Invoice Bazaar Blog

How do you set up bank accounts for a newly-established company?

By Invoice Bazaar | July 7, 2020

There are many international banks as well as local and Islamic banks in the UAE. They offer a wide variety of banking solutions aimed at catering to every business need. Since banks play a crucial role in facilitating the success of a businessman, it is imperative on his part to choose a bank that completely aligns with his business goals, interests, specifications and corporate objectives.

After obtaining the business license to set up his new venture, the company

promoter can initiate the relevant formalities for getting a bank account opened for his proposed establishment. Depending on the volume, depth and dimension of his business unit, he may require one or more than one bank account.

Having more than one bank account will facilitate easy maintenance of funds to meet obligatory payments such as employees’ salary and mandatory government taxes like VAT & service tax. It will also help in keeping track of all his official expenses. This, in turn, will ensure that expenses don’t exceed the company’s budget allocations, and will also guarantee more effective planning and financial control.

Sometimes the promoter may be tempted to open his company’s new accounts in the same bank where he maintains his personal account. However, it is prudent to consider banks that specialize in managing funds of business enterprises. Once the businessman convinces himself of the identity of the bank he wants to deal with, he can easily get a business bank account opened by directly visiting the concerned bank and by submitting the relevant application and related documents as most bankers are keen to help their potential customers.

If a promoter wants to know the best UAE banks offering customized banking packages that can meet the specific needs of his venture, he also has the option of hiring the services of some good business consultancy firms. Such business consultancies will update him about the variety of current and deposit accounts on offer and also initiate and expedite the entire process of bank account opening in a hassle-free manner.