10 Best Small Business Checking Accounts for March 2023
This article is part of a larger series on Business Banking.
Editor’s note: This is a recurring post with regularly updated account details.
The best small business checking accounts should have limited fees for your daily financial transactions. Some accounts are nearly fee-free, while others allow you to waive monthly fees if you meet transaction and balance criteria. Banks providing these accounts should also offer outstanding business support products and services, including lending products, merchant services, and access to interest-earning accounts.
Both traditional brick-and-mortar and online financial technology (fintech) companies offer outstanding business checking products. Determine which is right for your company by identifying what features and services you need from your business checking provider and choosing an option that fits those needs.
Here are the 10 best small business checking accounts, with links directly to the provider:
- Bank of America: Best overall for ongoing rewards and low cash deposit fees
- Chase: Best for full-service small business banking tools and premium checking
- Bluevine*: Best for earning interest on deposits
- U.S. Bank†: Best for businesses with low transaction volumes
- Novo*: Best digital-only bank for rapid access to funds and faster payments
- Capital One†: Best for unlimited everyday transactions
- Grasshopper: Best digital-only bank for integrated free payment software
- Mercury*: Best digital-only bank for tech companies and startups
- Found*: Best for business owners looking for detailed expense tracking
- Oxygen*: Best digital-only provider for cash back on debit card purchases
*Providers are financial technology (fintech) platforms backed by and Federal Deposit Insurance Corp. (FDIC)-insured through a supporting bank partnership. (Partnerships: Coastal Community Bank for Bluevine, Middlesex Federal Savings for Novo, Evolve Bank & Trust for Mercury, Piermont Bank for Found, and The Bancorp Bank for Oxygen)
†Providers are geographically limited. See the Capital One geographic limitations and U.S. Bank geographic limitations to see if your business is located in an area served by these providers.
Best Small Business Checking Accounts At a Glance
Provider | Account Name | Monthly Fee | Free Monthly Transactions | Annual Percentage Yield (APY) | Free Cash Deposit Limit |
---|---|---|---|---|---|
Fundamentals Business Checking | $16; waivable | 200 | N/A | $7,500 per month | |
Business Complete Banking | $15; waivable | 20 | N/A | $5,000 per month | |
Business Checking | None | No limit | 2.0% on qualifying balances of $250k or less | $4.95 per deposit (Green Dot) | |
Silver Business Checking | None | 125 | N/A | $2,500 per month | |
Business Checking | None | No limit | N/A | No fee; Cash deposited through money orders | |
Basic Business Checking | $15; waivable | No limit | N/A | $5,000 per month | |
Innovator Business Checking | None | No limit | 1.51% | Cash deposits not accepted | |
Business Checking | None | No limit | N/A | Cash deposits not accepted | |
Business Checking | None | No limit | N/A | Cash deposits not accepted | |
Business Checking | None | No limit | N/A | $4.95 per deposit (Green Dot) or via Plaid link | |
Bank of America: Best Overall for Ongoing Rewards & Other Business Support Services
What We Like
- 200 free transactions per month
- Free digital tools to track business performance
- Ongoing rewards
Drawbacks
- Cash deposit fees charged per $100 over monthly allowance
- Doesn’t offer ATM fee reimbursements
- Requires a $100 opening deposit
Features
- Deposit checks, view accounts, make transfers, and pay bills with the mobile app
- Credit card processing and payroll services through ADP
- Cash Flow Monitor® cash management tool connects accounting, analytics, and payroll apps
- Check your business credit score through a partnership with Dun & Bradstreet
- Free debit card
- Integrations with QuickBooks, TurboTax, and Zelle®
- Customer service during business hours in branch and via phone or social media messages
- Merchant services available through Expensify
- Other products include business savings, certificates of deposits (CDs), lending products, financial analysis through Merrill Financial Advisor
Bank of America FundamentalsTM Business Checking Terms
Required Opening Deposit | $100 |
Required Balance Minimum | None |
Transaction Limit Before Fees | 200 monthly, then 45 cents per item |
ACH Fees | May vary |
Monthly Fees | $16; waivable if conditions are met |
Domestic Wire Transfer Fees | Fees vary |
International Wire Transfer Fees | Fees vary |
ATM Fees | None at over 16,000 ATMs nationwide; $2.50 per transaction on out-of-network ATMs |
Cash Deposited | Up to $7,500 per month free, then 30 cents per $100, per statement cycle |
APY | N/A |
When to Choose Bank of America’s Business Advantage Fundamentals Checking
- Your business deposits large amounts of cash monthly
- You do a lot of your business banking in person
- You want to use the same bank for both your personal and business accounts
Thanks to its ongoing rewards and low cash deposit fees, Bank of America is our best small business checking account.
