With Small Business Bank, there are a lot of benefits you are setting on your business. Operating on a small business is a little like buying and selling, except sometimes when it spontaneously catches fire and you don’t know the reason why. This is the reason why it is important to make everything as simple as possible, especially when it comes to the financial aspect.
There are several reasons why you need a separate account for your business, why online is often better for your business, and the best online bank for small business banking. So, ensure you read on to get the major points.
Small Business Bank
Sometimes, owners of small businesses try to save money when starting out by using their personal bank account for business transactions. Though, it may seem to be working well, but later on challenges will set to become the order of the day.
Business expenses and transactions should be separated from personal ones. This is to avoid you from using business funds for personal expenses and allow you to complete your tax returns easily.
Benefit of Small Business Bank
Business accounts also allow you to:
- With this account, you can apply for a business loan
- Make your business look like a real to your customers
- Accept card payments
- Be seen as a real business by the IRS
Online Small Business Bank
Online banking is simply one of the best options for small businesses as it saves you time, working around your schedule, and still allows you to access in-branch services. You might even be offered some amazing online deals.
The best part about online banking is that all process and transactions can be done from your home or business, whether you’re paying a bill or calculating expenses. This means that there is no need to visit the bank unless of extreme reasons. With this feature you can have more time to work on your business.
Best Online Small Business Bank
Now, let’s take a look at some of the major online bank for small businesses:
Wells Fargo
Wells Fargo is the fourth-largest bank in the United States based on total deposits, holding nearly $2 trillion in assets. It prides itself on devotion to small businesses. Depending on your business type and size, there are different account to meet your needs, which include Business Choice Checking, Platinum Business Checking, Simple Business Checking, and Analyzed Business Checking.
Wells Fargo offers flexible lending program to small business, offering them short-term loans, SBA loans, and equipment finance. Also, your business can borrow $10,000-$100,000 with an interest rate of just 6.75%. It allows business owners to integrate their QuickBooks accounting software.
Chase Bank
This is the biggest bank in the United States with about $2.3 trillion in assets. It offers a small business banking program that is beneficial to small businesses. One of its best services is the QuickDeposit. This is a service that lets users to scan checks and deposit them electronically without having to visit a branch.
Capital One
This banks extensive financing solutions indicates that they are dedicated to small business owners. It offers different loan products for small businesses, which includes equipment or business auto loans, business installment loan, SBA loan, or a working capital line of credit.
With a Capital One business account, you can qualify for a “relationship-based” rate of interest on your loan. The idea is that if the bank know that you manage after your business account, they can offer you a lower interest rate. It also offers several business credits cards, with different perks available to business owners.
Live Oak Bank
This bank is completely digital. It means that there are is physical branch anywhere. The bank is specially adapted to suit the needs of people looking for the best online bank for small businesses.
It allows small business owners to open savings accounts and obtain certificates of deposit, with amazing interest rates. The Business Online Savings Account offers users 1.09% interest and their certificates of deposit ranges from 2.45%-3.15%, based on how long you want to keep your savings locked up. There is no monthly maintenance fee and no qualification for achieving it.
Bank of America
After long years of operation, Bank of America has a proven track record of assisting small businesses. They have helped over 3 million businesses. It offers a lot of tools to help you manage your business. Some of the tools include their Intuit payroll and express tax system to their Clover Solutions management system that can help to handle payments, inventory, and employee rotas.
The bank offers just two accounts for small businesses which includes the Business Fundamentals account and the Business Advantage account. Both accounts offer a number of advantages, including a massively high amount of free cash deposits of up to $10,000 monthly.
Others Online Small Business Bank include
- Citibank
- Azlo
- Axos Bank
Before you can go on to select an online bank for your business, you have to consider some factors. Here are some major key factors you can check on before choosing an online financial institution:
- Do you need small business financing?
- What are your company’s monthly incomings and outgoings?
- Would you be okay if you could never access a physical bank?
- Do you want to do all your banking at one bank or use different banks for different products?
- Would you be okay with fees to access additional services?
Then do some research about the selected bank, and get registered.
