| One of the first things you must do when starting a | | | | what charges will be levied on your account before |
| new business is open a bank account for your | | | | signing up. The more check and cash transactions you |
| business. You will have to consider several things | | | | have, the higher the charges you will end up paying. |
| including transaction and borrowing costs, what facilities | | | | 2. Online services - Does the account offer online |
| the bank offers, and the type of relationship you want | | | | services? This is an increasingly important service, and |
| with a bank. A business account is essential if you are | | | | most banks now provide an internet service so you |
| setting up a Limited Company or Partnership. While | | | | can check the status of your account day or night. By |
| you can use your own personal account if your | | | | using this service, you can manage your account |
| business is a sole proprietorship, it is advisable that you | | | | transactions in a fraction of the time it used to take in |
| have a separate business account to manage your | | | | the old days. |
| business finances. | | | | 3. Interest rates - The interest rates can vary from |
| Now that you are aware that you have to open a | | | | bank to bank. Consider the overall benefits an account |
| bank account, how do you go about it? Can you use | | | | would provide to your business and decide accordingly. |
| the same bank that you use for your personal | | | | 4. Small business advice - Select a bank that has a |
| accounts? Of course, you can! But they may not offer | | | | specialized small business unit. This could be of big help |
| the best deal for your business. The considerations for | | | | to you when you are setting up your business and if |
| opening a business account are quite different from a | | | | you establish a good working relationship with them, |
| personal account - you could be missing out on lower | | | | you can reap the benefits of their expertise. |
| charges and higher interest on a credit balance. Over | | | | 5. Shop around -Make sure you compare several |
| a long period, you could be depriving your business of | | | | business account offerings, and compare the costs |
| a significant amount of money. Before you sign up with | | | | and charges associated with each one. Typically, you |
| anyone, look around and understand what's available | | | | should compare at least three accounts before |
| out there. | | | | zeroing in on one. |
| We've put together the 5 most important factors to | | | | Choosing a bank account for your small business is an |
| consider before choosing a bank account: | | | | important stage in the startup process. So, spend the |
| 1. Bank charges - This is a key point that you have to | | | | necessary time and effort to get the best banking deal |
| consider - how much will it cost you to have a | | | | for your business. |
| business bank account? Ensure that you know exactly | | | | |