Ella Woodward

How Small Businesses Can Make The Most Of Their Bank Account

For small businesses there are many different services out there that will provide support and guidance, but many overlook the benefits that their bank account can give them.

To help businesses that are just getting started and want to find out what their banking provider can do for them, or established SMEs who want to make the most out of their bank account, here’s a snapshot of the features your bank can offer your organisation and an insight into the things you should look for when choosing a business bank account.

Find The Best Deal

Small businesses that have been with their bank for a while might not be getting the best deal on interest rates, overdraft charges and account costs, so compare the costs of various business bank accounts from a variety of different financial institutions. Some banks will offer you free business banking for a period of time when you switch or set up a business account with them, so see if you can use this to save your organisation money on its banking fees.

Get To Know Your Bank’s Technology

Most small businesses will use online banking regularly to save time, but it’s important that you examine exactly what your bank is providing so that you can make the most out of it. Explore the platform your bank offers and see if there are any additional functions that you’re not taking advantage of currently. Some extra solutions may cost money, but research them before you decide if they’re worth investing in or not so that you and your business can make the most of every digital advantage your bank offers.

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See If You Can Get Business Support As Part Of Your Package

Some banks, such as Lloyds and NatWest, offer businesses free courses or management support when they open an account, so check out which accounts will offer you guidance and advice when you’re searching for a new bank account or trying to find out what yours has to offer. If business support is offered by your current provider then make the most of it, as many businesses pay large fees to work with business management companies, and if you have that service for free with your bank then you may as well use it and save your organisation some money.

Explore Your Bank’s Other Business Services

As well as bank accounts, many banks offer businesses additional services like business insurance, credit cards and loans. Speak to your bank to find out if existing business banking customers can get discounts or deals on any other services, as this may save you money on other aspects of your business expenditure. You should also explore what your existing account offers, and whether you can get free services or a reduced rate thanks to your organisation’s current business account.

Look For A Bank With Multiple Business Account Options

No two businesses are completely alike, so your banking needs will be different to those of other organisations. As such, if you’re looking to move your business account to a new bank, or establish an account for a new company, you should focus on finding a bank that offers flexible business banking and a number of different options for you to choose from. This will allow you to find the exact solution that suits your needs and mean that you can change your account as your business grows and develops.

Consider A Challenger Bank

Challenger banks are modern banking institutions that are designed to challenge the domination that traditional banks have over the banking market. Often, challenger banks offer a purely online and over the phone service, without any branches. You might think it’s important that your bank has multiple branches across the country, so you can nip in whenever you feel like it, but the reality is that you might get a better deal by working with a challenger bank such as Monzo, Tide and Starling Bank. Because these banks have no physical branches, they might be able to offer a better deal because it doesn’t have to pay the costs for a physical base and the staff to run it. These digital banks will also offer you better technology platforms as this is what they’ve built their entire service offering around. Whilst there’s no guarantee that a challenge bank will give you a better deal on the services you need, it’s important that you don’t dismiss them in favour of a traditional bank simply because they’re all you’ve ever known previously.

Small business leaders need to take the time to explore all the benefits that their bank can offer them so that they can make the most of every opportunity. It’s a tough world out there for small companies, so you need to try to find every beneficial solution you can. Using these tips should help you to see the broad spectrum of benefits bank accounts can offer to small businesses, but to really understand what’s on offer you need to talk to your bank and learn what they’re able to do for you and your company.