The Top 10 Online Business Bank Accounts

The biggest perk of using Square Banking is the almost instantaneous access you’ll get to funds from sales made via Square, using the Instant Transfer option. Another perk is a discount when you use your Square debit card to make purchases from other Square sellers. This discount is presented as a special offer that varies.

Your funds can also earn interest when you bank with Square; the current advertised APY is 1.75%.

Once you’re doing business within Square’s financial network, you’ll also be eligible to access loans through Square Funding. Financing through Square is so easy you won’t even have to apply for it; you’ll receive loan offers automatically and be approved immediately, with no lengthy application or credit check.

Square offers almost fee-free business banking. When you use Square Banking, you’ll pay no monthly fees, no wire transfer fees, no ATM fees, no bill-pay fees, and no foreign transaction fees. One of the few fees you may encounter is a 1% charge for ACH transfers.

Square doesn’t charge ATM fees, but users are liable for third-party ATM fees. Square does not offer ATM reimbursements like other banks on this list (see Novo if ATM reimbursements are a must for your business).

Square Banking is available to US-based businesses operating as sole proprietorships. To use Square Banking, you must use Square POS or Square Online for sales. You won’t face income verification or a hard credit check that can affect your credit rating.

• Square Banking is only available to US-based businesses
• You must use or plan to use a Square account to process payments for in-person or online sales
• Square transaction maximums keep it from being a good fit for businesses that need to move $10K+
• New Square sellers could be limited to a $2,000 transfer limit
• Square isn’t great if you anticipate a lot of ACH transfers

The biggest perk of Live Oak is its APY up to 3.50%. That’s well above the national average for savings, and there’s no minimum balance requirement.

But that’s not the best Live Oak Bank can do for APY. Certificates of deposit are available for business customers with terms ranging from six months to five years. APYs on CDs depend on the term increases, and reach up to 4.10%.

Live Oak also offers SBA loans, US Department of Agriculture loans, and commercial loans to eligible small businesses, making it a great banking option for businesses looking to keep all of their finance management and funding services in one spot.

You won’t pay any ongoing monthly maintenance fees for a Live Oak savings account. Overall, fees with Live Oak are low or fairly avoidable, minus two glaring exceptions — wire transfer fees and foreign transaction fees.

There are no fees for checks paid or deposited or for ATM, ACH, or debit transactions, but there are a few one-off fees to be aware of:

• Stop Payment Fee: $25
• Wire Transfer Fees: $0-$19

The other big fee is a 3% charge for foreign transactions, which rules Live Oak out as a viable international business option.

While Live Oak doesn’t give a set overdraft or insufficient funds fee, its business terms and conditions state that it can charge such fees at its discretion.

Live Oak offers free access to the AllPoint ATM network. Live Oak won’t charge you for using an out-of-network ATM, though the ATM owner might. Live Oak does not offer ATM reimbursements for out-of-network ATMs.

Live Oak Bank offers business banking services to US citizens and permanent residents with valid Social Security Numbers. Live Oak business accounts are available to corporations, LLCs, sole proprietors, partnerships and limited partnerships, professional corporations, associations, and nonprofits.

• Live Oak doesn’t require minimum balances for savings accounts but does require a minimum balance of $2,500 for certificates of deposit
• Live Oak offers up to $250K in FDIC insurance
• Dormant accounts will be closed after 24 months of inactivity

Grasshopper offers 1.00%-3.55% APY and 1% cash-back on qualifying purchases, making it a highly competitive rewards-checking option for businesses.

Grasshopper also offers several helpful features, including bill pay, invoicing, digital card controls, and basic cash flow management. Grasshopper also stands apart with its API banking.

Grasshopper also has numerous lending and venture capital options for startups and small businesses.

Grasshopper has one of the most diverse offering of loan types for online banks, including SBA 7(a) loans, SBA 504 loans, commercial real estate loans, term loans, lines of credit, working capital lines of credit, and end-of-life facility loans. Grasshopper is also an SBA Preferred Partner.

