As a small business owner, you’re always looking for ways to manage your finances effectively. One crucial aspect of this is choosing the right bank for your business needs. With so many banking products and options available on different banking platforms, it can be overwhelming to decide which one is best suited for you. However, it’s essential to consider banks that offer SBA loans and savings account options to help you grow your business and save money in the long run.
Traditional banks have been offering a variety of banking products for decades, but online banks are becoming increasingly popular among small businesses due to their convenience and accessibility. Regardless of which type of bank you choose, having a separate business account offers several advantages over using your personal account, such as savings deposit accounts, credit cards, and SBA loans.
Access to banking products, including lending and merchant services, can help grow your business. Banks may require a minimum cash deposit and credit history check before approving your application for SBA loans or LendingClub tailored checking. It’s also important to compare interest rates and savings options among different banks before making a decision.
But how do you know which bank is best suited for your small business? What should you look out for when choosing a small business account, savings deposit accounts, and credit cards? So let’s cut to the chase and dive into the world of banking with SBA loans and Capital One!
Best Banks for Small Businesses in 2023: Top Picks and Criteria
What Makes a Bank One of the Best for Small Businesses?
Small businesses need banking services that meet their unique needs. A bank that offers business checking and savings accounts, loans, credit cards, and merchant services is essential. However, to achieve elite status as one of the best banks for small businesses, a bank must demonstrate a commitment to customer service, competitive rates and fees, and innovative digital tools. American Express and SBA lending can provide additional options for small business financing, while the ability to make cash deposits is also important.
Customer service is critical for small business owners who need guidance on the basics of their accounts, including credit cards and SBA loans. The bank should offer additional services such as phone, email, chatbot or an online help center to contact customer support representatives. It is important that the bank is responsive and provides timely resolution of issues to ensure the smooth operation of small businesses.
Competitive rates and fees, including credit card options, are also vital for small businesses because they need to maximize their profits while minimizing expenses. Interest rates on savings accounts, loans, and SBA lending should be competitive with other banks in the market. Fees for transactions, account maintenance, and minimum deposit requirements should be reasonable compared to industry standards.
Finally, innovative digital tools are essential for small businesses to manage their finances efficiently. Online banking features such as credit card management, cash deposit options, and access to savings account information can save time for busy entrepreneurs. Additionally, these platforms may offer additional services like financial planning or investment opportunities.
Top Picks for Best Banks in 2023
In 2023, some of the top picks for best banks for small businesses, including those offering SBA loans, are Chase Bank, Wells Fargo, and Bank of America. Capital One is also a great option for those seeking savings deposit accounts and savings accounts.
Chase Bank offers several checking account options designed specifically for small businesses with varying transaction volumes. They also offer merchant services through Chase Paymentech that enables merchants to accept payments from customers using various payment methods such as credit cards or mobile wallets like Apple Pay or Google Wallets. Additionally, they accept cash deposits and have no minimum deposit requirement. If you’re looking for alternatives, consider Capital One or SBA.
Wells Fargo, one of the best traditional banks, has been serving small businesses since 1852. They offer a variety of loan products including SBA loans which can help entrepreneurs get started with financing options backed by the government. Additionally, Wells Fargo’s new bank accounts can be used to manage cash flow. Their Business Platinum Credit Card is another product that small business owners can use to manage their finances.
Bank of America has a Small Business Banking program designed for businesses with fewer than 100 employees. They offer several checking account options with a minimum deposit requirement and opening deposit, and also accept cash deposits. In addition, Bank of America’s Merchant Services provides payment processing solutions that allow merchants to accept payments from customers using credit card and various payment methods.
Criteria for Evaluating the Best Banks for Small Businesses
Small business owners should carefully consider their banking needs and compare offerings from multiple banks before selecting the best bank for their business. Some basics to evaluate when comparing banks include SBA loans and additional services.
- Interest rates on savings accounts and loans: Compare interest rates across different banks to find the best rate for your business banking needs. Make sure to also consider cash management options, such as small business checking accounts, and explore the benefits of using business credit cards.
- Fees for bank accounts transactions and account maintenance: Look at fees such as monthly maintenance fees, ATM fees, transaction fees, and wire transfer fees for small business checking. Also, consider the cost of cash withdrawals and deposits with business debit cards.