Its ongoing rewards include up to $500 in combined cashback rewards and statement credits with its business checking and credit card products. Also, with the company’s preferred rewards for business, you can earn 25%–75% bonus rewards on credit cards and get a 5%–20% higher interest rate on Business Advantage savings accounts.
In addition, you can check your Dun & Bradstreet business credit score for free within the Bank of America app. This is one of the reasons why Bank of America was our choice as the best bank for small business loans and best bank for real estate investors.
There are excellent software integrations and a wide range of additional business products, including savings, certificates of deposit (CDs), lending products, and financial analysis through Merrill financial advisor.
There are two varieties of business checking accounts available through Bank of America: Business Advantage FundamentalsTM and Business Advantage Relationship Banking. You can change between the two types as your business needs change. Compare their differences in our Bank of America business checking review.
The $16 monthly fee with Business Advantage FundamentalsTM can be waived one of three ways:
- Maintain a $5,000 combined average monthly balance
- Spend at least $250 in new net purchases on a business debit card
- Become a member of Preferred Rewards for Business.
It gets the edge over Chase because it offers more free transactions and cash deposits on its basic business checking product. To see how Bank of America matches up with Chase, check out our Bank of America vs Chase business accounts comparison to see which is right for you. Visit Bank of America for more information.
Chase: Best for Full-service Small Business Banking Tools & Premium Checking
What We Like
- $300 bonus when you open an account
- Easy-to-waive monthly fee
- Built-in card acceptance with QuickAccept℠ via the Chase MobileⓇ app
Drawbacks
- Limited number of free transactions
- ATM fees not reimbursed
- Fee for cash deposits of more than $5,000 per statement period
Features
- Manage debit, deposit, and ATM card settings for individual employees
- Deposit checks, view account balances, pay bills, and make transfers through the mobile app
- Integrates with QuickBooks and other leading accounting software
- Free debit card, mailed within 10 business days of application approval
- Physical checks’ costs, depending on type ordered
- Chase Merchant Services
- Live customer support online or in branch during business hours
- Other products include business savings, certificates of deposit (CDs), lending products, credit cards, merchant services, and collection services
Chase Business Complete BankingSM Checking Terms
Required Opening Deposit | None |
Required Balance Minimum | None |
Transaction Limit Before Fees | 20 monthly, then 40 cents per transaction |
Automated Clearing House (ACH) Fees | $25 for first 25 items per month, 15 cents per item above 25 per month, $2.50 return fee |
Monthly Fees | $15; waivable if conditions are met |
Domestic Wire Transfer Fees | Up to $35 for outgoing wires, up to $15 for incoming wires |
International Wire Transfer Fees | Up to $50 for outgoing wires, up to $15 for incoming wires |
ATM Fees | $3 per transaction at any non-Chase ATM, plus ATM operator fees |
Cash Deposited | $2.50 per $1,000 after you deposit $5,000 in a billing cycle |
APY | N/A |
When to Choose Chase Business Complete CheckingSM
- You want a bank that offers a full suite of banking services
- Your banking needs include making frequent cash deposits
- You prefer the option of in-person banking
Chase, our best bank for small businesses, provides a full-service business banking experience. While its most basic business checking account terms are listed above, it also offers Performance Business Checking® and Platinum Business CheckingSM. Both have higher fees but have more features that can help you as your small business grows.
Regardless of which account you open, you can qualify for a $300 cash back bonus as long as you meet other qualifying actions. It’s one of the best account-opening promotions on the market.
Chase has changed its terms on how to waive the $15 monthly fee for its Business Complete Checking as of October 1. To waive the fee, you must maintain a linked Chase Private Checking Client checking account, meet Chase’s Military Banking requirements, or perform one of the following qualifying activities:
- Minimum Daily Ending Balance: Maintain a minimum daily ending balance of at least $2,000 in the Chase Business Complete Checking account each business day during the monthly statement period
- Chase Payment Solutions Activity: Have at least $2,000 of aggregate eligible deposits into the Chase Business Complete Checking account at least one day before the end of the monthly statement period using Chase QuickAccept including Chase Smart Terminal, InstaMed Patient Payments, and InstaMed Patient Portal, or other eligible Chase Payment Solutions products
- Chase Ink Business Card Activity: Spend at least $2,000 on eligible purchases in the most recent monthly Chase Ink Business Card billing cycle
When comparing base-level checking accounts, Bank of America gets a slight edge due to more free monthly transactions and a higher amount of free cash deposits.
