Lloyds business banking: Everything you need to know

Need a bank account for a brand new business, or looking to switch from your current bank? One of the main providers you’ll come across is Lloyds, one of the UK’s leading banks.

Lloyds has business banking services for customers of all kinds, from sole traders and freelancers, to small businesses and huge multinationals.

In this guide, we’ll take a look at what’s on offer from Lloyds business banking, including account types, features and of course, fees. So, let’s get started.

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Lloyds business banking account types

You’ll have a choice of account types with Lloyds, depending on the size, type and nature of your company. These include¹:

• Business Account for New Businesses - a dedicated account for startups, small businesses or limited companies with an annual turnover of less than £3 million. It comes with a number of business support offers to help your company grow, plus a 12-month fee-free period.
• Business Current Account - an account for larger, more established businesses with a turnover of £3 million but less than £25 million. It comes with dedicated business support to help your business move forward.
• Business Foreign Currency Account: must
• Designated/Undesignated Client Account - this is a specialist account for professional practices which hold client funds, such as accountants, solicitors and estate agents. It lets you hold your client’s money in secure, segregated accounts if needed.
• Charity, Community and School Bank accounts - Lloyds have a number of specialist account types for not-for-profit organisations. Both charity and community accounts must pay in less than £250,000 every 12 months.

Lloyds business bank account features

Here’s a little more about the features available with each Lloyds business bank account.

Business Account for New Businesses⁴**:

• 12 months’ fee-free everyday banking services for startups
• Simple pricing structure
• Dedicated support from a business management team based in the UK
• Access to the Mobile Business Banking app - so you can manage your money on the move
• Helpful guides, resources and practical business tools
• Integrate free accounting software to manage expenses, invoices and VAT returns
• Apply for up to £5,000 credit for growth

Business Current Account¹:

• 12 months’ fee-free if it’s your first business account with Lloyds
• Online, phone and in-branch banking
• Access to additional products and finance, including company credit cards, asset finance, overdrafts and business loans
• Option to open savings and/or deposit accounts
• Choice of tariffs to suit your needs
• Expert support from your own dedicated Relationship Manager
• Integrate free accounting software to manage expenses, invoices and VAT returns
• Apply for up to £25,000 credit

Designated/Undesignated Client Accounts¹:

• Instant access and easy withdrawal
• Interest on the balance, calculated daily and added to your company’s office account on a monthly basis
• Hold client funds in separate, secure, segregated accounts
• Option to choose a Deputyship or Appointeeship arrangement, depending on your client’s needs.

If your business trades internationally, you may be interested to know that Lloyds also offers a Business Foreign Currency Account². Available in a wide range of currencies, this lets you transfer money over from your standard business account - so that you can minimise foreign exchange costs and manage your exposure to exchange rate movements. It’s important to note that you must have a Sterling business account with Lloyds already in place to open this account type.

Lloyds online business banking

Lloyds Bank offers a full online banking service for all of its business accounts, from which you can:

• Make UK, international and bulk payments
• Apply for a business overdraft
• Update your details
• Update signatory access details, to control access to your business accounts within your team
• Check online statements
• Integrate your account with Lloyds’ Business Finance Assistant accountancy software.

What are the requirements to open a Lloyds business account?

The criteria to open a business account with Lloyds depends on your business account type, but you’ll usually need to meet the following criteria¹:

• A company director, sole trader or partner of a business based in the UK
• UK residency with a UK mobile number
• Aged 18 or over
• Intend the account for business use only
• Meet the turnover requirements (i.e. under £25 million for a Business Current Account, under £3 million for a Startup/Small Business Account).
• Meet the business type requirements (i.e. be a non-profit business or registered charity for a specialist community account).
• Limited companies must have ‘active’ status with Companies House and must be registered for at least 4 days

To open an account, you’ll likely need ID verification for all the key individuals and company directors involved. Plus, full details for the business, including registered address and Certificate of Incorporation and/or registration documents with Companies House.

Lloyds business account application - how to open a new account¹

Lloyds have a relatively simple online application process. But if you prefer, you can also apply or speak to an advisor over the phone, or pop into a local Lloyds branch to get more information.

The method for opening a business account with Lloyds is dependent on your specific business, and the type of account you’re opening. But here’s an overview of the process that should work in most cases:

1. Identify exactly which sort of account you need - determined by your business type, size and annual turnover.
2. Assemble the necessary documents and information for all stakeholders.
3. Begin the process online. Lloyds has an easy-to-use online tool that can get your application under way quite smoothly.
4. After checks are finalised, Lloyds will set up your account and you’ll be ready to go.

You may also be able to open your new business bank account through the (CASS), which offers a guaranteed switch time of 7 working days³. Lloyds will handle the entire redirection of payments from your old account, to your new account.

Lloyds business account fees and charges⁵

Now, it’s time for the important part - how much will a Lloyds business bank account cost you? Let’s start with the fees for local transfers and using your account in the UK:

For complete details on UK fees, see Lloyds rates and charges page.

International payment fees with Lloyds Business

With a Lloyds business account, you can set up most overseas payments through online banking. However, there are some charges attached, which vary depending on the transaction type.

The type of international fees varies on several factors, for example, charges can increase or decrease depending on the account type you have, the payment type and amount being sent.

Another important thing to note about international transfers with Lloyds is that you likely will have to pay something called a Correspondent Bank Fee. This occurs when you send money to a bank account outside of its originating currency, also known as Swift payments.

Lloyds business Correspondent fees depend on the country of the zone you are in⁶:

• £12 - Zone 1 including USA, Canada, Switzerland, Monaco, San Marino, Jersey, Guernsey and Isle of Man
• £20 - Zone 2 covering the rest of the world, except the UK and EEA

Discover Wise Business, an alternative to Lloyds Business

A UK business current account can be enough for day-to-day GBP banking. But if your business pays suppliers abroad, receives money from international clients, or needs to manage multiple currencies, you might want an additional tool designed for cross-border money.

Take advantage of a Wise Business multi-currency account and you’ll get conversions without mark-up, plus low transparent fees, on all your overseas transfers. You can send money quickly to bank accounts in 140+ countries, and receive local account details in 8+ currencies, helping avoid correspondent banking fees.

Wise Business offers a lot more than just seamless international payments.

You can also:

• Issue business debit and expense cards for you and your team with no foreign transaction fees, and low conversion costs from 0.33%
• 0.5% cashback on eligible card spending
• Connect seamlessly to your accounting software
• Generate invoices and payment links to receive money easily from customers
• Make your money work harder with Wise Interest (Capital at risk, growth not guaranteed)

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*Disclaimer: The UK Wise Business pricing structure is changing with effect from 26/11/2025 date. Receiving money, direct debits and getting paid features are not available with the Essential Plan which you can open for free. Pay a one-time set up fee of £50 to unlock Advanced features including account details to receive payments in 22+ currencies or 8+ currencies for non-swift payments. You’ll also get access to our invoice generating tool, payment links, QuickPay QR codes and the ability to set up direct debits all within one account. Please check our website for the latest pricing information.

So, that’s all you need to know about Lloyds business banking, including account types, features and fees - plus how international transfers work with Lloyds. You should be all set to compare Lloyds with other business banking tools, and see if it’s the right option for your company.

Sources used for this article:

1. Lloyds bank - Business accounts
2. Lloyds bank - Commercial foreign currency
3. Lloyds bank - Business account switch
4. Lloyds bank - New businesses
5. Lloyds bank - Rates and charges
6. Lloyds bank - International services rates
7. Lloyds bank - FX margin

Sources checked on 03-Feb-2026