Monzo Business vs Tide: two FSCS-protected accounts with different fee models

The short verdict

Monzo Business is cheaper for most small businesses on a free plan. Monzo Lite charges nothing for UK transfers or card spending abroad. Tide’s free plan includes 5 UK transfers a month, then charges for each one, and adds 2.75% to card spending abroad.

Tide makes sense if you will pay for one of its upper plans anyway, since they remove most of the transaction fees and add team seats and a higher savings rate. Tide also has a wide menu of extras, from card readers to business loans.

On referral bonuses, Tide wins on the headline amount. We cover that honestly below.

“Tide business”: what Tide is

Many people search for “Tide business” or “Tide bank”. The product is the Tide Business Account, run by Tide Platform Limited. Tide is not a bank itself. Its business account page says current and savings accounts are provided by ClearBank Ltd, and Tide provides the app, cards and features on top.

Monzo is the reverse arrangement: one bank, Monzo Bank Limited, provides both personal and business accounts in one app. You do not need a Monzo personal account to open Monzo Business, and you can run up to 3 businesses per person.

Side by side

Monzo figures are from Monzo’s fee sheet and plan pages. Tide figures are from Tide’s pricing page and account page, checked on 9 October 2026. Tide quotes monthly billing; annual billing is cheaper, and its pricing page does not say whether VAT is included.

Eligibility criteria apply. The £50 is for people who have never had a Monzo account and complete the steps within 30 days.

Protection: both FSCS now

Yes, both are covered by the FSCS, but by different routes. Older comparisons describe Tide as an e-money account with safeguarded balances. Tide’s current account page says accounts are now provided by ClearBank Ltd and protected by the FSCS up to £120,000.

One detail matters. Tide’s page says the limit covers all your accounts with ClearBank. So if your business also holds money in another account provided by ClearBank, the £120,000 is shared across them. Monzo Business deposits are held directly with Monzo Bank Limited (FRN 730427) and covered up to £120,000 per eligible depositor.

Our guide to FSCS protection for business accounts explains how the limit works, and why it differs from e-money safeguarding.

Plans and prices

Monzo has three plans; Tide has four. Both start free.

The plans are built differently. Monzo’s free Lite plan already includes the core account, payments, card acceptance, savings pots and 24/7 support. What Pro adds is tools: Tax Pots, invoicing, accounting integrations, virtual cards, connected accounts and custom categories. Team then adds expense cards, payment approvals, bulk payments and a bigger team.

Tide’s plans mostly buy down transaction costs. Every paid plan removes the fee on card spending abroad. On UK transfers, Smart includes 30, Pro and Max unlimited. The upper plans also cut cash and international fees, raise the savings rate and add team seats. Tide’s invoicing allowance: 3 invoices a month (unlimited on Max).

Over a year, Monzo Pro costs £108 and Tide Smart £149.88 on monthly billing. Monzo Team is £300 before extra members; Tide Pro is £329.88. See the Monzo Business Lite vs Pro vs Team comparison for exactly what each Monzo tier unlocks.

Transfer and card fees on free plans

This is the biggest practical difference. On Monzo Lite, UK transfers are free and there is no fee on card spending abroad. On Tide Free, you get 5 free UK transfers a month, then pay 20p each, and card spending abroad costs 2.75%.

Tide’s pricing page writes the transfer fee as “0.20p”; we read it as 20p per transfer, so check Tide’s page if it matters to you. Tide’s free plan also charges £1 each, plus 2.75% abroad for cash withdrawals. Monzo’s are free in the UK and EEA, and free up to £200 every 30 days outside the EEA, then 3%.

A sole trader who pays a handful of suppliers a month may never hit Tide’s fees. A small company paying staff, contractors and suppliers will, and that is when Monzo Lite or Pro becomes the cheaper choice. Our guide to free business bank accounts covers which “free” accounts stay free.

Cash deposits

Monzo is cheaper for cash. Monzo charges £1 per deposit at any PayPoint or Post Office. Tide’s charges: Post Office £2.50 up to £500 (0.99% above on Free); PayPoint 3%. Its pricing page adds: PayPoint minimum £10, maximum £500 a day; 0.5% above £500 at Post Office on paid plans.

So a £400 Post Office deposit costs £2.50 at Tide and £1 at Monzo. At PayPoint, the same deposit would cost far more at Tide because of the percentage. For a business paying in cash weekly, that gap adds up over a year. Monzo’s monthly limits are £10,000 a month (limited companies) and £3,000 a month (sole traders).

Read how Monzo Business cash deposits work for the process and limits. If you handle more cash than either allows, look at the high-street banks.

International payments

Both are UK-focused; Tide is cheaper on its top plan, Monzo is changing its fees.

