How to Choose a Business Checking Account

Choose the right business checking account with confidence. Explore key factors like fees and benefits to find the best checking account for your business.
 

Starting a new business or side hustle is an exciting time, but it also comes with many important administrative tasks to remember. These can happen before you formally start your business, like opening a business checking account to receive payments from customers or clients.
 
Opening a business bank account is one of the first steps to take beyond your personal checking account, allowing you to manage your business earnings separately and more efficiently.

Why Open a Business Checking Account

No matter the size of your business, having a business checking account is essential. It’s important to keep your personal finances and your business money separate, both for legal purposes and to make your life simpler.

When it comes to filing taxes, having your business and personal income and expenses separated will make everything easier (especially if you’re filing them yourself). It also adds to the professionalism and credibility of your business when sharing payment details with customers or vendors, along with keeping your personal finances safe from potential fraud.

If you ever want to open a business credit card, having a business bank account will help legitimize your business and increase the likelihood of your application to be approved. You’ll also gain access to several benefits like a business debit card, online bill pay, business mobile banking apps, and business-specific products like cash management services.

Finding the Best Business Checking Account

As an independent community bank, First National Bank and Trust understands the needs of local businesses and that choosing your first or a new business checking account can be confusing. 

We offer several flexible choices when it comes to commercial checking accounts to meet the needs of your business, while our team is here to advise you on which option will be best for your specific situation.

Our one Business account is our simplest option, offering a free debit card and over 250 free debit or credit items each month. You’ll need a low minimum balance to open this account, but immediately benefit from our BaZing Business benefits and business services like direct vendor payments. This is the best small business checking account if you’re looking for a business checking account to get started and you want additional benefits.

The VIP Business Checking account is ideal if you’re growing your business, particularly if you’re a small to mid-sized company with a high volume of monthly transactions or if you’re looking to earn interest. Make up to 400 free debit or credit transactions and benefit from cyber liability protections², fraud protections like Positive Pay, and free tax filing. 

Our Solutions Checking account is perfect for partnerships and small corporations, with a low monthly fee and discounts on personal checking accounts. Additionally, this account includes travel discounts, making it especially beneficial for those who frequently travel for business.

Another good business checking account is Corporate Analysis Checking, offering you extensive insights into your business’s daily, weekly, and monthly spending habits. You’ll receive a detailed monthly analysis statement while also receiving earnings credits that can reduce or offset any fees you incur on your account.

Finally, our Club and Estate checking option is perfect for organizations who need business finances but manage these on someone else’s behalf. For instance, a local recreational club or benefits fund could use this account to collect membership dues or ongoing donations. If you’re settling an estate, this account can also be used to hold funds temporarily. 

This account has low fees, easy access, and streamlined management options to make multi-user management more straightforward and transparent. With low monthly balance requirements to avoid fees and a low minimum balance to open, the Club and Estate account can help you keep money better organized now and in the future.

Business Checking Add-Ons

If you’re working as a freelancer or starting a new side hustle, having a business checking account alone may be enough for your operations. However, as you grow or start a larger business, you may need additional cash management services to support your company and its needs.

Cash management is all about making the day-to-day running of your business easier. Administrative tasks can quickly add up, especially if you’re running a larger organization, so these tools are designed to make your business more efficient. Paying bills, depositing checks, and protecting your business from fraud are all essential functions of cash management.

Merchant services are also included in cash management, such as point of sales solutions, accepting digital payments, and even offering loyalty rewards to your customers. If you need somewhere to store bulk cash or coins, FNBT offers commercial vault and lockbox services to our business banking customers.

Eliminate time spent on funding additional accounts to cover your cash flow with zero balance accounts. These are ideal for maintaining a general operating account or separating money for payroll or accounts receivable. Sweep accounts can also be used to fund higher-yielding accounts while reducing administrative costs.

Make moving money and receiving it easier with ACH services and wire transfers. Remote deposit capture services make it quick and easy to deposit checks into your business checking account.

You can also benefit from our ACH data processing and Electronic Data Interchange (EDI) reporting, which helps reduce human error, processing times, and internal paperwork when reporting your payment activities. You’ll have immediate access to data in your online banking portal, making it easy for you to review activities whenever you like.

How to Open a Business Checking Account

When you’re ready to open a business checking account, contact the commercial team at First National Bank and Trust. We’ll help guide you on the best checking account for your business and talk through additional cash management services that might help. 

If you’re starting a business in the Southern Wisconsin and Northern Illinois area, we’re always happy to answer your questions at any stage of the process. Like you, we’re local and we want to see small businesses thrive in our community, so we’re always here to help.

Contact us today or visit one of our convenient locations in Southern Wisconsin and Northern Illinois to get started on your business banking journey. Visit us in Beloit, Clinton, Delavan, Darien, Elkhorn, Janesville, Argyle, Monroe, Rockton, Roscoe, Winnebago, Walworth, or Williams Bay. 
 

_{1 Subject to the terms and conditions detailed in the Guide to Benefits. 2 Insurance products are: NOT A DEPOSIT. NOT FDIC-INSURED. NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY. NOT GUARANTEED BY THE BANK. 3 Requires additional activation to begin.
BaZing or Gentreo are not a law firm or a substitute for a law firm or an attorney’s advice.}