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How to Choose the Right Bank for Your Small Business

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If you have a small business, there’s no shortage of things you need to keep up with.

For your banking services, you need a bank that offers reliable, helpful service that encourages your business to grow.

This helpful guide will show you how to choose a bank that will enhance your small business and give you the services you need for success.

Look for Tools That Make Life Easier

As a business owner, you need a bank that offers you a variety of helpful tools like online access and financial reports. A quality bank will provide you with a combination of technology and personal service.

Remote deposits are especially helpful since you can deposit money without having to drive to a local branch. This feature usually involves taking a photo of checks through the bank’s app, and the deposit usually appears within a few business days.

Time is money in business, so you need to be sure you select a bank that understands this principle. Online bill pay services make it easier for you to pay for overhead automatically so you need not worry about missing a payment.

Choose a bank that offers recurring payment services for free. This will ensure that you’re able to pay everyone from your suppliers to the landlord worry-free.

Make sure you have online access to your account from both a computer and your smartphone. This will help you see your balance and all transactions at a quick glance any time you need to.

How to Choose a Bank: Additional Services

Aside from traditional banking services, your business may need assistance in other areas of your financial life. Ask your bank if they offer other things for businesses including merchant processing solutions.

A merchant processing service allows you to take credit cards as payment. If you link this to your business bank account, it’s much easier to track transactions, fees, and deposits all in one place.

Find out if your bank provides tax services. While you should also hire a CPA to help with this, your bank may also be able to assist with filing your business taxes or recommend someone they trust.

If your bank does not offer tax services, they may still offer you a discount on tax preparation services as long as they’re linked to your account. Find out what kinds of added service outside of having a bank account they provide.

Ask if the bank offers business credit cards with special rates and other offers like rewards. These services add up, and it’s much easier to have them together at one institution.

Get Everything Spelled Out

Just like any business transaction, your bank likely has plenty of fine print. Before you sign up for a new account, you should read over everything with a fine-toothed comb.

Ask about additional fees for overages or overdrafts, and ask if there are transaction caps. Some banks limit the number or amount of deposits someone can make either daily or monthly.

If you process a lot of transactions, a cap can cause serious issues. Make sure you clearly understand any limits associated with your account beforehand.

You should also make sure you have a clear understanding of all fees. You may be charged a monthly fee if you don’t meet a minimum balance or other stipulations.

Look at your business’s cash flow and other indicators to determine if any fees will affect you. There are banks that offer zero fees or low transaction rates, so shop around to find the best deal that will fulfill your needs.

Personal Service Matters

In the modern age of technology, personal service seems to have gone by the wayside. But having a reliable person you can consult with and depend on is integral to your success.

When you think about how to choose a bank, this factor should be considered. A quality business bank will provide you with a representative who can be reached whenever you need them.

Over time, you should be able to consult and confide in your bank rep. Even if you don’t have one specific person you deal with, the bank should always be available to answer any questions you have.

Sit down with someone in person at your bank to gauge how they interact with business owners. Ask them if there will be someone assigned to your account who can help you whenever you need it.

This level of personal service can increase trust and it allows you to worry about your business and less about your bank account. Remember, just because a bank is big does not always mean it’s better. Small community banks have more personalized service and they take a genuine interest in the businesses that operate in their area.

Ask your fellow business owners who they bank with so you can get a clearer picture of which bank will work for you. Read reviews online and do your research to determine if the bank you’re interested in will serve your needs.

Business Banking Done Right

Now that you know how to choose a bank for your business, you can feel confident you’re making a wise decision. Compare and contrast things like fees, services, and personal service so you can select the bank that will work toward serving your best interests.

Contact us today to set up your own business account and be sure to visit our website for helpful information about a variety of business services and much more.

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