Is a business account mandatory for sole traders? (Image: New Data Services, Unsplash)
Anyone who takes up a small business or a freelance activity will sooner or later be faced with the question: Do I need a business account?
The answer to this is not always clear, because legally there is no general obligation, but in practice it often looks different. Banks, accounting and the tax office play a role.
Is there a legal obligation for a business account?
Basically the following applies: Sole proprietors are not legally obliged to have a business account. There are no legal regulationthe self -employed or freelancer forces you to open a separate account for business purposes. This was confirmed in various sources and by tax law:
- Not a general obligation for sole entrepreneurs
- Self -employed, small business owners and freelancers are allowed to use a private checking account
- The tax office accepts the business use of a private account
Who has to keep a business account?
However, a clear one applies to some forms of business Duty to open a business account. This affects in particular legal personsthat appear as a separate legal unit:
- GmbH (limited liability company)
- UG (entrepreneurial company, limited liability)
- AG (Aktiengesellschaft)
- EG (registered cooperative)
- EV (registered association)
With these legal forms, a separate account is necessary, since society appears as an independent legal person and its finances must be strictly separated from the personal finances of the shareholders. This results, among other things, Section 7 (2) sentence 2 GmbHG for corporations.
For Solid entrepreneur and freelancer However, this obligation does not exist.
Why do many banks still charge a business account?
Even if it No legal obligation can be House bank still request a business account. The reason is in the General terms and conditions (AGB) many banks.
Banks can prohibit business use of a private account
There is one in the terms and conditions of many credit institutions clausethat prohibits customers a to use private checking account for business transactions. The reason for the banks:
- Higher transaction volume: Business account movements are often more numerous than private, which means higher administrative effort for the bank.
- Regulations through the money laundry law (Section 3 (1) of the GWG): Banks must particularly monitor business transactions, which is associated with additional test obligations.
- Different fee structure: Banks often offer private accounts cheaper or even free of charge, while business accounts are subject to charges.
Consequence: If a private account is used for business purposes, the bank can object to this and, in the worst case, even terminate the account.
Can you use a private account as a business account?
In theory, it may be possible to handle all business payments via a private account – but in practice this brings a lot of disadvantages.
Difficult accounting and tax return
- When private and business transactions are on the same account, it becomes difficult to separate the payments.
- Every single sales must be assigned manually in the tax return – that takes time and nerves.
- The tax office can examine the entire private account during an tax audit because it was used for business.
Danger for tax audits
- If the private account is used for business purposes, the tax office can View all private bookings.
- In the event of a clear separation with a business account, only the business account may be checked.
Limited functions of a private account
A business account offers many practical functions that are relevant for entrepreneurs:
- Direct debit: Allows customer payments to be drawn (often not possible for private accounts).
- Several tickets for employees: Business accounts offer the opportunity to issue other tickets for employees or business partners.
- Better financial overview: Private and business finances are clean.
- Credit frames & business loans: Banks often grant corporate customers cheaper conditions for corporate loans.
Unprofessional impression among customers and business partners
A business payment to “Max Mustermann – private account” looks not very professional. Anyone who provides invoices or receives payments makes a business account that runs on the company name more serious impression.
What are the advantages and disadvantages of a business account?
The question of whether a business account is really necessary arise.
There is no obligation by lawto conduct such an account – at least for sole proprietors, freelancers and small business owners. Nevertheless, there are some good reasons that speak for a separate business account. At the same time, a business account also brings with it some costs and restrictions.
| Advantages | Disadvantages |
|---|---|
| Clear separation of private and business finances | Business accounts are usually subject to a fee (5 to € 50 per month). |
| Better overview of finances | Higher fees for bookings |
| Fewer problems with tax audits | Not every bank accepts sole traders |
| Discontinue account management fees | No personal advantage |
| More professional appearance | Limited selection of cheap business accounts |
| Better financial planning | More administrative effort |
| Extended functions | Possible termination of the private account by the bank |
A business account is not a legal must, but practically highly recommended. In particular, those who regularly generate sales, perform professionally and want to simplify bookkeeping benefit from a separate account. For self -employed people with low income or a few transactions, it can make sense to first check whether a private account is sufficient.
Tip: Banks offer different conditions – a comparison of business accounts is worthwhile to find the best fees and services.
