As a small business owner, choosing the best banks for your small business is not something that should be taken lightly. Why the concern?

A checking account or savings account is like any other savings account give or take a few percentage points.

Yeah, I wish life was really that easy.

But, the wrong bank can cause unnecessary headaches for you and your business, and it usually occurs during the most chaotic and trying of times.

How is their customer support? Are they willing to work with you if something unexpected occurs?

These are things you need to be concerned about when you choose the best bank for you business. Business life can already be hard, why make it harder?

So without further ado-

 

The best small business checking accounts of 2020 are:

  • Chase Bank: (Best overall) Best for a free checking account with low monthly deposits
  • Bank of America: Best for an introductory bonus of up to $450
  • Capital One: Best for low-cost checking with unlimited transactions
  • U.S. Bank: Best for making few monthly transactions
  • Wells Fargo: Best for flexibility when upgrading account services as a company grows
  • First Internet Bank: Best for opening multiple online accounts with the same bank
  • TIAA Bank: Best for earning a high introductory annual percentage yield (APY) with an online-only bank
  • Azlo: Best for avoiding all banking fees

For more details on how we evaluate small business checking accounts for this list, see our methodology.

Chase Bank: Overall Best Small Business Checking Account

Chase Bank offers one of the largest networks of all business checking accounts, giving access to 16,000 ATMs and nearly 4,900 branches in 29 states. Chase Total Business Checking requires no minimum deposit to open an account, and you could earn free checking if you have $500 in monthly deposits or a daily balance of at least $1,500. This is why we believe it’s the best free business checking account.

Who it’s best for: Any business with convenient access to one of its branches or ATMs. Chase offers unlimited cash deposits—free up to $5,000 in deposits each month—which makes it the best option for businesses that make several cash deposits or need a branch to make transactions.

Chase Bank Introductory Offer

This Chase business account allows first-time account holders to earn a $300 bonus when opening a business bank account with Chase. To qualify, business owners will need to do the following:

  • Deposit $1,000 within 20 business days of account opening
  • Maintain a $1,000 average daily balance for 60 days
  • Make at least five qualifying transactions from the business checking account within 60 days

Because the monthly fee is waived with a minimum daily balance of $1,500, you should have no problem also receiving the bonus if you’re already able to get the fee waived.

Chase Bank Fees

  • Monthly fee: $15; waived if you have a minimum daily balance of $1,500 or you maintain a linked Chase Private Client Checking or Chase Sapphire Checking personal account or $12 if you opt for paperless statements
  • Transaction fee: 40 cents per transaction after your first 100 transactions each month made with a teller, incoming wires, and all debits; no charge for electronic deposits and deposited items made via ATM, automated clearing house (ACH), and Chase QuickDeposit
  • Cash deposit fees: $2.50 per $1,000 after the first $5,000 in cash deposited each month
  • ATM fee: $2.50 per transaction at any non-Chase ATM in addition to ATM operator fees, plus free access to more than 16,000 ATMs nationwide

Chase Bank Terms

  • Minimum deposit to open an account: None
  • Minimum balance requirement: None to maintain the account; $1,500 to waive the monthly fee

Chase Bank Additional Features

  • Integrations with the leading accounting software like QuickBooks
  • Offers a mobile finance app that lets business owners deposit checks online, check their account balances, pay bills, and make transfers
  • Provides several Chase business credit cards

Bank of America: Best for a Large Introductory Bonus

Bank of America offers a business checking account that is comparable to Chase business checking. However, it provides a bonus worth up to $450. It’s best for businesses that are near the more than 4,300 physical branches and about 16,000 ATMs nationwide. Its network offers unique advantages like your ability to make deposits directly at every ATM. Plus, your first $7,500 in cash deposits each month are free, then pay 30 cents per $100 after that.

Who it’s best for: This Bank of America business account is a good fit for any business that makes significant monthly cash deposits.

Bank of America Introductory Offer

  • $100 if you deposit $1,000 within 60 days of opening your small business bank account
  • $50 if you pay at least two bills through online bill pay within 60 days
  • $300 if you apply for and are approved for a Bank of America small business credit card, and you make $3,000 in purchases within 90 days of account opening

To qualify for this limited liability company (LLC) bank account’s $450 bonus, you must meet certain minimum initial deposits, pay bills online, obtain a Bank of America business card, and make $3,000 in purchases within the first 90 days.

