You can open a business bank account once you’ve gotten your federal EIN and when you are ready to start accepting or spending money as your business. Common business accounts include a checking account, savings account, credit card account, and a merchant services account.
Open a business account when you're ready to start accepting or spending money as your business.
A big part of setting up your new business is deciding how to manage your business finances, and getting a business checking account. Open a business account when you're ready to start accepting or spending money as your business. A business bank account helps you stay legally compliant and provides benefits to your customers and employees.
Opening an account
Most business bank accounts offer perks that don’t come with a standard personal bank account.
- Protection. Business banking offers limited personal liability protection by keeping your business funds separate from your personal funds. Merchant services also offer purchase protection for your customers and ensures that their personal information is secure.
- Professionalism. Customers will be able to pay you with credit cards and make checks out to your business instead of directly to you. Plus, you’ll be able to authorize employees to handle day-to-day banking tasks on behalf of the business.
- Preparedness. Business banking usually comes with the option for a line of credit for the company. This can be used in the event of an emergency, or if your business needs new equipment.
- Purchasing power. Credit card accounts can help your business make large startup purchases and help establish a credit history for your business.
Find an account with low fees and good benefits
Some business owners open a business account at the same bank they use for their personal accounts. Rates, fees, and options vary from bank to bank. Shop around to make sure you find the lowest fees and the best benefits.
Here are things to consider when you're opening a business checking or savings account:
- Introductory offers
- Transaction fees
- Minimum account balance fees