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`Best Online Banks for Small Business: Savings Account Rates, Fees & Banking Features`
High-Yield Banking

`Best Online Banks for Small Business: Savings Account Rates, Fees & Banking Features`

May 14, 2025 - By Michael

In the fast – paced world of small business, finding the best online bank is crucial. A recent April 2025 Investopedia study evaluated 19 banks and credit unions, highlighting the importance of online banking. According to Bankrate and NerdWallet, top online banks offer great savings account rates, low fees, and useful banking features. Compare premium online banks to counterfeit – like options. Live Oak Bank, Axos, and U.S. Bank offer high – yield savings. With a Best Price Guarantee and Free Installation Included in some cases, and local service modifiers for a tailored experience, choose the right bank now to boost your business finances.

Best Online Banks for Small Business

In today’s digital age, online banks have become a game – changer for small businesses. A recent Investopedia study in April 2025 evaluated 19 banks and credit unions, highlighting the significance of online banking in the small business sector. Let’s explore the key aspects of the best online banks for small businesses, including online business savings accounts and business banking features.

Online Business Savings Account

Interest Rates

Interest rates are a crucial factor for small businesses when choosing an online savings account.

  • Live Oak Bank: Its rate has dropped from 4.00% to 3.35% APY in recent months. However, it still offers a competitive rate applicable to all balance sizes, making it a strong option for those looking for a high – yield business savings account (Bankrate).
  • U.S. Bank: Currently offers the best high – yield at 4.08% APY, with three other accounts offering 4.00%.
  • Axos: Provides an attractive 4.01% APY on all balances, making it a great choice for small businesses seeking consistent returns.
  • Relay:
  • For accounts opened before 01/01/25 or after 03/28/25, when the balance is less than $50,000, there’s a 1.02% interest rate with a 1.03% APY. When the balance is between $50,000 – $250,000, the APY falls in the 1.03% – 3.03% range.
  • For accounts opened on or after 4/29/25 or migrated to the Grow Plan, there’s a 1.73% interest rate and a 1.75% APY.
    Pro Tip: Regularly monitor interest rate trends. You can use financial news websites or rate – tracking tools like Investopedia to stay updated on the best rates available.
    Let’s take the example of a small e – commerce business. By depositing their excess funds in an Axos savings account, they can earn a 4.01% APY, which can significantly boost their savings over time.

Fees

Fees can eat into a small business’s savings.

  • No monthly fees: Banks like Axos, Live Oak, NBKC, and First Internet Bank do not charge monthly maintenance fees, which is a great advantage for small businesses looking to keep costs down.
  • Low monthly fees: TD Bank offers relatively low monthly fees, which might be acceptable for businesses that value other services provided by the bank.
  • Types of fees:
  • Wire transfer: Some banks charge fees for incoming and outgoing wire transfers. Make sure to check these costs if your business deals with international or large – scale domestic transactions.
  • Out – of – network ATM: Using ATMs outside of your bank’s network can result in fees. Relay offers free cash deposits and no out – of – network ATM fees, while Novo provides access to 19,000 in – network ATMs for free.
  • Stop – payment: This fee is charged when you request to stop payment on a check.
  • Unlimited fee – free transactions: Some business money market accounts offer unlimited fee – free transactions, providing flexibility for businesses with high transaction volumes.
    Pro Tip: Before choosing a bank, create a list of all the fees associated with different accounts. Compare them to your business’s expected transaction patterns to find the most cost – effective option.
    As recommended by NerdWallet, always consider the overall fee structure in relation to your business needs rather than just focusing on one type of fee.

Deposit and Balance Requirements

High-Yield Banking

Deposit and balance requirements can also influence a small business’s choice of an online bank:

  • Live Oak: Best for a competitive APY, though the specific deposit and balance details are unknown. It’s a good option for businesses that want a high – yield account without being restricted by strict balance requirements.
  • First Internet Bank: Ideal for large balances, but the exact details are not provided. This bank might be suitable for established businesses with significant cash reserves.
  • NBKC: Offers a high – yield account, but the requirements are undisclosed.
  • Axos: A high – yield option, again with unspecified deposit and balance requirements.
  • Novo: Requires a $0 opening deposit, which is great for startups or businesses with limited initial funds. The details of its savings account are still unknown.
  • Grasshopper: Its checking account has no monthly fees, balance minimums, or overdraft fees, providing a hassle – free banking experience for small businesses.

Business Banking Features

Business banking features can enhance a small business’s financial management:

  • Relay:
  • Account fees: It has no account fees, free cash deposits, and no overdraft or minimum balance requirements.
  • Account options: You can open up to 20 checking accounts and 2 savings accounts, and issue up to 50 debit cards. This flexibility allows businesses to organize their finances effectively, for example, separating funds for different projects or departments.
  • FDIC insurance: Offers up to $3 million in FDIC insurance, providing peace of mind for businesses with large amounts of money in their accounts.
  • Novo:
  • Account fees: No opening deposit, no monthly maintenance fees, and no ATM fees when using in – network ATMs.
  • Account options: Provides one checking account and one debit card per user, which is simple and straightforward for freelancers and solopreneurs.
  • First Internet Bank: No minimum deposit or balance requirements and no monthly maintenance fees, making it accessible for small businesses of all sizes.
    Key Takeaways:
  • When choosing an online bank for your small business, consider interest rates, fees, deposit and balance requirements, and business banking features.
  • Different banks cater to different business needs. For example, Live Oak is great for a competitive APY, while Relay offers a comprehensive suite of accounts and money – management tools.
  • Regularly review your bank’s offerings to ensure they still meet your business’s evolving needs.
    Try our online bank comparison calculator to see which bank is the best fit for your small business.

FAQ

How to choose the best online bank for a small business?

According to NerdWallet, when choosing an online bank for a small business, consider multiple factors. First, look at interest rates of savings accounts as they can boost savings over time. Second, evaluate fees like monthly maintenance, wire transfer, etc. Also, check deposit and balance requirements. Detailed in our [Online Business Savings Account] analysis, different banks suit different business needs.

What steps should a small business take to open an online savings account?

To open an online savings account, small businesses should start by researching banks. Refer to reliable sources like Investopedia for bank evaluations. Then, compare interest rates, fees, and requirements. After selecting a bank, visit its official website, fill out the application form, and provide necessary documentation. Ensure to understand all terms and conditions before finalizing.

What is an online business savings account?

An online business savings account is a digital financial tool for small businesses. It allows companies to deposit excess funds and earn interest. As stated by Bankrate, many online banks offer competitive APY rates. These accounts typically have features like online access, easy transfers, and may come with various fees and balance requirements.

Relay vs Novo: Which is better for small businesses?

Relay and Novo both have merits for small businesses. Unlike Novo, which is simple with one checking account per user, Relay offers up to 20 checking and 2 savings accounts. Relay also has no account fees and free cash deposits, while Novo has no opening or monthly maintenance fees and in – network ATM fee waivers. The choice depends on business complexity and financial management needs.

Best Online Banks for Small BusinessBusiness Banking FeaturesOnline Business Savings Account
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