If you have recently started a business, the first thing you need is a suitable bank account. The types of accounts vary by location, so it is best to make an appointment with an account manager at your local bank in order to compare business bank accounts with full information. With all the different types of business accounts available, how do you know what the best business accounts are and how a small business bank account can not only be used as a business operational tool, but also as a means to make your money work for your business.
To be able to make a fully informed decision, it is highly recommended to get business banking account information from at least three banking institutions. Different banks have different names for their business accounts but on closer scrutiny on what each bank is offering, the features are either the same or very similar. To compare business bank accounts, having specific details available will help choose a small business account more accurately.
Function
When you have all of the information on hand, the first question to ask yourself is, What function do I want my business banking account to serve? This is a critical question to ask when choosing the best business account. Although banks largely offer the same services, their systems are not the same and are usually configured to what the main focus of the bank is, for instance savings, operations, finance, commercial and so forth. When you have this answer, filter through the data given by the separate banks and discard any business account information for those accounts that do not serve your primary need.
Fees / Terms
The next step to compare business bank accounts is to check what fees are charged on the account and at what intervals charges are deducted from your account i.e. per transaction, daily, weekly, monthly, quarterly. This is usually a telling step because there can be significant variations between fees charged by different banks and for different types of business banking accounts. It is very important to know what terms and conditions are associated to the business account compared with other banks.
After you compare business bank accounts, you can then choose which small business bank account will best meet the needs of your business.