How to Open a Monzo Business Account Online in 2024

Monzo Overview

Monzo Bank Limited is one of the leading challenger banks and one of the most innovative startups in the United Kingdom. It is licensed and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. 

Monzo offers mobile app-based banking services without any physical branches, including full UK current accounts, business accounts, and personal loans. As a Monzo customer, you can manage your money 24/7 from your phone. 

The growing popularity of challenger banks among banking customers in the world has allowed Monzo to gain over 7 million users in the UK since its launch in 2015. Monzo’s personal and business accounts are protected under the Financial Services Compensation Scheme (FSCS).

💡Tip: Discover what Monzo offers for business accounts, including features and fee rating, in our detailed Monzo business account review. 

Types of Accounts Available

Monzo offers current accounts for both personal and business banking customers. However, this article will focus on their business account. 

Personal Account

There are three Monzo personal account plans with different features and fee structures. 

1. Standard Account for basic everyday banking needs.
2. Monzo Plus offers extra benefits such as free cash withdrawal abroad (up to GBP 400 every 30 days), virtual cards, and integration with other bank accounts. This plan has a minimum term of 3 months.
3. Monzo Premium combines the features of the Standard and Plus accounts, plus phone and worldwide travel insurance, up to GBP 600 cash withdrawal abroad, 4.60% AER interest, and more. This plan requires a six-month minimum term. 

Business Account

Monzo’s business bank account is designed for UK-based small businesses. There are two plans to choose from: Business Lite and Business Pro. Customers of both plans can get physical debit cards for business spending, as well as benefit from free transfers between UK banks, instant transaction notifications, and built-in budgeting features. 

Monzo accounts only support GBP. They currently do not provide multi-currency corporate accounts. 

Business Lite

Monzo Business Lite is a free standard business account plan. The features include:

• Free and instant UK bank transfers
• Fee-free spending abroad
• 24/7 human customer support
• Mobile and web access
• Instant Access Savings Pots
• Pots to separate money
• Card payments with Stripe
• Separate spending categories
• Digital receipts
• Sole trader loans and overdrafts

Business Pro

Monzo Business Pro customers can benefit from the following features and those offered in the Lite plan:

• Tax Pots: Automatically set aside a percentage of your earnings for easy tax planning
• Multi-user access for limited companies: Add up to 2 other people from the app
• Integrated accounting: Easily integrate your business accounting tools (Xero, QuickBooks, Free Agent)
• Connect other accounts: Connect and view your other bank accounts and credit cards
• Virtual cards

🔍 Discover how Monzo compares to other virtual bank and neobank alternatives in our detailed guide.

Eligibility

Monzo does not support certain industries that require constant monitoring. Some examples of the prohibited industries include:

• Charities
• Construction and civil engineering
• Tattoo and nail parlours
• Technology equipment (including telecommunications) 
• Probate and estate management
• Used automotive vehicles

We recommend checking their eligibility page for a complete list of unsupported business types and industries. 

Countries Eligible

Monzo currently provides services exclusively for UK-based clients. However, you can access your account and manage your funds from anywhere worldwide via the mobile app. 

Company Types Eligible 

Monzo only offers business accounts to UK-based sole traders and registered limited companies. 

To be qualified for an account, your company must:

• 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.
• Be a tax resident in only the UK and no other countries.
• Make money from selling goods and/or providing services, not from interest or investment.

What Documents Do I Need to Open a Monzo Business Account?

You will need the following documents and information to open a Monzo business account:

• Proof of business address
• Registered company number or name (for limited companies)
• Unique tax reference number
• Photo ID, such as a passport, driving licence, national ID card, or biometric residence permit

If you are a limited company, you will need to provide the following details of every person with significant control (PCS):

• A photo of valid ID, like a passport, full or provisional driving licence, national ID card, or biometric residency permit
• Date of birth
• Country of residence
• Email address

Application Forms and Useful Resources 

You can only apply for a business account on the Monzo app. For other questions about the business account opening process, Monzo provides comprehensive answers on their FAQs page. 

How To Open a Monzo Business Account

You can sign up for a business account with Monzo Bank on your phone. The account opening process is straightforward; you only need to install the Monzo app and have a stable internet connection. 

Step 1 - Download the Monzo App

Firstly, download and install Monzo’s application on your mobile phone. This app is available on both the App Store and Google Play. 

You can also upgrade your account plan on the app in the future.

Step 2 - Start the Application

If you are new to Monzo, you will have to provide your email address and then select the type of account you would like to open. When prompted, choose “Business account.”

If you are an existing customer with a personal or joint account, simply tap on Home, scroll down to “Do more with Monzo,” then tap “Apply for a Business account.”

Step 3 - Provide the Details of Your Business

Next, you will have to answer some questions about your business or company, including:

• The type of your business
• Which industry are you in
• Your business address
• Your UK Tax Identification Number
• The rough size of your business
• How much money do you expect to make yearly
• How you expect to make and receive payments
• Your international presence

💡 Tip: If you are a limited company, Monzo will automatically fill in this information directly from the Companies House record. 

Step 4 - Verify Your Identity

In this step, you must provide a photo ID, such as your national ID card, driver’s licence, passport, or biometric residence permit.

Additionally, you must take a short video of yourself following an instruction to confirm your identity.

Step 5 - Pick an Account Plan

The next step is to choose between the Monzo Business Lite and Business Pro plans. 

Step 6 - Activate Your Card

After verifying your account, Monzo will post a business debit card to the address you used to open the account. Once you’ve received it, you can activate it on the mobile app and start using your new account right away.

How Long Does It Take To Open a Monzo Business Account?

Completing the account opening process should take around 10 minutes. You can start using your business account after Monzo has verified and approved your application, which can take up to 8 days.  

How Much Does It Cost to Open a Monzo Business Account?

Monzo accounts are free to open. However, you will be charged a monthly fee of GBP 5 when you get your account if you choose the Business Pro plan.

How to Contact Monzo Customer Support?

You can submit an online form to contact the Monzo business team for business account queries. 

If you have a Monzo account, you can chat with the customer support team anytime in the Monzo app. Moreover, you can call +44 800 802 1281 without any charges or +44 203 872 0620 from outside the UK.

For non-urgent queries, the service hours are from 7 am to 8 pm (UK time). You can also email them at help@monzo.com

Monzo Alternatives

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