Yes, to a separate/dedicated bank account
The simplest answer is no it does not have to be a ‘business’ bank account, that will depend on the individual bank’s criteria for bank accounts. However, the business should be operated from a separate/dedicated bank account from your personal finances. At the beginning of a new business venture it may be tempting to leave this aspect until a point when the level of financial transactions taking place would justify a separate bank account, this might not be the best of choices. As your business grows and expands, it’s extremely important to separate your business finances from your personal, day-to-day living. The beginning of a business can be a time where all your business transactions can be expenses. Ideally, you would open a separate bank account and pay in any funding received either via grants, loans or your investment. This clearly shows the capital being input into the company and then the expenses will also be clearly identified in the outgoings of the account.