HSBC Kinetic vs HSBC Business Account: Full Comparison

Whenever you need to transact on behalf of your business - sending or receiving payments - you’ll need a dedicated business account to keep your personal and company finances separate. But which business account to choose?

Some business accounts from UK banks are aimed at startups and sole traders, while others are for SMEs or more established corporate businesses. Which is right for you will depend on your situation. This guide walks through HSBC Kinetic¹ vs business account² to highlight the differences, features and fees.

Plus, we’ll introduce the Wise Business account as a non-bank alternative which might suit your business - particularly if you have contractors, suppliers, customers or staff overseas.

💡 Learn more about Wise Business

HSBC Kinetic vs Business account - Comparison overview

Let’s start out our HSBC Kinetic vs business account with a quick overview. We’ll look at some important business banking features, and the availability from each of the HSBC business account types.

Right after we’ll dive into each account in more detail including the features and fees you’ll want to know about so you can compare your options and decide if either HSBC account is right for your business.

Service	HSBC Kinetic Account	HSBC Business Account
Account maintenance fee	£6.5 per month	£10 per month
Target customer	Sole traders, smaller businesses with a single director/shareholder	SMEs with a turnover of £6.5 million or more, looking to work with a banking relationship manager
Eligibility criteria	UK tax resident, turnover £6.5 million annually or less	Contact HSBC to discuss your specific needs and situation
International payments	Not available in app - call the bank or visit a branch	Yes - from £17
Business card	✅	✅
Expenses cards	❌	✅
Overdraft	✅	✅
Multi-user access	❌	✅
Accounting integrations	❌	✅
Customer support channels	In app primarily - phone support also available if needed	In app, by phone and in person

What is HSBC Kinetic?

The HSBC Kinetic account is primarily delivered through an app, and can be a good starting business account for newer business owners and sole traders. You’ll be able to access financial services like an overdraft and a debit card, but there are a few restrictions to the available transaction types. For example, you can’t send a payment overseas in the Kinetic app, so you’ll need to visit a branch or call the bank to pay suppliers and contractors based overseas.

HSBC Kinetic account - Overview

The HSBC Kinetic account is targeted at smaller and newer businesses. You may be eligible to apply if you fit the following criteria:

• Sole trader or limited company with a sole director/shareholder
• UK tax resident
• Annual business turnover of 6.4 million GBP or less

If you open a Kinetic account you’ll get features including:

• No monthly fee for the first year
• In app overdraft application
• Ways to track and manage your money online and in app
• Cash flow and spending insights
• Mobile cheque deposits
• Up to 25,000 GBP of transactions in app daily

As long as you meet the eligibility criteria set out above you can apply by downloading the HSBC app and uploading a few relevant business documents.

HSBC Kinetic business account - Fees and charges

Let’s take a look at the HSBC Kinetic business account fees and charges you’ll need to consider if you’re eligible to open an account:

Service	Fees3
Current account maintenance	Free for 12 months, then £6.5 per month
Receive local payments	Most payment options are free - the exception being mobile cheque deposits which cost £0.50
Send local payments	Free
ATM withdrawals	0.6% local ATM fee 1.5% withdrawal fee + 2.75% foreign transaction fee when making an international withdrawals
Receive international payments	SEPA credit transfer £0.20 Other payments over £100 in value attract a £6 fee
Send international payments	In app payments not available - you’ll need to visit a branch or call HSBC No HSBC transfer fee applies for most payments, but exchange rates may include a markup

HSBC business banking - Overview

The HSBC business account is aimed at more established SMEs with a higher turnover compared to customers attracted to the Kinetic account. You can get support from a banking relationship manager, depending on your business scale and the type of transactions you need to make. Other features include:

• Free banking for 12 months
• Overdraft facilities
• Debit cards for you and your team
• Mobile cheque deposit
• Accounting integration with Sage
• Loans
• Cheque book on request

If you decide to open an HSBC business account, you’ll need to visit a branch or start a live chat with the business banking team online or in app to discuss your requirements. Once you have an account you can also apply for an HSBC business debit card, to make spending and cash withdrawal easier.

