Mettle vs Monzo for business banking – How to choose and what’s better? Features, pros and cons compared

When it comes to business banking in the UK, two popular names often come up in discussions: Mettle vs Monzo. Both of these digital banking platforms offer innovative solutions tailored for entrepreneurs, freelancers, and small business owners.

In this article, we will compare Mettle vs Monzo, highlighting their pros, cons, key differences, costs, and other important considerations, to help you make an informed decision about which one is the right fit for your business.

Mettle vs Monzo

Feature	Mettle	Monzo
Account Opening	Hassle-free process with minimal paperwork	Quick and straightforward account setup
Integration	Seamless integration with FreeAgent	Integrates with popular tools like Xero and QuickBooks
Invoicing	In-app invoicing feature	No in-app invoicing feature
Business Insights	Provides detailed insights and analytics	Real-time transaction notifications and expense tracking
Business Loans	Currently not available	Business lending services available
Cash Deposits	No physical branches; cash deposits via PayPoint	Cash deposits possible but less convenient
Customer Support	App-based support; limited in-person assistance	App-based support; no in-person assistance
Regulatory Protection	Regulated by the Financial Conduct Authority (FCA)	Regulated by the Financial Conduct Authority (FCA)
Business Size	Primarily for small businesses and sole traders	Suitable for a range of business sizes
Pricing Structure	Free account with additional charges for services	Tiered fee structure; free option with paid plans

Please note that the information provided in the table is based on the current features and offerings of Mettle and Monzo. It’s advisable to visit their respective websites or contact their customer support for the most up-to-date and accurate information regarding their features, fees, and services.

Statistics

1. Mettle:

• As of September 2021, Mettle had over 100,000 registered users for their business banking platform, demonstrating its growing popularity among small business owners and sole traders.
• Mettle reported that their customers saved an average of 3 hours per month on administrative tasks by using their integrated invoicing and financial management features.
• In a survey conducted by Mettle, 85% of their customers expressed satisfaction with the ease of setting up their business accounts and the user-friendly interface of their mobile app.

2. Monzo:

• Monzo has grown rapidly since its launch in 2015, and as of September 2021, it had over 5 million customers using its personal and business banking services.
• In 2020, Monzo reported that its business customers collectively saved over £11 million by automating their expense management and utilizing real-time transaction notifications to track their business spending.
• Monzo has received several industry accolades, including being named “Best Business Banking Provider” in the 2020 British Bank Awards and “Best Business Banking App” in the 2020 and 2021 Smart Money People Awards.

Mettle

Mettle is a digital bank backed by NatWest, targeting small businesses and sole traders. Here are some advantages of using Mettle:

Pros

• Seamless account opening: Mettle offers a hassle-free account opening process, with minimal paperwork and quick verification, allowing you to get started swiftly.
• Integration with FreeAgent: Mettle seamlessly integrates with FreeAgent accounting software, making financial management and bookkeeping more streamlined for businesses already using the FreeAgent platform.
• In-app invoicing: Mettle enables you to create and send professional invoices directly from their mobile app, simplifying your billing process.
• Business insights: Mettle provides detailed insights and analytics to help you understand your business’s financial performance and make informed decisions.

Cons

• Limited features: While Mettle offers essential banking functionalities, it may not provide the full suite of services and features that some businesses require. Advanced features such as business loans, credit cards, and cash deposits are not available.
• No physical branches: Mettle is a fully digital banking platform, which means there are no physical branches for in-person assistance. This may be a drawback for businesses that prefer face-to-face interactions.

Monzo

Monzo is a popular digital bank known for its user-friendly interface and innovative features. Let’s explore the advantages and disadvantages of using Monzo for business banking:

Pros

• User-friendly app: Monzo’s app offers a sleek and intuitive interface, making it easy to manage your business finances on the go. It provides real-time transaction notifications and categorizes your expenses automatically.
• Expense management: Monzo’s expense management features allow you to capture receipts, categorise transactions, and export expense reports effortlessly.
• Integrations with popular tools: Monzo integrates with various business tools like Xero and QuickBooks, enabling seamless synchronisation of financial data.
• Business debit card: Monzo provides a Mastercard business debit card, giving you easy access to your funds for business expenses.

Cons

• Limited cash deposit options: Monzo does not have a widespread physical presence, which means depositing cash can be challenging. Although cash deposits are possible through PayPoint locations, the process may not be as convenient as with traditional banks.
• Fee structure: Monzo’s business account has a fee structure that varies based on usage and the size of your business. Larger businesses may incur higher fees, so it’s important to consider the cost implications.

Mettle vs Monzo – Key differences and other considerations

Now that we have examined the pros and cons of both Mettle and Monzo, let’s consider some key differences and other factors to keep in mind:

Ownership and support

Mettle is backed by NatWest, a well-established bank, offering the security and stability of a traditional financial institution. Monzo, on the other hand, is an independent digital bank, which may appeal to those seeking a more agile and innovative banking experience.

Business loans and credit

While Mettle does not currently offer business loans or credit cards, Monzo has started to roll out business lending services, making it a potential choice for businesses in need of financing options.

Customer support

Both Mettle and Monzo provide customer support through their mobile apps and websites. However, as Mettle is backed by NatWest, it may offer a broader range of support options, including access to in-person assistance through NatWest branches.

Business size

Consider the size and specific needs of your business. Mettle is primarily designed for small businesses and sole traders, while Monzo caters to a wider range of business sizes, including larger enterprises.

Regulatory protection

Both Mettle and Monzo are regulated by the Financial Conduct Authority (FCA) and offer similar levels of security and protection for your funds.

Mettle vs Monzo – Costs and pricing

Understanding the costs associated with using Mettle and Monzo is crucial when comparing the two platforms. Here’s an overview of their pricing structures:

Mettle costs and fees

At the time of writing, Mettle offers a free business account with no monthly fees. However, it’s important to note that additional charges may apply for certain transactions and services. For example, there may be fees for international payments, cash withdrawals, and depositing cash using PayPoint.

Monzo costs and fees

Monzo’s business account has a tiered fee structure. They offer a free account option with basic features, but there are additional fees for certain services, such as cash deposits, international payments, and higher transaction volumes. Monzo also provides paid plans with added benefits, including dedicated support and multi-user access, at a monthly fee.

It’s essential to carefully review the pricing details of both platforms to ensure they align with your business’s financial requirements and transaction patterns.

Mettle vs Monzo – Verdict

In conclusion, both Mettle and Monzo offer digital banking solutions tailored to the needs of UK businesses.

Mettle stands out with its seamless account opening process and integration with FreeAgent, while Monzo excels in its user-friendly app, expense management features, and integration capabilities with popular business tools.

Consider factors such as the size of your business, required features, access to cash deposits, customer support options, and pricing structures when making a decision. Evaluating these aspects will help you choose the business banking platform that best suits your specific needs and goals.

Mettle vs Monzo FAQ

To obtain the most accurate and up-to-date information, it’s recommended to visit the Mettle and Monzo websites or contact their customer support directly.

Remember to consider your specific business needs, transaction patterns, and preferences when choosing between Mettle and Monzo for business banking.