If you want to compare Chase’s business checking offerings, check out our article on all three Chase business checking accounts and choose the one that best meets your business needs. We also have individual reviews of the products:
- Chase Business Complete Banking Review
- Chase Performance Business Checking Review
- Chase Platinum Business Checking Review
With three different types of business checking accounts, business savings accounts, credit cards, lines of credit, and point-of-sale (POS) and software solutions, Chase is a bank that can scale with your business. Visit the Chase website for more information.
Bluevine: Best for Earning Interest on Deposits
What We Like
- Interest-earning checking on balances of $250,000 or less
- Integrates with QuickBooks
- Excellent line of credit product
Drawbacks
- No savings, money market, and CD accounts
- No physical branch locations
- Only one debit card is issued per account
Features
- No monthly maintenance fee
- No minimum balance requirement
- Free debit card and two free checkbook orders per year
- Integrates with QuickBooks and Xero
- Connects with business payment solutions, including Stripe, PayPal, and Expensify
- Has live customer support from dedicated professionals
- Offers line of credit
Bluevine Business Checking Terms
Required Opening Deposit | None |
Required Balance Minimum | None |
Transaction Limit Before Fees | No limit |
ACH Fees | None |
Monthly Fees | None |
Domestic Wire Transfer Fees | $15 for outgoing, none for incoming |
International Wire Transfer Fees | $15 for outgoing, none for incoming |
ATM Fees | Free at MoneyPass locations nationally; $2.50 plus operator fees for nonnetwork ATM use |
Cash Deposited | $4.95 fee per transaction, available through Green Dot retail locations |
APY | 2.0% on balances of $250,000 or less, once qualifications are met |
*Bluevine is a business fintech platform backed by FDIC-insured Coastal Community Bank. |
When To Use Bluevine Business Checking
- Your company wants to earn interest on its checking account and meets one of the two requirements set aside by Bluevine to earn interest. High-interest earnings help make Bluevine our top checking account for LLCs.
- You need a line of credit—Bluevine is our choice for the best small business line of credit.
- You don’t need a physical location as Bluevine is a digital-only bank.
The most significant advantage Bluevine has compared to other digital-only banks is its interest-bearing business checking account. You can earn 2.0% APY on balances up to and including $250,000 if you meet one of two qualifying criteria:
- Spend $500 or more a month with Bluevine Business Debit Mastercard issued by Coastal Community Bank
- Receive $2,500 per month in customer payments into your account via ACH, wire transfer, mobile check deposit, or directly from a merchant payment processing provider
It charges no monthly fees or transaction fees, and it’s one of our top picks for the best free business checking accounts. It also doesn’t have a minimum opening deposit or minimum balance requirement, and its lack of fees make it an excellent choice for a bank account for self-employed and freelance professionals.
In October 2022, Bluevine launched subaccounts to help customers manage their funds. Bluevine offers five subaccounts, which would give you up to six total accounts. Funds held across all accounts are eligible to earn interest if criteria are met.
However, there are fees if you have to deposit cash or withdraw cash out of network. Deposits must be completed at a Green Dot retail location for $4.95 per deposit, and Bluevine charges $2.50 for out-of-network ATM withdrawals in addition to third-party fees. Visit Bluevine for more information.
