Selecting the right bank and the right account for your small business doesn’t just involve choosing a bank you’ve heard of before – even though it is an important factor. Having a specialist adviser who you know is available when you need to contact them directly is a sign of a good business account.
The bank you have your personal account with doesn’t necessarily need to be the one where you have your small business account. Your current bank may have the best conditions for personal accounts but not necessarily for small businesses. Doing extensive research on the right bank – and on the right conditions – is key.
Having the option to handle your money and your transactions through online banking, as a small business, is vital to give you power over your account. Banks with online banking for businesses allow you to not have to rely on someone else to handle your transactions, which assures you that you are not being charged extra for unnecessary activities.
You will also have more peace of mind; with online banking services you can complete as many transactions as you require without feeling the sense of urgency of travelling to your bank branch. These services work for your convenience, allowing you to focus more on your business.
Bank accounts for businesses have direct charges connected to most transactions and, at times, also include monthly fees. Transferring or withdrawing money, paying in cash or cheques, and other everyday transactions will incur you small charges. Online transactions will cost you less money than branch based activities.
If you wish for a particular amount of transactions to be free, the bank you choose may have a monthly or quarterly charge to provide you with this service. You need to consider how many transactions you project your business will require, especially if you are paying by cash, which may make paying a regular charge favourable.
As a small business, another important factor to consider when choosing a bank account is interest rates. Research will provide you with a list of banks who offer low interest rates for businesses, particularly small ones.
If you want to invest your money, having low interest rates is more beneficial for your business as it makes it cheaper to borrow money. This factor encourages you to reinvest your money to expand your business.
Here at ICS ensuring your small business is protected and that you have the best possible accounting service is our priority. Our extremely experienced professionals guarantee accurate accountancy so you can focus on your business. For more information about our services, contact us on 0800 195 3750. Our friendly team is always happy to help!