The 10 Best Business Bank Accounts In 2023

The big 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 available 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 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.

With no interest-earning options to offer, Novo takes a different approach than its competitors. Look for a 6% cash-back offer on travel arranged through Booking.com as well as $20,000 in fee-free Stripe payment processing and $3,000 in Google Cloud credits. You’ll also find discounts and credits with Gusto, QuickBooks, HubSpot, Segment, Zendesk, Snapchat Ads, Salesforce Essentials, and Homebase.

Novo offers a referral program that delivers a $30 cash deposit to current customers who refer new customers that make a qualifying deposit. The new customer receives the same deposit. Novo’s referral program maxes out at $330 in bonuses.

Novo does not offer its customers access to credit. You’ll find no loans, lines of credit, or credit card offers with Novo.

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. You’ll also pay $0 in foreign transaction fees and ATM fees. That last one is important because Novo does not operate its own ATM network. When you use your Novo card at an ATM, you may be charged a fee by the ATM owner. Never fear; Novo will refund all ATM fees users incur.

The only fees you might encounter are uncommon or avoidable ones, including $27 fees for each overdraft or returned payment.

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.

You can apply online for a Novo account. Sole proprietors can expect to present standard documentation, such as personal identification and a DBA certificate if you have one. Larger businesses will need to submit more documentation, such as articles of incorporation or partnership documents, if applicable. You’ll also need a valid US mailing address and Social Security Number or EIN.

Live Oak Bank is currently offering a $300 cash bonus to new customers who open a small business checking account and perform qualifying activities. This offer is available for a limited time.

Live Oak business checking accounts include a savings account with an APY of 4%. 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, starting at 2.0% and going as high as 5%.

You’ll be connected with a dedicated onboarding guide when you open Live Oak’s Tidal Small Business Checking Account. This guide serves as a single point of contact and answers questions while helping you set up bill pay, ACH, mobile wallet, the mobile app, online banking, and more.

Live Oak offers SBA loans to eligible small businesses. Loans start at $150,000.

You’ll find no minimum balance requirements with a Live Oak Tidal Small Business Checking account. If you’d like to set up a Live Oak certificate of deposit, you’ll need a minimum balance of $2,500. However, you won’t pay any ongoing monthly maintenance fees for a Live Oak business bank account.

There are no fees for checks paid or deposited or for ATM, ACH, or debit transactions. Incoming wires incur a $15 fee, with $19 charged for outgoing wires. Live Oak offers free access to the AllPoint ATM network and will not charge you for using an out-of-network ATM, though the ATM owner might.

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.

Bluevine offers one remarkable perk: an interest rate that’s currently well above the national average on balances of $1-$100,000. However, 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 banking customers are 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 almost completely fee-free. You will pay no recurring fees, including monthly fees, transaction fees, and transfer fees. The only Bluevine fees you may encounter are a $2.50 out-of-network ATM fee, a $15 outgoing wire fee, and a $4.95 fee for each $500 in cash deposits.

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

NorthOne operates a referral program, awarding a $50 credit to current customers who invite other small business owners to join NorthOne Bank via a unique referral code. Both parties receive $50 once the referred business joins and completes some required transactions.

NorthOne offers its business banking customers integrations with numerous apps, including eCommerce platforms, such as Shopify, Etsy, and Amazon, as well as other business software, such as QuickBooks, Gusto, ADP, and more.

Although NorthOne offers subaccounts called Envelopes that you can use for savings, you won’t earn any interest with NorthOne.

NorthOne does not offer access to credit.

NorthOne charges business banking customers a $10 monthly service fee that cannot be waived. In exchange, users receive unlimited free transactions. That includes ATM access and mobile check deposit. You will pay $15 whenever you send or receive a domestic wire transfer, but there are no additional fees with NorthOne for ACH payments, deposits, transfers, purchases, or app integrations.

Business banking customers should be prepared to verify their name, address, date of birth, and other identifying information, including a copy of their driver’s license.

Mercury doesn’t offer overwhelming rewards but does have enticing perks, including a wide range of discounts and promotional offers from software partners. Since Mercury is designed for startups, these perks may be valuable.

Mercury customers also have access to a special savings vehicle, Mercury Treasury, that delivers a high APY. However, you’ll need a minimum of $250K in your account to participate. Mercury currently advertises an annual yield of up to 4.89% on its Treasury accounts.

You’ll also receive special undisclosed “celebration” rewards when your company hits specific milestones, such as raising funds, going public, or launching a special feature.

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 foreign conversion fees.

Mercury is open to US-based businesses, particularly tech startups. Unfortunately, sole proprietors and trusts are not eligible to use Mercury. 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.

Axos is a direct bank and not a fintech partnering with a bank. That makes it possible for Axos to offer a variety of checking and savings accounts as well as lending options, so you can decide what will work best for your business.

Axos offers different types of savings accounts, with a top APY of 1.01% (on business interest checking accounts). That compares favorably to the current national average of 0.39% for savings. The rate you earn depends on your balance, with the highest rates reserved for accounts below $25,000.

Additionally, Axos offers a $200 bonus for new business bank accounts if the business was formed after June 1, 2020. You’ll be eligible for a $100 bonus if your business is older.

Axos offers a wide range of financing and credit options to customers. These include commercial lines of credit, term loans starting at $250K, real estate lending, equipment financing, and more. Axos does not offer an in-house credit card, however.

Although Axos marketing materials say it’s a no-fee bank, a close read of the fine print reveals that’s not quite true. For starters, most Axos checking accounts come with monthly maintenance fees that are waivable if you maintain a minimum average balance of $5,000 or more. Fees start at $10/month.

Axos users will also pay foreign transaction fees of 1% and wire transfer fees of $7 and $15 for outgoing and incoming wires. Outgoing international wires cost $50.

All US-based business types are eligible to use Axos banking services. That includes sole proprietors all the way up to corporations.

While there’s a lot to like about Bank of America business accounts, 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 just 0.01%, well below the national average on savings of 0.39%. Savers who enroll in Preferred Rewards for Business can bump that APY to a max of 0.04%.

To qualify for 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.

You can waive the $16 monthly fee for the Business Advantage Fundamentals Banking account by maintaining a $5,000 average balance. The Business Advantage Relationship Banking account has a $29.95 monthly fee that you can avoid by maintaining a $15,000 average monthly balance.

Bank of America business accounts include these additional fees:

• Cash Deposits: Free cash deposits are capped at either $7,500 or $20,000/month (after that, you’ll pay $0.30 for every $100 in cash you deposit)
• ATM Fees: If you go out-of-network, you’ll pay a fee of $5 or 3% of the transaction up to a maximum of $100
• Foreign Transaction Fees: $3% of the US dollar amount
• Overdraft & NSF Fees: $35 each

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.