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Plain-English explainers for sole traders, partnerships and limited companies.

Guides

Do Sole Traders Need a Business Bank Account?

No law requires a sole trader to hold one - HMRC's own guidance says a personal or business account may be used, subject to the bank. The rules that do apply are the bank's terms, HMRC's record-keeping requirements and, for limited companies, the separate-entity rule in company law. Here is what each says, in its own words.

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