A simple guide to setting up the Prospa Business Account online.
At a glance
Here’s a glimpse of the article’s insights:
- Opening a business account can help to simplify financial management and more easily meet ATO reporting requirements.
- Traditional lenders may require applicants to undergo a lengthy in-person application process.
- A Prospa Business Account is quick and easy to set up – and it can all be done without stepping a foot outside the door.
- Once set up, it allows users to start transacting immediately – without any hidden fees.
Managing and maintaining cash flow and business demand is the number one challenge of one in four small business owners.* This means that opening a business account that provides visibility of cash flow in one place can be highly useful for small business owners.
Opening a dedicated business account is also important for simplifying record keeping. The Australian Taxation Office (ATO) recommends that small business owners and sole traders open a business account separate from an account handling personal expenses. For entities operating as a partnership, company or trust, it’s compulsory.
Using a separate account for business expenses can help small business owners easily access information about their businesses’ cash flow – and see at a glance whether they are in a position to seize opportunities, or may be heading into a difficult period that will require more careful management.
How to open a business account
What to expect with a traditional bank:
To open a business account in Australia, applicants typically need to provide a set of mandatory information and documentation to prove their identity, just like when applying for a passport or completing a police check – documents such as a driver’s licence, passport or utility bill. Owners will also need to have their ABN at hand.
Traditional banks may also require applicants to undergo a lengthy in-person process for opening a business account. This means that even if they can start the process of setting up a business account online, applicants may still need to attend a branch in-person to have their identity documents verified.
What to expect with a Prospa Business Account:
Small businesses’ needs have evolved greatly over the past couple of years. Lending institutions need to adapt to keep up with increasing demands for digital services over analogue, and new ways of working over the old. Gone are the days of needing to queue in-person to open an account – it’s easiest to open a business account online here.
A Prospa Business Account allows applicants to undergo the entire process without needing to step foot outside the door, simply and easily. Eligible applicants can sign up online in minutes – no queues, appointments or branch visits.
To apply, eligible applicants just need:
- An Australian ABN and a valid driver’s licence on hand
- To be the director or the owner of the business
Benefits of a Prospa Business Account
A Prospa Business Account lets owners start transacting immediately after the account is approved and provides access to a Prospa Visa Business Debit card. Plus, there are no hidden fees.
With the Prospa Business Account, users can also:
- Stay in control of their spending: The Prospa Visa Business Debit card can be used everywhere Visa is accepted, including overseas, and linked to Apple Pay or Google Pay.
- Flexibly manage their accounts anywhere: Whether using the Prospa App or Prospa Online, users have the same great account experience 24/7.
- Link an existing Prospa loan or Line of Credit to get an instant view of their cash position in a single place.
- Save time at tax time by easily downloading or creating a summary of up to 12 months’ worth of statements.
- Easily pay bills with BPAY, make payments or schedule future payments.
Prospa is continually looking at ways to improve how small business manage their cash flow and transactions. Customers will be notified as new features and upgrades are available, or stay up to date on the Prospa Business Account here.
*RFi Australia SME Banking Council, November 2022
Simplify how you manage your business’s transactions. The Prospa Business Account is a free transaction account that can help make managing your cash flow simpler.
