Small businesses may look insignificant individually in nature. But their aggregate impact is somewhat high. They help in generating the second-highest employment opportunities. Their contribution to GDP is also significant. So, it is essential to have the best current account for your small business, as the current bank account is the right hand of entities.
Want to know the best current accounts? Here you go.
Table of Contents
- ICICI Current Account
- HDFC Bank Regular Current Account
- Axis Bank Normal Current Account
- Kotak Mahindra Bank Neo Current Account
- Yes Bank Edge Business Current Account
- Bank of Baroda Small Business Current Account
- State Bank of India Regular Current Account
- Punjab National Bank MyBIZ Current Account
- IndusInd Bank Max Current Account
- RBL Bank Business Current Account
- Closing Thoughts
List of Best Current Accounts for Small Business
1. ICICI Current Account
ICICI Bank provides current accounts for every business. Be it a small business, MNC, startup, and even foreign entity. The features for the current bank account for small businesses include:
- API Banking: There are various APIs that enrich the customer experience. It includes APIs for bulk payments and payment collection. It also has non-financial APIs like MIS reports, account opening, and balance inquiries.
- Tax and Statutory Payments: Simplify the tax payments. You can also view the details of the challans generated previously.
- The remittance, Letter of Credit, and Bank Guarantee: The bank can issue a letter of credit if you want one.
- Internet Banking and Mobile Banking facilities
- Electronic Funds Transfer through NEFT and IMPS
- Zero Balance facility for the first six months
After six months, you have to maintain the minimum balance of Rs 25k.
2. HDFC Bank Regular Current Account
HDFC Bank is the largest bank in terms of market capitalization. And it serves 62 million customers. So, it is only natural that they focus on small businesses as well. The Regular Current Account has the following features:
- Free cheque collection and payment
- Free demand drafts and Pay Orders of value above Rs 1 Lakh.
- NEFT and RTGS transactions are free of cost
- The free cash deposit limit is Rs 2 Lakhs per month.
- Doorstep banking facilities are available
- Internet Banking and mobile banking facilities are also there.
The minimum balance requirement is Rs 10k AQB. And you will have to pay Rs 1500 if you fail to do so. But keep in mind that the cash deposit limit will lapse if AQB is less than 7500.
3. Axis Bank Normal Current Account
Like HDFC Bank, Axis Bank is one of the top private sector banks with many current accounts. Each current bank account has its distinct features. But all of them have some similar benefits. They include internet banking, unlimited NEFT and RTGS transactions, enhanced cash withdrawals, and cash management services.
Besides these facilities, the apt current account for a small business has the following features:
- Free Cash Deposit Limit of up to Rs 2 Lakhs p.m.
- Business Classic Debit Card with insurance cover and personalized design
- Cheque Book, Demand Drafts, and Pay Orders free of cost
- Instant Alerts and a Certificate of Balance
The minimum balance requirement is Rs 10k. To know about the applicable charges, click here.
4. Kotak Mahindra Bank Neo Current Account
With more than 1600 branches and 2500 ATMs, Kotak Mahindra Bank is also a national bank. Did you know that it was the first bank to get a banking license from RBI? So, it became the first Non-Banking Financial Company (NBFC) to convert to a bank.
Neo Current Account has the following features:
- Free Cash Deposit up to Rs 2 lakhs per month
- Free Cash withdrawal of Rs 10k per day
- Unlimited NEFT and RTGS transactions free of cost
- Net Banking, Mobile Banking, and E-mail alert facilities
- Kotak Circle facility to make AMB flexible
- Better forex rates and trade services
- Cash management services
- Payment gateway facility and Point of Sale (POS) solutions
It provides some additional features than other banks. But it doesn’t affect the minimum balance. The AQB requirement is the same as that of others, i.e., Rs 10k.
5. Yes Bank Edge Business Current Account
Yes Bank provides a good customer experience. Like Axis Bank, all the current accounts provide some similar benefits. Besides them, Edge Business Current Account offers the following facilities:
- Free Cash Deposit Limit up to 6 times your Average Monthly Bank Balance.
