Best Small Business Checking Accounts for 2020
Finding the best small business checking account that fits your business requirements is critical for your day-to-day operations. Banks are not only great for creating a business relationship and allowing for access to business loans but help facilitate the everyday transactions that are crucial to your business.
Your business checking account can have a big impact on several aspects of your business, including everything from ATM Conveniences to your monthly transaction limit and customer service experience.
And that’s aside from the basic importance of separating your personal and business expenses, something that’s critical if you’re taking your operation seriously (and don’t want to get into any tax filing mess).
For that reason and more, we’ve taken the time to review the various small business checking account options in the industry to find the best of the best– so you don’t have to.
One business checking account can vary quite a bit in functionality, so it’s important not to jump into things with a particular bank as that can lead you into trouble later.
Take a look at our selections for the 7 best small business checking accounts and review the benefits of each to find an account that is the most perfect fit for your business.
The 7 Best Small Business Checking Accounts
While most small business checking accounts have roughly the same types of features, as mentioned above, there are notable differences within those features between different business accounts.
To discern the best business checking accounts, we looked at all of these features to not only find what we consider the best options but also include a useful variety of accounts that are stronger in some features rather than others.
So, there’s a quality option available for every need and preference.
Here are the 7 best small business checking accounts with a quick summary of their stand-out features:
- Chase – Great introductory bonuses (change over time) and low account fees.
- Capital One – Unlimited transactions, low monthly fees
- Bank of America – Frequent introductory bonuses, lots of physical locations
- U.S. Bank – Good for new small businesses just getting started
- Wells Fargo – Good customer service, account upgrade flexibility
- Navy Federal – Low monthly fees, great for military
- BBVA Compass – Low monthly fees, large extended ATM network
How we decided on the top small business checking accounts
To decide which small business checking accounts were the best, we took into account a variety of factors to make the most fair and informed decision possible.
Factors we considered when evaluating business checking account options include:
- Fees and fee structure
- Availability of ATMs and physical banking locations
- Introductory bonuses
- Account change/upgrade flexibility
- Special account features (various)
While each factor was taken into, some were weighed more heavily than others (fees and fee structure being one of the top, for instance) based on level of importance.
Having said that, let’s dig in a little deeper to examine the benefits of each account type.
1. Chase
As one of the largest banks in the United States if you already bank with Chase the simple fact of convenience could be a big reason to consider working with them.
However, aside from that it turns out that Chase is one of, if not the best, all-around option for a business checking account.
Pros
- Large banking network: More than 5,000 branches and 16,000+ ATMs.
- Just $25 to open an account
- $0 in fees with just $500 monthly deposits or a daily balance of $1,500
- $200 introductory bonus (not always available)
Cons
- 100 transaction limit means larger businesses or those with a high transaction quantity won’t be a good fit.
- Most Chase branches exist in larger markets such as major cities, so while their network is big you might still want to check your local neighborhood if live in a smaller market.
Why choose Chase?
If you have a low number of monthly transactions (<100), Chase’s low fees and large banking network is perfect for you.
To open a small business checking account with Chase, click here.
2. Capital One
Known mostly as a credit provider, Capital One is also the largest of the mostly “digital banking” options currently available, although it does have branches in some locations.
Capital One offers the best fee structure of all major business checking accounts available.
Pros
- Large ATM network: Nearly 40,000 ATMs nationwide means you have access to one of the largest ATM networks available.
- Capital One’s Spark Business Checking account offers an introductory offer of $250 for maintaining an average balance of $25,000 or $1,000 for maintaining an average balance of $100,000, both over a 6-month period.
- No monthly fee if you maintain a balance of $2,000
- No transaction fees
- Unlimited monthly transactions
Cons
- Not many branches: Capital One banking has just ~700 branches, so the chance of having a local branch is very slim.
- Only 2,000 of those 40,000 ATMs allow deposits. This means that, combined with their low branch count, it may be difficult or impossible for you to make easy cash deposits.
Why choose Capital One?
If you hate bank fees and cash deposits or branch visits aren’t high on your list of importance, Capital One is a great choice.
To open a small business checking account with Capital One, click here.
