6 Best U.S. Banks for Small Businesses

Given that we’re talking to small and medium-sized businesses regarding business savings and business checking accounts, we relied on material that was tailored to their needs. So we concentrated on financial products that are better suited to individuals just getting started, whose cash flow may not yet be in the six-figure range.

No compensation was received by ROI INVESTORS in exchange for inclusion on this list. In addition, we would like to remind you that we do not have access to your financial information or cash flow. Choosing the most appropriate financial institution for your small company will be determined by your unique circumstances and requirements.

Here are our top 6 picks.

How We Determined the Best Banks

ROI ADVISERS investigated the small business products and services offered by over 30 national, regional, and internet financial institutions. Our experts looked at the number and types of small business loans available, small biz checking account opportunities and fees, any bonus services available (such as lines of credit, payroll/benefits services, merchant services, and small business insurance), and the total number of branches available.

A guide on Selecting a Bank for Your Small Business

Here are some considerations to bear in mind as you weigh your options:

Take into consideration both short- and long-term investment objectives. Choosing a bank that will not be able to meet your business requirements after a year is a bad idea if you believe your company’s needs will change dramatically in a year.

Consider your preferred method of banking. Are you going to limit your search to just brick-and-mortar financial institutions, or will you include online financial institutions as well?

Search for the product services and features that are most essential to you while making your purchase. If you have determined that a corporate checking account is your primary focus, you should limit your search to discover the finest checking account choices for your company. For individuals who wish to bundle a number of goods at the same time, finding an institution that can offer those services may be difficult to locate.

Don’t forget to include in fees. Before signing up for any business account, be sure you fully understand the costs that will be charged and that you have considered all of your choices.

Begin, but do not stop, your research with your own banking institution. According to a 2019 survey conducted by BAI, a nonprofit research and training organization for company owners, 79 percent of small-business owners indicated that they used the same supplier for both their personal and corporate financial services. According to the same research, however, entrepreneurs have a net promoter rating of 24, which evaluates customer happiness, which is lower than that of ordinary banking customers, who have a net promoter score of 35, according to the same study. While it may be tempting to begin your research with your own bank, it may be worthwhile to look at other financial institutions as well.

Wells Fargo

Small company owners who like to do at least part of their banking in person will find Wells Fargo to be an excellent option. The bank has more than 5,200 branch locations and more than 13,000 ATMs in 37 states and Washington, D.C., making it the biggest branch network in the United States.

Apart from that, Wells Fargo is a leading provider of business loans, with competitive financing alternatives, including some that provide advantages to current clients. The bank has been one of the most prominent SBA 7(a) lenders in the country, having granted most SBA 7(a) loans of any conventional federal bank in the country as of September 2020.

Key Features

• Make a choice between three basic business checking account choices and many extra alternatives depending on your geographic region and kind of company operation.

• Account holders are entitled to a limited number of fee-free transaction accounts and cash deposits, which are provided with each account.

• With the Initiate Business Checking account, monthly service costs begin at $10 per month (which is waived if you maintain a minimum daily balance of $500 or an average ledger balance of $1,000).

• All accounts come with access to online, mobile, and secure banking services as standard.

• By calling the National Business Banking Center, you may get extended customer service hours at your convenience.

• Business checking accounts may be established online, via phone, or in person at any of the bank’s branches.

• There are two types of company savings accounts to choose from, as well as bank deposits.

• Three business credit cards are available, including Wells Fargo Business Secured Credit Or debit card, which is one of the few secured credit cards offered for the purpose of reestablishing or rebuilding corporate credit.

• Business lines of credit as well as SBA loans, such as SBA 7(a) loans and SBA 504/CDC loans, are both available.

• Commercial real estate finance as well as financing for medical practices are available.

• Wells Fargo Merchant Services in conjunction with Clover Point of Sale systems.

• Through ADP, clients may access payroll services.

Pros

• There are 8,700 branches plus 13,000 ATMs in the country.
• Four distinct business checking accounts, plenty of flexibility
• There are a variety of options for completely eliminating costs.
• Benefits of linking a business credit card to a business checking account, such as cash back, are available.

