Chase small business account: What you need to know

Chase offers small business checking accounts, and a range of other business products, including business credit cards, and banking services for medium and large sized corporations.

There is a range of small business accounts available - but some of the fees and features of accounts may vary depending on where in the US you’re based. It’s worth using the tool on the Chase website, to enter your zip code and personalize the information you see - that way you can check the details for your state easily. For this article, we have used a California zip code as an example.¹

Read on to learn more about:

• How to choose the right small business account for your needs
• Chase small business checking accounts features, fees and perks
• How to apply for a business bank account from Chase

How to choose a small business bank account

Choosing the right small business account for your needs will make life easier, and could save you money, too. Each account has different features and fees, so there will definitely be a good fit out there for your business - but you may need to invest some time researching, to find it.

Here are a few key questions to answer, to help guide your choice.

What is the average balance of my account going to be?

This is one of the most important questions to consider. Many small business checking accounts will waive the monthly maintenance fee if you hold a certain level of balance over the statement period. Picking an account with a minimum average balance that suits your business - or choosing one with no minimum balance at all - might save you money.

What sort of transactions will I need to make, and how often?

The fee structure for many small business bank accounts means that you have a fixed number of eligible transactions per month included in your monthly maintenance fees. Having a realistic view of how many transactions you’re likely to make over any given month can help you choose the right package for you.

Will I need to deposit cash regularly, or will electronic deposits and transfers work for me?

When choosing an account, you’ll notice that many products have a limit on the amount of cash you can deposit fee free over a statement period. Go above that limit, and you’ll face a charge simply to get cash into your business account. In the case of Chase accounts, this limit applies only to in branch deposits - you’ll be able to make unlimited electronic deposits with the checking accounts outlined in this article. However, some account products from other banks may cap the value of fee free cash deposits of all types, which could lead to high fees if you deal mainly in cash transactions.

Will I need access to specialist services, like international wire transfers?

Although your maintenance fee is likely to buy you a certain number of transactions per month, not all transaction types will be covered by this deal. Before you choose the right account for your business, you’ll need to check which transactions are covered by the banking package you’ve chosen. You’ll then want to consider whether there are other transaction types you’re likely to need to access, such as sending and receiving international payments. These specialist transactions can become costly, so choosing an account with low fees for the services you need will save money in fees in the end.

A few more tips when choosing a bank account:

• Terms and conditions, as well as availability of account products can vary by state, so make sure you’re looking at the right information for your area
• Some banks offer better business account terms for customers who also hold their personal checking and savings account with them
• If you prefer to have face to face customer service, choose a bank with a branch near you, if you’d rather online or phone support, make sure these services are available at a time that works for you
• Check what’s covered by your monthly maintenance fee - if you regularly need to make a higher number of transactions than your package covers, you’ll find yourself paying more in charges than you anticipate
• Think about where your business is going to, and how you intend to grow over time, when you’re considering your options. For example - if you intend to grow internationally, how will that change the services you need from your bank?

How to open a Chase business account

Here are the steps you have to take once you’ve chosen the right Chase small business checking account for you.

Eligibility requirements

Before you get started, you’ll need to check your eligibility. Accounts are available to sole proprietors, LLCs and corporations of all sizes. If you have any questions about whether or not you’re eligible to open an account, or which product might be best for you, you can call into your local Chase branch to talk to a team member.

Documents needed

The documents needed will vary depending on your business type. All applicants will need an official ID, such as a driver’s license or a state ID card. You’ll also need to give personal information for yourself and anyone else with a stake in your business of 10% or more. This will include your name, residential address, date of birth, social security or Tax ID number, and nationality.²

In addition:

• Sole proprietors will need a DBA certificate if their business operates under any name other than its legally registered name
• LLCs will need to show articles of Organization or a Certificate of Formation
• Corporations need a Certificate of Formation or Articles of Formation.

It’s good to know that an account for a corporation can only be opened by the president, secretary, assistant or acting secretary of that corporation.

