The United States of America is one of the most popular places for most startups across the globe because of the banking, payment processing, simplicity to do business, and Rule of Law. Countless entrepreneurs and startup owners choose Delaware as their state of incorporation since it is the preferred location for almost all venture capitalists. Furthermore, in comparison to many developing nations, the step to start a business is fairly simple here.
Tracking of your revenue, spending, and taxes while starting a business can also be time-consuming and perplexing. The business owner requires a business bank account in order to pay for insurance, handle payroll, collecting money, and accept credit card payments, among other things.
Since business banking is a basic requirement for every business, it is critical to consider the best business checking accounts for startups and entrepreneurs.
It is sometimes challenging to choose an online business bank account that meets your needs with so many options available. We have sorted your difficulties in this article. Brex, Mercury, Relay, and Silicon Valley Bank are four of the most popular banks. If you want to know which bank is best for startups, read this article attentively.
Mercury online banking was created with startups in mind which help them grow their business. Mercury’s extremely straightforward and user-friendly platform are two of its main advantages. Standard and Tea Room rooms are the two options, with the latter providing a number of additional benefits. Accounts are free to open and have no monthly costs, regardless of the tier you choose. The standard account requires no minimum deposit, however the Tea Room requires a $250,000 minimum initial deposit. Overdraft fees are not charged on these accounts, and ACH, wire, and check payments are almost all free. API access, virtual cards, team management, and other features are included with their FDIC-insured bank accounts. They have built-in free wire transfers, APIs, and interfaces with tools like Zapier, Quickbooks, and Stripe. Cash-flow statistics, programmatic payments, and quick runway estimations are all included.
Mercury could be an excellent option if you are a tech or company with low cash looking to raise funds in the near future. Mercury makes opening a bank account simple, asking only for an EIN, company creation documentation, and a passport. The inclusion of a SSN is optional.
Brex Cash is a cash management account which lets you keep your money in the programme bank as uninvested cash or put it in a money market fund to earn yield. There are no bank accounts available with Brex. Alternatively, it gives the Brex Cash account, a cash management account that works in the same way as a standard bank account. You will obtain a Brex credit card rather than a debit card. That credit card is linked to a standard checking account and used like a debit card. They are also well-known among the entrepreneur community. The process of onboarding is simple and fast, and they deal with owners all over the world, making it simple to open an account.
Brex provides cash card perks. There are no minimums with the free business account, and it comes with up to 8X rewards, free limitless transactions, greater access limits, free direct payments, free wire transfers, quick payouts on Amazon FBA, plus free tools to help you build your business. Brex also offers a credit card that has a one-day settlement with a Brex Cash account, with a credit limit of 80% of the Cash account balance accessible at the moment the card transaction is initiated. Brex is a wonderful option if you want to consolidate your finance instruments by having your company credit card and bank account in the very same spot.
Relay is a totally digital business banking solution that provides free business checking accounts. Relay is a type of banking that caters to the needs of expanding businesses. Relay is a free online banking and money management tool that enables small businesses to more clearly understand their earnings, expenses, and savings. For BaaS APIs, Relay employs the same banking partner that Mercury does, namely Evolve Bank & Trust. Sending international wires, on the other hand, costs nearly $50, and they can only open accounts via their Documents filing business partners at the moment. There are no monthly fees or minimum balance requirements with Relay. Checking accounts, Mastercard debit cards, ACH, and checks are all provided free of charge to business owners.
Up to 20 business checking accounts and 50 Mastercard debit cards are permitted for business owners (virtual or physical). You may also add your team members, grant roles and permissions, and set spending limitations. As a result, Relay is perfect for a midsized company or a fast-growing startup. Business owners that need numerous bank accounts for their business, can use QuickBooks Online or Xero and wish to connect their banking and cash management services, operate e-commerce businesses, or run other businesses that don’t deal with cash may use Relay business checking. So if you want to integrate your banking and cash management services, you can benefit from this free online business account.
Silicon Valley Bank(SVB)
Silicon Valley Bank specializes in banking for tech startups, it is the choice for half of all venture-backed tech and life science companies in the United States. Once it comes to bank accounts, SVB offers a free business checking account with no monthly fees, no transaction fees, and unlimited wire transfers. This even includes bill payments and mobile deposits. The SVB Innovators Card, which has no annual charge, cash rewards, among other benefits, is also available. Integrations with QuickBooks, Xero, ERP software, and a mobile app that facilitates mobile check deposits are just a few of the numerous advantages offered by this bank. Silicon Valley Bank is a good choice for both new and established technology companies. If you are thinking about launching one, Silicon Valley Bank is the greatest choice bank for getting a technology company scaling it quickly.
Determining the right bank is a difficult undertaking, and owners should proceed cautiously while making their selections. Every startup has its own set of requirements. So, before opting for a business bank account, make absolutely sure that you must first understand your startup requirement. Also look for the one which serves your demands now and in future. Mercury, Brex, Relay, and Silicon are all good options for startup checking accounts. So think about it and figure out which one is ideal for your startup requirements.