Having a business checking account is so much more than having a place to receive and store your money.
There are a myriad of ways it can actually benefit your business, and it helps you eliminate the chaos of trying to use your personal account! Here’s why your business (big or small) should have a good old business checking account:
Streamlined Financial Management
As a business owner, you likely wear many hats. You don’t need an extra one to keep business and personal transactions organized in one account, though; enter a business checking account to save the day! When you have a business checking account, it’s easier to track income, payments, and spending trends independently to better manage your money.
When you can tell what your transactions are, you can keep more organized financial records, meaning a more straightforward tax season! Plus, you can draft more accurate budgets and cash flow statements.
Establishing Professionalism
If a client catches a business transaction floating through your personal account, they might raise an eyebrow. Having a business checking account helps legitimize your business to others. It shows that you have your professional act together. A business account tells your clients and vendors that you are a professional and that you take your business approach seriously.
Can you imagine the look on your client’s faces when they have to process a payment sent from your business name instead of your name? It’s the little things in life – more specifically, your business, right? But it makes a world of difference! Professionalism sets the tone! Having a business checking account may seem like a small fraction of running a business, but it makes a big impact.
Protecting Your Personal Assets
Let’s talk about “what ifs” for a minute. What if something unexpected happens to your business? All businesses come with risk, so having a business checking account is one way to help protect yourself from liability. By only using this account for business purposes, you’re creating a buffer between your business and personal finances. And if something were to happen, your personal finances would be safer from creditors looking to collect on your business debt.
Simplified Tax Filing
Tax Season doesn’t have to be a headache! When all transactions from your business only flow through one account, tax time becomes a breeze. Most accounting software can easily be linked to your business checking account, meaning that most of the tricky data entry is done for you. Plus, with less data to enter, there will be fewer errors, and you definitely won’t forget to include any transactions — hello, accurate tax amounts!
Leveraging More Financial Services
If you’re looking to take your business to the next level, then a business checking account is just the first step. Banks like Bluevine provide businesses with a wide range of financial products like a line of credit, savings accounts with great interest rates, and more. And all of these can help support expanding businesses!
Access to Better Insights
The world is all about data – and with a business checking account, you can easily access data insights or your spending from monthly account statements and analytics tools available from your bank. This data will help you understand how you’re spending, where you can cut costs, and ultimately drive you to make better decisions.
A Business Checking Account For Just About Every Business
Having a business checking account is not just having a fancy place to keep and receive your money. Oh no — it is so much more; it is a sign to the world that says, “You are professional and worth investing in!” It makes tax time less messy, and it helps you keep business and personal money separate. These factors certainly help your enterprise function better and chug along and make even more money.
So, if you don’t have a business checking account, be a smart solopreneur and do your business a favor by heading on over to a place like Bluevine to get a just-for-you business checking account!
