the best small business bank accounts and credit cards
- Despite the pandemic, a record number of people started new businesses in the United States last year.
- Choosing the right business bank account and the right credit card is essential for success.
- WalletHub was recently ranked for both entrepreneurs, comparing low interest rates and reward programs.
- See more stories on the Insider business page.
Despite the pandemic, a record number of people started new businesses in the United States last year.
New employer identification requests reached 1.1 million through mid-September last year, a 12% increase from the previous year, found a Wall Street Journal analysis of US Census Bureau data.
Whether you’ve recently started a startup or looking to reassess your existing business finances, choosing the right bank account and credit card is essential for success. The WalletHub personal finance website was recently rated both for entrepreneurs.
The 6 Best Small Business Bank Accounts
WalletHub compared over 260 small business chequing and savings accounts to rank the highest interest rates, lowest fees, and best deals for entrepreneurs. Here are the top picks from the site, in no particular order.
Best Business Current Account: Verification of Axos Bank’s commercial interests
Axos Bank’s Commercial Interest Current Account offers customers 50 free account transactions per month, avoidable monthly fees of $ 10 with an average daily balance of $ 5,000 and an annual percentage return of 0.81%, also known as interest rate.
Best Business Savings Account: Savings on Capital One Business Benefits
With one of the highest APYs on the market – it offers 0.20% on balances up to $ 5 million – it’s the top-rated choice for savings accounts. In addition, users only need a deposit of $ 250 to open an account.
Ideal for unlimited transactions: Unlimited verification of Capital One Spark Business
If your business maintains a balance of at least $ 25,000 and deposits less than $ 40,000 per month, consider this account. The $ 35 monthly fee is waived if users maintain their 30- or 90-day average balance above $ 25,000. In addition, you get two Spark Business Basic
without the monthly fee of $ 15.
Ideal for low costs: BBVA Business Connect Verification
If you’re just getting started and don’t know where to start, consider this low-cost account. It doesn’t charge monthly, ATM, or online payment fees, which might seem low but can lower your upfront expenses.
Ideal for the initial bonus: Chase Business Complete Banking
Users receive a bonus of $ 300 for opening a business interest checking account, which pairs well with the fact that it doesn’t require a minimum deposit or balance requirements. Plus, it offers unlimited electronic deposits and waives the $ 15 monthly fee if customers keep their balance above $ 2,000.
Ideal for treasury businesses: Bank of America Business Benefits Verification
Entrepreneurs with treasury businesses should look for accounts with high limits on transactions and low costs for transactions over limits. This account does not charge a fee for the first $ 20,000 deposited in each statement cycle, and after that it charges $ 0.30 for every $ 100 you deposit over the monthly limit.
The 8 Best Small Business Credit Cards
WalletHub compared over 1,500 credit cards to rank which would work best for certain entrepreneurs. Some come with rewards, while others offer low rates for business owners with bad credit. Here are the top picks from the site, in no particular order.
Ideal for startups: Capital One Spark Classic for Business
Users can get approved for this account with limited credit history and there is no annual fee. Plus, it offers an average cashback rate and doesn’t make it difficult to collect rewards.
Ideal for bonus cash back rewards: Capital One Spark Cash for businesses
Users get 2% cash back on all purchases and an initial bonus of $ 500 if you spend $ 4,500 in the first three months, making it a top choice if you want to get rewards.
Ideal for business travel rewards: Miles Capital One Spark for businesses
Business owners who wish to travel again as part of their work should consider the benefits of this card. Users get unlimited double miles on every purchase, which will not expire during the life of the account.
Ideal for hotel rewards: The American Express Hilton Honors business card
Likewise, entrepreneurs who spend a lot of time on the road may view this card as a strategic choice. An upfront reward bonus gives users hundreds of dollars in free Hilton reservations if they charge a few thousand dollars to their card in the first few months. Plus, cardholders earn 12 points per dollar spent on Hilton purchases.
Ideal for airline bonus points: JetBlue Business Credit Card
Business owners who fly frequently and can commit to just one airline should consider this card as a way to cut travel costs and earn miles. It offers an initial bonus of six points per dollar spent with JetBlue, two points per dollar spent at restaurants and office supply stores, and one point per dollar on everything else.
Ideal for the initial bonus: Ink Business Preferred Credit Card
Entrepreneurs who focus on upfront bonuses for credit cards should consider this account, which gives new users who spend $ 15,000 in the first three months a 100,000 point bonus.
Ideal for 0% APR: American Bank Business Platinum
Small business owners concerned about their credit card interest rate, known as the annual percentage rate, should consider this card. The account offers 0% APR for 15 billing cycles on new purchases and 0% for 15 billing cycles on balance transfers.
Ideal for repairing bad credit: Wells Fargo Business Secure Credit Card
Don’t let bad credit stop you from financing your business. Entrepreneurs trying to build credit or repair bad credit should look to cards with low fixed costs rather than those with substantial benefits. This account offers low APR and even rewards.