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Ask HN: New LLC; Bank Suggestions/Free Business Checking Account? (Boston)

3 points by doctorwho42 ↗ HN
Hey Guys, here is a bullet point list of details.

- Multi-member LLC

- Looking for a bank near Boston, MA

- Have done a bunch of online research and have found mixed messaged and reviews (forums, review sites, etc.)

- I believe a No-fee Business Checking Account is what would work best with our company

- We do have an EIN, and want to make specifically a Business Checking Account.

- I know most if not all business accounts have fees for # of transactions over X amount. I believe the standard 300 transactions/mo free then $0.10 charge is fair.

- We will probably be doing mix business with Amazon fulfillment and some in-person (in boston) transactions.

Any help or words of wisdom are welcome!

4 comments

[ 3.1 ms ] story [ 20.5 ms ] thread
brudgers
TANSTAAFL.

No fee business checking accounts typically come with minimum balances. This means that if you experience cash flow issues and have to dip below the minimum, you're likely to get hit with fees. On the other hand, if you pay per check, then you can plan. Consider that a $30 fee is 300 $0.10 transactions.

If you can't roll the cost of transactions into your price, there are problems with the business model in terms of scale and market segment validation anyway.

Good luck.

doctorwho42
Yeah, I understand that. I was also wondering if anyone have good experiences with any banks in boston.
brudgers
The important relationship as in any other business situation is with an individual rather than a company. In this case with a banker rather than a bank. Barring the fortunate situation in which a person has so much money that bankers are calling up them, creating that relationship is going to boil down to sitting down with individual bankers. It probably won't result in anything better than a standard retail deal in the short run, but it may result in someone who can provide advice as the business grows.
davismwfl
While I generally totally agree, when it comes to banks anymore this is not nearly as true when you are small or the bank large. I had an amazing relationship with my prior banker who happened to be with Bank of America and it got to the point that he couldn't help us with anything even a simple notarizing of an important document because it didn't originate from his branch. He used to waive stupid fees for teller help etc but couldn't anymore. Given the amount of money I was pushing through his branch I also got very good terms personally before, not anymore.

So I switched to a smaller bank, not tiny but where we could get better service and have been much happier.

I researched carefully, PNC, TD, BBT and a number of regional banks. Finally went with PNC and have been really happy. And while they aren't perfect they really do stress the local relationship and do their best to help out. Even at that they still are a bank and it is no longer the old type of relationship where a branch manager could really do a lot for you.