FSB Bsiness Bank Account

gingerD

Hi Al,

Need some advice. I have set up a new business as a sole trader that I have spent 3 years training for, but need a business bank account. The Cooperative bank account through joining the FSB seems the perfect option, only worry is that I am with the cashminder account with the Cooperative for my personal bank account because I experienced difficulties financially. Will this affect my business application through the FSB in getting this basic business bank account through the cooperative? I know they do a credit check. Am currently paying back my debts through an arrangement using DebtFreeMe which is going well, however, I worry that that could hamper my new business from getting off the ground. I need a separate bank account for all money to go to etc.
The only reason Id pay the £150 to the FSB is to get this bank account. Is this going to be a waste of money? Am I going to be rejected? I spoke to them and they say they can't predict the outcome I just have to apply and see.

Does anyone out there have experience similar to my situation with the FSB and the cooperative that can advise me either way?

I'm wary of paying the FSB because the costs of setting up this new business is using up all my personal finances and its just another cost. I need to start payine back for my training, I need to pay for the website costs cause that's nearly finished, I need the advertising costs and stationary costs, insurance etc etc the list goes on.

I need to be very frugal where I can and if i'm just not going to get this bank account then the £150 can be used for insurance costs etc etc.

I do feel like there are obstacles at every turn and Im slowly but surely wading through mud. My full time job has come to an end so there is going to be no more money coming in apart from job seekers so I am counting on the business starting up. Help.

itsgazza_2

Why don't you do this the other way around ?

The FSB Account is simply a fee free Business Direct account with the Co-operative Bank... If you get accepted for the account then join the FSB and get the free banking option.

Just a thought , the FSB fee of £150 seems a little steep just to get free banking , why not pay the fees to start off. and when your business succeeds and you start racking up serious bank charges THEN join the FSB...

ian_h

Or Have a look at the Nat West Foundation Account it's like a basic account for business (but does have a cheque book) and save the £150

jonesMUFCforever

Don't know which course OP went on but he's been conned if his post is anything to go by.

darkinhere

As a general enquiry to all those posters more experienced than I, as a sole trader, why not use a basic personal bank accounts such as Barclays Cashcard or Co-op's Cash-Minder?

Do you need to have a business account at this stage?

Advice gratefully received.

ian_h

darkinhere wrote: »

As a general enquiry to all those posters more experienced than I, as a sole trader, why not use a basic personal bank accounts such as Barclays Cashcard or Co-op's Cash-Minder?

Do you need to have a business account at this stage?

Advice gratefully received.

Hi darkinhere,

speaking generally whilst the account will perform perfectly for the purpose you describe its more of an issue that the banks T&C's tend to restrict usage of these accounts to personal/non business use - many do use them successfully but i suppose there is always the risk of them discovering a breach of the t&c's and making life unnecessarily difficult.