Bank of America Fees

  • Monthly fee: $14 to $18, depending on the state in which your business is based; waived if you meet one of the following criteria each billing cycle:
    • Spend $250 on net purchases with your Bank of America business debit or credit card
    • Maintain an average monthly balance of $5,000 or more
    • Maintain a minimum daily balance of $3,000 for every day during the month
    • Maintain a combined average monthly balance of $15,000 or more in your linked Bank of America accounts
  • Transaction fee: 45 cents per transaction after the first 200 transactions each month
  • Cash deposit fee: 30 cents per $100 after the first $7,500 each month
  • ATM fee: $2.50 per transaction on out-of-network ATMs, in addition to operator fees, plus free access to more than 16,000 ATMs nationwide

Bank of America Terms

  • Minimum deposit: $100
  • Minimum balance requirement: None to maintain the account

Bank of America Additional Features

  • Integrates with accounting companies like FreshBooks
  • Offers a mobile app that can be used to deposit checks, watch accounts, make transfers, and pay bills
  • Get payroll and human resources (HR) support for your business from ADP
  • Offers five small business credit cards

Capital One: Best for Unlimited Transactions

Capital One offers a low-cost business checking account—a $15 monthly fee—that’s best for owners who make many transactions per month as there is no transaction fee. Although it offers a network of more than 39,000 ATMs nationwide with around 2,000 ATMs that accept deposits, Capital One has approximately 750 physical branch locations across eight states—far fewer than other large banks on our list.

Who it’s best for: Owners who value a low-cost checking account. Ecommerce or online-based businesses may favor this account because deposits can be made electronically.

Capital One Introductory Offer

You may be targeted for a $100 or higher bonus based on the market in which your business operates, but you must visit a branch to apply. Branches are located in Connecticut, Delaware, Louisiana, Maryland, New Jersey, New York, Texas, Virginia, and Washington, D.C.

Capital One Fees

  • Monthly fee: $15; waived if you maintain a $2,000 minimum 30- or 90-day average balance or if you have two other Capital One accounts
  • Transaction fee: None
  • Cash deposit fee: $0 for the first $5,000 in monthly deposits; $1 for every $1,000 deposited after your first $5,000
  • ATM fee: Free ATM access to more than 39,000 Allpoint ATMs nationwide

Capital One Terms

  • Minimum deposit: $250
  • Minimum balance requirement: None to maintain the account; $2,000 to avoid the monthly fee

Capital One Additional Features

  • Integrates with top accounting software like Xero
  • Offers a mobile app that a business owner can use to pay bills, track each of their accounts, make transfers, and deposit checks
  • Business owners who want to open a credit card and checking account with the same bank can apply for a Capital One business credit card

Note: Capital One requires that you apply in person. Online applications are not available.

U.S. Bank: Best for Limited Transactions

U.S. Bank’s free business checking option is a solid pick if you make less than 150 transactions per month and want a free account. You’ll be able to access an extensive network of more than 3,000 physical branch locations and more than 5,000 ATMs in 28 states. U.S. Bank also has free access to the MoneyPass ATM network, which means you’ll have free ATM withdrawal access at 25,000-plus ATMs nationwide.

Who it’s best for: Small businesses that make fewer than 150 transactions a month as you’ll pay 50 cents per transaction after that.

U.S. Bank Introductory Offer

U.S. Bank offers a 50% discount on your first check order up to $50, regardless of how long it takes you to order your first check. It also offers the following introductory offers for business checking account holders:

  • 50% discount for you on a U.S. Bank Gold Personal Package checking account
  • An undisclosed bonus rate on a U.S. Bank Platinum Business Money Market account

U.S. Bank Fees

  • Monthly fee: None
  • Transaction fee: 50 cents per transaction after the first 150 transactions each month
  • Cash deposit fee: No fees on the first $2,500 in cash deposits each month
  • ATM fee: No charge for out-of-network ATMs, although operator fees apply, plus free access to more than 3,200 ATMs nationwide and free withdrawals from 25,000-plus MoneyPass ATMs

U.S. Bank Terms

  • Minimum deposit: None
  • Minimum balance requirement: None
  • Check order discount: 50% discount on your firsts order of checks up to $50

U.S. Bank Additional Features

  • Access to ADP Payroll from your bank account dashboard
  • Take advantage of digital invoicing and payment systems through Viewpost, which are integrated into your online dashboard
  • Offers a mobile app that lets you oversee all of your accounts, move money between accounts, and deposit checks online

Note: You cannot apply online for a U.S. Bank business checking account. You must contact a U.S. Bank specialist via telephone or online form, or you can walk into any of its nationwide branches.

Wells Fargo offers the best business bank account if you want your account to scale with your business’s growth. You can upgrade your business checking easily as your needs increase in both monthly transactions and deposits. It has one of the largest networks with more physical branches than each best bank for small businesses on our list at more than 5,600. It also has 13,000-plus ATMs nationwide. You’ll only pay $10 per month to own this account.

Who it’s best for: Growing businesses because Wells Fargo provides numerous additional financing and investment services.

Wells Fargo Introductory Offer

Wells Fargo occasionally offers in-branch bonuses for opening new business checking accounts. See your nearest branch for details. The bank does not currently offer a small business banking sign-up bonus through its website.