- Availability of online and mobile banking tools: Online banking features such as bill pay systems, mobile deposit options, access to financial statements can save time for busy entrepreneurs with small business checking and small business account needs. Additionally, these tools can provide easy access to small business loans and business savings accounts.
- Customer support options: Evaluate customer support availability for products through phone, email or chatbot. Get free online business checking account today and enjoy hassle-free travel with cash in hand.
Best Business Checking Accounts Available in May 2023: Features and Benefits
Basic Business Checking Account
For small businesses with low transaction volume and no need for additional services, a basic business checking account is an excellent option. These accounts typically have lower fees, making them ideal for startups or businesses on a tight budget. Some banks may require a minimum balance to open an account, but this amount is usually low. In addition to the basics, businesses can also consider getting a credit card to manage their cash flow and offer more payment options to customers. It’s important to compare different products and choose the one that best fits your business needs.
A basic business checking account often includes standard features such as online banking, bill pay, and debit cards. These basics are essential for small business owners to manage their finances without any unnecessary complications. Additionally, cash deposits and withdrawals can be easily made through the account, with a minimum deposit requirement. This account is designed to be simple and straightforward, making it easy for small business owners to manage their finances and access necessary products.
Free Business Checking Account
A free business checking account is another popular choice among small businesses that want to avoid monthly fees and ATM fees. With these accounts, there are no monthly maintenance fees or minimum balance requirements. Many banks offer unlimited transactions at no charge. Additionally, some banks may offer bonus rewards for opening an account and using a credit card for cash back on purchases. However, it is important to remember the basics of managing your finances and not overspending with your credit card.
Free business checking accounts often come with online banking capabilities, mobile check deposit options, and access to ATMs nationwide. These accounts may also offer cash bonuses for opening an account and maintaining a certain balance, while waiving the monthly maintenance fee. While they may not provide the same benefits as more advanced options like silver or gold checking accounts, they are an excellent choice for businesses that prioritize cost savings.
Silver Business Checking
For businesses with moderate transaction volume looking for variable benefits and perks beyond the basics of a free or basic business checking account, silver business checking at Huntington Bank may be the best option. These types of accounts often come with additional benefits such as free paper checks, mobile check deposit, cash bonuses, and no monthly maintenance fees.
Some banks also offer cashback rewards programs or discounts on other financial products when you sign up for a silver business checking account with a minimum deposit. Monthly maintenance fees may apply depending on your bank’s policies; however, some banks offer bonus incentives for meeting monthly balance requirements. You can also earn cashback rewards on purchases made with your business card, based on your spending.
Savings Deposit Accounts Linked to Checking Accounts
Savings deposit accounts can be linked to your existing checking account for business banking to earn interest on idle cash while keeping them easily accessible for spending whenever you need them. These accounts often come with no monthly maintenance fees and no minimum balance requirements, making them a great option for businesses looking to maximize their earnings. Additionally, they can be paired with business credit cards to further optimize cash management.
By linking your business bank savings account to your checking account, you can easily transfer funds between the two accounts when necessary. This feature can help you manage cash flow and balance more effectively while also earning interest on any excess funds. Additionally, using a business credit card can earn you rewards for your purchases.
Check Deposits
Check deposits and cash deposits can be made through mobile check deposit or in-person at branches, depending on the bank’s account options. Mobile check deposit allows businesses to deposit checks from anywhere using their smartphone or tablet camera. Checking the balance of your account is easy with online banking or by using your debit card for purchases.
In-person check deposits and cash deposits are also an option for businesses that prefer a more traditional approach. With this option, business owners can visit a branch location and make a deposit in person using their card. Some banks offer extended hours or weekend availability for added convenience. Additionally, some banks may waive the monthly maintenance fee for businesses with frequent cash deposits or large purchases.
Monthly Balance Requirements
Monthly balance requirements may apply to some business checking accounts; however, some banks offer bonus incentives for meeting these requirements. For example, if you maintain a minimum balance of $5,000 in your business checking account each month, you may qualify for waived monthly maintenance fees or other benefits like cashback rewards programs. Additionally, some banks offer reward points for purchases made using their business checking card.
