We chose the First Internet Bank’s business checking for the treasury double entry system of accounting management services that come with its Commercial Analyzed Checking account. These include commercial deposit services, payables and receivables, and sweep services. The account also comes with credit card processing and corporate credit cards.
Who needs a business checking account?
Lili has built-in bookkeeping features including tax support, invoicing, bill pay, expense tracking, and reporting. If you’re looking for basic bookkeeping built directly into your checking account, Lili is one of the only banks to offer this feature set. Once you’ve decided which business checking account to open, you can visit the financial institution’s website, go to a local branch or call customer support to set up the account. Keep in mind that online-only banks will usually steer you toward opening a business checking account through their websites. Avoid the $35 monthly service fee by maintaining a $25,000 minimum 30- or 90-day average monthly ledger account balance.
Axos Bank Basic Business Checking
The disadvantage, though, is that outsourcing means your business’s financial information is being viewed by someone else, which you may or may not be comfortable with. Aside from that, you also have to consider what you might pay to hire an accountant on a full-time or part-time basis. You might choose to work with a virtual bookkeeper if you’re comfortable connecting via Zoom or email.
Bluevine Benefits & Features
- Its small business checking account earns a 0.50% APY on all balances and has no monthly management fees to worry about, but has a relatively high minimum deposit requirement of $1,500.
- Remember to review the account terms carefully, as some high-yield business checking accounts require you to meet certain activity and balance requirements to receive the advertised APY.
- The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication.
- EverBank is best for a small business owner who is looking for a low-fee, interest-earning account that can process up to 200 transactions monthly for free.
We chose the PNC Bank Treasury Enterprise Plan because it includes a high monthly transaction limit of 2,500 and allows businesses to deposit $50,000 in cash monthly with no additional charge. This account also has investment options for excess cash with the ability to set up an automatic sweep into a money market account for balances over a minimum you set. The Grasshopper Business Checking account requires a modest $100 deposit to open the account, but has no minimum balance requirement after that. This account also doesn’t charge any monthly maintenance fees or overdraft fees.
Using a software program can also eliminate the need to retain a full-time accountant, which can add to your business expenses. Implementing systems and best practices for keeping track of expenditures and revenues is key to managing cash flow. Without these systems in place, it’s all too easy to lose track of funds or create the financial records necessary to file taxes and apply for small business financing, if necessary. Proper accounting for small businesses encompasses important tasks, which we explore in more detail below. These considerations should help your business narrow down the right business checking account.
Small businesses need to keep accurate records relating to any expenses they incur, particularly for expenses they plan to deduct. It’s also important to keep records of any agreements with vendors and suppliers, bank statements, documents showing payment of estimated quarterly taxes, and annual tax returns. There are numerous software options for small businesses, with QuickBooks and FreshBooks being two of the most popular. When deciding which software program to use for accounting, it helps to first consider what your business needs. You can then compare different programs to evaluate the range of features and benefits that are included, and the overall cost of using it.
The fees may be lower, but be sure to ask about their background and experience before you sign a contract for their services. Merchant Maverick’s ratings are editorial in nature, and are not aggregated from user reviews. Each staff reviewer at Merchant Maverick is a subject matter expert with experience researching, testing, and evaluating small business software and services. The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication. Merchant Maverick’s ratings are not influenced by affiliate partnerships. Discover BusinessLoans.com’s lender network offering up to $3M in funding, no minimum credit score required.
How to compare business checking accounts
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