Switching banks isn’t easy. Small business owners use their business bank accounts for the core parts of their operations, for everything from payroll and paying suppliers to receiving business income. Switching banks, or even just bank accounts within the same bank, may seem like nothing but hassle and extra work for business owners.
But sometimes you or your business simply need a better banking solution. The business banking solutions offered by many financial institutions are antiquated or one-size-fits-all, meaning that you may be dealing with a bank that’s more equipped to serve consumers than growing businesses. Your business is competing with enterprise-grade competitors, and your banking solution needs to increase rather than decrease your competitive advantage.
If you’re still hesitant about making a switch, you can start by simply evaluating your current banking priorities. Here are five signs that it’s time to seriously consider changing your business bank.
1. You’re paying high fees
How much is your business bank account costing you? How many types of fees do you pay? As a business owner, every fee and expense matters for the health and longevity of your company. And your bank should be helping you to succeed financially, not charging high and confusing fees that set your business back.
Many banks charge monthly “administrative” fees, which are usually collected when certain requirements (like a minimum account balance) are not satisfied. Other types of fees may include:
- In-network ATM fees
- Incoming wire transfer fees
- Paper document fees
- Transaction-minimum fees
If you feel like you’re getting nickel-and-dimed by your business bank, then it may be time to switch to a provider with no monthly fees. Your business banking partner shouldn’t charge you for standard banking services, and instead should provide you with the flexibility to conduct your banking activities in the way that’s best for your business.
2. You need a digital-first solution
Do you conduct most of your business banking online? As a business owner with many responsibilities, you may find that online banking saves you valuable time.
If your business bank is primarily a brick-and-mortar establishment with many physical locations, your banking needs may not be well matched with the bank’s key strengths. Your banking institution may not prioritize the development of its online offerings, instead putting its resources into physical locations that have little benefit to your business.
By switching to a bank with a primarily or exclusively online presence, you can benefit from a banking solution that’s better matched to your business’ needs. Plus, many online-only banks have lower cost structures with no physical footprints to maintain, so you might also get the benefit of lower or no fees––a double win.
3. You require some special features
Has your business evolved over time? Of course it has. Your banking needs are likely to evolve, too, meaning that your current banking solution may not offer everything that your business currently needs.
Here are couple of examples of ways your business banking needs can change:
- You need to make a higher number of transactions per month—without incurring any additional penalties or fees
- Your business has expanded into a larger geographic footprint and you need a bank with broader physical reach
- You want the opportunity to earn a higher interest rate
- You want to access other specific features such as merchant services or business loan products
If your bank is holding your business back with its limited offerings, then it may be time to switch. Adding new banking capabilities or features can provide a meaningful boost to your business.
4. You want better customer service
Are you a valued customer at your current bank, or do you feel like just an account number? If the positive vibes are lacking, then it may be time to switch to a bank that provides a better customer experience.
Bad customer service can take many forms, as many business owners can attest. Long wait times, impersonal or unhelpful interactions, and little ability to interact with a human can all impact the experience for business banking customers. Small businesses especially are often underserved by banks.
Business owners with many other responsibilities can greatly benefit from working only with banks that provide positive and efficient experiences. The best business banks value your time and overall satisfaction just as much as you.
5. You prefer to use one bank for everything
Do you have more than one business bank account? Maybe you have a business checking account with one institution, a business savings account with another, and business loan with a third provider. If you’re juggling multiple accounts—and paying more fees than you need to—then it may be time to consolidate your business bank accounts to one platform.
Using a single provider for your business banking solutions comes with multiple benefits. You can likely save time on account management and also lower your costs. You may even be able to negotiate better terms—on, say, a business loan—if you conduct all of your banking with a single provider.
Using one banking solution for everything can simplify your life as a small business owner with unique banking needs. Just make sure to choose the right provider, and to periodically reevaluate that decision as your business continues to grow.
Interested in switching to Bluevine? Learn more about the Business Checking account that’s built for small businesses like yours.