Cons

• The interest rates on savings accounts are lower than the national average.
• Customers have experienced problems with the mobile app.

Best Suited For:

Small companies in need of a comprehensive suite of financial services need look no further.

Chase Bank

And for good reason: Chase has repeatedly proved to be one of the best banks to work with when it comes to small companies. In addition to being a well-known and reputable bank, it has been one of the top five highly prominent SBA lenders in the United States. Despite the fact that Chase does not have physical locations across every state, you may bank online or even on your mobile from anywhere in the world.

In order to better serve its corporate customers, Chase offers a variety of services. As a starting point, you’ll have access to a number of various checking accounts, with Chase Business Complete Banking accounts serving as the most suitable choice for small companies. There is a $15 monthly service charge associated with the account, however this price is waived if you maintain a daily level of more than $2,000, which is a modest amount when compared to other business checking accounts in the industry.

Alternatively, you may avoid paying the charge by completing $2,000 in monthly transactions using a Chase Ink® Business Card, generating $2,000 in deposits from qualifying Chase Merchant Services transactions, or connecting a Chase Private Client Checking account to your Chase Ink Business Card. All of Chase’s additional corporate checking accounts have greater minimum balance requirements and are intended for larger organizations that maintain larger balances.

Despite this, Chase’s products and services do not end at checking accounts. Also available are a variety of business credit cards from the bank, including the Ink Business Preferred Credit Card. This credit card is presently ranked number one on SmartAsset’s reviews of the top credit cards for small businesses. You’ll also have accessibility to fraud safeguards and merchant services via Chase, which will help you operate your company more efficiently.

Key Features

• Choose from three different types of business checking accounts.

• Each account comes with an unlimited number of fee-free electronic deposits, a restricted number of fee-free nonelectronic deposits, and a cash deposit feature.

• Business Complete Checking account service costs begin at $15/month for the Business Complete Checking account.

• All accounts come with a free corporate debit card as a courtesy.

• Accessibility to Chase internet banking, bill pay, and mobile banking services is provided.

• The Chase Business Complete Checking account comes with Chase QuickAcceptSM, which enables you to take credit card payments via the Chase mobile application.

• Utilize Chase QuickDepositSM for check depositing needs, and Chase QuickPay® in conjunction with Zelle® for receiving and sending payment needs.

• Customer support is available via phone 24 hours a day, seven days a week.

• There are two types of company savings accounts to choose from, and also certificates of deposit.

• Ink offers a variety of business credit cards that earn rewards, as well as airline-specific credit cards.

• Chase Merchant Services is a provider of point-of-sale systems as well as online payment processing.

• Business loans, such as SBA loans, credit lines, equipment finance, and commercial property financing are all options available to entrepreneurs.

• Accounts receivables are handled by Chase Collection Services.

Pros

• More than 4,700 branches and more than 16,000 ATMs are available.
• The largest bank in the United States with the most assets
• Many different kinds of company bank accounts, with a great deal of flexibility
• Excellent smartphone application and website.
• There are many options for avoiding costs.
• Customer support is available 24 hours a day, seven days a week.

Cons

• The only way to avoid monthly maintenance costs is to have a balance of at least $1,500 in your account.
• There is a $200 signup bonus available for Chase Total Business Checking, however it is a tiny amount and tough to get.
• The amount of free transactions monthly is limited to 100 per month.

Best Suited For:

Small businesses that want a reputable bank with excellent credit card options need look no further.

Bank of America

Small companies may benefit from a variety of excellent banking alternatives provided by Bank of America. With Bank of America, you’ll have access to bank accounts, credit cards, and financial education tools tailored to small businesses. For example, the bank is well-known for offering companies in particular sectors, like healthcare or agricultural, with tailored financing options.

