For small businesses in Michigan, the value of a dependable banking partner is immense. It’s crucial for the growth and success of your business to choose a bank whose services complement your business objectives.
We have identified the top banks for small businesses in Michigan that stand out in their offerings. Continue reading to discover which banks could best meet your business needs and understand why they made our list of the best banks for small businesses in Michigan.
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In our detailed search for the best banks for small businesses in Michigan, we evaluated several key factors including the fees each bank charges, their minimum balance requirements, maintenance costs, and transfer fees.
We looked into their interest rates on deposits, mobile and online banking capabilities, customer incentives, and the extent of their integrations. This comprehensive assessment helped us identify the top banks suited for small businesses in the region.
Bluevine offers high-yield interest rates that are beneficial for small businesses in Michigan. As a banking partner, Bluevine stands out with its no maintenance or transaction fee policy and high-interest offerings. It provides an easy-to-use business checking account and robust mobile banking services for convenient financial management on the go.
Why we chose it: Bluevine combines high-interest rates, minimal fees, and no maintenance requirements to make it the ideal business bank account for LLCs and other business entities.
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Bluevine allows you to manage your finances without monthly fees, ensuring cost-effective banking. However, using out-of-network ATMs incurs charges, and each cash deposit costs $4.95, so it’s best to use these services judiciously.
Bluevine offers a standout 2.0% APY, significantly above the national average, applicable on balances up to $100,000. Once your balance exceeds this limit, the additional funds will not earn interest. With a business checking account, you can earn up to 4.25% APY.
There are no minimum balance requirements with Bluevine, enabling small businesses to start banking with little to no initial funds and still benefit from high-interest rates.
Bluevine’s mobile app enhances banking flexibility, allowing you to manage your accounts, make payments, and schedule transactions effortlessly from anywhere. This well-designed app also supports vendor payments via wire or check.
Capital One is an excellent choice for small businesses in Michigan, offering a comprehensive suite of services, features, and tools to support business financing and growth.
Capital One provides unlimited free transaction processing, business savings accounts, low and waivable maintenance fees, and quick access to credit lines and credit cards. With its mobile capabilities, you can handle your banking needs remotely with no need to visit a physical branch.
Why we chose it: Capital One offers unrestricted digital transfers, giving you the flexibility to manage funds seamlessly.
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Capital One’s business accounts are subject to a $15 monthly fee, which can be waived by maintaining a $2,000 balance over a 30 or 90-day period. There are no fees for using any of the 70,000 ATMs within Capital One’s network.
Capital One’s business savings accounts offer interest rates up to 0.20% for the first year on balances up to $5 million, providing substantial growth potential for small businesses. The bank’s checking accounts don’t earn interest, enhancing the appeal of free digital transfers.
There’s no minimum balance requirement to keep Capital One accounts open, but maintaining at least $2,000 in your checking account helps avoid the monthly service fee. Placing extra funds in your savings account can accrue some interest.
Capital One’s highly-rated mobile app compensates for the lack of physical branches, allowing you to perform transfers, make digital payments, and deposit money using your device’s camera. The app also includes access to Capital One’s CreditWise service, which helps monitor your credit score and provides financial tips.
Lili Bank optimizes the operating conditions for small businesses, providing them with easy access to capital and low-cost banking solutions. Lili offers accounts with minimal fees, including features like account tracking, auto-saving, and various other business management tools.
Small businesses can benefit from Lili’s free online business checking accounts, which come with no monthly fees or minimum balance requirements. Lili boasts a user-friendly interface across all platforms, making account management straightforward and accessible.
Why we chose it: Lili’s minimal fees and tax optimization software are excellent for helping businesses retain more of their hard-earned money. If you’re searching for an online business checking account with no credit checks, Lili offers a standout solution.
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Lili excels with its free tax software, eliminating account and overdraft fees. There are no charges for foreign transactions or for using any of the 38,000 in-network ATMs across the United States. However, using an out-of-network ATM may incur a charge between $2.50 and $5.
Lili’s Business Checking account doesn’t offer interest. For those interested, a savings account with a 1.5% APY is available, although maintaining at least $34,000 in the account is necessary to avoid monthly fees.
Lili Bank doesn’t require a minimum balance for its checking accounts, making it an attractive option for new businesses or those with variable incomes.
