Small business owners know the value of having a transparent view of their finances at all times. Opening a business bank account that is easy to use, forgoes unnecessary fees, and comes with tools to help your small business grow is the best way to keep an eye on what you’ve earned.
Whether it’s a checking or savings account, finding a business bank account that’s right for you is easier than ever. There are many options, both for businesses just starting up and for established business who want to grow their nest egg.
If you’re a sole proprietor who has been running your business finances through your personal accounts, or the head of a growing venture that has become demoralized by your bank’s incessant charges on every transaction, you know it’s time for a new business bank account.
Where to begin? Here’s a rundown of the seven best small business bank accounts available this year, broken down by checking and savings.
The Best Business Checking Accounts Of 2019
Business checking accounts are a fundamental building block of a small business’s finances. Used in conjunction with a business credit card, you’ll stay organized, keep your personal and business transactions separate, and pave the way for one day incorporating your business.
Not all business checking accounts are created equal, however. Here are the best choices in select categories for 2019:
Most Versatile Checking Account: Chase Business Checking
Chase offers three tiers of business checking accounts that all come with relatively low fees for the services they offer. Whether you’re a small, medium, or large and well-established business, Chase has a complete and affordable option for you.
All levels come with a $200 signup bonus and require a minimum first deposit of $25. They also have monthly fees that can be waived if you maintain a minimum balance.
Here’s the breakdown:
- Chase Total Business Checking: Total accounts offer 100 free transactions and $5,000 worth of free cash deposits every month. A balance of $1,500 is needed to waive your monthly fee of $15.
- Chase Performance Business Checking: Performance accounts offer 250 free transactions and $20,000 worth of free cash deposits every month. A balance of $35,000 is needed to waive your monthly fee of $30. You’ll also get two outgoing domestic wires for free each month.
- Chase Platinum Business Checking: Platinum accounts offer 500 free transactions and $25,000 worth of free cash deposits every month. A balance of $100,000 is needed to waive your monthly fee of $95. You’ll get four outgoing domestic wires for free as well.
Best For No-Fee Transactions: Capital One Business Checking
Capital One is another highly regarded business checking option. It has two tiers to choose from—Spark Business Basic Checking and Spark Business Unlimited Checking.
Both tiers come with unlimited transactions for no fee. This is helpful if your money is constantly on the move. Or, if you’re a new business looking to save money on extraneous expenses.
Both tiers have modest services fees—$15 and $35, respectively. Unlimited checking will offer more free wires per month for that additional fee. Here’s where the accounts become pricier options, as you’ll pay $25 per domestic wire on either account.
Best No-Fee Banking, Period: Azlo Business Checking
Azlo Business Checking is an online-only checking account. Like most online banks, you’ll receive excellent perks in exchange for not being able to visit a branch in person.
You open your Azlo account online, and from there it’s essentially a free business checking account. No minimum balances, no transaction fees, no monthly service fees. Use in-network ATMs to avoid ATM fees entirely.
Azlo doesn’t offer a signup bonus or allow you to send wires. However, you can send electronic payments for free—and a lack of fees acts as a sort of slow-burning signup bonus.
Also, because this is an online bank, you can’t make cash deposits. If you need to deposit cash into your business checking account, see the next option.
Best For Making Cash Deposits: Bank of America Business Checking
Bank of America Business Checking has a similar set-up and physical footprint to Chase Banking as one of the country’s largest and most popular banks. If you have a Bank of America location convenient to you, BoA is a good choice. This is especially true if you make a lot of cash deposits each month.
Here’s why. No fees for depositing your first $7,500 each month, and you’ll pay just 30 cents per $100 deposited after that.
Other perks include introductory offers of an extra $100 if you deposit $1,000 into your account in the first two months. You receive another $50 if you pay two bills through online bill pay; and another $200 if you are approved for a BoA business credit card.
There are monthly fees that range between $14-$18 a month, plus 45 cents per transaction every month after the first 200 transactions.
The Best Small Business Savings Accounts Of 2019
Opening a business savings account is the next step in smart small business financial planning. Once you start realizing a profit from your business, it’s time to decide how best to use that money. Putting some aside in a savings account is a great way to accrue interest on what you’ve earned.
Every business has different savings goals. Here are the best options that serve a variety of small business needs:
Best For All-Around Savings: Capital One Spark Business Savings
Want to get started on the process of saving your business’s money? Check out Capital One’s Spark Business Savings account. This account has no monthly service fees, no minimum balance requirement, and free withdrawals from Capital One ATMs.
Plus, Spark Business’s promotional APY (annual percentage yield, which is the amount of money you earn on a bank account in one year) in the first year of 2.00% is ridiculously high. It reverts to a standard 0.4% APY after the introductory offer ends—but you’ll love that 2.00% jumpstart.
If you have the flexibility and patience to put some money into an account like this and let it accrue interest over time without constantly drawing on it, the APY will pay off for you—quite literally.
Best For Easy High Yield Savings: Axos Bank Business Savings Account
Some business savings accounts are “high yield” accounts. These accounts offer higher-than-average interest rates in exchange for your minimum deposit. That means you’ll have less frequent access to the funds. However, they’ll be put to good use in these accounts.
A good place to start is with online-only Axos Bank’s Business Savings Account, which offers a regular APY of 0.8% throughout the life of your time with the bank. That number may rise or fall over time, depending on the general economic picture.
In exchange, you need to make an initial deposit of $1,000. This waives your $5 monthly service fee if you keep $2,500 in there on a daily basis.
Best For The Biggest Savings: Capital One Business Certificate of Deposit
A certificate of deposit isn’t a savings account. It operates similarly to one in that you deposit a sum of money with the bank and agree not to touch it in exchange for a high APY.
Capital One has a well-regarded COD. This requires business owners to commit their money to the bank for a pre-determined length of time. Withdrawing that money can result in heavy withdrawal penalties.
If you feel confident that you won’t need to touch this money, you can start accruing APYs of well over 2% if you commit to a COD of at least 12 months. Some APYs climb over 3% if you go even longer.
As the economy continues to hum along, now is the best time for your small business to take advantage of excellent deals being offered to customers by traditional and online-only banks alike. Start with a formidable one-two punch of some of the above checking and savings accounts. Above all, your business will be on the right financial track going forward.
Meredith Wood is the Editor-in-Chief at Fundera. Fundera is an online marketplace for small business loans that matches business owners with the best funding providers for their business. Prior to Fundera, Meredith was the CCO at Funding Gates. Meredith is a resident Finance Advisor on American Express OPEN Forum and an avid business writer. Her advice consistently appears on such sites as Yahoo!, Fox Business, Amex OPEN, AllBusiness, and many more.