U.S. Bank: Best for Businesses with Low Transaction Volumes
What We Like
- No monthly fee
- Free mobile check deposits
- Apply in person, online, or by phone
Drawbacks
- Only available in 26 states
- Expensive wire fees
- Limited free transaction
Features
- Send and receive money through app
- Digital invoicing and payment systems integrated into your online dashboard
- Mobile app to monitor all of your accounts, transfer funds between accounts, and deposit checks online
- Easy integration with overdraft protection or credit card processing services for your business
- Free debit card and 50% discount on first check order up to $50
- Integrations with QuickBooks and U.S. Bank Payment Processing
- Customer service online, by phone, or in-branch during business hours
- Other products include lending and cash flow products, other checking options, POS services
U.S. Bank Silver Business Checking Terms
Required Opening Deposit | $100 |
Required Balance Minimum | None |
Transaction Limit Before Fees | 125 in a month, then 50 cents per transaction |
ACH Fees | None |
Monthly Fees | None |
Domestic Wire Transfer Fees | $40 for outgoing, $14 for incoming |
International Wire Fees | $75 for outgoing, $15 for incoming |
ATM Fees | No charge for out-of-network ATMs, although operator fees apply |
Cash Deposited | $2,500 in cash deposits or 25 free cash deposits per cycle, whichever comes first |
APY | N/A |
When To Choose U.S. Bank’s Business Checking
- You only need a basic business checking account
- Your cash deposits don’t exceed $2,500 per month
- You have less than 125 banking transactions per month
With multiple checking options available and a wide range of business banking products available, U.S. Bank is an excellent choice for a business checking account. However, like Capital One, it is somewhat geographically limited—its major drawback is that the accounts are unavailable in all states. You must reside in one of the 26 states listed above to be eligible for a U.S. Bank account.
There is no monthly fee for the company’s basic business checking, known as Silver Business Checking. If you don’t exceed 125 business transactions or $2,500 in cash deposits monthly, this account should meet your needs.
If you exceed those thresholds regularly, U.S. Bank offers two higher-tier accounts. There are waivable monthly fees for the Gold and Platinum Business Checking accounts, but both allow more free transactions and other perks.
Additionally, you can earn a $500 bonus when you open a new, eligible U.S. Bank business checking account (promo code: Q1AFL23) and complete qualifying activities, subject to certain terms and limitations—offer valid through March 31, 2023.
Check out our U.S. Bank business checking review for details on all the available business checking products offered by the company, including a great nonprofit checking account, which offers up to 1,800 free transactions yearly with no maintenance fees or minimum balance requirements. Because of these factors, U.S. Bank is our best bank for nonprofits. Check out the U.S. Bank website for more information.
Novo: Best Digital-only Bank for Rapid Access to Funds & Faster Payments
What We Like
- Zero maintenance fees
- Refunds all ATM fees
- Novo Boost and Express ACH allow faster access to your funds
Drawbacks
- Unable to deposit cash directly
- Lack of savings accounts and lending products
- Noninterest drawing account
Features
- Integrates with other business tools, such as QuickBooks, Slack, Xero, Stripe, Square, PayPal, Wise, and Shopify
- Set aside funds for taxes and other large business expenses with Novo Reserves
- Deposit checks directly through the mobile app
- Online banking includes unlimited invoicing and bill pay
- Novo Boost in coordination with Stripe allows you to access funds faster
- Express ACH lets you accept or receive same-day ACH payments
- Virtual debit card available immediately, one free physical debit card per user
- Paper checks can be sent straight from the app
- Live customer support from dedicated professionals
Novo Business Checking Terms
Required Opening Deposit | None |
Required Balance Minimum | None |
Transaction Limit Before Fees | No limit |
ACH Fees | None |
Monthly Fees | None |
Domestic Wire Transfer Fees | None to receive; cannot send wires domestically but can send fee-free ACH transfers |
International Wire Transfer Fees | Novo partners with Wise to send international wires for a “low” fee |
ATM Fees | All fees refunded at the end of the month |
Cash Deposited | None; money orders can be purchased and deposited through the app |
APY | N/A |
*Novo is a business fintech platform backed by FDIC-insured Middlesex Federal Savings. |
When to Use Novo Business Checking
- Your business frequently withdraws cash from ATMs
- You aren’t interested in an interest-bearing checking account or getting lending products from your business checking account provider
- You use Stripe, Square, or PayPal and want faster access to your funds, as Novo Boost allows you to receive payments faster than other providers
Thanks to its Novo Boost and Express ACH offerings, Novo is an outstanding choice for businesses looking for faster access to funds and same-day ACH payments. If you accept payments from Stripe, Novo Boost lets you receive payments sent from your Stripe account faster than other providers.
To further expedite the payment process, users can now connect Stripe, Square or PayPal and get paid via card, Apple Pay, Google Pay, PayPal, or Venmo.
In addition, Novo offers Express ACH, which enables you to accept or send same-day ACH payments. The combination of Novo Boost and Express ACH gives you access to your money faster than other digital-only providers.