Business Advantage Fundamentals Banking and Business Advantage Relationship Banking are the two types of business checking accounts offered by Bank of America. It should come as no surprise that the Fundamentals account is more beneficial for smaller companies, while the Advantage program has greater minimums and is intended for larger, more established enterprises. There are monthly maintenance costs associated with both accounts, which may be avoided if a specific minimum credit or spending criteria is met. There are no differences between the Fundamentals and Advantage accounts, except that the Advantage account offers certain extra advantages, such as easy QuickBooks connection.

Bank of America operates locations in almost every state in the United States, but you may simply bank online or through your smartphone. As a consequence, it has achieved the status of a true national bank. BofA also offers ancillary business benefits like as tax planning and point – of – sale (POS) services to its customers.

Key Features

• Digital banking services provided by Bank of America

• There are many options for waiving monthly fees.

• Existing accounts may have additional accounts added to them without incurring monthly costs.

• Debit cards for company and staff use are issued to checking account holders.

• Customers who open a savings account will get deposit and ATM cards.

• Make net purchases of $250 or more using a Bank of America debit or credit card.

• Join the Business Advantage Relationship Incentive programs to earn points for your business relationships.

• There is a limit of 200 transactions, beyond which the price each transaction is 45 cents.

• There is no charge for the very first $7,500 in cash deposits, after which there is a fee of 30 cents per $100.

• Wire transfers received from outside the country

• It is possible to incorporate a Business Investment Savings Account without incurring any extra monthly costs.

• Account management is available for $15 per month.

Pros

• Introductory incentives include $100 cash back for making an initial payment of $1,000 or more in your first 2 months, $50 cash back for paying 2 or more bills online within your first 60 days, and $300 cash back if you’re accepted for a small business credit card and expend $3,000 in your first 90 days. Additional terms and conditions apply.
• There are many branches, which is beneficial if you need to make regular cash deposits or prefer face-to-face contact over other modes of communication.
• There are many options for getting your monthly charge removed, including making $250 in transactions using your debit card each month.

Cons

• After the first $7,500 in free cash deposits each statement cycle, the rate drops to 30 cents per $100 after that. This may be problematic if you choose Bank of America because of the simplicity with which you may make cash deposits.
• The account minimums to be eligible for free checks are quite large, at $3,000 each day, which is a lot of money. There are, however, alternative options for getting your costs waived.
• Some online reviewers have expressed disappointment that Bank of America’s customer service provides less attention to corporate customers than they would have liked to have seen.

Best Suited For:

Businesses seeking access to a large number of branch locations

PNC Bank

PNC Bank only has branches across about half of the United States, with the majority of them situated in the eastern and central regions of the nation. However, the bank offers excellent business services as well as robust online and mobile capabilities, making it an effective choice even for individuals who do not live close to a branch. Organizations who want to finance with PNC will have access to a wide range of products and services, including checking and savings accounts, lines of credit, merchant services, and a variety of loan options.

PNC offers four different business checking solutions: Business Checking, Business Checking Plus, Analysis Business Checking, and Treasury Enterprise Plan. Business Checking is the most basic of the choices. A monthly cost is charged for each account, but all fees, with the exception of the Analysis Business Checking account, are waived.

Each of the three additional account choices (Checking, Checking Plus, or Treasury Enterprise Plan) is tailored to the needs of a certain kind of company (small, medium, or big). In addition to a specific amount in free money deposits each month, the bank provides a certain amount of free operations to each account each month. The Analysis Company Checking account, on the contrary, is created with a strong emphasis on accounting and the simplification of business banking operations.

PNC’s services go well beyond simply checking accounts and savings accounts. If you choose to partner with PNC, you will have access to a variety of small biz loan and finance products. Some loans may not need collateral, whereas others are intended for particular reasons, such as the purchase of real estate or the purchase of equipment. You’ll also have the option of opening business credit cards, using the bank’s merchant services, and earning annual percentage yields on a number of business savings products, among other things.

Key Features

• Optional account types: When you use PNC Bank business checking, customers are not restricted to a single kind of account.

• Incentive programs for new customers: With it’s own business checking accounts, PNC provides a number of unique benefits that stand out from the competition.

