I Found The Best Bank Accounts for Your Small Businesses and Side Hustles in 2021

I Found The Best Bank Accounts for Your Small Businesses and Side Hustles in 2021

Hey everybody andy here how you doing good to see you more people than ever are realizing that you don’t have to go into office to make money you can wear sweatpants and be just as successful as anybody wearing a three-piece suit so small businesses and side hustles are on the rise if you’re one of those new entrepreneurs hitting the market and hitting the streets

I gotta ask you an important question do you have a separate bank and account for business income and expenses having a separate business bank will keep you from having a spaghetti bowl of receipts and invoices that you or your accountant have to sort through at tax time trust me if you’re thinking about starting a small business or already have one you need

A business bank account trust me so if you don’t have a business bank account yet well you probably should if you do have a separate business bank account well then virtual high five slap your monitor hit your screen i will tell you that my very top pick today is novo bank but still stick around and find out about my top five business bank picks and why they

Might be right for you and if while watching you get some useful info out of this video then please help out my small business by giving this video a like and consider subscribing to my channel it’s free for you and helps up my small biz this channel a lot okay on to the video before we can get into the specifics of my top bank picks let me break down why you

Should consider separating your personal and business finances besides how messy your taxes will be if you don’t my top reason for having a business bank account is obviously to separate my finances it makes tax time easier but did you also know it covers your backside too separating your personal from your business finances protects all your personal money

If you were ever sued not exactly something that is fun to think about but using a separate bank account and filing to create an official business entity like a limited liability company or llc keeps your personal money from being up for grabs in a lawsuit another super valid reason to have a separate business account is that it’s just more professional sounding

When receiving or issuing payments imagine how impressed they will be when you tell them to make the payment out to your friend andy global conglomerate industries llc so impressed not only makes your business seem more legitimate but it also makes you seem more credible if you’re serious about your business you will want other people to take you seriously too

And this is an easy and helpful way to do that there are even more benefits but that covers a few that matter to me most when i was setting up my first business bank account now that we’ve discussed why i think it’s so important to have a separate personal and business account let’s talk about which accounts i think have the most to offer to your business here

Are the things i consider most important number one accounts you can easily sign up for online i don’t want accounts with a complicated or lengthy process i don’t want to go into a physical location to do it number two i only want unlimited transactions some accounts have caps on the number of transactions in a month and i don’t want those kinds of limits number

See also  CloudHealth Foundations: Cloud Financial Management

Three accounts with no minimum balance are the only ones i will consider too i don’t want to be worried about balance requirements or owing fees if you’re just starting off in your side hustle you need less stress and not more minimum balance requirements lurking around the corner to find you if your balance dips below the minimum are not for me and finally number

Four my last requirement is more of a request i like banks that offer business savings accounts or money market accounts rather than just checking or at the very least a way to have sub accounts is it necessary no but the option for a savings vehicle without co-mingling personal and business finances is a major plus another big one is it allows me to have my

State and federal income tax money set aside and not mixed in with my main day-to-day working capital okay on to the top banks number one on my list today is novo bank novo was established as a business bank not a personal bank that dabbles in business banking on the side as such it caters to all business entities s corp c corps llc and just straight up sole

Proprietors freelancers slash freelancers you don’t have to have government issued business documents to get the benefits from this bank and you don’t have to have a lot of money to get started business owners can open an account with as little as 50 and expect to pay exactly zero dollars in monthly fees and there is no minimum balance in fact anyone banking with

Novo can expect a fee less experience unless they overdraft or have uncollected funds the fees for those are 27 each now i typically make a barf face when i see that a company charges insufficient fund fees but since they don’t have any fees for anything else and i know you’re going to be super responsible with your money the 27 fee should not be an issue one of

The biggest perks of novo is probably their free debit card and refund on any and all atm fees yes all any fees that you pay during the month at the atm will be refunded to you at the end of each month i don’t recommend using those atms that look like they were around when the oregon trail was still on dos but you could get those fees back too if you decide to

Risk it it’s incredibly easy to sign up for an account with novo they don’t require you to swear to give them your firstborn or report your mother’s favorite aunt’s blood type their mobile app is fantastic and highly rated too as a business owner on the go it’s nice to know you can do all your banking right from the palm of your hand finally the reason that novo

Takes my top spot is because it’s perks and integrations novo has integrations with slack zero stripe wise quickbooks and shopify my personal favorite is the stripe integration because you can see your balance and make transfers right from your novo account novo also has so many perks too they offer perks for stripe google cloud gusto quickbooks and godaddy to

Name just a few these range from cash savings to yearly discounts to add credits to extended free trials for a lot of businesses these provide a ton of value to anyone who would use these to make their business better i only listed a few here but i recommend stopping by their website to check out what perks you could benefit from the most and if all of that is not

