Whether you’re a yoga instructor, tattoo artist, or masseuse, your time is precious. Who wants to spend it worrying about money? 

The right business bank account can do the work for you and give you a place to put all your earnings. It might not seem necessary if you’re working solo and don’t care about differentiating personal and business activities, but you’d be surprised at how many banking features are out there for independent workers – ones that can make your life way easier.

Get up to speed in this helpful guide, which looks at six of the best bank accounts for self-employed pros.  

[CTA_MODULE]

Do I Need a Business Bank Account for Self-Employed Operations? 

Having a business bank account is a smart move if you're self-employed. It helps you manage your business’s finances while keeping your income separate from your personal funds.

While it’s not legally required to separate business and personal bank accounts, the IRS recommends that you do. It makes it easier to track revenue and deductible expenses over the year – which can be a lifesaver during tax season.  

This separation also gives you easier insight into your business finances, since you don’t have to account for any personal expenses mixed in. And having an accurate overview of how your business is doing helps you make informed decisions, plan for tax season, and save for goals like upgrading your space and making large purposes.

4 Benefits of a Self-Employed Business Account

If you’re self-employed, here are four key benefits of having a business bank account: 

1. Helps Organize Financial Records  

A business account helps you manage your finances, including keeping your records neat. This clarity is vital because it lets you see how much money you’re earning from self-care services like facials or massages and how much you spend on expenses like rent and supplies – all information you need to make a budget and a business plan.

2. Improves Your Professional Image

Having a business-specific bank account boosts your company’s credibility. When clients pay for treatments, they’ll see your company’s name on their banking statements, which is more professional than your full name. This reassures clients they’re dealing with a legitimate company, which builds trust and encourages customers to rebook. 

For example, if you're a nail technician, "Nails By The Lake" looks more professional on your client’s credit card statements than “Lisa Rodriguez.” Plus, they’ll have your business name readily available if they forget.

3. Simplifies Tax Filing and Deductions 

A business bank account is your best friend during tax season. It lets you quickly identify deductible expenses, like supplies or rent, without sifting through personal transactions, saving you time and potential headaches with the IRS. And it’s easier to prove deductions' legitimacy when they’re linked to a business account.

4. Provides Access to Business-Specific Services and Benefits 

The best business banks offer perks you can’t get with personal accounts. These can include lower transaction fees, access to business loans, and specialized financial advice, which can be invaluable to an entrepreneur – especially if you’re just starting out. 

For example, if you’re planning on investing in new equipment, like a state-of-the-art facial machine, access to a business loan can help you achieve that goal. When you’re looking for a business bank account, contact banks and ask them about specific benefits they have for business accounts.

Sign up for a 14-day free trial with GlossGenius!

6 Best Banks With Self-Employed Accounts  

Explore these six bank’s features and benefits to find an account that aligns with your business needs.

1. Lili 

If you’re a self-employed self-care specialist who needs help with digital tax preparation, look no further than Lili. Lili is a small business service that offers a free business checking account. It also streamlines your financial management and tax filing. 

• Fees: There are no monthly fees for the basic business account. Paid plans include Lili Pro ($9/month), Lili Smart ($21/month), and Lili Premium ($33/month).
• Features: Paid plans have unlimited invoices, pre-filled tax forms, bookkeeping, bill pay management, and receipt capture. But the free plan has all the basics you need, like a debit card and checking account.

• Limitations: No physical locations means you can’t deposit cash. 

2. Novo 

Novo Bank offers one of the best business checking accounts available digitally. Its Novo Boost and Express ACH (electronic money transfer) features give self-employed professionals fast access to funds. This account also integrates with 50+ business tools, including QuickBooks, Xero, Stripe, and Square. Plus, there’s no minimum monthly balance.  

• Fees: There are no monthly or overdraft fees. ATM fees are reimbursed up to $7/month. 
• Features: Access free invoicing, budgeting tools, mobile check deposit, and fraud monitoring. The Novo Reserves feature helps you save money by automatically allocating funds toward goals. 
• Limitations: It doesn’t support cash deposits or offer business savings accounts. 

[CTA_MODULE]

3. Chase 

Chase for Business offers a combination of digital and in-person services for self-employed banking, with branches in 48 states. This bank is a versatile choice for self-care business owners who want both online banking and in-person banking options. 

When you open a Chase business checking account, you get a $300 bonus. Plus, you can deposit checks, pay bills, and view balances through the mobile app. 

• Fees: There’s a $15 monthly maintenance fee, but you can waive it in a few ways, including keeping a $2,000 minimum daily balance. 
• Features: The mobile app includes built-in card acceptance with QuickAccept℠. This lets you process credit cards anytime, anywhere in the United States, which is a huge plus for business owners. Chase also has an extensive branch and ATM network. 
• Limitations: You only get 20 free teller or paper bank transactions monthly and a cash deposit limit of $5,000 per statement period. After that, there’s a fee.  

4. Bluevine 

Bluevine’s business checking account comes with competitive interest rates that earn you more money as you go. There’s no minimum balance requirement, and you get a free business debit card with additional cards for authorized users. You can also access lines of credit and credit cards – perfect for if you’re growing your business and need funds in the short term. 

• Fees: There are no overdraft or monthly maintenance fees.
• Features: The platform integrates with payment processors like QuickBooks and Xero. You also get 1.5% cash back on business Mastercards, free standard ACH money transfers, and unlimited transactions.
• Limitations: It doesn’t support cash deposits, which can be restrictive for cash-based businesses. 

5. Found 

Found offers some of the best business banking for self-employed people and freelancers. This bank’s business checking account comes with tax preparation tools and built-in bookkeeping, like expense tracking. It also automates accounting tasks to make managing your busy life and career easier.

• Fees: No monthly service fee. 
• Features: Categorize expenses, customize invoices, and connect to tools like Stripe and PayPal. Deposit cash at one of 79,000 retail locations. Plus, see real-time tax estimates and pay your taxes through the app. 
• Limitations: No lines of credit or checks available. 

6. Grasshopper

Grasshopper is an online business bank offering high-yield business checking accounts with tiered interest rates. You can earn interest on every account, which puts more money in your pocket, plus 1% cash back on all online and in-store card purchases with their debit card (better yet, the card is free). 

• Fees: No monthly fees.
• Features: Access unlimited free ACH and incoming domestic wires. Deposit checks instantly and pay staff easily from any device. 
• Limitations: No physical locations or cash deposits. 

Discover How GlossGenius Can Help Manage Your Finances 

If you’re a self-care superstar, having a dedicated business bank account streamlines your finances and boosts your professional image. It’s a simple way to separate your personal and company money – and navigate payment processing more efficiently. 

Managing your finances doesn't stop at choosing the correct bank account. You need a service that helps you plan for big money moves and accept payments from clients with ease. 

Sign up for a 14-day free trial with GlossGenius!

GlossGenius offers an all-in-one platform for beauty and wellness businesses both large and small. Through our Payments, Loans, and Finances features, you can take payments on the go, accept deposits, access business loans, and much more. Our credit card processing fee is only 2.6% for all transaction types with 0 add-on fees, and you can customize your POS system to match your business’s vibe. GlossGenius has a ton of other features, from a Booking Website Builder and Appointment Management to Payroll and Client Insights Reporting.

Try GlossGenius with our 14-day free trial and experience the ultimate support for your self-care business.

NOTE: All prices and feature comparisons are as of August 13, 2024. GlossGenius has no affiliation, sponsorship or endorsement with Block, Inc. or its affiliates. All trademarks, logos and brand names are used for identification purposes only and remain the property of their respective owners.