• ATMs and branch locations: PNC Bank customers have access to over 18,000 in-network ATMs and 2,300 branch locations throughout the United States.

• Rewards for using a business debit card: When you use your PNC corporate debit card, you’ll enjoy membership to the PNC Purchase Payback scheme, which enables you to receive cash back on purchases you make on a regular basis.

• Mobile banking, online banking, and bill pay are all included with all PNC business checking accounts, but the bank also provides optional add-ons that may be used to further personalize your account’s features.

Pros

• You may select from four basic business checking account choices, as well as a variety of extra solutions tailored to your particular sector and requirements.
• Enjoy a $200 or $500 sign-up incentive depending on your gender.
• The ability to use over 18,000 in-network ATMs and roughly 2,300 branch locations throughout the United States.
• For the first 3 months after account creation, there are no monthly fees
• Having a PNC business debit card gives you access to free mobile banking, internet banking, bill pay, and the PNC Purchase Repayment program, which allows you to earn cash incentives for spending money with your corporate debit card.

Cons

• There are no free business checking profile alternatives available.
• There are a limited number of fee-free transactions available; there are no waived incidental costs.
• Exorbitant outgoing wiring costs — $90 for local transfers, $125 for global (same currency), and $110 for foreign (different currency) (cross currency).
• Only digital or over the mobile apps are accepted; in order to actually establish an account, you must visit a branch location.
• The availability of this service is determined by the state.

Best Suited For:

Businesses that need a large number of banking alternatives.

Regions Bank

Regions Bank is a bank headquartered in Alabama that offers both personal and commercial banking services to its customers. Its business checking accounts are divided into five categories: Simple Checking, Advantage Business Checking, Business Interest Checking, Business Checking, and Not-for-Profit Checking. Simple Checking is the most basic of the accounts, while Advantage Business Checking is the most advanced. You will be able to avoid paying a monthly fee on all of these accounts, with the exception of the Not-for-Profit Checking account, if you follow the instructions below. And to open a new account, you just need $100 to get started.

The Regions Bank offers four different kinds of corporate savings accounts if you’re seeking to earn a little additional interest on a few of your holdings. These vary from Business Savings account to the Business Premium Money Market account, as well as a variety of other kinds of business certificates of deposit (CDs). While the rates of interest at Regions Bank are somewhat modest, they typically pay out better than the rates you would get if your money stayed in the checking account.

Regions offers a wide range of additional services to its business customers in addition to its banking products. Credit cards for businesses, secure and unprotected financing, credit lines, asset loans, cash handling solutions, merchant account, payroll and benefit services, and a variety of other services are available. As a result, Regions is among the most financially sound small biz banks on our list.

During the final quarter of 2020, Regions Bank was among the biggest SBA loan lenders in the United States, according to the Small Business Administration. In fact, both in terms of loan volumes and loan dollar amount, the bank is among the top ten largest in the country.

Key Features

• There are a variety of account choices. A variety of business checking accounts are available from Regions Bank, enabling you to choose the account that best suits your requirements.

• In-person services are available. Regions Financial Corporation has a significant physical presence in the Southeast, the Midwest, and Texas, with about 1,500 branches and 2,000 ATMs. If you reside in one of those locations and prefer to do your banking business in person, a Regions business checking account may be a suitable match for you.

• Banking on the go. Regions Bank business accounts provide with a variety of digital banking features, including as bill pay, mobile deposits, and online money transfers, among others.

Pros

• There are many different kinds of business checking accounts to select from, each with its own transaction limitations and fees.
• Online banking services such as recurring billing and account transfers, as well as accessibility to in-person banking services (including savings on safe deposit boxes).
• Certain accounts provide you the option of using the bank’s iTreasury software for your digital services, which provides extra account management capabilities such as enhanced fraud protection as well.

Cons

• In-person locations are only accessible in 16 states at this time.
• To open a bank account, you must speak with a bank representative.
• The interest rate on an interest-bearing account is determined by the amount of money in the account.
• It is only by earning at least $500 in transactions on a Regions business debit card that you may avoid paying the monthly charge for LifeGreen Enterprise Simple Checking.

