Individual Account vs Business Account

Erica87
Erica87 Member Posts: 2
Hello,

I have an individual account and have been using it to receive payments. Initially, I did not create a business account because I did not have a registered business, but recently, I registered my business, and according to local laws of my country, I had to open a business bank account with my registered business name. The business is a sole proprietorship, and my name has changed from Erica Laurence to Sole Proprietorship Erica Laurence. I have two questions:

1. Would it be okay to continue using my individual account if I attach my new business bank account for withdrawals or should I create a business account?

2. If I continue using the individual account, but the bank refuses to process the withdrawal because of the name difference, would I be allowed to close my individual account and open a business account?

Thank you.

Answers

  • Kiara_Payoneer
    Kiara_Payoneer Administrator, Moderator, VIP Member Posts: 384 ✭✭✭✭✭✭

    Hey @Erica87, please note that all accounts are business accounts. Both individual and company accounts.

    To avoid issues, it's always recommended to register the same name as on the local bank account details. As payments might be stopped for name mismatch.

    You can of course close your current account and open a company sole proprietorship account if you wish to!

    I hope this helped, have a great week!