Starting up a successful small business is nearly impossible if you don’t have a good bank that you can rely on. This article will discuss about the best bank for small business that you may want to consider.
It takes more money than one may think to get a business up and running. And when you think that you have enough money put back for all of your company’s financial needs, think again. There will always be something new that comes up whether it is equipment repairs or the decision to branch off in a new direction, that you need financial assistance with.
Having a great bank to back you up can make a huge difference in whether your small business stays afloat.
If you are just getting started with your small business and could use some advice on which bank you should choose, we have taken the time to compare top-rated banks to help up-and-coming entrepreneurs find the best bank for small businesses.
The Best Bank for Small Business and Several Others to Consider
Choosing the right bank to help you get your small business up and running can be overwhelming for many new business owners. But it is also one of the most important decisions that you will make as a company owner.
Here is our pick for the best bank for small businesses as well as some exceptional honorable mentions for you to consider.
The Best Bank for Small Businesses Overall –
Wells Fargo is one of the best banks out there for small businesses. They are the perfect choice if you are looking for a reliable bank for all your lending needs.
This financial institution has a broad range of small business tools and services, including excellent lending options for you to explore. The bank offers five types of small business loans as well as four business checking accounts with reasonable rates. When you choose to bank with Wells Fargo, you are sure to find the right type of lending and checking services to help your company grow.
Two of the most popular checking accounts for businesses offered by Wells Fargo include their Business Choice Checking and their Platinum Business Checking.
Wells Fargo Business Choice Checking
The Business Choice Checking account is a great choice for new businesses and those that are already established yet have plans to expand in the future. Companies that have moderate transaction activity will benefit the most from this checking account, those include companies that have up to 200 transactions a month.
Wells Fargo’s Business Choice Checking is an affordable checking account for small business owners. It offers free online alerts and a variety of useful tools that can help you keep your company’s finances on track. They also offer customers discounts on loans and lines of credit which could be extremely useful for small business owners who need to purchase office equipment or renovate their commercial building
Wells Fargo Platinum Business Checking
For established small business owners, the Wells Fargo Platinum Business Checking account is the best choice. This is a good option for accounts that would make more than 500 transactions per month. It features an interest-bearing checking account that will help your business save money over time, no fees on cashier’s checks, stop payments and other common transactions for small businesses and special discounts on business loans or lines of credit.
Wells Fargo has been a trusted name in the financial industry for generations and continues to be the smart choice for all types of business owners looking for a reliable bank to work with. Whether you are just getting started with your small business or if you have already established your company, you can get the financial help that you need to stay ahead of your competitors when you open an account with Wells Fargo.
Other Best Banks for Small Business Owners and Why You Should Consider Them
Wells Fargo may be our top choice for the best bank for small businesses, but that doesn’t mean it is the right financial institution for every small business out there.
So here are a few more suggestions for the best banks you can open an account with if you own a small business.
Chase Bank has plenty of options available for small business owners that allow them to expand their business and stay ahead of the game. They offer several small business lending options with low rates so that you can easily pay back what you owe even when sales are down. Chase also has affordable checking accounts and a selection of business credit cards that will help you move forward instead of putting you in a financial slump.
Chase Bank offers a large assortment of accounts and services for business owners of all types. You can save money each month by having account fees waived for reaching the low monthly required balance. Their Premiere Savings Account is the ideal choice for businesses that have higher savings balances and are hoping to maximize their earnings or save for expansions in the future.
Chase Bank also offers Certificates of Deposit that provide businesses with a higher rate of return on their excess reserves. Higher balances could help you earn a better interest rate and you get additional benefits when this account is linked to your Chase Bank Business Checking Account.
Azlo Bank is not your traditional full-service, brick-and-mortar bank. But it is still a good choice for small business owners, especially those that make plenty of online financial transactions. The bank is backed by BBVA Compass Bank and can provide you with a secure bank account that you access entirely online. There are no fees with Azlo and their checking account is designed with small businesses in mind. Along with their standard online banking abilities, Azlo Bank also offers useful tools that can help you keep track of your monthly expenses easily.
