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Benefits of a business bank account

Last updated: 29.11.2024

Still on the fence about opening a business bank account? Take a look at its top benefits.

Key takeaways

A business bank account keeps your finances organized, providing a clear view of cash flow and streamlining accounting
Features like unlimited transactions, multi-user access, and priority support make business accounts essential for growing companies
WorldFirst’s global business account offers multi-currency support, competitive exchange rates, fast international payments, high security, and more

Introduction

Whether you are starting a new business from scratch or finally taking your business global for the first time, it’s necessary to establish good business practices from the get go.

Keeping your business finances separate from your personal finances saves time and prevents accounting headaches as your business grows. A good way to do that is by opening a business bank account .

The right business account can help you streamline accounting, make swift international and domestic transfers, collect payments from customers, and protect your profit margins with competitive exchange rates.

Take a look at the top reasons why a business bank account is essential for businesses

What is a business bank account?

A business bank account allows you to keep track of all of your business expenses. It functions like a personal account but it is more catered towards specific business needs like payroll management, invoicing, bulk payments, and large transfers.

Opening a business account usually requires documentation like proof of registration, proof of identity, ABN and/or ACN (if applicable), and details about the company’s shareholders or directors (if any).

After the account is opened, businesses can use it to pay suppliers or business partners, receive payments, manage expenses, and more. Many business bank accounts offer online banking and support international transactions.

Top benefits of a business bank account

A complete view of your business cash flow

How much money did you make this month?

What were your top business expenses in the last three months?

If you use the same account for business and personal spending, tracking your income and business growth can be difficult. Every month, you would have to review all the personal and business transactions to track your estimated business income.

A separate account for all of your business expenses and income also gives you a clear picture of your business’s cash flow at all times. With accurate numbers on your side, you can make more informed business decisions about day-to-day expenses, expansions, and investments.

Easier to prepare for taxes

A business bank account simplifies tax payments. You don’t need to separate your business and personal expenses just so your accountant can understand your expenses/ bank statements. You can directly share statements and other details with your accountant. It also makes it easy to find deductions that your business may be eligible for.

Integration with business tools

Many business bank account providers support integration with popular accounting software like Xero. You can sync all your business transactions to the accounting software to automate bookkeeping and accounting reconciliation. Automation takes the headache out of administrative accounting tasks and gives you more time to focus on building your business.

Access to more business-focused features

Unlike personal accounts, many business accounts offer access to features focused on helping business streamline their day-to-day operations and grow seamlessly without any glitches.

Some of the many features you can access with a business bank account include:

No transaction limits

Businesses have to send and receive payments daily, so any transaction limits can complicate financial management. Many business accounts offer unlimited daily transactions, helping businesses avoid cash flow challenges.

Multi-user access

As a business owner, you may not be the only one operating and managing your business account. When your company grows in size and complexity, you must give access to your business account to other staff members, including your accountants, payroll team, and managers. You’ll need a business account that supports multi-user access and makes it easy to provide or revoke user access anytime.

Priority customer support

Many providers offer priority customer support to businesses, including faster response times and dedicated account managers who can offer personalized support tailored to the business’s needs.

Open a World Account for free

Open 15+ local currency accounts with local account details
Direct CNH payments to 1688.com
Pay suppliers, partners and staff in 40+ currencies and 130+ destinations
Collect secure payments from 100+ marketplaces and payment gateways, including Amazon, AliExpress, Paypal and Shopify
Lock in currency conversion rates for up to 24 months

Protect your profit margins with WorldFirst’s global business account

A World Account helps you streamline payments and grow your business globally. With WorldFirst, you get access to high speed international transfers, multi-currency accounts, streamlined marketplace collections and more.

Here are some of the many benefits of a World Account:

Build better business relationship

Pay suppliers, partners, staff and tax authorities in 40+ currencies to expand your market access and global reach

Simplify your global transactions

Receive, hold and convert funds in 15+ local currencies, including GBP, USD, CAD, AUD, CNH, EUR, and JPY, all from one account.

Grow where your customers are

Open the world to your business and collect payments from 100+ marketplaces and payment gateways, such as Amazon, eBay, Square and Stripe.

Make same-day transfers

You can make same-day transfers in multiple currencies (cut-off timings apply)

Access competitive fees and exchange rates

You aren’t charged anything for setting up your World Account or receiving payments. You are only charged for sending payments. We offer a maximum of 0.6% markup over currency conversion rates (0.8% for supplier payments on 1688.com)

Disclaimer: The information contained is general only and largely our views. Before acting on the information you should consider whether it is appropriate for you, in light of your objectives, financial situation or needs. Although information has been obtained from and is based upon multiple sources the author believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions, estimates, mentioned products/services and referenced material constitute the author’s own judgement as of the date of the briefing and are subject to change without notice. WorldFirst shall not be responsible for any losses or damages arising from your reliance of such information.

Written by Jim Vrondas, Country Manager ANZ at WorldFirst

Based in Sydney, Jim is responsible for the WorldFirst business across Australia and New Zealand. He brings with him over 25 years of experience helping Business Owners, CFO’s and Treasury Managers overcome the challenges with cross border payments and navigating volatile foreign exchange markets.