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Merchant Cash Advance: What You Need to Know Before Applying

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

Small business cash advance
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When you need cash personally, you probably try to steer clear of payday loans. These short-term loans are risky, providing small amounts of money at a high cost. The speed at which you could receive funds may be tempting, but the risk involved in taking out a payday loan should make you think twice before doing so.

On the business side, cash advance funds or merchant cash advances, present the same dilemma. Merchant cash advance companies hand over a set amount of money in exchange for a portion of your business’ future receivables, such as credit card sales. A cash advance gives you cash on hand almost immediately, but it can have long-term effects on your finances.

Although merchant cash advances represent less than 1 percent of the financing products available to small businesses, here’s how to feel prepared to make an informed decision when you consider taking this option.

What is a merchant cash advance?

Unlike an actual loan, a merchant cash advance typically doesn’t require collateral, a personal guarantee or liens. Cash advances also do not have a fixed payment schedule, whereas traditional loans do.

When you take on a merchant cash advance, the advance provider purchases a portion of your credit card sales or other receivables in exchange for a lump sum of money. Going forward, the cash advance provider receives a percentage of your daily sales until you pay off the debt. Because the repayment schedule is based on a percentage rather than a fixed amount, the cash advance provider receives a larger payment on days when your sales are high.

Business owners tend to use merchant cash advances to cover working capital needs, such as new equipment purchases, seasonal inventory, expansions or remodels, debt payoff or emergency expenses.

Cash advance providers may include a performance guarantee when you sign a contract. Generally, there is no obligation to repay a cash advance. That’s different from loans, which require various guarantees and have a promissory note of repayment to ensure borrowers pay back the funds. Companies use performance guarantees to give a cash advance the appearance of a loan and borrowers an added push to repay the debt. A performance guarantee would require you to agree not to take any action that would undermine your business performance, such as selling the business or filing for bankruptcy.

Repayment depends on the business continuing to receive credit card payments or other receivables, which means the obligation to repay the advance is conditional, exempting merchant cash advances from state usury laws. These laws regulate traditional loans that are unconditionally repayable and the laws usually put a cap on the rates that lenders can charge. Usury laws do not apply to merchant cash advances.

How a merchant cash advance works

After applying for a merchant cash advance, you could see funds in your bank account in a matter of hours or days after approval. Repayment starts automatically and could begin as early as the next day.

While some merchant cash advance companies specifically purchase your future credit card receivables, other companies may accept a range of receivables, Catherine Brennan, partner at Maryland-based law firm Hudson Cook, told MagnifyMoney. Instead of taking a portion of your daily credit card sales, a cash advance company may make a daily withdrawal from an account that holds your receivables. This type of funding is similar to revenue-based financing, in which a company purchases a percentage of your total revenue rather than just your receivables.

Several companies use the Automated Clearing House Network (ACH) to set up direct electronic transactions between bank accounts. Companies that use a fixed ACH program collect a set amount of money from your business checking account each day. Some merchant cash advance contracts allow you to adjust the company’s daily withdrawal if business temporarily slows down, Brennan said.

“One of the key benefits of this [feature] is it’s supposed to be based on what you generate,” Brennan said.

If the merchant cash advance provider wants to collect part of your credit card receivables, the company may require you to switch to a credit card processing system of their choice to collect money.

Because repayment is based on your daily credit card sales in this situation, the more card transactions your business does, the faster you pay off the advance. However, if sales are slow, you still have to fork over a portion of your daily transactions.

Cash advance companies use factor rates to determine the cost of the advance instead of annual percentage rate, or APR, which is used to calculate interest on traditional loans. A factor rate is written as a decimal figure rather than a percentage and is multiplied by your funding amount. For example, a $10,000 merchant cash advance with a factor rate of 1.25 would cost $2,500, and you would owe the company $12,500 in total. When shopping for a cash advance, look for the lowest factor rate, Brennan said.