Best Suited For:

Businesses that are only getting started.

Capital One

Compared to some of its rivals, Capital One’s business banking offerings are usually more extensive than theirs. Starting with Spark Business Banking, the bank provides a portal through which its corporate bank accounts may be managed. You’ll also have access to customized assistance and advice when you use Spark Business Banking services. Business products from Capital One include checking accounts, savings, lending, lines of credit, as well as other financing alternatives for small and medium-sized enterprises. Even better, the bank offers a wide range of credit and debit cards and merchant resources to help you keep your company running smoothly.

For business checking accounts, clients may select between the Spark Business Basic Checking account and the Spark Business Unlimited Checking account, with the latter being the more expensive option. Each account comes with an unlimited number of transactions, a monthly service charge that is waived, and access to online and mobile banking. Nonetheless, although the Spark Business Unlimited Checking account may be more suitable for big corporations than small companies, the Spark Business Basic Checking account may be more appropriate for smaller enterprises. Specialized checking accounts, such as escrow accounts, are also offered for particular purposes.

The Business Advantage Savings account, which is offered by Capital One, is designed for small businesses. Capital One will also apply for lines of credit, which will be available in the near future. The usage of certain credit cards has the ability to provide you and your company with a plethora of very significant benefits provided they are used properly. Interestingly enough, one of Capital One’s company credit cards is on SmartAsset’s list of the best small business credit cards.

Key Features

• Spark Business Checking accounts are available in two different configurations.

• Each account comes with an unlimited number of fee-free transactions.

• In the Spark Business Basic Checking account, monthly service costs begin at $15 per month and may be eliminated with an average daily balance of at least $2,000 over the previous 30 days or the previous 90 days, whichever period is higher.

• With Spark Business Unlimited Checking, you may make cash deposits without incurring any fees.

• Free online billing pay, digital check deposit, as well as web and mobile banking are all available with both accounts.

• Business savings accounts and term deposits are among the options available.

• Loans for small businesses, comprising cash flow credit lines, equipment and automobile loans, real-estate term mortgages, company installment loan programs such as 7(a) loans, SBA 504/CDC lending, and other more specialized financing alternatives are available.

• Worldpay provides Capital One Merchant Services, which are used by the company.

• Cash management options such as fraud prevention and detection, accounts receivable, accounts payable, and liquidity management are all available to customers.

• Online sub-accounting is now possible via the Escrow Express platform.

Pros

• If you make upwards of 200 transactions per month (the maximum number of free transactions allowed by most banks), a Capital One profile may be able to save you money on transaction fees.
• As a result of the bank’s collaboration with Allpoint, there are approximately 39,000 free Capital One compliant ATMs available throughout the globe.
• The process of drawing on your savings account for big purchases or unexpected expenses while maintaining a zero minimum balance offers you more flexibility.
• Capital One also creates competitive financial market accounts for managing your company’s cash reserves and savings.

Cons

• Capital One’s monthly service fee is $15, which is more than the fee charged by many other commercial banks. The bank’s monthly minimum to avoid the fee is $2,000, which is also more than the minimum charged by other financial institutions.
• Although Capital One has around 700 branches globally, you may have difficulty locating any brick-and-mortar Capital One branch in your area.
• Capital One does not accept online applications for small business checking accounts, so you’ll have to come in and fill out an application in person. This may be challenging due to the limited number of bank outlets.
• The amount of free cash deposits each month is restricted to $5,000. If you run a company that relies on cash, this may spell problems for you.

Best Suited For:

Business owners that place a high importance on a straightforward banking experience above everything else.

Final Thoughts

The great news is that small company owners have a wide range of choices when it comes to choosing a bank. On the other side, having so many options may make it more difficult to narrow down your options and choose what would work best for your business.

Fortunately, your decision does not have to be permanent, and you are not obliged to do all your financial business with a single institution. Furthermore, if you are dissatisfied with the interest rates or customer service provided by your present institution, you have the option to switch to a different bank and attempt to find one that is a better match for your requirements.