Suppose you keep a bank balance of Rs 2 Lakh p.m. on average. Then you can deposit Rs 12 Lakhs cash free of cost! But the minimum amount is Rs 5 Lakhs. And the amount extends up to Rs 25 Lakhs.
- Element Business Debit Card for 1st year is free of cost.
- Free Demand Deposits up to 25 per month at all bank branches
- Up to 100 cheque leaves are free per month
- The facility of POS terminals is also available
The minimum Average Quarterly Balance Requirement is Rs 25k.
6. Bank of Baroda Small Business Current Account
Incorporated in 1908, the Bank of Baroda is the fourth largest nationalized bank in India. It has over 132 million customers. And it marked in presence in more than 100 nations.
Small Business Current Account is customized to meet the needs of a small business like sole proprietorship and partnership firms. Here are some things you must know:
- It is available only for metro or urban cities.
- The account follows the concept ‘Pay as you Use.’
It has the following features:
- Unlimited free digital transactions
- Free Alternate Delivery Channel (ADC) transactions: 5 per month
- Cash Deposit Limit of Rs 50k per day
- Free first 50 cheques
- Cash withdrawal up to 25k per day. But only the first five transactions are free per month.
- Free Rupay Debit Card for 1st year
- Free statement of account
As it has fewer features, the minimum balance requirement is also low, i.e., Rs 2500. So, you don’t feel much burden in doing so.
7. State Bank of India Regular Current Account
Famous for its lunchtime, the State Bank of India is the largest in India. It is the only Indian bank on the list of Fortune 500 Companies. And that too ranked at 221.
With a minimum MAB of Rs 5k, the Regular Current Account is the most basic variant. It has the following features:
- Free Cash Deposit up to Rs 5 Lakhs per Month.
- Free Cash Withdrawal from Home Branch of SBI.
- Fastest Internet Banking and Mobile Banking.
- Free NEFT/RTGS transactions.
- Free 50 Multicity Cheque Leaves per Month.
8. Punjab National Bank MyBIZ Current Account
This current account is very convenient for people having frequent banking transactions. It is because there is no limit on number of transactions in it. So, it most suitable for business operations. It has the following features:
- Seamless banking transactions through internet banking free of cost
- Access to around 7000 service outlets and 9800 ATMs across the country
- ATM cum Debit Card available
- Fast transfers through RTGS/NEFT
- Acceptance of standing instructions
The minimum balance is Rs 10k.
9. IndusInd Bank Max Current Account
Although IndusInd Bank offers just two current accounts, there is no compromise on the features they offer. After all, quality exceeds quantity. This account provides various features, with AMB requirement of Rs 10k:
- Free NEFT and RTGS transactions
- Auto Sweep facility available
- Grouping of accounts with other current/savings accounts provide flexibility in maintaining AMB.
- Doorstep Banking facilities (up to 3 cheques per month)
- Free Cash Deposit Limit of Rs 6 Lakhs and no limit on cash withdrawal
- No charges on issuance of Demand Drafts/Pay Orders worth Rs 25 Lakhs
- Free 50 cheque leaves per month
10. RBL Bank Business Current Account
Considering today’s competitive world, merely traditional services won’t fulfil your goals. And RBL Bank believes the same. That is why its accounts are more than just an ordinary bank account. It offers the following features:
- Efficient cheque collection services from more than 1600 locations
- Unmatched funds remittance across 70k branches of 99 banks PAN India
- Trade Services like Letter of Credit and Bank Guarantee
- Internet and Mobile Banking facilities
- Bill Payment and E-Tax Payment
- Free Visa Debit Card
And you can avail all these facilities while maintaining AMB of Rs 10k!
Closing Thoughts
So, these are the best current account for small businesses. Each of them has different features. But don’t forget to do thorough research before opening a current account. Choosing the current bank account is essential as it can make or break your business.
