Transferring business accounts between banks
Make your business attractive to other banks
If you decide that you want to switch your bank account, don't assume that other banks will be fighting for your custom. Consider the steps you can take to improve the likelihood of banks taking on your business.
Since any new bank that you approach will know little about you, your business is likely to be assessed on the same basis as any other new applicant for an account.
Improve your chances of a good assessment:
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provide as much information as you can about the financial wellbeing of your business
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show the bank that you are organised and thorough in the arrangement of your finances
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set out your current financial position and your historical performance over the last few years - let the new bank see your profit and loss, and sales and cashflow forecasts
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ask your current bank to give details of your credit history to the new bank
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be prepared to show the bank you are approaching your up-to-date bank statements
See our guide on how to set up a simple profit and loss account for your business.
Financial information should be included in your business plan. It's important to keep this up to date. Being able to show that your business has a clear sense of its strategic direction will help convince a bank that you're a sound proposition.
It's also worth setting out any funding requirements you may have over the next few years - a new bank will appreciate being put in the picture at this stage. See our guides on how to prepare a business plan and use your business plan to get funding. You can also use our interactive tool to create a business plan.
Subjects covered in this guide
- Introduction
- Advantages and disadvantages of switching bank accounts
- Comparing different bank accounts
- Negotiate improved terms with your existing bank
- Make your business attractive to other banks
- How to switch banks successfully
- Use different banks for different services