It’s essential to review your bank’s policies carefully before opening a new business checking account to avoid any surprises down the road. By understanding the monthly cash balance requirements upfront, you can choose an account that meets your needs without breaking the bank. Additionally, make sure to check for any annual fee associated with the account, as well as the option to get a card for purchases.
Best Banks for Small Businesses in Virginia
Virginia’s Thriving Small Business Sector
Virginia is a state with a diverse economy and a thriving small business sector. With over 700,000 small businesses operating in the state, it’s no surprise that there are several banks that cater specifically to this demographic. These banks offer cash rewards for purchases made with their card.
There are a few options worth considering, especially if you’re looking to earn points, rewards, or cash for your purchases. Here are three of the top choices:
BB&T: A Range of Financial Services for Small Businesses
BB&T is one of the largest financial institutions in the United States, and they have a strong presence throughout Virginia. They offer a range of financial services for small businesses, including bank accounts, loans, lines of credit, and cash management solutions. With their card, small businesses can easily make purchases. Additionally, they have a partnership with Live Oak Bank to provide even more options for small business financing.
One of the things that sets BB&T apart from other banks is their commitment to building long-term relationships with their clients. They take the time to understand each business’s unique needs and goals so they can provide customized solutions that help them achieve success. Additionally, BB&T offers rewards for using their card, including cash back on purchases.
In addition to traditional banking services, BB&T also offers online banking tools and resources that make it easy for small business owners to manage their finances on-the-go. They have an intuitive mobile app that allows users to check balances, deposit checks, pay bills, and more. Plus, they offer cash rewards for using their debit card and waive monthly maintenance fees for qualifying accounts.
Union Bank & Trust: Customized Banking Solutions for Small Businesses
Union Bank & Trust has been serving customers in Virginia since 1902. They have a strong presence throughout the state and offer customized banking solutions for small businesses, including credit cards with rewards and no annual fee, as well as cash management services.
One of the things that makes Union Bank & Trust stand out is their commitment to providing exceptional customer service. They take pride in building long-lasting relationships with their clients by taking the time to understand each business’s unique needs and goals. Additionally, Union Bank & Trust offers rewards for using their card, including cash back and points.
In addition to traditional banking services like loans and lines of credit, Union Bank & Trust also offers merchant services like credit card processing and payroll services. Small business owners can also enjoy cash rewards and points with credit card transactions, but be sure to check for any fees. These additional offerings make it easy for small business owners to manage all aspects of their finances in one place.
Atlantic Union Bank: Commercial Lending, Treasury Management, and Merchant Services
Atlantic Union Bank is a full-service bank that provides small business owners with access to commercial lending, treasury management, and merchant services. They have a strong presence throughout Virginia and offer various card options with rewards, cash access, and low fees to help small businesses thrive.
One of the things that sets Atlantic Union Bank apart from other banks is their focus on technology. They offer online banking tools and resources that make it easy for small business owners to manage their finances on-the-go. Additionally, they have an intuitive mobile app that allows users to check balances, deposit checks, pay bills, and more. With their credit card, customers can earn rewards while keeping fees low.
In addition to traditional banking services like loans and lines of credit, Atlantic Union Bank also offers specialized financing options for industries like healthcare and agriculture. They also provide cards with low fees, making them a great choice for businesses looking for convenient payment options with minimal charges.
Frequently Asked Questions about Small Business Banking
What are small business bank accounts and what services do they offer?
Small business bank accounts are specifically designed for businesses that have a lower volume of transactions compared to larger corporations. These types of accounts offer features such as low fees, interest-bearing options, and tools to help manage finances. Some common services provided by small business bank accounts include card management and processing.
- Online banking: This allows you to manage your account remotely through a computer or mobile device. You can also access your business savings account and apply for a business credit card. Plus, enjoy the convenience of no fee transactions.
- Bill pay: You can pay bills directly from your business bank account instead of writing checks. Plus, enjoy the convenience of using your business credit card for payments and earn rewards. Save money with our low fee business savings account.
- Debit cards: These allow you to make purchases without having to carry cash or write a check. If you have a business credit, consider getting a free online business checking account or a small business account with a business bank account.
- Check deposit: As a business bank customer, you can conveniently deposit checks into your account using either mobile deposit or at an ATM without any fee. Plus, don’t forget to inquire about our business credit card options.