The pros and cons of cash advance funding

Pros

  • Fast cash. The underwriting process for merchant cash advances is less involved than the process for traditional bank loans, which contributes to the speed at which you receive funds, Brennan said.
  • Lenient eligibility requirements. Cash advance companies often target business owners with poor credit who may not qualify for other types of funding. However, a reputable merchant cash advance provider will have criteria that customers must meet, Brennan said. Watch out for companies that don’t have any eligibility requirements.
  • No obligation to repay. A merchant cash advance contract obligates you to keep your business running so the company can continue collecting receivables, Brennan said. If the business fails despite your best efforts, you’re not on the hook for a cash advance.

Cons

  • High cost. Because the underwriting process is so quick, the cost of merchant cash advances is high, Brennan said. Underwriting typically puts your credit history under a microscope to reduce the risk for the lender. Without going through that process, cash advance companies don’t reduce any risk, which leads to higher prices.
  • Your debt could build. Because cash advances are expensive, some business owners end up taking out more than one advance to cover the costs of their current advances, which is known as “stacking.” Cash advance companies may include contractual provisions that prevent business owners from stacking, Brennan said.
  • Fluctuating payments. It could be difficult to forecast how much will be taken out of your sales each day, and it may be difficult to plan around the payments.
  • Deceptive marketing. Some cash advance companies are deceptive when advertising their products. It’s important to look for fees or penalties that are not disclosed up front, which could make the cash advance more expensive.

Merchant cash advance FAQs

When you sign a contract for a merchant cash advance, you agree to continue operating your business to the best of your ability to ensure the cash advance company will receive a portion of sales.

Many merchant cash advance companies approve businesses for funding within a few hours and funding is delivered the next day.

A merchant cash advance company may collect a fixed percentage of daily credit card transactions or make a pre-scheduled withdrawal from your business account for a bank-to-bank transfer.

You could typically use your merchant cash advance to cover any business expense.

Where to get a merchant cash advance

Merchant cash advance companies operate online, and both the application and underwriting processes are completed digitally.

Some companies are direct lenders, which means they directly supply the capital to your business. When working with a direct lender, the name of the capital provider on the application should be the same as the name on the contract for the cash advance. If you work with a company that is not a direct lender, the company may send the information from your application to several different funding companies, which may all pull your credit. When a potential lender checks your credit, it’s considered a hard credit pull. Multiple hard credit pulls in a short amount of time could bring down your credit score. A direct lender only pulls your credit once, making minimal impact on your score.

Merchant cash advances are also available from independent sales organizations, or ISOs, that act as brokers for cash advance providers, Brennan said. They may work with a variety of companies and be able to provide you with information on a range of products. However, ISOs generally rely on commission and may push you toward a product that isn’t suited for you and your business.

“As a merchant, buyer beware is a good frame of mind,” Brennan said.

Alternatives to merchant cash advances

If you’re uncomfortable with the premise of a merchant cash advance but need capital quickly, online business lenders can offer fast short-term funding that traditional banks are hesitant to provide, Brennan said. Here are a few alternatives to merchant cash advances:

Working capital loans

Working capital loans are short-term products used to cover day-to-day business expenses. They typically must be paid off quickly and often come with high interest rates. You may need collateral to secure the loan, but the application process is less demanding than other loans and you could receive funds within a week.

Business line of credit

Instead of borrowing a lump sum of money, a business line of credit allows you to draw from a set amount of funds as you need it. You only pay interest on the amount you borrow. A business line of credit may require a personal guarantee and collateral, and your personal credit may be a determining factor. But you could use a business line of credit to boost cash flow and cover daily costs, building up your business credit at the same time.

Equipment financing

If you need to purchase specific materials for your business, equipment financing could help you cover those expenses. These loans tend to have low rates, as the piece of equipment acts as collateral. Credit history may be a deciding factor and you could be required to contribute a down payment, but payments on equipment loans are generally manageable.

The bottom line

Established business owners who have a good understanding of their operating expenses and can afford to turn over a portion of their daily receivables would be well-suited for a cash advance, Brennan said. This type of financing would be best for short-term expenses like a new air conditioning system, new signage or other equipment, she said.

If you’re interested in obtaining a merchant cash advance, you should understand exactly what you’re getting into, Brennan said. Take your time shopping around to find a company that offers the funding you need and terms you’re comfortable with.

The key piece of information when it comes to cash advances is factor rates, and you should find a company with the lowest ones, Brennan said. Many cash advance providers have become more transparent in disclosing factor rates upfront, Brennan said. Otherwise, you may not find out the rate until after you’ve gone through the application process.

