How long does it take to get a business credit card?

Depending on the provider, it could take a few days or a couple of weeks for the business credit card to arrive in the post. Once you submit your application it will need to be reviewed by the card issuer but that is normally approved quickly.

Is a credit record checked for a business credit card?

Credit card providers usually check your business's finances and credit record when you apply for a business credit card. If your business doesn't have much credit history, your personal credit history may be checked.

Does using a business credit card affect my personal credit record?

Using a business credit card could affect your personal credit card, particularly if you're the main account holder. It's best to use a business credit card sensibly, as you would a personal credit card, If you're worried about repayments you should speak to the card provider as soon as possible.

Can I get a business credit card with rewards?

Yes. You can get business credit cards that give you back a percentage of what you spend back as cashback. Others offer air miles or other rewards, such as shopping vouchers.

Can several employees have their own card?

Yes, you can get several credit cards for one account, meaning selected employees can have their own card with the business paying just one bill.

Do I need a business current account to apply?

No. Having a business current account isn't necessary to get a business credit card, but having one could make paying your bill and handling your finances easier.

Can I get a business credit card as a startup?

Yes, there's nothing to stop you from applying for a business credit card as a startup - it might be a helpful tool as you're starting out too as you try and manage your business' cash flow. But because your business is new, you may need to provide additional information to evidence that you'll be able to keep up with repayments. It will also help the provider determine your credit limit. This might mean providing a personal credit history check, company statements and details of any assets.

Can I have a business current account if I'm a sole trader?

Yes, business current accounts are available for sole traders as well as partnerships and limited companies.

Can I use a personal current account for my business transactions?

It's generally not advisable to use a personal current account for business transactions, as it can lead to complications in managing finances and accounting. If you have a limited company, then a business bank account is a legal obligation as your limited company is a separate legal entity.

What fees can I expect with a business current account?

Fees vary depending on the bank and the type of account. Common fees include monthly account fees, transaction fees, and charges for additional services.

Can I get a business current account with bad credit?

It can be more challenging to get a business current account with bad credit, but some banks may offer options specifically designed for businesses with poor credit history. Taking steps to improve your credit history and ultimately your credit report can be helpful too.

Can I have multiple business current accounts?

Yes, you can have multiple business current accounts. It can be useful for separating different aspects of your business or if you have multiple businesses.

Do I need to maintain a minimum account balance?

Whether you need to maintain a minimum account balance depends on the specific terms and conditions of the account. As with any bank account you might open, it's important to check specific terms and ask the account provider if you're still unsure.

Are there any limitations on the number of transactions or cash deposits I can make?

Business current accounts may have limitations on the number of free transactions or cash deposits you can make each month. Additional fees may apply if you exceed the limits.

What happens if I close my business, can I close my business current account?

If you close your business, you should inform your bank and close your business current account. The bank will guide you through the process, and any remaining funds will be transferred to another account.

Am I certain to get an overdraft with a business account?

There's no guarantee you'll get an overdraft with your business bank account. Just like with a personal bank account, you'll still need to pass a credit check to be approved for an overdraft facility, and the amount approved can differ depending on your circumstances. If you need an overdraft facility for your business then it's worth speaking to your account provider to see what options are available to you.

Is my business eligible to use the Current Account Switch Service?

You can use this service if your business has fewer than 50 employees, an annual turnover of £6.5 million or less, and both your current and new banks are part of the switch guarantee scheme. If you're unsure whether your business qualifies, it's best to contact your new bank for more information.

Do I need a business account for a business loan?

Some banks may insist that you have a business current account with them before they will accept you for a loan while others, such as the government-backed Start Up Loan, will transfer the loan to a personal bank account.

Do I need to be the owner of a company to get a loan?

No, you don't need to be the owner of a company to get a loan. Registered company directors can apply for most business loans.

Can my small business get a loan?

Yes, small businesses can get loans, but you may be offered different ones depending on your firm's size and revenue. For instance, only businesses that are less than three years old can get a government Start Up Loan.

Does my business have a credit record?

Yes, your business does have a credit record and it may affect whether or not your loan application will be accepted. You can find the credit score for your business through credit referencing agencies such as Experian.

Could I lose my home if my business defaults?

You could lose your home if your business defaults. It all depends on the type of loan you choose, whether it is secured against your home and if you sign a director guarantee. Always check the terms and conditions carefully before agreeing to any loan.

How long does it take to be approved?

The length of time to be approved for a business loan depends on the provider, the checks they carry out, the information they need to see and how quickly you're able to provide it. It also depends on the type of loan - for example secured loans can have longer approval times.

Is it possible to pause payments when the loan account is open?

