The Best Business Checking Accounts For Small Business

Side hustlers and business owners have unique needs when it comes to setting up a business checking account. 

And for years, most banks made the bulk of their fees on business products - including business checking accounts. 

So, it's historically been frustrating as a side hustler or business owner to find a checking account because, unlike personal accounts which have lots of free checking account options, businesses typically didn't have that available.

But technology is changing that. And more banks are starting to offer great online business checking accounts with low or reasonable fees. 

Note: The banking offers that appear on this site are from companies from which The College Investor receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). The College Investor does not include all banking companies or all banking offers available in the marketplace.

The Best Business Checking Account Options

Based on the criteria we share below, here are our choices for the best business checking accounts available. Some of these accounts are basically free, while others do require some minimum balances and/or other requirements to waive the monthly fees.

1. Novo

Novo is a no-fee digital banking platform for small business owners and side hustlers. This is the perfect online checking account for small businesses. 

They are very mobile friendly with a great app, photo check deposit, no fees, and they have a bunch of integrations to connect with the other tools you already use! That's awesome for a business bank account.

Why I Like It: Free, easy to use, online business checking.

Read our full Novo review here.

Open a Novo Bank Account here >>

2. LendingClub Tailored Checking

The LendingClub Tailored Business Checking Account is a great solution for side hustlers and small business owners. 

The real plus with this account is that it pays interest! You can earn 0.10% APY on balances over $5,000. It's nearly unheard of to have a business checking account that pays interest.

They offer unlimited free transactions, which is very unlikely for a business bank account (banks usually charge a fee per transaction).  

They also have one of the easiest online applications - taking about 5 minutes! Most banks do not have complete online application and have to send in multiple documents that takes up a lot time.

This account does have a small monthly fee, but that can be waived with a $5,000 minimum balance.

This account also has the usual features you'd expect in a top notch business checking account:

• Online banking
• Free ATM withdrawals
• Free online bill pay
• Mobile check deposits

Plus, LendingClub Bank also offers cash-back debit when you use your your debit card. You can also earn unlimited 1% cash back on all purchases.

Read our full LendingClub Bank review here.

Why I Like It: A business checking account option that can earn interest.

Learn more about LendingClub Tailored Checking here.

3. Lili

Lili is an online business checking account that is designed for freelancers. With no monthly fees, no minimum opening deposit, and helpful tools built-in, it's a great online business checking account.

One thing that sets Lili has a great tax saving tool which allows you to automatically set money aside for taxes on every income, and an Emergency Bucket, which helps users set money aside for emergencies with daily deposits of small amounts.

They are very mobile friendly with online bill pay, invoicing, no fees, and they have a bunch of integrations to connect with the other tools you already use! That's awesome for a business bank account.

Why I Like It: Free, easy to use, online business checking.

Learn more in our Lili review here.

4. AXOS Basic Business Checking

AXOS is an online bank that focuses on simple business banking online. It's free, but it does have some higher requirements compared to other banks.

With AXOS, you get no monthly maintenance fees, a low minimum deposit requirement, and unlimited domestic ATM fee reimbursements.

Their free tier comes with 200 transactions (deposits, transfers, ACH, etc) per month.

Read our full Axos Bank review here.

Why I Like It: Free mobile business banking.

Learn more about AXOS Basic Business Checking.

7. Navy Federal Business Checking

Navy Federal Credit Union Business Checking is one of the best business checking products available, if you qualify to be a member of Navy Federal Credit Union. 

This account is a basic business checking account with online banking, mobile check deposits and more.

But best of all, it pays interest (just a small amount, but that's something). Right now, the basic business checking earns 0.01% APY. You can get up to 0.45% APY on their Premium Business Checking.

NFCU Basic Business Checking is limited to just 30 transactions per month. That's low. If you need more, you might consider the Premium Business Checking. It does have a $20 per month fee, but that fee is waived with a $5,000 minimum balance.

Read our full Navy Federal Credit Union Review here.

Why I Like It: Interest bearing business checking.

Learn more about NFCU Basic Business Checking.

8. US Bank Silver Business Checking

The US Bank Silver Business Checking is one of the best deals in business checking accounts for side hustlers and small businesses. This account has $0 monthly maintenance fees, online banking, mobile check deposit, online bill pay, and more.