See also  Dr. Stephen Hubbard - Wartime RFC Created New Industries from Scratch

Enough they also offer sub-accounts that are called reserves and they offer invoicing there’s so many great features for a small biz here my next top pick is nbkc or the national bank of kansas city but andy didn’t just say you wanted a bank that was all online i did and this bank is functionally an online bank despite the fact that has kansas city in the name you

Don’t have to profess your love or loyalty to the chiefs or royals or fly to a local branch location to open account and bonus this bank has both a business checking and money market account mbkc accounts can be opened online in as little as five minutes and their account comes with a long list of no’s which in this instance is a good thing mbkc accounts have no

Minimum balance no monthly fees no overdraft or non-sufficient fund fees no transaction limits and no fees for any domestic wire transfers did i mention that you also get a debit card for zero dollars too to pair with the checking account they offer business money market accounts like the checking account they have no fees or minimums this account doesn’t require

Any money to open mbkc does not require a desktop to do most of the banking they do have a mobile app that lets you make transactions or deposit checks right on the spot if you’ve heard the phrase put your money where your mouth is and thought for sure that didn’t apply to any banks you’d be wrong about that one nbkc really stepped up its customer service to

Small business owners during the pandemic the next bank winning top business banking honors is oxygen bank that’s right breathe it in oxygen bank is pretty new but the owner saw a need for better banking for freelancers and business owners who wanted a personal banking experience for their business account the thing that garners the most attention at oxygen is the

Cash back offer on purchases they offer up to seven percent cash back on purchases but that means business owners need to be using their cards is that a perk heck yes but it is only a perk for people who are actually using their card a fair amount oxygen bank has no minimum balance no transaction fees no monthly fees no transfer fees like the other banks topping

This list they do have an additional really amazing product to secure your account that separates them from the other business banks oxygen bank has virtual credit cards that you can create anytime you want even for as little as a one-time use they also have instant alerts in case something unusual or sketchy is happening on your account oxygen bank also offers

Business savings with rates ranging from 0.25 to 1.25 percent apy now let’s talk about the artist formerly known as radius radius now known as lending club is another business bank worth talking about to open an account at lending club business owners must make a minimum deposit of 100 unfortunately the lending club account also comes with a 10 monthly fee this

Probably seems like a huge bummer when comparing this account to the other ones but there are some definite perks you’re getting with that 10 bucks this account earns both interest and offers rewards on purchases the standard reward is one percent cash back but offers up to 1.5 percent in some categories there is one smallish caveat with the lending club account

See also  Jagex is Still Failing the Real World Trade Problem

And that is to take advantage of the interest or cashback business owners need to keep a minimum balance of five thousand dollars in their account for established business owners this might be no big deal for those just starting though this might be price exclusive and simply make the juice not worth the squeeze lending club does have unlimited transactions and

They give you back atm fees their mobile banking app is also chef’s kiss and helped lending club top nearly every business banking list out there is it right for everyone no is it right for people who carry a balance of 5 000 or more month to month and value both interest and cashback absolutely it could be the last bank i want to talk about today is lilly with

Two l’s not three i checked out this bank because one of my viewers recommended it and i’m so glad that i did lilly is a bank specifically for freelancers and small business owners lily has been around since 2018 and was created because the founders see freelancing as a way of the future again i don’t see how being able to wear sweatpants and still make money

Is a bad thing lily charges no monthly fees no overdraft fees no transfer fees no return check fees there are fees associated with the business account if you hit up out of network atms you’ll be throwing down two dollars and fifty cents in fees in addition to whatever the atm charges you now i like big butts and i cannot lie and the fact that lily has roughly

33 000 in network atms in the us it is a big but that means you don’t have to work too hard to not pay the atm fees lilly also splits your money into buckets for you if you like there is a tax bucket that pulls out taxes for you automatically and sets them aside so you’ll have them when you need them additionally lilly has an emergency bucket for hiccups that

Come up lily doesn’t include that money in your overall available balance so it’s kind of out of sight and out of mind these buckets are totally unique as far as business banking accounts go and i can see the benefit of these buckets for new business owners being incredibly helpful to make sure that they are prepared for taxes and any emergencies that might pop

Up okay that is my list i hope it was helpful remember that not every bank account is for everybody if this list helps you make a banking decision or help convince you of why you need separate finances for business and personal then i will consider today a win and treat myself to some ice cream for a job well done or just because it’s as hot as the surface of

The sun in texas today either way i’m definitely getting ice cream if you got something out of this video then please like the video and subscribe to my youtube channel i make videos like this and videos about all things money and finance every week also if you have any experience with any of the banks on my list let me know down in the comments below i would

Love to hear from you otherwise i will see you in the next video

Transcribed from video
I Found The Best Bank Accounts for Your Small Businesses and Side Hustles in 2021 By Your Friend Andy