If you want an online bank with plenty of lending options so you don’t have to go outside of your banking institute for business funding, Grasshopper is worth considering.

The biggest downside of Grasshopper is that it doesn’t offer cash deposits.

Grasshopper has no monthly fees or minimum account balances. You also won’t find any ACH transfer fees. There is a $100 minimum deposit to open your Grasshopper account.

While Grasshopper doesn’t charge incoming domestic wire transfer fees, wire transfer fees range from $0-$25. You may encounter third-party ATM fees as well.

There are other miscellaneous one-time fees to review before signing up for Grasshopper. The good news is that Grasshopper is transparent with fees.

To open a Grasshopper Innovator Business Checking account, you’ll need to be a US citizen or permanent resident who is over 18. You also can’t be in certain high-risk industries.

• Grasshopper doesn’t offer cash deposits
• Grasshopper doesn’t work with the following high-risk industries: adult entertaining, gambling, illegal substances, virtual currency, weapons or firearms

Mercury offers 1.5% cash-back credit cards with a wide range of discounts and promotional offers from software partners.

Mercury recently launched its own Mastercard credit card, called IO. Mercury also helps connect users with pitch opportunities and advisors. Mercury Raise is an event with 500+ investors, Future of Fintech brings together top investors to talk about fintech trends, and Series Tea brings together experts in investing, pitching, and more.

Mercury charges almost no fees and is transparent when it does. You won’t find any monthly or ongoing fees, foreign transaction fees, or domestic and international wire transfer fees. You will have ATM access without any fees, although another network may charge you if you use anything other than Allpoint machines.

Mercury does charge some uncommon fees, including for mass payments through the Mercury API, treasury management fees, and 1% foreign conversion fees.

Mercury is open to US-based businesses, particularly tech startups. Unfortunately, sole proprietors and trusts are not eligible to use Mercury. Some businesses in certain international markets may also be eligible.

You’ll need an EIN to apply, and you’ll have to share your Social Security Number for identification purposes, but you won’t undergo a credit check. Some high-risk businesses are also excluded, such as adult entertainment, gambling, and marijuana businesses.

• Mercury charges a 1% foreign transaction fee
• Sole proprietors & trusts are ineligible
• Mercury doesn’t support certain high-risk industries

Bluevine offers an interest rate of 1.5%-3.7%, which is currently well above the national average. If you’re looking for additional rewards, such as a signup bonus or points when you use your debit card, you won’t find them with this business checking account.

Bluevine Checking also supports up to five sub-accounts to help you keep your business finances organized.

Bluevine banking customers are also eligible for financing from Bluevine lines of credit. Bluevine offers a revolving line of credit on six- and 12-month repayment plans. (Note: Bluevine does not accept high-risk businesses.)

Bluevine bank accounts are free from monthly maintenance fees, transaction fees, and ACH transfer fees (unless you want same-day ACH transfers). There are no charges for in-network ATMs.

Depending on if you are a Standard Bluevine Checking account holder or a Premier account holder, you may also find the following fees (some fees are lower or waived for Premier holders):

• Wire transfer fees: $0-$25
• Cash deposits: $4.95
• Foreign Transaction Fee: Varies

While Bluevine does have more one-time fees than some other online banking options, we appreciate how straightforward it is to find all of Bluevine’s fee information.

You can apply for a Bluevine Business Checking account online. These are the requirements listed online:

• A small business owner who’s aged 18+
• US citizen or permanent legal resident
• Verifiable address in one of the US states or DC (US territories are not included)
• No high-risk industries

• Bluevine doesn’t accept any high-risk industries
• Bluevine only accepts businesses with a verifiable US address
• Bluevine doesn’t have monthly fees but charges more additional fees (wire transfer, cash deposit, out-of-network ATM fees, etc.) than other online banks
• Bluevine offers two checking account plans: Standard and Premier; you can save a significant amount on certain fees with the Premier plan
• Card purchases have a $10,000/day max

In addition to the high APY up to 1.50%, you’ll receive unlimited 1% cash back rewards on qualified purchases made using your Tailored Checking debit card.

