Choosing the right business account

Opening a business banking account is a key step in any successful business venture.

Having a business account helps separate your personal and business transactions; it provides a more organised handling of transactions especially when the tax season comes around. It also shows professionalism and gives your customers a feeling of security when exchanging money for products or services.

Choosing the right business account for your business comes down to finding one that has the right combination of benefits, costs and features that are best suited to your business needs. Here are some things to consider when you are looking for the ideal bank to rely on.

Nature of the bank

General account features and interest rates do not vary significantly between banks. However, it is important to understand the specific banking services that your business requires and ensure that the business banking account you are applying for has those services included. For instance, if you are an SME owner, you may want to look for a bank that is experienced and well-equipped to understand the needs of SMEs with products tailored for SMEs. Building a relationship with a bank that understands your business can go a long way, as growing together and establishing healthy credit may ease the process of obtaining a business loan or other lines of credit in the future.

Deposit considerations

One of the main factors that SMEs need to consider when opening a business account is the minimum deposit balance required so as to prevent their capital from being tied up. The OCBC eBiz account is designed for SMEs with a low initial deposit requirement of just RM500, allowing more small business owners the opportunity to turn their passion into a legitimate business. Other factors you should consider regarding deposit amounts are the maximum cash deposit limits as well as the total balance limit of your business account.

Digital banking solutions

As the business world continues to digitalise, the digital needs of SMEs will only continue to grow. OCBC Bank is the first to offer a complete digital application process through the OCBC eBiz account, allowing customers to skip the queue at the branches and apply for a business banking account directly in the comfort of their home. Business owners can register for an eBiz account in just a few minutes and seamlessly verify their identity through the eKYC verification portal.

Internet banking has become a necessity in our everyday lives, and the same applies to business banking. Most business banking accounts come with their own internet banking services, so be sure to check out their reviews and compare their functions and system stability. The OCBC eBiz account offers free business internet banking services (OCBC Velocity) as well as free business mobile banking (OCBC Malaysia Business Mobile Banking app) so that you can manage your business finances at your fingertips, anytime and anywhere.

Accessibility

Having a business account with a bank that has physical branches located near you can be reassuring when you require face-to-face consultations. A wide network of physical bank branches offers convenience if your business requires you to make daily cash deposits, or when you are expanding your business to a new location. It is also important for the bank's ATM network to be wide-reaching as this will make cash withdrawals much more convenient and help you avoid expensive surcharges incurred when using another bank's ATM.

Business management features

It is important that you look beyond day-to-day transactions and consider the business support and management tools offered by your business account as well. The OCBC eBiz account offers several additional features that can help grow your business and increase its competitiveness. For instance, the OCBC Merchant Terminal provides multiple contactless store payment methods, helping to improves your customers' shopping experience. Another must-have feature is the OCBC OneCollect, a payment collection service via QR codes which consumers are now familiar with due to the impact of the Covid-19 pandemic. For businesses that deal with international transactions, FX Online helps your business to view and book live exchange rates with competitive pricing, anytime and anywhere. The OCBC eBiz account also comes with a Business Debit Card, providing you additional convenience when managing cashless business transactions with vendors around the world.

In conclusion, be sure to compare the products and services offered by different financial institutions to find out which one is best suited to fulfil your business banking needs. Choosing the right business account might seem like a big step, but remember that the choice of bank does not have to be a permanent one, and switching banks may prove to be a plus for the bottom line of your business.