Here, we give a few quick tips for small business owners to better manage their business banking journey.
It's amazing how many small businesses will stick with the same way of banking, or the same bank, for years – even if it doesn't really work for them. We all get used to doing things a particular way, and it's only when it's pointed out to us that we realise how inefficient and unsuitable that method is.
If you're concerned that your bank isn't working for you, it's time to make a change. Switching accounts is easier than ever before, but how do you find the right bank for you Here are some key areas of small business banking to consider.
Banking methods and easy access
While consumer banking has made it incredibly easy to access a wide range of banking services from virtually any device, not all business banks have managed to keep up. You need to find a flexible, tech-savvy and modern banking solution that gives you access to your account from any device, and from anywhere in the world. Do you need a relationship team to contact, or perhaps a dedicated account manager You may not think you need this now, but in the future you'll be very glad you made the change.
Loans and finance solutions
The right business bank is one that is on hand to help when times get tough, or when an emergency happens. It's much easier to access loans and finance from your own bank, but only if they reward your loyalty as a customer with agreeable rates and terms. So, while looking at business current accounts available, make it a priority to also check out what kinds of loans and credit accounts they offer.
Charges and interest
Before looking at banks and accounts, sit down with your statements and accounts to look at how you actually manage your banking. What services do you actually use For example, if you regularly rely on your overdraft, you'll need a generous limit and low charges. Do you need to pay in cheques, and do you need a business credit card with the account How much do you actually pay in each month Answer these questions and you'll be able to narrow down your choice of account.
Strategy and planning
Some business-focused financial institutions will offer more than just everyday banking services. They can even help you with business planning, helping you to get more from your savings and to manage a working capital strategy on your behalf. They will have expert financial managers on hand to help with business plans and financial goals, which could help your business in the future. Although, you should be aware that these services are bound to cost more.
As you can see, choosing a new bank isn't as simple as comparing interest rates online. However, it is very important to take all of the above on board and to find the right banking method for your business. It could affect your financial future, so it's crucial to take it seriously.