Banking institutions offer many services your business can use, such as checking and savings accounts, online banking service and business loans. Many banking institutions offer business banking accounts that you can open. Some charge a fee, but others may not. By learning some banks basics, you can access and use these services offered to your business.

First, look for a bank that can offer you a business banking account. Many banks also offer online services, which is a great asset to your business. You may also be able to get a business loan from them to help start your business, update your business or make improvements. You can access all of these services with one bank.

1. Choose a bank that offers a variety of services, and open a checking and savings account with them.

2. Ask if your baking institution offers online banking, and find out how to access it.

3. Talk to a loan officer at your banking institution, and find out how to apply for a business loan to help your business with whatever services it needs.

Action Steps
The best contacts and resources to help you get it done

Open a business checking and savings account at your banking institution

Once you find a banking institution you would like to use for all of your business needs, the first thing you'll want to do is open a checking and savings account at one of your new commercial or private banks. By having a checking account, you can pay all of your bills and payroll from one account. A savings account will allow you to save money for your business, and earn interest on that money. Some banks offer services that allow a certain amount from your checking account be placed in your savings account on a regular basis.

I recommend: Citibank offers different checking and savings account packages that you can choose from, and open, online. Commerce offers several checking and savings accounts you can choose from, some of which are free.

Find out if your banking institution offers online banking

Online banking can save you time by allowing you to access your bank accounts any time of the day or night, keep track of your accounts, transfer funds between your accounts and even pay your bills.

I recommend: Chase offers many online banking services, including online bill pay. WaMu offers easy, secure online banking services.

Apply for a business loan at your banking institution

Whether you just started your business, or have been in business for years, a business loan can help you get the equipment and services you need. Your banking institution is the best place to look for a business loan. Check to see if your bank will offer you any special deals on a loan since you're already a customer.

I recommend: U.S. Bank offers a lower APR to their customers. Bank Mutual offers business loans.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Check to see what other services your banking institution can offer your business. For example, some institutions offer resources for starting, growing and protecting your business, technology support, advertising your business and promoting your business.

Every banking institution has the same marketing message these days, either blue-gray corporate power, sunny, hometown simplicity or, ideally, both. But the reality is, some small business banks are good at servicing specific niches and types of businesses; other banks excel at completely different markets. A lot depends, too, on where you live. Banks have consolidated in recent years, but many remain regional entities at best.

When choosing a banking institution for your business needs, it’s best to look beyond the marketing at some key indicators of their abilities:

1. Branch banking and personal business banking services.
2. National banking networks and advanced small business bank know-how.
3. Automated banking services to bank online and by phone
4. Fee structures for business banking.

Action Steps
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Choose a small business bank for its branch banking and personal banking

For a small business bank, the best bank is the bank that's nearest or has the most convenient branches, especially if you handle a lot of cash and checks. A local banker is likely to be more aware of your business and its prospects, and there are often personal connections that can help.

I recommend: Bank of America, Wells Fargo, Citibank, Wachovia and Regions are busy expanding branches with plenty of small business bank products.

Choosing from national business banking networks

As your small business grows, it can help to have access to more sophisticated financing. A large banking institution can be more impersonal but often have departments for medium-sized to large-business banking.

I recommend: Some of the largest banks in the United States are Bank of America, J. P. Morgan Chase, Citibank, Wachovia, Wells Fargo, Suntrust and HSBC.

Bank online and use automated banking services

Increasingly, if you manage your small business online or use software like QuickBooks, the most efficient means of keeping track of your company's finances is to bank online, using direct deposit and other online-only business banking products directly connected to your banking institution.

I recommend: Once a competitive advantage, small business banks now routinely offer online banking services. Find out how your local bank ranks in the bank online business by checking its ranking with Gomez.

Watch out for banking institution fees

Fees, particularly credit card fees and ATM charges, have spiraled in recent years as banks have competed to bring in customers but then used fees to 'punish' other customers out of their system. Review carefully what types of business banking services you actually use and then ask for a printed fee disclosure first.

I recommend: Keep track of bank fees through Bankrate.com, which does regular 'roundup' coverage of the trend and offers this complaint form. CNNMoney, too, has a good fee-by-fee guide to fighting back against a banking institution.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  If you bank online, make sure you get fees removed. Banks often charge fees for mailing out statements, which they should stop charging if you go all online service.
• •  Running a restaurant? A lawn service? Busy all hours, all week? Many local banks have begun offering later hours or Saturday service. Ask your banking institution about it.
• •  Consider automatic bill pay. If you can keep the balance, you save the time it takes to keep up on utilities and fixed costs to suppliers.
• •  Online banks often feature mobile phone banking and alerts. It keeps you out of the branch but informed nonetheless.

