Open a Business Bank Account

Last updated on 06 May 2025

Open a Business Bank Account | Best Incorporates

Establish a Business Bank Account

Discover the easy methods to establish a bank account for your LLC and maintain order and compliance in your company finances.

1 Establish a Business Bank Account for Your LLC

Running an LLC makes opening a specific business bank account absolutely necessary to create appropriate financial separation between your personal and business accounts. Legal protection, tax compliance, and business credibility development all depend on this separation as much as it is good practice.

Many business owners mistakenly conduct business transactions using personal accounts, which could compromise their limited liability protection and cause tax season problems. A separate business account helps to preserve the "corporate veil" safeguarding your personal assets.

Why Your LLC Should Have a Business Bank Account

Legal Protection

Keep personal and business finances apart to safeguard your LLC's legal protections and avoid "piercing the corporate veil."

Taxation Legality

Keeping business transactions separate will help to simplify tax preparation by allowing easier tracking of deductible expenses and accurate tax return preparation.

Business Credibility

Improve your professional image with clients and suppliers, create business credit, and create financial credibility for next funding requirements.

Highlighted Business Banking Choices

Best for Digital-First Companies

No minimum balance, $0 monthly charge

Insured by FDIC up to $3M via partner banks

Strong API for bespoke integrations

Physical and virtual debit cards

Treasury accounts offering competitive yields

4.5/5

Ideal for freelancers and small enterprises

No minimum balance, $0 monthly charge

Refunds all global ATM fees

Works with QuickBooks, Stripe, Shopify, and others

Incoming wires, mailed checks, and free ACH transfers

Strong mobile app with digital receipt capture

4.0/5

Types of Business Bank Accounts

Business Check Account

The main account for daily business operations, handling normal transactions, deposits, and payments.

Handle deposits and payments among other routine transactions.
Includes check writing ability and debit cards
Access to online and mobile banking
Could have monthly costs and transaction limits
Balances earn little to no interest

Business Savings Account

A complementary account for keeping reserve funds, emergency savings, and tax or future investment setting aside.

Make money on your company reserves
Few monthly transactions
Perfect for emergency funds and tax reserves
Could call for least balance to prevent charges.
Interest rates more than checking accounts

Selecting the Appropriate Business Bank Account

Evaluate Your Company Requirements

Think about your transaction volume, cash deposit requirements, average balance, and whether you require extra services such merchant services or international transfers. Based on their size, sector, and operations, various companies have varied banking needs.

Examine Fee Structures

Consider ATM fees, cash deposit fees, transaction fees, and monthly maintenance charges. Many banks provide methods to forgo monthly fees should you keep a minimum balance or satisfy other criteria. Determine the overall cost depending on your anticipated banking activity.

Assess Digital Banking Features

Strong online and mobile banking features are absolutely vital in the digital age. Seek for banks with simple digital platforms, mobile check deposit, bill pay, account notifications, and QuickBooks or Xero integration.

Think about accessibility and convenience

A bank with easy branch sites would be good if you want in-person banking or need to deposit cash. Should you travel often, seek banks with large ATM networks or ATM fee refunds to prevent additional expenses.