Lloyds Business Account review: A detailed guide

One of the many considerations for UK business owners is choosing the best business account for their needs. Which brings us to our Lloyds Business Account review.

As one of the UK’s ‘Big Four’, Lloyds Bank serves more than one million business users across the UK. Here, we uncover the different types of Lloyds Business products and fees, as well as the procedures of opening and closing Lloyds Business Accounts.

We’ll also explore the TransferGo Business Account—a simple-to-use, multi-currency account that allows you to send, receive and manage your money from all around the world.

Ready to explore the Lloyds Business Account? Let’s go.

Lloyds Bank Business Account products

Lloyds Bank Business Accounts are specifically tailored for businesses with a turnover of less than £25 million. When you open a Lloyds Bank Business Account, you’ll be able to access a range of different benefits. These include:

Innovative banking

With Lloyds Bank, you have the option to access your account online, via the mobile app, in branch or over the phone. With its easy-to-use digital banking features, you can manage your money, track and/or monitor transactions and automate payments.

Trade

Lloyds Bank offers businesses a range of trade finance services designed to help businesses finance growth and manage new risks efficiently. The service also provides help to businesses looking to produce and ship goods, as well as gain access to finance that’s tailored to their trade patterns.

Commercial cards

Lloyds’ commercial cards aim to give its business users control over their expenses by providing crucial data around what’s been spent, where and by whom. This helps businesses control costs, manage risk and effectively negotiate with their suppliers. 

Payments

Business users have the option to work with multiple currency options including GBP, EUR and USD. 

Liquidity and investments

Lloyds Bank provides business users with the option to deposit any surplus of corporate money into a dedicated account, with relationship directors on hand to offer tailored advice in this area if required.

Lloyds Bank Business Account Types

Lloyds Business Accounts are highly accessible and user-friendly, making them a convenient choice for all businesses. When opening Lloyds Bank Business Accounts, you can choose from the following types of business account:

Lloyds sole trader account  

If you’re a sole trader, the Lloyds Business bank account for start-ups and small businesses is available. Whilst sole traders aren’t legally required to have a business account, this one offers many benefits including keeping all of your business finances in one place and making it easier to manage your finances on the whole.

Small business account (Lloyds)

If you’re a small business, the Lloyds Business bank account for start-ups and small businesses is also ideal. Its free accounting software lets you stay in control of your finances and provides the facility to create and send professional-looking invoices. There are also business loans and overdrafts available to help your business grow. 

Lloyds Business Banking Account  

As long as your annual turnover is less than £25 million, you can benefit from the Lloyds Business Banking Account. As well as letting you stay in control of your finances with accounting tools, it allows you to earn interest on your savings, conduct business overseas (with 24/7 international payments) and protect your business with business insurance. What’s more, it offers a business debit card with no associated fees and is free for new customers for the first 12 months.

Lloyds International Business Account  

If your business deals in cross-border operations and has an annual business turnover of more than £3 million, then the Lloyds Foreign Currency Account is available. With it, you can minimise your foreign currency exchange costs, manage your exposure to exchange rate movements and choose from a wide range of foreign currencies including EUR and USD. There are also overdraft facilities available and no minimum balance is required.

Lloyds Business Account fees

When it comes to setting up a business account, it’s important to know the fees. The business account aimed at sole traders and small businesses comes with no monthly account fee for the first 12 months (providing you are a new business customer). After that, it’s £8.50 a month. 

Meanwhile, the business bank account aimed at larger businesses with an annual turnover of between £3 million and £25 million has a £15 monthly maintenance fee. If you opt for the electronic business tariff, which offers free electronic transactions, a £20 monthly maintenance fee applies.

For commercial bank accounts aimed at businesses with a turnover of more than £25 million, a relationship manager or service centre contact will advise on the specific charges involved.

How to open a Lloyds Business Account

When it comes to how to open Lloyds Business Accounts, the process is pretty easy. Let’s break it down.

Requirements for opening an account

Before opening Lloyds Business Accounts, you must make sure you meet Lloyds’ eligibility criteria. You must be at least 18 years old, a UK resident and a sole trader or director of the business in question. Your annual turnover must also be less than £25 million.

If you have a limited company, you must make sure that your company has been registered with Companies House for at least four days before opening your account. Your company must also have an ‘active’ status on the Companies House register.

