UK company formation with a bank account might seem like a good idea…
But, there are many challenges that await non-resident business owners when it comes to opening bank accounts for their UK companies.
In this article, we’re going to share the challenges, help you get started with solutions, share corporate international banking services, and explain how to open a business IBAN account with fewer difficulties.
Feel free to use the table of contents to jump ahead to the sections most relevant to you.
Table of Contents
- Company Registration in the UK
- UK Company Formation
- Bank Account Opening for a UK Company
- Do You Want Help Opening Bank Accounts?
Company Registration in the UK
Registering a company in the UK is a straightforward process. There are multiple entity types to choose from, countless service providers to assist you, and an entire industry built around supporting UK companies.
The UK has become an especially popular jurisdiction for foreign non-residents who have personal tax residency in a low or no-tax jurisdiction. The catalyst for this is the UK LLP. The UK LLP is a tax-efficient pass-through entity that helps entrepreneurs and business owners unlock UK banking, payment processing, and of course, the strong reputation offered by a UK company.
Another popular business banking hub is Jersey. Business owners seeking corporate banking, wealth management services, or institutional investment vehicles often look at opening a business bank account in Jersey. However, opening a business bank account here doesn’t always come easy.
If you’re looking for any level of privacy, the UK probably won’t be on your list of options to choose from. That’s because the ultimate beneficial owner of every company registered in the UK is publicly available via the UK’s registrar of companies, Companies House.
Alternatively, if you don’t want your personal information plastered on a public corporate registry website, you might want to consider other options such as a US LLC in Wyoming, Nevada, New Mexico, or even Delaware.
Before diving in, if this is your first time visiting GlobalBanks, don’t forget to download your FREE Business Banking Starter Guide. It’s designed to help your business find and open accounts with the services you need around the world.
UK Company Formation
When it comes to UK company formation with a bank account, the actual formation of the company is the easy part.
In other words, if you’ve already determined that the UK is the best jurisdiction for registering your company, then you just need to choose a service provider with reasonable rates and who can provide the necessary ongoing support to maintain your entity.
That said, you might be wondering how easy it will be to open a bank account in the UK for your company. Well, that’s where things start to get challenging…
Bank Account Opening for a UK Company
When it comes to a bank account opening for a UK company or opening an IBAN account online, there are three important questions that you need to ask yourself:
- Do you want a traditional brick-and-mortar bank or a virtual bank account?
- Is your company going to be resident or non-resident in the UK?
- Do you want to open accounts remotely or in person?
Let’s look at how your answers to these questions can impact your bank account opening options.
Non-Resident UK Company + Traditional Bank Account
In short, if your company is non-resident and you want to open a traditional bank account in the UK, you will almost certainly have to show up in person.
Of course, even if you travel to the UK, you will still need to meet the bank’s account opening requirements and deposit requirements.
Non-Resident UK Company + Virtual Bank Account
Alternatively, if your company is non-resident and you want to open a virtual bank account, you might be able to open an account remotely with a low (or no deposit).
That said, you still need to provide the supporting documentation, address proof, and other requirements that will demonstrate your need for a UK bank account and verify your identity.
Resident UK Company
If you have a resident UK company (e.g. with a local resident director or shareholder), you will be able to choose from a wide range of banks since this will be considered a local company.
That said, resident UK companies are not popular with foreign non-residents since they offer no tax efficiency to their foreign non-resident owners.
Where Can UK Companies Open a Business Bank Account?
UK companies can open bank accounts in the UK, this includes both traditional and virtual banks. That said, they can also open accounts in other jurisdictions as well.
To help you navigate all the options and the specific account opening strategies available, our team has published a dedicated report for UK company banking. This report is called:
- UK Banking for Non-Resident UK LLPs & UK LTDs
In addition to walking you through all of the available banking options for non-resident UK LLPs and UK LTDs, it also shares the specific strategies and solutions you can use to overcome account opening requirements, navigate the requirements to open at various banks, and how to handle some of the biggest challenges such as local phone, address, and directors.
This report is immediately available to you when you join GlobalBanks IQ or GlobalBanks Insider.
Do You Want Help Opening Bank Accounts?
If so, you can access GlobalBanks Insider and start the process of applying for an offshore account in a few clicks.
GlobalBanks Insider is a dedicated account opening solution that involves direct support from our team and direct introductions to the banks of your choosing. It gives you instant access to the…
+ Direct support from a team of banking experts
+ Direct introductions to your desired banks
+ Answers to your most pressing questions and challenges
+ Expert insights on which banks to choose & why
+ Plus FULL access to our entire suite of account opening tools and intelligence!
And “yes!” GlobalBanks Insider is designed to help foreign and non-resident individuals and companies open bank accounts.
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