On Tide’s free plan: EUR/USD transfers £1 + 1.5% FX; SWIFT £10. Fees fall on paid plans (Max: no transfer fee + 0.5% FX, SWIFT £3).

Monzo’s fees change on 1 November 2026. Until then, an international transfer costs a fixed fee of up to £9 plus 0% to 1.8%. From 1 November 2026, it is under £0.80 for most currencies, up to £11 in some cases, with a margin in the exchange rate. Receiving money in other currencies carries a 1% conversion fee on incoming euros and other currencies, capped at £1,000. Our page on Monzo Business international payments explains the change.

If you pay or get paid in foreign currency every week, neither is the specialist choice. Revolut Business and Wise hold multiple currencies and are built for it.

Invoicing, accounting and tax

Invoicing

Monzo’s invoicing is unlimited on Pro and Team; Tide caps it below Max. Monzo offers invoices and quotes in the app or on the web, with automatic matching and a pay-by-card link. Tide’s allowance is 3 invoices a month (unlimited on Max). A business sending a few invoices a month will not notice Tide’s cap. One sending dozens will need Tide Max or another tool. Card payments on Monzo invoices are handled by Stripe at £0.20 + 1.5% for standard UK cards on invoices and payment links.

Accounting software

Monzo Pro and Team sync with Xero, FreeAgent, Sage and QuickBooks. Tide connects to Xero, QuickBooks and Sage, with its Xero Connector on paid plans. Monzo Lite has no accounting integration, and Tide’s Xero Connector needs a paid plan, so a business on Xero will pay something at either provider. Monzo’s 6 months' free Xero with Pro, 8 months with Team (new Xero customers, until 31 May 2027) can offset that.

Tax tools

Monzo’s Tax Pots take a percentage of every incoming payment, moved automatically, with up to 3 Tax Pots on Pro and Team. Tide offers free MTD tools; Tax Saver pot from 1.5% AER. Both have Making Tax Digital tools for sole traders; Monzo’s is free Making Tax Digital for Income Tax software, built on Sage.

See how Monzo Business Tax Pots work for the set-up.

Team cards and lending

Team members and cards

Monzo Team comes with the first 6 team members included, then £5 a month per extra team member, with up to 15 people at a limited company and 5 expense cardholders as standard. It adds spend and transfer limits per person, with admin approval above them and up to 200 payments at once from a CSV.

Tide’s team cards: None on Free; 1 to 3 on paid plans, extra seats £5 each. Its pricing page adds: Up to 50 team members; each seat has 1 physical and up to 5 virtual cards. For a larger team, Tide scales further than Monzo’s limit for a limited company, up to 15 people.

Lending

Tide advertises loans and finance from £1,000 to £20 million via Tide. Monzo lends to sole traders directly: an overdraft up to £3,000 at a representative 39.0% EAR (variable) and loans. For limited companies, Monzo’s pages conflict on overdrafts, and loans go through partner iwoca: £500 to £35,000 at a representative 33.1% APR. Check the app for what you are offered. Lending at both is subject to status.

Taking card payments

Tide offers Tap to Pay 1.5% + 11p; card reader 1.5% + 5p (pay as you go); its subscriptions lower that further. Monzo’s Tap to Pay runs through Stripe at £0.20 + 1.4% for UK and European cards, with no card reader needed.

Referral offers: Tide’s is bigger

Tide’s referral bonus is larger than Monzo’s. We earn from Monzo, so it is fair to say it plainly.

Tide’s referral terms (Tide Refer a Friend 2026) offer £100 for the referee after £500 card spend in 90 days. The referrer receives £100 to £200 depending on their plan. The code must be entered at sign-up or within 7 days, and the scheme started on 8 January 2026 with no published end date. We have no Tide referral code and do not link to one.

Monzo Business pays £50 to each side. To qualify, the new customer must have never opened a Monzo account before, and within 30 days must download the app, apply, add money and make a first card payment. Any card payment counts, but ATM withdrawals, bank transfers and virtual-card payments do not. The full rules are on our Monzo Business referral page, and other current deals are on business bank account offers.

The bonus should not decide this on its own. Over a year, the difference in fees between the two accounts can be larger than the difference in bonuses, in either direction.

Who should choose which

Choose Tide if

• you will pay for Tide Pro or Max anyway, for its unlimited transfers, savings rate or bigger team
• you need a bigger team than Monzo allows (up to 15 people at a limited company)
• you want Tide’s lending menu and card readers in one place
• you make few transfers and want the bigger referral bonus, and can meet its spending condition

Choose Monzo Business if

• you want a free plan with free UK transfers and no fee on card spending abroad
• you pay in cash and want to pay £1 per deposit
• you send more invoices than Tide’s lower plans allow
• you want Tax Pots and a Team plan with approvals and bulk payments

To compare your own year, try the business bank account cost calculator.