Online business bank accounts: how app-only banking works

What an online business bank account is

With an online business bank account, everything you'd once have done at a counter happens on your phone or computer. You apply in an app, verify your identity with photo ID and a selfie, and get account details, often the same day. Payments, invoices, receipts and savings all sit in the same place.

Every provider we compare works like this, including Tide, Starling, Monzo Business, Mettle, Zempler Bank, ANNA, Revolut Business and Wise Business. Some are app-only. Mettle, for example, says you need an iOS or Android device to open and manage the account. Others, like Tide, Starling and Zempler, also let you use a website or online banking.

"Online" describes how you use the account. It says nothing about how your money is protected. Two online business bank accounts that look identical in the app can be regulated in quite different ways, which is the first thing to check.

Who holds your money: FSCS or safeguarding

Behind every online business bank account sits either a bank or an e-money institution. If it's a bank, eligible deposits are covered by the Financial Services Compensation Scheme up to £120,000 per depositor, per banking licence. If it's an e-money institution, your money isn't covered by the FSCS. It's safeguarded instead: kept separate from the firm's own funds so it can be returned if the firm fails, though that can take longer.

Watch for shared licences. Mettle's deposits share one £120,000 limit with NatWest and its other brands, and Tide's share a limit with anything else you hold through ClearBank. You can confirm any firm's status on the FCA Financial Services Register. Our guide to bank vs e-money accounts goes further.

Getting help without a branch

Support is where online business bank accounts differ most, and where an online business bank account is tested when something goes wrong. Some offer phone lines and round-the-clock chat; others rely on in-app messaging. Here's what each provider says on its own pages:

Hours are only half the story. Tide's Trustpilot reviews, for example, often praise quick set-up, while the common complaints are slow replies and difficulty reaching a person. If speaking to someone matters to you, favour an online business bank account that lists a phone line, and save the official number from the provider's own website, never from an email or text.

Cash and cheques without a branch

Choosing an online business bank account doesn't mean giving up cash. Most providers let you pay in at the Post Office or PayPoint, but there's usually a charge, and a couple don't take cash at all.

• Post Office: Tide (£2.50 up to £500), Starling (0.7%, minimum £3), Mettle (£2.75), Zempler (£4 minimum or 0.55%) and Monzo (£1).
• PayPoint: Tide (3%), Monzo (£1) and ANNA (1% per deposit).
• No cash deposits: Revolut Business says it doesn't accept cash or cheques. Wise doesn't list a cash deposit option.
• Cheques: Tide accepts them for 90p each on its Free plan. Zempler doesn't accept cheque deposits.

Check deposit limits too. Starling, for instance, caps business cash deposits at £5,000 a day. If cash is a big part of your takings, an online business bank account can still work, but the deposit charge may matter more than the monthly fee.

Online business bank account pros and cons

Here's the trade-off an online business bank account asks you to make:

If your account is restricted

Providers have to check who their customers are and where money comes from. With an online business bank account, those checks happen remotely, and an unexpected payment can prompt a request for documents. While that's under way, access to your money can be limited.

1. 1

   Answer quickly

   Reply in the app with exactly what's asked: invoices, contracts or proof of where the money came from.

2. 2

   Keep a second account

   A backup account with a different provider, alongside your online business bank account, means wages and suppliers can still be paid.

3. 3

   Complain if needed

   Raise a formal complaint with the provider first. Eligible businesses can then go to the Financial Ombudsman Service.

What you need to get started

Before you apply for an online business bank account, make sure you have:

• a smartphone that meets the provider's requirements (Mettle asks for iOS 16 or later, or Android 10 or later)
• a UK mobile number, which some providers, including Tide and Mettle, require
• valid photo ID and the ability to take a selfie or video for checks
• your business details, such as a company number or UTR

Our step-by-step guide to how to open a business bank account covers the process in detail. Already banking somewhere else? Monzo, Starling, Tide and Zempler take part in the Current Account Switch Service, so you can move to an online business bank account in 7 working days. See switching business bank account.

Tide as an app-based account

Tide, our featured partner, is an online business bank account you run from the Tide app or website. Its Free plan has no monthly fee, and you can take payments with Tap to Pay on your phone or Payment Links. Tide's support is mainly in-app chat. Most Tide accounts are held with ClearBank, so eligible deposits are FSCS-protected; read is Tide safe? for the detail.

Tide is our featured partner. We may earn commission from referrals. Disclosure

Checklist before you choose

Tick these off before you open an online business bank account:

• I know whether the account is held with a bank (FSCS) or is e-money (safeguarded).
• I'm happy with the support channels and hours.
• I know where I'd pay in cash or cheques, and what it costs.
• My phone meets the app's requirements.
• I have a plan if access is paused, such as a backup account.
• I've compared fees on the compare business bank accounts page.

Online business bank account FAQs

Sources

• Financial Services Compensation Scheme
• FCA Financial Services Register
• Tide: pricing and regulatory statement and Tide help centre fee pages (checked 25 October 2026)
• Regulatory statements, support pages, eligibility pages and fee documents from Starling, Monzo, Mettle, Zempler Bank, ANNA, Revolut and Wise (checked 25 October 2026)