The big thing about this account is that there are limits. But, most small businesses and side hustlers won't hit these limits. The limits are:

• 150 transactions per statement cycle (this includes deposits, transfers, etc)
• 25 free cash deposits per statement cycle (so don't go to the bank everyday!)
• They do charge $5 for paper statements (who gets these anymore?)

Why I Like It: A pretty much free business checking account option that also has the ability to connect to a business money market (which is rare).

Learn more about US Bank Silver Business Checking.

9. nbkc Free Business Checking

nbkc is a Midwest bank that offers some very competitive checking account options. When it comes to business checking, they offer a monthly-fee free product that's very competitive.

This account has online and mobile banking (with mobile check deposit), a debit card, and has no minimum balance requirements. One of the features we love is that they don't charge anything for incoming wire transfers.

Read our full nbkc Bank review here.

Why I Like It: Great online banking with free incoming domestic wire transfers.

Learn more about nbkc Free Business Checking.

10. Bluevine

Bluevine has been a lender for small businesses for almost a decade, and it recently launched a business banking product that provides free business checking.

They offer free business checking with unlimited transactions per month. They also have no minimum balance requirements and free online statements. 

Unlike most business checking accounts, they also pay interest on balances up to $100,000. Right now, you can earn 1.00% APY on your balance up to the $100,000 limit.

Finally, you can deposit cash at over 90,000 locations via a partnership with Green Dot.

Read our full Bluevine Banking review here.

Note: Bluevine is currently in waitlist most, so you cannot open a new account at the moment.

Why I Like It: Free business checking that earns interest.

Learn more about Bluevine Business Checking.

Why A Business Checking Account vs. A Personal Checking Account?

When you're running a business - even just as a side hustle - it's important to keep your business finances separate from your personal finances. For many people starting out, that can be as simple as having a PayPal account. But as your business grows, you start receiving check and ACH payments, you simply need more.

You should keep your business accounts separate from your personal accounts for a variety of reasons. First, it's simplicity. By keeping all your business stuff in one place, you can easily know what you made, what you spent, and what's left. 

Second, by mixing personal and business accounts, you can create bookkeeping, accounting, and tax headaches for yourself come tax time.

Third, you can also run into major liability issues - opening yourself up for personal liability if anything should happen to your business. If you're an LLC, S-Corp, or C-Corp, you definitely need to have a separate business bank account to maintain the liability protections a business offers. 

Finally, if your business fails and you need to declare bankruptcy, your personal assets become open to being used for your debts because there's no way for a judge to separate the two. 

The Process To Setup A Business Checking Account

Why most people hesitate to open a business checking account is because of the costs and the hassle to open one up.

The process to open a business checking account has traditionally be tedious - you need to bring documents, meet with a banker in person, and it takes time. However, technology is changing that and some companies are doing it all online (for example, LendingClub's Tailored Checking Account is 100% online). 

To open a business checking account, you'll need the following:

• Your business employer identification number (EIN) - if you're a sole-proprietor, your SSN will work
• Business documents: Articles of Incorporation, Articles of Organization, charter
• Government issued ID

If you're a partnership or LLC with more than one member, you'll also need to have each member present to open the account.

What You Need In A Business Checking Account

Side hustlers and business owners have unique needs for their checking account. They also might not have a job yet (for direct deposit), or have other accounts at the bank.

As such, they have unique requirements that we wanted to share, so that you can see how we based our criteria for the best business checking account options.

In order to be one of the best business checking accounts, we put the following criteria in place:

Common Questions

Here is a FAQ of the common questions we see around business checking accounts:

Does my business need a checking account?

It's recommended to keep your business and personal finances separated, and having a business checking account helps with that.

What's the best business checking account?

The best business checking account depends on your needs as a business. For example, do you operate online? Do you have a lot of cash transactions or deposits? All of these will play a role in figuring out which business account is best for you.

Do I need an LLC to open an account?

No, but you do need an EIN. You can get an EIN for your business by following these directions.

Can I open a business checking account at a credit union?

Yes! Most credit unions offer business checking accounts, and some of our best accounts on this list are actually at credit unions.

Do business checking accounts charge fees?

Many business accounts do charge fees - and that makes operating as a small business owner challenging. However, the accounts on this list are pretty fee-free, which is great.

Final Thoughts

Hopefully you can see that there are good options for free business checking. You can also check out our guide to business saving and money market accounts.

You don't have to pay fees to have a business checking account - you just need to open your account at a good bank.