Before selecting a merchant cash advance, you should pay close attention to the total amount that the company expects you to repay, because that will tell you the true cost of the advance. The percentage of your daily sales that the company will take is also important to note, but it won’t show the full cost of the advance.

Merchant cash advances are a relatively new financing product, which creates an opportunity for customer confusion, as well as deceptive practices, Brennan said. Because lending laws do not apply to merchant cash advances, business owners don’t have much legal standing if they want to get out of a bad agreement, she said.

However, if you’ve read the fine print and feel comfortable with the level of risk involved, a merchant cash advance may be a workable option to cover your immediate business needs.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Melissa Wylie
Melissa Wylie |

Melissa Wylie is a writer at MagnifyMoney. You can email Melissa at [email protected]

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Small Business

How to Convert Your For-Profit Business into a Nonprofit

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

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Converting a for-profit business to a nonprofit entity could be a smart move if charity and community impact has become your focus as a business owner. But making the change requires more than applying for tax-exempt status.

The process would largely depend on your state’s laws regarding business conversions, and not every company can become a nonprofit organization without a good reason for doing so. Only certain types of businesses can turn into a tax-exempt entity, a procedure that requires filing paperwork with state organizations and the IRS.

Keep reading to learn what it takes to turn a for-profit enterprise into a nonprofit organization, and if it’s the right move for your business.

Reasons to convert a for-profit business to a nonprofit

Although there are several tax-exempt designations within the IRS’ Internal Revenue Code, most nonprofits fall under the 501(c)(3) umbrella for charitable, religious and educational organizations.

The benefits of 501(c)(3) status include exemption from federal income tax, as well as the ability to receive tax-deductible charitable donations. Organizations with the 501(c)(3) designation are also more likely to receive recognition from grant-making institutions and foundations.

Before you can be awarded tax-exempt status, you would need to meet the IRS’ criteria. Organizations may not be formed to benefit private interests, and no portion of the organization’s net earnings can benefit a private shareholder or individual. Nonprofit employees can earn a salary though.

Meeting these requirements could be difficult as a for-profit business, unless you’ve had charitable intentions from the start, said Gene Takagi, an attorney with NEO Law Group, which represents nonprofit and tax-exempt organizations.

“Consider making that conversion if the existing for-profit entity really has a goal that’s not financial…but is really all about providing a public service or public good for charitable or welfare purposes,” he said.

Here’s an example: A neighborhood store that sells the work of low-income artists started as a for-profit business to get equity investments from community members but was unable to generate substantial interest and capital. Turning the business into a nonprofit organization would allow the owners to collect philanthropic donations to keep the store open. Because the business had a charitable, community-focused intent from the start, it could be approved for tax-exempt status.

But if a business seeks 501(c)(3) status for less charitable reasons, the IRS could deny the request, Takagi said. For instance, a failing business looking to get out of tax obligations couldn’t become a nonprofit without making operational changes.

“You’re really going to have to make a good case to the IRS,” he said. “It’s got to look different than what you were doing in the past.”

Converting for-profit to nonprofit: 5 steps to follow

Nonprofits are highly scrutinized, and business owners may be faced with more regulations than they’re used to, said Brenda Asare, president and CEO of The Alford Group, a consulting firm that advises nonprofits.

“Those processes are in place to dissuade people who may want to come into this sector to take advantage of other people philanthropically,” Asare said.

To make sure you correctly convert your for-profit business to a nonprofit, here are a few steps to follow.

1. Check entity conversion laws in your state

When you form a business, you must set up a certain entity, or structure, which determines the number of owners a business can have, the owners’ personal liability and taxes the business owes. Common entities include sole proprietorships, limited liability companies (LLCs) and corporations. Nonprofits are usually formed as corporations, though they are able to receive tax-exempts status.

When changing your business to a nonprofit, you would have to convert the current structure to a nonprofit corporation structure. Depending on where you live, only some entities may be eligible for conversion.

In Louisiana and California, for example, corporations, LLCs, general partnerships and limited partnerships can convert to another type of entity through the state’s Secretary of State office. On the other hand, New York does not permit statutory conversions for business entities. Instead, business owners must establish a new entity, then merge the two companies into one.

