Saving account as business account for sole trader

Mumaj

Hi guys,

Wondering, can i use a savings account as a business account? I know you do have to have a business account as a sole trader so I guess this is ok? The bank are being very vague but they benefit from me having a business account so don't know who or where to ask?

Also, how do I go about adding personal money to the account? I've been saving for when I start the business, I do want it to be taxed as it's been taxed when I worked for it but don't know how to put it into the business? Thanks

Atidi

Mumaj wrote: »

Hi guys,

Wondering, can i use a savings account as a business account? I know you do have to have a business account as a sole trader so I guess this is ok? The bank are being very vague but they benefit from me having a business account so don't know who or where to ask?

Also, how do I go about adding personal money to the account? I've been saving for when I start the business, I do want it to be taxed as it's been taxed when I worked for it but don't know how to put it into the business? Thanks

As a sole trader, there is no difference between your money and the business money.
You are the business and what money is yours is the businesses and vice versa.
So there is no tax issue. You will be taxed on any interest you earn.

Most banks prohibit a personal account being used for business purposes. Check the specific terms of the bank in question.
Many banks offer a business savings/deposit account if required.