Top Online Small Business Checking Accounts for 2021
In the digital age, managing your small business finances has never been easier. Online small business checking accounts are a game-changer, offering a range of features to streamline your financial management, from mobile banking to online bill payments. In this article, we’ll delve into the top online small business checking accounts for 2021, providing you with valuable insights to make informed choices.
Chase Business Complete Banking
Bonus: Earn a $300 bonus for new customers who meet specific requirements, such as opening the account with a minimum deposit and completing a certain number of transactions within the first few months.
Perks: Unlimited electronic deposits and withdrawals, access to over 16,000 ATMs nationwide, and account management through the user-friendly Chase Mobile app. Deposit checks, check account balances, and transfer funds with ease.
Bank of America Business Advantage Checking
Benefits: Enjoy no monthly maintenance fees for the first two months and the opportunity to earn cashback on eligible purchases.
Features: Free online and mobile banking, access to over 16,000 ATMs and 4,300 branches nationwide, overdraft protection, and fraud monitoring services to safeguard your finances.
Azlo
Specialization: Tailored for freelancers, entrepreneurs, and small business owners looking for a straightforward and cost-effective financial solution.
Advantages: No monthly maintenance fees or minimum balance requirements, unlimited transactions and ATM withdrawals, and handy invoicing and payment processing tools to streamline your cash flow.
Capital One Spark Business Checking
Online Presence: Ideal for those seeking a bank with a strong online presence.
Highlights: No monthly maintenance fees, unlimited transactions, free online and mobile banking, the opportunity to earn interest on your balances, and access to over 39,000 ATMs nationwide. Enhanced with fraud detection and prevention services for added security.
Axos Bank Basic Business Checking
Affordability: A budget-friendly option with a low minimum deposit requirement and zero monthly maintenance fees.
Features: Enjoy unlimited transactions and ATM withdrawals, along with free online and mobile banking. Benefit from overdraft protection and fraud monitoring services to ensure the safety of your financial assets.
In conclusion, online small business checking accounts offer an array of advantages, from convenience to cost savings. When selecting an account, consider factors like fees, transaction limits, and online banking capabilities. By doing so, you’ll find the perfect account tailored to your specific needs, helping you manage your finances more efficiently.
Understanding Fees and Charges for Online Small Business Checking Accounts
Small business owners understand the importance of managing their finances effectively. A crucial aspect of financial management is choosing the right checking account that meets your business’s needs. With the rise of online banking, many small business owners are opting for online small business checking accounts due to their convenience and cost-effectiveness. However, it’s essential to comprehend the fees and charges associated with these accounts before making a decision.
Monthly Maintenance Fees
Monthly maintenance fees are a common occurrence with online small business checking accounts. These fees cover the bank’s cost of maintaining your account and providing services like online banking, bill payments, and mobile deposits. The fee amount varies depending on the bank and the type of account you have. Some banks may waive this fee if you maintain a certain balance or meet specific requirements.
Transaction Fees
Transaction fees are another aspect to consider. These fees apply to every transaction you make, such as writing a check, making a deposit, or using your debit card. Again, the fee amount varies depending on your bank and account type. Some banks offer a set number of free transactions per month before charging fees.
Overdraft Fees
Overdraft fees can hit you if you spend more money than you have in your account, resulting in a negative balance. In such cases, the bank charges you a fee for covering the overdraft. To avoid these fees, it’s vital to keep track of your account balance and prevent overdrafts whenever possible.
ATM Fees
If you plan to use ATMs for accessing your funds, watch out for ATM fees. Many banks charge fees for using out-of-network ATMs, which can accumulate if you frequently need cash. Some banks might also impose fees for exceeding a certain number of transactions per month when using their own ATMs.
Wire Transfer Fees
For businesses needing to send or receive wire transfers, be aware of wire transfer fees. These fees vary depending on the bank and the destination of the transfer. International wire transfers may incur additional charges.
Other Fees
Apart from the mentioned fees, there might be other charges associated with your online small business checking account. For instance, some banks may charge fees for paper statements or closing your account prematurely. It’s crucial to read the fine print and fully understand all the fees tied to your account before opening it.