If you experience financial difficulty during the term of your loan, you may be able to request a payment holiday. This is where repayments are paused for a period of time. You'll need to speak to the loan provider in the first instance - and you should do so as soon as you experience any financial difficulty.

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Meet Hazel: the skincare entrepreneur who sold her home to pursue her dream

Meet Hazel: the skincare entrepreneur who sold her home to pursue her dream

Written by Lucinda O'Brien, savings expert17 December 2024

Fact Checked

Hazel Barry founded H2k Botanicals nearly 25 years ago, driven by her mission to create skincare solutions for sensitive skin.

Hazel Barry has been at the helm of her thriving skincare business for nearly 25 years

Business name: H2k Botanicals
Industry: Natural skincare and wellness
Founded in: 2000
Top business product: Business bank account
Key learning: "Trust your intuition and stay committed to your vision for the business."

The UK is full of inspiring business owners - and Hazel definitely falls into that category.

Since founding H2k Botanicals in 2000, Hazel Barry has grown the company from a personal vision into a respected name in the skincare industry. With innovative, cruelty-free products, H2k Botanicals not only supplies the UK market, but exports to the Middle East and is now poised for further international expansion.

Hazel reflects on her business journey and how the company is thriving in an ever-evolving market.

What inspired you to start H2k Botanicals?

I created H2k Botanicals to address a gap in the market for effective, gentle skincare. My own struggle with sensitive skin was the driving force. At 25, I was ready to take control of my career and channel my creativity into building a brand with purpose.

What began as a personal mission has evolved into a brand that resonates with customers worldwide. Our products address common skin concerns while maintaining our core values: using natural ingredients, being environmentally conscious, and ensuring every product is cruelty-free.

What were the biggest challenges in the early days?

Like many startups, securing funding was tough in the beginning. To finance the business, I invested in property - buying, renovating, and selling homes over a decade. Meanwhile, I immersed myself in product development and worked with expert chemists to refine our formulas.

It wasn’t easy, but those years of hard work laid the foundation for what H2k Botanicals has become today—a trusted brand with a growing global footprint. We supply premium products to major hotels groups and are now available to retail customers through online channels and in our Harrogate flagship store.

How has the business adapted and grown over the years?

Adaptability has been key to our success. From weathering economic downturns to pivoting during the Covid pandemic, we’ve always stayed resourceful. For example, before Covid hit, we had already developed a hand sanitizer for a client, which allowed us to meet the surge in demand.

Strategic shifts, like entering the retail market in 2013, have been transformative. Our recent launch on Amazon marks another milestone, and with plans to expand into the US, H2k Botanicals is set to reach even more customers worldwide.

What financial strategies have supported the company’s growth?

We’ve always taken a pragmatic approach to finances and balanced innovation with sustainability. In the early days, using overdrafts instead of loans helped us manage cash flow efficiently. Today, our partnership with Allica Bank provides tailored financial solutions and it supports our continued growth.

Were there any specific financial products that supported your business journey?

Using an overdraft proved to be a more cost-effective solution for managing cash flow compared to taking out a loan. With strong profit margins, this approach worked well for our business. When I started, I found banks were often cautious about supporting small businesses, which was a challenge. Now, I bank with Allica Bank, and the experience has been markedly different. Its customer service stands out as when you call, someone picks up the phone and truly listens.

Currently, I have both a business current account and a business savings account with Allica Bank, and they are a great fit for our needs. The app is intuitive and user-friendly, and I feel that Allica Bank genuinely understands the needs of small businesses. When speaking with other business owners, a common theme is the desire for financial products tailored specifically to their unique requirements, which Allica seems to prioritise.

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How did you discover Allica Bank?

I came across Allica Bank while researching new business bank accounts on money.co.uk. The platform was straightforward and easy to navigate, which I appreciated as someone who values efficiency. It allowed me to quickly identify Allica Bank as an excellent option without unnecessary steps or complications.

How do you see the future of H2k Botanicals?

The future is exciting. We’re focused on expanding our international presence, with particular emphasis on the US market. While we’ve grown significantly, our commitment to delivering high-quality, results-driven skincare remains our priority.

We’re also working on innovative new products to add to our portfolio. With a solid infrastructure and a talented team behind the brand, H2k Botanicals is ready for the next chapter.

What would you say to someone who is just about to start a business?

Stay true to your vision and adapt as you grow. Never underestimate the power of organisation—keeping a detailed to-do list has been one of my most effective tools for managing a business. And above all, have confidence in your product and your ability to deliver it to the world.

This case study is for informational purposes only and is not intended as financial or professional advice. The results described are specific to the individual's personal experience, so please consult with a qualified professional if you need financial advice.