Why To Have A Separate Business Bank Account?
Many people open their business bank account. Legally it is not compulsory to open the business bank account, but the bank offers some great facility for business and because of which we open the business bank account. It is beneficial if you have a separate business bank account because it helps you have a different bank account for business income and expenditure.
Having a business bank account helps you to manage your account easily and it also simplify the sorting of records. Mike Harding, the senior manager of customer recruitment from Lloyds TSB says that thee are number of bans who offers credit card for business and purposes and if you choose the business account, then it will make it simpler to manage your bank account.
If you are using a personal account then it might get difficult for you to give someone else to sign your account when your business gets a better grown. Mike Harding also said that most of the bank also gives free banking facility in the starting.
Mike Harding has pointed that in a business, business manager plays a vital role. If you want any advice then business managers is who helps you out by giving a proper suggestion, therefore there would not be any business manager looking out for you if you don’t have a business account. If you want to the business manager and you pay them, then they might give you a better and some different optional solutions for your business.
Mike Harding also says “If you use personal bank account to operate your business, then the bank would not consider your account as special as it is a personal bank account. That means you will cover the banking code for personal account and you will not be having the business banking code.”
Where, it is not mandatory that you cannot use your personal account for your business and purpose, but the bank might ask you to open a different bank account to get all the business benefits. The bank does all this by considering their business terms and condition.
Mike Harding also said that it is true that, if in your account you are paying a lot of cash. It becomes costly for bank to deal with your account and the bank would charge you for this purpose. But if you have a personal account they cannot do all this.