If your business makes frequent ATM withdrawals, Novo benefits you as well. It refunds all ATM fees at the end of the month with no limits. It also has no monthly fee, transaction limits, minimum opening deposit, or minimum balance requirement.
Novo allows cash deposits, but those deposits must be made through money orders deposited through the app. It doesn’t charge for this, but you will have to purchase money orders from US Postal Service (USPS) locations for up to $1.95 for up to $1,000 money orders.
It even provides up to 10 reserve accounts, unlimited invoicing, and great software integrations with accounting and payment software. You cannot order checks, but paper checks can be sent from the app. One drawback is that Novo lacks lending products.
Novo now allows you to apply even if you don’t have an employee identification number (EIN) or limited liability company (LLC). For more information on Novo, visit the company’s website.
Capital One: Best for Unlimited Everyday Transactions
What We Like
- Unlimited transactions
- Easy ATM access
- Low or no monthly fee
Drawbacks
- Requires $250 opening deposit
- Account opening cannot be done online
- Account doesn’t earn interest
Features
- Pay bills, track accounts, transfer funds, and deposit checks with the mobile app
- Integrates with Xero and other top accounting software
- Free overdraft protection when linked to another small business deposit account
- Free debit card
- Physical checks – cost based on type ordered
- Connect with business payment solutions
- 24/7 support by phone, or in-branch support during business hours
- Other products include lending products, credit cards, Unlimited Business Checking
Capital One Business Basic Checking Terms
Required Opening Deposit | $250 |
Required Balance Minimum | None |
Transaction Limit Before Fees | No limit |
ACH Fees | Undisclosed |
Monthly Fees | $15; waivable if conditions are met |
Domestic Wire Transfer Fees | $25 per outgoing wire, $15 for incoming wire |
International Wire Fees | $40 per outgoing wire, $15 for incoming wire |
ATM Fees | Free at more than 70,000 Capital One, MoneyPass & Allpoint ATMs nationwide |
Cash Deposited | Up to $5,000 per month free, $1 for every $1,000 after that |
APY | N/A |
When To Use Capital One Business Basic Checking
- Your business is located near a Capital One branch
- Your business does a large number of transactions
- You require the ability to make large cash deposits
Capital One offers an excellent banking product that is only limited by its geographic availability. It would contend for best overall if it were available nationwide. However, you must open an account in a branch, and those are limited to only six states and the District of Columbia.
One advantage Capital One has over other brick-and-mortar banks on this list is it doesn’t charge fees for everyday account transactions. You get unlimited deposits, withdrawals, and transfers, not including international wires, cashier’s checks, and other services. If your business makes a lot of cash deposits, you will have to pay $1 for every $1,000 after depositing $5,000 in a month.
The monthly fee of $15 is easily waivable. You need a 30- or 90-day balance average of $2,000 to waive the fee.
For businesses with higher balances, Capital One offers Unlimited Business Checking. It also has lending products and business credit cards. Visit Capital One’s website for more information.
Grasshopper: Best Digital-only Bank for Integrated Free Payment Software
What We Like
- Cash back on debit card purchases
- Interest-bearing account
- No monthly fees or transaction fees
Drawbacks
- No physical location
- Minimum deposit required to open
- Cash deposits not accepted
Features
- 1% cash back on all online and in-store debit card purchases
- Earn 1.5% APY on all balances with no minimum and no cap
- Autobooks software purchased by Grasshopper for all small business banking customers for digital invoicing and online payments
- No monthly fees or transaction fees; no minimum balance required
- 24/7 online and mobile banking
- Unlimited free ACH and incoming wires
- Physical and virtual debit card available
- Integration with QuickBooks
- Customer support via phone, live chat, email, secure message, and text message; also available through the app
- Other products include application programming interface (API) banking, treasury management, startup banking services, lending
Grasshopper Innovator Business Checking Terms
Required Opening Deposit | $100 |
Required Balance Minimum | None |
Transaction Limit Before Fees | No limit |
ACH Fees | None |
Monthly Fees | None |
Domestic Wire Transfer Fees | No incoming wire fees; $10 for outgoing |
International Wire Transfer Fees | $5 for incoming; $25 for outgoing |
ATM Fees | Free at 45,000 Money Pass & Sum network ATMs |
Cash Deposited | Cash deposits not accepted |
APY | 1.51% APY |
When To Choose Grasshopper’s Innovator Business Checking
- You want to earn interest on your business checking account, as Grasshopper offers 1.5% APY uncapped on all balances with no minimums
- You are looking for cash back rewards on online and in-store debit card purchases
- You want a digital-only banking experience that includes great integrations with QuickBooks and need payment software, such as Autobooks (provided free)
With the inclusion of Autobooks for free with each account, Grasshopper is a great choice for businesses looking for integrated invoice and payment software with its online-only business checking, which is a solid account thanks to excellent cashback rewards and a great APY. Its debit card earns 1% cash back on all online and in-store debit card purchases, and accounts earn 1.51% APY on all balances with no minimum and no cap.
