Business Savings Accounts

Yes. If you’re a business owner, many banks will let you open a savings account online. However, some financial institutions may require that you go to a physical branch to open an account.

Yes. When you have a business savings account that earns interest, the IRS considers that earned interest as taxable income. You will owe taxes on whatever interest you have accrued in the account.

A few reasons why you should have a business savings account include the ability to be prepared for financial emergencies, to adapt to changes in the marketplace, and to position your business for growth.

A business savings account is a secure place to keep and grow the money you have set aside for your business.

While you can do it, there are several reasons to avoid using a personal savings account for your business. Having a business savings account allows you to keep that money separate from your personal savings, to make transactions in the name of the business, and it’s easier to keep transactions separate for tax purposes.