Start-Up Banking

[RealisticlyReal]

Hello,
Myself and a business partner have set up a business in the field of hosting sports events. We will hold about 6 - 12 events a year, making small profits. We think it is best if we set up a business account to make transactions to and from, but we are not really sure what to look for in terms of differentiating between different bank organisations. We have no idea what to look out for!
If anyone can offer any advice at all, it would be greatly appreciated!
Thanks,
Ali

[soccerprodigy777]

It really depends on what youre looking for. Most business accounts in the US incur some kind of fee and are transaction volume based. So youd want to select a handful of banks, both large national ones and smaller local/regional ones to compare. National banks often have a wider range of products and services to use, but smaller banks often have better customer service, competitive products and services, and assign you a business banker. National banks have a wider presence, which is good as you can always visit a branch wherever you are if need be. Smaller banks, not so much.

Those are a couple of things to consider. I personally prefer to deal with smaller banks

[MySuccessIzUnlimited]

I would see what banks are offering no fee checking. Not that you intend to bounce any checks, but see what the overdraft fees are also.

I always recommend building your business credit as soon as possible too. Once you establish your business entity and get a Tax ID # and open a checking account - get a secured loan. Depsoit $400 or so and get a secured loan agains the deposit and pay it off in 30 days. Do this at 3 banks. Be sure to only use the funds to get the sucred loan and PAY IT BACK IN FULL within 30 days.

Also, get a business account with Staples or Office Depot and a gas card. Don't use the credit to buy things you can't afford, Rather consciously buy small items like just $50 a month until you get regular income so you can pay it off and build your business credit.

Trust me. I wish I had known this when I first started.

Good Luck!

Some additional sites that may be useful:

AccountNow.com
LendingClub.com
FundingUniverse.com
Prosper.com