How to Choose a Business Checking Account

Ready to launch your business? Here’s how to find the best business checking account for your small business.

Compared to all the logistics and time required to get a business off the ground, opening a dedicated business checking account may seem like a lesser priority — especially if you are just getting your business off the ground and paying for expenses with your personal funds. However, maintaining a clear separation of business and personal expenses is important for tax purposes.

Of course, there are other benefits of having a business bank account, including:

  • Maintaining clear separation of business expenses to simplify bookkeeping
  • Having an established banking relationship for any future borrowing needs
  • Access to tools, resources, and products designed to help you manage and grow your small business

The first step in choosing a business checking account is to find the right bank for the unique needs of your small business.

Finding the Best Small Business Bank

When choosing a bank for small business, there are a variety of factors to consider. Should you go with your personal bank, or branch out? Is a large national bank the right choice, or are the benefits of a regional bank better-suited for your needs? Other factors to consider when choosing a bank for your small business may include:

  • Access to small business cash management tools like point-of-sale solutions, quick deposit, payroll management, and integrated payables
  • Proximity of the bank to where you’ll be doing business and accessibility to branch locations and ATMs
  • Ease of online account access to facilitate transactions and record-keeping
  • Availability of small business financing solutions such as business loans and lines of credit, SBA loans, and business credit cards
  • Access to a small business banking specialist who can help you achieve your goals

Once you’ve explored your options and have selected a bank, it’s time to choose the best business checking account for your needs. Many banks offer several types of business checking accounts, and the right one for your business will depend on several key factors.

Choosing the Best Business Checking Account

There are a variety of factors to consider when comparing business checking accounts, but a good place to start is by reviewing your average monthly balance and volume of transactions.

If you’re just starting out, typically maintain a low balance, and don’t need to process many transactions, you’ll likely want to consider business checking with no minimum balance requirements. If, however, your business typically processes a high volume of transactions, the best business account for you will be one that doesn’t have strict transaction limitations.

Also, think about the way you like to manage your business’s finances and what features are most essential for you. For example, do you want to pay your bills online or make deposits remotely? Do you want the option to have business credit cards for your employees?

Once you’ve selected the best small business bank for your needs, it’s time to set up your account.

Questions to Ask Your Bank

Unlike opening a personal account, you may need to compile some paperwork beforehand. Before heading to a branch, check with the bank’s small business specialist to determine what specific documentation will be needed to open your account.

When speaking with a small business banking specialist, be sure to ask questions. Look into the fine print for each account type. Be sure to understand all of the costs associated with any options, like a required minimum balance. Finally, be sure to ask if there are transaction limits or cash processing fees, and if so, what those are. If you have a clear understanding of your banking requirements, it will be easier to assess what features you need and how to minimize potential fees.

In episode 5 of Regions Wealth Podcast, Wealth Planning Executive Bryan Koepp discusses the stages of starting and growing a business: funding it, running it, and overcoming challenges along the way.

Planning for Growth

Be sure to consider how your cash management, financing, and other service needs will change as you hit new milestones. Many banks design accounts to scale with a business as it grows. Ideally, you can also immediately form a relationship with a banker so that when your needs change, your banking partner will have intimate knowledge of your business as you discuss the best ways to adapt.

Looking for additional guidance? We’re here to help. Check out our educational tools and resources for small business owners, or explore our small business banking services.


This information is general in nature and is not intended to be legal, tax, or financial advice. Although Regions believes this information to be accurate, it cannot ensure that it will remain up to date. Statements or opinions of individuals referenced herein are their own—not Regions'. Consult an appropriate professional concerning your specific situation and for current tax rules. Regions, the Regions logo, and the LifeGreen bike are registered trademarks of Regions Bank. The LifeGreen color is a trademark of Regions Bank.