If you’re serious about running and growing your small business, you’ll want to set up a business bank account as soon as possible so you can start managing your finances (and, eventually, apply for small business loans).
But when you start searching for a bank to work with, you’ll quickly realize that finding the right small business bank is easier said than done: It takes more than just knocking on the door of the bank nearest your business. It can be overwhelming to sort through the fine print on bank websites and really figure out if they can offer the products and services your business truly needs.
Lucky for you, we’re here to do some of the heavy lifting for you—we’ve scoured the banking landscape and put together this definitive guide on small business banks. First, we’ll cover the 3 best banks for small businesses in 2019, and then tell you how to find the best bank for your company.
1. Wells Fargo
Wells Fargo has about $2 trillion in assets, making it the third-largest bank based on total deposits. Despite that huge number, Wells Fargo doesn’t just think big picture: they’re also very focused on small businesses. Here’s why Wells Fargo makes the list of the best banks for small business:
Wells Fargo Small Business Lending
We’re willing to bet that, at some point in your small business’s lifetime, you’ll need to take out a small business loan to finance its growth. And when that time comes, you’ll be glad you have an established relationship with a bank, so you can take advantage of bank loans’ excellent terms.
Unlike most traditional banks, Wells Fargo offers more than just medium-term loans and lines of credit. They also offer short-term loans, SBA loans, andequipment finance, making their lending program incredibly flexible for small business owners.
Depending on the type of loan you’re going for with Wells Fargo, your small business can secure anywhere from $10,000 to $100,000 in financing, at a starting interest rate of 6.75%. And because you’ll already have a business account open with the bank, your business loan application for any of the Wells Fargo small business loans will be fast and easy.
Here’s why we think Wells Fargo lending really stands out: It’s the most active SBA lender in the United States. Just take a look at the numbers: In 2016 alone, Wells Fargo issued 6,587 loans from the SBA 7(a) loan program—lending a total of $1,363,161,100 to small businesses.
So, if you find yourself wanting an SBA loan down the line, you’ll be happy to have a bank account with Wells Fargo—aka “American’s leading small business lender”—in place.
Wells Fargo Small Business Checking Accounts
There are four different Wells Fargo business checking accounts, which vary according to your business’s size, needs, and banking capacities: Business Choice Checking, Platinum Business Checking, Simple Business Checking, and Analyzed Business Checking.
The business checking account you choose to use will depend on what kind of small business you run and your needs. But let’s run through the details of Wells Fargo’s most popular and versatile small business checking account: Business Choice Checking.
Wells Fargo Business Choice Checking includes:
- 200 transactions per month
- $7,500 in cash deposits per month
- Text and mobile banking
- $14 monthly service fee, which is easily waived with one of several qualifying transactions
The Business Choice Checking account is a particularly good fit for small businesses that deal largely in cash, because you can make cash deposits of up to $7,500 a month with no extra charge. (That’s almost twice the amount other big banks will give you!) Once you’ve hit the $7,500 limit, there’s a charge of 30 cents for every extra $100 in cash deposits.
Extra Banking Features at Wells Fargo
Wells Fargo offers robust lending and checking accounts for small business owners. But you can also take advantage of the bank’s additional features, like:
- Full-service payroll solutions, employee benefits, human resources, and tax programs
- A variety of merchant services and new payment technologies to run your business more efficiently
- Business credit cards
- Wells Fargo small business insurance coverage to protect your business, assets, and employees
- Manage your account online with Wells Fargo online banking. Wells Fargo offers a variety of online tools that can help you keep on top of your business expenses, deposits, and cash flow.
Wells Fargo also allows you to integrate your QuickBooks accounting softwareso you can easily and safely maintain all your financials online. But if you prefer to do your banking in person, you can visit one of Wells Fargo’s 6,000 locations nationwide.
The Bottom Line on Banking With Wells Fargo
Across the board, Wells Fargo is particularly small business-friendly. It’s an especially good option for small business owners who are looking for a strong lending program from their bank. As an account-holder with Wells Fargo, you can easily apply to lots of different loan products with low rates.
2. Chase Bank
With $2.39 trillion in assets, Chase has the biggest banking presence in the United States. In fact, Chase serves almost half of all American households. But Chase isn’t only focused on the consumer—it also has a significant small business banking program. Here’s why Chase bank might be the best bank for your small business.