3. Bank of America
Like Chase, Bank of America is a common personal banking option, so it might be a good fit for you if you already bank with them.
Pros
- Large banking network: More than 5,000 branches and 16,000 ATMs
- More varied introductory offers: $350 for opening a Business Fundamentals account and meeting certain requirements, $100 bonus by depositing $1,000 within the first 60 days of opening a business checking account, $50 bonus for paying two different bills through bill pay, and an additional $200 if you’re approved for a BoA business credit card
- Lots of ways to wave the monthly fee: 1) spending $250 towards new purchases with your debit card 2) maintaining an average monthly balance of $5,000, average daily balance of $3,000, or combined $15,000 average monthly balance between all your linked Bank of America accounts.
Cons
- Higher fees
- Harder to wave monthly fee
Why choose Bank of America?
The main reason to go with Bank of America is convenience as BofA doesn’t really offer anything unique compared with other business checking accounts.
However, being the largest network of branches in the U.S., if convenience is important to you it might be your best option.
To open a small business checking account with Bank of America, click here.
4. U.S. Bank
While smaller than both Chase and BofA, U.S. Bank still has a fairly large network and some bright points for business owners looking for a quality checking account.
Pros
- Large banking network: Smaller than both Chase and BofA, U.S. Bank still boasts more than 3,000 branches and over 5,000 ATMs nationwide.
- No monthly fees with U.S. Bank Silver business checking account
- No cash deposit fee on the first $2,500 deposited each month
- Virtually no ATM fees (even out of network)
Cons
- Free accounts have their monthly activity restricted, so if you have a lot of transactions per month this probably isn’t the bank for you (or you’ll need to move up from the free Silver checking account).
Why choose U.S. Bank?
U.S. Bank rivals Capital One’s little to no fee structure, however, they also boast a large network of branches and ATMs which makes them the perfect combo if you have a local branch and/or ATM in your area.
To open an account with U.S. Bank, click here.
5. Wells Fargo
Another one of the largest banks in the United States, like Chase and Bank of America, if you already bank with Wells Fargo that could be a big deciding factor.
Pros
- Largest branch network: Wells Fargo has the largest number of physical branches in the nation at over 6,300 (and over 13,000 available ATMs).
- Convenient upgrades and lots of great features and investment options for growing business owners
- $14 monthly fee can easily be waived by qualifying for one of more than half a dozen factors
Cons
- Not as competitive a fee structure as Chase and other business checking options
Why choose Wells Fargo
If you’re quickly growing and you want a bank who will make it easy to move up to a better account and qualify for more powerful features seamlessly, Wells Fargo is a great option.
To open an account with Wells Fargo, click here.
6. Navy Federal
Navy Federal is an ideal option for anyone connected with the U.S. Armed Forces, including:
- Army
- Navy
- Marines
- Air Force
- Coast Guard
- Immediate family of branch member, and
- Veterans of all branches
If you qualify as any of the above, Navy Federal offers several perks which you can’t obtain from any other business checking option.
Pros
- No monthly fee
- No transaction fees
- Unlimited transactions
Cons
- You can only obtain a Navy Federal business checking account if you qualify as either a member of one of the above U.S. Armed Forces or are an immediate family member of a member.
Why choose Navy Federal?
Navy Federal is the ideal choice for Armed Forces members. If you’re a member, or you’re an immediate family member of a member, Navy Federal is very hard to beat.
To open an account with Navy Federal, click here.
7. BBVA Compass
BBVA’s unique business checking features make it stand out from other options on this list for several reasons, but it’s low number of physical branches could be a breaking point for some business owners.
Pros
- No monthly fee
- Free access to over 40,000 ATMs
Cons
- Only 650 branches
- Transaction fees are limited to just 2 transactions for free accounts
Why choose BBVA Compass?
If you’re lucky enough to have a BBVA Compass branch in your area (or don’t depend on having a physical branch), we consider them one of best business checking accounts because they have low (or no) monthly fees and access to a huge number of ATMs for free.
To open an account with BBVA Compass, click here.
Remember All banks are not created equally and many are better in certain situations than others. Whether you are looking for a relationship to secure business lines of credit or small business loan. Or are simply looking for convenience each has its own special niche.
