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Features - 3.65/5

Fees - 4.5/5

Customer Support - 4.5/5

Ease of opening an account - 4.25/5

Our Rating Methodology

Click "More info" to understand how we calculate our Monzo Business Account ratings.

What is Monzo?

Monzo is a British neobank that provides mobile app-based online banking services without a physical location. It was founded in 2015 and has been operating as a licensed bank since 2017, with headquarters in London. Monzo Bank Limited is fully regulated and authorised in the UK by the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA). 

In 2019, Monzo expanded its business to the United States. It is currently offering services through a partnership with Ohio-based Sutton Bank, as it does not have a banking licence. 

With over 7 million users in Great Britain, Monzo is one of the most popular challenger banks in the market. In addition to personal current accounts, Monzo has also been offering business accounts for small businesses and SMEs since 2020.

Account Managers of the Statrys business account

Monzo Pros and Cons

Pros of using Monzo business accounts

Why Monzo may be a good option:

  • Convenient access to bank accounts and services with a mobile-app-based online platform.
  • Flexible account options with the Pro and Lite plan
  • 24/7 customer support from dedicated staff
  • Have a feature to separate savings into different “pots” in one account
  • GBP 85,000 FSCS protection for eligible clients

Cons of using Monzo business accounts

Why Monzo may not be a good option:

  • Only UK-registered sole traders or limited companies can apply
  • Accounts only support GBP
  • Can't receive international payments
  • GBP 1 charge for every cash deposit

Featured Reviews

Samuel Meadows rates Monzo ⭐⭐⭐⭐⭐

Monzo is such a modern way to bank

Monzo is such a modern way to bank, everything is straightforward and intuitive. I've got both a personal and business account. I particularly like the pots where I can hold money for ringfenced spending or as a method of saving.

Source: Trustpilot review

Binge Media rates Monzo ⭐⭐⭐⭐⭐

I use Monzo for both my personal and business

I use Monzo for both my personal and business. So far I am impressed. They offer so much more than an old fashioned high street bank. App Is new and innovative with tonnes of cool features and I have the ability to add my other banks to the app anyway to keep an eye on all accounts.

Source: Trustpilot review

Monzo Features

Business Accounts

Monzo does not provide a multi-currency business account at the moment. You cannot convert or hold other currencies other than the British pound (GBP). For businesses in the UK, they offer two types of business banking plans: Monzo Business Pro and Business Lite.

Both plans allow users to make fee-free and instant UK bank transfers and come with a physical business debit card. You can also:

  • Seamlessly switch from your old bank account to a Monzo business bank account. 
  • Set and manage scheduled payments through the app.
  • Get instant notifications for every transaction.
  • Categorizing your spending by dividing your funds into “pots.” Both Business Pro and Lite plans can create “Instant Access Savings Potswith 1.60% AER interest, paid monthly. 

With a Monzo Business Account, up to GBP 85,000 of your funds are protected under the Financial Services Compensation Scheme (FSCS). You can check your eligibility on the FSCS website.

The following table shows the key differences between the Monzo Business Pro and Business Lite.

Feature Monzo Business Pro Business Lite
Automatic diversion of a portion of your income into a Tax Pot yes no
Accounting software integration with  Xero, FreeAgent, or QuickBooks yes no
Create and share invoices and payment links yes no
Multi-user access (up to two people) yes no
Virtual cards yes no
Connect other bank accounts and credit cards yes no

Business Debit Card

Monzo issues a Mastercard® business debit card for all users. You will get a physical card for both Pro and Lite plans, but the virtual card is only available for Monso Business Pro accounts.

Spending with the cards is automatically archived and categorized (Bills, Charity, Groceries, Family, etc.)

Monzo partnered with Stripe to enable Tap to Pay contactless payments with your phones.

International Payments

Although the Monzo account supports only the British pound, you can send and receive international payments and use your card to pay abroad in any foreign currency. 

For outbound international transactions, you can send money to more than 70 countries at a mid-market rate via Wise integration. As other currencies are not supported, you will have to transfer in GBP. However, you will be able to see:

  • How much are you sending in GBP
  • The current exchange rate
  • How much the recipient will receive in the local currency
  • Estimated time of arrival

Monzo business bank account can receive inbound payments in euros through the SEPA Credit Transfer scheme with a 1% currency conversion fee (capped at GBP 1,000). The payment will be converted to GBP automatically as the business account cannot hold other currencies.

If you are a sole trader, you can transfer up to GBP 25,000 a day and up to GBP 75,000 on a rolling 30-day basis via Wise. If you are a limited company, the limits are GBP 50,000 and GBP 200,000.

Other Services

Monzo also provides other business banking services, including:

  • Business Loans: Eligible sole traders can apply for up to GBP 25,000 in business loans. Monzo’s representative APR is 16.7% for loans over GBP 10,000 and 30.0% APR if less than GBP 10,000. You can only get one loan if you hold both personal and business accounts.
  • Business Overdrafts: Monzo offers an overdraft limit of up to GBP 2,000 to eligible sole traders. Overdrafts are available at 19%, 29%, or 39% EAR/APR (Variable). You can calculate the cost on their website.

These services are not available for limited companies.

