Technology is transforming the way we engage with banks in the same way it has transformed the way we book flights, call a cab (or Uber), order takeout, or even buy a car. My mortgage payment, for example, is withdrawn automatically from my income each month, and my paycheck is also routinely put into my personal bank account. In actuality, I utilize very few banking services that require me to enter a bank on a daily basis. Even if I require cash or need to deposit checks, I can do so using an ATM. Hence, in this article, we shall look into the best online business bank account for 2023.
Best online business account
A decent bank should offer the best online business bank account. There are both internet-only banks and physical offices that offer online banking. While most banks have an online site these days, not all of them are made equal.
Mobile deposits, digital bill pay, and fraud alerts are just a few of the online features available with the top business checking accounts.
Other financial products that you can access online should also be considered. Company savings accounts, merchant services, credit cards, and small business loans are examples of what I’m talking about.
Benefits of a best online business bank account 2023
You’ll need the best online business bank account in 2023 if you’re a small business owner or a startup founder. Why not just use your personal checking account to pay for business expenses? Here’s why you should get a separate business account:
- It will make accounting a lot easier and give you greater visibility into whether or not your business is profitable
- It will help you better manage your business cash flow
- This will make it easier to account for business expenses at tax time
- It will make the transition to an LLC or corporation much easier should you decide to formalize your business entity down the road
If you anticipate the need to take out a loan, there are many small business lenders like the SBA that won’t even consider your loan application unless you have a business banking account, making it much harder to find small business loans to fuel growth or otherwise fund business initiatives. In other words, a business checking account just makes sense for most small businesses.
Today, you can find a variety of business checking accounts that are fee-free, or that offer a certain number of free transactions before fees kick in. Some offer perks like cash back or discounts on business products.
Which Bank is Best for Startup Business?
With full-service banking solutions that can expand along with your company’s expansion, Chase is the finest bank for new enterprises just getting off the ground. Silicon Valley Bank is an excellent option for those who are seeking an online-only bank for their startup firm because it offers specialized startup tools that can aid in the expansion of the business.
Are Online Business Bank Accounts Safe?
Your money is just as secure in an online bank as it would be in a conventional bank, provided that the online bank you use is directly backed by the Federal Deposit Insurance Corporation (FDIC) or an FDIC-insured bank. On the other hand, it is absolutely necessary to do research on the many online banks available so that you may select a financial institution that is insured by the FDIC. When it comes to internet banking options for businesses, our top three picks are Bluevine, Novo, and Mercury.
What are the Reasons To Consider a Business Checking Account
A business checking account allow you to;
- Maintains a wall of separation between your personal and business money
- Assists you in establishing a good credit history for your company
- Makes it simpler for you to evaluate how well your organization is doing.
- Lends credibility to your company or organization.
- During tax season, it helps simplify:
- Assists you in developing a relationship with a bank
Best online business bank account in 2023
#1. Novo
Novo is our top choice for freelancers, entrepreneurs, and small business owners of all stripes.
That’s because they offer great online banking solutions with features and tools to help entrepreneurs grow and maintain their businesses.
Here’s an overview of the top features and benefits of this best online business bank account in 2023:
- No monthly service fees
- Refunds at all ATMs
- Free incoming and outgoing ACH transfers
- Domestic and foreign wires free
- Free mailed bank checks
- No minimum balance requirement
The extensive range of integrations to assist slot Novo into your business’s present infrastructure is why we love them for entrepreneurs.
This includes integrations with Quickbooks and Xero for accounting and bookkeeping, Zapier for CRM, email, and marketing, Shopify for e-commerce, Stripe for payment processing, and others. Discounts on business products like HubSpot, Salesforce, Zendesk, Google Cloud, and Stripe are also available.
Novo also has a fantastic mobile app that allows you to manage all of your business banking needs right from your phone.
Applying for a Novo online business bank account takes less than ten minutes. The minimum deposit is $50, which is extremely inexpensive when compared to other banking accounts.
Overall, Novo is a simple, online-only bank for business owners who want to keep things simple. However, aside from a checking account, it lacks additional financial features.
#2. LendingClub Bank
LendingClub Bank offers four varieties of banking solutions, so they’re a fantastic solution for scaling and growing your business.
The four accounts they offer are Tailored Checking, Relationship Checking, Account Analysis Checking, and Interest Checking.
Because the last three are designed for large to massive firms, we’ll concentrate on their Tailored Checking account, which is the best for the great majority of high-volume, yet still-small businesses.
It’s important to remember that their major league offerings are available in the event that your company expands significantly.
It’s good to keep in mind that their big league offerings are there in case your company begins to really grow.
