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9 Best Business Bank Accounts for Sole Proprietors of July 2024

By Kelsey Sheehy
Last updated on July 15, 2024
Edited byRyan Lane
Fact checked and reviewed

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The best business accounts for sole proprietorships let you focus on your business, not your bank. Because sole proprietorships are almost always a one-person show, their owners need a small-business bank that offers efficiency and affordability. Our picks for sole proprietors bank accounts check those boxes and then some — with many offering business checking accounts with built-in invoicing and tax preparation, or other features that can boost your bottom line.
Why you can trust NerdWallet: We evaluated dozens of business checking accounts from national, regional and online banks, scoring them on fees, perks and accessibility, among other factors. Business accounts that earned at least four stars were eligible to be included in this list. All of our picks for the best business accounts for sole proprietors are chosen by our editorial team, who follow strict editorial guidelines to ensure fairness and accuracy in our coverage.

Best Business Bank Accounts for Sole Proprietors

Best forNerdWallet ratingMonthly feeAPYBonusLearn more

Earning interest

Bluevine Business Checking

Learn more

at Bluevine, Deposits are FDIC Insured

4.7/5
$0

2.00%

With $0 min. balance for APY

N/A

Learn more

at Bluevine, Deposits are FDIC Insured

ATM fee rebates

Axos Bank® Basic Business Checking

Learn more

at Axos Bank®, Member FDIC

4.9/5
$0

N/A$400

Requirements to qualify

Learn more

at Axos Bank®, Member FDIC

Cash-back rewards on debit card spending

Grasshopper Business Checking Account

Learn more

at Grasshopper Bank, Member FDIC

4.5/5
$0

2.25%

With $0 min. balance for APY

N/A

Learn more

at Grasshopper Bank, Member FDIC

Built-in payment processing

Chase Business Complete Banking®

Learn more

at Chase, Member FDIC

4.5/5
$15.00

Waived with $2,000 minimum balance

N/A$300

Requirements to qualify

Learn more

at Chase, Member FDIC

Dedicated business savings account

Live Oak Bank Business Savings

Learn more

at Live Oak Bank, Member FDIC

5.0/5
$0

4.00%

With $0.01 min. balance for APY

N/A

Learn more

at Live Oak Bank, Member FDIC

Cash deposits and withdrawals

Bank of America® Business Advantage Fundamentals™ Banking

Learn more

at Bank of America, N.A., Member FDIC

4.5/5
$16.00

N/A$200

Requirements to qualify

Learn more

at Bank of America, N.A., Member FDIC

E-commerce businesses

Found Small Business Banking

Learn more

at Found, Deposits are FDIC Insured

4.4/5
$0

N/A$20

Requirements to qualify

Learn more

at Found, Deposits are FDIC Insured

No-fee business checking account

nbkc Business Account

Learn more

at nbkc bank, Member FDIC

4.9/5
$0

N/AN/A

Learn more

at nbkc bank, Member FDIC

Sign-up bonus

U.S. Bank Silver Business Checking

Learn more

at U.S. Bank, Member FDIC

4.0/5
$0

N/A$800

Requirements to qualify

Learn more

at U.S. Bank, Member FDIC

Best forNerdWallet ratingMonthly feeAPYBonusLearn more

Earning interest

Bluevine Business Checking

Learn more

at Bluevine, Deposits are FDIC Insured

4.7/5
$0

2.00%

With $0 min. balance for APY

N/A

Learn more

at Bluevine, Deposits are FDIC Insured

ATM fee rebates

Axos Bank® Basic Business Checking

Learn more

at Axos Bank®, Member FDIC

4.9/5
$0

N/A$400

Requirements to qualify

Learn more

at Axos Bank®, Member FDIC

Cash-back rewards on debit card spending

Grasshopper Business Checking Account

Learn more

at Grasshopper Bank, Member FDIC

4.5/5
$0

2.25%

With $0 min. balance for APY

N/A

Learn more

at Grasshopper Bank, Member FDIC

Built-in payment processing

Chase Business Complete Banking®

Learn more

at Chase, Member FDIC

4.5/5
$15.00

Waived with $2,000 minimum balance

N/A$300

Requirements to qualify

Learn more

at Chase, Member FDIC

Dedicated business savings account

Live Oak Bank Business Savings

Learn more

at Live Oak Bank, Member FDIC

5.0/5
$0

4.00%

With $0.01 min. balance for APY

N/A

Learn more

at Live Oak Bank, Member FDIC

Cash deposits and withdrawals

Bank of America® Business Advantage Fundamentals™ Banking

Learn more

at Bank of America, N.A., Member FDIC

4.5/5
$16.00

N/A$200

Requirements to qualify

Learn more

at Bank of America, N.A., Member FDIC

E-commerce businesses

Found Small Business Banking

Learn more

at Found, Deposits are FDIC Insured

4.4/5
$0

N/A$20

Requirements to qualify

Learn more

at Found, Deposits are FDIC Insured

No-fee business checking account

nbkc Business Account

Learn more

at nbkc bank, Member FDIC

4.9/5
$0

N/AN/A

Learn more

at nbkc bank, Member FDIC

Sign-up bonus

U.S. Bank Silver Business Checking

Learn more

at U.S. Bank, Member FDIC

4.0/5
$0

N/A$800

Requirements to qualify

Learn more

at U.S. Bank, Member FDIC

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Our pick for

Earning interest

Bluevine Business Checking

Read Review
Learn more

at Bluevine, Deposits are FDIC Insured

APY
2.00%

With $0 min. balance for APY

Monthly fee
$0
Min. opening deposit
$0
Free cash deposits
No

Fees vary by location.