While there is no minimum or cap on balances that earn APY, customers must maintain a minimum average balance of $10,000 with no nonsufficient funds (NSF) items during the preceding 12 calendar months.
If you have a business that makes a lot of debit card purchases and carries a high balance in the account, Grasshopper’s earning power can rival any other bank in this guide. Its account is fee-free with no minimum balance requirements, although you are required to deposit $100 to open the account.
One drawback is that cash deposits aren’t permitted. In addition, its free ATM network is a little smaller than some of its competitors, with no ATM fee reimbursement out-of-network. Visit Grasshopper’s website for more information.
Mercury: Best Digital-only Bank for Tech Companies & Startups
What We Like
- No minimum deposit to open an account
- Physical and virtual debit cards
- Treasury product offers outstanding yield on balances over $250,000
Drawbacks
- Accounts not available to sole proprietorships
- Lacks paper check-writing abilities
- Limited lending options and no cash deposits
Features
- Earn interest with Mercury Treasury product if you have more than $250,000 in Mercury accounts and request Treasury
- Set customer user permissions for your team members
- Create auto-transfer rules for your accounts
- Integrate accounts with QuickBooks and Xero accounting software
- Virtual debit cards available right away, with physical debit cards arriving in the mail in a few days
- Physical checks unavailable
- Business payment integrations with Shopify, Stripe, Zapier, Amazon, and PayPal
- Email customer service available
- Savings account provided when you open checking,
- Other products include Mercury Treasury, capital and venture debt and credit card
Mercury Business Checking Terms
Required Opening Deposit | None |
Required Balance Minimum | None |
Transaction Limit Before Fees | No limit |
ACH Fees | None |
Monthly Fees | None |
Domestic Wire Transfer Fees | None |
International Wire Transfer Fees | None as long as it is sent through Mercury’s structure |
ATM Fees | No charge for out-of-network ATMs, although operator fees apply; free access to Allpoint ATM network (55,000 locations worldwide) |
Cash Deposited | Cash deposits not accepted |
APY | N/A |
*Mercury is a business fintech platform backed by FDIC-insured Evolve Bank & Trust. |
When to Use Mercury Business Checking
- Business owners who are comfortable with an online-only bank and don’t need their business bank to have a physical location
- Companies with reserve funds of more than $250,000 and wanting to earn interest on those funds
- Businesses looking for a fee-free business banking experience
Mercury is a great choice for a tech or startup company looking for an online business checking account. Its checking and savings accounts are free, with no minimum deposit or balance requirements. Most businesses incorporated in the US are eligible for an account, except sole proprietorships and trusts.
You can also get a $300 cash back bonus if you spend $2,000 on your debit or credit card within the first 90 days of account opening. Mercury recently added a credit card product that offers 1.5% cash back and unlimited virtual cards.
Both physical and virtual debit cards are available with your Mercury account. You can withdraw money from one of the 55,000 Allpoint network ATMs for free. Mercury doesn’t charge for out-of-network ATM withdrawals, but you will have to pay third-party operator fees.
This bank even has a Treasury account, which you can request once you have $250,000 in your Mercury accounts. Money in the Treasury account can earn up to 4.44% APY, with rates changing weekly.
Mercury has great software integration with QuickBooks and Xero and other integrations with Shopify, Stripe, Zapier, Amazon, and PayPal. It also has a great perks page that allows you to advertise deals for your business through the Mercury homepage.
One major drawback is its inability to deposit cash. Outside of its credit card product and venture capital term loan program, no standard lending products are available. Go to the Mercury website for more information.
