Business savings bonds

If your business has surplus cash that it can set aside for an extended period, you can put that money to work earning interest in business savings bonds.

You won’t be able to access the funds before the end of the term, but you’ll receive a consistently competitive rate in return.

We currently have two business savings bonds available. You can choose between a one-year and a two-year fixed term. It is simple to open an account with us, and you can deposit amounts ranging from £5,000 to £2,000,000.

At Shawbrook Bank, we like to keep our approach to business savings straightforward. That’s why it’s easy to open an account online with us. Plus, you can manage your money online, too. If you have any questions, our dedicated team is on hand to help.

Find out more about our business savings bonds below.

Compare business bonds

You could earn a competitive interest rate on the spare cash in your business by depositing it in a business bond.

1 year fixed rate business savings bond

Receive a competitive rate if you lock cash away for one year.

2 year fixed rate business savings bond

Set aside funds for two years to enjoy an even higher interest rate.

1 Year Fixed Rate Business Savings Bond Issue 17 Summary PDF
AER
1.25% Fixed
Gross
1.25% Annually
1.24% Monthly
Min Balance
£5,000
Max Balance
£2,000,000
2 Year Fixed Rate Business Savings Bond Issue 7 Summary PDF
AER
2.00% Fixed
Gross
2.00% Annually
1.98% Monthly
Min Balance
£5,000
Max Balance
£2,000,000

Terms explained

AER stands for Annual Equivalent Rate and illustrates the interest rate if it was paid and compounded each year. We quote the AER on all of our accounts so that you can compare our products with those of other banks.

GROSS is the interest rate without the deduction of income tax. This is the interest rate paid on your account.

Regulation

Shawbrook is authorised by the Prudential Regulation Authority (PRA) and regulated by​ the Financial Conduct Authority (FCA) and the Prudential Regulation Authority. The FCA and PRA regulate many different kinds of financial services companies, and make sure that banks treat their customers fairly. Find out more at www.fca.org.uk or www.bankofengland.co.uk/prudential-regulation.

About our business savings bonds

If you can commit to depositing your money for a set period, Shawbrook can offer you a competitive rate.

It’s important to have all the information before opening an account with us. You can find more information about our fixed rate business bonds and the rates available by clicking through the comparison table above.

Before deciding on the best account for your needs, you may also find the following information about our business savings bonds helpful.

A business savings bond is a type of account available to businesses who wish to lock away spare funds for a set time. You can’t withdraw from this account until the end of the fixed term.

A fixed rate bond may be the ideal account for your business if you can commit to setting money aside for a specific period, such as financial obligations you know you will have to meet in a year or more.

Consider whether locking away funds for an extended period is the right option for your business. If you can set aside a lump sum for an extended period, you could enjoy competitive business bond interest rates.

If you’re looking for a more accessible account that allows withdrawals whenever you need, an easy access account could be a more suitable choice. If you know when your business will require funds in advance, you may prefer a business savings notice account and earn a competitive rate by agreeing to a 45 or 100 day notice period.

You can apply for a business savings bond account online if:

  • You are a sole trader or partnership (excluding limited liability partnerships) or;
  • Your business is a limited company (limited by shares or limited by guarantee) that has not appointed a corporate director, has at least one person with significant control registered at Companies House and no more than four shareholders and;
  • You have no more than four signatories authorised to operate the account and do not hold an existing business savings account with us.

You will need to contact us by telephone to open an account if:

  • Your business is a limited liability partnership or;
  • You are opening the account for a limited company (limited by share or limited by guarantee) that has appointed a corporate director or does not have at least one person with significant control registered at Companies House or;
  • You hold an existing business savings account with us.

 

To open an account, your business must be UK-registered and all directors and beneficial owners must be at least 18 years old, a permanent UK resident, and only subject to UK tax. Our business savings bonds are not available to charities or trusts.

After opening your account, you can manage it online through our eSavings portal or by telephone.

It’s important to have the necessary information when it comes to deposits and withdrawals before deciding whether a fixed term business bond is right for you.

 

Deposits

Our business savings bonds have a minimum deposit of £5,000 and a maximum of £2,000,000. You cannot make additional deposits into the account.

All eligible deposits into our business savings accounts are protected up to a total of £85,000 by the Financial Services Compensation Scheme (FSCS). For more information, please visit www.fscs.org.uk.

 

Withdrawals

A business savings bond is subject to a fixed term, depending on the account you choose. You will not have access to your funds during the fixed term and cannot make withdrawals. For more information, please refer to your Key Product Information document.

You might prefer our easy access account if you want more flexibility and access to your funds whenever you need. If you know when your business will need cash in advance, you could opt for a business savings notice account and agree to a 45 or 100 day notice period.

As the interest rate of our business savings bonds is fixed, it will not change over the term of the bond.

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