This account offers unlimited automatic rebates on ATM fees, accounting integrations, and an Autobooks connection to create and send digital invoices and take payments online.

While LendingClub’s checking rewards stand out, its savings rewards are also worth mentioning with up to 3.35% APY.

LendingClub offers traditional small business loans and SBA loans. LendingClub is even a Small Business Administration Preferred Lender. You can access small business loans from $5,000-$500,000 or apply for an SBA 7(a) or 504 loan starting at $400,000.

LendingClub’s savings account requires a minimum deposit of $100. Both LendingClub’s Savings and LendingClub’s Tailored Checking accounts have a $0-$10/month monthly fee.

You’ll also pay $0-$40 for wire transfers. The plus side is that LendingClub is very transparent with its fees.

LendingClub has a foreign transaction fee of 0.90% (plus 0.20% currency conversion fee). There’s also a stop payment fee of $25.

There are no fees on in-network ATMs, and LendingClub offers an unlimited ATM rebate for out-of-network ATMs (most other online banks either don’t reimburse ATM fees or have a limit on reimbursements so this perk is a huge plus).

LendingClub’s business banking services are available only to legal US residents. You’ll need to share your company’s legal name and DBA, EIN, or tax ID as well as your address.

• LendingClub is not a good fit for businesses that send a lot of wire transfers, as the wire transfer fee is quite high compared to other online banks
• You have to have a minimum balance of $500 to avoid monthly fees (while many online banks don’t require a minimum balance, LendingClub’s minimum is still much smaller than most traditional banks or hybrid banks like Bank of America)
• If you have a $0 balance for more than 3 months, LendingClub may close your account “without further notice”

There’s a lot to like about Bank of America business accounts, but if you’re looking for a high APY, this won’t be the right choice for you. This bank’s savings accounts offer an interest rate of 0.01%-0.04%, which is well below the national average and far below other online banks like Live Oak and Bluevine.

To qualify for BoA’s Preferred Rewards, you need a three-month minimum combined average daily balance of $20K or more. Benefits include reduced or eliminated fees, interest boosts, discounts on lines of credit, and more.

Bank of America Business Banking offers credit cards, loans, and lines of credit to keep your business growing.

Higher fees are more common with traditional banks than with online options, and Bank of America is no exception. To avoid monthly fees on your Bank of America business account, you’ll need to maintain a minimum balance.

Bank of America fees cost $0-$29.95/month (waivable).

Bank of America business accounts also include these additional fees:

• Cash Deposits: Varies
• Excess Transaction Fees: $0.45/each
• Foreign Transaction Fees: 3%
• Overdraft & NSF Fees: $10-$35

Bank of America Business bank accounts are available to US businesses of all types and sizes. Each type of business, from sole proprietorships to corporations, has a different list of documentation required, according to industry standards. Applications may be completed online or in person at a local branch office.

• Bank of America monthly fees can only be waived if you have a minimum balance of $5,000 – $15,000 depending on the account type
• BoA has higher fees than other online banks
• BoA has a lower APY than other online banks
• BoA is not a good fit for businesses with many foreign transactions because it has such a high foreign transaction fee

Found’s free account includes unlimited transactions, multiple virtual cards with custom limits, automated expense tracking and receipt capture, business reporting, unlimited custom invoices, and 1099 contractor payments.

You’ll also be able to save automatically for taxes, see real-time tax estimates, and auto-generate tax forms. You can link Found to Venmo, Cash App, PayPal, QuickBooks, Square, and more. And if you set up direct deposits, you can access funds up to two days early for free.

Found Plus has up to 1.5% APY and adds custom bookkeeping categories, transaction tags, photo receipt capture, and other time-saving bookkeeping perks. You’ll also get priority customer support.

Found does not offer access to credit.

There are no hidden fees with Found banking. Pricing ranges from $0-$19.99/month.

While Found is an online bank, you can still deposit cash at certain retail locations, which is a great new addition since the last time we updated this post.

Found is aimed specifically at freelancers and self-employed workers. You can apply online for fast approval and account setup.