Found: Best Digital-only Provider for Self-employed Professionals
What We Like
- No monthly fees, minimum balances, account fees, and sign-up fees
- Excellent expense tracking on both its desktop and mobile apps
- Helps you track tax write-offs and gives you real-time tax estimates
Drawbacks
- Cannot currently deposit checks made out in your business’ name
- Doesn’t accept cash deposits
- Cannot purchase checks or issue them from the app
Features
- Provides a business debit Mastercard, which allows you to track expenses and receive purchase alerts
- Debit cards can be frozen in the Found app
- Desktop and mobile apps
- Connect to accounting software and payment apps, such as Cash App, PayPal, Square, Venmo, and eBay
- Integrated bookkeeping allows you to categorize expenses, customize invoices, capture receipts, and set custom rules
- Track tax write-offs in the app
- View your tax estimate update in real-time
- Pay your taxes directly from the app
- Send your Schedule C directly from the app
- Customer service via email, online form, and support guides on the website
Found Bank Business Checking Terms
Required Opening Deposit | None |
Required Balance Minimum | None |
Transaction Limit Before Fees | None |
ACH Fees | None |
Monthly Fees | None |
Domestic Wire Transfer Fees | Free incoming wires; outgoing wires unavailable |
International Wire Fees | Wire transfers unavailable |
ATM Fees | Found doesn’t charge for ATM usage; third-party ATM fees will likely apply |
Cash Deposited | Cash deposits not accepted |
APY | N/A |
*Found is a business fintech platform backed by FDIC-insured Piermont Bank. |
When to Use Found Business Checking
- Freelancers looking for detailed expense tracking, as Found has integrated bookkeeping to help you categorize expenses, capture receipts and set custom rules.
- Business owners looking for tax preparation assistance since Found allows you to track tax write-offs, view your tax estimate update in real time, pay taxes, and send your Schedule C directly from the app
- Self-employed business owners sending frequent invoices, as Found has unlimited free invoicing, which can be sent directly from the app and customized for your company
Found is an excellent choice for freelance and self-employed small business owners. It is a great all-in-one product that allows you to use bookkeeping integrated into the app to manage your finances.
You can categorize expenses, capture receipts, and set custom rules with its app. Found also provides unlimited free invoicing. Those invoices can be customized with your company’s logo and colors. You can accept payment for those invoices through payment apps.
The provider doesn’t charge for any ATM withdrawals, although out-of-network ATM withdrawals would be subject to third-party fees. However, Found doesn’t list its ATM network on its website. Additionally, it does not allow you to make cash deposits and deposit checks in the app.
If you need to deposit a check, you can use the Ingo Money app. Checks deposited through that app can be accessed in your account immediately for a fee or in 10 days for free. The major drawback is that the check must be made out in your name, and not your business name, for Ingo Money to accept it.
Found offers fee-free business checking options without transaction limits, has robust tax tracking and preparation software, allows you to complete and send your schedule C directly from the app, and lets you pay your tax bill directly. One drawback is only incoming domestic wires are available.
Overall, the provider is a good option for a self-employed bank account. If detailed expense tracking and out-of-network ATM withdrawals are essential and you don’t need to deposit cash or checks, it is probably the right choice. Visit the Found website for more information.
Oxygen: Best Digital-only Provider For Cash Back on Debit Card Purchases
What We Like
- Rare fintech that offers both personal and business banking
- No monthly fees or transaction fees
- Single-use virtual cards available for online shopping provide extra security
Drawbacks
- No free cash deposits
- Only one authorized user allowed per account
- No physical locations
Features
- Nationwide LLC creation available through the Oxygen App
- 5% cash back rewards on everyday purchases with your debit card
- Ability to create single-use virtual cards to keep your business bank account secure
- Business savings product available with 1% APY on balances up to $20,000
- Multiple personal checking accounts available
- Free Oxygen Visa Business Debit Card and an unlimited amount of virtual cards
- Integrations with QuickBooks, Xero, Plaid, and Gusto
- Customer service via a toll-free phone number, email, social media support, and online help articles
Oxygen Business Checking Overview
Required Opening Deposit | None |
Required Balance Minimum | None |
Transaction Limit Before Fees | None |
ACH Fees | None |
Monthly Fees | None |
Domestic Wire Transfer Fees | No fees incoming; outgoing unavailable |
International Wire Transfer Fees | N/A |
ATM Fees | None at Allpoint ATMs; $3 out-of-network domestically; $5 out-of-network internationally |
Cash Deposited | $4.95 fee per transaction, available through Green Dot retail locations; can also deposit through link to external bank via Plaid |
APY | N/A |
*Oxygen is a business fintech platform backed by FDIC-insured The Bancorp Bank. |
When to Use Oxygen Business Checking
- Freelancers and creatives who would like to have their personal and business finances with the same provider, as it is one of the few fintechs to offer both personal and business banking
- Businesses with frequent debit card purchases, as it offers 5% cash back rewards on debit card purchases
- Businesses that might want to transition to an LLC, as it allows you to do that through its app
With 5% cash back rewards on all debit card purchases, Oxygen is a great choice for small businesses that make regular debit card purchases. It is a digital-only bank geared toward freelancers and creatives, among other small businesses. It is one of the few fintechs that provides personal and business banking options.
