In this article, we’re discussing what to look for in a bank for small business.
Feel free to use the table of contents to jump ahead to the sections most relevant to you.
Table of Contents
- What to Look For in a Bank for Small Business
- Factors to Consider When Choosing a Bank for Your Business
- Opening Business Bank Accounts
- Frequently Asked Questions
- Ready to Explore Your Options?
What to Look For in a Bank for Small Business
When choosing a bank for small business, you should look for a bank that can support your current and future business banking needs. This might include payment processing, transactions from multiple countries, subsidiary accounts, remote account management, and much more.
Importantly, every business is different and so are the banking requirements they have. So, it’s important to look for a bank that can match your business instead of looking for very specific criteria.
In the next section of this article, we’ll take a closer look at what you should look for in a bank for small business.
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Factors to Consider When Choosing a Bank for Your Business
When choosing a bank for your business, there are several factors that all owners should consider, these include:
- Current business requirements
- Future business requirements
- Bank requirements
We place bank requirements last because the most important factors relate to what your business actually needs. In fact, if you just search for a bank that matches your business requirements, you will likely find a number of banks that are suitable options.
Here are a few additional thoughts on what owners should look for in a bank for small business.
- Accepting of your industry or business activities
- Supports transactions to and from your key countries
- Willing to onboard owners with your citizenship and residency
- Requires deposit and balances you can meet
- Offers payment processing services
- In-person merchant services available (if needed)
- Reliable and responsive customer service
- Ability to manage account remotely
- Ability to send transactions remotely
- Fee structure you are willing to pay
Opening Business Bank Accounts
Opening business bank accounts is not as straightforward as it should be. This is especially true when dealing with foreign, non-resident, and offshore business operations. That said, there is a wide range of banking options available, even for these more difficult-to-bank scenarios.
But, finding banks that will accept more difficult-to-bank scenarios is not easy. That’s why our team created GlobalBanks IQ, to help business owners find and open the best accounts possible for their businesses in the least amount of time.
You can learn more about GlobalBanks IQ below, or continue reading to learn about specific account types and to get a few of the most common questions about small business accounts answered.
Business Checking Accounts
Business checking accounts are standard bank accounts that businesses use to carry out their day-to-day activities. This can include paying expenses, receiving payments from customers, paying bills, etc.
Business Savings Accounts
Business savings accounts are commonly opened at the same time as checking accounts. These accounts typically have lower minimums and offer the business a way to earn higher interest rates for cash that is not needed in the immediate term.
Frequently Asked Questions
Below are two of the most common questions we receive from people looking into what to look for in a bank for a small business. If you have further questions you would like answered, don’t hesitate to get in touch with us directly.
How Do I Choose a Bank Account For My Small Business?
To choose a bank account for your small business you need to consider the specific banking requirements of your business, the requirements that you are able and willing to meet, and the plans you have for your business in the future.
Ideally, when opening a new bank account, it should be with the view of a long-term relationship. In business, that means you need to find a bank that is able to grow with your business over many years. To do this, you should aim to open accounts with banks that can support your business now and in the future, both in terms of services but also jurisdictions.
What Are 3 Things to Consider When Choosing Where to Open an Account?
The 3 things business owners should consider when choosing where to open an account include the specific services their business needs, the country where the majority of their transactions are taking place, and the risk profile of both the business and the shareholders.
As you can see, these three considerations relate to the business not the bank. But, reflecting on these will help business owners find banks that are best suited to their needs and their business, which is key.
Ready to Explore Your Options?
If you would like assistance navigating your banking options at home or abroad, we can help.
You can access GlobalBanks IQ, our international banking intelligence platform, in just a few clicks. Unlock our bank database, individual bank profiles, account opening strategies and reports, banker scripts, and more.
But, if you want a 100% personalized account opening service that taps into our team’s expertise and provides direct banker introductions, you can get started with GlobalBanks Insider.
Of course, if you have any questions, please contact us directly.