Genome Blog / articles / Main reasons why you need to open a business account
Jul. 15, 2022
With all kinds of financial services becoming available through functional mobile applications, business digital wallets are also more convenient and accessible now. Large or small company owners and even sole proprietors will benefit greatly from having an online account to manage their expenses, transfer money online, and accept funds from customers.
In today’s blog post, Genome is talking all about the reasons to open an account for your business and discusses all the advantages of such an online account.
Strong reasons to open an account for your company
In both Europe and the USA, business bank accounts have similar functionality and serve the same purpose – to simplify the lives of company owners. We’ve prepared a list of the most persuading factors why one might need to open a business account:
Separate accounts for personal and business expenses
Even if you’re running a tiny local store, an independent bank account created entirely for your business can save you lots of time. A business online account is a space for all your business transactions. Transfer money online, accept funds from clients, and send invoices to contractors – all these features and even more are available in the mobile banking application for your company.
With a business account, you don’t need to worry about looking through the long lists of payments trying to remember whether it was a personal transaction. What’s more, many providers offer additional in-built tools for growing your company – different integrations, special functions, Mastercard or VISA cards, etc.
Start a business credit
One of the reasons to open a business account for your company to increase the chances of receiving a bank loan for future growth. A well-organized and structured record of your company’s financial transactions is proof that a business owner is interested in developing their organization. Apart from financial stability, such a history of transactions also shows that a business has relevant experience and can handle the competition on the market.
Make bookkeeping and tax preparation easier
The separation of company and personal expenses is a huge plus for paying taxes. It’s much easier to track all your business transactions, income, and spending from one online account. Moreover, if you ever need to audit your company, a business bank account with a thorough record of all financial activities will be useful for a detailed and realistic analysis.
Take care of your professional reputation
How do you show your clients that you’re a professional and dedicated business owner? That’s right – one of the ways to do this is to handle all the payments via a special online account for your company rather than using a personal one. It is especially true for customers from abroad – they often want to transfer money online to a business online wallet.
Business accounts with Genome
Our multicurrency business account supports transactions in GBP, USD, and EUR. On top of regular features (SWIFT and SEPA transfers, instant internal transfers, Visa business card, etc.) Genome also prepared special functionality for our company accounts. One of them is team access – add the necessary people to the account and limit their access depending on the position they’re holding within the company.
Our team has also improved security for our business users, and that is why we came up with the Genome token. It’s a special device to verify every outgoing transaction from an account with the help of the OTP. With such a portable token, you can approve and disapprove all the external payments no matter whether you’re located. Lastly, you can also open a merchant account with us to accept funds from clients via card payments.
Why is it important to open a business account?
The two main reasons to open a business account for your company are simplified taxation and separation of business and personal expenses. Even though it may seem that online business accounts do not differ much from personal digital wallets, in fact, they have numerous benefits for big and small company owners. Among them: easy access to all business transactions and special tools (accounting, marketing, merchant accounts, etc.).
What is the purpose of a business account?
The primary reason to open a business account is transparency in all financial services and operations related to your company. A business online wallet helps to organize all the transactions in one place, which makes accounting and taxation easier and quicker. In some countries, companies are required to have business online wallets. Finally, such an account shows that an owner is serious about their business activity and is doing everything possible to develop it.