In conclusion, online small business checking accounts offer convenience and cost-effectiveness, but understanding the associated fees is essential. Compare fees from different banks and select an account that aligns with your requirements without straining your budget. By comprehending these fees, you can avoid surprises and maintain control over your financial stability.
Tips for Managing Your Online Small Business Checking Account
Managing your small business’s finances is pivotal to its success. An integral part of financial management is having a suitable checking account. With the advent of online banking, small business owners have the flexibility to manage their accounts from anywhere, anytime. In this article, we provide you with valuable tips for effectively managing your online small business checking account.
Choose the Right Bank
The initial step in managing your online small business checking account is selecting the right bank. Look for a bank that caters to small businesses with services like mobile check deposit, online bill pay, and seamless fund transfers. Additionally, consider a bank with low fees and competitive interest rates.
Set Up Alerts
Setting up alerts is crucial for staying on top of your online small business checking account. Alerts can notify you of critical account activity, helping you avoid overdraft fees or other financial mishaps. You can set alerts for low balances, large transactions, and incoming deposits to stay informed and in control.
Track Your Transactions
Effective management necessitates meticulous tracking of your transactions. Keep a record of all transactions in your accounting software or spreadsheet. This helps in monitoring expenses and income, a vital aspect for tax purposes. It also aids in spotting any discrepancies or fraudulent activities.
Use Online Bill Pay
Leverage the convenience of online bill pay, a feature offered by many banks. It streamlines your bill payments, saving time and money. With online bill pay, you can ensure that your bills are paid promptly, eliminating late fees and maintaining a positive financial reputation.
Protect Your Account
Ensuring the security of your online small business checking account is paramount. Employ strong, regularly updated passwords and never share your login details. If you suspect any account compromise, contact your bank immediately to safeguard your assets.
Monitor Your Account Regularly
Consistent monitoring of your online small business checking account is essential. Regularly check your account balance and transaction history to spot any anomalies or discrepancies. Timely detection can help resolve issues swiftly.
In conclusion, managing your online small business checking account is pivotal for your business’s success. By selecting the right bank, setting up alerts, tracking transactions, using online bill pay, protecting your account, and monitoring it consistently, you can ensure that your finances are well-organized and your business thrives.
How Online Small Business Checking Accounts Can Help with Cash Flow Management
Cash flow management is a critical aspect of running a successful small business. It’s the lifeblood of your operations, and without proper management, your business can face significant financial challenges. Fortunately, online small business checking accounts can be invaluable allies in cash flow management. Here’s how these accounts can make a difference:
Real-Time Tracking
One of the most significant advantages of online small business checking accounts is real-time tracking of income and expenses. With online banking, you can access your account balances and transaction history instantly. This feature allows you to see where money is coming in and going out, providing crucial insights for effective cash flow management.
Budgeting and Forecasting Tools
Online accounts often come equipped with budgeting and forecasting tools. These tools help you plan for future expenses and revenue, a critical aspect of maintaining a healthy cash flow. By using these tools, you can avoid unexpected expenses and ensure you have enough cash on hand to cover your financial obligations.
Low Fees and Minimum Balance Requirements
Online small business checking accounts typically offer lower fees and minimum balance requirements compared to traditional accounts. This is particularly beneficial for small businesses with limited cash reserves or those just starting out. By choosing an online account with favorable fee structures, you can save money and avoid unnecessary expenses.
Payment Options
Online accounts provide a range of payment options, including electronic transfers and mobile payments. These options expedite bill payments and customer receipts, facilitating the acceleration of your cash flow. Say goodbye to delays associated with traditional check-based payments.
Enhanced Security
Online small business checking accounts are equipped with robust security features to protect against fraud and unauthorized transactions. These include two-factor authentication, fraud alerts, and automatic account monitoring. By utilizing these features, you reduce the risk of financial losses and shield your business from cyber threats.
In conclusion, online small business checking accounts offer an array of benefits for cash flow management. Their real-time tracking, budgeting tools, low fees, payment options, and enhanced security features empower you to maintain control over your finances. By leveraging these accounts, small business owners can effectively manage their cash flow and ensure the financial health of their enterprises.