Check with your state’s Secretary of State office to make sure you would be permitted to change entities.

2. File conversion paperwork

Because nonprofits are corporations, they must be incorporated through the local Secretary of State. If your for-profit business was formed as a corporation, a conversion could be as simple as amending your incorporation documents, also known as articles of incorporation. You’d need to file incorporation forms again to make the conversion, which would typically range in cost from $50 to $150. Additionally, because a nonprofit corporation does not have ownership, as a board of directors shares responsibility of the organization, existing shareholders of the for-profit business would have to forfeit ownership.

If your business is not a corporation, you would need to file new articles of incorporation with your Secretary of State. The articles of incorporation would call for the organization’s name, the purpose of the nonprofit and a designated registered agent to receive lawsuits and correspondence on behalf of the organization.

Other requirements when forming a nonprofit corporation include appointing a board of directors to make decisions about the organization’s activities, finances and legal compliance and drafting bylaws that regulate the board’s management and activities. The board of directors would also approve your compensation as the executive director or CEO of the organization, including your salary, health insurance and paid leave.

3. Apply for tax-exempt status with the IRS

You would need to submit IRS Form 1023 to apply for tax exemption under the 501(c)(3) code. Additionally, you would need to include a statement of your receipts and expenses, a copy of your articles of incorporation, a written description of your organization’s activities and a copy of your bylaws. You may need to apply for tax exemption at the state level as well.

For instance, nonprofits in California must file Form 3500A with the California Franchise Tax Board to be exempt from state income taxes. Organizations in Texas need to file Form AP-204 with the Texas Comptroller of Public Accounts, while nonprofits in Florida must submit Form DR-5 to the state’s Department of Revenue.

Timing is key when forming a nonprofit and requesting 501(c)(3) status, Takagi said. Make sure your organization is compliant as a nonprofit — meaning you have a charitable purpose, board members and bylaws in place — as soon as you make the entity conversion. This could help you avoid getting turned down for tax-exempt status and owing taxes to the IRS, he said.

4. Decide what to do with your business assets

After you convert a for-profit corporation to a nonprofit organization, all existing business assets would be held in a charitable trust, which means assets could only be used for the organization’s charitable purposes going forward. Intellectual property could be included as well, such as books, music or art.

You could take assets out of the business before making the conversion if you want to limit the assets that are put into the nonprofit, Takagi said. Then, any assets you decide to put into the nonprofit at a later time could be categorized as a charitable donation.

If you’re concerned about a delay in receiving tax-exempt status, you may not want to lock all of your assets in a charitable trust right away. You could form a separate nonprofit and continue running your business to maintain access to your assets, Takagi said.

“It might be more practical in some cases to not convert but run them side by side for a little while,” he said. “Then either merge or dissolve the company and then donate assets to the nonprofit at that time [when] you already know the nonprofit has 501(c)(3) status.”

5. Set up your fundraising strategy

Once you no longer run a for-profit business, you must begin collecting charitable donations to keep the operation afloat. Nonprofits need to generate a profit, despite their title, but those profits must be reinvested in the organization rather than distributed to owners and shareholders, as a business would do.

State laws regulate fundraising activities. You may be required to register with a state entity before you begin soliciting donations from local residents, and you may need to register in multiple states if your donor base crosses state lines. For example, nonprofits in North Carolina must obtain a license from the Charities Division of the Secretary of State’s office. Depending on your state, you could be required to renew your registration each year to continue legally accepting donations.

Private and public grants and individual donations are common funding avenues for nonprofits. Donors would likely want to understand the organization’s mission and target market before giving money. A misconception about the nonprofit sector is that organizations can easily secure money with few strings attached, Asare said. However, donors often scrutinize nonprofits before making a contribution.

“Nowadays, there aren’t many places you can get money without the expectation that organization is making an impact,” she said.

Donors could be suspicious of a nonprofit that was formerly a for-profit business, Asare said. Be prepared to explain how you plan to spend donations to show you’re not seeking personal financial gain.

“I think a good measure would be looking at what percentage of the dollar is going to the services and programs,” she said. “This is something donors are interested in and they will ask.”