• Found is designed specifically for freelancers and the self-employed (some microbusinesses or side hustles could benefit as well)
• Found does not offer business savings (but does have categories that you could use to organize “savings”)
• Most of the bookkeeping, expense management, and tax tools that set Found apart are only on the paid plan
• You can receive domestic wire transfers with Found but can’t send wire transfers

Not only does Lili offer many accounting and bookkeeping features, it doesn’t drop the ball when it comes to the banking side of things either. Lili has minimal fees, high APY, and solid rewards.

Lili Savings accounts can earn up to 3.65% APY. This APY is really generous compared to the national average and to other online banks that sometimes have lower balance caps. Lili also offers a cash-back Visa debit card.

Lili has a joint account access option for businesses with multiple owners and covers all overdrafts up to $200.

Lili also links with popular payment apps, including Venmo, Cash App, and PayPal. Lili also supports cash deposits at various retail locations.

While Lili lets users receive wire transfers, you can’t send them (but there are unlimited ACH payments). Lili doesn’t offer any loan or line of credit services.

Lili earns high points for being transparent with its fees.

There are no foreign transaction fees, no incoming wire transfer fees, and no ACH fees. There’s an unlimited number of transactions allowed. Not only does Lili not charge overdraft fees, it’s the only online bank I’ve seen that covers overdrafts up to $200.

Lili’s plans range from $0-$35/month. While we generally look for a $0 monthly fee from online banks, Lili’s monthly fees make a lot of sense when you factor in the fact that you’re paying for accounting features as well.

The only banking fees you are likely to encounter are cash deposit fees and third-party fees on out-of-network ATMs.

Lili has very few eligibility requirements. You must be 18+, located within the US, and have an EIN.

• While Lili offers basic bookkeeping and accounting features, the software isn’t full-fledged accounting software, so you will still need a separate accounting software for certain features (Lili does integrate directly with QuickBooks to make this easier)
• Lili Bank only operates in the US
• Lili doesn’t offer domestic wire transfers
• Lili is not a good fit for businesses needing large cash deposit amounts, as cash deposits are capped at $9K/month

With no APY interest-earning options to offer, Novo takes a different approach than its competitors and offers partner discounts.

You’ll find discounts and credits with Gusto, QuickBooks, HubSpot, Segment, Zendesk, Snapchat Ads, Salesforce Essentials, Homebase, and more.

Novo does not offer its customers access to credit. You’ll find no loans, lines of credit, or credit card offers with Novo. However, you will find a built-in invoicing feature.

Novo offers a referral program that delivers a cash deposit to current customers who refer new customers who make a qualifying deposit. Novo’s referral program maxes out at 10 qualified accounts.

Novo’s pricing is straightforward: You won’t find any of the common fees many other fintechs and banks charge. That includes no monthly, minimum balance, transaction, or hidden fees.

The other big one is Novo offers free ACH transfers. There’s no maximum ACH limit. You won’t find any wire transfer fees because Novo doesn’t offer customers the ability to send wire transfers (only receive them) and relies on ACH instead.

You’ll also pay 0% in foreign transaction fees and ATM fees. When you use your Novo card at an ATM, you may be charged a fee by the ATM owner, but Novo reimburses ATM fees up to $7/month.

The only fees you might encounter are uncommon or avoidable ones, including $27 fees for each overdraft or returned payment. There is a $0 opening balance deposit required as well.

Novo is a fintech company powered by its bank sponsor, Middlesex Federal Savings F.A., and works with all types of US-based businesses except those classified as high-risk. Specifically, businesses dealing in cryptocurrency, privately owned ATMs, marijuana, cannabis, gambling, crowdfunding, and money services are excluded.

A valid US mailing address and Social Security Number or EIN are also needed to qualify.

• Novo does not offer cashier’s checks
• Novo doesn’t offer APY
• While you can receive wire transfers, Novo doesn’t provide wire transfers to its customers (it does offer free ACh transfer thought)
• Novo has a low ATM withdrawal limit
• Valid US mailing address required