There are many banking services your business will need: payroll, expenses, keeping track of finances, access to funds and even a network of people to help you with your business. Banks are not just for keeping your money in anymore. They are an indispensable part of your business. By learning how making the most of banks will help your business, you can increase your business' productivity, and decrease the amount of time you use keeping track of its finances.

Whether you use national banking institutions or private banks, you'll want to choose one that can handle all of your banking service needs.

1. Select a bank in which you will set up a business banking account.

2. Learn about the different online banking services that you can take advantage of for your business.

3. Learn about online banking solutions that you can use to help you run your business' finances.

Action Steps
The best contacts and resources to help you get it done

Set up a business banking account

Whether your business is large or small, you'll need a bank account. You'll have income you'll want to keep in the bank, expenses you'll need to pay for with a check or debit card, financial records you'll need to keep for tax purposes and employees you'll need to pay. Having a bank account solely used for your business income and expenditures will help you keep track of all of your business expenses and have everything you need for your business' finances in one place.

I recommend: Bank of America offers many services to businesses, including business banking accounts, online banking services and a small business online community. SunTrust offers online business banking tools that meet the needs of small to medium sized businesses.

Take advantage of online banking services

Online banking is the latest way to do all of your banking needs. You can keep track of your accounts, pay bills and transfer funds. Some banks even offer online workshops to help you learn more information you can use to run your small business. Many banks also offer online tips and advice for business owners.

I recommend: BB&T has a Small Business Resource Center offering online workshops, financial services, tips and advice for your business. Wachovia Online Services provides a safe, reliable service to access your financial information online.

Use online banking solutions

Online banking solutions allow you to run the financial end of your business any time of the day or night. With these services, you can access all of your accounts, manage your funds, pay your employees, bill your customers and stop payments. Many online banking solutions services allow you to set up multi-users, allowing you to let specific employees have limited access to your business account. Online banking solutions will save you time and allow you to conduct your business' financial needs when you are ready to do so.

I recommend: SolutionsBank offers different online banking solutions packages you can choose from. EverBank has online business solution packages that you can pick from, and a Business Relationships Specialist who will help you choose the right one for your business.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Choose a banking institution that has branches located across the country to make banking needs easy to take care of when you're away on business.

A bank is a financial institution that provides a variety of services, especially lending money. The level of government regulation varies widely by country, with the United States having relatively light regulation of the banking industry as a whole. However, unlike many other countries, the United States does prohibit banks from owning companies that are not involved with finance. They are also not allowed to go bankrupt. Bank accounts in the United States are currently insured up to $250,000 in most cases.

Action Steps
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Federal Deposit Insurance Corporation (FDIC)

The FDIC provides deposit insurance on bank accounts to guarantee the safety of funds held in participating banks. Accounts that do not bear interest are currently insured with no limit.

I recommend: The Federal Deposit Insurance Corporation provides extensive information on itself, including an overview of its history and function.

Debit card

A debit card is used much like a credit card, with the primary difference being that the transaction amount is deducted immediately from the debit card holder's bank account. All debit cards are linked to a bank checking or savings account, from which funds are withdrawn when a purchase is made.

I recommend: The Southbridge Savings Bank has a glossary of banking terms, including a more detailed explanation of debit cards.

Adjustable rate mortgage (ARM)

An ARM allows the lender to change the interest rate charged on the mortgage during the term of the loan - generally increasing it - based on current market conditions. ARMs typically permit borrowers to qualify for a larger mortgage with lower initial payments, in exchange for assuming the risk of an increase in the interest rate.

I recommend: The Farmers and Merchants State Bank offers a more complete discussion on the uses of an ARM.

Automated teller machine (ATM)

An ATM performs many of the routine bank services of a teller, such as deposits, withdrawals and providing account balances, all via electronic kiosks. ATMs are sometimes described with other terms, such as a customer bank communications (CBC) terminal or remote service unit (RSU).

I recommend: The Federal Reserve Bank of Minneapolis defines a variety of banking terms, including an elaboration on the use of ATMs.

Individual Retirement Account (IRA)

An IRA provides some tax advantages in exchange for making withdrawals only under limited circumstances, including retirement or reaching a certain age.

I recommend: Capital City Bank offers additional information about IRA accounts deductible contributions.

Balloon mortgage

A balloon mortgage has equal payments each month, but requires a larger lump-sum payment at the end of the loan's term.

I recommend: The First State Bank of the Florida Keys provides a glossary of loan terms that banks commonly use, including balloon mortgage.