Ongoing requirements after making the switch

After you’ve made the change from for-profit to nonprofit, you’d need to meet ongoing requirements to remain compliant as an organization. From filing certain tax forms and reports to paying particular taxes, here are some requirements to keep on your radar:

Form 990: Most tax-exempt organizations are required to file IRS Form 990 each year. Nonprofit entities must describe the organization’s activities, governance, financial information and accomplishments to justify its tax-exempt status.

Organizations that have generated at least $200,000 annually or have assets worth at least $500,000 must file Form 990 yearly, while organizations with fewer assets and a lower income can file Form 990-EZ, a shorter version of the form. Form 990-N, which is even shorter, is available to nonprofits with gross receipts of $50,000 or less.

Employment taxes: Nonprofits with employees must pay employment taxes, which include federal income tax withholding and Social Security and Medicare taxes. You could be responsible for federal unemployment tax as well.

State filings: States often require nonprofits to file reports each year. These reports could include corporate filings, financial reports, fundraising registrations and state tax-exemption forms. Failing to file annual reports with your state office could result in penalties or loss of your tax-exempt status.

The requirements for nonprofits may seem excessive, but policies are in place to ensure that organizations are honest about how the program uses donated money, Asare said. Compliance standards act as a safeguard to make sure money is going toward services and not into the pockets of the people in charge.

“The window is closing on some of that bad behavior,” she said.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Melissa Wylie
Melissa Wylie |

Melissa Wylie is a writer at MagnifyMoney. You can email Melissa at [email protected]

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Small Business

Brick-and-Mortar vs. Online Banks: Which is Better for Small Businesses?

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

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Separating your personal and professional finances is crucial when starting a business, and changes in technology are making it more convenient to do so. Not only could you turn to traditional brick-and-mortar banks, but you could take advantage of the resources that digital banks offer.

Opening a business bank account would allow you to clearly track your income and expenses without putting your personal spending in the mix. Managing a business bank account would also help you build your credit profile — you could become eligible to open a business line of credit or credit cards connected to your account.

Whether you choose an online bank or a brick-and-mortar bank would depend on which type fits your needs as a business owner. Keep reading to find out what kind of bank would be best suited for you.

Small business banking: Brick-and-mortar vs. online banks

A key difference between traditional and online banking is the flexibility that digital banks provide, said Barry Coleman, vice president of counseling and education programs at the National Foundation for Credit Counseling. Small business owners could have around-the-clock access to online banking services as long as they have a device and an internet connection.

“This can certainly help busy business owners who are strapped for time by allowing them the option to bank on their schedules,” he said.

Brick-and-mortar banks

Although most brick-and-mortar banks now offer online banking features, consumers still must make some transactions in person, Coleman said, such as cash transactions that require personal identification. When opening a business checking account with Chase, for example, customers must meet with a business banker before enrolling in online and mobile programs. Still, this could be a draw for some business owners.

“Some consumers are simply more comfortable having a physical banking location where they can perform transactions and speak to banking associates in person,” Coleman said.

New business owners could also benefit from the guidance that bankers provide, said Grier Melick, business consultant at the Maryland Small Business Development Center. Establishing a personal relationship with a banker could also be beneficial if you plan to apply for a small business loan. You may have a better chance of being approved for funding if the bank already knows and trusts you.

“Oftentimes, small business owners do not know everything that they need to from a business banking perspective,” Melick said. “Having some direct human involvement can help with that.”

Online banks

Online banks have lower overhead costs than traditional banks, and those lower costs typically result in higher interest rate yields on deposits for digital banks than branch-based banks, he said. For instance, a high-yield business savings account could have an APY as high as 2% and no minimum account balance.

However, brick-and-mortar banks have the advantage of allowing customers to make cash deposits or withdrawals; an online bank typically wouldn’t offer that feature, Coleman said. Online banks sometimes belong to free ATM networks, like Allpoint, which would allow you to avoid the withdrawal fees that you’d incur at other ATMs.

Best of both worlds

It’s possible to have accounts at both types of banks, Melick said. For example, the owners of a brick-and-mortar store may start with an account at a local bank branch, then open a digital account when they decide to start selling online.

