How OpenPay opened a UK business bank account after the banks said no
OpenPay, then one of Australia's best-known payment brands, needed a UK bank account before it could trade. The banks turned it down. Here is how we turned that around.
Why UK banks turned OpenPay down
OpenPay was one of Australia's most recognisable payment brands, known for its layaway services. The UK was the natural first step in its international growth. Ed Bunting led the move from Melbourne.
The team expected banking to be hard. It was. Approaching banks directly went nowhere. OpenPay was not a UK company, and UK banks usually want someone physically based in the UK before they open an account.
Regulation added a second hurdle. OpenPay had to register with the Financial Conduct Authority (FCA), the UK's financial services regulator, and banks saw its consumer lending as high risk. Without a bank account, the UK business could not start.
Before
No UK presence, no UK company officer and a declined bank application.
After
A registered UK company with a UK company secretary, an approved bank account and payroll in place.
A UK company officer on the ground
OpenPay found Paul Beare through a Google search. We guided the Melbourne team through the full setup and told them upfront what was needed, what it would cost and how long it would take.
The key was presence. With Paul acting as a company officer in the UK, the UK business bank account application looked very different to the bank.
- 1Step 1
Company registered
We handled UK company formation, with Paul named as company secretary.
- 2Step 2
Application prepared
We gathered the documents and put together the bank application.
- 3Step 3
Account approved
The bank that first declined OpenPay accepted the application.
- 4Step 4
Ready to grow
Tax and payroll set up, so the UK team could start hiring.
Banking in place and free to grow
With the bank account approved, OpenPay set up its UK arm and turned to building its presence. Managing Director Andy Harding said the structures we put in place let the UK team focus on growth. "We're building a finance team here, with a credit risk manager and an accountant coming on board."
We also ran UK payroll, so adding headcount was simple. As Andy put it, they could "just let Paul's team know and they do the rest."
"Having someone on the ground acting as a company officer makes a huge difference."
Need a UK business bank account?
Paul Beare helps overseas companies open a UK business bank account, with the company setup and UK officer support banks look for. Talk to our team about your plans.