Overdraft fees
$0
Bonus
N/A

Our pick for

ATM fee rebates

Axos Bank® Basic Business Checking

Read Review
Learn more

at Axos Bank®, Member FDIC

APY
N/A
Monthly fee
$0
Min. opening deposit
$0
Free cash deposits
Yes

Unlimited

Overdraft fees
$25
Bonus
$400

Requirements to qualify

Our pick for

Cash-back rewards on debit card spending

Grasshopper Business Checking Account

Read Review
Learn more

at Grasshopper Bank, Member FDIC

APY
2.25%

With $0 min. balance for APY

Monthly fee
$0
Min. opening deposit
$100
Free cash deposits
No

No cash deposits.

Overdraft fees
$0
Bonus
N/A

Our pick for

Built-in payment processing

Chase Business Complete Banking®

Read Review
Learn more

at Chase, Member FDIC

APY
N/A
Monthly fee
$15.00

Waived with $2,000 minimum balance

Min. opening deposit
$0
Free cash deposits
Yes

Up to $5,000 per month.

Overdraft fees
$34
Bonus
$300

Requirements to qualify

Our pick for

Dedicated business savings account

Live Oak Bank Business Savings

Read Review
Learn more

at Live Oak Bank, Member FDIC

APY
4.00%

With $0.01 min. balance for APY

Monthly fee
$0
Min. opening deposit
$0
Free cash deposits
No

No cash deposits

Overdraft fees
N/A
Bonus
N/A

Our pick for

Cash deposits and withdrawals

Bank of America® Business Advantage Fundamentals™ Banking

Read Review
Learn more

at Bank of America, N.A., Member FDIC

APY
N/A
Monthly fee
$16.00
Min. opening deposit
$100
Free cash deposits
Yes

Up to $7,500 per statement cycle.

Overdraft fees
$10
Bonus
$200

Requirements to qualify

Our pick for

E-commerce businesses

Found Small Business Banking

Read Review
Learn more

at Found, Deposits are FDIC Insured

APY
N/A
Monthly fee
$0
Min. opening deposit
$0
Free cash deposits
No

$2 fee per deposit

Overdraft fees
$0
Bonus
$20

Requirements to qualify

Our pick for

No-fee business checking account

nbkc Business Account

Read Review
Learn more

at nbkc bank, Member FDIC

APY
N/A
Monthly fee
$0
Min. opening deposit
$0
Free cash deposits
Yes

Unlimited

Overdraft fees
$0
Bonus
N/A

Our pick for

Sign-up bonus

U.S. Bank Silver Business Checking

Read Review
Learn more

at U.S. Bank, Member FDIC

APY
N/A
Monthly fee
$0
Min. opening deposit
$100
Free cash deposits
Yes

Up to $2,500 per month.

Overdraft fees
$36
Bonus
$800

Requirements to qualify

Can you open a bank account as a sole proprietor?

Financial institutions typically don't limit business accounts to incorporated companies or restrict access based on factors like revenue or time in business. That means that sole proprietors can — and should — open a business bank account.
You can often open an account online or in person with just a few simple steps and the right documentation. While business account requirements will vary by bank, here's what you'll typically need as a sole proprietor:
  • A government-issued photo ID.
  • Business license.
  • Business name registration certificate or “doing business as” documentation.
  • Employer identification number (EIN) if you have one. Otherwise, your Social Security number.
  • Company details: industry and business type, when it was formed, and your business address and phone number.
You’ll also need to provide some personal information, including your date of birth, home address and phone number, and personal email address.

Do sole proprietors need business bank accounts?

A dedicated business bank account can help sole proprietors separate business and personal finances. This makes it easier to track business income and expenses, file taxes, and apply for business loans and grants.
If your business is more of a side hustle than a full-time operation, you may technically be able to use your personal checking account for business purposes (check your deposit agreement, though, as some banks prohibit this). But even then, using a dedicated business checking account can save you headaches come tax time and put you one step ahead if and when your business grows.

What sole proprietors should look for in a business account

Sole proprietors wear so many hats when running their business: CEO, social media manager, accountant, inventory specialist, tax preparer and tech support. Aim for a business account with features that let you hang up at least one of those hats, even for a little while.
  • Bookkeeping: Look for a business account that has built-in bookkeeping software, like Autobooks, or one that easily syncs with your existing accounting software.
  • Tax planning: Several online business accounts include tax-planning tools that automatically categorize expenses, identify potential deductions and help calculate what you need to save for self-employment taxes. A few will even generate the necessary tax documents, saving you time when you file.
  • Invoicing: A business account that includes free invoicing can cut down on the time it takes to get paid — that’s a real win. Make sure the account doesn’t limit the number of invoices you can send, and understand whether the invoices can be customized to include your business logo.
  • Ease of access: The account you choose should also be easily accessible, meaning there aren’t strict limits on transfers or deposits or high fees for activities that are routine for your business (if you do lots of wire transfers, for instance, or make frequent cash deposits). Take note of customer service hours, too. Some online business accounts rely primarily on email for customer support. That might work for some businesses but be a deal-breaker for others.
  • Interest or cash back: Another way to put your business account to work for you? Have it earn you extra money with features a high interest rate on idle funds or cash back on debit card purchases.
Last updated on July 15, 2024
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