Revolut Business Account Review 2021

90 90

Revolut Business Account Experience / Test 2020

To sum up: The Revolut business account is a sensible solution for companies that have many foreign transactions and regularly work with foreign currencies.

The Fintech Revolut from London is something of a shooting star in the business account sector.

The two CEOs, Nikolay Storonsky and Flad Yatsenko, have many years of experience with international financial institutions and have created a model with the Revolut Business Account that is easy to use on the global stage and meets the needs of companies that want to make their employees’ expenses processing more transparent through unlimited corporate credit cards.

The Revolut Business Account at a Glance

Founded in London in 2015, the start-up Revolut already has over 700,000 customers and generates revenues in the millions. The focus is on companies that are global players and need an international account that extends beyond the euro zone.

Handling foreign currencies is child’s play with Revolut and horrendous transaction fees are also eliminated. However, this luxury has its price.
Important characteristics and special features:

• Digital business account: With Revolut everything runs digitally.
• Corporate Card: Mastercards are issued on a credit basis. The price is included in the account management fees.
• Multiple corporate credit cards: Each business account receives unlimited corporate credit cards.
• Foreign assignments: Revolut does not incur any additional costs due to foreign assignments or currency exchange.
• Accounts in foreign currencies: A sub-account in foreign currencies can be opened for each account. A total of 24 currencies can be selected.
• IBAN: A business account with individual IBAN in 24 currencies is possible.

For whom is the Revolut Business Account suitable?

In principle, all types of companies, sole traders and freelancers are accepted as account holders at Revolut. However, some industries are excluded from opening a business account. Due to the high account management fees, the business account is not suitable for founders. The target group are internationally operating companies with many foreign transfers.

Conditions: Costs & Fees

Conditions Overview:

	Business START	Business STANDARD	Business PROFESSIONAL	Freelancer
Trial	14 Days Free Trial
Cost p. Month	£ 25	£ 100	£ 1.000	£ 6,99
Incoming amounts per month	< £100K	£100K-1M	> £1M	< £100K
Exchange Fees	no exchange and foreign assignment fees
Supported Currencies	hold, receive and send payments in more than 24 different currencies
Transfers	free transfers in real time to other companies using Revolut
Bank Cards	unlimited	unlimited	unlimited	unlimited
Runtime	Term on an annual basis	Term on an annual basis	Term on an annual basis	Term on an annual basis
Support	7:00 am to 10:00 pm (GMT)	7:00 am to 10:00 pm (GMT)	7:00 am to 10:00 pm (GMT)	7:00 am to 10:00 pm (GMT)

1. Account Management Fees

Revolut offers three different account models for companies and one for freelancers.

• The START package costs £25 per month and can also be paid in euros.
• The STANDARD account model for companies costs £100 per month.
• At the end of the price scale, the PROFESSIONAL model is £1,000 per month.
• Freelancers have only one option for £6.99 account maintenance fees per month.

The type of business account is not freely selectable, Revolut makes the tariff class dependent on the monthly payments received on the account. Anyone with over £100,000 per month will automatically be upgraded from START to STANDARD and PROFESSIONAL is for all businesses with over £1 million incoming. There is a free trial period of two weeks.

2. Girocard and Credit Cards

Revolut is not a classic corporate account, which is why there is no giro card. The Mastercard Corporate Card is used, which is a prepaid card. The costs are already included in the account management fees. The card is available as a virtual as well as a physical credit card and can be easily ordered in the admin area of the account.

Special feature of Revolut: There is no limit to the number of company cards that can be ordered and 20 new virtual cards can be created per month. Expense accounts thus become child’s play. Foreign use of the credit card is basically free of charge.

Please note: According to Revolut, the Mastercard does not work at every petrol station or toll station. Because if the place is not connected to the Internet, the balance cannot be checked.

Multiple Logins & MasterCards

This is the great strength of the Revolut business account: There is no limit to the number of master cards issued for the corporate account. Anyone who has been verified as authorized to sign for a business account at Revolut can receive an administrator account.

3. Bank Transfers

Transfers to other companies using Revolut are made in real time and are free of charge. SEPA transfers in euros and sterling are also free. The provider does not charge for international SWIFT transfers outside the euro zone, but there may be costs for the bank in the destination country.

Local transfers to accounts of other banks take one day, international transfers three to a maximum of five days, depending on the destination country.

Transfers can be made worldwide, with the exception of some countries, which are mostly in Africa or the Middle East.

In total, payments and funds can be made and received in 24 currencies. The exchange rate of the interbank is always used as a basis.

4. Cash Withdrawals

The maximum that can be withdrawn per day is EUR 2,200. It is important to choose an ATM that carries the MasterCard symbol. Revolut charges 2% of the withdrawn amount as a fee.

5. Depositing Cash

Revolut does not maintain any branches. For this reason, this business account is not suitable for entrepreneurs who have to deposit cash on a regular basis.

Deposits at the counter do not fit the company philosophy anyway. At Revolut we believe that digital payment transactions are the safest method anyway.

6. Overdraft Facilities

The Revolut company account is aimed at all entrepreneurs who travel a lot, have to pay in different currencies and don’t want any extra costs.