Chase Small Business Lending
Chase offers a variety of loan options for small business owners, like term loans, lines of credit, SBA loans, commercial real estate loans, and equipment financing. While Chase is starting to offer more alternative lending products, it’s best known for those traditional small business loans.
And, for qualified borrowers, Chase small business loans can fetch huge amounts of capital. With a Chase line of credit, you can get as little as $10,000, or as much as $500,000 for your small business. And if you want an SBA loan, you have three options: A classic SBA 7(a) loan, an SBA Express term loan, or an SBA 504 loan.
Chase Small Business Checking Accounts
With its three Chase business checking accounts—Total Business Checking, Performance Business Checking, and Platinum Business Checking—Chase can easily meet your business’s checking needs.
Each account is designed for the different stages in a business’s lifetime. The one that’s best suited for small businesses, though, is probably the Chase Total Business Checking account.
Some fundamental features of the Chase Total Business Checking account include:
- A monthly service fee of $12 when you enroll in Paperless Statements (or $15 for paper statements)
- Service fee can be waived if you maintain a $1,500 minimum daily balance in your account
- 200 free transactions per month
- You can deposit $7,500 in cash each month without a fee.
Extra Banking Features at Chase
If Chase’s established small business lending program and business checking accounts aren’t reason enough to sign up for account, here are some other advantages to consider:
- Some of the Chase business credit cards are some of the best on the market
- Both human resources and payroll programs for businesses of any size. With the full-service payroll program, you can manage your payroll (and payroll tax filing) completely online
- Access to a Chase merchant services account that can make your checkout process as streamlined as possible
- A Mobile Banking system that’s easily accessible from any mobile device. One of the best features of Chase Mobile Banking is QuickDeposit, where users can scan and deposit checks electronically without visiting a branch
- 5,300 branches and 15,500 ATMs countrywide
- When you sign up for Chase’s small business banking, you’ll be given access to free business debit cards for you and your employees.
The Bottom Line on Banking With Chase
Your small business will absolutely benefit from the well-established Chase lending program and their several low-cost business checking accounts. But we think Chase really shines with their small business credit card. In particular, Chase offers some of the most substantial cash back and rewards points earnings on business credit cards.
3. Capital One
Although Capital One has substantial consumer and commercial banking programs, their comprehensive suite of financing solutions proves that they’re equally devoted to small business owners.
Capital One Small Business Lending
Capital One wants to be a partner for your small business, not just your bank. When you need to grow your business and smooth out your cash flow along the way, Capital One has a few different loan products for you to consider.
There are a variety of Capital One small business loan options: you could take out a working capital line of credit, equipment or business auto loan, business installment loan, or SBA loan from Capital One. With a wide variety of loan products available, they’re sure to meet any financing need that comes up as your business grows.
Capital One truly prioritizes your banking relationship. If you have an established Capital One business account and apply for a loan with the bank, you might qualify for what Capital One calls “relationship-based” business loan rates. Simply put, Capital One might give you a lower-cost loan if you already have an established relationship with the bank.
Capital One Small Business Checking Accounts
Capital One offers a straightforward small business checking account system. You have two Capital One business checking options to choose from: the Spark Business Basic Checking and the Spark Business Unlimited Checking.
Here’s what you can expect with a Spark Business Basic Checking account:
- Unlimited transactions each month
- Deposit up to $5,000 in cash each month with no extra fee
- $15 monthly service fee, waived if you maintain the minimum 30- or 90-day average monthly balance of $2,000, or, if you have two other Capital One products open
- Free business debit card, online bill pay, and online and mobile checking
It’s hard to find a business checking account that has unlimited transactions and a high number of free cash deposits. So, if you run a business that has a high number of monthly transactions and cash deposits, banking with Capital One is a smart choice.
The Capital One Business Advantage Savings Account is a stellar choice for a first savings account for many businesses, too, which requires a minimum initial deposit of just $250.
Extra Banking Features at Capital One
When you sign up for a business account with Capital One, you’ll find that their Spark Business program has a lot to offer. Here are some of the features you can take advantage of:
- Capital One has a pretty great array of business credit cards, and they’re easy to sign up for if you already have a business account open.
- Spark Business has a comprehensive online banking program, so you can do all your banking online
- If you use Capital One’s online banking, you’ll have access to different cash flow management tools that can help you analyze and control your business’s cash flow