In addition, it targets business owners who may be looking to incorporate their businesses. It offers nationwide LLC creation in the Oxygen app powered by CorpNet, Inc. There are fees involved, which is one of the few services with a fee.
It also has a business bank account with no monthly fees, minimum balance requirements, and transaction limits. Deposits can be made through Green Dot locations for $4.95 per transaction and by in-app mobile check capture, via ACH or Plaid, from an outside account. Oxygen was awarded the 2021 Best Overall FinTech Mobile App by the FinTech Breakthrough Awards.
You can also open a business savings account, which earns 1% APY on balances up to $20,000. However, it has no outgoing and international wire transfers, and you cannot set up multiple users in the app. It is only open to a single sign-on per account, which puts it behind many other fintechs in this guide. For more information, visit the Oxygen website.
How We Evaluated the Best Small Business Checking Accounts
To find the 10 best small business checking accounts for you, we considered dozens of providers. We looked at fees charged, interest earned, potential rewards, minimum deposit and balance requirements, ATM fees and network size, online and mobile banking features, and other financial products offered by each provider.
Reasons to Consider a Business Checking Account
- Keeps your business and personal finances separated: To maintain the accuracy of your business’s financial records, it’s essential to keep your business and personal finances separate.
- Helps you build your business’s credit: When you open a business bank account, credit bureaus begin tracking your business’ credit history.
- Lets you assess your business’s performance more easily: With your income and expenses running through a dedicated account, it becomes easier to analyze your business’s performance.
- Lends credibility to your business: Customers will see your business as more trustworthy when payments come from a business account.
- Simplifies tax season: Using a business checking account helps maintain a record of income and expenses, simplifying your tax preparation at the end of the year.
- Helps you build a banking relationship: It can be beneficial if you need business financing in the future.
What You Need to Open a Small Business Checking Account
Though each provider above may require different documents to open a business bank account, here is a general list of what you will need:
- Employer identification number (EIN) or Social Security number if you’re a sole proprietor
- Fictitious business name certificate or doing-business-as (DBA) certificate
- Business formation documents
- Organization documents, including your ownership agreements
- Business licenses
- Government-issued photo ID, such as a passport or driver’s license
Best Small Business Checking Accounts Frequently Asked Questions (FAQs)
Who has the best business checking account?
Thanks to waivable monthly fees, Bank of America has the best entry-level business checking account. You get up to 200 free monthly transactions and can deposit up to $5,000 for free each month. Bank of America also allows you to access your Dun & Bradstreet business credit score within the app.
What banks offer free business checking accounts?
The best free business checking accounts should have either no or easily waivable monthly fees. Banks that don’t charge monthly fees include Bluevine, U.S. Bank, First Internet Bank, Novo, Mercury, Grasshopper, and Oxygen. Banks with easily waivable monthly fees are Bank of America, Chase, and Capital One.
Does my business need a checking account?
If you own and operate a business, you need to have a business checking account. Here are the benefits of having a business checking account:
- It keeps your business and personal finances separate
- It helps you build your business credit
- It lets you assess your business performance more easily
- It lends credibility to your business
- It simplifies tax season
- It helps you build a banking relationship
- It allows you to accept credit card payments
How do I open a business checking account?
To open a business checking account, follow these six steps:
- Step 1: Gather the required documents.
- Step 2: Select the right bank account.
- Step 3: Find the best bank.
- Step 4: Learn the account’s costs.
- Step 5: Open the account online or in person.
- Step 6: Deposit funds.
Bottom Line
All of the banks and financial technology companies listed here offer outstanding business checking products. Some providers even have full-service banking while others specialize in certain aspects of business banking. Understand what you need from a business bank, compare the offerings and fees of each provider in this guide, and choose the bank that best meets your business’s current and future needs.