Azlo markets itself as a fee-free business bank that gives you the financial freedom you need to be successful. Their mission is to help new entrepreneurs start and grow their business so that they will be successful in the future. If you need an affordable bank account for your business, but don’t want to limit yourself to an account with little or no benefits, you should definitely give Azlo Bank a try.
Capital One Bank
Capital One Bank is dedicated to helping small business owners reach their goals. They offer lower rates on their small business loans to those who have an existing checking or savings account with them. They are also a good banking choice for companies that have a high transaction amount each month, and small businesses that need to make regular cash deposits. Capital One also has some of the simplest checking and savings accounts which can help make life easier when you are starting up a brand new business.
Capital One has some of the best options for small business savings accounts around. Their Spark Business Savings account offers 1.75% APY and allows owners to get a head stat on their goals while planning for future expansions with this savings account that offers the highest rates in the country. Do more for your business and stress less about your company finances when you open a business checking or savings account with Capital One.
Bank of America
Bank of America is another wise choice for small business owners who want to save money and work with a reliable financial institution. This bank offers strong lending programs for small businesses and they also have some of the most affordable business checking accounts around.
Bank of America offers a range of small business checking and saving accounts for small business owners, as well as many other useful business services. Take control of your account with their online account management user interface or make paying your employees and obtaining your payments simple by using their payroll and invoicing services.
You can even make sure that your business account has the funds needed to cover daily transactions even if you are out of town by using their Remote Deposit Online service.
Factors to Consider When Choosing the Best Bank for your Small Business
There are several things that all small business owners should keep in mind when deciding on a bank to use for their checking account and lending needs.
Here are a few things that you should consider before you make a final decision on which bank to go with:
1. Choose a Bank that Can Handle Your Business Needs
When it comes to banking, bigger isn’t always better. You don’t have to go with the most popular, well-known financial institution in the nation to be pleased with your business banking account. At the same time, you don’t want to go with a smaller, lesser known bank that will not be able to help you with your growing business when you need them to.
Choose a bank that offers the benefits that your business needs right now and in the future. Do you need a bank that has plenty of physical locations? Or would an online-only bank be more suitable for your needs? Are additional business services such as loans or credit cards very important to you or are you simply looking for a reliable checking and savings account?
Think about what you want out of a business banking account before you decide on which bank is right for your small business.
2. Keep Track of your Credit
With some banks, your credit score will have little or no impact on whether you are approved for an account. With others it can be the major deciding factor.
Many larger banks will look at your credit score and credit history first before they even consider any other aspect of your checking or savings account application. So, if you have some bad marks on your credit, and want to go with a bank that will turn you away due to a poor score, take care of your delinquent accounts first before you apply with them.
3. Use Caution When Considering Online-Only Banks
Digital banking has become very popular in recent years because they allow you to take care of all your banking needs without ever leaving your home or office. There are dozens of new online-only banks available that offer plenty of benefits for all types of account holders.
But be aware of these banks and approach them with caution. One reason why you find out about a new internet bank every day is because many of them are not secure and may not be able to provide you with the protection and security your small business needs.
Be sure to read up on reviews for online-only banks before you decide to open an account with them.
4. Location Matters
If you need to visit a physical branch on a regular basis, then the location of your bank matters. You don’t want to drive across town just to deposit or withdraw funds. And if online banking services like depositing checks by phone aren’t a convenient choice for you, it’s vital that you choose a bank that has branches nearby your place of business.
It is also a good idea to find a bank that has several ATM locations near your office or your home so that you can make small withdrawals and deposits as needed.
5.What Services Do You Need (And Which Can You Live Without)?
The fees associated with a business bank account greatly depend on the additional services each bank has to offer. And if you only require the basics, you may end up paying for services that you’ll never use.
Make sure that you find a bank that offers all the benefits you need, without all the costly add-ons you don’t.
Which Bank Will You Choose for Your Small Business?
There are several great banks out there that have special accounts and services designed with small businesses in mind. The banks mentioned here are just a sample of what is available to new business owners.
Be sure to analyze the benefits and disadvantages of each financial institution before you agree to start a new checking or savings account. Choose a bank that will help your business grow and one that will meet your specific financial needs for the best possible results.