Can you just open such a business account?
Yes, basically every self -employed or entrepreneur can open a business account, but there are some points to consider.
Solk entrepreneurs, freelancers and small business owners usually have no special hurdles. You usually only need a valid ID card and, if necessary, a trade license or a tax number. Corporations such as GmbH or UG, on the other hand, have to keep a business account and present additional documents such as a commercial register extract and the social contract when the opening is opened.
Depending on the bank, the opening of the account can run differently. Classic branch banks often charge a personal appointment, while many online banks offer digital registration with video identification. In the case of direct banks, the account is usually opened within a few hours, with branch banks it can take a few days.
However, not all banks offer business accounts for every company form. While online banks often provide cheap accounts for sole traders and freelancers, some only accept corporations as business customers. If you want to open a business account, you should check in advance which bank offers the right solution.
What does a business account cost?
The costs for a business account differ greatly depending on the bank, usage profile and scope of services.
While some online providers offer free business accounts, branch banks often require higher fees, especially for cash services or documented bookings.
Free business accounts
For sole proprietors and freelancers there are some providers who offer a free business account – but often with restrictions.
These offers are usually only available for solo self-employed, while corporations have to switch to paid models.
Examples of free business accounts:
| Provider | Tariff | Monthly costs | Free bookings per month | restrictions |
|---|---|---|---|---|
| Fyrst | base | 0 € | 50 | Only for solo self-employed and freelancers, others 6 €/month |
| Border | Business | 0 € | 50 | Only for solo self-employed & freelancers |
| N26 | standard | 0 € | Unlimited | Only for solo self-employed & freelancers |
| Vivid | standard | 0 € | Unlimited | Only for solo self-employed & freelancers |
Cheap business accounts with a basic fee
For companies that require more functions or greater flexibility, there are also cheap business accounts with low basic fees. Some examples:
| Provider | Tariff | Monthly costs | Free bookings per month |
|---|---|---|---|
| N26 | Business Smart | 4.90 € | Unlimited |
| Contest | Free | 6.00 € | 10 |
| Border | Business Professional | 7.90 € | 100 |
| Finoma | start | € 9.00 (€ 7.00 for annual booking) | Unlimited |
These accounts often offer additional functions such as better accounting connections or extended payment solutions.
Business accounts for cash business and large companies
Companies that regularly deposit or withdraw cash must expect significantly higher fees.
Branch banks offer better service in this area, but require high account management and transaction fees.
| Provider | Tariff | Monthly costs | Costs for deposits | Costs for payouts |
|---|---|---|---|---|
| Fyrst | Complete | 10.00 € | 2.50 € | For free |
| Targobank | Business account Premium | 26.90 € | 2.50 € | For free |
| GLS Bank | Account business | 15.00 € | 5.00 € | For free |
| Commerzbank | Premium business account plus | 54.90 € | 2.50 € | 2.50 € |
| German bank | Business Premium account | 39.90 € | 4.00 € | For free |
These models are particularly relevant for companies with large payment transactions or branch business.
Additional costs
In addition to the basic fees, there are further cost points that should be taken into account when choosing a business account:
- Evalable bookings: 0 € to € 0.30 per transaction
- Documented bookings: € 1.00 to € 4.00 per process
- Cash withdrawals: Free up to € 3.50 per process
- Cash deposits: € 2.50 to € 7.50 per process
- Card fees: Depending on the provider, EC and credit cards are free of charge or for a fee (up to € 10 per month)
- Interest on loans or dispo: 4 % to 12 % depending on the bank and creditworthiness
Conclusion: The choice of the right business account depends on the need
Anyone who works as a sole trader or freelancer and only has a few transactions per month can benefit from a free online business account. These models are ideal for everyone who has no cash transactions and mainly process digital payments.
For companies that regularly deposit cash or carry out many transactions, branch banks are often a better choice – even if they are more expensive. It is worth comparing the fees for bookings, cash deposits and additional services.
Capital companies such as GmbHs or UGs in any case need a business account. You should pay attention to favorable conditions for refuge bookings, since high transaction costs can arise here.
Ultimately, the decision depends on the individual business model. A careful comparison of the conditions can help to avoid unnecessary costs and find the right account for your own needs.