Monzo’s Feature Rating is 3.65/5

Monzo Business accounts are suitable for UK-based businesses, especially if you are a sole trader or a small business owner. They offer a choice between feature-rich Pro and basic Lite plans. Users can also benefit from the Pots feature to help with budgeting and funds saving.

However, while user-friendly with seamless transfers, a mobile app, and strong security, the lack of multi-currency support and higher loan APRs are drawbacks.

Fees Charged by Monzo

The monthly fee for the Business Pro account is GBP 5 per month, which will be charged on the day you open the account. There are no monthly fees for the Business Lite plan. Opening a Monzo business account is also free.

Below are the other fees charged by Monzo.

Cards
Debit card Issuing Free
Cash withdrawal in GBP in the UK Free
Cash withdrawal in other currencies in the EEA Free
Cash withdrawal in other currencies outside the EEA 3% after the first GBP 400 in a rolling 30-day period
Debit card payments in GBP and other currencies Free
Payments
Receiving Card Payments via Stripe £0.2 per transaction, plus 1.5% for standard UK cards,  2.5% for EEA cards, and 3.25% for all other cards
Easy Bank Transfer Fees Free until 2025
Domestic Bank Transfer Free

Monzo's Fee Rating is 4.5/5

Without account opening fees and monthly fees for Business Lite, Monzo is a cost-efficient option. They charge a £5 monthly fee for a Business Pro plan, which is affordable compared to traditional banks. Almost every local transaction, including debit card payments, is also free.

However, although the Stripe transaction fees are reasonable, they could add up for businesses with high international transaction volumes.

Monzo Customer Support

Monzo offers 24/7 customer support through the mobile app. If you are a customer, you can chat with live specialists anytime in the app or call 0800 802 1281 without any charges or +44 20 3872 0620 if you are outside the UK. They can also be reached via email at help@monzo.com.

Customers are required to download the app in order to access their bank account and other services, including customer support. Monzo does not have any physical branches.

Monzo's Customer Support Rating is 4.5/5

Monzo's customer support and accessibility features are their key strengths, particularly for digitally-focused customers. The 24/7 availability through the mobile app is a significant plus, offering convenience and immediate access to live specialists. However, the absence of physical branches might limit options for those who prefer in-person support or are less familiar with digital banking platforms.

Eligibility Requirements for Opening a Monzo Business Account 

You can apply for a Monzo business account only if you are a UK-based sole trader or a registered limited company.

If you are a limited company, your company must:

  • Be a tax resident in the UK only.
  • Have an active status on Companies House.
  • Have at least one active qualified company director listed on Companies House.
  • Have at least one person of significant control listed on Companies House.
  • Have less than 25% of the shares held by corporate entities.
  • Earn revenue from selling goods and/or providing services, not from interest or investment income.

Monzo does not provide business accounts for some business types, such as partnerships, public limited companies, and charities. Businesses in some high-risk industries, such as dating services, money services, and mining and quarrying, are also not qualified. You can check your eligibility on their website.

The application is completely online and has to be done on the mobile app. You will need to provide proof of your business address, your registered company number or name, your tax reference number, and a form of photo ID

You can open a business account if you already have a Monzo personal account. You can find a detailed step-by-step guide on opening a personal and business account with Monzo in our dedicated article.

The Ease of Opening an Account for Monzo is 4.25/5

The opening process of a Monzo business account is highly efficient, straightforward, and user-friendly. The entirely online application via the mobile app ensures a swift and convenient setup for modern businesses. The requirement for standard documentation is also clear and manageable.

However, the exclusions of certain business types and industries restrict accessibility for a broader range of potential users.

Monzo Alternatives

  Monzo logo Statrys logo Revolut logo
Multi-currency Business Account no yes yes
Supported Currencies in Business Account GBP 11 currencies, including SGD, HKD, USD, RMB, EUR, GBP, AUD, CAD, NZD, JPY, CHF 25+ currencies
Eligible Countries UK only Hong Kong, Singapore, and the BVI 40 countries, physical presence needed
Accounting Software Integration Business yes yes
SWIFT Payments  no yes
yes 
Payment Tracking Cannot find the information yes Cannot find the information
Customer Support Channels Live chat, phone, Email Website, Email, Phone, Live chat, WhatsApp, WeChat In-app live chat, Email, Request a call (Enterprise plan only)
Cards Physical and virtual card Physical and virtual cards Physical and virtual cards
ATM Withdrawal yes yes yes
Account Opening Time 1-7 days 3 business days 24 hours
Account Monthly Fee From GBP 0-5 HKD 88 (with a dedicated account manager From GBP 19 - GBP 79
Trustpilot Reviews 4.0/5 based on 29,821 reviews 4.6/5 based on 238 reviews 4.2/5 based on 146,200 reviews

💡Explore other neobank alternatives to find the best option for your business needs.

Statrys mobile application dashboard showing a total balance in a business account.

FAQs

Is Monzo a bank?

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Yes, Monzo is a licenced bank in the UK.

Does Monzo's business account work overseas?

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What are the requirements to open a Monzo business bank account?

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Does Monzo charge a monthly fee? 

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Disclaimer

More info

Statrys does not directly compete with Monzo because we do not provide business accounts in the UK. Still, we're committed to providing an unbiased, thorough review to help you make an informed choice. Click More info to read the full disclaimer on our review.

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