Banking & Payments
The first money decision most owners make is opening a business account that is separate from their personal one. It keeps your records clean, makes tax time easier, and is required to keep the liability protection of an LLC or corporation meaningful. Traditional banks give you branches and cash deposits; online banks and fintech accounts usually win on low fees and software integrations.
Payments are the second half. Most small shops end up with one card processor for in-person sales, one online checkout, and a way to receive bank transfers from larger clients. Below are the official sites for the providers we see owners use most, plus two federal lookups to check that a bank or credit union is insured.
Business bank accounts
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Chase for Business
Business checking, savings and cards from a bank with branches in most states.
chase.com -
Bank of America Small Business
Small-business checking, credit cards and lending from a large national bank.
bankofamerica.com -
Wells Fargo Small Business
Business accounts, merchant services and credit lines with nationwide branches.
wellsfargo.com -
Relay
Online business checking that lets you split money into many sub-accounts for budgeting.
relayfi.com
Card payments & point of sale
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Square
Card readers, point-of-sale apps and invoices for shops, cafés and service businesses.
squareup.com
Getting paid & transfers
Credit, loans & safety checks
How to choose
- Check whether you deposit cash. If you do, an online-only bank will make you hunt for ATMs or retail deposit partners; a local bank or credit union may be simpler.
- Compare the full card-processing cost: the per-transaction rate, any monthly fee, chargeback fees, and how many days it takes for money to reach your account.
- Confirm insurance before you deposit. Fintech accounts are often held at a partner bank; look up that bank on FDIC BankFind or the NCUA locator.
- Pick a processor that connects to your accounting software so sales and fees import automatically instead of being typed in by hand.
- Keep one backup way to get paid (a second processor or bank transfer details) in case an account is frozen for review.
Frequently asked questions
Do I need a business bank account as a sole proprietor?
It is not legally required for a sole proprietor using their own name, but it is strongly recommended. A separate account makes bookkeeping and deductions much easier to prove, and many payment processors and lenders ask for one.
What do I need to open a business checking account?
Banks typically ask for your EIN or Social Security number, your formation documents (articles of organization or incorporation) if you are an LLC or corporation, any assumed-name (DBA) filing, and a government ID for each owner.
Is money in an online business account insured?
Usually through a partner bank. Check the account disclosures for the name of the FDIC-insured bank that holds the deposits, then confirm it on FDIC BankFind. Credit unions are insured by the NCUA instead.
Can I accept card payments without a contract?
Yes. Many flat-rate processors let you start with no monthly fee or long-term contract and pay only per transaction. Higher-volume businesses sometimes save money by negotiating interchange-plus pricing.
Descriptions are written by ShopStart and are not endorsements. Features and prices change; confirm details on each provider's official site. Something missing or out of date? Tell us.