Wells Fargo Fees

  • Monthly fee: $10 per month; waived if you maintain a $500 average daily balance
  • Transaction fee: 50 cents per transaction after the first 50 transactions each month
  • Cash deposit fee: 30 cents per $100 deposited after $3,000 in monthly deposits
  • ATM fee: $2.50 per withdrawal at out-of-network ATMs in addition to ATM operator fees; however, there is no charge for using any of the 13,000-plus ATMs in the Wells Fargo network

Wells Fargo Terms

  • Minimum initial deposit: $25
  • Minimum balance requirement: None to maintain the account; $500 to avoid a monthly fee

Wells Fargo Additional Features

  • Design your card to have your business logo and tagline on your debit card
  • Manage your entire bank account from your mobile phone
  • Wells Fargo reimburses you for any unauthorized debit card or ATM transactions if you report them promptly through its zero liability protection plan
  • Remote check deposits

First Internet Bank: Best for Opening Multiple Online Accounts

Choose First Internet Bank if you’re an owner who wants to open a business savings account at the same bank where you have your checking account. Its small business checking account is free and pays 0.70% APY on balances of at least $10,000. If you also happen to open a business savings account, you’ll earn more than 1% APY based on your account balance.

Who it’s best for: Businesses that don’t need to visit physical branch locations and want to open multiple online accounts.

First Internet Bank Introductory Offer

First Internet Bank doesn’t offer an introductory bonus like other banks on our list, including Chase Bank and Bank of America. However, it does pay 0.70% APY on balances of at least $10,000 from the second you open your account.

First Internet Bank Fees

  • Monthly fee: None
  • Transaction Fee: None, allows for unlimited transactions
  • ATM fee: None’ reimburses up to $10 per month in ATM fees

First Internet Bank Terms

  • Minimum initial deposit: $100
  • Minimum balance requirement: None to maintain the account; $10,000 to earn the APY
  • Ongoing APY: 0.70% on balances of at least $10,000

First Internet Bank Additional Features

  • First Internet Bank debit card
  • Offers various business bank accounts, which include savings, money markets, and certificate of deposits (CDs); we rank its savings accounts as one of the best business savings accounts

TIAA Bank: Best for Earning an Introductory APY

Because it has no branch network, only choose TIAA Bank if you’re comfortable with online-only banking. Although you’ll pay very few fees for this account, the bank still offers an excellent introductory interest offer. You’ll be able to earn 0.50% APY for the first 12 months on deposits up to $250,000. This is one of our top picks for the best online business checking account.

Who it’s best for: Ecommerce businesses and companies that don’t handle many cash transactions.

TIAA Bank Introductory Offer

TIAA Bank doesn’t offer a standard introductory bonus. Instead, you’ll receive an introductory APY for the first year after account opening. TIAA Bank pays 0.50% APY on balances up to $250,000. After your first year, you’ll earn the following:

  • 0.20% APY on balances between $0 and $24,999.99
  • 0.25% APY on balances between $25,000 and $49,999.99
  • 0.30% APY on balances between $50,000 and $99,999.99
  • 0.35% APY on balances between $100,000 and $10 million

TIAA Bank Fees

  • Monthly fee: None
  • Transaction fee: 25 cents per transaction after the first 200 transactions in a month
  • ATM fee: None, provides reimbursements if you maintain a balance of at least $5,000; for balances of less than $5,000, TIAA Bank will reimburse up to $15 in ATM fees per month

You can deposit up to 50 checks per month for free. If you need to make more check deposits each month, the bank recommends a monthly remote deposit capture service that costs $35.

TIAA Bank Terms

  • Minimum initial deposit: $1,500
  • Minimum balance requirement: None to maintain the account; $5,000 for ATM reimbursements
  • Introductory APY: 0.50% for the first 12 months on deposits up to $250,000
  • Ongoing APY: 0.20% to 0.35%, based on your account balance

TIAA Bank Additional Features

  • Remote deposit capture
  • Payment processing services
  • The bank also offers money market accounts, CDs, and investment services online

Azlo: Best for Avoiding Fees

Azlo is best for small business owners who don’t want to pay checking account fees. It charges no transaction, ATM, or monthly fees. Because the bank has no branches, however, you can’t make cash deposits or outgoing wires. You’ll need to bank exclusively online. However, you’ll have access to about 55,000 ATMs through Allpoint.

Who it’s best for: Primarily cashless businesses. Because you can’t make cash deposits, this isn’t a good account for someone who owns a retail operation that deals with both cash and electronic transactions.

Azlo Introductory Offer

Azlo does not offer a cash bonus or other incentive for opening a new small business checking account.