How can a small business choose the right type of bank account, such as a small business checking or a basic business checking account?
Choosing the right type of bank account is crucial for any small business owner. There are several factors that should be considered when selecting an appropriate account, including card options and potential fees.
- Fees: Look for a business credit card account with minimal fees, including monthly maintenance fees, transaction fees, and ATM fees.
- Interest rates: If you plan on keeping a significant amount of money in your account, consider choosing an interest-bearing option that also offers competitive business credit rates.
- Account limits: Ensure the account has appropriate limits for card transactions and deposits, and check for any applicable fee.
- Accessibility: Choose an institution with convenient locations and online banking features that fit your business account needs.
- Additional services offered: In addition to traditional banking services, banks also offer additional services such as business account management, card processing, and fee management for merchants.
What are the benefits of having a business complete banking account or a business advantage fundamentals banking account for small businesses?
Business Complete Banking and Business Advantage Fundamentals Banking are both comprehensive banking solutions designed specifically for small businesses. Each offers unique benefits tailored to meet specific needs, including fee-free transactions and business debit card options.
- Business Complete Banking offers higher transaction limits and no annual fee for the card than other accounts, and provides access to a dedicated business banker.
- Business Advantage Fundamentals Banking provides overdraft protection and offers fee discounts on certain services such as QuickBooks Online. Additionally, the card provided by the bank offers cashback rewards.
What types of banking products are available for small businesses, such as business loans and business credit cards?
Small businesses have access to a variety of banking products that can help them manage their finances and grow their businesses. Some common options include: fee-based services, such as wire transfers and cashier’s checks, and card options like debit and credit cards.
- Business Loans: These can be used for a variety of purposes, including buying equipment or expanding your business. You can use the loan to fund your business expenses without worrying about bank account fees or card charges.
- Business Credit Cards: These can help you build credit for your business and provide rewards programs to save money on expenses. Additionally, they may come with a bank account and a fee.
- Merchant Services: This allows you to accept credit card payments from customers using your business account, without any additional fee charged to your business bank account.
What are some important factors to consider when choosing a bank for small business banking services, including fees, interest rates, and customer service?
Choosing the right bank is critical for any small business owner. Here are some factors you should consider when making your decision: – Check if the bank offers a suitable card for your business needs. – Be aware of any hidden fee that may affect your business finances.
- Fees: Look for a business credit card account with minimal fees, including monthly maintenance fees, transaction fees, and ATM fees.
- Interest rates: If you plan on keeping a significant amount of money in your account, consider choosing an interest-bearing option that also offers competitive business credit rates.
- Customer service: Make sure the business bank account institution has good customer service ratings and offers convenient support options like phone or chat. Also, check for any hidden fee associated with opening a business account or getting a card.
- Accessibility: Choose an institution with convenient locations and online banking features that fit your business account needs.
- Security measures: Ensure the bank has strong security measures in place to protect your account information and card details from cyber threats. Also, make sure to check for any hidden fee that may incur on your account.
Axos Bank® Basic Business Checking: Best for Customer Support
Excellent Customer Support
Axos Bank® Basic Business Checking offers some of the best customer support services in the banking industry. The bank provides 24/7 customer service through phone, email, and chat. Customers can also enjoy no card fees with this account. This means that customers can reach out to the bank at any time of the day or night and get their issues resolved quickly without worrying about extra fees for using their card.
Access to Surcharge-free ATMs Across America
Customers with Axos Bank® Basic Business Checking accounts have access to over 90,000 surcharge-free ATMs across America. This makes it easy for business owners to withdraw cash without incurring additional fees. Customers can use their Axos Bank debit cards at any ATM worldwide that accepts Visa.
Basic Features
The account comes with basic features such as unlimited transactions, online banking, and mobile banking. Customers can easily manage their accounts online or on-the-go using the bank’s mobile app. With mobile banking, customers can view account balances, transfer funds between accounts, pay bills and deposit checks remotely. Additionally, there is no annual fee for the account and customers can request a card to access their funds.
Easy ACH Transfers
Axos Bank® Basic Business Checking has no monthly maintenance fee and comes with a free debit card. This allows customers to easily access their funds and make purchases without having to carry cash. Additionally, the account allows for easy ACH transfers, making it convenient for businesses to transfer money electronically to other bank accounts.