Learn more about how to open an HSBC Business Bank Account

HSBC business banking charges

Let’s walk through the most important HSBC Business Banking charges you’ll need to compare:

Service	Fees2
Current account maintenance	Free for 12 months, then £10 per month
Receive local payments	Online payments are free, mobile cheque deposits £0.50, cash deposit 1.5% of deposit value
Send local payments	Free
ATM withdrawals	£0.25 withdrawal fee + 0.6% cash out fee
Receive international payments	SEPA credit transfer £0.20 Other payments over £100 in value attract a £6 fee
Send international payments	From £17

HSBC business banking - FAQs

Not sure whether or not HSBC business banking is right for you? Here are some common questions - and the answers - which may help you decide.

Does HSBC Kinetic work with QuickBooks?

HSBC Kinetic does not offer accounting integrations. The HSBC Business Bank Account does have integration with Sage. However, if you prefer QuickBooks, you might be interested in Wise Business instead, which offers a business account with smart cloud accounting integrations and great international features.

Get started with Wise Business 🚀

What is a Kinetic card?

The HSBC Kinetic account comes with a Kinetic card for the account owner. You can get a Kinetic debit card to make spending and withdrawals easier, and you can also apply for a business credit card with HSBC if you’d like to.

How long does it take to open an HSBC Kinetic business account?

You can apply for an HSBC Kinetic account in the HSBC app. The application won’t take long if you have documents for verification handy. Once you’ve applied, your account will be verified by HSBC staff, and then you can start to transact.

How long does it take to set up a business account with HSBC?

To set up a business account with HSBC you’ll need to visit a branch or start a live chat with the HSBC business banking team online or in app. The application process - and how long approval will take - will depend on your situation, but the customer service team can advise you at the point of applying.

How do I close an HSBC business account?

The process of closing an HSBC business account will usually require you to complete a form, which you then print out, sign and mail in to HSBC for consideration. This can take some time, so do get started well in advance.

Learn more about how to close a UK HSBC Business Account

Wise Business Account: alternative to HSBC

Not sure if HSBC is right for you? Check out Wise Business - a non-bank alternative with a dedicated Business Account for local and international use.

Wise offers a Business Account which lets you pay and get paid in multiple currencies, spend with linked debit and expense cards, and manage your money from your phone. You’ll also get business friendly extras like batch payments and a smart API to automate workflow.

As we mentioned, Wise isn’t a bank - but it’s FCA regulated in the UK, and trusted by 16+ million customers across personal and business services. Over on Trustpilot, which aggregates live customer feedback, Wise scores 4.3 out of 5 stars, from over 200,000 reviews posted so far⁴.

Wise Business account fees

When you’re managing a business, costs are key. Here are the Wise Business fees you should know about:

Service	Fees
Open account	£45 one time fee
Receive payments	Receive AUD, EUR, GBP, HUF, NZD, RON, SGD, TRY, CAD (non-SWIFT) and USD (non-wire) - free
Send payments	From 0.43% for international payments
ATM withdrawals	2 withdrawals to the value of £200 per month free £0.50 + 1.75% after that
Currency exchange	From 0.43% with the mid-market exchange rate

Open Wise Business account

1. Go to the Wise desktop site or app
2. Tap Register Now and confirm you want to open a Business account
3. Follow the prompts to enter your personal and business information
4. Upload clear images of some documents for verification
5. Pay a one time fee of 45 GBP
6. Once your account is verified you can start to transact globally in 40+ currencies

Learn more about the requirements to open a Wise Business account in the UK in this full guide.

Start saving today with Wise Business

Whether or not HSBC is right for your business will depend a lot on the situation, your company type and turnover, and the transactions you’ll make frequently. Use this guide to compare HSBC Business banking vs HSBC Kinetic accounts - and don’t forget to take a closer look at Wise Business as well, as a smart and low cost way to manage your business finances across currencies.

Sources used in this article:

1. HSBC Kinetic
2. HSBC Business Bank Account
3. HSBC Kinetic pricelist
4. Trustpilot - Wise

Sources last checked February 15, 2024