A prepaid business account and card offers a convenient and secure alternative to paying cash or using a credit or debit card. These business prepaid cards are loaded with money in advance to make payments, withdraw cash from ATMs or make direct purchases, just as you would with debit or credit card. Unlike your standard business credit card, you can only spend the amount that is on the card, perfect for budgeting.
What’s more, prepaid business cards require no credit check, for you or your employees to use. However, before you apply for the icount prepaid business account, ensure you have these 4 things in check.
Ensure you are incorporated for at least 3 working days prior to applying for your prepaid business account
What is incorporation?
Incorporation is what happens when an existing or new business registers as a limited company. The company has a separate identity to those who run it and is its own legal entity. Most companies are limited liability companies.
Why do I need to be incorporated?
Until you have been incorporated at Companies House under the Companies Act 2006, you will not be able to run a limited company. When you establish your business as a company, it means the directors need to file certain documents annually, such as confirmation statements and annual accounts. Directors must also inform Companies House if there are any changes, for instance, a change to the company’s registered office or the resignation and appointment of directors.
Ensure that you enter your company name letter for letter as it shows with companies house
Choosing your company name
Carefully consider your company name before registering with Companies House. You need to ensure that the name you choose has not been chosen by another company and is allowed by law. You should also choose a name that effectively reflects your company’s values and the purpose of the business.
If you are unclear whether the company name already exists elsewhere, you can check using the Companies House WebCheck here.
You also can’t register a name that is too similar, unless you receive permission from that existing company, or your company is forming part of the same group. Also be aware of accidentally using sensitive expressions or words before applying to form your company. There are many phrases and words that are prohibited. That is why you need to enter it letter for letter. They include anything that:
- Indicates an association with an official body or administration
- Is likely to be misleading or cause offence to the public
- Makes reference to a specific location
- Suggests business pre-eminence or a particular status
Make sure the business address you provide is your registered office address
Why do I need a registered office?
There are many reasons why you need to have a registered office and an address that matches it. These include:
- It’s a legal requirement under UK company law
- Details are placed on public record to create corporate transparency
- Statutory records and registers must be kept and made available for inspection at the registered office
- Official mailing address for statutory correspondence
Can I use my home as a registered office?
Yes, you can indeed. It’s not the best choice in terms of professionalism and privacy, but if you have to, it’s certainly an option. The benefits of using a non-residential registered office, however, include:
- A non-residential address in a busy area, such as a city centre, will appeal to a larger customer base and potential investors
- Separates your home and work life
- Expands your geographical reach in a prominent city location
- Due to public disclosure of company information, the use of your residential address might warrant unwanted visitors, mail and calls
Double check that all 8 digits of your company registration number are entered correctly
What is a company registration number?
This is a unique combination of numbers, and sometimes letters. Sometimes abbreviated to CRN, the company registration number is used to identify your company and prove you are registered with Companies House.
The number is given out automatically after you form the company, so it’s important that all 8 digits of your company registration number is entered correctly. This primarily applies to limited companies and limited liability partnerships. Sole traders are not incorporated in this manner and do not require a company registration number.
Having each of these 4 things in check will stand your and your business in good stead, leaving you free to comfortably then apply for a prepaid business account.