Linking American Express Business Card
Customers can link their American Express business card to the account for seamless payment processing without any additional fee. This feature saves time and makes it easier for businesses to manage their finances since they don’t have to switch between different platforms when making payments.
Grasshopper Business Checking Account: Best for High-Yield Checking
Earn cash on your daily balance with no minimum requirements
Small businesses need a checking account that offers flexibility and convenience, as well as low fees. The Grasshopper Business Checking Account provides just that, with its high-yield checking feature and no monthly maintenance fee. Account holders can earn cash on their daily balance and also have the option to request a debit card for easy access to their funds. This makes it an excellent option for small businesses with extra cash on hand who want to avoid unnecessary fees.
One of the best things about this account is that there are no minimum balance requirements or monthly maintenance fees. This means you don’t have to worry about maintaining a certain amount in your account to avoid additional charges. Additionally, you can enjoy the convenience of having a card linked to your account for easy transactions. You can focus on growing your business without worrying about unnecessary fees eating into your profits.
Access free checks and Chase QuickDeposit
The Grasshopper Business Checking Account also comes with a free debit card and no monthly fees, in addition to free checks and access to Chase QuickDeposit for easy deposits. This means you can deposit checks from anywhere using your mobile device, without having to visit a branch.
Chase QuickDeposit is a secure and convenient way for your business bank account to deposit checks without leaving your office or home. You can simply take a photo of the check using the Chase Mobile app and submit it for deposit with your card.
Save money with competitive rates
For those looking to save, Grasshopper also offers savings accounts and money market accounts with competitive rates. These accounts allow you to earn interest on your savings while still having access to your funds when you need them. Additionally, Grasshopper offers a debit card for easy access to your funds.
Money market accounts with card options are similar to savings accounts but offer higher interest rates in exchange for higher minimum deposit requirements. If you have extra cash on hand and prefer the convenience of a card, consider opening a money market account with card access to maximize your earnings.
Wells Fargo: Best for Branch Access and Business Loans
Initiate Business Checking℠ Account
Wells Fargo is a well-established bank that offers various banking options for small businesses. One of the most popular options is the Initiate Business Checking℠ account, which is a free online business checking account with no monthly service fees. This account comes with several benefits, including easy management of funds and free access to Moneypass ATMs. Additionally, it also offers a card for convenient transactions.
The Initiate Business Checking℠ account is ideal for small businesses that are just starting out or have low transaction volumes. It allows you to deposit up to $5,000 in cash each month without incurring any fees. You can make up to 100 transactions per month without being charged any additional fees. Additionally, you can request a card for easy access to your funds.
One of the best things about this account is that it comes with a debit card, online banking, and mobile banking services. You can easily manage your funds from anywhere using your computer or smartphone. The mobile app also allows you to deposit checks remotely, saving you time and hassle.
Online Business Checking Account
If you prefer an online-only option, Wells Fargo also offers an online business checking account that provides all the same benefits as the Initiate Business Checking℠ account but has no physical branches. This option is great for businesses that don’t need branch access but still want easy fund management and a debit card for convenient transactions.
With this account, you can deposit up to $20,000 in cash each month without incurring any fees. You can also make unlimited transactions without worrying about additional charges. Plus, like the Initiate Business Checking℠ account, this option also offers free access to Moneypass ATMs. Additionally, you will receive a free debit card for easy access to your funds.
Lending Options
For businesses in need of lending options and a bank account, Wells Fargo provides term loans and the Wells Fargo Business Secured Credit Card. Term loans are ideal for small businesses looking to finance long-term projects or investments such as equipment purchases or expansion plans.
The Wells Fargo Business Secured Credit Card is a great option for businesses looking to build credit. It offers a line of credit that is secured by collateral, which means you’ll need to put down a deposit to get approved. However, this also means that you can get lower interest rates and higher credit limits than with an unsecured card.
Business Interest Checking Account
For businesses with high balances, Wells Fargo’s Business Interest Checking account is an excellent option. This account offers competitive interest rates on deposits and comes with several benefits such as free checks, online bill pay services, and access to wire transfers. Additionally, the account includes a business debit card for convenient transactions.