“Instead of severing ties with the bank, they could open an online account as well to handle their other revenue streams,” he said.

You could be subject to banking fees at both traditional and online banks, Coleman said. However, online banks generally charge considerably fewer fees and you may be able to avoid overdraft, monthly maintenance and ATM fees that come with a traditional bank account.

Here’s a quick look at how the two types of banks stack up.

Online banksBrick-and-mortar banks
24/7 access to accounts and banking features.Online banking features typically offered, but some transactions may have to be completed in-person during bank hours.
High-yield accounts available.Lower interest rates because of overhead costs.
Customers cannot complete in-person cash transactions or meet with bank representatives.Customers can make cash transactions, and bank representatives are available for meetings.

Digital services on the horizon for traditional banks

Online banks are growing in numbers and popularity, Coleman said. Traditional banks have taken this trend as a cue to bolster digital offerings for consumers.

“As a result, we are seeing traditional banking introduce more digital options for providing services,” he said.

The presence of digital financial technology is expanding within the financial services industry, comprising 7% of the total equity of U.S. banks, according to research from consulting firm McKinsey. To keep up, traditional banks must consider ramping up digital efforts in areas such as design, innovation, personalization, digital marketing, data and analytics to provide value to customers.

A few traditional banks rolling out expanded digital services include:

Bank of America

Earlier this year, Bank of America created Business Advantage 360 for customers who have business deposit accounts with the bank. The free tool provides a digital dashboard showing business owners their major expenses and transactions, as well as automated cash flow projections that can be adjusted to account for new sales or other data. Users can also connect with small business bankers through the dashboard.

PNC Bank

PNC Bank rolled out a digital business lending platform this year in partnership with OnDeck, an online small business lender. Leveraging OnDeck’s digital loan origination process, PNC aims to provide customers with business financing in as few as three days, a significantly faster timeline than how long it would take to process a conventional bank loan.

Popular Bank

Similarly, New York-based Popular Bank announced a partnership last year with Biz2Credit, an online lender serving small businesses. Popular Bank leans on Biz2Credit’s technology to digitally process loan applications outside of regular bank hours, effectively speeding up time to funding.

As the lines begin to blur between online and brick-and-mortar banks, business owners may find themselves with an increasing amount of digital opportunities. However, a demand for brick-and-mortar banking will likely remain. Small business owners who borrowed from an online lender reported feeling less satisfied than those who borrowed from a community bank — 49% vs. 79% — according to a Federal Reserve survey.

“Whether consumers turn to online only banks, or traditional banks that offer online products and services, the availability of online options will more than likely continue to grow,” Coleman said.

Which bank is best for your small business?

Whether you choose an online bank or a brick-and-mortar bank to house your business funds would depend on your personal preference, Coleman said.

No matter which you pick, make sure the Federal Deposits Insurance Corporation insures your bank of choice, he said. Single consumer accounts, joint accounts and business accounts, among others, would be protected at FDIC-insured banks in the event of bank failure. Deposits up to $250,000 should be safe and covered.

If you like having the ability to sit down with a banking professional to discuss your business needs, a branch-based bank could be the better choice, Coleman said. The physical presence that traditional banks provide could add a level of trust and reassurance. Keep in mind, though, that most locations have standard business hours that may not be conducive to your schedule as a business owner, he said.

A digital bank would allow you to complete your banking activities on your own time, said Coleman, though traditional banks oftentimes provide online services as well. He also noted that you may want to avoid using a public WiFi network to make business transactions, as those networks may not be secure and your information could be vulnerable.

A digital bank wouldn’t offer the same in-person service as a traditional bank, Coleman said, but you may not feel like you’re missing out.

“If the business owner already knows what they are looking for in a bank, and the online bank meets their needs, then they may prefer the online bank for its convenience, potential lower fees and higher interest on deposits,” he said.

All business owners should at least consider opening a high-yield savings account for cash that isn’t needed for daily operations, Melick said.

“Small businesses need to make sure that every penny they make works for them,” Melick said. “Oftentimes, the best way it can is through online banking accounts.”

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Melissa Wylie
Melissa Wylie |

Melissa Wylie is a writer at MagnifyMoney. You can email Melissa at [email protected]