Azlo Fees

  • Monthly fee: None
  • Transaction fee: None
  • Cash deposit fee: Cash deposits aren’t accepted
  • ATM fee: None at 55,000 BBVA Compass or Allpoint ATMs

Azlo Terms

  • Minimum initial deposit: None
  • Minimum balance requirement: None

Azlo Additional Features

  • Mobile deposits
  • Free mobile banking, online banking, and bill pay
  • Account holders get a free Azlo Visa debit card to use for transactions and at ATMs

via 10 Best Small Business Checking Accounts May 2020

• Will you need to go into the physical branch?

If most of your small business’s transactions occur online and you prefer to bank via the web or apps, you may never need to enter a bank building. Using an internet-based bank may even save you some dough. But if you deal with lots of cash, prefer human interaction, or want to build a rapport with a financial professional who understands your region or local economy, you’ll want to use a bank account with a physical branch in your geographic area.

• Does your accounting software integrate with the bank’s tools?

If you use QuickBooks, payroll software, or another accounting tool, you may want to work with a bank that allows you to integrate the data from your software. It’ll be a lot more efficient to balance your books if withdrawals automatically show up in QuickBooks. If you use Paypal or Square, you may find it helpful to have those transactions show up in your checking account, too.

• Weigh small or local against big banks.

Having a close relationship with someone who works at a local bank (or local branch of a national bank) can have its benefits. That person may have the ability to adjust fees or give you more wiggle room on a small-business loan application. The downsides of smaller banks is that information isn’t always clearly spelled out online, you may have to open an account in person, and the digital tools may be lacking. By contrast, larger and national banks are more likely to clearly outline the fine print online, allow you to open an account digitally, and roll out digital tools first, which can all offer convenience and efficiency.

• Consider using the bank you’ve already got.

If you already work with a bank you like for your personal finances and it has a business checking account option that matches your needs, there’s nothing wrong with keeping both accounts at the same bank. Being able to access information from multiple accounts in one location or application is a nice bonus.

• Look into a credit union.

Credit unions are typically community-minded organizations that have a sense of connection to a neighborhood or region and a cooperative mentality. (You have to become a member of a credit union to use their services.) That may be how you like to do business. Many have low- or no-minimum checking accounts, but typically offer more pared-down features than traditional banks.

It’s important to know what you need and want from your bank. Whether that’s investing advice, excellent customer service, local knowledge, online convenience, or something else, understanding your goals will help you choose the best bank account for your small business.

The Best Bank Accounts for Small Businesses

There are more than 4,500 commercial banks in the U.S. offering thousands of business checking account options. But what busy entrepreneur has time to sort through it all? Read the list below for AD PRO’s top picks.

Best Bank Accounts for Small Businesses with Sole Proprietors or for Start-Ups

With Well Fargo’s most basic business bank account, you can make up to 50 transactions per month at no charge and deposit up to $3,000 in cash each month. (Deposits above $3,000 will incur a 30-cent fee per $100.) Although this account has a $10 monthly service fee, you can avoid the cost by maintaining a $500 average balance. With a minimum opening deposit of just $25, this simple business banking solution is excellent for the small business with limited cash-flow activity. With all Wells Fargo business checking accounts, you can apply in person or online, and send your deposit and required documents later.

If you’re a sole proprietor with limited transactions, BBVA Compass may be ideal for you. This is a completely free account with no monthly fees or minimum account balance requirement. Process up to $5,000 in cash per month, five checks and in-branch withdrawals, and two in-branch deposits. There’s also no fee to use other banks’ ATMs. Note that only sole proprietorships can apply online, and the bank has just 650 locations in seven states.

This small-business checking account with no monthly maintenance fee or minimum balance requirement allows you to conduct up to 75 transactions per month and deposit up to $2,500. Receive Comerica’s bill-pay service at no charge for 12 months (after which it’s $6.95 per month). Another bonus: As your business grows, you can upgrade to another account using the same account number. Comerica locations are in Texas, Arizona, California, Florida, and Michigan; fees and conditions vary by state.

If your business bank account needs are fairly simple and you require few monthly transactions, this SunTrust account could be a good option. The $5 monthly maintenance fee is waived for the first year, after which you can avoid it when you make at least five debit or credit transactions per month or link a SunTrust personal checking account. The account includes 50 transactions and $2,000 in cash processing per month. SunTrust clearly outlines all stipulations and rules on its site, allows you to apply online, and has some great small-business resources online. One potential downside? It has branches in only 12 eastern states.

With no monthly account maintenance fee for the first three months and a current sign-up bonus of $200 cash, this competitive account may be a good fit if you need checking but not a lot of transactions (150 or fewer per month). Once the $12/month fee kicks in, avoid it when you maintain a $1,500 average monthly balance, link to a PNC Merchant Services account, or use a PNC business credit card for $1,000 of eligible monthly purchases. PNC has branches in 19 states plus Washington, D.C.

via 28 Absolute Best Bank Accounts for Small Businesses …

 

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