch, export your existing direct debits list and update each one by hand. Budget 2–4 hours for the admin; this is the single most-skipped step in business account switches and the usual cause of missed payments.
Running Both Accounts in Parallel
A full CASS switch closes the old account for you, so there is no parallel window to keep. If you migrate manually instead, keep the old account open for 30–60 days: occasional direct debits trigger late, and some clients take weeks to update vendor records.
If you are switching primarily for lower fees, model the saving against the one-off admin cost. For most active businesses, Starling or Tide pays back the switch effort within 2–3 months.
Updating Clients and Suppliers
Update your invoice template before sending the next batch. For outstanding invoices, email each client with the new account details and ask them to update their payment records. Payroll is the highest-risk mandate: update HMRC and your payroll provider before the first cycle after the switch.
Frequently Asked Questions
Are online-only business bank accounts FSCS protected?
Several are FSCS-protected, but the cover varies by provider. Starling, Monzo, Mettle, and Zempler are authorised UK banks; eligible deposits are FSCS-protected up to £120,000. Tide is not a bank itself but holds accounts at ClearBank, which is a UK bank, so Tide balances are also FSCS-protected up to £120,000. Revolut holds a UK banking licence and is migrating accounts to its bank entity; FSCS protection applies once your account sits on Revolut Bank UK; check your in-app terms to see which entity holds your money. ANNA and CountingUp hold e-money licences; funds are safeguarded in ring-fenced accounts but do not carry the statutory FSCS guarantee. See our guide to bank accounts vs e-money accounts and FSCS vs safeguarding for detail.
Can you get a business loan from an online-only bank?
Most online-only providers do not offer traditional business loans or overdrafts. Tide provides access to funding through a lending marketplace. You apply in the app and connect with suitable lenders. Starling publishes overdraft terms but has paused new applications, so it is not a route to one today. Monzo still lends to sole traders, up to £3,000. Revolut, ANNA, Mettle, and Counting Up do not offer business lending. If you need an overdraft or term loan built into your banking, a traditional bank is the realistic option.
How do you deposit cash with an online-only business account?
Tide accepts cash deposits via PayPoint at 3% of the deposit; Monzo charges £1 per deposit. Starling uses the Post Office network at 0.7% of the deposit amount (minimum £3). ANNA supports Post Office deposits. Revolut does not accept cash deposits. For providers that support cash, you generate a paying-in slip through the app before visiting the deposit location. We verified this process with each provider in April 2026.
How quickly can you open an online-only business bank account?
Most online-only providers (Tide, Starling, Revolut, Monzo, and ANNA) open accounts within minutes to a few hours using app-based ID verification. You upload a photo ID, complete a selfie check, and receive an account decision in the app. Some applications trigger manual review and take 1–2 business days. Traditional banks typically take 5–10 working days including an appointment or video call.
Can a limited company open an online-only business bank account?
Yes. Tide, Starling, Revolut, and Monzo all accept limited companies. You need to provide your Companies House registration number, proof of identity for directors, and confirmation of your registered address. Mettle is the exception: it only accepts sole traders and single-director LTDs and does not support companies with multiple directors or shareholders.
Can I switch to an online-only business bank account using CASS?
Yes, if you choose a provider that participates in the Current Account Switch Service. Starling, Monzo, Revolut, Tide, and Zempler all support CASS: direct debits, standing orders, and incoming payments migrate automatically within seven working days. Mettle, ANNA, and CountingUp do not participate; you migrate payment mandates manually, which takes 2–4 hours of admin. On a manual move, keep the old account open for 30–60 days to catch any stragglers. A full CASS switch closes it for you.
How we reviewed Best Online-Only Business Bank Accounts
Ranking criteria. We scored eight providers on five factors: real monthly cost at typical transaction volumes (not headline pricing), cash deposit access and fee, FSCS protection or safeguarding status, accounting integration depth, and app support quality.
Cost and protection carry the heaviest weight because they apply across every business type. Features like invoicing and receipt scanning break ties where cost is similar.
What we checked. We reviewed each provider’s published pricing and terms, cross-checked regulatory and FSCS status on the FCA register, and traced each provider’s in-app cash deposit flow to verify routes and fees. Pricing and terms verified July 2026.
What we did not do. We did not independently test every feature on every plan, or contact each provider’s business support team as a formal test.
App quality ratings reflect published survey data (Ipsos 2026 service survey) and publicly verifiable in-app features, not our own simulated support interactions.
Update cadence. We re-verify pricing, eligibility, and regulatory status whenever a provider announces a change, and carry out a full check at least every six months. The verification date at the top of this page reflects the most recent full review.
Commercial disclosure. Some providers on this page are affiliate partners of BusinessExpert. We may earn a commission if you open an account via a link on this page.
This does not affect our rankings, our verdicts, or any editorial judgement on this page. See our editorial policy for the full disclosure.
Tide Free Business Account
Revolut Business Basic Account
ANNA Money Pay As You Go Account
Zempler Bank Business Go Account
Starling Bank Business Current Account