Getting started - online or in branch?

You’ll be able to start off your application online, to input personal details and information about your business. However, only sole proprietors will be able to complete their application online. If you run a different business type, you’ll need to visit your local Chase branch to complete your application and get your account up and running. ²

Chase small business account breakdown

There are 3 Chase small business bank accounts to choose from. An outline of the main features follows - and there’s more on the fees and limits you need to know about, a little later.

Chase Total Business Checking³

Chase describes their Total Business Checking account as the best choice for small and growing businesses. The main features are as follows:

• Monthly maintenance fee of $15
• 100 free transactions per month
• Unlimited electronic deposits, and $5,000 cash deposits per month with no fee
• Apply for business debit, deposit and ATM cards for withdrawals and purchases
• Access to 16,000 ATMs and 5,000 branches
• Convenient online and mobile banking
• Cut your monthly maintenance fee by signing up to paperless billing, managing your personal finances with an eligible Chase account, or hitting an average balance of $1,500 over the month

Chase Performance Business Checking⁴

The Chase Performance Business Checking account has many of the perks of the Total Business Checking account, and a few more. The higher monthly fee, and higher number of free transactions per month make it better suited to medium sized businesses. The features you need to know about:

• Monthly maintenance fee of $30
• 250 free transactions per month
• Unlimited electronic deposits, and $20,000 cash deposits per month with no fee
• Free incoming wire payments, and 2 outgoing domestic wires fee free per month
• Get linked bank cards, and have access to 16,000 ATMs and 5,000 branches
• Convenient online and mobile banking
• Have your monthly maintenance fee waived by hitting an average balance of $35,000 over the month in qualifying business deposit accounts

Chase Platinum Business Checking

Chase recommends this account product for larger businesses. The monthly maintenance fee is highest on this account, but may be waived if you hit the minimum balance of $100,000 across your eligible accounts in the month.

• Monthly maintenance fee of $95
• 500 free transactions per month
• Unlimited electronic deposits, and $25,000 cash deposits per month with no fee
• Free incoming wires, and the 4 most expensive outgoing wire payments per month are also fee free
• Linked bank cards, access to all of Chase’s ATMs and branches, as well as online and mobile banking
• Monthly maintenance fee waived if you hold an average balance of $100,000 over the month in qualifying business deposit and investment accounts

Save Time and Money On Overseas Payments With Wise Business

Wise Business can help you save big time on international payments.

Wise is not a bank, but a Money Services Business (MSB) provider and a smart alternative to banks. The Wise Business account is designed with international business in mind, and makes it easy to send, hold, and manage business funds in currencies.

Signing up to Wise Business allows access to BatchTransfer which you can use to pay up to 1000 invoices in one go. This is perfect for small businesses that are managing a global team, saving a ton of time and hassle when making payments.

Use Wise Business >>

Some key features of Wise Business include:

• Mid-market rate: Get the mid-market exchange rate with no hidden fees on international transfers

• Global Account: Send money to countries and hold balances in multiple currencies, all in one place. You can also get major currency account details for a one-off fee to receive overseas payments like a local

• Access to BatchTransfer: Pay up to 1000 invoices in one click. Save time, money, and stress when you make 1000 payments in one click with with BatchTransfer payments. Access to BatchTransfer is free with a Wise Business account

• Auto-conversions: Don't like the current currency exchange rate? Set your desired rate, and Wise sends the transfer the moment the rate is met

• Free invoicing tool: Generate and send professional invoices

• No minimum balance requirements or monthly fees: US-based businesses can open an account for free. Learn more about fees here

Chase business account fees and limits

Here are the fees and limits you need to know about if you’re considering opening an account with Chase. We have also added a comparison — the borderless account from Wise.

There’s a big variety of small business accounts available - which is great news, but can feel a little overwhelming. Spend some time thinking in advance about how you’ll use your business account - both now and as your business grows - to help you find the right one.

Sources:

All sources checked 9 May 2019