Banking is an essential part of running a business. To be able to take orders from customers, pay vendors and keep track of how your business performs financially you need to have an adequate system and an established relationship with your local bank in place.

If you just started your own small business, banking can seem complicated. Here at Niccolo we compiled a list of tips that will make managing your company’s money easy.

Open a business bank account

Keeping your personal and business money separate is very important to avoid confusion and make managing your company’s finances easier. A business bank account is a special account intended for your small business. It is used solely for business transactions such as accepting payments for clients or paying for supplies you order. Most of the time you will have to pay a small fee associated with using a business bank account. Nevertheless, if you want banking to be less stressful, it is worth investing in one.

Make sure you understand all the fees

When you open a business bank account, the fees you might have to pay vary. There are many payment structures depending on which bank you choose. That is why before you commit to opening a business bank account, make sure you understand what fees you will have to pay and for what activities.

Use bill pay services

Thanks to bill pay services, the process of paying vendors and other actors involved in the process of you selling goods and services becomes much easier. Accountants can use bill pay services to manage invoices and payments. Thanks to pay bill services you can manage your company’s finances online.

Provide account access to employees

If you have several banking accounts, you can create multiple profiles with varying permissions. This way your employees can have access to some of the activities associated with using the accounts such as making deposits or checking the transaction history. Thanks to this option sharing financial information is easy and safe.

Understand how loans for small businesses work

The types of loans available to small businesses differ from those that individuals can apply for. There are a variety of loans you could get so it is important to have a look at your options and choose the one that offers good rates and flexibility.