The best bank accounts for Etsy businesses should offer a variety of outstanding business products and services to help sellers pay and get paid for their handmade toys, collectibles, art, home goods, vintage furniture, jewelry, clothing, and more.
Here’s our selection of the best banks to choose when you’re an Etsy business owner, with each offering different features and some allowing for a deposit directly into your business bank account.
The best business bank accounts for Etsy businesses
Do you want to set up a bank account for your Etsy business? We have selected 3 banks that offer bank account offers for Etsy businesses that meet the needs of an Etsy business owner, allowing you to focus on your clientele of independent artists and crafters.
- Novo – Offers a direct integration with Etsy and no monthly maintenance fees or minimum deposits for opening, perfect for small businesses
- Bluevine – Best for small business owners that are looking to manage their finances online with no minimum deposit, balance requirements, monthly service fees or ATM withdrawal fees
- Relay – As business bank accounts for LLCs and freelancers, Relay offers Etsy businesses no monthly fees, transaction fees or minimum balance requirements
The various bank accounts presented are a mix of online banks with different features and product integrations. This allows Etsy business owners to pick a bank that best fits with their needs and requirements.
Novo is a business banking platform for Etsy business and small business owners and freelancers, allowing them to open business checking accounts in minutes.
Novo charges almost no fees and your Novo business checking account can be connected to other business software, including Etsy, Amazon, Shopify and WooCommerce.
You’ll need a $50 opening deposit in order to open a new account, but after that, there are no minimum account balance requirements or recurring fees of any kind. In addition, there are no monthly maintenance fees, minimum deposits for opening or minimum balance requirements, a huge help for businesses starting out.
Bluevine is an online FinTech company that allows Etsy businesses to easily set up an online bank account which has no monthly fees, transaction fees or minimum opening deposit and excellent online and mobile banking features.
Incoming and Outgoing ACH fees are zero, which is very attractive for Etsy business business owners who have many transfers. There are some fees with outgoing wire fee of $15.00, whilst cash deposit fees are charged at $4.95 per deposit, but a superb trade overall product that’s easy to use and offers unlimited transactions.
Relay Financial is a digital banking platform designed with small businesses in mind that need multiple bank accounts and want to integrate QuickBooks Online into their banking services.
Relay is a free online business banking platform. Users don’t pay a monthly fee, transaction fees or overdraft fees. There is also no fee for incoming wire transfers. If you do need an overdraft, again there are no fees for this account and can be classified as one of the best banking offers for Etsy business owners.
This selection above is of course not exhaustive for Etsy businesses. There are plenty of alternative business banks with different fees, products and services. Etsy business owners that wish to have a bank advisor and/or branch facilities can opt for a Chase account or check out Kabbages’s account with no transaction limits and access to Kabbage Funding.
Choosing a business bank account for an Etsy business?
Finding the bank that best meets your requirements is the first step in selecting the best business bank for your Etsy business. Therefore, you must first establish your business’s banking requirements and take into consideration the following:
- Transactions: Business checking accounts often have limits on the number of transactions you can do per month. It can range widely depending on which bank account you choose. Transactions may include deposits, withdrawals, transfers, and more so you’ll want to consider how much you will be moving money around
- Means of payment: Would you like to be able to pay for your business expenses by credit card, check, cash withdrawals or transfers?
- Business accounting: Some software allows your bank such as Bluevine to sync with your Accounting tools
- Desired payment methods: How do your customers pay you (check, cash) Do you offer online payment? What credit card reader do you use?
- Bank adviser: Few online banks offer this service however it is often included or paid for with traditional banks
- Financing: Online banks may not offer financing solutions such as overdraft or business loans, a feature that is more likely a traditional high-street bank
- Additional services: Insurance and savings
It is essential to take all of the above factors into consideration as well as the fees charged by the business bank to better understand if this is the right bank for your Etsy firm.
How much are the fees for Etsy business bank accounts?
The price of a business bank for Etsy business varies per each bank and their related products and services offered. Online banks offer the most affordable return, with Novo charging no monthly, transaction, overdraft or minimum balance fees and a digital-first experience. In summary, Novo continues to establish itself as a business bank account of choice for Etsy SMB’s and freelancers with over 150,000 SMB customers in the U.S.
Other banks charge fees for a wider range of services or particular financing solutions or support from a personal adviser, including $35 monthly fees from Capital One for its Spark Business Unlimited Checking. Fees can be waived on this if certain conditions are met.
Do you need a business bank account for Etsy?
Etsy does not require you to have a separate bank account however it is highly recommended to create a separate business identity, important for maintaining your limited liability protection for your LLC as well as making it easier to identify personal and business expenses.
Which type of bank account is best for Etsy small businesses?
The bank account that’s best for Etsy businesses will depend on your particular requirements. In general, Novo offers a very competitive price point and a direct integration with Etsy.
Tom is the founder of Gottagrow.io. He reads the offers, deciphers the details including features, pricing, included services and more to find you the best products and services.