As a business owner, you rely on a lot of people for support every day: employees, vendors, customers and, yes, bankers. The right banking relationship can provide more than just a place to deposit and withdraw your money. It also can offer the products and support you need to help operate and grow your business.
Regardless of the size, age or type of their business, it’s important to separate personal and business finances by opening business banking accounts. These accounts range from simple business checking and savings accounts to business credit cards, lines of credit and merchant services. In this article, we’ll discuss each type of account, its benefits and what you should consider when choosing the best option for your business.
Types of business bank accounts
Business checking account – A business checking account provides a way for you to write checks from your business, accept checks to your business and separate your personal and business finances. Many checking accounts offer additional business services. For example, the Chase Business Complete Banking℠ account comes with built-in card acceptance using the Chase Mobile® app and fraud protection for your business and customers.
Business savings account – A business savings account allows you to save for longer-term goals while earning interest on your money. Many businesses open savings accounts to have a cushion for unexpected expenses, put money away for quarterly or annual taxes and protect against overdraft fees. Most banks have limits on the number of withdrawals you can make from a business savings account each month, so this type of account is typically not used for everyday expenses. Chase for Business offers different business savings accounts based on your business’s needs and monthly balance.
Business credit cards – Business credit cards allow business owners to keep personal and business purchases separate, protect their purchases and oftentimes earn rewards that can be reinvested in their businesses. These credit cards also extend your purchasing power by filling temporary gaps in cash flow. When it comes to business credit cards, there is no one-size-fits-all—it really depends on the business. Here are some questions to consider when choosing the best credit card for your business:
- Would you benefit from a card that offers higher rewards for travel?
- Do you spend more in certain categories like office supplies or technology services?
- Do you need a longer interest-free introductory period?
- Do you plan on making a large purchase in the next few months?
- Could you optimize your rewards and benefits by having more than one card?
Chase for Business offers a number of business credit card options that fit the bill for every business and every need.
Merchant services account – A merchant services account allows businesses to accept credit and debit card payments, Apple Pay and other contactless payments from customers, which is more important than ever. Chase for Business offers a number of payment solutions, including mobile payments that cater to today’s businesses and customers who are on-the-go.
What you need to open a business banking account
While banks may have different requirements depending on the type of business account you want to open, most requirements include the same core items:
- Employer Identification Number (or Social Security number if you’re a sole proprietorship)
- Business formation documents
- Ownership agreements
- Business license
Be sure to check the bank’s website for specific information.
Having a strong relationship with your banker can go a long way in growing your business. Speak with a Chase business banker to determine which business accounts are the best fit for your business.
For informational/educational purposes only: The views expressed in this article may differ from those of other employees and departments of JPMorgan Chase & Co. Views and strategies described may not be appropriate for everyone and are not intended as specific advice/recommendation for any individual. Information has been obtained from sources believed to be reliable, but JPMorgan Chase & Co. or its affiliates and/or subsidiaries do not warrant its completeness or accuracy. You should carefully consider your needs and objectives before making any decisions and consult the appropriate professional(s). Outlooks and past performance are not guarantees of future results.
You should carefully consider your needs and objectives before making any decisions, and consult the appropriate professional(s).
JPMorgan Chase Bank, N.A. Member FDIC. Equal Opportunity Lender, ©2022 JPMorgan Chase & Co.
Chase Business Complete CheckingSM has a $15 Monthly Service Fee unless you maintain a linked Chase Private Client CheckingSM account, are a current servicemember or veteran of our nation's military with a valid military ID or proof of military service, OR fulfill at least one of the following qualifying activities for each Chase Business Complete Checking account: 1) Maintain a minimum daily balance of at least $2,000 in your account each day of the statement period. The Minimum Daily Balance must be maintained as of the beginning of the day for each day of the statement period. 2) Spend at least $2,000 using your Chase Ink® Business Card(s) on purchases. The business legal name on Chase Ink® Business Cards and Chase Business Complete Checking accounts must be the same. Qualifying activity will be based on aggregated spending (minus returns or refunds) on each Chase Ink Business Card, for the prior monthly card billing period(s). 3) Deposit at least $2,000 into your Chase Business Complete Checking account from one or more of the following: Chase QuickAcceptSM transactions, and/or transactions from eligible Chase Merchant Services, and/or eligible InstaMed products. Eligible Chase Merchant Services products include only those where the transaction history can be viewed through Chase Business Online, Chase Connect®, or J.P. Morgan Access®. Eligible InstaMed products are InstaMed Patient Payments and InstaMed Patient Portal. All of these transactions are net of chargebacks, refunds, or other adjustments. The cutoff time for your eligible Chase Merchant Services account is the last business day of the checking account statement period at 7:00 a.m. Eastern Time. For example, if your monthly bank account cycle ends on November 30, your eligible Chase Merchant Services account cutoff for deposits into your Chase Business Complete Checking account is 7:00 a.m. Eastern Time on November 30. The cutoff time for your eligible InstaMed debits or credits is the last business day of the checking account statement period at 11:59 p.m. Eastern Time. For example, if your monthly bank account cycle ends on November 30, your eligible InstaMed account cutoff for deposits into your Chase Business Complete Checking account is 11:59 p.m. Eastern Time on November 30. Chase QuickAccept is only available within the Chase Mobile® app on select mobile devices and is not available in U.S. territories or outside the U.S. Usage of QuickAccept subject to eligibility, terms of service, monitoring and further review. Deposits are subject to limits, verification, fraud monitoring, and other restrictions. Message and data rates may apply.
This information is valid as of March 20, 2022, and subject to change.
Deposit and credit card products provided by JPMorgan Chase Bank, N.A. Member FDIC. Accounts subject to credit approval. Restrictions and limitations apply. Fees and product features are subject to change at any time. All accounts are subject to approval.
Chase Business Complete Banking is available in the United States, except Alaska, Hawaii, and U.S. territories.
Fraud Protection Services is available to eligible business checking accounts and consists of the Positive Pay Service (“Positive Pay Service” or “Check Protection Services”), the Reverse Positive Pay Service (“Reverse Positive Pay” or “Check Monitoring”), and the ACH Debit Block Service.