LendingClub’s best online business bank account of 2022 comes with:
- Unlimited transactions
- 0.75% APY for balances above $5,000
- $10 monthly fee (waived with balances over $5,000)
- No minimum balance requirements ($100 to open)
- Free ATM network worldwide
The fact that this bank allows for unlimited transactions is one of our favorite features. After a specific number of transactions per month, most banks demand you to pay a fee.
Axos bank, for example, only enables you to make 200 transactions each month before you have to start paying a $0.30 transaction charge. Some banks may charge up to $25 for a single transaction! For many businesses, this can quickly mount up.
Radius is not one of them. They won’t hold it against you if you run as many as you need. This is ideal for businesses that process a high volume of transactions each month or that prioritize high-octane growth.
#3. Axos Bank
Axos Bank offers a suite of great banking solutions for your needs, including business checking, interest checking, business savings, CDs, and CDARs.
At first blush, their accounts don’t stand out all that much that is, until you look at the offerings after you get an account.
One of the notable products is their Workplace Banking service.
You can use this service to provide financial services to all of your workers. You’ll be able to offer them no-cost checking accounts with ATM fee reimbursement and low-interest rates on home, auto, and personal loans through Axos.
They’ll also set up a financial literacy platform for your company, with roughly 200 tutorials and videos to help your employees succeed financially.
It’s a flexible perk to provide to your employees who may work for a variety of organizations. A benefit like this goes a long way toward helping recruit and keep better personnel in your firm, whether it’s access to no-fuss checking accounts, better-than-average loan alternatives, or just tools to help them get better at managing their own money.
When it comes to their account specifics, here are a few key offerings of their best online business bank account 2023:
- $1,000 minimum opening deposit
- Zero minimum monthly balance requirements
- Unlimited domestic ATM fee reimbursements
- Up to 200 transactions per month, and $0.30 per item thereafter (includes debits, credit, and deposited items)
- Up to 60 items per month for Remote Deposit Anywhere (includes monthly per item processing limitation)
It’s a good bank to go with if you want a solid suite of business banking options and a way to help your employees with their banking needs as well.
#4. Mercury
Mercury is my top choice for startups and smaller e-commerce operations. It provides FDIC-insured US bank accounts to global businesses.
Mercury Bank allows you to create virtual debit cards and keep track of your financial flow. Shopify, Stripe, Amazon, and PayPal integrations are also simple to manage.
Along with these other significant features, Mercury Bank also has no monthly fees and no minimum balance requirements.
- Zero fees for Tea Room customers
- 100% online banking, never set foot in a bank branch again
- Sign up in minutes from anywhere in the world (non-US residents welcome)
- Create checking & savings accounts
- Create virtual & physical debit cards
- Link seamlessly with Stripe, Paypal, Shopify, Amazon, and other payment processors
- Integrate with Pilot, Xero, Quickbooks, etc.
- Intuitive payments (wire, check, ACH)
- Easily searchable transactions
- Custom user permissions
#5. Chase
A Chase Business Complete Banking account is a great choice for those who need both an online and in-person bank.
For example, if your business frequently deals in cash or international currency, Chase can be good for you because you can go to an actual teller to help you out.
Other banks may have online and physical locations, but none of them compares to Chase’s account options.
They provide some of the best banking benefits and features available.
Here’s a quick overview of Chase Business Complete Banking, which can be opened and managed online:
- Earn $300 when you open a new Chase Business Complete Checking account. For new Chase business checking customers with qualifying activities.
- More ways to waive fees. Multiple options to waive the Monthly Service Fee, including maintaining a minimum daily balance or purchases on your Chase Ink Business credit card
- Built-in card acceptance. Accept card payments anytime, anywhere in the U.S., and get transparent pricing with Chase QuickAccept
- Same-day deposits with QuickAcceptFree up the cash you need to keep your business moving forward with same-day deposits at no additional cost.
- Alerts to help you stay on top of your account activity.
- Easy account management through Chase Business online and the Chase Mobile app.
- Unlimited electronic deposits, ACH, and Chase Quick DepositSM.
- Convenient access to 16,000 ATMs and more than 4,700 branches.
#6. BlueVine
BlueVine is an online banking solution designed specifically for small business owners that are just starting out. In fact, we think their business checking is one of the greatest we’ve seen. It earned them a spot on our list of the top business checking accounts.
It’s a solution that’s favorable to small company owners wishing to save money and avoid being nickeled and dimed by their banks, with no monthly fees, no minimum deposits, and no “non-sufficient funds” costs.
They also pay a full 1% APY on balances up to $100,000 for account holders. That’s more than 20 times higher than the national average! This is a terrific alternative if you’re a business owner who wants to preserve your money from being depleted by fees and have it grow as it sits in your account.
They also have a 38,000-strong ATM network that you may use. The disadvantage is that if you don’t have access to an ATM within the network, you’ll be charged an ATM fee.
