/ Business

🏦 How we're different from a bank (and what that means for your business)

The world of finance can be confusing. Just when you thought you had everything figured out, “challenger banks,” fintechs and banking alternatives arrived to mix things up. Now, even the word “bank” can be confusing, as there’s no longer a single type of institution that handles your business’ money.

We’re here to set the record straight, and answer some of those burning questions.

❔ Is Revolut a bank?

When we started in 2015, were were a digital payments service. Legally speaking, we are an electronic money institution. We are authorised to handle money, facilitate business transactions and currency exchanges, but we cannot offer certain financial services; such as the FSCS deposit guarantee. We don’t handle cash or cheques or offer phone assistance. We don’t have brick and mortar branches, we don’t call ourselves a traditional bank.

Though we are not the same as a traditional bank, your money is protected. Funds with Revolut remain safeguarded in accounts with a tier one UK bank, as per our obligations under the e-money regulations. Plus, all of your card transactions are processed by the Mastercard or Visa network and are protected by Mastercard or Visa rules.

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Our “not a traditional bank” label allows us to operate more like a technology company than a typical financial institution, and that means we can move faster and invest in our products and services differently than a traditional bank might. Instead of focusing on where to invest deposited funds, our primary focus is bringing you a beautiful and seamless experience.

While legally and organisationally, there are some big differences between a Revolut for Business account and a business bank account, we’ve found that our offering can successfully replace a traditional bank account in many cases. You can think of us as a mobile wallet, with loads of intuitive features, physical cards, plus all of the product integrations you love.

📋 But Revolut has a banking license, right?

That’s true! In 2018, we were granted an EU banking licence by the European Central Bank. But, confusing as it may seem, that still doesn’t make us a bank. We still intend to acquire a UK banking license in the future, as well as licenses in many of the other regions in which we operate. Revolut for Business is expanding all the time, into new regions, in the products and partnerships we offer and in banking accreditation.

🧾 How is Revolut for Business different from Business Bank Accounts

Revolut for Business offers different features, and (we think) a better overall experience. If you manage tasks online or use tools like Slack, Monday.com, or Xero, Revolut for Business was made for you. We are the only business account that offers end-to-end expense management. We allow our businesses to automate bulk payments, regardless of business size or payment amount. And, we allow colleagues and partners to access the account securely with a clear audit trail, with our user permissions and payment approvals.

We offer many of the same features as a traditional business bank account; like business loans on a limited basis and unique personal and business account details just as you would from a traditional bank. But, our status as an electronic money institution has allowed us to focus on creating a product that is a great option for contemporary businesses. We’re a business account that moves at the same speed as your growing business.

You can expect to see new features coming from Revolut for Business all the time, including: overdrafts and direct debit. We still have dedicated (human) support when you have a question about your account. And, every week we’re adding more of what you already love: perks, product integrations, and a product that just keeps getting better and better. Regardless of whether we have the title of “Bank Account” in the future, our commitment to innovation and an incredible product will always remain the same.

Open a business account today