Lili Bank’s mobile app is tailor-made for freelancers and small business owners. It enables you to manage finances effectively from mobile devices, including tracking expenses, saving for taxes, and handling payments. The app also includes features like instant payment notifications, budgeting tools, and the capability for mobile check deposits.
U.S. Bank is a prime choice for small businesses in Michigan seeking loans and business credit. Known for its rapid loan processing, U.S. Bank offers small businesses across the US access to funds with reasonably low-interest rates to facilitate their growth.
Additionally, U.S. Bank provides merchant services, a wide national presence, and an extensive network of ATMs to meet cash and other service needs. Competitive yield rates are also a part of the benefits U.S. Bank offers to its customers.
Why we chose it: U.S. Bank presents a range of lending options ideal for small businesses looking for additional funding.
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With U.S. Bank’s silver checking package for small businesses, you can enjoy a monthly fee-free experience. While higher-tier accounts may come with waivable monthly fees as your business expands, it’s important to monitor your transaction frequency to avoid penalties for excess activity.
U.S. Bank’s checking accounts don’t offer interest opportunities. However, their savings accounts come with perks, though the highest current interest rate is only 0.01%, without a cap on the balance that can earn interest.
U.S. Bank’s silver account package, specifically designed for small businesses, requires no minimum balance. Waivable fees apply to other checking accounts based on maintaining specified balance amounts. Savings accounts require a minimum of $500 to avoid service charges.
Even if you’re far from a U.S. Bank branch, their robust mobile app allows you to manage all your banking needs remotely. The app facilitates easy fund transfers between accounts and informs you about your financial status with customized alerts.
Oxygen is an online bank tailored for small businesses in Michigan, offering significant cashback rewards to help reduce expenses. Customers receive a 5% cashback on purchases made with the Oxygen debit card, providing substantial savings. Oxygen operates entirely online, eliminating the need for physical branch visits and allowing business operations to be managed remotely. Small businesses benefit from fee-free wire transfers.
Why we chose it: Oxygen resonates with the modern, stylish business owner by offering innovative banking features, making it one of the best checking accounts for sole proprietors.
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Oxygen markets itself as having no fees, although charges may apply for out-of-network and international withdrawals. There are no fees associated with ACH transfers or account maintenance.
Oxygen doesn’t offer interest on business checking accounts but includes a savings option where funds can accrue 1.0% interest on balances up to $20,000. Higher balances earn interest at a reduced rate.
There are no minimum balance requirements for Oxygen’s checking and savings accounts, ensuring no monthly fees regardless of the account balance.
Oxygen provides a mobile banking app designed to support small business owners in managing their finances seamlessly. The app allows for check deposits, bill payments, and account statement generation. It also includes features to track your finances effectively, helping you stay informed about your financial health on the go.
Axos is a comprehensive and user-friendly online bank tailored for small businesses in Michigan. It provides exceptional 24/7 customer service, ensuring that small businesses are never left unassisted with their banking concerns.
Axos is particularly well-suited for small businesses in Michigan due to its minimal or nonexistent transaction fees, lack of minimum balance requirements, zero monthly fees, and no charges for ATM transactions.
Axos equips businesses with automatic tools for tracking banking activities like deposits and withdrawals, simplifying account management. Small businesses in Michigan also benefit from access to a free business checking account.
Why we chose it: Axos Basic Business Checking’s lack of cash deposit fees and low overall fee structure make it one of the best business bank accounts available.
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Axos Bank Basic Business Checking doesn’t impose a monthly maintenance fee or have requirements for keeping your account open. Any ATM fees incurred are reimbursed, rendering this account essentially cost-free. Be mindful of a $35 fee for each wire transfer if you frequently use this service.
While this account doesn’t offer an annual percentage yield, focusing instead on practical business perks, those with additional funds can benefit from Axos’s interest-bearing business savings accounts.
There are no minimum balance requirements for Axos’s checking and savings accounts, making it an appealing choice for small business owners who may not have substantial funds.
Axos Bank’s robust mobile banking app lets customers manage their finances effectively on the go. Features include the ability to deposit checks, transfer funds, pay bills, and conduct wire transfers directly from mobile devices. The app also offers account alerts and budgeting tools to help keep your finances in check.
Bank of America serves as a key merchant bank for small businesses in Michigan, providing services that support growth and expansion. The bank offers various reward programs, including fee waivers, which help businesses reduce operational costs. Bank of America provides mobile and online banking solutions, enabling business owners to manage their accounts and perform transactions from anywhere.
