September 15, 2013
How to Choose the Best Small Business Bank Accounts
There’s no shortage of small business bank accounts, but choosing the right small business account for your company can be a tough decision. Before choosing a business bank account, it’s important to weigh a couple of key factors that will help make this choice a much easier one – and ensure that the small business bank account you go with will actually fit the needs of both you and your company.
So what factors are the most important when choosing the best small business bank accounts? We’re going to look at the three most common factors that help determine which business bank account is the right choice for your small business.
National vs. Local
Depending on what type of business you own and what your banking needs will be, deciding between a large national bank and a local or regional bank will be a big decision to consider. While large national banks can usually offer a wider range of services, if having a relationship with your banker is important (which can be helpful for financing equipment or getting bank loan approval), a regional bank could be a better fit.
Set up meetings with local or regional banks to ask questions about the services that they offer and to ask any questions that you might have about their financing process to get a better understanding of whether or not they’re a good fit for your daily business banking needs.
Another key component in choosing the best small business bank accounts is to think about what services are important to you and your company. If you spend the majority of your time traveling to meet with clients, online banking might be a necessity for handling your bank accounts easily and efficiently.
Additionally, services like loans, business credit, and other financing options can be integral to effectively managing business growth. Think about what your company will need a few years down the road and make sure that the small business bank that you choose will be able to help your business grow.
Rates and Fees
Most business accounts have minimum balance requirements and monthly maintenance fees in order to be able to offer ancillary services like automatic bill payment and money transfers. Make sure to think about your company’s cash flow and be realistic about what type of minimum balance requirements you’ll be able to handle. Otherwise, you could get hit with fees.
Finding the best small business bank accounts doesn’t have to be a difficult decision. As long as you arm yourself with the right information and ask yourself the right questions before getting started, you’ll be able to figure out which banks can offer your company the right small business account to meet all of your banking and financial needs.