Five Examples Of What Banks To Use As A Small Business
When running a small business, a large degree of your success will depend on how effectively you manage your finances. The kind of bank account you decide to use as well as the institution you open this account with will form a key component of your financial strategy. Having a bank that offers you good rates, accessible service and low-cost services will greatly assist you on your way to finding success for your business.
Let’s explore 5 options of what we feel are the best banks for small businesses.
Despite some negative press in recent years, Wells Fargo remains one of the most popular banks in the US. They are the country’s fourth largest bank in the US and have over 7300 branches and 13000 ATMs, this widespread presence in the market, coupled with the fact that they are the most prominent SBA (Small Business Administrator) lender in the US makes them a top contender for one of the best banks for small businesses and certainly the winner for most accessible bank in the country. Their base level checking account includes 50 free transactions before you pay a fee, $3000 worth of free cash deposits and a $10 monthly service fee – which is waived if you maintain a $500 balance.
Another one of the “Big 4” banks, JPMorgan Chase Bank is largely considered to be the best option for small businesses, offering three types of business checking accounts that are structured to cater to the needs of small businesses through each phase of their growth. They also provide an especially generous cash back rewards and reward points system to customers who utilize their business credit card program as well as a wide variety of perks. Additional to this service offering – which really separates them from their competitors –Chase’s Total Business Checking account for small companies has a $15 monthly fee which is waived at a running balance of $1500 and also offers 100 free transactions a month and $5000 free cash deposits, making it the winner in the best small business checking account category.
Although BlueVine doesn’t have your traditional brick and mortar banking structure, in today’s highly digitized environment, they have recognized a gap in the lending market for small businesses and their product offering is designed to suit small businesses. They offer free business checking with no hidden fees and over 60 000 GreenDot retail locations where you are able to make all of your cash deposits. They also offer exceptionally high interest rates and although are not SBA loan providers, they offer an easily accessible line of credit or term loan to small businesses at a much faster rate than SBA accredited loan providers.
The Huntington National Bank
On the other hand, The Huntington National Bank is one of the SBA backed loan providers that has the highest approval rates of any SBA lender in the country. They have over 800 branch locations and offer both business checking and savings accounts. Their Business Checking 100 account offering 100 free transactions a month and they are an ideal option if you require an SBA loan. Unfortunatley, you are only able to fully access all of the benefits offered by their checking account if you maintain a high minimum balance.
America First, although not officially a bank, is able to provide customers with excellent credit facilities and offer three different types of business checking accounts, they are one of the best credit unions for small businesses and their accounts are perfectly suited to small and especially start-up companies.
From our research, we feel that Chase offers the best traditional banking services, while BlueVine offers the best online banking service for small businesses. Ultimately though, the bank and the corresponding account that you eventually choose for your business will depend on what is most important to your business.