Why we chose it: Bank of America’s rewards program comes with multiple benefits, making banking beneficial for all involved parties.
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Bank of America’s standard checking account incurs a $16 monthly fee, which can be waived by maintaining a $5,000 monthly balance, spending $250 on your debit card, or joining the Preferred Rewards program. Be aware of additional fees for using out-of-network ATMs and for excessive deposits within a month.
Most small business savings accounts at Bank of America start with a 0.01% interest rate, potentially increasing to 0.04% with active participation in the rewards program. The bank’s checking accounts don’t offer interest.
Maintaining an average monthly balance of $5,000 in your checking account will eliminate the $16 service fee. To avoid a $10 monthly charge, keep at least $2,500 in your savings account.
Bank of America’s mobile app is valued for its functionality. It allows you to manage your accounts, pay bills, and transfer funds from any location. The app includes a budgeting tool to help track and control your spending efficiently.
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Chase Business offers a variety of business services including payment collection, fraud protection, and a $300 bonus for new sign-ups. Businesses can accept credit card payments directly through the Chase Business app. Although there’s a monthly service fee, Chase Business provides several ways to waive it.
Why we chose it: Chase Business provides extensive banking solutions that go beyond basic needs with a comprehensive array of business services.
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While the monthly service fee might deter some, it can be waived by maintaining a $2,000 minimum daily balance, making $2,000 in net purchases with a business credit card, or receiving $2,000 in deposits via the Chase Business QuickAccept feature.
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Chase Bank equips small businesses in Michigan with comprehensive merchant services and substantial credit lines, along with a range of business management tools and banking convenience. Business account holders at Chase benefit from advanced payment processing systems. New business account sign-ups can receive a $300 bonus.
Why we chose it: Chase enriches its traditional banking services with an extensive array of merchant services designed to foster business success.
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Chase Business Complete Banking begins with a $15 monthly fee, which can be waived by maintaining a $2,000 daily balance, making deposits via Chase QuickAccept, or using a Chase Ink Business Card for purchases. Keep in mind, after the initial 20 free transactions, additional costs apply, and it’s advisable to avoid expensive wire transfers.
Chase doesn’t offer interest on business checking accounts. However, opening a business savings account can yield up to 0.02%.
To avoid the monthly service fee at Chase, a minimum of $2,000 should be kept in the checking account consistently. Falling below this balance even once a month can trigger the fee. Savings accounts don’t incur fees as long as an active checking account is maintained.
Beyond regular banking activities, the Chase mobile app offers functionalities like locking or unlocking your credit card if lost, a budget planning feature for major purchases, and credit monitoring tools to safeguard your financial health.
To determine the best banks for small businesses in Michigan, we evaluated several key factors:
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If you’re a small business owner in Michigan, here are some FAQs that might help address your queries:
To open a business bank account in Michigan, you’ll need your business documents, personal identification for the business owners or authorized signers, and a minimum deposit if required by the bank. Some banks may also ask for additional documents like your business plan or proof of address.
Yes, opening a bank account with an Employer Identification Number (EIN) is recommended, especially for businesses with at least one employee, as it’s necessary for tax purposes. If you’re a sole proprietor, you could use your Social Security Number (SSN), but be aware that this could complicate the separation between your personal and business finances.
Opening a bank account in Michigan without an SSN can be challenging. You may also consider applying for an Individual Taxpayer Identification Number (ITIN) from the IRS to facilitate the opening of an account. Ultimately, according to state laws, it’s up to the bank to decide which forms of identification they will accept.
It’s prudent to reserve at least six months of operating expenses to safeguard against unexpected business downturns. If feasible, save at least 10% of your monthly profits to help grow these reserves. This financial cushion can be invaluable during slower business periods.
When selecting a banking service provider for a small business, it’s crucial to consider your choice of bank. The decision can be challenging, but it’s essential to avoid selecting a bank that could hinder your business’s success.
We highlighted Bluevine as a top choice for small businesses in Michigan, but our roundup also includes other excellent options.
The banks featured in our roundup offer low fees, no minimum balance requirements, cashback rewards, and other benefits. Any of these banks would be a great choice for supporting the financing and growth of your small business in Michigan.
Judith Harvey is a seasoned finance editor with over two decades of experience in the financial journalism industry. Her analytical skills and keen insight into market trends quickly made her a sought-after expert in financial reporting.