Security Measures for Online Small Business Checking Accounts
Small businesses increasingly rely on online banking for their financial needs. Online small business checking accounts offer flexibility and convenience, but they also come with the risk of cyber threats and fraud. To safeguard your online checking account, here are essential security measures to consider:
Use Strong Passwords
A strong password is your first line of defense. Ensure it’s at least eight characters long and includes a mix of upper and lower case letters, numbers, and symbols. Regularly change your password, and avoid using the same one across multiple accounts.
Enable Two-Factor Authentication (2FA)
Two-factor authentication adds an extra layer of security. It requires users to provide a second form of identification, like a code sent to their phone or email, in addition to their password. Even if your password is compromised, 2FA prevents unauthorized access.
Be Cautious on Public Wi-Fi
Public Wi-Fi networks are often unsecured, making it easy for hackers to intercept your information. If you need to access your online checking account on public Wi-Fi, use a virtual private network (VPN) to encrypt your data and protect against cyber threats.
Regularly Monitor Your Account
Frequent account monitoring is crucial. Review your account activity regularly to detect unauthorized transactions or suspicious activity promptly. Most banks offer alerts that notify you of unusual events, such as large withdrawals or transfers.
Keep Software Updated
Keep your devices and operating systems up to date. Software updates often include security patches that address vulnerabilities and protect against cyber threats. Ensure all devices used for online banking are regularly updated.
Beware of Phishing Scams
Phishing scams involve fraudulent emails or websites designed to steal sensitive information, like login credentials or credit card numbers. Be cautious of unsolicited emails and messages, and avoid clicking on links or downloading attachments from unknown sources.
Use a Dedicated Device
Consider using a dedicated computer or device solely for online banking. Don’t use it for other purposes like general browsing or checking email. This minimizes the risk of malware or viruses compromising your account.
In conclusion, online small business checking accounts offer convenience but come with risks. Employing strong passwords, enabling 2FA, avoiding public Wi-Fi, regular account monitoring, keeping software updated, being cautious of phishing, and using a dedicated device can help protect your online checking account from cyber threats and fraud. Security is paramount to ensure your business’s financial well-being.
Comparing Traditional vs. Online Small Business Checking Accounts
Small businesses are the backbone of our economy, and they rely on a dependable checking account to manage their finances. In today’s digital age, small business owners have two primary options: traditional brick-and-mortar banks or online banking. Both account types offer unique advantages and drawbacks, and it’s essential to weigh these factors before making a choice.
Traditional Small Business Checking Accounts
Traditional accounts are provided by physical banks with physical branches. They often require a minimum balance and charge monthly maintenance fees. However, traditional accounts offer in-person customer service and access to physical branches and ATMs. This can be beneficial if you prefer face-to-face interactions and need to deposit cash or checks frequently.
Online Small Business Checking Accounts
Online accounts, on the other hand, are gaining popularity due to their convenience and lower fees. They typically have no minimum balance requirements and offer free transactions and bill payments. Additionally, online accounts provide 24/7 access to account information and customer support via phone or chat. This is advantageous if you prefer managing your finances remotely and want to reduce expenses associated with fees.
When comparing traditional vs. online small business checking accounts, consider these factors:
Fees
Traditional accounts often have higher fees than online accounts. Compare fees, including monthly maintenance fees, transaction fees, and ATM fees, to determine which account type aligns with your budget.
Convenience
Online accounts provide greater convenience with 24/7 access to account information and customer support. Traditional accounts may require in-person visits to branches or ATMs, which can be time-consuming.
Customer Service
Traditional accounts offer in-person customer service, while online accounts provide customer support via phone or chat. Consider which type of customer service aligns with your preferences and how quickly you need assistance.
Security
Both account types offer security measures like fraud protection and encryption. However, online accounts may be more susceptible to cyber attacks, so ensure your online account has robust security features.
Ultimately, the choice between traditional vs. online small business checking accounts hinges on your business’s unique needs and your personal preferences. Some may value the personal touch of traditional banking, while others prioritize the convenience and cost savings of online banking.
In conclusion, small business owners have two primary options for managing their finances: traditional brick-and-mortar banks or online banking. Each account type offers distinct benefits and drawbacks that should be carefully considered. By comparing fees, convenience, customer service, and security features, you can make an informed decision and select the checking account that best suits your needs, ensuring the financial success of your business.