Business bank account for online competition

[Gullzter]

Hi folks,

I am looking for some advice or help to set up a business bank account for my Ltd business.

The venture is an online competition, you will have seen these about no doubt, whereby individuals pay to enter a competition and answer skill based questions, and the winner is selected by means of a raffle (they can only be entered into the raffle if their answer to the question is correct).

I have spoken to gambling commission and they have said I won't require a license if this is how it is being run, however I would like to know if this still puts my business in the gambling category in the eyes of Banks?

If so, there are many that will not accept my business, and I'm looking to find a UK based bank (if possible), to set up with.

If not, then in theory I should be fine to apply for an account, however I would just like some clarification on these points, and anything else to consider before applying for an account?

I need the account set up ASAP in order to pay a deposit to my Web builder so they can make a start on the site.

I have tried searching online and this forum and I keep seeing recommendations of using an offshore (ie Gibraltar) account, however in the first instance I'd like a UK account if possible, before considering offshore.

Thanks

 

[Porky]

A lot of banks are not opening new accounts at the moment due to the Clovid19 issue such as Metro which is one I would recommend.

If I were you I would decide exactly what to define your business activity as and check the trade exclusion list of the bank in question and see if the6 will open it?. If on application they say you are a gambling business show them the documented evidence that you are not and see if that holds up?

However, irrespective of you needing a licence or not it does sound like you are a betting of sorts business and banks are nervous and don’t take risks usually! Ultimately Offshore is probably your best bet but give it a shot first?