If you are an entrepreneur working your own startup, you should have realised by now that having a good business bank account is critical to your business’ success. Having a good business bank account also helps set precedence to ensure the proper management of your finances as your business grows.
Some factors you should take into consideration before starting a business bank account in Singapore would be the required fees, minimum deposit and balance, usability and ease of access, limits on transfer, foreign currency conversion fees, as well as customer support networks.
To help ease your search, we’ve come up with a list of what we think are the top 5 business bank accounts in Singapore.
Coming in first, we have the Aspire Business Account. What’s attractive about opening an account with Aspire would be that the account can be opened entirely online, with no need at all to make a trip down their physical branch for paperwork. If you are someone who prioritises convenience and efficiency, Aspire should definitely be on the top of your list.
Although other banks offer online applications as well, there is usually the need to go down to their physical branch to settle some paperwork. These features offered by Aspire sets them apart from other banks.
Besides that, opening an account with Aspire also
So if you are a startup business owner who’s looking for fast and simple access to financial services for your business operations, at any time and any place through your mobile phone, Aspire will be a great fit for you.
Next up, we have DBS Digital Business Account, one of Development Bank of Singapore Limited (DBS)’s most popular business bank accounts. The popularity of this account can be attributed to several factors
However, one con of setting up a business bank account with DBS would be its monthly fee, which is relatively higher compared to the other accounts listed in this article, at $18/month.
Furthermore, the DBS Digital Business Account also charges upwards of $30 with a 0.47% markup for any processing and handling of foreign transfers.
Hence, if this is your first startup and you are reluctant to add to your expenses, setting up an account with DBS although convenient, but it may be slightly pricey.
Oversea-Chinese Banking Account (OCBC), like all other banks on this list, offer a variety of services. For business accounts, they have 3 different accounts for businesses at varying stages.
The Business Growth Account is targeted at new business, the Business Entrepreneur Account is meant for growing businesses that require more transactions to be carried out, and the Business Entrepreneur Account Plus is designed for established businesses.
For a startup company, it would be best advised to open a Business Growth Account. The Business Growth Account
However, the OCBC Business Growth Account charges upwards of $35 with a 0.46% markup for any processing and handling of foreign transfers. Hence, despite the low initial deposit and minimum balance needed, if your startup is one to transact internationally, the foreign transfer fees may easily stack up.
Let’s take a look at Maybank’s FlexiBiz Account. This is an interest-bearing current account that gives business owners the space to focus on their company’s needs. Key features of this account include
One of the cons of opening an account with Maybank, however, is that it is a foreign bank with limited physical branches. This may lead to inconvenience if there is ever a need to head down to one of their branches to handle any paperwork or other issues.
Maybank has also one of the highest foreign handling fees of $40 and 0.91% markup on foreign transfers.
Last but not least, United Overseas Banking (UOB)’s eBusiness Account, also targetted at new startups, offers a suite of banking services that allow you to manage your business anywhere, anytime. Some features offered by this account include:
Due to the relatively low fees this account offers, it is ideal for entrepreneurs and businesses that are just starting out. However, do take note of the minimum daily balance. If you’re a startup with little capital or will be needing the liquidity, this might not be the best option for you.
As seen from the above analysis, the abovementioned accounts each have their own strengths and weaknesses. In our opinion, due to absence of a minimum deposit, the usability and ease of access of opening an account, low foreign transfer fees as well as well-developed customer support networks, the Aspire Business Account would be the best business account to go with for a startup business.
There are many business bank accounts in Singapore, but these are just a few that we believe are a good fit for startup businesses to help you get started. It would be good to go through the list of services and benefits each account offers, and decide which is the best fit for your company. For a more in-depth look, visit our pricing page.