ye thats what i was thinking, but was unsure.the taxman gets a little twichy about combined finances, you have to be able to prove what is business and what is personal.
I'm sure others will add to this
Indeed so Noz!Applaud SmileyBTW..NI contributions and Income TAX are not a business expense.
A guy I know who did painting & decorating...Banks will get wise if you use a personal account, for business, in particular the number of transactions on the account..(After all, you are avoiding charges.. )
accidenta... bloomin...lly!!At work our account was accidentally set up as a personal account - so no charges. They realised and complained, said they would start charging. We said we'd go elsewhere and opened another acount just incase. They relented so we now have a business account with no chargesThink Northern Rock needs all the cutomers it can get
But how do you (the banks) define a business transaction?A guy I know who did painting & decorating...(in fact I think he still does!)
was requested to attend a meeting about his personal account...
because it appeared to have an excessive number of business type transactions!! :O:O:O
they wanted to charge him...
so he moved banks!! :^O
Number of small payments coming in regularly?But how do you (the banks) define a business transaction?
That's probably why the bank wants to see me...Number of small payments coming in regularly? Most people get 1 main payment and other transactions tend to be out.........
Think I start paying it into my savings account..That's probably why the bank wants to see me... :^O
:_|
Bet that would work! They might not be expecting that! :^OThink I start paying it into my savings account.. ] ]
would concur with that Pyro!Applaud SmileyAs noted, most banks charge businesses. Two that do not charge businesses are Abbey and Co-Op.I have had an Abbey business account since 2001, always in credit, and no problems at all with/from the bank.
Having recently joined the Federation of Small Businesses, the Co-Op bank was recommended as the FSB have an arrangement with Co-Op. For me it is not particularly relevant, but for anyone wanting a choice of no-fee banking, it provides an option. Contact the FSB or Co-Op bank for further info.
Other advantages of having separate accounts is that non-domestic clients in particular feel that they are dealing with a more professional business if they have to make payments to a business name, e.g. "ABC Electrical" or "J Bloggs T/A ABC Electrical". Businesses making payments to "J Bloggs" seem to have suspicions that Mr Bloggs may not be the professional that he makes out he is and can try to negotiate down or just not take him seriously. VAT registration is another step up the ladder of professionalism as far as non-domestic clients are concerned - they get an immediate impression of a larger and more established electrical business (even though it may only consist of Mr Bloggs).
Pyro.
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