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Business Setup & Legalbeginner

Business Bank Account

Definition

A separate bank account used exclusively for business income and expenses, legally required for limited companies, strongly recommended for sole traders.

Why it matters

Mixing personal and business finances is the most common small business accounting mistake. A dedicated business account makes bookkeeping clean, taxes easier, and your business credibility stronger.

Example

Open a free business account with Starling, Monzo Business, or Tide within 24 hours. All client payments go in, all business expenses go out. Your accountant sees a clean record.

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