Documents needed

To open your Lloyds Business Bank Account, you’ll need to provide proof of identity, a copy or photograph of your signature and your business name, address, details of your activities and estimated annual turnover. You’ll also need to provide the name, dates of birth and three-year personal address history, mobile number and email address for everybody connected to the account.

Online account opening process

Lloyds Bank makes it easy to apply for a bank account online. All you need to do is visit the website, choose your preferred account and follow the steps to complete your application. You’ll also need to upload the required documents.

In-branch account opening

If you prefer face-to-face interaction, you can also visit a Lloyds branch. Simply bring your documents along with you and speak to a representative who’lll guide you through the process. It’s recommended that you book an appointment in advance to avoid long waiting times in branch.

Verification and approval process

After submitting your application, Lloyds will verify your details and documents. Once the approval process is complete, you’ll receive your account details and can start banking immediately. You can check the status of your application at any time using the log-on button provided in your welcome email.

Digital banking features

Lloyds Business Accounts include access to digital banking tools for tracking finances, managing payments and generating reports. You can also access your account on the move thanks to the Lloyds Business banking app, which lets you log in using your fingerprint or facial ID on a compatible device.

How to close a Lloyds Business Account

If you decide to close your business bank account or wish to switch your account to another provider, the process is relatively straightforward. Here are some frequently asked questions about how to close Lloyds Business Bank Accounts.

Can I close a Lloyds Business Bank Account online? 

Unfortunately, it is not possible to close your Lloyds Business Bank Account online. To do so, you’ll need to complete an account closure request form, which can be completed and submitted via email or post. You can download this form here.

Can I close a Lloyds Business Account in branch? 

You may be able to visit one of the Lloyds branches to collect an account closure request form, which needs to be submitted via email or post. Unfortunately, it’s not possible to complete the entire bank account closure process in store.

How to close a Lloyds Business Account – other options

If you need to speak to somebody regarding closing your Lloyds Business Bank Account, you can contact the Lloyds customer service team and follow their guidance. 

Required documents to close a Lloyds Business Account

When closing a Lloyds Business Account, you’ll need to submit a completed account closure form. The fastest way to do this is via email.

The form will ask for a variety of details including the details of the bank account(s) you wish to close, your contact details and nominated account details and your authorisation and personal account details including approvers’ signatures.

Lloyds Business Account contact

If you have any questions or comments about closing your Lloyds Business Bank Account, remember that the Lloyds customer support team is available online, via phone or in branch. 

Wondering whether Lloyds Business complies with the necessary security regulations? Read our latest guide here: Is Lloyds Business Safe?

TransferGo Business Account

If you’re still not sure about the Lloyds Business Bank Account, consider the TransferGo Business Account. Designed to save business users time, money and effort, it lets you send, receive and manage money from around the world with one simple-to-use, multi-currency account.

There are zero set-up fees or subscription costs and you can hold and exchange multiple currencies at once. What’s more, there are zero fees on major routes with transfer margins as low as 0.35%. International transfers also come with a 97%+ faster-than-promised delivery rate, with high-grade security protocols keeping your money and data safe. Plus, you can pay up to 50 suppliers at once thanks to its batch payment feature.

And if you need help at any time, TransferGo’s top-notch customer support team speaks up to 9 languages and addresses 80% of enquiries within just 2 hours. It’s no wonder that its average customer rating on Trustpilot is 4.7/5!

In summary

If you’re looking to set up a business or switch your bank account, Lloyds Bank offers a selection of business accounts to help you streamline your operations. The benefits include no account fees for 12 months (for first-time users), free accounting software to help you with your finances and an instant decision on up to £5,000 credit as a start-up or up to £25,000 as a swticher.

However, if you want to go further with a global business account, consider the TransferGo Business Account. Not only is it free to set up with no monthly fees, but it allows you to send, receive and manage your money from all around the world.

Featuring an IBAN and local account number, the TransferGo Business Account provides the best of both worlds—whether you receive payments from international clients, pay employees both locally and abroad, move money between subsidiaries or work with multiple suppliers around the world. Plus, there’s a top-notch team of experts on hand to help you with personalised support whenever you need it.

Are you ready to send, receive and manage money from around the world—all from a single, simple-to-use, multi-currency business account? Sign up for TransferGo today!

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The information provided in this blog post is for general informational purposes only and reflects the author’s personal opinion. Any comparisons made between TransferGo and other businesses are intended to highlight differences and provide a fair overview, based on publicly available information as of the date of publication.

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