However, this account does come with some fees. You’ll need to maintain a minimum daily balance of $10,000 to avoid the monthly service fee. There are fees for excess transactions and wire transfers.
Wire Transfers and Online Bill Pay Services
Wells Fargo makes it easy for businesses to initiate wire transfers and use online bill pay services. With the Initiate Business Checking℠ account or the online business checking account, you can easily transfer funds between accounts or make payments online.
However, keep in mind that some fees may apply depending on the type of transfer or payment you’re making from your business bank account. Make sure to read the fine print before initiating any transactions.
Choosing the Right Bank for Your Small Business Needs in 2023
As a small business owner, choosing the right bank can be a crucial decision that can impact your company’s financial health. In 2023, there are several options available to small businesses, but not all banks are created equal. To help you make an informed decision, we have researched and compiled a list of the best banks for small businesses based on specific criteria.
Best Banks for Small Businesses in 2023: Top Picks and Criteria
Our top picks for the best banks for small businesses in 2023 include Chase Bank, Bank of America, and Capital One. These banks offer a range of services tailored to meet the needs of small businesses, including business checking accounts with low fees and high transaction limits.
When choosing a bank for your small business needs, it is important to consider factors such as fees, transaction limits, online banking capabilities, customer support, and branch access. By comparing these factors across different banks, you can determine which one offers the most value for your business.
Best Business Checking Accounts Available in May 2023: Features and Benefits
Some of the best business checking accounts available in May 2023 include Chase Total Business Checking®, Bank of America Business Advantage Checking®, and Capital One Spark® Business Checking. These accounts offer features such as no monthly maintenance fees or minimum balance requirements, unlimited transactions per month, and overdraft protection.
By choosing a business checking account that fits your specific needs and budget constraints you can save money on unnecessary fees while ensuring that your cash flow remains healthy.
Regional Focus: Best Banks for Small Businesses in Virginia
If you’re located in Virginia or considering starting a small business there then our research has found that some of the best banks include BB&T (now Truist), Union Bank & Trust (now Atlantic Union Bank), First Citizens Bank & Trust Company (now First Citizens Bank), and TowneBank. These banks offer a range of services tailored to meet the needs of small businesses in Virginia, including business loans, merchant services, and cash management.
Axos Bank® Basic Business Checking: Best for Customer Support
Axos Bank® Basic Business Checking is our top pick for customer support. This online-only bank offers 24/7 customer service via phone or email, making it easy to get help whenever you need it. In addition to excellent customer support, Axos Bank also offers low fees and high transaction limits, making it an attractive option for small businesses.
Grasshopper Business Checking Account: Best for High-Yield Checking
If you’re looking for a high-yield checking account then the Grasshopper Business Checking Account may be the right choice for you. This account offers an impressive 1% APY on balances up to $25,000 and unlimited ATM fee reimbursements. While this account does have some restrictions such as no physical branches and a minimum opening deposit of $1000, it can be an excellent choice if you’re looking to earn interest on your checking account balance.
Wells Fargo: Best for Branch Access and Business Loans, Initiate Business Checking℠ Account
Wells Fargo is one of the largest banks in the United States with over 7000 branches nationwide which makes them a great option if branch access is important to your business needs. They also offer competitive rates on business loans which can be beneficial if you’re looking to expand your business operations.
Their Initiate Business Checking℠ Account also comes with several features that make banking easy such as mobile check deposit, online bill pay, and overdraft protection.
Overall there are many options available when choosing a bank for your small business needs in 2023. By considering factors such as fees, transaction limits, online banking capabilities, customer support, and branch access you can determine which bank offers the most value for your business.
FAQs
What is the best bank for a small business with low fees?
Chase Bank, Bank of America, and Capital One offer some of the lowest fees on their business checking accounts, making them a great choice for small businesses looking to save money on banking fees.
Can I open a business checking account online?
Yes, many banks now offer the ability to open a business checking account online. This can be a convenient option if you’re unable to visit a physical branch or prefer the ease of opening an account from your computer or mobile device.
How do I choose the right bank for my small business?
When choosing a bank for your small business needs it’s important to consider factors such as fees, transaction limits, online banking capabilities, customer support, and branch access.
