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Tide vs Revolut Business: A Quick Comparison

Tide and Revolut are both part of the Fintech revolution that has swept the world in recent years, bringing new technology into the finance and banking space. 100% of Tide’s focus is on business customers, whilst Revolut offer a dedicated business package alongside a much larger portfolio of consumer products. Both providers offer an app focused financial management package that allows you to run your business banking efficiently and easily. But when it is Tide vs Revolut, which one would suit your business needs the best?

Contents

Tide vs Revolut – Plans, Costs & Fees:

Tide Business

Tide have 3 account tiers available:

Tide FreeFREE
Tide Plus£9.99 (plus VAT) per month
Tide Cashback£49.99 (plus VAT) monthly

Tide’s business model is based on simplicity, and as such they have tried to keep as much functionality as possible within their free package. They have a transparent charging structure with some costs for basic account functions:

Payments with the debit cardFree across all tiers.
ATM Withdrawals£1 per withdrawal across all account tiers.
Bank Transfers (in or out)20p per transfer. With Tide Plus you get 20 free transfers per month, and with Tide Cashback – 150 free transfers per month.
Cash DepositsYou can deposit cash into your account via the Post Office – at a £1 charge per deposit, or at PayPoint locations – at a charge of 3% of the amount deposited.

Revolut Business:

Revolut offer 4 account tiers for your business:

Revolut Business FreeFREE
Revolut Business Grow£25 per month
Revolut Business Scale£100 per month
Revolut Business Enterprisethe cost of the Enterprise depend on which features you add.

Similar to Tide, the Revolut paid packages essentially give you certain amounts of key account functions. For example, transfers and ATM withdrawals as part of the package rather than charging for each and every one:

Payments with debit cardFree across all tiers
Bank Transfers (in or out)£0.20 per transfer. The Free tier includes 5 bank transfers per month, the Grow tier 100 per month, and the Scale tier, 1000 per month.
International Transfers (in or out)£3.00 per transfer
ATM withdrawalsYou will be charged 2% of the withdrawn amount across all account tiers.

/ Verdict /

Both Tide and Revolut have a free version of their business product. These offer you most of the core functionality that you will need to run your business banking. Whether you require a paid version of the account will depend on what your business requires. For example, if you have a lot of transfers, then it is likely to be cheaper to pay the monthly fee rather than be charged for each and every transfer. As both products have similar pricing and tiers, we find this round to be a tie.

Revolut Business vs Tide – Features:

Tide Business

Accounting software integrations: Automatically connect your Tide account to the software you use for your business accounting. There is support for many of the main packages, including Sage, Xero and Quickbooks.

Access your Tide account from a desktop computer as well as via the mobile app.

Invoice management, including the Invoice assistance tool: Set up your Tide app to automatically chase outstanding invoices, saving time on credit control.

Upload images and automatically match your receipts to your bank statements.

Instant Notifications: See any account activity in real time.

Expense debit cards for staff: £5 per card on the free account, then one card free on the Plus tier, and 3 cards free on the Cashback tier.

Tide business formation service: Tide will form your Limited company in the UK for you.

Revolut Business

Multi-currency account: get a GBP and EUR account as standard, and then operate in 28+ currencies with transfers at interbank rate.

Whilst primarily smartphone app focused, you can also access your Revolut business account via your computer.

Via the Revolut business API, you can connect to accounting software such as Xero, Quickbooks and Clearbooks, or business apps such as Slack.

Physical and virtual debit cards for your staff, fully controlled by the account owner.

There is no provision for paying cash into your Revolut account.

With a Revolut Grow or Scale paid account, you will get a metal debit card.

/ Verdict /

You can pay cash into your account with Tide, whereas with Revolut you cannot. However, within this comparison it would be unfair to mark down Revolut too much for this, as if your business is cash focused then Tide would not be a great option either due to the fees involved in the cash deposits.

However, overall, Tide’s offering is 100% focused on business, whereas Revolut applies various of their features that were developed for their consumer offering to a business context. Therefore, for features, we give the win narrowly to Tide.

Tide vs Revolut – Safety & Security:

Tide Business

Tide is not a licensed UK bank, and as such, customer deposits are not protected by the Financial Services Compensation Scheme (FSCS). Tide claim that this is not an issue, as they keep customer deposits completely separate from other company money, and that the funds are never lent out.

Revolut Business

Revolut does not have a UK banking license, although in early 2021 they applied to get one. Whilst they are still not a full bank, any funds a business has in Revolut are not protected under the Financial Services Protection Scheme (FSCS). Revolut state:

As an electronic money institution, we are required to “safeguard” clients’ funds. 

Safeguarding” means separating clients funds from our own funds and holding them in a separate account with a credit institution. The funds in this segregated account are held by us on your behalf. As an authorised institution, Revolut safeguards your funds as per regulatory requirements.

/ Verdict /

Neither provider is a licensed bank, and as such any deposits are not protected by the FSCS. Both Tide & Revolut claim that they have other safeguards in place, but any business looking to sign up with either provider should consider this carefully. Consider this one a tie.

Revolut vs Tide – International Business/Other Currencies:

Tide Business

You can only make payments to, or receive payments from, a relatively small number of countries with Tide. You can see the list of countries here

Not all account holders with Tide can automatically make international payments. Customers need to apply for an International Currency Account.

Whilst it is possible to operate with currencies other than Tide, it is generally a little more complicated than with other providers.

Revolut Business

All Revolut Business account holders automatically get a GBP and a EUR account with full IBANs.

You can receive, pay, or hold 28 different currencies with your standard Revolut business account, and all currency transfers are at interbank rate.

/ Verdict /

There is really no competition in this area. Tide are very focused within the UK and aimed squarely at UK business market. Revolut are very much an international company, and they have far more options for currency transfer, international payments and ATM withdrawals. So, if you do any international business at all, Revolut is the clear choice.

Revolut Business vs Tide – Overall Verdict:

Both Tide & Revolut are great choices for any business looking to modernise and simplify their banking. If your business operates internationally or with different currencies in any way, then the only option here is Revolut. If, however, your business only operates in the UK and deals with GBP, then we find that Tide would be the marginally better option for you.