As an owner of a small or medium business, keeping an eye on your growing overhead expenses is critical to managing cash flow effectively. One overhead that can easily spiral out of the constraints of your budget? Business banking costs.
Whether it be monthly account maintenance fees, transaction fees for certain types of withdrawals or transfers, fees for using ATMs outside of the bank’s network or charges for requesting bank statements, they all add up.
Being aware of hidden fees and regularly checking your bank statements can give you a clear idea of the financial impact on your business. Considering other more cost-effective business banking accounts may help you save on business banking fees.
If you’re considering switching bank accounts, here’s a guide to help you choose the right small business bank account.
In South Africa, banks have a reputation for having high fees, but as a small business, there are ways you can keep your banking costs more manageable.
5 Smart Tips to Reduce Your Business Banking Fees
In the long term, cutting unnecessary business banking fees can free up cash flow that will allow you to invest in growth.
A business bank account with all the bells and whistles can add value to your business, but as a growing business it’s recommended to keep your overhead costs low. Here are five smart ways to save on your business banking fees:
1. Explore a fee-friendly account
If your business has basic banking needs, you don’t need to pay for extra services. Opting for a Free Business Bank Account without a monthly fee is a budget-friendly choice.
2. Consider a dedicated business bank account
A dedicated business bank account that consolidates all of your accounts into one profile eliminates the cost of having to keep multiple accounts open and paying unnecessary fees.
3. Choose an account that elevates your business
Bank accounts with high fees usually come loaded with additional services, but you may not need all of these. By choosing an account that provides the bare essentials, you can avoid paying for services that don’t add value to your business, which can bring down your banking fees.
4. Take advantage of fee waivers
Some banks offer fee waivers or discounts when meeting specific conditions, such as maintaining a minimum balance or processing a set number of transactions each month. When you’re choosing a business bank account, ask if there are certain fees that could be waived.
5. Avoid surprise fees with an all-in-one account
Selecting an account that enables you to transact without limits and pay one set fee per month with no surprise costs can save you in the long term. This can reduce long-term costs for a business that makes frequent transactions.
With an all-in-one business account like our Lula Unlimited Business Bank Account you can make unlimited EFTs and earn up to 1.5% annual interest on your balance. It also comes with a built-in tool, Lulaflow, a powerful cash flow manager.
An additional feature is Multicompany – which allows you to manage multiple business accounts from one profile without having to log in to different profiles. These are all added benefits that come with no additional cost. That’s right – no surprises. If you want to open an Unlimited Business Bank Account you can contact our sales team on 087 250 0014 to help you get started.
There are a few things you should keep in mind when choosing the best business bank account. Here are a few tips that could help you.
Following these tips can help your business cut down on unnecessary costs and save. Online banking is ideal for the busy entrepreneur, offering ease and the convenience of attentive support on the go.
Open a Lula Free or Unlimited Business Account and get all the perks of business class banking online without the hassle.
