Self employed, getting paid

sprucegs

I've started a small garden business and have my first few jobs. Some paid cash, which I give them an invoice and keep my copy then cash the money in my bank account.
Another cheque...again same procedure.
Someone has asked to pay by bank transfer...is this safe? And what details do I need to give them for them to send me the money? Is it my bank card details?
Thanks.

rubble2

Do you have a separate business account or are you just using your personal account?

We invoice every job and ask for all payments by bank transfer, with a business account every transaction in and out attracts a fee - electronic transfers are the cheapest option.

All you need to provide are your sort code and account number - should just say that all our invoices are business to business, we don't deal with consumers.

sprucegs

I have a separate account for my business, it's just another current account but Somerset to my personal one.

With providing my sort code and account number is there anyway they can take out fees from my account or just pay in?

TonyMMM

I encourage all my clients to pay by bank transfer and have the account details (sort code and account number) on all my invoices - as do many other people I work with/for.

Guest101

No they cannot just take money out of your account.


Bank details, along with a couple of others can be used to set up direct debits, (as Jeremy Clarkson found out), but these are guaranteed by your bank, so you can dispute them and they get returned typically same day.

Tom99

You also need to give them a reference number / name to use otherwise you may not know who the payment is from when you look at your account.

Undervalued

sprucegs wrote: »

I have a separate account for my business, it's just another current account but Somerset to my personal one.

With providing my sort code and account number is there anyway they can take out fees from my account or just pay in?

You are only giving them the same details as appear on any cheque your write (Name, acc no, sort code and branch address).

trailingspouse

If you don't already have a business account, get one. Most are free for at least the first year. If your bank realises you are breaking the terms and conditions of your personal account (which you would be if you're using it for business), they will be less than pleased.

And when you are paid, pay everything into that account, including cash. When you buy anything for the business, always use the business debit card. That way, your bank statement becomes an accurate representation of what is happening with the business. Don't be tempted to put cash in your back pocket and then use it for purchases without it going anywhere near your account or your books.

Bank transfers are fine - I pay my cleaner that way every week. I use my address as the reference, so she knows the money is from me. It also makes your business look more professional. I would be very wary of anyone who would only accept cash, and I honestly don't think I could find my cheque book...

sangie595

Even my window cleaner collects his money by bank transfer now! And it's only a fiver. I believe a lot of people find it preferable as they aren't carrying money to be lost or stolen.