What qualifies an institution as a best bank for small business? A bank that offers start-up loans, payroll management, small business financing, and money transfer services. You want to find a bank that offers everything your small business will need to stay on top of its finances and with manageable or no fees.
Most of the banks on this list offer a few hundred free transactions per month and don’t require a minimum daily balance unlike other banks.
Best Banks for Small Business – Find a Bank That Understands Your Needs
1. Capital One
Capital One is a major player in the small business banking field. This is because it provides tools for helping small businesses maximize profit and manage their money better. Capital One has branches all over the country, so you’re likely to find one near your location. The business services they offer include business management, loans, and investment. Small business owners can create a Spark Business Checking account at Capital One in which they don’t have to pay monthly fees or maintain a minimum balance. They don’t charge monthly transaction fees. Also, they don’t set monthly limits for customers with a Spark Business Checking account.
Deposits are available the next day as well, giving you faster access to your money. Spark Pay is one of Capital One’s business management services that allows business owners to accept plenty of transactions. Among them there are payments from mobile readers, payment terminals, digital registers, and e-commerce stores. It also offers inventory management. The bank has the ability to create personalized promotions or deals, transactions and reports downloads. It can also synchronize multiple devices and users. Capital One stands out from other banks with its Spark Business IQ Program for entrepreneurs. The program teaches entrepreneurs about cash flow, finances, and how to create positive change.
2. Citizens Bank
Another bank with loyal customers who think it serves small business is Citizens Bank. It is a fully-independent traded company that’s been in business for over 150 years. The values they operate on are beneficial for small business owners. These values are exceeding customer expectations. This is because they focus on working together, thinking long-term, and doing the right thing. Business services that Citizens Bank offers include bank accounts, cash management tools, and loans.
Their Clearly Better Business Checking account doesn’t have a minimum balance requirement or maintenance fees. The bank also gives customers up to 200 free check transactions per statement period. This one is a great perk for small businesses. Citizens Bank can help you manage cash flow through collection services, international banking and foreign exchange, information reporting, disbursements, E-Z Deposit, and sweep services. With Citizens Bank’s access MONEY Manager, you can customize money management. Moreover, you can access reports anytime, and initiate multiple transactions from one location.
3. FSG Bank
An SBA preferred lender, FSG Bank is suitable for small business. It is a community financial institution that values community, service, and excellence. FSG Bank strives to be a significant contributor to the clients’ success, rather than a hindrance. In addition to SBA loans, this bank provides business accounts and lines of credit. Their Blue Business 100 checking account was established with the needs of start-ups in mind. Account holders have access to tools and features they need for limited transaction activity. They also receive 100 transaction items per month. A minimum balance isn’t required to hold a Blue Business 100 checking account.
FSG Bank’s business accounts provide bill pay access, basic online banking, and free mobile banking. This bank also offers three different business savings accounts. One of them is having business savings set aside is important for emergencies. Imagine that you would be covered in case of damage caused to your store or a lost shipment. You are allowed six free withdrawals from a business savings account each month. The Blue Savings account has the smallest minimum balance requirement among the three savings accounts at $300.
4. Bank of America
Business services that Bank of America offers are checking and savings accounts, cash management, payroll, credit options, and investment. One of the advantages of small business banking at Bank of America is their business rewards card. The Cash Rewards for Business MasterCard provides 2% cash back on purchases at restaurants. There are also the 3% cash back from gas stations and office supplies stores, and 1% cash back on other purchases. You can redeem your rewards as cash or deposit them into your Bank of America account. Some cash management tools that Bank of America offers are remote deposit online, payroll services by Intuit, direct payments and invoicing, account management, and express tax services.
You have two business checking accounts to choose from at Bank of America: Business Fundamentals and Business Advantage. A Business Funadamentals checking account includes online banking, mobile banking, account alerts, bill pay, debit cards. You also have the the ability to connect the account with a business savings account. Extras that come with a Business Advantage account include access to the Small Business Priority Service team, QuickBooks integration, online account management, and another business checking account.
5. Wells Fargo
Based on deposits, Wells Fargo is the third largest bank. However, it may be one of the best banks for small business. The bank has been acknowledged as “The Most Admired Company in the World” by Fortune magazine. Wells Fargo offers specific services for small businesses. Among them there are as insurance, payroll services, merchant services, credit, and loans. Their Business Choice checking account is geared at growing businesses. Wells Fargo also offers SBA loans to help small businesses reach long-term goals.
Small businesses that choose Wells Fargo as their bank have access to the Money Map program, which provides valuable cash flow tools. With the Money Map program, you can maximize cash flow, plan for future needs, and manage expenses. An example of a tool you can use is Business Spending Report. It records business expenses and automatically categorizes them, saving you time.
Going to the Right Bank
The five banks listed above don’t charge high fees or have a large minimum balance requirement. Each of them could be a good choice for your business if you are shopping for a bank. They make access to your money easier and faster. Capital One, Citizens Bank, and FSG Bank don’t have a minimum balance requirement on their business checking accounts. If you’re in need of a Small Business Administration loan, FSG Bank and Wells Fargo offer that option as well. Those who are interested in a business credit card might investigate Bank of America’s cash back rewards on their Cash Rewards for Business MasterCard.
Which bank do you think is the best bank for small business? Are you leaving your current bank in search of a better bank for business? Let us know in the comments below.
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