Own transfers or from customers are possible, but only the amount that is actually on the account can be disposed of.

An overdraft or disposition is currently not possible. However, as Revolut is still a very young company, such options may be available in the future.

Special Functions & Features

Sub-accounts: It is possible to set up a sub-account for each of the 24 permitted currencies. These are simply created in the admin area. If you have a particularly large customer base in a country, your business partners can pay directly in local currency.

Receiving payments: Within Europe Revolut accepts payments from Paypal for the business account. Amazon or Stripe.

Accounting and financial tools: The business account can be synchronised with various accounting apps and other financial tools. Current are: Clear Books, Sage, Fresh Books, Quaderno, Zoho Books, Kash Flow

Account Opening

Revolut is different from the other providers and this becomes clear in the business account comparison already when looking at the procedure of opening an account. In principle, any company can open a business account here. Unfortunately, the homepage of the provider only indicates the British legal forms, but points out that most business forms are accepted in the respective countries.

In addition, sole traders and freelancers can open a business account. However, not every business is accepted.

Excluded from opening an account with Revolut are

• Companies in the pornography sector
• Escort service and other sexual services
• Cryptocurrency companies
• Casinos and gambling providers
• Precious metal and gemstone traders
• Any trade in illegal goods and substances
• Weapon and ammunition companies
• Dealer for used vehicles
• Auction houses
• Art dealer
• Financial service providers of all kinds

How does the Standard Application Procedure work?

Every interested party must first go through a standard process in which information about the person, co-partners and the company itself is provided online.

However, the procedure is not particularly fast, the company speaks of waiting times due to high demand. If the end of the queue is reached, further information may be necessary.

The standard process is aimed at companies operating within Europe. The account is set up in both euros and pounds sterling, and it is also possible to make and receive payments in 18 other currencies.

The following information must be provided:

• Name and address of the company, including website
• Personal details of the managing director and at least one other person authorised to sign
• Personal details and identification documents of the managing director and all co-shareholders with a stake of at least 25 percent
• Company profile

How does the Advanced Application Procedure work?

Companies doing business outside the EU and needing accounts in a different currency will first go through the standard procedure and should finally go through the advanced procedure. Participation is not mandatory, many companies leave it at Standard.

Additional documents required:

• Bank statements for the last three months.
• Foundation documents
• Identification documents of the managing director and all co-shareholders with at least 25 percent share
• Any other documents requested during the registration process.

The Company will grant or deny approval to open an account upon completion of the process if documents are not submitted in full or if there are other concerns.

Support / Customer Service

The Revolut account can be locked at any time via the app. The app also offers a chat function that is manned around the clock. Premium and Metal users enjoy a preferred service. The telephone hotline should only be called in an extreme emergency, as this involves an international call to Great Britain. There is also a user community similar to Fidor Bank that answers questions.

Alternatives

Our Revolut experience has shown that this offer is only interesting for companies that operate internationally and need a business account with global capabilities. Exchange rates, foreign currencies and international transfers are no problem with this provider – but this added value is reflected in hefty account management fees.

If you only do transactions within the EU, you can open a free business account with providers such as Holvi, Penta, Fidor Bank, N26 or FYRST.

For regular cash deposits, we recommend the business account of Postbank or Commerzbank. For international transfers, it is worth calculating the costs exactly.

If the fees for transactions outside the euro zone exceed the account management fees at Revolut, this business account model is recommended.

Overall Conclusion

Revolut is the business account for companies that need to operate globally and in multiple currencies. Particularly noteworthy are the unlimited number of corporate credit cards and the elimination of fees for foreign assignments and bills of exchange.

FAQ – Frequently asked Questions about the Revolut Business Account

How safe is my money at Revolut?

The bank behind Fintech Revolut is subject to the regulations of the British FCA (Financial Conduct Authority). In the event of insolvency, British law applies, which protects bank customers as effectively as legislation in Germany.

What is the situation with Schufa / Credit Check at Revolut?

As a British company, Revolut does not carry out any inquiries with Schufa. It is therefore possible to open a business account here without Schufa or credit check.

What kind of IBAN is offered?

Account holders receive a British IBAN.

Are there Interfaces?

With an API interface, transaction processes can be automated. Otherwise, it is possible to synchronize apps with the Revolut account. A separate app in the business area is missing.

From Which Countries can Business Owners / Freelancers sign up?

legal residents of United Kingdom, Ireland, France, Belgium, Iceland, Netherlands, Romania, Poland, Sweden, Norway, Lithuania, Bulgaria, Republic of Cyprus, Czech Republic, Estonia, Finland, Greece, Spain, Portugal, Malta, Hungary, Denmark, Switzerland, Australia, Germany, Austria, Italy, Liechtenstein, Luxembourg, Latvia, Slovakia, Croatia, Slovenia

Is there a Direct Debit System?

At the moment there is no direct debit system available.

How can a Revolut Account be cancelled?

If you open a business account, you can test Revolut for two weeks for free. After that the contract runs for one year. If you want to cancel after that, you must contact support for details.