Their business loans are also very nice. They offer three types:
- Line of credit
- Term loan
- Invoice factoring
With interest rates as low as 4.8 percent, you may be accepted for a loan in minutes. Hence, your credit score is unaffected by the applications. After you’ve accepted a loan offer, they’ll verify your credit score.
Overall, I strongly advise any small business owner seeking a loan or a business checking account to use BlueVine. It’s ideal for newer owners searching for a solid checking account because it pays a 1% APY on balances of $100,000 or less.
#7. BankProv
It’s something we take for granted you anticipate nothing to go wrong when you deposit money into your account. And, if something goes wrong with your deposits, you don’t want to deal with the headaches and the settlement procedure.
The FDIC insures most corporate banking accounts, but BankProv goes a step further. Also, deposits in BankProv business accounts are insured by the FDIC up to $250,000 and are protected by the Depositors Insurance Fund (DIF) for any amount over that.
There aren’t many other online business checking accounts that offer this. All DIF member banks are FDIC insured, although not all DIF member banks are FDIC insured.
So, what does this imply for you? No matter what, every deposit you make into a BankProv business checking account is fully insured.
You don’t want your company’s liquid capital to be capped at $250,000. You’re in it to make a lot of money. In addition, why would you choose a bank that won’t safeguard you after your account reaches a quarter-million dollars?
And if you’re a startup looking to raise money, BankProv’s DIF insurance is even more critical. You can boost your bank account to well above $250,000 and not have to worry about the safety of any deposits you make after that.
BankProv has a thorough understanding of current business. Their banking services are suitable for anyone, but they provide a number of advantages that may be particularly appealing to entrepreneurs and SMB owners working in emerging industries such as financial technology (including bitcoin) and green energy ventures.
#8. NorthOne
The modern company is open 24 hours a day, seven days a week. You won’t always be at your work when anything comes up. Also, you can’t wait for “banker’s hours” to fix your concerns.
You require something that allows you to keep track of your finances at all times and from any location. That is what NorthOne is all about.
This is business banking for anyone whose job requires them to be on the go all of the time, and who wants to stay connected to the heartbeat of their company via their phone. More so, NorthOne’s mobile website or mobile app can handle everything. Using NorthOne’s standalone free app, you can send ACH or wire payments, deposit checks with your phone camera, generate and send invoices, and even manage your money with the Envelopes function.
This completely branch-free banking will assist small business owners, entrepreneurs, freelancers, and anyone with various independent revenue streams.
For purchases and ATM withdrawals, you’ll get a NorthOne debit Mastercard. You can also use the smartphone app to freeze lost cards and order new ones.
NorthOne interfaces smoothly with a wide range of other technologies, befitting a forward-thinking, mobile-first digital banking solution for businesses. From accounting software like QuickBooks and payment processors like PayPal and Stripe to the marketplaces where your company takes place, like Amazon, Shopify, or even Etsy, you can rest assured that integrating NorthOne into your IT stack will go smoothly.
Can I Open a Business Bank Account with a Virtual Address?
In order to comply with federal banking laws, firms need to have a physical location in order to open a business bank account. Unfortunately, addresses such as mailboxes and P.O. Boxes, as well as locations for registered agents, do not count.
What Bank Doesn’t Charge Monthly Fees for a Business Account?
- Basic Business Checking Account from Axos Bank®
The free online business account does not require a minimum opening deposit or a monthly fee, provides customer support around the clock, and provides free access to ATMs all over the country, as well as unlimited reimbursements for fees that are levied by other banks and ATM operators in the United States.
What Do You Need To Open a Small Business Checking Account
The following is a broad outline of what you will need in order to open a bank account for your company, although the requirements listed above may vary depending on the provider you choose.
- Employer Identification Number (EIN) or, if you run your business as a sole owner, your Social Security Number.
- Documents required for the formation of a business, such as a certificate of a fictitious business name or a doing-business-as (DBA) certificate
- Documents pertaining to the organization, including any ownership agreements
Business licenses - Identification with a photograph that was issued by the government, such as a passport or driver’s license
FAQ
Can you open LLC bank account online?
Non-US residents can now open an LLC business bank account online with Mercury. Documentation – Required documentation will depend on the state where you form your LLC.
How do I pay myself from my LLC?
You pay yourself from your single-member LLC by making an owner’s draw. Your single-member LLC is a “disregarded entity.” In this case, that means your company’s profits and your own incomes are one and the same.
When owning a business how do you pay yourself?
There are two main ways to pay yourself as a business owner:
- Salary: You pay yourself a regular salary just as you would an employee of the company, withholding taxes from your paycheck. …
- Owner’s draw: You draw money (in cash or in-kind) from the profits of your business on an as-needed basis.
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